Investor Update Oct09 Final.ppt - listed...

Investor updateInvestor updateOctober 2009October 2009

DisclaimerDisclaimer

The information contained in our presentation is intended solely for your personal reference only. In addition, such information contains projections and forward-looking statements that reflect our current views with respect to future events and financial performance. These views are based on assumptions subject to various risks and p juncertainties. No assurance is given that future events will occur, that projections will be achieved, or that our assumptions are correct. Actual results may differ materially from those projected.correct. Actual results may differ materially from those projected.

22

ContentsContents

About Thailand

Introduction to PTTIntroduction to PTT

Activities & Operational Results

Financial Performance

2H/2009 Outlook

3

About Thailand

Population : 66 million Russia

General Information

Population : 66 millionArea (sq.km) : 513,100Climate : Tropical ClimateW h 24 37 C

Mongolia

Russia

KoreaWeather: 24-37 CChina

JapanKorea

India

Middle East

Economic InformationThailand

GDP (2008) : US$ 272 bnGDP Growth : 2.6%

Economic Information

1H/2009 Energy InformationTotal Petroleum Supply : 1,598 KBD

Crude Oil : 1,073 KBD- Import (incl. refined prod.) 853 KBD (79%)- Domestic 220 KBD (21%)

Total Petroleum Demand & Export : 1,439 KBDDomestic Demand : 1,198 KBD- Refined Products 727 KBD (61%) - Natural Gas 471 KBD (39%)

4

( )Natural Gas : 525 KBD- Import 127 KBD (24%)- Domestic 398 KBD (76%)

G ( 9 )Export : 241 KBD- Refined Products 195 KBD (81%)- Crude Oil/Condensate 46 KBD (19%)

ContentsContents

Introduction to PTT

About Thailand

Introduction to PTT



2H/2009 Outlook

5

PTT’s Strategic Importance to the Thai EconomyOwnership : Ministry of Finance ‘Direct and Indirect’ ~ 67%, Public ~ 33%

PTT has the largest market cap on the SET Shareholders’ structure

Others72%

PTT13%

Ministry of Finance

52%

Public33%Affiliates

15%72% 52%

VayupakFund 1 15%

Data as of 7 September, 2009

Mkt. Cap (MM Baht) %SETPTT Group

5,802,0991,614,760

100.027.8

“Ministry of Finance holds majority stake in PTT”

pPTTPTTEPPTTCHTOPIRPC

, ,744,435481,762111,88892,82185 975

Thailand’s only fully-integrated Oil and Gas Company with leading position in E&P, transmission, refining, marketing & trading f P t l d P t h i l d t

27.812.88.31.91.61 5IRPC

PTTARBCPOTHERS

85,97573,20216,4958,182

f

of Petroleum and Petrochemical productsKey driver of Thailand’s economic growth and industrial development

1.51.30.30.1

66

Data as of 1 Oct 2009

Recognition: Confidence & CredibilityPTT is widely recognized among business community both local and international

PTT international ratings are comparable to sovereign ratingsPTT international ratings are comparable to sovereign ratings

Foreign Currency : A3/BBB+/BBB/A- (Moody’s/S&P/Fitch/JCR) Local Currency : A2/BBB+/A-/A+ (Moody’s/S&P/Fitch/JCR)

118th/2009 Global 500 The World’s Largest Corporations

(135th/2008,207th/2007, 265th//2006, 373rd/2005)

Platts Global Energy Awards 2008 “CEO OF THE YEAR”

Top 250 Global Energy Awards 20081st Fastest Growing Integrated Oil

and Gas in Asia, 4th Fastest Growing Energy Company in Asia, 5th Overall

P f i A i

205th/2008 Global 2000 The Biggest Listed Companies in The World

(354nd/2007 372nd /2006 (135 /2008,207th/2007, 265 /2006, 373 /2005)

1st in Thailand / 2nd in Asia in 2006 : The Best Company For CG2008 : Asia’s Best Managed and Governed

Performance in Asia (354nd/2007, 372nd /2006425th/2005 & 461st/2004) Thailand’s Business Leader of

the Year: 2005

The Best Company For CG The Best For Disclosure & Transparency

The Best For Shareholders’ Right & Equitable Treatment

1st : Large-Cap Corporate 2005/2006

2008 : Asia s Best Managed and Governed Companies Poll 2008

2005 : The Best Managed Companyin Asia/in Thailand/The Oil & Gas Sector

1st : Best CEO in Thailand 2004 & 20051st : Best Investor Relations in Thailand

1st : Asia’s Best Companies on Corporate Governance 2006 & 2007

Global Top 40 Executives inCh i l b ICIS 2006

1st : Best CFO 2008/20061st : Best Managed Company 2008/2006/20051st : Best IR 2008/20062nd : Best CG 2008/2006/20052nd : Most Committed to a Strong Dividend Policy 2008 Chemical by ICIS 2006

Best State Enterprise 2008 Awards

2 : Most Committed to a Strong Dividend Policy 2008

SET Awards 2008- Best CSR Award- Shareholders AwardSET Awards 2006

Board of the Year Awards 2007/2005 & 2006/2003 & 2004/2002

77

Best State Enterprise 2008 Awards1. Best Performance 2. Best Board of Directors3. Best Managed company4. Social and Environmental

Commitment

Trusted brands 2009 in oil station

For 2001-2009

SET Awards 20061st : Best CSR 2006 1st : Best IR 2006 and Distinction in Maintaining Excellent CG Report 2006

Thailand Corporate Excellence Awards 2007• Leadership Excellence• Corporate Social Responsibility• Overall Corporate Excellence

Strategic Intents Drive Specific Sector ActionsFocusing on business management execution through PTT business groups

Business Areas Activities Strategic IntentsMajor Operator (%)

E&PE&PPTTEPPTTEP 65.53% Exploration and Production

• Maintain growth through- Replicating gas value chain success in

adjacent geographiesE&PE&P

GasGas

PTT PLCPTT PLCGas Pipeline 100% Sole owner/operator of the

Transmission pipeline

- Capturing mega trends• Accelerate growth through M&A• Maintain production plateau • Solidify domestic position & enhance

value via operation excellence• Expand international gas value chain U

pstr

eam

Ups

trea

m

S&M 100% Supply & Marketing of Natural GasGSP 100% Extracting Hydrocarbon contents

in NG for Petrochemical’s feedstock

• Expand international gas value chain –supply potential to Thailand

• Enter adjacent energy sectors (e.g., coal, power)

UU

R fi i &R fi i &TOPTOP 49.10%

• Capture synergy through cross-refinery Integrated Complex RefineryRefining &Refining &PetrochemicalPetrochemical

(Aromatics)(Aromatics)

PTTAR PTTAR 48.66%IRPCIRPC 36.77% SPRCSPRC 36.00% Stand alone Complex RefineryBCPBCP 29.75% Complex Refinery & Retail Stations

• Capture synergy through cross-refinery integration

• Maximize PTT Group value chain• Enhance value through operational

excellence and capital efficiency

• Grow through Market-back strategy

Integrated Complex Refinery& Petrochemical

idst

ream

idst

ream

Oil MarketingOil MarketingPTT PLCPTT PLC• Oil Marketing 100% Retail service Stations and

• Maintain market leader position in retail station and lubricant

• Expand non oil businessesamam

BCPBCP 29.75% Complex Refinery & Retail Stations

PTTCH PTTCH 49.30% Gas-based Olefins Chain Petrochemical

PetrochemicalGrow through Market back strategy

• Develop new businesses & strategic M&A• Enhance value through operational

excellence and capital efficiency

Mi

Mi

Oil MarketingOil Marketing • Oil Marketing 100% Retail service Stations and commercial Marketing

• Int’l Trading 100% Import/Export/Out-Out trading of petroleum and petrochemical products

Int’l TradingInt’l Trading

• Expand non-oil businesses• Strengthen commercial market• Ensure operational excellence• Take active trading role for PTT Group• Expand out-out/derivative trading and

international footprint• Ensure disciplined risk management to D

owns

trea

Dow

nstr

ea

products • Ensure disciplined risk management to limit exposure

DDIn

t’l

Int’

l

InternationalInternational PTT Inter PTT Inter 100% Overseas investment arm of PTT• Capitalize on Group value chain capabilities in

oil, gas & coal• Invest in new energy & related businesses• Expand through partnership and M&A 88

Performance Highlights : RevenuesLower global oil price impacted revenue

1H/09 R B kd

Crude Dubai (US$/bbl)+38% YoY

-50% YoY

6894 104

51

Unit : MM Baht

20%

1H/09 Revenue Breakdown

Gas

PTTEP

US$ 19,642 mm+33% YoY

2 000 816

1,508,129

20%

7% Petrochem 2%

Oil

-36% YoY1,082,559

Coal 0.6%

2,000,816

690 565

Others 0.1%

24%46%

Oil Marketing

Int’l Trading

690,565

2007 2008 1H/08 1H/09

Others Coal Petrochem PTTEP Gas Int'l Trading Oil Marketing

2007 2008 %YoY 1H/08 1H/09 %YoY

Note : Excluding eliminations

Others - - - - 398 -Coal - - - - 4,823 -Petrochem 70,749 36,256 -49% 19,400 14,735 -24%PTTEP 94,059 136,752 45% 64,969 54,585 -16%

9Note : All figures after restatement; Segmentation of Revenues do not include eliminations

