o&g storage & transportation

8/11/2019 O&G Storage & Transportation

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Global - Oil & Gas Storage & Transportation 0199 - 2325 - 2010

Datamonitor. This profile is a licensed product and is not to be photocopied Page 1

INDUSTRY PROFILE

Global Oil & Gas Storage &Transportation

Reference Code: 0199-2325

Publication Date: May 2011


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EXECUTIVE SUMMARY



EXECUTIVE SUMMARY

Market value

The global oil & gas storage & transportation sector grew by 32.6% in 2010 to reach a value of $114.2billion.

Market value forecast

In 2015, the global oil & gas storage & transportation sector is forecast to have a value of $162.1 billion,

an increase of 41.9% since 2010.

Market volume

The global oil & gas storage & transportation sector grew by 1.6% in 2010 to reach a volume of 38.4

billion.

Market volume forecast

In 2015, the global oil & gas storage & transportation sector is forecast to have a volume of 42.9 billion,


Market segmentation I

Liquid Tankers is the largest segment of the global oil & gas storage & transportation sector, accounting

for 31.2% of the sector's total value.

Market segmentation II

Asia-Pacific accounts for 33.9% of the global oil & gas storage & transportation sector value.

Market share

Royal Dutch Shell is the leading player in the global oil & gas storage & transportation sector, generating

a 9.6% share of the sector's value.

Market rivalry

The global oil and gas storage and transportation sector is fragmented with a substantial number of

companies present despite the presence of large-scale international players.


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CONTENTS



TABLE OF CONTENTS

EXECUTIVE SUMMARY 2

MARKET OVERVIEW 7

Market definition 7

Research highlights 8

Market analysis 9

MARKET VALUE 10

MARKET VOLUME 11

MARKET SEGMENTATION I 12

MARKET SEGMENTATION II 13

MARKET SHARE 14

FIVE FORCES ANALYSIS 15

Summary 15

Buyer power 16

Supplier power 17

New entrants 18

Substitutes 19

Rivalry 20

LEADING COMPANIES 21

BP Plc 21

Chevron Corporation 28

OAO Gazprom 33

Royal Dutch Shell plc 38

MARKET FORECASTS 43

Market value forecast 43

Market volume forecast 44

APPENDIX 45

Methodology 45

Industry associations 46


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CONTENTS



Disclaimer 47

ABOUT DATAMONITOR 48

Premium Reports 48

Summary Reports 48

Datamonitor consulting 48


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CONTENTS



LIST OF TABLES

Table 1: Global oil & gas storage & transportation sector value: $ billion, 200610 10

Table 2: Global oil & gas storage & transportation sector volume: billion 0, 200610 11

Table 3: Global oil & gas storage & transportation sector segmentation I:% share, by value, 2010 12

Table 4: Global oil & gas storage & transportation sector segmentation II: % share, by value,

2010 13

Table 5: Global oil & gas storage & transportation sector share: % share, by value, 2010 14

Table 6: BP Plc: key facts 21

Table 7: BP Plc: key financials ($) 25

Table 8: BP Plc: key financial ratios 26

Table 9: Chevron Corporation: key facts 28

Table 10: Chevron Corporation: key financials ($) 30

Table 11: Chevron Corporation: key financial ratios 31

Table 12: OAO Gazprom: key facts 33

Table 13: OAO Gazprom: key financials ($) 35

Table 14: OAO Gazprom: key financials (RUB) 36

Table 15: OAO Gazprom: key financial ratios 36

Table 16: Royal Dutch Shell plc: key facts 38

Table 17:

Royal Dutch Shell plc: key financials ($) 41

Table 18: Royal Dutch Shell plc: key financial ratios 41

Table 19: Global oil & gas storage & transportation sector value forecast: $ billion, 201015 43

Table 20: Global oil & gas storage & transportation sector volume forecast: billion 0, 201015 44


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CONTENTS



LIST OF FIGURES

Figure 1: Global oil & gas storage & transportation sector value: $ billion, 200610 10

Figure 2: Global oil & gas storage & transportation sector volume: billion 0, 200610 11

Figure 3: Global oil & gas storage & transportation sector segmentation I:% share, by value, 2010 12

Figure 4: Global oil & gas storage & transportation sector segmentation II: % share, by value,

2010 13

Figure 5: Global oil & gas storage & transportation sector share: % share, by value, 2010 14

Figure 6: Forces driving competition in the global oil & gas storage & transportation sector, 2010 15

Figure 7: Drivers of buyer power in the global oil & gas storage & transportation sector, 2010 16

Figure 8: Drivers of supplier power in the global oil & gas storage & transportation sector, 2010 17

Figure 9: Factors influencing the likelihood of new entrants in the global oil & gas storage &

transportation sector, 2010 18

Figure 10: Factors influencing the threat of substitutes in the global oil & gas storage &

transportation sector, 2010 19

Figure 11: Drivers of degree of rivalry in the global oil & gas storage & transportation sector, 2010 20

Figure 12: BP Plc: revenues & profitability 26

Figure 13: BP Plc: assets & liabilities 27

Figure 14: Chevron Corporation: revenues & profitability 31

Figure 15: Chevron Corporation: assets & liabilities 32

Figure 16:

