aegis logistics ltd

Aegis Logistics Ltd.

PresentationDecember 2010

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DisclaimerThis presentation is strictly confidential and may not be copied, published, distributed or transmitted. The information in

this presentation is being provided by Aegis Logistics Ltd (the “Company”). This presentation has been prepared for information purposes only and is not an offer or invitation, directly or indirectly, to buy or sell any securities, nor shall part, or all, of this presentation form the basis at or be relied on in connection with, any contract or investment decision in relation to any securities. This presentation is not an offer document or a prospectus under the Indian Companies Act, 1956, as amended, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended and any other applicable law. This presentation contains forward-looking statements based on the currently held beliefs and assumptions of the management of the Company, which are expressed in good faith and, in their opinion, reasonable. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance, or achievements of the Company or industry results, to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding expansion plans and the benefitsthere from, fluctuations in our earnings, our ability to manage growth and implement strategies, intense competition in our business including those factors which may affect our cost advantage, costs of raw materials, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns, changes in technology, availability of financing, our ability to successfully complete and integrate our expansion plans, liabilities, political instability and general economic conditions affecting our industries. Given these risks, uncertainties and other factors, recipients of this document are cautioned not to place undue reliance on these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements to reflect future events or developments. This presentation contains forward-looking statements, which may be identified by their use of words like 'plans', 'expects', 'will', 'anticipates', 'believes', 'intends', 'projects', 'estimates' or other words of similar meaning. All statements that address expectations or projections about the future, including but not limited to statements about the Company's strategy for growth, product development, market position, expenditures, and financial results, are forward-looking statements. Forward-looking statements are based on certain assumptions and expectations of future events. The Company cannot guarantee that these assumptions and expectations are accurate or will be realised. The Company's actual results, performance or achievements could thus differ materially from those projected in any such forward-looking statements. The Company assumes no responsibility to publicly amend, modify or revise any forward looking statements, on the basis of any subsequent developments, information or events.

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This presentation does not constitute an offer or invitation to purchase or subscribe for any securities in any jurisdiction, including the United States. None of our securities may be offered or sold in the United States, without registration under the U.S. Securities Act of 1933, as amended, or pursuant to an exemption from registration therefrom. Securities offered or sold outside of the United States are being offered or sold in compliance with the applicable laws of the jurisdiction where those offers

and sales occur. There will be no public offer of the securities in the United States or in any other jurisdiction. By viewing this presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the business of the Company. Except as otherwise noted, all of the information contained herein is

indicative and is based on management information, current plans and estimates in the form as it has been disclosed in this presentation. Industry and market-related information is obtained or derived from industry publications and has not been verified by us. The information contained in this presentation, except as otherwise noted, is only current as of the date of the presentation, and is subject to change without notice. The Company may alter, modify or otherwise change in any manner the

content of this presentation, without any obligation to notify any person of such revision or changes. Persons relying on the information in this presentation should do so at their own risk and the Company shall not be responsible for any kind of consequences or liability to any person arising out of, relying and acting upon any such information.

THIS PRESENTATION DOES NOT CONSTITUTE OR FORM ANY PART OF ANY OFFER, INVITATION OR RECOMMENDATION TO PURCHASE OR SUBSCRIBE FOR ANY SECURITIES IN THE UNITED STATES OR ELSEWHERE.

Disclaimer (contd.)

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What we do

We move, store and distribute products for the Indian oil, gas and chemical industry

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Strategy

To build a national storage and distribution network of port terminals, inland depots and retail outlets

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Land acquired

Future prospect

Future prospect

Building a “Necklace” of Terminals

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Who we are

• Listed Public Company in India since 1978

• Incorporated in 1956

• Started off as a speciality chemical manufacturer, now one of the key player in oil and gas logistics in India.

• Market Cap US$ 236 m, 15 November 2010

• Headquartered in Mumbai, India

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Key ManagementBoard of DirectorsBoard of DirectorsBoard of Directors

Raj ChandariaRaj ChandariaRaj Chandaria

Co- CEOCo-CEO

B.I. GosaliaB.I. GosaliaB.I. Gosalia S.O. MalhotraS.O. MalhotraS.O. Malhotra

CFO President President

(Business Development)

VP Regulatory Affairs

VP Regulatory VP Regulatory AffairsAffairs

VP – OHSEVP VP –– OHSEOHSE VP OperationsVP OperationsVP Operations VP ProjectsVP ProjectsVP Projects AVP– HRAVPAVP–– HRHR

Anish ChandariaAnishAnish ChandariaChandaria

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Key Milestones• 1962: Entry into Specialty Chemical Manufacturing Business

• 1977: Establishment of Liquid Logistics Division

• 1978: IPO and listing on Bombay Stock Exchange

• 1995: Entry into Liquified Petroleum Gas (LPG) Business

• 2003: Final Divestment of all Specialty Chemical Manufacturing Business

• 2007: Acquisition of Sea Lord Containers and Konkan Storage

• 2010: Acquisition of Shell LPG Business in India

• 2010: MOU signed for Development of Oil and PetrochemicalStorage Complex at Pipavav, Gujarat