Gas 267,408 312,822 17% 146,630 151,120 3%Int'l Trading 809,602 1,188,523 47% 651,346 355,029 -45%Oil Marketing 417,116 513,151 23% 289,719 182,256 -37%

Performance Highlights : EBITDALower EBITDA from decrease in prices

104

Crude Dubai (US$/bbl)

-50% YoY+38% YoY

6894 104

51Unit : MM Baht

145 971

1H/09 EBITDA BreakdownUS$ 1,747 mm

Petrochem1%

Others-1%Oil Mkt

9%+7% YoY

156,133 Int’ Trd

Coal2%

0

145,971

24%

Gas

PTTEP

TM 18%S&M -1%GSP 5%Others 2%

1%, Int Trd

2%-25% YoY

82,29361,417


24%63%

Others 2%

2007 2008 1H/08 1H/09

EBITDA Margin

2007 2008 %YoY 1H/08 1H/09 %YoYOthers -2 044 -2 081 -2% -1 022 -883 14%

9.7% 7.8% 7.6% 8.9%EBITDA Margin


Others -2,044 -2,081 -2% -1,022 -883 14%Coal - - - - 1,515 -Petrochem 19,751 695 -96% 582 613 5%PTTEP 66,849 97,760 46% 48,799 38,444 -21%Gas 53,232 54,437 2% 29,572 14,809 -50%

10Note : All figures after restatement; Segmentation of EBITDA do not include eliminations

: Petrochem subsidiaries = PTTPM, PTTPL, PTTAC, HMC, PTT TANK Other subsidiaries = ENCO, PTTICT, BSA

Int'l Trading 3,030 4,318 43% 2,309 1,326 -43%Oil Marketing 5,151 722 -83% 2,141 5,548 159%

Performance Highlights : Net Income1H/09 earnings dropped YoY despite improved 2Q/09 earnings

94 104 1H/09 N t I B kd

Crude Dubai (US$/bbl)+38 YoY

-50% YoY

6894 104

51

1%

Unit : MM Baht

97,804

1H/09 Net Income Breakdown

US$ 778 mm-47% YoY

51 705

Other Affi.

-51% YoY

Coal

31%

37%

-3%1%51,705 PTT

RefiningAsso.

56,01727,344

PTT PTTEP Petrochem Affi. Refining Asso. Coal Other Affi. 29%5%Petrochem

Affi. PTTEP

2007 2008 1H/08 1H/09

2007 2008 %YoY 1H/08 1H/09 %YoYGain on Divest/Invest 4 859 443 -91% - - -

Affi. PTTEPEPS (Baht per Share)

34.82 18.33 19.88 9.68

Gain on Divest/Invest 4,859 443 -91% - - -Other Affi. 559 -3,175 n.m. -442 -828 -87%Coal - - - - 141 -Refining Asso. 27,982 -11,692 -142% 15,094 9,996 -34%Petrochem Affi. 10,508 6,180 -41% 6,050 1,323 -78%

11

PTTEP 18,378 27,605 50% 14,581 8,080 -45%PTT 35,517 32,344 -9% 20,734 8,632 -58%Note : Other Affiliates comprise of Affiliates in Gas (PTTNGD, PTTINTER, etc.), Utilities (DCAP, PTTUT, etc.), Oil (PTTT, PTTRB, PTTGE, etc.), Others (ENCO, PTTICT, etc.)

ContentsContents

About Thailand

Introduction to PTT


Introduction to PTT

- PTTEP- PTT- Petrochemical Associates- Refining Associates


2H/2009 Outlook

12

PTTEP: The only Exploration and Production Arm of PTTGrow in conventional oil & gas in priority countries

Proved Reserves 944 MMBOEProved Reserves 944 MMBOEOperations : 41 Projects in 13 Countries

By Product By Geography

Overseas31%

By Product By Geography

Liquid21%

Middle East (4)• Oman• Iran• Bahrain

Domestic69%

Gas79%South East Asia (11)

• Myanmar• Vietnam•Indonesia• Cambodia•Malaysia

Thailand (19)*

Reserves Replacement Ratio 0.98Reserve Life Index (year) 10

North Africa (3)• Algeria• Egypt

ProjectsExploration 19Development 5

Australasia (4)• New Zealand• Australia

Development 5Production 17Total 41

1313*Remark: Including overlapping area

PTTEP: Operating and Financial performancePotential growth through conventional E&P and M&A opportunities

Sales Revenue

Financial Performance2008 1H/09

%YoY %YoY Sales Revenue +46% -17%

1H/2009 Product Mix

By Volume By Revenue

90 764

132,621

Sales RevenueEBITDANI

Unit: MM Baht

EBITDA +44% - 20%Sales Revenue +46% -17%

Net Income +46% -44% Liquid33%Gas

67%Gas59%

Liquid41%

90,764

63,218 52,55865,957

95,054

47,340 37,74128,455 41,67521,902

12,243

67% 59%

Gas (US$/MMBTU) 5.41Liquid (US$/bbl) 46 6912,243

2007 2008 1H/08 1H/09

Sales Volume and Price2008 1H/09

Activities in 1H/2009

Liquid (US$/bbl) 46.69Avg. sales price (US$/BOE) 37.13

39 78 49.69 51.60

100Sales Vol. (BOED)Avg. Sales Prices ($/BOE) +25% -28%

+22% +8.5%

2008 1H/09 %YoY %YoY

Success ratio was 12:153 dry wells write-off with total

39.78 49.69 51.6037.13

0

50 expenditure of Bt 2,001 mmAustralasia (Jabiru/Challis) started sales in 2Q2009 sales volume was

179,767 219,314 207,533 225,119

-100

-50

2007 2008 1H/08 1H/0914Source: PTTEP analyst meeting

sales in 2Q2009 sales volume was approximately 5,900 BBLD

PTTEP: Sales Volume and Investment ProfileA substantial oil & gas reserve upside potential with continuous investment

Expected Sales VolumeExpected Sales Volume

300

350

’000 BOED

300 284 M9295 301

150

200

250

MTJDA

219240

Vietnam 16-1

Algeria

Australasia

0

50

100

150

Bongkot

Arthit North

MTJDA

Arthit

0

2009 2010 2011 2012 2013Others

Vietnam 16-1,BKT S th

Algeria M9Arthit North, MTJDAPTTEP AA (M t )

Q2 09 = 232,957 BOED

2008A

CAPEX 108,172 65,391 69,868 60,481 37,381 341,293 ~$9.5 bn

BKT SouthPTTEP AA (Montara)

Long Term Upside: Myanmar Projects, Phase II&III of Existing Projects, Exploration Projects in 13 Countries

Note : 2009 expenditures do not include 102 MMUSD cash received from unwinding oil price hedging instrument in Coogee Resources, FX = 36 Baht/US$ 15

OPEX

108,172 65,391 69,868 60,481 37,381 341,293

29,989 30,128 28,574 27,112 28,070 143,873

$

~$4 bn

PTT: Transmission Pipeline NetworkSole owner and major operator of transmission pipelines in Thailand

MYANMARLAOS Gas Transmission PipelinesGas Transmission Pipelines

PuhomCurrent Capacity of Current Capacity of 44,,380 380 mmscfdmmscfd

Current pipeline length: 3,498 km

YadanaWang Noi

Tha Luang Kaeng KhoiKarnchanaburi

Nampongp p g ,

- Onshore: 1,402 km

- Offshore: 2,096km

Yetagun Rayong

SBKRatchaburi Bang Pakong

CAMBODIA

E i ti 1 t Pi li

Key projects are strategically linked Key projects are strategically linked

and timely corresponding to meet and timely corresponding to meet Thap Sakae

BenjamasTantawanPlatong

Expansion Under Master Plan 3

Existing 2nd Pipeline

Existing 1st Pipeline

demanddemand

Khanom

Platong

PRPPailin Arthit

Bongkot

JDA

ErawanChevron Add.

Arthit FPSO

Pailin Add.

South BongkotTTM Pipeline

1616

JDA

Power Plant

Gas FieldCOD : Commercial Operation Date

Better performance from pipeline tariff adjustment despite flat demandPTT : Transmission Pipeline

Customer ProfileGas Sales Volumes (mmscfd) @ heat 1,000Existing pipeline’s capacity ~ 4,380 mmscfd

EGAT IPP SPP GSP Industry NGV

3 6063,655

2009 2008 2007 2006 2005+2% YoY

+10% QoQ +5% YoY

3 450

-0.2% YoY

3 4433 443

572 583 610 600

328 346 352 353 23 74 53 122

3,606

3,346

3,554 2008

3 443

1H/2009avg. 3,443

3,2723,450 3,4433,443

17%

10%4%

847 968 987 824

462 459 463 447

572 583 600

3,280

,

3,216 3,167

3,319 3,3183,284

3,1053,138

3,075 2006

2007avg. 3,272

avg. 3,443

24%

13%

1,040 1,013 985 1,097

847 968 987 3,016

3,075

2,9703,013

3,061

2,9402005

avg. 2,996

avg. 3,084

32%

2007 2008 1H/08 1H/091Q 2Q 3Q 4Q

The increased volume from EGAT and NGV was offset by the decreased volume from IPPs SPPs and GSP

17

The increased volume from EGAT and NGV was offset by the decreased volume from IPPs, SPPs and GSPReceipt Pipeline tariff adjustment of ~2 Bt/mmbtu (Td & Tc) or ~10% starting from Apr. 1, 2009 Expected natural gas demand for the year 2009 to be flat

PTT: Gas Separation PlantsGSP is designed to extract higher product value from natural gas