OAO Gazprom: revenues & profitability 37

Figure 17: OAO Gazprom: assets & liabilities 37

Figure 18: Royal Dutch Shell plc: revenues & profitability 42

Figure 19: Royal Dutch Shell plc: assets & liabilities 42

Figure 20: Global oil & gas storage & transportation sector value forecast: $ billion, 201015 43

Figure 21: Global oil & gas storage & transportation sector volume forecast: billion 0, 201015 44


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MARKET OVERVIEW



MARKET OVERVIEW

Market def ini t ion

Transportation and storage in the oil and gas industry pertains to the movement of crude oil, liquidpetroleum products and natural gas from the oil fields (where oil and natural gas have been extracted) to

refineries and/or to storage areas, where the petroleum products and natural gas are stored for

distribution and for emergency reserves. Crude oil is transported by two primary modes: tankers, which

travel interregional water routes, and pipelines where most of the oil moves through for at least part of the

route, while liquid petroleum products is mostly transported internationally by tankers and trucks. The

natural gas transportation and storage is conducted in its gaseous and liquid form. The market value in

this study has been calculated as revenues received by the industry from providing such services. Any

currency conversions used in this report have been calculated using constant 2010 annual average

exchange rates.

For the purposes of this report, the global market consists of North America, South America, WesternEurope, Eastern Europe, MEA, and Asia-Pacific.

North America consists of Canada, Mexico, and the United States.

South America comprises Argentina, Brazil, Chile, Colombia, and Venezuela.

Western Europe comprises Belgium, Denmark, France, Germany, Greece, Italy, the Netherlands,

Norway, Spain, Sweden, Switzerland, Turkey, and the United Kingdom.

Eastern Europe comprises the Czech Republic, Hungary, Poland, Romania, Russia, and Ukraine.

Asia-Pacific comprises Australia, China, India, Indonesia, Japan, New Zealand, Singapore, South Korea,

Taiwan, and Thailand.

Middle East-Africa (MEA) comprises Egypt, Israel, Nigeria, Saudi Arabia, South Africa, and United Arab

Emirates.


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MARKET OVERVIEW



Research high l ights

The global oil & gas storage & transportation sector had total revenues of $114.2 billion in 2010,

representing a compound annual rate of change (CARC) of -1.6% for the period spanning 2006-2010.

Sector consumption volumes increased with a compound annual growth rate (CAGR) of 0.7% between

2006 and 2010, to reach a total of 38.4 billion barrels in 2010.

The performance of the sector is forecast to accelerate, with an anticipated CAGR of 7.3% for the five-

year period 2010-2015, which is expected to drive the sector to a value of $162.1 billion by the end of

2015.


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MARKET OVERVIEW



Market analys is

The global oil & gas storage & transportation sector is forecasted to experience accelerated revenue and

volume growth during 2010-2015; this comes after a sharp decrease in revenues during the recession of

43.2% in 2009.

The global oil & gas storage & transportation sector had total revenues of $114.2 billion in 2010,

representing a compound annual rate of change (CARC) of -1.6% for the period spanning 2006-2010. In

comparison, the European and Asia-Pacific sectors declined with CARCs of -4.2% and -2.3%

respectively, over the same period, to reach respective values of $32.8 billion and $38.7 billion in 2010.

Sector consumption volumes increased with a compound annual growth rate (CAGR) of 0.7% between

2006 and 2010, to reach a total of 38.4 billion barrels in 2010. The sector's volume is expected to rise to

42.9 billion barrels by the end of 2015, representing a CAGR of 2.3% for the 2010-2015 period.

The liquid tankers segment was the sector's most lucrative in 2010, with total revenues of $35.7 billion,

equivalent to 31.2% of the sector's overall value. The gas pipelines segment contributed revenues of$32.9 billion in 2010, equating to 28.8% of the sector's aggregate value.

The performance of the sector is forecast to accelerate, with an anticipated CAGR of 7.3% for the five-

year period 2010-2015, which is expected to drive the sector to a value of $162.1 billion by the end of

2015. Comparatively, the European and Asia-Pacific sectors will grow with CAGRs of 7.8% and 3.2%

respectively, over the same period, to reach respective values of $47.7 billion and $45.2 billion in 2015.


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MARKET VALUE



MARKET VALUE

The global oil & gas storage & transportation sector grew by 32.6% in 2010 to reach a value of $114.2

billion.

The compound annual rate of change of the sector in the period 200610 was -1.6%.

Table 1: Global oil & gas storage & transportation sector value: $ billion, 200610

Year $ billion billion % Growth

2006 121.7 91.7

2007 99.7 75.1 (18.1%)

2008 151.6 114.2 52.0%

2009 86.1 64.9 (43.2%)

2010 114.2 86.0 32.6%

CAGR: 200610 (1.6%)

Source: Datamonitor D A T A M O N I T O R

Figure 1: Global oil & gas storage & transportation sector value: $ billion, 200610



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MARKET VOLUME



MARKET VOLUME

The global oil & gas storage & transportation sector grew by 1.6% in 2010 to reach a volume of 38.4

billion 0.

The compound annual growth rate of the sector in the period 200610 was 0.7%.

