Performance / Activities of the Company

Sui Northern Gas Pipelines Limited

Something about Pakistan

The Strategic
Importance
Can act as energy
corridor for region
Fast growing Oil & Gas
Demand in the country
Historical Success
Ratio of Oil & Gas
exploration 1:3.4
New Incentives for E&P
in Petroleum Policy.
Huge Coal Reserves

About Pakistan

Pakistans Energy Mix (2011-12)

HYDRO ELECTRICITY,
10.5%

IMPORTED &
NUCLEAR
ELECTRICITY, 2%

OIL, 30.8%

COAL, 6.6%
LPG, 0.5%

NATURAL GAS, 49.5%

Sui Northern Gas Pipelines Limited

Source: Pakistan Energy Yearbook 2012

3

About Pakistan

Natural Gas Infrastructure

SNGPL, The Company;

Incorporated in 1963
Converted to Public Limited in 1964
Authorized Capital is Rs. 15 Billion
50.5 % of Energy Requirements
Provided by Natural Gas
13 Region Offices
Yearly Gas Sales of about 675 BCF
5

VISION

To be the leading integrated natural gas

provider in the region seeking to improve the

quality of life of our customers and achieve

maximum benefit for our stakeholders by

providing an uninterrupted and environment

friendly energy resource.

MISSION STATEMENT

A commitment to deliver natural gas to all

door steps in our chosen areas through
continuous expansion of our network, by
optimally employing
technological, human and

Organizational resources,
best practices and high ethical standards.

CORE VALUES
COMMITMENT

We are committed to our vision, mission, and to creating and delivering

stakeholder value

COURTESY

We are courteous - with our customers, stakeholders and towards each other
and encourage open communication.

RESPONSIBILITY
We are responsible as individuals and as teams - for our work and
our actions. We welcome scrutiny, and we hold ourselves
accountable.
COMPETENCE

We are competent and strive to continuously develop and improve our skills
and business practices.

INTEGRITY

We have integrity - as individuals and as teams - our decisions are

characterized by honesty and fairness.
8

SNGPL, The Company

SHAREHOLDING PATTERN
AS ON DECEMBER 31, 2012
Particular
The President Islamic Republic of Pakistan

Number of Shares

Percentage

182,664,737

31.68

24,908,827

4.32

Government controlled institutions

149,887,928

26.00

Government Holding

357,461,492

62.00

50,158,879

8.70

Others and General Public

168,940,234

29.30

Private Holding

219,099,113

38.00

Total

576,560,605

100.00

SNGPL Employees Empowerment Trust

MCB Bank Limited

Sui Northern Gas Pipelines Limited

CORPORATE STRUCTURE
SHARE HOLDERS

BOARD OF
DIRECTORS
MANAGING DIRECTOR

FINANCE
COMMITTEE

AUDIT
COMMITTEE

UFG CONTROL
COMMITTEE

HUMAN
RESOURCE
COMMITTEE

SNGPL, The Company

Certifications

11

SNGPL, The Company

Memberships

12

SNGPL, The Company

Human Resources
More than

Career Terms = 9212

Temporary Engagements = 1219

10000
Employees

785
Professionals

Skilled
Workforce

Professional Engineers (600)

Chartered Accountants (49)
IT Professionals (120)
HR Professionals (16)

Qualified & Experienced

Welders
Fabricators
Mechanics
Electrician
Riggers
Telecommunication & SCADA
Technicians
Commerce & Finance
Assistants

13

SNGPL, The Company

Our Network

Distribution
Transmission
Compression

Gas Sources

7,653 Km

> 93,000 Km
2620 Towns &
Villages

216,000HP
11 Compressor
Stations

36 Gas Sources

Sui Northern Gas Pipelines Limited

14

Mingora
Batkhela

SNGPLs Transmission
Network

Sakhakot

Dargai

Shergarh

Tangi

Takht Bai
Khazana
Sugar

Dolatpura

Sawabi

12"

Murree

Nowshera

NWFP

Kohat

Dakni

24"

Meta

16"

Rawalpindi

12"

Khaur

Jhellum

Gharibwal
Sialkot

Balkassar

16"