Gas Separation PlantGas Separation Plant

5 existing gas separation plants with

production capacity of ~4.1 MTAproduction capacity of ~4.1 MTA

GSP products price linked to world

market price

GSP #1-3 & #5

market priceRayongRayong

Production Capacity MTA

NakornsriNakornsri

Production Capacity MTA

- Ethane 1.1- Propane/LPG 2.6

N t l li 0 4

GSP #4

thammaratthammarat - Natural gasoline 0.4Total 4.1

18

PTT : Gas Separation PlantsPerformance dropped from lower selling prices

Product Prices ($/ton)Price

2008%YoY

1H/09%YoY

1,350 1,536

1,643

1,039 1,331 1,535 1,624

871 HDPE1/

HDPEPPNaphthaLPG-CP

+14%+15%+18%+28%

-37%-38%-51%-50%

1,001 625 740

871

423608

777 845

426

Feedstock (NG)

LPG2/

Naphtha3/

PP1/LPG CPFeedstock(NG)

28%+13%

50%+4%

221 250 243 253

2007 2008 1H/08 1H/09

93 97 96 94

Sales Volume (x 1,000 tons)

Note: 1/ SEA Spot 2/ Contract Price (CP 50:50) 3/ MOP’S

Feedstock (NG)

% Utl

241 180

93 97 96 94

Sales Vol. 2008

%YoY

T t l 3%

1H/09%YoY

1%3,944 4,066

+3% YoY

2 253 2 384

521 534

280 259

929 968

531 520

241 180

88 135Propane

Ethane

TotalPropaneEthaneNGL

+3%-25%+4%+2%

-1%+53%

-2%-8%

-1% YoY

12%25%6%

2,129 2,110

2,253 2,3841,230 1,196

280 259

2007 2008 1H/08 1H/09

NGL

LPG

19

LPG +6% -3%57%

12%

PTT : Oil BusinessMarket leader in oil retails at 34% market share with 1,069 gas stations nationwide (excl. PTTRM)

Unit : million liters

Oil Marketing : sales volume ~226 KBOE/d Thailand’s Market ShareThailand’s Market ShareAs of June As of June 20092009

PTTRM(Jet)-1% YoY

1 481 1 397 2,027 2,008

2,989 3,275 LPGGasoline 34%

19%3%

PTT

Others

-16% YoY

(Jet)14,278 14,181

7,7466 516

1% YoY

2,518 1,704 1,073 675

5,263 5,797 3,312 2,908

1,481 1,397

770 635 975 1,147

1,615 1,151 Jet/IK

DieselFuel Oil 8%

12%12%

12%

BCPShell

Caltex6,516

2007 2008 1H/08 1H/09Source : Department of Energy Business, Note : Excluded supply sales and LPG sold to Petrochem

Int’l Trading : trade volume ~984 KBOE/d

BCPESSO

Shell

Gross Margin Gross Margin –– Oil Mktg.Oil Mktg.Unit : Baht/Litre

Source : Department of Energy Business

47 40653,990

Unit : million litersUnit : Baht/Litre20072007

11H/H/0808

20082008+14% YoY 0.33

0.42

0.54

34 497 39,097

4,407 4,855

2,428 2,923

2,229 2,102

1,079 1,020

6,273 7,936

3,791 4,241

47,406,99

27,601 28,329Refined Product PetrochemC d

Trading MarginTrading Margin20072007

11H/H/0909+3% YoY

0.80

0 10

0.08

34,497 39,0920,303 20,145

,

2007 2008 1H/08 1H/09

CondensateCrude

20Source : PTT, Note : excluded inter company volume

11H/H/0808

20082008

11H/H/0909 0.06

0.10

0.10

PTT: CAPEX (Company Only)PTT plans to invest ~Bt 230 bn ($6.8bn) during 2009-2013, mostly into gas business expansion

CAPEX 2009 - 2013 229,340

CAPEX 2009 70 6965 Years CAPEX Breakdown

HO&Others

CAPEX 2009 70,696

82,515

Unit: MM BahtBy Business Unit

JVHO &Others

2%JV-LNG12%

25,8111,765

1,597 JVOilGas

70,69624%

Oil

3,580

1,92522,614

263 36,08541,569

Gas58%

4%

42,73753,182

8611,432

1,465

17,13713,956

8,567

1,087

801

748

24,89615,148

58% of total investment goes to Gas Business Group: Ethane

23,308 19,61014,063

3,252 1,478 9,671

2009 2010 2011 2012

Plant, GSP#6 and Pipeline#4.

Most of JV investment go to LNG Terminal and new opportunities20131H/09A

2121

2009 2010 2011 2012

Sources : PTT (Board approval on 22 Dec 2008) ; FX = Baht 34 per USD

Terminal and new opportunities20131H/09A

Major Projects Update : All projects are on track

LNG Receiving Terminal Phase IGas Separation Plant Unit6

Location : Map Ta Phut, RayongProj Cost : US$780 mm Capacity : 1,840 KTA

Location : Map Ta Phut, RayongProj Cost : US$880 mmCapacity : 5 MTACOD : 3Q/2011

Commissioning : 1Q/2010Progress : 96% (as of July 09)

COD : 3Q/2011Progress : 34% (as of July 09)Facilities : Tank, Jetty,

Regasification

Onshore Gas Pipeline #4Ethane Separation Plant

Location : Rayong Kangkoi

Location : Map Ta Phut, RayongProj Cost : US$560 mmC i 763 KTA

Location : Rayong - KangkoiProj Cost : US$ 1,040 mmCapacity : 1,400 MMCFDCOD : Phase I 2Q/2011

Capacity : 763 KTACommissioning : 1Q/2010Progress : 96% (as of July 09)

QPhase II 2012Phase III 2014

Progress : 98% of Engineeringf l

22

Design (as of July 09)EIA : Approved in Jun 09

Strategic Roadmap : Core Value CreatorsInfrastructure is under expansion to enhance capability to meet future gas demand

6,000

Gas Demand OutlookGas Demand OutlookUnit : mmscfd

3 000

4,000

5,000

6,000

Industry 20%

GSP 22%12%

1,000

2,000

3,000

Power 58%71%

17%

0

2008 2009 2010 2011 2012 2013Additional Additional

Source Source of Supplyof Supply

Arthit North JDA B17 Bongkot SouthLNGArthitJDA A18

PipelinePipeline

Project Completed

of Supplyof Supply

4th Onshore Pipeline ph 2

Pipeline

3rd Pipeline ph2

Offshore Compressor &4th Onshore Pipeline ph1

JDA A18

~4,380 ~4,380 ~5,580 ~6,980 ~6,980

GSP#6 Ethane Plant

Pipeline Capacity

~4,380 mmscfd

Project Completed

2323

~4.1 GSPGSP

~6.7 ~6.7 ~6.7 ~6.7Production Capacity ~4.1 mta

Note : Pipeline capacity include onshore pipeline to Namphong field of 140 mmscfd

Petrochemical Affiliates Lower product prices impacted performance

93% 99% 102% 112%PTTCH (PTT 49.30%)

Unit : MM Baht

Product Prices

Unit : US$/Ton HDPE % Utl

25,343 20,258

16 014 19,167

85% 84% 93% 92%

1,355 1,350 1,536

1,643

1 178 1 193

Olefins % Utl

16,014

5,931

,

11,739 10,994

1,747

2007 2008 1H/08 1H/09

1,079 952

501

1,039 1,178 1,193 1,311

685

62 740

871

HDPE1/

Ethylene1/

MEG2/

Naphtha3/ 2007 2008 1H/08 1H/09EBITDA NI

625 423

2007 2008 1H/08 1H/09 HMC (PTT 41.44%) PP 450 KTA

Naphtha3/

2,419 2 26

85% 87% 89% 98%

1 1511,320 1,408

1,331 1,535

1,624

1,001 PP1/

% Utl

2,419 2,084

1,248 1,473

2,265

1,380 964 1,068

1,151

734625

740 871

423

Propylene1/

Naphtha3/

PP1/

2007 2008 1H/08 1H/09EBITDA NI

2007 2008 1H/08 1H/09

Note : 1/ SEA spot 2/ NEA Spot 3/MOP’S Source : ICIS 24

New businesses are under development to utilize assets, enhance competitiveness, and diversify risks

55

Petrochemical: Strategic Roadmap - Integrated Value Enhancers

201120112010201020092009 55--year year CAPEXCAPEX

Propylene 50 KTA Ethylene 100 KTADebotDebot II44--22 $$5757MMMM

LDPE 300 KTA

20122012--20132013Unit : MM USDUnit : MM USD

(49.30%)

Company (PTT Stake)

Ethylene 1,276 KTAPropylene 437 KTAHDPE : PTTCH 250 KTAHDPE : BPE 250 KTAPS : TSCL 90 KTA

opy e e 50

Ethylene 1,000 KTA

LDPE 300 KTA

$$11,,300300MMMMEthane CrackerEthane Cracker

LDPE/LLDPE LDPE/LLDPE

MPR 14 KTA(Fatty Alcohol Derivatives)

$$1919MMMM

PS : TSCL 90 KTAMEG : TOCGC 395 KTAEthoxylates : TEX 50 KTAME/FAOH/ 331 KTAGlycerin : TOL