Table 2: Global oil & gas storage & transportation sector volume: billion 0, 200610

Year billion 0 % Growth

2006 37.3

2007 37.7 1.1%

2008 37.8 0.1%

2009 37.8 0.0%

2010 38.4 1.6%

CAGR: 200610 0.7%


Figure 2: Global oil & gas storage & transportation sector volume: billion 0, 200610



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MARKET SEGMENTATION I



MARKET SEGMENTATION I

Liquid Tankers is the largest segment of the global oil & gas storage & transportation sector, accounting

for 31.2% of the sector's total value.

The gas pipelines segment accounts for a further 28.8% of the sector.

Table 3: Global oil & gas storage & transportation sector segmentation I:% share, by value,

2010

Category % Share

Liquid Tankers 31.2%

Gas Pipelines 28.8%

Gas Tankers 19.1%

Gas Storage 11.3%

Liquid Pipelines 9.6%

Total 100%


Figure 3: Global oil & gas storage & transportation sector segmentation I:% share, by value,

2010



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MARKET SEGMENTATION II



MARKET SEGMENTATION II

Asia-Pacific accounts for 33.9% of the global oil & gas storage & transportation sector value.

Europe accounts for a further 28.7% of the global sector.

Table 4: Global oil & gas storage & transportation sector segmentation II: % share, by value,

2010

Category % Share

Asia-Pacific 33.9%

Europe 28.7%

Americas 15.7%

Rest of the World 21.7%

Total 100%


Figure 4: Global oil & gas storage & transportation sector segmentation II: % share, by value,

2010



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MARKET SHARE



MARKET SHARE

Royal Dutch Shell is the leading player in the global oil & gas storage & transportation sector, generating

a 9.6% share of the sector's value.

BP accounts for a further 7.8% of the sector.

Table 5: Global oil & gas storage & transportation sector share: % share, by value, 2010

Company % Share

Royal Dutch Shell 9.6%

BP 7.8%

Chevron 5.2%

Gazprom 2.6%

Other 74.8%

Total 100%


Figure 5: Global oil & gas storage & transportation sector share: % share, by value, 2010



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FIVE FORCES ANALYSIS




The oil & gas storage & transportation market will be analyzed taking companies providing storage and

transportation services for crude oil, liquid petroleum products and natural gas as players. The key buyers

will be taken as oil & gas companies, and providers of oil and gas equipment and services as the key

suppliers.

Summary

Figure 6: Forces driving competition in the global oil & gas storage & transportation sector, 2010


The global oil and gas storage and transportation sector is fragmented with a substantial number of

companies present despite the presence of large-scale international players.

The dominance of large international companies, such as BP, Shell, Chevron and Gazprom, boosts the

competition level significantly. They operate similar business models and benefit from scale economies.

The limited number of providers of oil and gas equipment and services (e.g. Schlumberger, Baker

Hughes, Smith International and Halliburton) increases supplier power. However, many larger oil and gas

companies have integrated backwards into oil and gas service operations, and use services of third-party

companies to supplement their own activities. Entrants to the sector are discouraged by the existence of

significant regulations, high capital outlay and a current decline in sector revenues. There are no apparent

direct substitutes for oil and gas storage and transportation services. However, if oil and gas resources

are developed nearer to target markets, then the requirement for storage and transportation services will

be reduced.


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Buyer power

Figure 7: Drivers of buyer power in the global oil & gas storage & transportation sector, 2010


Buyers of oil and gas storage and transportation services are mainly large diversified oil and gas

companies, who can leverage their dominance of scale in dealing with companies in this sector. However,

their buyer power may be weakened in circumstances where the oil and gas pipeline infrastructure does

not permit them any option but to use a particular pipeline. Large oil and gas companies usually conductintegrated operations, often incorporating storage and transportation activities; such independence boosts

buyer power. Overall, buyer power is moderate.


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Suppl ier power

Figure 8: Drivers of supplier power in the global oil & gas storage & transportation sector, 2010


Major suppliers to this sector are providers of oil and gas equipment and services, including:

Schlumberger, Baker Hughes, Smith International and Halliburton. Typically, such suppliers are large,

highly diversified companies which therefore affords them greater bargaining power within the sector.

Baker Hughes, for example, has a wide product portfolio catering to the worldwide oil and natural gasindustry. The company manufactures and supplies drill bits, primarily roller cone bits, and fixed-cutter

polycrystalline diamond compact (PDC) bits. It also supplies drilling and evaluation services, as well as

providing formation evaluation and wire-line completion and production services for oil and natural gas

wells. Such suppliers are small in number, which combined with the high demand from the oil and gas

industry, enhances their supplier power. Many larger oil and gas companies have integrated backwards

into oil and gas service operations, and use the services of third-party companies to supplement their own

activities. This, combined with the high importance of the oil and gas industry to supplier revenues,

reduces supplier power. Overall, supplier power is strong.


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New entrants

Figure 9: Factors influencing the likelihood of new entrants in the global oil & gas storage &

transportation sector, 2010


New entrants to the global oil and gas storage and transportation sector will face fierce competition from

large, international companies, namely BP, Shell, Chevron and Gazprom, who have invested heavily in

their fleets, equipment, and technology, including product innovation. Barriers to new entrants are

therefore embedded in their ability to invest in the necessary infrastructure, particularly pipeline networks.

