PRESS CONFERENCE ON

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PRESS CONFERENCE ON FINANCIAL RESULTS FY 2007-08
NG/LPG Transmission NG Trading LPG
OLHC Petrochemicals
EP City Gas
Power GAIL Tel
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GAIL Management
The Management Team that will deliver the Strategy
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GAIL Overview
Indias Numero Uno Gas Company

• Integrated Natural Gas Company
• 24 Years of History, Rich Experience Expertise
• Consistent Dividend Payer
• Moodys Intl. Rating Baa2 (Foreign) A3
  (Local)
• Government of India Majority Stakeholder (57)
• Listed in BSE, NSE London Stock Exchange
• International Presence China, Egypt, Oman,
  Singapore Myanmar
• 10 Years Turnover CAGR 13
• 10 Years PAT CAGR 10
• Employees 3548

4
GAIL Overview Now Then
Emerged as a Truly Integrated Company
1998 WAS 2008 IS
Branded as Branded as Gas Authority of India Ltd GAIL (India) Ltd
NG Trans 55 MMSCMD 82 MMSCMD
NG Trading 55 MMSCMD 69 MMSCMD
LHC Prod 659 TMT 1347 TMT
Polymer Prod - 386 TMT
GAIL Tel - 13000 KM OFC
EP Blocks - 27(3-Overseas) 3 CBM
JVs/Associates - 12 (Domestic)
100 Subsidiary - GAIL Global Singapore
Global Ventures - 4 (1 - China 3 Egypt)
Lines of Business
Ventures
5
GAIL Overview Now Then
Strong Financial Performance Delivered
(Rs in Crores)
1998 WAS 2008 IS
Share Capital 845 845
Reserves Surplus 2568 12159
Loans 1478 1265
Gross Block 5183 16958
Turnover 5397 18008
Gross Margin 1706 4506
PBT 1390 3855
PAT 1020 2601
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GAIL Business Overview
Business Portfolio
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GAIL Business Overview
Business Portfolio
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GAIL Wealth Creation
Creating Value More than 5 times since 2003
Grown more than 5 times
9
GAIL Segmental Physical Highlights FY08
Significant Growth in Core Segments
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GAIL Financial Performance FY08
Top to Bottom Growth
(Rs in Crores)
11
GAIL Financial Performance FY08
Bottom Growth Excluding Abnormal Item
(Rs in Crores)
9
25
Excluding abnormal items PAT grew by 25
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GAIL Pipeline Projects Recently Completed
Pipeline Projects Strengthened the Core Business
Vijaipur-Kota LNTH 192 Kms. Cost Rs. 141
Cr. Cap. 3.5MMSCMD Completed on Jan 07
Kelaras-Malanpur LNTH 85 Kms. Cost Rs. 60
Cr. Cap. 2MMSCMD Completed on July 06
THULENDI
Jagoti-Pitampur LNTH 180 Kms. Cost Rs. 95
Cr. Cap. 3MMSCMD Completed on March 07