1,135

Ethanolamines 50 KTAEO DerivativesEO Derivatives $$5151MMMM

LLDPE 400 KTA

HDPE E i

//

FAOH/Fatty Acids/ 962 KTAGlycerin/Specialty:(50% COM)VCM : (25% VNT) 481 KTA

PhenolPhenol

: BPEHDPE 250 KTA

HDPE Expansion: PTTCH (I-1)HDPE 50 KTA

$$1515MMMM

BisBis PhenolPhenol AA$$283283MMMM $$251251MMMM

$$168168MMMM

190Phenol 200 KTAAcetone 124 KTA

PhenolPhenol

PDH/PPPDH/PP

BisBis--PhenolPhenol--AA

$$636636MMMM

$$283283MMMM $$251251MMMMBPA 150 KTA(40.00%)

(41.44%)

PP 450 KTA

180

603

Propylene 310 KTAPP 300 KTA

AN 200 KTAAN/MMAAN/MMA $$760760MMMM(48.50%)

2525

22,,108108Grand Total

MMA 70 KTA

Note : FX = 34 Baht/US$

Refinery Business in ThailandPTT as the strong leadership position, ensures stable supply to downstream and related businesses

PTT Group represents PTT Group represents 3636% of total refining capacity% of total refining capacity by equity portionby equity portion

Total refining capacityTotal refining capacityg p yg p y~ ~ 11,,234 234 kbpdkbpd

TOP (275 kbpd)(PTT 49.10%)

ESSO (177 kbpd)

RPC (17 kbpd)

BCP (120 kbpd)(PTT 29.75%)

IRPC (215 kbpd)(PTT 36.77%) • TOP/SPRC/PTTAR – complex refineries

with potential for upgrade &SPRC (150 kbpd)(PTT 36.00%)

PTTAR (280 kbpd)

with potential for upgrade & expansion.

• BCP is undertaking “Product Quality

Note : Data as of 31 Dec 2008

(PTT 48.66%) Improvement” project to enhance product mix.

26

Refining Associates’ GRM & GIMLower market GRM & GIM from decelerated oil demand

Market GRM * Market GIM *

10

13

GRM ($/bbl)

2008 (avg)99..33 10.2

10

13 GIM ($/bbl)

2008 (avg) 1H/2009 (avg)

5

8 55..88

2008 (avg)

44..2244..5533 66

55..9933..22

1H/2009 (avg)

5.8

4.2

5.8 5.35

8

10 55..99 55..55

0

3

33..6622..22 2.3

0

3

5

1Q/08 2Q/08 3Q/08 4Q/08 1Q/09 2Q/09

$/bbl 2008 1H/08 2H/08 1H/09

1Q/08 2Q/08 3Q/08 4Q/08 1Q/09 2Q/09

$/bbl 2008 1H/08 2H/08 1H/09

Market GRM 5.8 6.8 4.7 3.2

Note: Weighted Average Market GRM of PTT’s associates’ complex refineries(TOP, PTTAR and SPRC)

Note: Weighted Average Market GIM of PTT’s associates’ integrated refineries(TOP, PTTAR and IRPC)

Market GIM 5.9 8.0 3.3 5.5

27

Refining Associates Declined performance from lower GRM despite better P2F margin

EBITDA NI %Utl

96 100 102 101

TOP 275 kbpd (PTT 49.10%) Unit : MM Baht

SPRC 150 kbpd (PTT 36%)

17,415 12 051 12 236

10187 97 106

28,959

7,949 23,058

13,935 19,118

224

14,420 8,473

(7,098)12,051

7,322 12,236

(5,446)8,395

4,774

2007 2008 1H/08 1H/09100

2007 2008 1H/08 1H/09

PTTAR 280 kbpd (PTT 48.66%)

26,588

(3,833) 10,023 11,91618,018

91 8797 100

55 62 60 69

BCP 120 kbpd (PTT 29.75%)

(3,833)(8,465) 5,591 5,956

2007 2008 1H/08 1H/09

IRPC 215 kbpd (PTT 36.77%)

3,977 530

4,324 7,046

1,764 (750)

2,697 4,293

55

14,132 9,054

5 868 13,683

81 81 8561

p ( )2007 2008 1H/08 1H/09

(13,234),

5,868 ,

(18,262)6,754 4,044

2007 2008 1H/08 1H/0928

New businesses are under development to utilize assets, enhance competitiveness, and diversify risks55 yearyear

Refining Strategic Roadmap : Integrated Value Enhancers

2013201320102010 20112011 20201212 55--year year CAPEXCAPEX(MM$) (MM$)

PP Ethanol Project (JV)

Refining CapacityRefining Capacity

20092009

177TOP

TOP Ethanol Project (JV)

200,000 Litre/DayProject Cost $60 MM

(TOP 30%)

TLB Specialties-TDAEProject Cost $25 MM

EURO IVProject Cost $30 MM

~ 275,000 bpd

~ 280,000 bpd

PTT

AR

PTT

AR

GT Nox + Bio-diesel + VRUProject Cost $ 73 MM

428DHDS (EURO IV)Project Cost $ 221 MM

Synergy Project - PSA Project Cost $ 35MM

Efficiency ImprovementProject + MRU

127Ethanol ProjectCP

CP

PQI ProjectVDU 35 KBDHCU 25 KBD

jjProject Cost $12MM

127~ 120,000 bpd EURO IVProject Cost $40 MM

Ethanol Project200 k.litre/Day

(Project Cost $ 68 MM)(BCP 40%)

BC

BC Project Cost $378 MM

Bio diesel Project (JV) 300,000 Litre/Day

Project Cost $30 MM(BCP 70%)

274~ 215,000 bpdPropylene BoosterProject Cost $ 88 MMPower Plant 216 MW

Project Cost $ 220 MM

HDPE CompoundProject Cost $ 13 MM

IRP

CIR

PC

29

Grand Total

Project Cost $ 220 MM

1,021Note :FX=35 Baht/US$

PTT International : An Overseas Investment Arm of PTTPTT holds 100%

PTT

PTT I t

100%East Mediterranean Gas Company S.A.E. (EMG )

l ff h lPTT Inter

EMG

25%

PTT APM60%

Own an export terminal in Egypt, offshore NG pipeline from Egypt to Israel (~677 mmcfd capacity) and a receiving terminal in IsraelEMG buys NG from Egypt and sells to end-users in Israel

d 15 EMGthrough Lints

SAR

47.1%

under 15 yrs agreementStart delivery of NG to Israel since Jul 1, 2008, current gas flow ~205 mmcfd.

Performance

Revenue EBITDA NI

Sales Volume and Price

Average Selling Price US$/Ton

265315

Revenue EBITDA NI

Unit : MM US$77 85 85

6485

Unit : KT

162 140 176

62 65 62100

126

38 36 58 57

2,162 1,652 2,101

4,197 3,753

30

38 36 21

2Q/08 1Q/09 2Q/09 1H/08 1H/09 2Q/08 1Q/09 2Q/09 1H/08 1H/09Note: The average selling price is FOB basis

ContentsContents

Introduction to PTT

About Thailand

Introduction to PTT


l k


2H/2009 Outlook

31

Financial Highlights

Unit : MM Baht 2007 2008 %YoY 1H/08 1H/09 %YoY

Sales & Services 1,508,129 2,000,816 33% 1,082,559 690,565 (36%), , , , , , , ( )

Cost of sales (excl. DD&A) 1,328,906 1,801,702 36% 994,856 627,160 (37%)

EBITDA 145,971 156,133 7% 82,293 61,417 (25%)

Depreciation, depletion and amortization 28,840 32,170 12% 14,628 19,595 34%

Shared income(loss) from assoc. 31,080 (6,251) (120%) 21,093 10,432 (51%)

Financial Charges 10,459 10,528 1% 5,433 6,313 16%Financial Charges 10,459 10,528 1% 5,433 6,313 16%

Gain (loss) from FX. 5,392 (1,982) (137%) 1,226 2,225 81%

Tax Expense 38,655 43,333 12% 22,806 17,110 (25%)

-PTT 13,144 9,909 (25%) 6,187 4,526 (27%)

-PTTEP 22,946 32,879 43% 16,296 11,472 (30%)

-Others 2 565 545 (79%) 323 1 112 244%Others 2,565 545 (79%) 323 1,112 244%

Net Income Before Gain 92,945 51,262 (45%) 56,017 27,344 (51%)

Gain on Divestment/Investment 4,859 443 (91%) - - -

32

Net Income 97,804 51,705 (47%) 56,017 27,344 (51%)

EPS (Baht/share) 34.82 18.33 (47%) 19.88 9.68 (51%)

Net Income (Equity Method)

Unit : MM Baht 2007 2008 %YoY 1H/08 1H/09 %YoYNet Income (Cost Method) 63,225 59,994 (5%) 37,367 17,498 (53%)Less: Dividend Received (19,434) (27,616) 42% (16,633) (8,866) 47%Less: Dividend Received (19,434) (27,616) 42% (16,633) (8,866) 47%

Gain from Investment Disposal (8,274) (34) (100%) - - -Net Operating Income 35,517 32,344 (9%) 20,734 8,632 (58%)E&P - PTTEP 18,378 27,605 50% 14,581 8,080 (45%)( )Petrochem - PTTCH 9,734 5,689 (42%) 5,601 918 (84%)

- HMC, PPCL, PTTPL, PTTPM, etc . 774 491 (37%) 449 405 (10%)10,508 6,180 (41%) 6,050 1,323 (78%)