Currently, Gazprom owns the worlds largest gas transmission system, the Unified Gas Supply System of

Russia, stretching for 159.5 thousand kilometers as of December 2008. Players are subject to various

regulations, particularly concerned with the environment and safety; compliance with these is restrictive to

entry into the sector. For example, in the US, companies must comply with standards and reviews such

as the Natural Gas Pipeline Safety Act; the Federal Regulation and Oversight of Energy (FERC), who

regulate prices and fix tariffs; the US Department of Transportation; and various state and local regulatory

agencies. New entrants are further discouraged by the current fluctuations in the sector. Overall, the

threat of new entrants is weak.


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Subst i tutes

Figure 10: Factors influencing the threat of substitutes in the global oil & gas storage &

transportation sector, 2010


There are no apparent direct substitutes for oil and gas storage and transportation services. However, if

oil and gas resources are developed nearer to target markets, then the requirement for storage and

transportation services will be reduced. The US governments push to become more self-sufficient and

reduce dependence upon middle-eastern companies may provide such a shift in requirements. Overall,

the threat of substitutes is weak.


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Rivalry

Figure 11: Drivers of degree of rivalry in the global oil & gas storage & transportation sector, 2010


Similar to the rest of the oil and gas industry, this sector is composed of a many large companies.

Amongst the main players, there are BP, Shell, Chevron and Gazprom. Although the lead players tend to

diversify their scope of operations geographically or create highly integrated business models (e.g.

engaging in exploration, production, refining and marketing), the size and diversification of thesecompanies is more or less the same as their counterparts. It should be appreciated, however, that many

pipelines are effectively local-monopolies for oil and gas transportation between particular regions and

therefore geographical separation of companies within the sector may lessen rivalry. Substantial fixed

costs and the high exit barriers created by the need to divest specialized equipment on leaving the sector

both mean that competition within this sector is strong. The current uncertainty in the sector further

increases rivalry. Overall, the degree of rivalry is strong.


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LEADING COMPANIES



LEADING COMPANIES

BP Plc

Table 6: BP Plc: key facts

Head office: 1 Street James's Square, London SW1Y 4PD GBR

Telephone: 44 20 7496 4000

Fax: 44 20 7496 4630

Website: www.bp.com

Financial year-end: December

Ticker: BP, BP

Stock exchange: London, New York

Source: company website D A T A M O N I T O R

BP is one of the world's largest oil and gas companies. It is present in more than 80 countries.

The company operates through two reportable business segments: exploration and production; and

refining and marketing. It also operates a third business segment, other businesses and corporate.

The exploration and production business includes oil and natural gas exploration, field development and

production (the upstream activities), together with related pipeline, transportation, and processing

activities (midstream activities). It also includes the marketing and trading of natural gas (including

liquefied natural gas or LNG), power, and natural gas liquids (NGLs). This segment includes upstreamand midstream activities in 30 countries, including Angola, Azerbaijan, Canada, Egypt, Russia, Trinidad &

Tobago (Trinidad), Norway, the UK, the US and locations within Asia-Pacific, Latin America, North Africa,

and the Middle East. The segment's activities also include gas marketing and trading activities, primarily

in Canada, Europe, and the US.

Upstream activities involve oil and natural gas exploration and field development and production. Its

exploration program is currently focused around Angola, Egypt, the deepwater Gulf of Mexico, Libya, the

North Sea, Oman, and onshore US. Major development areas include Algeria, Angola, Asia Pacific,

Azerbaijan, Egypt, and the deepwater Gulf of Mexico. During FY2009, production came from 21

countries. The principal areas of production are Angola, Asia-Pacific, Azerbaijan, Egypt, Latin America,the Middle East, Russia, Trinidad, the UK, and the US.

The midstream operations involve the ownership and management of crude oil and natural gas pipelines,

processing facilities and export terminals, and LNG processing facilities and transportation. It also

includes BP's NGL extraction businesses in the US, the UK, Canada, and Indonesia. Its most significant


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LEADING COMPANIES



midstream pipeline interests are the Trans-Alaska Pipeline System in the US, the Forties Pipeline System

and the Central Area Transmission System pipeline, both in the UK sector of the North Sea. The

company also has a significant midstream pipeline interest in the South Caucasus Pipeline (SCP), which

takes gas from Azerbaijan through Georgia to the Turkish border and in the Baku-Tbilisi-Ceyhan pipeline,

running through Azerbaijan, Georgia, and Turkey. Major LNG activities are located in Trinidad, Indonesia,

and Australia. BP is also investing in the LNG business in Angola. Additionally, BP's activities include the

marketing and trading of natural gas, power, and natural gas liquids.

BP's oil and natural gas production assets are located onshore and offshore and include wells, gathering

centers, in-field flow lines, processing facilities, storage facilities, offshore platforms, export systems

(transit lines), pipelines, and LNG plant facilities.

Upstream operations in Argentina, Bolivia, Chile, Abu Dhabi, Kazakhstan, Venezuela and Russia, as well

as some of BP's operations in Angola, Canada, and Indonesia are conducted through equity-accounted

entities.

The company's net proved hydrocarbon reserves, on an oil equivalent basis and excluding equity-

accounted entities, comprised 12,621 million barrels of oil equivalent (mmboe) as of FY2009. Its net

proved hydrocarbon reserves, on an oil equivalent basis for equity-accounted entities alone, comprised

5,671 mmboe as of FY2009. In FY2009, its total hydrocarbon production averaged 2,684 thousand

barrels of oil equivalent per day (mboe/d) for subsidiaries and 1,314 mboe/d for equity-accounted entities.