FC-1

Manjowal

Mirpur

Adhi
Fimkassar
Joyamair
Chak Naurang

24"
30"

Karsal

Toot
Choa Saiden

GUJARKHAN

Dhurnal

30"

Dhulian

Meyal

Jammu & Kashmir

(Disputed Territory)

Islamabad

Sadqal

Makori/Shakardara
Bannu

Taxila

16"

Galli Jagir

Chanda

Gurguri

Havelian

Wah

Attock

CC-3

24"

Lachi

Abbottabad

16"

Peshawar

Afghanistan

Mansehra

Topi

Mardan

Charsadda

16"

CC-1

Lala Musa
Jalalpur Jattan

Daudkhel

Pezu

Gujrat

Bhera

JAUHARABAD

Tank

KHUSHAB

Wazirabad
Dhaunkel

12"

Sargodha

16"

Ladewala
Wariach

D.I. Khan
30"

BC-1

16"

Lalian

Pasroor
Rahwali

Gujranwala

Hafizabad

Kala Shah Kaku

Shahkot
Khurrianwala

24"

AC-8

Proposed Pipelines (Project IX)

Jaranwala

Faisalabad

Jhang

Shahdara

Lahore

Sarshmir

AC-7

Existing Pipelines

T.T.Singh
24" 24"

Okara

24"

Purification Bank

16"

Salsabil

DG KHAN

Power Plant

30"

Muzaffargarh

30"

Chunian
Basirpur

Depalpur
Sahiwal

CHICHAWATNI

Makhdumpur
Paharan

Qadirpur Rawan

24" 24"

Potohar Fields

NC-1

Kasur

Walla Adda

Kot Addu
Taunsa Barrage
X-ing
KOT ADDU

Gas Field

Mian Channu

36"

Multan
Machiwal

AC6
Jehanianl

Condensate Field

Towns where gas is being

provided / commissioned

Akhtarabad

Dhodak

BALOCHISTAN

PUNJAB

Town on Gas

Packages

Gojra

Chishtian
Hasilpur

Pirkoh
Loti

Bahawalpur
Samasata

AC-0

AC1X -SUI

Provincial Boundaries

AC-4

Zahirpir
Dera Nawab/ Ahmed
pur East

Compression Facility
Sui

Kandhkot
Hassan

Zamzama
Khairpur

Badar

Rahimyar Khan
Sadiqabad

Chachar
Qadirpur

AC1X-Qpr

Ghotki

SINDH

Khanpur

Total SNGPL's Transmission

Network (8 to 36)
7653 KMs

Mari

Rehmat

Sawan
Kadanwari

15

SNGPL, The Company

Consumer Base
Domestic

> 4.40 Million Consumers

Gas sale 640 BCF /year
Sale Revenue Rs. 236 Billion

Commercial
Industrial &

Domestic
26.12%

Captive Power

Fertilizer

Cement

Gen. Ind.
18.93%

Commercial
4.52%

Power
20.13%

Captive Power
8.43%
Fertilizer
7.28%

CNG
14.48%

Power

CNG

Sui Northern Gas Pipelines Limited

Cement
0.1%

16

SNGPL, The Company

Growth
1964
Gas sales

2013

47
MMCFD

Gas sales

Towns &
Villages
Served

02 Nos

Towns &
Villages
Served

Consumers

67 Nos

Consumers

1750MMCFD

2,620 Nos

4.40 Million
17

SNGPL, The Company

DOMESTIC CONSUMERS GROWTH

4500000

4,111,808
3,867,359

4000000
3500000
3000000
2500000

4,360,723

3,611,187
3,358,439
3,101,303
2,869,208
2,641,273
2,437,541
2,263,875
2,133,162
2,038,403

2000000
1500000
1000000
500000
0

Sui Northern Gas Pipelines Limited

*Figures of 2012-13 are tentative

18

Sui Northern Gas Pipelines Limited

Capabilities

19

SNGPL, The Company

SERVICES
Engineering,
Procurement,
Construction
&
Commissioning

(EPCC)

Pipeline Networks (Steel &

Polyethylene)
Compressor Stations
Gas Purification &
Dehydration Plant
Cathodic Protection
Systems
Fiber Optic Cables
Gas Measurement Facilities
Gathering Mains &
Wellhead Surface Facilities
Telecommunication &
SCADA
GIS
20

SNGPL, The Company

SERVICES

Conti

Pipeline
Engineering

Conceptual Studies
Pipeline Hydraulics & System
Design
FEED Documents
Basic Engineering
Reconnaissance Survey
Geodetic Survey
Geophysical Surveys
Detailed Engineering Design
CAD Services

21

SNGPL, The Company

SERVICES

Conti...