Refinery - TOP 9,272 119 (99%) 6,131 3,873 (37%)- PTTAR 9,583 (3,315) (135%) 2,877 1,545 (46%)- SPRC 4,360 (1,858) (143%) 2,504 2,022 (19%)- IRPC 4,269 (6,427) (251%) 2,773 1,315 (53%)- BCP 498 (211) (142%) 809 1,241 53%

27,982 (11,692) (142%) 15,094 9,996 (34%)Gas & Utilities TTM PTTNGD PTTINTER etc 889 (1 652) (286%) (101) (1 491) n mGas & Utilities - TTM, PTTNGD, PTTINTER, etc . 889 (1,652) (286%) (101) (1,491) n.m.Coal - PTTAPM - - - - 141 -Oil & Others - PTTRB, PTTT, PTTGE, etc. (330) (1,523) 362% (341) 663 294%Total Share of Net Income from Affiliates/JV 57 427 18 918 (67%) 35 283 18 712 (47%)

33

Total Share of Net Income from Affiliates/JV 57,427 18,918 (67%) 35,283 18,712 (47%)Gain on Divestment/Investment 4,859 443 (91%) - - -Net Income (Equity Method) 97,804 51,705 (47%) 56,017 27,344 (51%)

Balance Sheets : Maintain Liquidity & Financial Strength

Unit : MM Baht• Completion of

• 100% Coogee acquisition by PTTEP

Strong Financial Position

• 3rd pipeline started commissioning

• De-conso. PTTCH

11%%

Co p e o oArthit-MTJDA Pipeline

• 60% SBI acquisition

++1818%% 1,042,48014.0 14.8

10.8

ICRICR

198,549 81,190 90,819

96,434 258,479

Other Liabilities

--11%%

Cash & S/T Invest

891,524 885,193

0 4 0 4 0 50.6 0.6

0.7 1.0 1.0

2.0 Net Debt/EBITDANet Debt/EBITDA

Net Debt/EquityNet Debt/EquityIBD/EquityIBD/Equity

293,535

233,628 152,595

239 126

323,766

271,873 215,531 Other

CurrentAssets

L/TLiabilities(incl. due within 1 yr)

0.4 0.4 0.5

2007 2008 1H/09

• Expected higher Net Debt/EBITDA due to

261,563 267,165 220,999

239,126 Others

Non-currentAssets

within 1 yr)

Sh h ld ’

Expected higher Net Debt/EBITDA due to economic crisis.

• PTT international ratings are comparable to sovereign ratings

315,143 374,614 453,962 398,652 430,536

460,235

PP&E

Shareholders’Equity

− FC : Moody’s (A3), S&P (BBB+),

JCR (A-), FITCH (BBB)

− LC : Moody’s (A2), S&P (BBB+),

JCR (A+) FITCH (A )

3434Note : Figures after restatement at ending periods

2007 2008 1H/09

JCR (A+), FITCH (A-)

Debt portfolio is structured to natural hedge and minimize financial risks

Debt Profile : Control Cost & Manage Risk

Consolidated debt ~Bt314 bn ($9.2 bn)Consolidated debt ~Bt314 bn ($9.2 bn)Debt PortfolioDebt Portfolio

ConsolidatedConsolidatedPTT OnlyPTT Only

THB

PTTEP18%

Others: PTT Inter 3.0%: TTM 3.0%

: Cost of debts ~ 5.0%: % fixed-rate ~ 83%: Avg. debt life ~ 6.6 years

: Cost of debts ~ 5.4%: % fixed-rate ~ 91%: Avg. debt life ~ 7.3 years

8,238

THBUSDYen

PTT72%

Others10%

: .: Enco 1.6%: HMC 1.4%: PTTAC 0.5%: DCAP 0.2%

Unit : Bt mm

313,753

(3%)

70 527

79,226

8,966 8,238 6,893

8,966

(3%)

238,614

192,240 (4%)PTT’s repayment schedule (Company Only)PTT’s repayment schedule (Company Only)206,300

220,361225,807

(4%)

(25%)

226 289

45,094 58,564 56,846 53,945 70,527 6,893

8,966

8,238

~44% of total debt (Bt100 bn) will be repaid within 5 years.

( )

(23%)

(25%)

126,203

(29%)(5%)

(28%)

(4%) (25%)

140,253 138,770 160,723 159,523 159,121

226,289

57,39479,754

1 685 2 982

13,968

38,211,

(72%)(73%)

10,322 17,920

71,362(67%)

(67%)(71%)

(72%)

35

2007 2008 1H/09 2007 2008 1H/09

Note : Data as of 30 Jun 2009 (THB/USD = 34.1693, THB/JPY = 0.358174) Excluding liabilities from finance leases; Cost of debts includes withholding tax

8,637 14,938,

1,685 2,982

< 1Yr 1-2 Yr 2-5 Yr > 5 YrPTT JPY PTT USD PTT THB

ContentsContents

Introduction to PTT

About Thailand

Introduction to PTT



2H/2009 Outlook

36

2H/2009 Outlook

Crude oil price has strengthened from $36/bbl at end-December 2008 to

$72/bbl at end-June 2009 with average of $51/bbl for 1H/2009, partly due

to the perception that global economy is starting to recover. For 2H/2009,

crude oil price is expected to move in the $60-$70/bbl range with

enormous uncertainty surrounding ; pace of global economic recovery,

OPEC’s production, countries’ inventory levels etc.

Market GRM is expected to weaken to ~$2-$4/bbl.Market GRM is expected to weaken to $2 $4/bbl.

To cope with oil price fluctuation, PTT enhances risk management

g th G i il i h dgi g k d h dgi g tprograms across the Group, i.e. oil price hedging, crack spread hedging etc.

Petrochemical price in 2H/2009 is expected to weaken due to the addition

3737

of significant new production capacity, especially in the Middle East.

Thank youThank youyouyou

3838

PTT Public Company Limited – Capital Market & Investor Relations DepartmentTel. +66 2 537-2792, Fax. +66 2 537-2791, Email: [email protected], http://www.pttplc.com/

Create Value Through Business ChainPTT Group has strong presence in various sectors throughout the hydrocarbon value chain

39

Subsidiaries ConsolidatePTT Exploration & Production Plc. PTTEP 65.53%

Subsidiaries ConsolidatePTT (Cambodia) Co., Ltd. PTTCL 100.00%S bi C d S C 100 00%

Petrochemical Subsidiaries ConsolidatePTT Polymer Marketing Co., Ltd. PTTPM 50.00%PTT P l L i ti C Ltd PTTPL 100 00%

Petrochemicals & Refining Business GroupE&P and Gas Business Group Oil Business Group

PTT Natural Gas Distribution Co., Ltd. PTTNGD 58.00%PTT LNG Co., Ltd. PTTLNG 100.00%Combined Heat and Power producing Co., Ltd CHPP 100.00%PTT International Co., Ltd. PTTINTER 100.00%

Joint Ventures ProportionateTrans Thai-Malaysia (Thailand) Co., Ltd. TTM (T) 50.00%

Subic Bay Energy Co., Ltd. SBECL 100.00%PTT Retail Business Co., Ltd. PTTRB 100.00%PTT Green Energy Pte. Ltd PTTGE 100.00%Retail Business Alliance Co., Ltd. RBA * 49.00%Business Service Alliance Co., Ltd. BSA * 25.00%

Associates EquityK l il PTT LPG Sd Bhd KPL 40 00%

PTT Polymer Logistics Co., Ltd. PTTPL 100.00%PTT Tank Terminal Co., Ltd. PTTTANK 100.00%

Associates EquityPTT Chemical Plc. PTTCH 49.30%PTT Phenol Co., Ltd. PPCL 40.00%IRPC Plc. IRPC 36.77%PTT Maintenance and Enginee ing Co Ltd PTTME 40 00%Trans Thai-Malaysia (Malaysia) Sdn. Bhd. TTM (M) 50.00%

District Cooling System and Power Plant DCAP 35.00%

Associates EquityThai Oil Power Co., Ltd. TP 26.00%Independent Power (Thailand) Co., Ltd. IPT 20.00%PTT Utility Co., Ltd. PTTUT 40.00%

Keloil-PTT LPG Sdn. Bhd. KPL 40.00%Thai Lube Blending Co., Ltd. TLBC 48.95%Vietnam LPG Co., Ltd. VLPG 45.00%Thai Petroleum Pipeline Co., Ltd. THAPPLINE 33.19%PetroAsia (Thailand) Co., Ltd. PA(Thailand) 35.00%

Others CostPTT M t C Ltd PTT M t 49 00%

PTT Maintenance and Engineering Co., Ltd. PTTME 40.00%

Joint Ventures ProportionateHMC Polymers Co., Ltd. HMC 41.44%PTT Asahi Chemical Co., Ltd. PTTAC 48.50%

Refining Associates EquityThaioil Plc TOP 49 10%

Others CostRatchaburi Power Co., Ltd. RPCL 15.00%

PTT Mart Co., Ltd. PTT Mart 49.00%PetroAsia (Huizhou) Co., Ltd. PA(Huizhou) 25.00%PetroAsia (Maoming) Co., Ltd. PA(Maoming) 20.00%PetroAsia (Shantou) Co., Ltd. PA(Shantou) 15.00%Intoplane Services Co., Ltd. IPS 16.67%Fuel Pipeline Transportation Co., Ltd. FPT 2.76%

Oth F i V l

Thaioil Plc. TOP 49.10%PTT Aromatics and Refining Plc. PTTAR 48.66%Star Petroleum Refining Co., Ltd. SPRC 36.00%Bangchak Petroleum Plc. BCP 29.75%