The total liquid production of BP as of FY2009 was 1,400 thousand barrels per day (mb/d), while liquids

production on equity-accounted entities alone, was 1,135 mb/d. For the same period, the total natural gas

production of BP was 7,450 million cubic feet per day (mmcf/d), while natural gas production on equity-

accounted entities alone was 1,035 mmcf/d.

The refining and marketing segment is responsible for the refining, manufacturing, supply and trading,

marketing, and transportation of crude oil, petroleum, and petrochemicals products and related services

to wholesale and retail customers. BP markets its products in more than 80 countries. It operates

primarily in Europe and the US and also manufactures and markets its products across Australasia,

Southern Africa, India, and China.

The refining and marketing segment consists of two main business groups: fuels value chains (FVCs),

and international businesses (IBs). In total, BP has interests in 16 refineries worldwide, including those

partially owned. These refineries had crude distillation capacities totaled to 3,689 mboe/d in FY2009, in

which BP had a share of 2,666 mboe/d.

The FVCs integrate the activities of refining, logistics, marketing, supply, and trading on a regional basis.

The IBs include the manufacturing, supply, and marketing of lubricants, petrochemicals, liquefied

petroleum gas (LPG), and aviation fuels. The company has six integrated FVCs. They are organized


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LEADING COMPANIES



regionally, covering the west coast and mid-west regions of the US, the Rhine region, Southern Africa,

Australasia (ANZ), and Iberia.

At the end of FY2009, BP's worldwide network consisted of about 22,400 retail sites operated under the

brands BP, Amoco, ARCO, and Aral. In FY2009, the company sold over 600 company-owned sites to

dealers, jobbers, and franchisees who continue to operate these sites under the BP brand. In addition, it

sold around 1,200 sites in Greece to Hellenic Petroleum, which continue to be operated under the BP

brand through a brand licensing agreement. BP also divested around 100 company-owned sites to third

parties.

At the end of FY2009, BP's retail network in the US comprised 11,500 branded retail sites, of which 1,200

were branded ampm. In Europe, the retail network consisted of 2,500 convenience retail sites in 10

countries. In addition, at the end of FY2009, BP had approximately 500 sites outside Europe and the US

in countries such as Australia, New Zealand, and South Africa.

BP's IBs provide products and offers to customers in more than 80 countries worldwide, primarily in

Europe, North America, and Asia. Its products include aviation and marine fuels, lubricants, LPG, and a

range of petrochemicals that are sold for use in the manufacture of other products such as fabrics, fibers,

and various plastics.

The company manufactures and markets lubricants and related products and services to the automotive,

industrial, marine, and energy markets across the world. It sells products directly to its customers in

around 46 countries. BP markets primarily through its major brands of Castrol, BP, and the Aral brand in

some specific markets.

BP's marine lubricants business supplies its products to many types of vessels from deep-sea fleets to

marine leisure-craft. BP's industrial lubricants business is a supplier to those sectors of the market

involved in the manufacture of automobiles, trucks, machinery components, and steel. BP is also a

supplier of lubricants for the offshore oil and aviation industries.

BP's petrochemicals operations comprise the global aromatics and acetyls businesses (A&A) and the

olefins and derivatives (O&D) businesses, predominantly in Asia. In A&A, BP manufactures and markets

three main product lines: purified terephthalic acid (PTA), paraxylene (PX), and acetic acid. BP has a

strong global market share in the PTA and acetic markets with a major manufacturing presence in Asia,

particularly China. In addition to these three main products, BP produces several other specialty

petrochemicals products. It operates 14 manufacturing sites located in the UK, the US, Belgium, China,Indonesia, Korea, Malaysia, and Taiwan, including joint ventures. In O&D, BP manufactures ethylene and

propylene from naphtha and also produces a number of downstream derivative products.

Air BP is one of the world's largest and best known aviation fuels suppliers, serving all the major

commercial airlines as well as the general aviation and military sectors. During FY2009, BP supplied its


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LEADING COMPANIES



aviation products to its customers in approximately 64 countries. BP's marine fuels business focuses on

the distribution and sale of refined fuel oils to the shipping industry.

The LPG business of BP sells bulk, bottled, automotive, and wholesale LPG products to a wide range of

customers in 12 countries. The other businesses and corporate segment of the company comprises

treasury (which includes interest income on the company's cash and cash equivalents), the company's

aluminum asset, the alternative energy business, and shipping and corporate activities worldwide.

The treasury co-ordinates the management of the company's major financial assets and liabilities. From

locations in the UK, the US, and the Asia-Pacific region, it provides the link between BP and the

international financial markets and makes available a range of financial services to the company,

including support for the financing of BP's projects around the world.

The aluminum business is a non-integrated producer and marketer of rolled aluminum products

(headquartered in Kentucky, US). The primary activity of BP's aluminum business is the supply ofaluminum coil to the beverage cans business, which it manufactures primarily from recycled aluminum.