Three layer
polyethylene
coating

Line Pipe Coating from

4 42 Dia

Pipeline
Integrity
Management
Health, Safety &
Environment

22

SNGPL, The Company

SERVICES

Conti...

Gas Turbine Overhauling &

Refurbishing
Operation & Maintenance of Gas
Transmission & Distribution
Networks
Human Resource Development &
Technical Training

23

SNGPL, The Company

Codes & Standards

Gas
Transmission
&
Distribution
Piping

Line Pipe
Specifications

Coating

Valves &
Fittings

Welding of
Pipelines &
Related
Facilities

Gas
Measurement

DIN 30672
(Joint
Coating)

API
Specification
6D

ASME

API

B 31.8

Specification

B 31.3

5LX

API 1104

DIN 30670

ASME IX

(3 LPE)

AWS

AGA
3,5,7,8

ANSI 16.9
NFA

MSS SP 75

49 - 710

24

SNGPL, The Company

Codes & Standards

Corrosion
Control

Pipeline
Integrity
Management

Thermoplastic
Pipeline Laying

Conti

Fiber Optic
Installation &
Termination

SCADA
Communication
& Security

NACE
RP 01692

AGA - 12

RP - 0177
B31.8S
ASTM G57

ASTM
D2513

NECA 301
RTU MODBUS

25

SNGPL, The Company

Construction Equipment
Coating Plant

01

Excavators

40

Dozers

11

Air Compressors

81

Thrust Boring Machines

07

Trenching Machines

07

Prime Movers

33

Semi Trailors

33

Self loader trucks

20

Trucks

35

Pipe layers

44

Cranes

20

Pay welders
Welding Plants
Vehicles

04
543
541

Sand Blasting Units

with Compressors

12

Generators

14

Pipe Bending
Machines

04

Drilling Machines

85

Stoppling Machines
(4, 6, 8)

14

Polyethylene Toolkits
with Generation

90
26

SNGPL, The Company

Achievements
Compressor
Stations

High Pressure
Transmission
Lines

(1964 -2012)

Distribution
Mains

216,000

HP
Installed
67
Compressors
11 Compressor
Stations

6 36 Dia

7,653 Km

3 Layer
Polyethylene
Coating

1 24 Dia

4 42 Dia
Pipes Coated

> 88,000 Km

> 10 Million
Sq. Meter

Gas
Measurement
Stations
1 300
MMCFD
373 SMS
(City Gate
Stations)

27

SNGPL, The Company

PROJECTS COMPLETED
Project
I
Project
II
Project
III

Year

(1964 1969)

Year

(1970 1971)

Year
(1971 1973)

Sui Northern Gas Pipelines Limited

Capacity
Enhanced
from 90 to 170
MMCFD

708 Km
Pipelines of

Capacity
Enhanced
from 170 205
MMCFD

156 Km
Pipelines of

Capacity
Enhanced
from 205 277
MMCFD

6 16 Dia

12 18 Dia

724 Km
Pipelines of
8 16 Dia

Cost

Rs.6 Billion

Cost

Rs. 2 Billion

Cost
Rs. 8.4 Billion

28

Projects Completed
Project
IV
Project
V
Project
VI

Year
(1974 1981 )

Year
(1985 1991)

Year
(1989 1998)

Conti

Capacity
Enhanced from
277 387
MMCFD

357 Km
Pipelines of

Capacity
Enhanced from
387 450
MMCFD

787 Km
Pipelines of

Capacity
Enhanced from
450 980
MMCFD

1350 Km
Pipelines of

8 16 Dia

8 24 Dia

16 30 Dia

Cost
US$ 135 Million

Cost
US$ 176 Million

Cost
US$ 560
Million

29

Projects Completed
Project
VII
Project
V III
Project
IX

Year
(2001 2003 )