KELARAS
PHOOLPUR
KOTA
MALANPUR
JAGOTI
VIJAYPUR
RAJKOT
PITAMPUR
DAHEJ
Thulendi-Phoolpur LNTH 139 Kms. Cost Rs. 142
Cr. Cap. 2.8MMSCMD Completed on. May 06
Dahej Uran (DUPL) LNTH 474 Kms. Cost Rs. 923
Cr. Cap. 12MMSCMD Completed on June 07
URAN
DABHOL
Dabhol Panvel (DPPL) LNTH 327 Kms. Cost Rs.
402 Cr. Cap. 12.5MMSCMD Completed on Phase I
July 07 Completion sch Phase I May 08
Pipeline Project
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GAIL Segmental Financial Highlights
Growth in each Segment
(Rs in Crores)
Sales (Net of ED)
Gross Margin (GM)
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GAIL Segmental Financial Highlights
Growth in core Segments
(Rs in Crores)
Sales (Net of ED)
Gross Margin (GM)
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GAIL Breakup of Turnover
Balanced Mix of Business Segment Turnover
Turnover (FY 07-08) Rs.18008 Cr
share excluding unallocated segment
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GAIL Breakup of Gross Margin
Business Mix Significant Gross Margin from Core
Business Actives
Gross Margin (FY 07-08) Rs.4506 Cr
share excluding unallocated segment
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GAIL Key Financial Ratios
Ratios Depicts Consistent Performer
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GAIL Financial Performance - Q4
Sustained Quarter on Quarter Performance
Growth in Q4 of FY 2007-08 over Q4 of FY 2006-07
Financial Parameters (Rs. in Crs.)
4935
722
1098
1260
PAT 6
PBT 101
Gross Margin (EBITDA) 76
Turnover (Net of ED) 27
681
546
716
3883
LPG Subsidy - Rs.387 Crs (Rs.502 Crs. Q4 of FY
06-07)
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GAIL Upcoming Pipelines
Pipeline Projects Strengthen the Core Business
CHAINSA-JHAJJHAR-HISSAR LNTH 450 Kms. Cost
Rs. 1000 Cr. Add. Cap. 35MMSCMD
DADRI-BAWANA-NANGAL LNTH 640 Kms. Cost Rs.
2500 Cr. Add. Cap. 31MMSCMD
Phases
NANGAL
Phase I by 2011
BAWANA
DADRI
HISSAR
Phase II from 2012
CHAINSA
BAREILLY
JHAJJAR
AURAIYA
JAGDISHPUR
MALANPUR
KOTA
DAHEJ-VIJAIPUR / GREP Upgradation LNTH 1115
Kms. Cost Rs. 11000 Cr. Add. Cap. 66MMSCMD
GAYA
VIJAYPUR
JAGDISHPUR-HALDIA LNTH 1690 Kms. Cost Rs.
6600 Cr. Add. Cap. 32MMSCMD
RAJKOT
HALDIA
DAHEJ
DABHOL
GADAG
KOLHAPUR
GOA
KOCHI-MANGALORE-BANGALORE LNTH 840 Kms. Cost
Rs.3500 Cr. Add. Cap. 16MMSCMD
DABHOL-BANGALORE LNTH 1480 Kms. Cost Rs.
4000 Cr. Add. Cap. 16MMSCMD
BANGLORE
MANGLORE
KANJIKKOD
KOCHI
Including Spur lines
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GAIL EP Initiatives
EP Activities To Secure Future Gas Supplies