Under its alternative energy business, BP is engaged in wind, solar, biofuels, hydrogen power, and

carbon capture and storage (CCS) technology businesses. With respect to wind power, BP has a net

wind generation capacity of 711MW. The company has wind farms in the US, the Netherlands, and in

Maharashtra, India. BP Solar operates the solar energy business of BP. It operates in the entire solar

value chain, from the acquisition of silicon as a raw material, the production of wafers and cells, to the

creation of solar panels that are then sold and distributed as solar systems on the roofs of residential

homes, large commercial buildings, and on vacant land. BP Solar's main production facilities are located

in Maryland (the US), Xi'an (China), and Bangalore (India).

Under its biofuels business, BP has plans to invest more than $1 billion in building its own biofuels

business operations, including partnerships with other companies to develop the technologies,

feedstocks, and processes required to produce advanced biofuels. These investments include a 50%

stake in Tropical BioEnergia, a joint venture with Santelisa Vale and Maeda Group, to produce bioethanol

from sugar cane; and a $90 million investment and strategic alliance with Verenium to accelerate the

development and commercialization of biofuels produced from lignocellulosic bioethanol. BP has been

working with DuPont since 2003 to explore new approaches to the development of biofuels. The first

product from this collaboration will be an advanced fuel molecule called biobutanol, which has higher

energy content than ethanol. BP has partnered with ABF (British Sugar) and DuPont to construct a

biofuels plant in Hull.

Hydrogen Energy International, a wholly owned subsidiary of BP, develops decarbonized energy projects

around the world. The venture focuses on hydrogen-fuelled power generation, using fossil fuels and CCS

technology to produce new large-scale supplies of clean electricity.


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LEADING COMPANIES



Through its shipping business, BP transports its products across oceans, around coastlines, and along

waterways, using a combination of BP-operated, time-chartered, and spot-chartered vessels. At the end

of FY2009, BP had an international fleet of 54 vessels (37 medium-size crude and product carriers, four

very large crude carriers, one North Sea shuttle tanker, eight LNG carriers, and four LPG carriers). All

these ships are double-hulled. Of the eight LNG carriers, BP manages one on behalf of a joint venture in

which it is a participant and operates seven LNG carriers. At the end of FY2009, BP had 104

hydrocarbon-carrying vessels above 600 deadweight tons on time-charter, of which 102 are double-

hulled. BP spot-charters vessels, typically for single voyages.

Key Metrics

The company recorded revenues of $308,928 million in the fiscal year ending December 2010, an

increase of 25.5% compared to fiscal 2009. Its net loss was $3,324 million in fiscal 2010, compared to a

net income of $16,578 million in the preceding year.

Table 7: BP Plc: key financials ($)

$ million 2006 2007 2008 2009 2010

Revenues 270,602.0 288,951.0 367,053.0 246,138.0 308,928.0

Net income (loss) 22,315.0 20,845.0 21,157.0 16,578.0 (3,324.0)

Total assets 217,601.0 236,076.0 228,238.0 235,968.0 272,262.0

Total liabilities 132,977.0 142,386.0 136,935.0 134,355.0 176,371.0

Employees 97,000 97,600 92,000 80,300 79,700

Source: company filings D A T A M O N I T O R


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Table 8: BP Plc: key financial ratios

Ratio 2006 2007 2008 2009 2010

Profit margin 8.2% 7.2% 5.8% 6.7% (1.1%)Revenue growth 10.9% 6.8% 27.0% (32.9%) 25.5%

Asset growth 5.2% 8.5% (3.3%) 3.4% 15.4%

Liabilities growth 5.4% 7.1% (3.8%) (1.9%) 31.3%

Debt/asset ratio 61.1% 60.3% 60.0% 56.9% 64.8%

Return on assets 10.5% 9.2% 9.1% 7.1% (1.3%)

Revenue per employee $2,789,711 $2,960,564 $3,989,707 $3,065,230 $3,876,136

Profit per employee $230,052 $213,576 $229,967 $206,451 ($41,706)


Figure 12: BP Plc: revenues & profitability



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Figure 13: BP Plc: assets & liabilities



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LEADING COMPANIES



Chevron Corporat ion

Table 9: Chevron Corporation: key facts

Head office: 6001 Bollinger Canyon Road, San Ramon, California 94583, USA

Telephone: 1 925 842 1000

Website: www.chevron.com


Ticker: CVX

Stock exchange: New York


n Corporation (Chevron) is a fully integrated energy company engaged in petroleum and chemicals

operations. It is also actively involved in mining operations of coal and other minerals, power generation,

and energy services. The company has operations in more than 100 countries including the US.

Chevron operates through four business divisions: upstream, downstream, chemicals, and all others.

Chevron's upstream business explores for and produces crude oil and natural gas. The company's

exploration and production operations also market natural gas. Chevron has production and exploration

activities in most of the world's major hydrocarbon basins. Its upstream activities in the US are

concentrated in California, the Gulf of Mexico, Louisiana, Texas, New Mexico, the Rocky Mountains, and

Alaska. In Africa, the company is engaged in exploration and production activities in Angola, Chad,

Democratic Republic of the Congo, and Nigeria. Major producing countries in Asia include Azerbaijan,

Bangladesh, Indonesia, Kazakhstan, and the Partitioned Zone located between Saudi Arabia and Kuwait.

Chevron also has upstream operations in other countries like Australia, Argentina, Brazil, Colombia,

Trinidad and Tobago, Venezuela, Canada, Greenland, Denmark, Faroe Islands, the Netherlands,

Norway, Poland, and the UK.

