1. It's our turn now! The energy security imperative www.pwc.com December 11, 2012 11 th Petro India

2. PwC December 11, 2012 Page Agenda 1 Energy is economic insecurity1 2 Industry Captains views5 3 The ask8 It's our turn now! The energy security imperative

3. PwC December 11, 2012 Energy is economic insecurity Section 1 It's our turn now! The energy security imperative 1

4. PwC December 11, 2012 Hydrocarbon sector can make or mar the economy Oil trade deficit and non-oil trade deficit (in billion USD) Section 1 – Energy is economic insecurity It's our turn now! The energy security imperative 2 Oil imports as a % of India’s total exports Weakening of the Rupee Oil trade deficit as a % of India’s total trade deficit 50% 54% Drawdown of foreign exchange to the tune of 12.8 billion USD 17 MMT additional domestic production would have avoided the drawdown INR $12.8 bn.

5. PwC December 11, 2012 Rather than for securing energy sources, energy security seems more compelling for economic reasons …..(1/2) Section 1 – Energy is economic insecurity It's our turn now! The energy security imperative 3

6. PwC December 11, 2012 Rather than for securing energy sources, energy security seems more compelling for economic reasons….(2/2) Section 1 – Energy is economic insecurity It's our turn now! The energy security imperative 4 40% 50% 70% Govt. take in USD billion 8 12 20

7. PwC December 11, 2012 Industry Captains views Section 2 It's our turn now! The energy security imperative 5

8. PwC Hydrocarbon and beyond: Changing landscape Petrotech Society and PwC administered a survey. Fuel for thought Senior management survey, October 2012

9. PwC December 11, 2012 PwC-Petrotech survey “Fuel for thought” in October 2012 is a reflection of direction desired Section 2 – Industry Captains views It's our turn now! The energy security imperative 7 India is rich in hydrocarbon and ……, our primary focus should be on promoting investments in the domestic E&P sector. 60% increased private sector participation can help address India’s energy security challenge. 95% the country’s energy policies need to be more aligned to meet the energy security challenge. 88% stability in policies is a must to encourage companies to adopt expensive cutting edge technology in India. 96%

10. PwC December 11, 2012 The ask Section 3 It's our turn now! The energy security imperative 8

11. PwC December 11, 2012 In an evolving sector, disclarity is not unexpected. Purpose is to deal with it expeditiously. Section 3 – The ask It's our turn now! The energy security imperative 9 Royalty: post well head costs Term extension in producing blocks Arms length price discovery: participant sectors Well wise accounting: Retrospective withdrawal …………………………………..

12. PwC December 11, 2012 Growth beyond marginal or organic levels Objectives drive policies Matching Norway & Brazil like monitoring Partnerships of stakeholders.... During long journey, have gas imports A focussed E&P sector growth will not only provide fule but life to economy. Section 3 – The ask It's our turn now! The energy security imperative 10 It’s our turn now E&P partnership for energy security

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