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Business Segments

• Liquid Logistics

• Liquified Petroleum Gas (LPG)

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Liquid Logistics Business Model

• Fee based Third Party Logistics (3PL) Services to Oil, Gas and Chemical Companies

• Build, Own & Operate Port based infrastructure to store, handle and distribute products

• Spot Cargoes, Term Contracts, Throughput Contracts

• Customers: National Oil Companies (NOCs), End Users, Chemical Traders

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Mumbai Terminal

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Liquid Logistics Sector• Aegis is one of the key player in Liquid Logistics

sector

• Fragmented local competition

• Steady growth, Cash Generative

• Sources of Aegis’ competitive advantage:- Strategic Locations, Quality service,- Integrated supply chain management for - NOCs

• India’s port based storage capacity in theprivate sector is small by global standards:3.8 m KL*.

* Source: Company ’s Estimate based on publicly available data-13-

Private Sector LiquidsInstalled Capacity (FY 2010)*

Source: Company’s Estimate based on publicly available

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LPG

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LPG Business Model• Sourcing and Import: For Aegis and NOCs

• Gas Logistics: Throughput services for NOCs and Petrochemicals

• Industrial Distribution: Bulk distribution to End Users

• Commercial Distribution: Packed Cylinders to commercial establishments under the Brand “puregas”

• AutoGas Retailing: Franchise and Company Owned outlets marketing alternative fuels for transportation under the Brand “Aegis Autogas”

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LPG Terminal Mumbai

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LPG Terminal Pipavav

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Indian LPG Industry• Projected consumption 15m MT for FY

2011/12*• Growth rate 10-12% per annum*

- Domestic production: 11 m MT- Imports: 4m MT

• Aegis Throughput capacity- Mumbai - 0.5m MT- Pipavav - 0.1m MT

• Aegis Capacity Utilisation (Mumbai) • 2009/10: 64%• H1 2010/11: 72%• * Source: Platt Nov.2010

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LPG Current Product Mix (H1)

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Map of Aegis Autogas ROs

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Aegis Retail Outlets

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Growth Drivers

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Growth Drivers for 2011/12• RIL: Doubling of Throughput to 250,000 MT p.a.

• HPCL: New Throughput contract upto 100,000 MT p.a.

• AGI: Sourcing Fee for NOCs upto 600,000 MT p.a.

• AutoGas: 15 new Company Owned outlets in City Centres

• Packed Cylinder: Entry into South India

• Debottlenecking of Liquid Logistics Capacity in Mumbai

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Growth Drivers for 2012-14

• Oil and Petrochemical Storage Complex in Pipavav, Gujarat (MOU)

• Bunkering and Refueling at Kochi Storage Complex (in process)

• Operation & Maintenance/BOO Contracts for NOCs

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Global Oil Storage Outlook*• Significant increase in demand for oil storage

facilities

• Importance of access to storage for arbitrage / contango strategies

• Total global tank storage capacity expected to rise by 5%-7% per year

• International commodity traders are expanding global storage capacity - Vitol, Glencore, Mercuria, Trafigura, Noble Group

* Source: Wall Street Journal – July 2010

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• A 600,000 KL oil product and chemical terminal complex to be built by Aegis at Pipavav Port, Gujarat over 3 years

• Aegis to lease approx 100 acres of land

• An international quality private port with draft of 14.5m, modern facilities, owned and operated by Gujarat Pipavav Port Ltd (part of the AP Moeller Maersk Group

of Denmark)

• Additional port terminals to be built by Aegis in Haldia (80,000 KL) and expansion of Kochi terminal (30,000 KL)

MOU for Building a Oil Storage & Petrochemical Complex in Pipavav Port

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Investment plan• Total 3 year investment plan by Aegis: Rs 4.30

billion (US$ 96m)

• Project execution to be carried out in three phases, commencing January 2011

• Means of finance: 40% debt, 60% equity

• Total installed capacity of Aegis to rise to above1 million KL in 5 terminals

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Liquid Terminals Capacity Plan

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Pipavav Land and Jetty

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Revenue potential and value creation Strategy

• Oil product storage for import/export

• 3PL for chemicals/petroleum logistics for India

• Future business opportunities: bunkering, ATF Logistics (Tank compliant)

• Lower rates, higher no. of turns

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Key Financial Metrics

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H1 FY 11NET SALES REVENUE US$ 86.31 m EBITDA US$ 8.20 m TAX RATE 27%NET PROFIT US$ 4.02 mCASH & SECURITIES US$ 14.47 m GROSS DEBT US$ 30.91 mLEVERAGE(Debt% of Total Capital Employed)

40.58%

ROE 19.49%MARKET CAPITALISATION (15/11/2010)

US$ 236 m

Current Snapshot (FY 2010/11)

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Aegis: Oil & Gas Logistics● Our mission: to build an modern national port

infrastructure and distribution network in the oil & gas sector in India

● Our aspiration: to make India part of the global oil & gas supply chain

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