1. Lubricants Opportunity in India 2004-05 Hussam Adeni Lubricant Specialist ExBPCastrol India Lube.specialist@gmail.com

2. The Components - for the India Market India – An opportunities galore Vehicle in India Production Population Fuel consumption Geographical size Lube market Hussam Adeni – Lube specialist Hussam Adeni Lube.specialist@gmail.com

3. India – Opportunities galore Sixth largest market in the world Third largest market in Asia Pacific Ranks after China and Japan India market 1,200 million litres Lube market worth INR 120,000 million Hussam Adeni Lube.specialist@gmail.com

4. Vehicle production Vehicle production 5.3 million in 2002 Annual growth in vehicles 12% Hussam Adeni Lube.specialist@gmail.com

5. Vehicle population Total vehicle population 65 million 2/3 wheeler contribute three fourths of the vehicle population Approx. 76% vehicles are 2 wheeler or 3 wheeler Used for multiple purpose Personal and Public passenger transport Personal & Public goods transport Hussam Adeni Lube.specialist@gmail.com

6. Vehicle population Total vehicle population 65 million Approx. 76% vehicles are 2 wheeler or 3 wheeler Passenger cars account for 10% Buses and Trucks account for 5% Hussam Adeni Lube.specialist@gmail.com

7. Vehicle population 76% vehicles - 2 wheeler or 3 wheeler 10% vehicles – Passenger cars 9% vehicles – Other 5% vehicles – Buses and Trucks Total vehicle population 65 million Hussam Adeni Lube.specialist@gmail.com

8. Vehicle population 49 million - 2 wheeler or 3 wheeler 6.6 million - Passenger cars 6 million - Others 3.3 million – Buses and Trucks Total vehicle population 65 million Hussam Adeni Lube.specialist@gmail.com

9. Motor Fuel demand in India Major Fuels Gasoline or Motor spirit ( called Petrol) Diesel – HSD ( High Speed Diesel) LPG – Gas vehicles CNG - Gas vehicles Demand for Gas likely to pick up Hussam Adeni Lube.specialist@gmail.com

10. Motor Fuel demand in India Major Fuels Gasoline or Motor spirit ( called Petrol) Consumption – 7.5 million tons Recent annual growth – 8% Hussam Adeni Lube.specialist@gmail.com

11. Motor Fuel demand in India Major Fuels Diesel – High Speed Diesel Consumption – 36.7 million tons Recent annual growth – 0.7% An estimated 2% probably used to adulterate gasoline Hussam Adeni Lube.specialist@gmail.com

12. Motor Fuel demand in India Major Fuels LPG – Liquified Petroleum Gas Allocated for domestic use in cooking and carries subsidies CNG – Compressed Natural Gas Retailed at Gujarat and Delhi Demand picking up due to lower costs. Consumption data negligible but mixed up with non transport use Hussam Adeni Lube.specialist@gmail.com

13. Environmental issue - Motor fuels Diesel – Sulphur content Till Jan 2000 – 2500 ppm Nationwide Urban centres – 500 ppm By 2005 - 500 ppm Nationwide By 2010 - 250 ppm Nationwide Hussam Adeni Lube.specialist@gmail.com

14. Environmental issue - Motor fuels Gasoline – Sulphur content Till Jan 2000 – 1000 ppm Nationwide Urban centres – 500 ppm By 2005 - 500 ppm Nationwide By 2010 - 150 ppm Nationwide Hussam Adeni Lube.specialist@gmail.com

15. India – Lube Market Opportunities galore Sixth largest market in the world Third largest market in Asia Pacific Ranks after China and Japan India market 1,200 million litres Lube market worth INR 120,000 million Hussam Adeni Lube.specialist@gmail.com

16. Lube consumption - Major sectors India Lube market 1,200 m* Transport Sector - 60% Non Transport sector - 40% * Lube market : 1.200 million litres Hussam Adeni Lube.specialist@gmail.com

17. Lube consumption - Major sectors India Lube market 1,200 m* Transport Sector - 60% Diesel Lubes is 70% Petrol Lubes is 30% Non Transport sector - 40% Industrial Maintenance, Process, Manufacturing * Lube market : 1.200 million litres Hussam Adeni Lube.specialist@gmail.com

18. Lube consumption - Transport sectors India Lube market 1,200 m* Transport Sector - 60% 670 million Lt Passenger cars – 85 million Lt 2 & 3 wheelers – 100 million Lt Trucks & buses – 300 million Lt Agriculture/Tractor – 40 million Lt Railroad Oils - 45 million Lt Marine eng/DG Sets – 40 million Lt Auto transmsn fluids – 50 million Lt Others - 10 million Lt Hussam Adeni Lube.specialist@gmail.com

19. Lube consumption - Non Transport sectors India Lube market 1,200 m* Non Transport Sector - 40% Approx 530 million Lt Industrial oils – 425 million Lt Greases - 55 million Lt Others - 50 million Lt Hussam Adeni Lube.specialist@gmail.com

20. Lubricant - Market shares in % Indian Oil 30% Hindustan Petroleum 22% BPCastrol 21% Bharat Petroleum 10% Others 17% Hussam Adeni Lube.specialist@gmail.com

21. Lubricant - Market shares volume Indian Oil 365 million Lt Hindustan Petroleum 264 million Lt BPCastrol 252 million Lt Bharat Petroleum 120 million Lt Others 199 million Lt Hussam Adeni Lube.specialist@gmail.com

22. Lubricant - Annual Blending capacities Indian Oil 430 million Lt Hindustan Petroleum 350 million Lt BPCastrol 300 million Lt Bharat Petroleum 125 million Lt Others 395 million Lt Total capacity: 1600 million Lt/Year Hussam Adeni Lube.specialist@gmail.com

23. Base oil manufacturing Group I - Capacity 900 million Lt/Yr - More than 700 million Lt/Yr imported Group II* - Nil Group III - Nil * BPCL Mumbai: 150 m/Lt Yr Hydro-cracking unit under exceution. Likely to be on stream by 1 st Qtr 2006 Hussam Adeni Lube.specialist@gmail.com

24. Base oil manufacturing Group I - Capacity 900 million Lt/Yr Hind Petroleum – 330 million Lt Mumbai Refinery IOC - 300 million Lt Haldia IOC L /Madras Petro - 270 million Lt Chennai Hussam Adeni Lube.specialist@gmail.com

25. Base oil manufacturing Group I - Capacity 900 million Lt/Yr Hind Petroleum – 330 million Lt Mumbai Refinery IOC - 300 million Lt Haldia IOC L /Madras Petro - 270 million Lt Chennai Hussam Adeni Lube.specialist@gmail.com

26. Additive manufacturing Capacity 55 million kg/yrs Lubrizol 50% JV – IOC & Lubrizol USA 40 million Kg/Yr - Mumbai Indian Additives 50% JV IOC & Chevron Ornite 15 million Kg/Yr - Chennai Hussam Adeni Lube.specialist@gmail.com

27. India – Lube Market Opportunities galore Sixth largest market in the world Third largest market in Asia Pacific Ranks after China and Japan India market 1,200 million litres Lube market worth INR 120,000 million Hussam Adeni Lube.specialist@gmail.com

28. Hussam Adeni Thank you Lube.specialist@gmail.com