Others Fair ValueBangkok Aviation Fuel Services Plc. BAFS 7.06%

International Trading Business Group

Others

Subsidiaries ConsolidatePTT International Trading Pte. PTTT 100.00%

4040

Others Fair ValueDhipaya Insurance Plc. TIP 13.33%

Subsidiaries ConsolidateEnergy Complex Co., Ltd. EnCo 50.00%

* Remark : Subsidiaries that PTT holds less than 50% but being consolidated because PTT has the power to control the financial and operating policies.Data as of 30 June 2009

Associates EquityPTT ICT Solutions Co., Ltd. PTTICT 20.00%

Oil and gas are major sources of energy and likely to remain so for many yearsEnergy Consumption : Growing along with Economic Expansion

Energy consumption forecast (CAGR during 2009-2020): Total ~ 4%: Gas ~ 4%: Oil ~ 2%: Coal ~ 4%kboed 22,,410410: Hydro ~ 12%2,500

ll

Hydro/OthersHydro/Others1818%%

66%%

22,,410410

2,000 CoalCoal

22%%

11,,624624

1,500

4545%%

1919%%

22%%

11,,144144

1,000 GasGas4040%%

3333%%

1414%%

500

OilOil3939%% 3131%%5151%%

41

02000 2003 2006 2009 2012 2015 2018

Source : EPPO (Exclude Renewable Energy)/PTT

Natural Gas : Strong and Increasing Demand over Long TermNatural gas is a fuel of choice for power producers and increasingly transportation industry

mmscfd

Gas demand forecast (CAGR during Gas demand forecast (CAGR during 20082008--20212021)): Total ~ : Total ~ 44%%: Power ~ : Power ~ 33%%: GSP ~ : GSP ~ 55%%

I d tI d t 66%%

6,000

mmscfd : Industry ~ : Industry ~ 66%%: NGV: NGV ~ ~ 1111%%

NGVNGV55%%

5,000

GSPGSP

IndustryIndustry

33,,443443

2020%%

1313%%

3,000

4,000 GSPGSP

1717%%

33,,443443

1010%%

1313%%22%%

2,000

1717%%

88%%

11,,970970

6262%%1515%%

1,000PowerPower

7777%%

7171%%

4242

0

2000 2003 2006 2009 2012 2015 2018 2021Source : PDP 2007 (Revision 2)

PTT: Natural Gas Sales Customer Breakdown During 1998 - 2008

By Unit By percentagemmscfd

ปรับ

9%

16%

7%

17%

12%

420 GSP

Industry3,443

9%

13%

28%

459

583

SPP

GSPIndustry

IPP

SPP

1,570

69%

28%

968

1 083

104

135248 IPP

SPP

EGAT 30%1,0131,083

EGATEGAT

Power producers are still major buyers of NG supply (~70%)EGAT proportion is decreasing while IPP and SPP is increasing

43

Industrial usage proportion, with higher margin, is increasing

Natural Gas Price StructureGas prices are mostly agreed under long-term contracts and volatility pass-through to ensure stable returns

CustomersCustomersSales Price StructureSales Price Structure

Gas Pool PriceGas Pool Price Supply MarginsSupply Margins Pipeline TariffsPipeline Tariffs+ +

Power Producers ~ Power Producers ~ 6969%%

: EGAT ~ : EGAT ~ 3232%% 11..7575%%22 //

: IPP ~ : IPP ~ 2424%%

: SPP ~ : SPP ~ 1313%%

Average Purchased Average Purchased Gas PriceGas Price

11..7575%%

99..3333%%

~ ~ 2121..7 7 Bt/Bt/MMBtuMMBtu(Td (Td 2020..6553 6553 ++

TcTc 11..11121112))

GSP ~ GSP ~ 1717%% Charged at the same price structure of power producersCharged at the same price structure of power producers

Petrochemicals Feedstocks:

Ethane, Propane, LPG Profit-sharing mechanism based on market prices of petrochemicals

Reference to Saudi Aramco’s contract price

NGL Reference to Naphtha market price

Local Cooking Gas

Export Cooking Gas

Ex-refinery price being capped at Bt 10.996/kg or ~315 USD/ton

Reference to Saudi Aramco s contract price

Industry ~ Industry ~ 1010%% Charged at prices comparable to fuel oilCharged at prices comparable to fuel oil

NGV NGV ~ ~ 44%% Charged at prices competitive to dieselCharged at prices competitive to diesel

Export Cooking Gas

4444

• Thailand's Energy Regulatory Commission has approved an increase in pipeline tariff (Td+Tc) from 19.7 to 21.7 Bt/MMBtu effective on 1 April, 2009.

Note : 2Q/2009 data

• Contract periods are ~ 25-30 years or until depletion of gas fields or the expiration of concessions

Performance Highlights in 2Q/2009

PTT• On July 31, 2009, PTT issued Baht debentures in the total amount of Bt 35,000 mm.• At the end of July 2009, The Office of the Council of State issued an opinion that the

relevant government authorities may issue permits or licenses if operators (including PTT & its affiliates) have complied with the existing laws and regulations (i.e. guidelines for EIA preparation & approval process)preparation & approval process)

Oil Business

The government agreed to reimburse PTT the differences between PTT's LPG imported • The government agreed to reimburse PTT the differences between PTT s LPG imported costs and the cap price. The amount incurred by PTT in 2008 was ~Bt 7.9 bn. Up until August 17, 2009, PTT has received ~Bt 2.45 bn and will receive ~ Bt 400 mm per month from September 2009. For those of 2009, PTT will receive < Bt 500 mm per month. from September 2009. For those of 2009, PTT will receive Bt 500 mm per month.

• From Jan – July, 2009, PTT imported ~240,000 tons of LPG and the outstanding account receivables – Oil Fund (imported LPG) as of August 17, 2009 was ~Bt 6,443 mm

4545

Performance Highlights in 2Q/2009 (Continued)

PTTEP• On May 29, 2009 ,PTTEP issued Baht debentures in the total amount of Baht 40,000 mm.• Entered into “Zero Collar” oil price hedging at $55 - $86/bbl (Brent) for 20,000 bpd in

2H/2009, with total volume of 3.6 million barrels.• BOD approved an interim dividend payment at 1.48 Bt/share or 40% payout to be paid on pp p y p y p

August 28, 2009.Gas Business

• Energy Regulatory Commission approved pipeline tariff adjustment of Bt 2 0218/mmbtu Energy Regulatory Commission approved pipeline tariff adjustment of Bt 2.0218/mmbtu (Td & Tc) from Bt 19.7447/mmbtu to Bt 21.7665/mmbtu, up ~10%, effective on April 1, 2009 onward.

4646

Performance Highlights in 2Q/2009 (Continued)

Refining BusinessPTTAR• On April 30, 2009, PTTAR issued 5-year debentures in the total amount of Bt 15,000 mm

with 5.5% p.a. interest rate.• During April 26 – May 2, 2009, the Hydrocracking Unit “HCU” at the refinery (AR1) was

shutdown to fix the leakage at the reboiler of the HCU. BCP • On May 21, 2009, the HCU, a part of the PQI Project, was shutdown to repair the pumping On May 21, 2009, the HCU, a part of the PQI Project, was shutdown to repair the pumping

and valves’ control system, damaged during the commissioning process.

Coal Business• On June 15, 2009, Lints has completed the Mandatory General Offer for all the remaining

shares of Straits Asia Resources (SAR). The Offer has not become unconditional in accordance with the terms of the Offer, thus the total numbers of SAR shares owned and controlled by Lints remains unchangedcontrolled by Lints remains unchanged.

4747

Performance Highlights : RevenuesHigher revenue QoQ from increased prices and volume

117 104

Crude Dubai (US$/bbl) -50% YoY+34% QoQ -50% YoY

2Q/09 Revenue Breakdown44 59

10451

Unit : MM Baht 1,082,559-36% YoY

18%7%

Petrochem

Gas

PTTEP

US$ 11,114 mm

Coal

589,451

-34% YoY+28% QoQ

303 509 387 056

690,565

23%49%

2%1%

Oil Marketing

Int’l Trading

OthersCoal

303,509 387,056 gTrading

Note : Excluding eliminations2Q/08 1Q/09 2Q/09 1H/08 1H/09


2Q/08 1Q/09 2Q/09 %YoY %QoQ 1H/08 1H/09 %YoY


Others - 207 190 - -9% - 398 -Coal - - 4,823 - - - 4,823 -Petrochem 10,554 6,783 7,952 -25% 17% 19,400 14,735 -24%PTTEP 37,798 26,018 28,567 -24% 10% 64,969 54,585 -16%G 76 897 72 472 78 648 2% 9% 146 630 151 120 3%

48Note : All figures after restatement; Segmentation of Revenues do not include eliminations

Gas 76,897 72,472 78,648 2% 9% 146,630 151,120 3%Int'l Trading 360,748 147,673 207,356 -43% 40% 651,346 355,029 -45%Oil Marketing 156,893 86,503 95,753 -38% 11% 289,719 182,256 -37%

Performance Highlights : EBITDAImproved EBITDA QoQ from higher margins & volume and started recognition of new coal assets