At the end of FY2009, worldwide net oil equivalent reserves for consolidated operations and affiliated

operations were 8.3 billion barrels and three billion barrels, respectively. The company's net proved

reserves of natural gas for consolidated operations and affiliated operations in FY2009 was 22,153 billion

cubic feet (Bcf) and 3,896 Bcf, respectively. Furthermore, the company's net proved reserve of liquids,

including crude oil, condensate, and natural gas liquids, for consolidated operations and affiliated

operations was 4.6 billion barrels and 2.4 billion barrels respectively.

Chevron's net crude oil and natural gas production for FY2009 was 1.8 million barrels per day. The

company's worldwide net oil-equivalent production was approximately 2.7 million barrels per day in


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FY2009. The company's net oil-equivalent production (including affiliates) from the US, Africa, Asia, and

other countries averaged 717,000 barrels per day, 433,000 barrels per day, 1,044,000 barrels per day,

and 484,000 barrels per day, respectively. The company's net production of natural gas and oil sands for

FY2009 was five Bcf per day and 26,000 barrels per day respectively.

Chevron's downstream operations comprise refining crude oil into finished petroleum products and

marketing crude oil and the many products derived from petroleum. It also transports crude oil, natural

gas, and petroleum products by pipeline, marine vessel, motor equipment, and rail car.

The company also holds interest in 16 fuel refineries and markets its products under the Chevron,

Texaco, and Caltex motor fuel and lubricants brands. It sells its products through a network of

approximately 22,000 retail stations, including those of affiliated companies. In FY2009, Chevron

processed approximately 1.9 million barrels of crude oil per day and averaged approximately 3.3 million

barrels per day of refined product sales worldwide. Downstream's most significant areas of operations are

sub-Saharan Africa, Southeast Asia, South Korea, the UK, the US Gulf Coast extending into LatinAmerica, and the US West Coast. Chevron markets petroleum products under three brands: Chevron,

Texaco, and Caltex. The company also manufactures gasoline additive under the brand name Techron.

The company supplies its products directly or through retailers and marketers to almost 9,600 branded

motor vehicle retail outlets, concentrated in the mid-Atlantic, southern, and western states of the US.

Approximately 500 of the outlets are company-owned or leased stations. Outside the US, Chevron

supplies directly or through retailers and marketers to approximately 12,400 branded service stations,

including affiliates.

The company is also engaged in other global marketing businesses. Chevron markets aviation fuel at

more than 1,000 airports. The company also markets an extensive line of lubricant and coolant products

under brand names that include Havoline, Delo, Ursa, Meropa, and Taro. The company sells its products

through a network of approximately 22,000 retail stations, including those of affiliated companies.

Chevron owns and operates an extensive network of crude-oil, refined-product, chemicals, natural-gas-

liquids (NGL), and natural-gas pipelines and other infrastructure assets in the US. The company also has

direct or indirect interests in other US and international pipelines. Chevron also has a 15% interest in the

Caspian Pipeline Consortium (CPC) affiliate. CPC operates a crude-oil export pipeline from the Tengiz

Field in Kazakhstan to the Russian Black Sea port of Novorossiysk. During FY2009, CPC transported an

average of approximately 743,000 barrels of crude oil per day, including 597,000 barrels per day from

Kazakhstan and 146,000 barrels per day from Russia.

Chemicals operations include the manufacture and marketing of commodity petrochemicals for industrial

applications, and fuel and lubricating oil additives. Chevron operates in the chemicals segment via its

50%-owned affiliate Chevron Phillips Chemical Company (CPChem) and the wholly-owned Chevron

Oronite Company (Chevron Oronite).


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LEADING COMPANIES



CPChem has 34 manufacturing facilities in the US, Brazil, Colombia, Singapore, China, South Korea,

Saudi Arabia, Qatar, and Belgium. Chevron Oronite is a fuel and lubricating-oil additives business that

owns and operates facilities in the US, France, the Netherlands, Singapore, Japan, and Brazil, and has

equity interests in facilities in India and Mexico.

The all others segment includes Chevron's mining operations, power generation businesses, worldwide

cash management and debt financing activities, corporate administrative functions, insurance operations,

real estate activities, alternative fuels, and technology companies.

Chevron's mining operations produce and market coal and molybdenum in both the US and international

markets. The company's coal mining and marketing subsidiary, Chevron Mining (CMI), owns and

operates two surface coal mines, McKinley, in New Mexico, and Kemmerer, in Wyoming, and one

underground coal mine, North River, in Alabama. In FY2009, the company controlled approximately 193

million tons of proven and probable coal reserves in the US, including reserves of low-sulfur coal.

Chevron's power generation business develops and operates commercial power projects. The company's

power generation business has interests in 13 power assets with a total operating capacity of more than

3,100 megawatts, primarily through joint ventures in the US and Asia. The company also owns major

geothermal operations in Indonesia and the Philippines.

Key Metrics


increase of 18.4% compared to fiscal 2009. Its net income was $19,024 million in fiscal 2010, compared

to a net income of $10,483 million in the preceding year.