Year
(2003 - 2005)

Year
(2007 2009)

Conti

Capacity
Enhanced from
980 1380
MMCFD

580 Km
Pipelines of

Capacity
Enhanced from
980 1680
MMCFD

803 Km
Pipelines of

Capacity
Enhanced from
1680 2124
MMCFD

575 Km
Pipelines of

16 36 Dia

8 24 Dia

12 36 Dia

Cost
US$ 207 Million

Cost
US$ 160 Million

Cost
US$ 210 Million

30

Projects Completed for clients

Pak Saudi Fertilizer

16 x 15Km

Pak Arab Refinery

Company

16 x 493Km

Fauji Fertilizer
Corporation

16 " x 49 Km
20 " x 9 Km

Pakistan State Oil

16 " x 49 Km

GOPs Quetta Gas

Pipeline

12 " x 169 Km

Pakistan Ordnance
Factories

8 " x 26 Km

Pakistan Oilfield
Limited

10 " x 25 Km

Pirkoh Gas
Company
Pakistan Atomic
Energy Comm.

Fauji Kabirwala
Power Co. Ltd.

8 " x 6 Km

Pak Arab
Refinery
Company

6 " x 23 Km

MOL, Pakistan

10 " x 78 Km
10 " x 9 Km
8/12 & 18 " x 52 Km

Pakistan
Exploration Ltd.

8 " x 8 Km

Engro Fertilizer
Plant

20 " x 27 Km

8-16 " x 20 Km
8 " x 105 Km
8 " x 84 Km

Fatima (Gas +
Water line)

20-28 " x 58 Km

31

Sui Northern Gas Pipelines Limited

Financial Highlights

32

Financial Highlights

Gross Sales Revenue

Rupees in billion
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

37

42

52

74

97

123

137

140

184

198

215

268

263

2009

2010

300
250
200

150
100

50
0
2001

2002

2003

2004

2005

2006

2007

2008

2011

2012

2013

Financial Highlights

Profit after Tax

Rupees in million
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

1,337

1,887

2,014

2,297

2,736

3,722

2,678

2,497

931

2,555

1,125

3,044

(2,634)

(1,558)

The results after incorporating adverse financial impact arising out of Lahore High Court,
Lahores decision against the Company would be:
(appeals in respect of which are pending before Supreme Court).

4,000
3,500

3,000
2,500

2,000
1,500

1,000
500

0
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Financial Highlights

Dividend Per Share

% per share
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

17

20

22

25

30

40

30

35

20

15

35

2008

2009

45
40
35
30
25
20

15
10
5
0
2001

2002

2003

2004

2005

2006

2007

2010

2011

2012

Financial Highlights

Contribution To Exchequer
Rupees in million
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

993

877

1,193

1,367

1,526

1,397

1,571

1485

800

Sales Tax

5,429

6,303

6,911

9,250

12,362

15,210

14,835

16,418

GDS

2,443

4,048

3,190

70

1,333

2,046

9,515

Gas
Equalizat
ion to
SSGC

5,722

5,825

5,346

Total

8,865

11,264

11,29
4

16,40
9

21,046

2001

2002

2003

Income
Tax

2011

2012

2013

664

398

1,781

2,363

22,997

24,938

31,103

36,610

40,964

750

8,219

3,566

10,144

13,217

28,321

11,217

24,299

32,021

35,293

23,999

36,065

30,385

59,537

36,819

59,366

70,412

78,620

2006

2007

2008

2009

100,000
50,000
0
2004

2005

2010

2011

2012

2013

POTENTIAL OPPORTUNITIES
FOR
INTERNATIONAL INVESTORS

PAKISTAN .
Where Opportunities Never End
Salient features of our Liberal Investment
Policy

A level playfield for all investors

No limit of minimum foreign equity

All sectors open to investment

Freedom to repatriate dividends, profits etc.

