MIRA
INFORM REPORT
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Report Date : |
02.02.2012 |
IDENTIFICATION DETAILS
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Name : |
PAKISTAN PETROLEUM LIMITED |
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Registered Office : |
PIDC House, Dr. Ziauddin Ahmed Road, P.O.
Box 3942, Karachi 75530 |
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Country : |
Pakistan |
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Financials (as on) : |
30.06.2011 |
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Year of Establishment : |
1950 |
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Com. Reg. No.: |
0000378 |
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Legal Form : |
Government Owned Organization |
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Line of Business : |
Engaged in exploration, prospecting, development and production
of oil and natural gas resources |
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No. of Employees : |
2,900 |
RATING & COMMENTS
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MIRAs Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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Pakistan |
B2 |
B2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Business Name
PAKISTAN PETROLEUM LIMITED
Full Address
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Registered
Address |
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PIDC House, Dr. Ziauddin Ahmed Road, P.O.
Box 3942, Karachi 75530, Pakistan |
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Tel # |
92 (21) 111-568-568 |
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Fax # |
92 (21) 35680005, 35682125 |
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Website |
Branches
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Address |
House No. 12, Street 72, F-8/3, Islamabad,
Pakistan. |
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Tel # |
92 (51) 2260770, 2250870 |
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Fax # |
92 (51) 2261466 |
Short Description Of Business
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a. |
Nature of Business |
Engaged in
exploration, prospecting, development and production of oil and natural gas
resources |
|
b. |
Year Established |
1950 |
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c. |
Registration # |
0000378 |
Auditors
|
M/s Ernst & Young Ford Rhodes Sidat
Hyder (Chartered Accountants) |
Legal Status
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Pakistan Petroleum Limited (PPL) was
incorporated in Pakistan in 1950. During the year the Government of Pakistan (GOP)
disinvested its equity equivalent to 15%
of the paid-up share capital of the Company through an initial public
offering. The Company was listed on all the three stock exchanges of
Pakistan. |
Details of Chief
Executive/Directors
|
Names |
Designation |
|
Mr. Hidayatullah Pirzada Mr. Asim Murtaza Khan Mr. Sajid Zahid Mr. Saifullah Khan Paracha Mr. Zain Magsi Mr. Saquib H. Shirazi Mr. Saeed Akhtar Mr. Javed Akhtar Mr. Sher Muhammad Khan Mr. Raashid Bashir Mazari |
Chairman Chief Executive Officer / Managing Director Director Director Director Director Director Director Director Director |
Categories of Shareholders
|
Categories |
Percentage (%) |
|
Associated Companies, undertakings and related
parties NIT & ICP Directors, CEO and their spouses and minor
children Executives Public Sector Companies and Corporations Banks, Development Finance Institutions,
Non-Banking Finance Institutions Insurance Companies Modarabas and Mutual Funds Non-Resident Financial Institutions Government of Pakistan PPL Employees Empowerment Trust General Public Joint Stock Companies Others |
--- 0.29 --- 0.01 3.30 0.53 0.52 4.13 8.95 69.77 8.62 3.10 0.41 0.37 |
Subsidiaries
(1)
Pakistan Petroleum Provident
Fund Trust Company (Pvt) Limited, Pakistan.
Products
Engaged in exploration, prospecting, development
and production of oil and natural gas resources
Number of Employees
2,900
Capacity And Production
Considering the nature of the Companys
business, it is impracticable to provide the information regarding capacity.
Bankers
(1) The Royal Bank of Scotland, Pakistan.
(2) Askari Commercial Bank Limited, Pakistan.
(3) Bank Alfalah Limited, Pakistan.
(4) Bank Al-Habib Limited, Pakistan.
(5) Citibank N.A., Pakistan.
(6) Deutsche Bank AG, Pakistan.
(7) Faysal Bank Limited, Pakistan.
(8) Habib Bank Limited, Pakistan.
(9) MCB Bank Limited, Pakistan.
(10) Standard Chartered Bank, Pakistan.
(11) United Bank Limited,
Pakistan.
Financial Position
Extremely Sound
Financial Overview
The sales revenue of Rs 78.3 billion for the year was higher by 31%
compared to the previous year. The profit after tax of Rs 31.4 billion was
earned for the year as compared to Rs 23.3 billion during the previous year.
The increase in profitability during the current year as compared to the
corresponding year is mainly attributable to enhanced oil, gas and LPG sales
volumes, impact of higher international oil prices and depreciation of Pak
Rupee against US Dollar. The earnings per share (EPS) of the Company for the
year stood at Rs 26.31 against EPS of Rs 19.52 for 2009-10. Field expenditure
during the year increased by 17% as compared to the previous year mainly due to
acquisition of partial / full 2D and 3D seismic data in Kalat, Barkhan,
Kirthar, Sukhpur, Sirani, Jungshahi, Naushahro Firoz, Kotri North, Kotri and
Zamzama South Blocks and increased depreciation and amortisation charges due to
new capitalisations during the current year. Other operating income also increased
during the current year, as compared to the corresponding year, mainly due to
increase in income from financial assets by Rs 1.9 billion, as a result of
comparatively higher investments and interest rates.
Future Outlook
Given the large number of exploration
licenses acquired lately, the company is optimally positioned to achieve its
reserves replacement targets through organic growth. A matrix organization
structure of the Exploration group has allowed the sharing of resources across
G&G teams handling different blocks (Assets) while assuring consistency of
risks and resources.
Foreign Exchange Rates
|
Currency |
Unit |
Pakistani Rupee |
|
US Dollar |
1 |
Rs. 90.30 |
|
UK Pound |
1 |
Rs. 141.20 |
|
Euro |
1 |
Rs. 118.20 |
Comments
Subject Company is well known and directors are resourceful and
experienced businessmen. Payments to creditors etc are reported as normal.
Company can be considered for normal business dealings at usual trade terms and
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.53 |
|
|
1 |
Rs.77.95 |
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Euro |
1 |
Rs.64.66 |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
-- |
This score serves as a reference to assess SCs credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.