• Total Blocks - 30
• Onshore Blocks - 9
• Offshore Blocks - Deep Water 13 Shallow - 5
• CBM Blocks - 3
• Major Operators - ONGC, GSPC, OIL, Gazprom,
  Daweoo, Pertogas, Hardy, ENI,
  Jubilent, Arrow Energy
• Net investment - Rs.1152 Cr (upto 31.03.08)
• Discoveries made in 5 Blocks - Cambay onland, A1
  A3 block Myanmar, Cauvery offshore,
  Mahanandi offshore

Commercial Crude Oil Sales started from 1st
February 2008
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GAIL International Rating

• GAIL has been given Corporate Issuer Rating by
  Moodys
• Foreign currency Baa2
• (One notch above sovereign rating of Baa3)
• Local Currency - A3
• (Five notch above sovereign rating of Ba2)
• Positive impact on debt raising capability

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Conclusion
Wrapping up with confidence
Strong Financials
Strong GoI Support Strong GoI Support
Relatively New Asset Relatively New Asset Relatively New Asset
Strong Gas Demand Strong Gas Demand Strong Gas Demand Strong Gas Demand
Dominant Position - Transmission Dominant Position - Transmission Dominant Position - Transmission Dominant Position - Transmission Dominant Position - Transmission
Large Capex Plans in Place Large Capex Plans in Place Large Capex Plans in Place Large Capex Plans in Place Large Capex Plans in Place Large Capex Plans in Place
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THANK YOU
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GAIL Overview
State of Art Gas Beyond Infrastructure
GAS PIPELINES 7000 KMS(150 MMSCMD) 11 States
LPG PIPELINES 1922 KMS (3.8 MMTPA)
GAS PROCESSING 7 Plants (1.3 MMTPA LPG)
PETROCHEMICALS 410,000 TPA
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GAIL Overview
State of Art Gas Beyond Infrastructure
OFC Connectivity 13,000 KMS EP 30 blocks (incl.
3 CBM Blocks) R-LNG PLL- Dahej (6.5 MTPA) Gas
Retailing (8 JV) IGL,MGL,BGL,CUGL,GGL,
MNGL,TNGCL,AGL Power 156 MW GSEG, Hazira 2184 MW
Ratnagiri (Dhabol) Globalization Subsidiary 100
subsidiary GAIL Global Retail Gas Fayum Gas,
Shell CNG, China Gas NAT Gas
INDIA
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GAIL Strategic Direction
GDP Growth underlies Energy Growth
Russia
1.72T
Canada
1.16T
China
10T
Mexico
Japan
1.17T
4.17T
India
Brazil
4.16T
1.70T
2006 GDP
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GAIL Strategic Direction
GDP Growth underlies Energy Growth - India on
Growth high Path
4.32
1.77
4.95T
1.8T
2.2
Russia
1.72T
22.4T
Canada
1.16T
39.5T
5.65
3.08
0.30
2.5T
4.5T
5.31
China
10T
2.8
15.6T
Mexico
Japan
3.4T
4.17T
1.17T
India
Brazil
2030 GDP
4.16T
1.70T
2006 GDP
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GAIL Strategic Direction
Asia is the Fastest Growing Region
World Total Primary Energy Consumption
Central South America
Quadrillion Btu
Africa
Middle East
Asia
Europe
North America
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GAIL Strategic Direction
China India is the Fastest Energy Consuming
Region
World Total Primary Energy Consumption
Asias Total Primary Energy Consumption
Quadrillion Btu
Other Asian
India
China
South Korea
Japan
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GAIL Strategic Direction
Coal Gas dominates Indias Total Primary Energy
Consumption
World Total Primary Energy Consumption
Asias Total Primary Energy Consumption
Indias Primary Energy Consumption
Quadrillion Btu
Other
Nuke
Gas
Coal
Liquid
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GAIL Strategic Direction Vision Mission
Business Statement inline with Energy Dynamics of
Indian Economy

• VISION
• Be the leading company in natural gas and beyond
  with global focus, committed to customer care,
  value creation for all stakeholders and
  environment responsibility

• MISSION
• To accelerate and optimise the effective and
  economic use of Natural Gas and its fractions to
  the benefit of the national economy

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GAIL Strategy Implementation
Strategy inline with Business Statement
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GAIL Strategy Implementation
Strategy inline with Business Strength Industry
Attractiveness
EP, Power
NG Trading, NG Transmission Retail Petchem
Selective Investment
Subsidy
Liquid Hydrocarbon
Marginal Investment
Priority Investment
Telecom
Wait Watch
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GAIL Strategy Implementation
Synergy in Thinking and Acting
NANGAL
BHATINDA
DELHI
BAREILLY
GURGAUN
AURAIYA
DISPUR
MATHANIA
AGRA
JAGDISHPUR
BARMER
KANPUR
PATNA
GWALIOR
PHOOLPUR
KOTA
JHANSI
GAYA
VARANASI
AGARTALA
VIJAYPUR
UJJAIN
BOKARO
RAJKOT
BHOPAL
AHMEDABAD
LNG
KOLKATA
Existing
SURAT
Upcoming
BHUBANESHWAR
Transmission Pipelines
KRISHNAPATNAM
RAJAMUNDRY
DABHOL 5 mmtpa
SOLAPUR
KAKINADA
Existing
KOLHAPUR
VIJAYAWADA
GAILs Planned Pipeline RILs East West
Pipeline RILs Planned Pipeline GSPCs Planned
Pipeline
GOA
NELLORE
BANGLORE
HASAN
MANGLORE
MANGALORE 2.5 mmtpa
KANJIKKOD
COIMBTORE
KOCHI 5 mmtpa
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GAIL Strategy Implementation
Segment wise Investments Balanced Approach
Capex in 2007-08 Rs. 1,349 Cr
Rs in Cr
Funded Through a Mix of Internal Resources and
Borrowings
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GAIL Strategy Implementation
Segment wise Investments Balanced Approach
Total Capex in 5 years Rs. 28,835 Cr
Rs in Cr
Funded Through a Mix of Internal Resources and
Borrowings
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GAIL Strategy Implementation
Recent Accomplishments