Leading Investment Sectors

Banking & Finance

Power

Information Technology

Oil & Gas

Industry

Real Estate

Telecom

Transport

Tourism

Investment Opportunities in Oil & Gas Sector

EXPLORATION AND PRODUCTION

NEW CONCESSION ON SHORE

NEW CONCESSION OFF SHORE

GAS IMPORT

TRANSNATIONAL PIPELINES
INFRASTRUCTURE PROJECTS
OPERATION OF PIPELINES
LNG IMPORT BUSINESS
GAS STORAGE FACILITIES
MANUFACTURING HIGH PRESSURE LINE PIPE

ENERGY CONSERVATION

WASTE HEAT RECOVERY

ENERGY EFFICIENT GAS APPLIANCES

ALTERNATE ENERGY

COAL GASIFICATION
BIO GAS PLANTS
SOLAR THERMAL ENERGY
WIND ENERGY

LPG

EXTRACTION PLANT
MARKETING & STORAGE

DEMAND / SUPPLY GAP IN NEXT TEN YEARS

(MMCFD)
Description

2012-13

2013-14

2014-15

2015-16

2016-17

2017-18

2018-19

2019-20

2020-21

2021-22

Demand

3426

3532

3556

3629

3680

3717

3757

3801

3881

3926

Supply

1875

2286

2014

2147

2111

1939

1803

1696

1544

1414

(1551)

(1246)

(1542)

(1482)

(1569)

(1778)

(1954)

(2105)

(2337)

(2512)

GAP

(MMCFD)

4500
4000

(2512)

(1778)

(1551)
3500

GAP
Volume MMCFD

3000
2500
Demand

2000

Supply

1500
1000
500
0
2012-13

2013-14

2014-15

2015-16

2016-17

2017-18
Year

2018-19

2019-20

2020-21

2021-22

Future Projects (Import Options)

Iran Pakistan (IP) line (GSA Signed)
Turkmenistan-Afghanistan-Pakistan Line (Under Negotiation)

41

Future Projects (Import Options)

Liquefied Natural Gas (LNG)

42

Thank You
43

PROJECTED DEMAND / SUPPLY (October2013 to MARCH 2014)

(MMCFD)
(MMCFD)
2013
Description

Avg. Input * (A)

OCT

NOV

2014
DEC

JAN

FEB

MAR

1,726

1,738

1,738

1,688

1,683

1,683

144

144

144

144

144

144

Engro Energy - Qadirpur

63

63

63

63

63

63

Liberty Power - Qadirpur

37

37

37

37

37

37

244

244

244

244

244

244

1,482

1,494

1,494

1,444

1,439

1,439

190

191

191

186

185

185

Company use

20

20

20

20

20

20

Sub total (D)

210

211

211

206

205

205

Dedicated Supplies (Power)

PEPCO - Guddu

Sub total (B)

Pipeline Qality Supplies "C" = (A-B)

Losses

Gas Available for Sale "E"=(C-D)

1,272

1,283

1,283

1,238

1,234

1,234

44

PROJECTED DEMAND / SUPPLY (October2013 to MARCH 2014)

(MMCFD)
(MMCFD)
OCT
1,272

2013
NOV
1,283

DEC
1,283

Domestic
Commercial
Strategic/Defense Industry
General Industry
Captive Power
CNG
Fertilizer
Power (Committed)

288
74
70
358
205
299
240
110

363
74
70
358
205
300
240
110

Power (Non committed) IPPs & KAPCO

Sub total (F)
Demand (KPK)
Domestic
Commercial
General Industry
Captive Power
CNG
Sub total (G)

207
1,851

JAN
1,238

2014
FEB
1,234

MAR
1,234

551
76
70
358
205
300
225
104

718
76
70
358
205
301
225
104

608
77
70
358
205
301
225
104

409
77
70
358
205
302
240
110

207
1,927

207
2,096

207
2,264

207
2,155

207
1,978

124
14
27
18
77
260

155
14
27
18
78
292

236
14
27
18
78
373

307
14
27
18
79
445

260
15
27
18
79
399

175
15
27
18
80
315

Total Demand (B+D+F+G)

2,565

2,674

2,924

3,159

3,003

2,742

Shortfall ** (Volume to be curtailed)

(839)

(936)

(1,186)

(1,471)

(1,320)

(1,059)

Description
Gas Available for Sale
Demand (Punjab)

45