117 1042Q/09 EBITDA Breakdown


44 59104

51

Unit : MM Baht

45 661

-23% YoY+33% QoQ

-25% YoY82,293

61,417G

US$ 1,007 mm

Petrochem1%

Others-2%Oil Mkt

10% Int’ Trd2%

Coal4%

045,661

26,36135,056

26%59%

Gas

PTTEP

TM 15.8%S&M 0.4%GSP 8%Others 2%


2Q/08 1Q/09 2Q/09 1H/08 1H/09

EBITDA Margin

2Q/08 1Q/09 2Q/09 %YoY %QoQ 1H/08 1H/09 %YoYOthers -523 -316 -567 -8% -79% -1 022 -883 14%

7.7% 8.7% 9.1% 7.6% 8.9%EBITDA Margin


Others -523 -316 -567 -8% -79% -1,022 -883 14%Coal - - 1,515 - - - 1,515 -Petrochem 245 248 365 49% 47% 582 613 5%PTTEP 28,915 18,069 20,375 -30% 13% 48,799 38,444 -21%Gas 16,070 5,594 9,215 -43% 65% 29,572 14,809 -50%

49Note : All figures after restatement; Segmentation of EBITDA do not include eliminations

: Petrochem subsidiaries = PTTPM, PTTPL, PTTAC, HMC, PTT TANK Other subsidiaries = ENCO, PTTICT, BSA

Gas 16,070 5,594 9,215 43% 65% 29,572 14,809 50%Int'l Trading 794 690 637 -20% -8% 2,309 1,326 -43%Oil Marketing 178 2,063 3,484 1857% 69% 2,141 5,548 159%

Performance Highlights : Net IncomeEarnings surged 167% QoQ contributed by all businesses

2Q/09 Net Income Breakdown


117 104

-1%1%Unit : MM Baht

US$ 571 mm

-33% YoYPTT

Other Affi.

56,017

27 344

-51% YoY

Coal44 59104

51

35%37%29,885

33% YoY+167% QoQ

19,895

7,449

RefiningAsso.

27,344

PTT PTTEP Petrochem Affi. Refining Asso. Coal Other Affi.

21%7%

PetrochemAffi. PTTEP

2Q/08 1Q/09 2Q/09 1H/08 1H/09

2Q/08 1Q/09 2Q/09 %YoY %QoQ 1H/08 1H/09 %YoY

EPS (Baht per Share)

10.60 2.64 7.04 19.88 9.68

2Q/08 1Q/09 2Q/09 %YoY %QoQ 1H/08 1H/09 %YoYOther Affi. -988 -697 -131 87% 81% -442 -828 -87%Coal - - 141 - - - 141 -Refining Asso. 10,404 2,649 7,347 -29% 177% 15,094 9,996 -34%Petrochem Affi. 3,007 -31 1,354 -55% 4468% 6,050 1,323 -78%

50

PTTEP 8,573 3,787 4,293 -50% 13% 14,581 8,080 -45%PTT 8,898 1,741 6,891 -23% 296% 20,734 8,632 -58%Note : Other Affiliates comprise of Affiliates in Gas (PTTNGD, PTTINTER, etc.), Utilities (DCAP, PTTUT, etc.), Oil (PTTT, PTTRB, PTTGE, etc.), Others (ENCO, PTTICT, etc.)

Demand recovery with pipeline tariff adjustmentPTT : Transmission Pipeline


Customer ProfileGas Sales Volumes (mmscfd) @ heat 1,000Existing pipeline’s capacity ~ 4,380 mmscfd


3 6063,655

2009 2008 2007 2006 2005+2% YoY

+10% QoQ+2% YoY

+10% QoQ3,554

3 450

-0.2% YoY

3 4433 606

622 586

613 610 600

353 341

365 352 353

60 118

126 53 122 3,606

3,346

3,554 2008

3 443

1H/2009avg. 3,443

3,5543,280 3,450 3,4433,606

17%

10%3%

17%

10%4%

1,002 741

907 987 824

458 442

452 463 447

586

3,280

,

3,216 3,167

3,319 3,3183,284

3,1053,138

3,075 2006

2007avg. 3,272

avg. 3,443

25%

13%

24%

13%

1,059 1,052 1,143 985 1,097

3,0163,075

2,9703,013

3,061

2,9402005

avg. 2,996

avg. 3,084

32% 32%

2Q/08 1Q/09 2Q/09 1H/08 1H/091Q 2Q 3Q 4Q

2Q/2009 demand increased QoQ from all customer groups

51

Q Q Q g pReceipt Pipeline tariff adjustment of ~2 Bt/mmbtu (Td & Tc) or ~10% starting from Apr. 1, 2009 Expected natural gas demand for the year 2009 to be flat

PTT : Gas Separation PlantsHigher product prices, lower feedstock cost reflected better GSPs’ performance QoQ

1 643 1 738

Product Prices ($/ton)Price

2Q%QoQ %YoY

1H%YoY

1,679934

1,144

1,643

1,039

1,738

1,116

1,624

1,001

948 871 HDPE1/

PP1/

HDPEPPNaphthaLPG-CP

+22%+26%+25%-10%

-32%-36%-50%-53%

-37%-38%-52%-50%

887, 1,001

375

470 423857 448

405

845

426

243 262 243 243 253

2Q/08 1Q/09 2Q/09 1H/08 1H/09

Feedstock (NG)LPG2/Naphtha3/

LPG CPFeedstock(NG)

10%-7%

53%0%

50%+4%

2Q/08 1Q/09 2Q/09 1H/08 1H/09Sales Volume (x 1,000 tons)

Note: 1/ SEA Spot2/ Contract Price (CP 50:50) 3/ MOP’S

97 95 96 9% Utl

Sales Vol. 2Q

%QoQ %YoY

T t l 5% 2%

1H%YoY

1%

-1% YoY

6%

2,129 2,110-2% YoY5% Q Q

97 95 93 96 94

88 135TotalPropaneEthaneNGL

+5%-7%

+12%+9%

-2%+67%+3%-8%

-1%+53%

-2%-7%

1,0301,101

57%

12%

25%

6%

1,080

+5% QoQ

147

280 259

266245 275

531 520

39 70 65

88 135Propane

Ethane

NGL

52

LPG +2% -7% -3%57%

649 591 6051,230 1,196147 124 135

2Q/08 1Q/09 2Q/09 1H/08 1H/09

LPG

PTTEP: Operating and Financial performanceBetter oil price, higher volume, full Quarter realization of PTTEP AA (Coogee)’s performance

Sales Revenue

Financial Performance 2Q/2009 Product Mix2Q 1H

%QoQ %YoY %YoY By Volume By RevenueSales Revenue +9% -26% -17%

63,21852,558

Sales RevenueEBITDANI

Unit: MM Baht

Liquid33%Gas

67%Gas54%

Liquid46%

EBITDA +14% -29% - 20%Sales Revenue +9% -26% -17%

Net Income +13% -50% -44%

36,93125,167 27,391

52,558

28,15717,662 20,078

47,34037,741

12,9975 746 6,496

21,90212,243

67% 54%

Gas (US$/MMBTU) 4.99Liquid (US$/bbl) 51 885,746

2Q/08 1Q/09 2Q/09 1H/08 1H/09

Sales Volume and Price Activities in 2Q/20092Q 1H

Liquid (US$/bbl) 51.88Avg. sales price (US$/BOE) 37.21

80

Sales Vol. (BOED)Avg. Sales Prices ($/BOE)

Success ratio was 7:92 dry wells write-off with total

+0.5% -31.4% -28% +7.3% +0.1% +8.5%

2Q 1H %QoQ %YoY %YoY

54.23

37.04 37.2151.60

37.13

20

40

60

80 expenditure of Bt 807 mmAustralasia (Jabiru/Challis) sales volume in 2Q/09 was approximately

232,634 217,194 232,957 207,533 225,119

-40

-20

0

2Q/08 1Q/09 2Q/09 1H/08 1H/0953Source: PTTEP analyst meeting

volume in 2Q/09 was approximately 5,900 BBLD

PTT : Oil BusinessMarket leader in oil retails at 34% market share with 1,069 gas stations nationwide (excl. PTTRM)


Oil Marketing : sales volume ~218 KBOE/d Thailand’s Market ShareThailand’s Market ShareAs of June As of June 20092009

PTTRM(Jet)

770 975

1,147

1,615 1,151 LPG

Gasoline


34%19%

3%PTT

Others-16% YoY (Jet)

3,733 3 358 3 159

7,7466,516-21% YoY

-6% QoQ

564 338 337 1,073 675 1,766 1,520 1,389

3,312 2,908 341

338 297

770 635

485 601 546

1,147 857

561 590 Jet/IKDieselFuel Oil

8%12%

12%

12%

BCPShell

Caltex3,358 3,159

2Q/08 1Q/09 2Q/09 1H/08 1H/09Source : Department of Energy Business, Note : Excluded supply sales and LPG sold to Petrochem