• MoU with RIL International Petrochemical Plant
• GTA signed with RIL
• 100 PMT Gas supply through GAILs infrastructure
• MoU with HPCL, Mittal, TOTAL and OIL for
  integrated refinery project in Vizag
• Feedstock Supply Agreements for Assam Gas Cracker
  Project signed - GAIL assures full support to the
  project
• GAIL, ONGC sign MoU for formation of JV for
  monetizing the gas reserves discovered by ONGC in
  KG and Mahanadi basins
• GAIL signs MoU with Transparency International
  India for Integrity Pact with Contractors
• Petroleum Secretary compliments GAIL on Dahej
  Dabhol pipeline completion
• GAIL, Apollo Tyres sign accord for Steam
  Conversion Project through Waste Heat Recovery
• GAIL bags National Award for Excellence in Cost
  Management
• GAIL and China Gas to form Joint Venture Company
• GAIL-HPCL sign JV agreement for city gas projects
  in Rajasthan
• GAIL and Indian Oil ink MoU for JV in City Gas
  Distribution projects in West Bengal

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Segment Turnover
(Rs in Crores)
Particulars Q4 2006-07 Q4 2007-08 Change over2006-07
Transmission Services
a) Natural Gas 411 498 21
b) LPG Transmission 91 107 18
Gas Trading 2339 2769 18
Petrochemicals 633 741 17
LPG OLHC 400 791 98
GAILTEL, CNG and EP 9 29 222
Sales Turnover (net of ED) 3883 4935 27
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Segment Gross Margin (EBITDA)
(Rs in Crores)
Particulars Q4 2006-07 Q4 2007-08 Change over2006-07
Transmission Services
a) Natural Gas 344 439 28
b) LPG Transmission 66 86 30
Gas Trading 36 72 100
Petrochemicals 337 404 20
LPG OLHC (51) 379 843
GAILTEL 3 3 -
Unallocated (19) (123)
Gross Margin (EBITDA) 716 1260 76
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Segment PBT
(Rs in Crores)
Particulars Q4 2006-07 Q4 2007-08 Change over2006-07
Transmission Services
a) Natural Gas 264 368 39
b) LPG Transmission 42 64 52
Gas Trading 36 72 100
Petrochemicals 300 366 22
LPG OLHC (75) 354 572
GAILTEL 1 0.17 (69)
Unallocated (22) (126)
Profit before Tax (PBT) 546 1098 101
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GAIL Overview
Shareholding Pattern - Strong Support from GoI
Shareholding Pattern as on 31.03.08
Shareholders gt1 or more

• President of India 57.34
• Life Insurance Corporation 5.94
• ONGC 4.83
• IOC 2.42
• Templeton Global Advisers 1.55
• Magellan 1.20

• Government of India (GoI) is GAILs majority
  shareholder
• The administrative ministry is the Ministry of
  Petroleum Natural Gas, GoI
• GoI has no plans to reduce its shareholding in
  GAIL