Int’l Trading : trade volume ~1,028 KBOE/d

BCPESSO

Shell

Gross Margin Gross Margin –– Oil Mktg.Oil Mktg.Unit : Baht/Litre

Source : Department of Energy Business

4 211 4 241 27,601 28,329 Refined Product


Unit : Baht/Litre22QQ//0808

22Q/Q/0909

0 42

0.96

0.63

0.25

11H/H/0808

11QQ//0099+3% YoY

+11% YoY+10% QoQ

9 686 9 899 10 24620,303 20,1451,348 1,312 1,611

2,428 2,923

519 498 522

1,079 1,020

1,843 1,754 2,487

4,211 4,241

13,396 13,463 14,866 Petrochem

Condensate

Crude

Trading MarginTrading Margin22Q/Q/0808

0.80

0.42

0 10

0.09

11H/H/0808

11H/H/0909

11Q/Q/09099,686 9,899 10,246

2Q/08 1Q/09 2Q/09 1H/08 1H/09

Crude

54Source : PTT, Note : excluded inter company volume 0.06

0.10

0.01

0.1022Q/Q/0909

11H/H/0808

11Q/Q/0909

11H/H/0909

Petrochemical Affiliates Better performance from higher margins

107% 114% 109% 102% 112%

PTTCH (PTT 49.30%)Unit : MM Baht

Product Prices

Unit : US$/Ton

8 496

94% 89% 94% 93% 92%

107% 109% 102%

1,355

1,679

1,144

1,643

1 039

1,385

HDPE % UtlOlefins % Utl

8,496

2,000 3,931

8,007 5,931 5,280

(393)2,140

5,497

1,747

1,257

615 600 608

934 , 1,039

627 743

1,311

685 948 871

HDPE1/

Ethylene1/

MEG2/

(393)

2Q/08 1Q/09 2Q/09 1H/08 1H/09EBITDA NI

375 470 423

2Q/08 1Q/09 2Q/09 1H/08 1H/09

HMC (PTT 41 44%)

Naphtha3/

83% 97% 99% 89% 98%

HMC (PTT 41.44%) PP 450 KTA

1,522 1,408

1,738

887 1,116

1,624

1,001 PP1/ % Utl

491 587 887 1,248 1,473

424 309 759 964 1,068

672 797 734948

375 470

871

423

Propylene1/

Naphtha3/

2Q/08 1Q/09 2Q/09 1H/08 1H/09

EBITDA NI

2Q/08 1Q/09 2Q/09 1H/08 1H/09

Note : 1/ SEA spot 2/ NEA Spot 3/MOP’S Source : ICIS 55

Refining Associates Better performance QoQ from stock gain & higher P2F margin

EBITDA NI %Utl

105 103 98 102 101

TOP 275 kbpd (PTT 49.10%) Unit : MM Baht

SPRC 150 kbpd (PTT 36%)

9,929 3 812

9,929 12,051 7,322 6 428 8,395

4 774

88 105 106 97 10617,252

5,283 8,653 23,058

13,935 10,546 2,283 6,189

14,420 8,473

3,812 ,6,428 2,266 2,508

,4,774

2Q/08 1Q/09 2Q/09 1H/08 1H/09

2Q/08 1Q/09 2Q/09 1H/08 1H/09

PTTAR 280 kbpd (PTT 48.66%)

7,281 4,754 7,162 10,023 11,916

4 104 1 742 4 214 5,591 5 956

88103 97 97 100

70 68 70 60 69

BCP 120 kbpd (PTT 29.75%)

4,104 1,742 4,214 , 5,956

2Q/08 1Q/09 2Q/09 1H/08 1H/09

IRPC 215 kbpd (PTT 36.77%)2,765 3,026 4,021 4,324

7,046

1,846 1,591 2,704 2,697 4,293

60

6 920 9 054 5 868

85

52

71 8561

p ( )2Q/08 1Q/09 2Q/09 1H/08 1H/09

6,920 2,568 3,300 9,054 5,868

5,126 1,621 2,423 6,754 4,044

2Q/08 1Q/09 2Q/09 1H/08 1H/0956

Cash Flow (Company Only) : 1H/2009

OperatingOperating 22,,742742 CAPEX & INVESTMENTCAPEX & INVESTMENT ((2828,,879879))

Unit : MMBaht

+Net Income & nonNet Income & non--cashcashAdjustmentAdjustment

1818,,787787**

Changes in assets Changes in assets & liabilities& liabilities

((1616,,972972))

CAPEX (PP&E)CAPEX (PP&E) ((2222,,122122))Investment in AffiliatesInvestment in Affiliates ((1616,,447447))

OthersOthers 33,,791791Dividend receivedDividend received 88,,899899

+

Free Cash FlowFree Cash FlowFinanceFinance 99,,147147

Free Cash FlowFree Cash Flow

((2626,,137137))Bond & LoanBond & Loan 2929,,354354

Share IssuedShare Issued 123123

REPAYMENTREPAYMENT ((88,,793793))

+REPAYMENTREPAYMENT ((88,,793793))

OthersOthers ((55,,888888))Dividend paidDividend paid ((55,,648648))

Cash in (Out)Cash in (Out)Beginning Cash & Beginning Cash & Cash EquivalentsCash Equivalents

Ending Cash & Ending Cash & Cash EquivalentsCash Equivalents +=

5757

((1616,,990990))

Cash Equivalents Cash Equivalents

3838,,150150

Cash EquivalentsCash Equivalents

2121,,160160

Note : * Including effect of exchange rates on cash and currency transtation differences

+=

Dividend Policy & Historical PaymentsPTT is firmly committed to pay dividend at no less than 25% of net income

EPS DPS % Dividend Payout

25%

32.4% 32.6% 29.8% 30.1% 30.3% 30.8% 33.0%

43.6% 41.3%

30 57

34.14 34.82

25%PTT’s minimum payout ratioPTT’s minimum payout ratio

22.40

30.57

UNIT : Baht / shareUNIT : Baht / share

13.43

18.33

11 50

7.71 8.75 9.68

2.50 2.85 4.006.75

9.25 10.50 11.50

8.00

4.00

5858

2.50

2001 2002 2003 2004 2005 2006 2007 2008 1H/09

Reference : Product Prices

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2QFX – THB/USD (@ end period) 35.1354 34.6679 34.3851 33.8850 31.6229 33.6588 34.1752 35.0824 35.6629 34.1693 6% -4%FX – THB/USD (Daily Average) 35.7077 34.8077 34.1736 34.0588 32.5591 32.4159 34.0160 34.9645 35.4906 34.8246 9% -2%Crude (US$/bbl)/1

20092007 2008%YoY %QoQ

Crude (US$/bbl)/

: WTI 57.99 64.90 75.49 90.66 97.94 123.98 118.06 59.06 42.97 59.71 -65% 39% : Dubai (@ end period) 63.09 66.12 76.69 89.32 97.41 136.33 87.86 36.40 46.70 71.54 -66% 53% : Dubai (Daily Average) 55.42 64.79 70.08 83.19 91.10 116.50 113.62 52.70 44.10 59.30 -62% 34%Refined Products (US$/bbl)

HSD MOP’ 70 05 81 26 86 48 102 58 114 36 154 47 139 53 70 48 53 18 66 35 66% 25% : HSD – MOP’s 70.05 81.26 86.48 102.58 114.36 154.47 139.53 70.48 53.18 66.35 -66% 25% : ULG 95 – MOP’S 68.33 85.68 81.67 95.79 105.12 129.84 119.59 56.70 54.80 68.84 -58% 26% : ULG 91 – MOP’S 67.19 84.83 80.58 94.50 104.29 128.64 118.15 54.86 52.59 66.40 -59% 26% : Fuel Oil – MOP’S 45.07 54.01 59.58 73.20 74.57 92.62 102.63 45.05 38.98 53.42 -58% 37%Refined Products (retail : HSD 23.18 25.17 25.87 28.50 29.72 36.99 36.14 32.06 19.95 24.39 -46% 22% : ULG 95 26.20 29.56 29.26 31.75 33.37 37.86 - - - - : ULG 91 25.28 28.76 28.46 30.85 32.21 36.78 37.83 34.27 25.52 30.97 -31% 21% : Gasohol 24.70 26.06 25.76 26.25 29.37 33.75 31.35 29.69 21.22 27.17 -37% 28%Feedstocks (US$/ton) : LPG (Saudi Aramco’s CP) 527 569 583 756 833 857 874 543 448 405 -48% -10% : Naphtha (MOP’S) 527 619 621 735 793 948 905 312 375 470 -60% 25% : Condensate (ATC) 504 593 621 761 809 1,026 966 422 397 464 -61% 17%Petrochemicals (US$/ton)2/

: Ethylene (SP CFR SEA) 1,222 1,140 1,203 1,156 1,237 1,385 1,379 770 627 743 -55% 19%y ( ) , , , , , , , : Propylene (SP CFR SEA) 1,181 1,142 1,128 1,164 1,293 1,522 1,572 893 672 797 -56% 19% : LDPE (Film/SP CFR SEA) 1,293 1,342 1,502 1,582 1,711 1,801 1,793 1,219 946 1,126 -47% 19% : LLDPE (Film/SP CFR SEA) 1,274 1,289 1,354 1,424 1,605 1,693 1,719 1,138 954 1,117 -44% 17% : HDPE (Film/SP CFR SEA) 1,266 1,299 1,383 1,462 1,607 1,679 1,709 1,149 934 1,144 -44% 22%

: MEG (SP FOB NEA) 900 963 1,020 1,433 1,164 1,083 910 492 465 538 -57% 16%

59591/ Source : PLATT'S SARUS2/ Source : ICIS (http://www.icislor.com/)

: MEG (SP FOB NEA) 900 963 1,020 1,433 1,164 1,083 910 492 465 538 57% 16% : PP (SP CFR SEA) 1,264 1,298 1,373 1,394 1,510 1,738 1,805 1,087 887 1,116 -49% 26% : Benzene (SP FOB Korea) 978 1,084 1,006 1,008 1,051 1,215 1,209 700 406 661 -67% 63% : Paraxylene (SP FOB Korea) 1,047 1,176 1,111 1,068 1,169 1,420 1,394 881 853 1,057 -40% 24%

Investor Update Oct09 Final.ppt - listed...

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