Table 10: Chevron Corporation: key financials ($)

$ million 2006 2007 2008 2009 2010

Revenues 204,892.0 214,091.0 264,958.0 167,402.0 198,198.0

Net income (loss) 17,138.0 18,688.0 23,931.0 10,483.0 19,024.0

Total assets 132,628.0 148,786.0 161,165.0 164,621.0 184,769.0


Employees 55,882 65,000 66,716 64,132 58,267



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Table 11: Chevron Corporation: key financial ratios

Ratio 2006 2007 2008 2009 2010

Profit margin 8.4% 8.7% 9.0% 6.3% 9.6%Revenue growth 5.8% 4.5% 23.8% (36.8%) 18.4%

Asset growth 5.4% 12.2% 8.3% 2.1% 12.2%

Liabilities growth 0.8% 12.6% 8.3% (7.2%) 9.6%

Debt/asset ratio 48.0% 48.2% 48.2% 43.8% 42.7%

Return on assets 13.3% 13.3% 15.4% 6.4% 10.9%

Revenue per employee $3,666,512 $3,293,708 $3,971,431 $2,610,273 $3,401,548

Profit per employee $306,682 $287,508 $358,700 $163,460 $326,497


Figure 14: Chevron Corporation: revenues & profitability



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Figure 15: Chevron Corporation: assets & liabilities



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LEADING COMPANIES



OAO Gazprom

Table 12: OAO Gazprom: key facts

Head office: 16 Nametkina Street, V 420, GSP 7, Moscow 117997 RUS

Telephone: 7 495 719 3001

Fax: 7 495 719 8333

Website: www.gazprom.com


Ticker: GAZP, GAZP

Stock exchange: London, Moscow


Gazprom is a vertically integrated energy company. It is engaged in gas exploration, processing,

transport, and marketing. The company is also involved in the refining and production of crude oil and gas

condensate. It operates Russia's domestic gas pipeline network and delivers gas to countries across

Central Asia and Europe. Gazprom relies heavily on Western exports. Gazprom primarily operates in

Europe.

The company operates through eight business segments: production of gas; gas storage; transportation

of gas; distribution of gas; refining; production of crude oil and gas condensate; electric and heat energy

generation and sales; and other.

Gazprom is involved in the exploration and production of natural gas and hydrocarbons. It is the world's

largest company in terms of natural gas reserves. Major natural gas reserves (over 90%) are

concentrated in the 14 largest fields: those being developed - the Urengoyskoye, Yamburgskoye,

Zapolyarnoye, Medvezhye, Komsomolskoye, Yamsoveyskoye, Orenburgskoye, Astrakhanskoye, and

YuzhnoRusskoye fields; those ready for the development - the Bovanenkovskoye, Kharasaveyskoye, and

Shtokmanovskoye fields; and those being explored - the Severo-Kamennomysskoye and

Kamennomysskoye-more fields.

For FY2009, the company had natural gas reserves of 33.6 trillion cubic meters (tcm), 1,785 million tons

of oil, and 1,325.1 million tons of condensate. The incremental increase in reserves of natural gas due to

the geologic exploration work totaled 468.8 bcm, increase in reserves of condensate totaled 38.5 milliontons, and increase in oil reserves totaled 57.5 million tons. The natural gas production of Gazprom

accounts for about 14.5% of global output. Gazprom produced 461.5 bcm of natural and associated gas

in FY2009.


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During the year, gas condensate production in Russia totaled 10.1 million tons whereas oil production

totaled 31.6 million tons. The associated companies' production equal to the share owned by Gazprom

amounted to 0.7 million tons of gas condensate and 19.1 million tons of oil (including 16.9 million tons of

oil produced by Gazprom Neft's associated companies) in 2009.

Gazprom operates 25 underground gas storage facilities (UGSF) in Russia with an aggregate active

capacity of 65.2 bcm as of December 31, 2009. In FY2009, 15.7 bcm of natural gas were pumped into

and 30 bcm were withdrawn from UGSF in Russia.

The company's gas transportation system includes a vast network of trunk pipelines, compressor stations,

and UGSFs. Gazprom owns the world's largest gas transportation system capable of long-distance

transportation of natural gas to consumers in Russia and abroad. The average transportation distance in

FY2009 was 2,504 kilometers (km) for gas supplied to Russian consumers and 3,292 km for gas export

supplies.

As of December 31, 2009, the length of Gazprom's gas trunk pipelines was 160.4 thousand km which

included 46 thousand km of pipeline branches. The company had 215 compressor stations in operation,

which were used for gas transportation. The installed capacity of the company's 3,675 gas pumping units

is 42,000 megawatts (MW). In FY2009, Gazprom's gas transportation system received 589.7 bcm of

natural gas. The company transported 60 bcm of natural gas to companies outside the Gazprom group in

FY2009.

Gazprom's gas distribution subsidiaries own and maintain over 462,000 km of gas distribution pipelines,

which transport 168.2 bcm of natural gas, while its associated gas distribution subsidiaries own and

maintain 149,100 km of gas distribution pipelines, which transport 49.2 bcm of gas.

Gazprom sells gas in the domestic and foreign markets. The company sells over 50% of its natural gas in

the domestic market. It is the only supplier of natural gas to the regulated domestic market. In FY2009,

the company sold 262.5 bcm of gas in Russia, 67.7 bcm of gas in the FSU countries (Republics of the

former USSR, except for the Russian Federation), and 167.6 bcm of gas in far abroad countries (foreign

countries, excluding FSU Countries).

Gazprom refines its hydrocarbon raw materials using the facilities of the group's gas production and gas

refining subsidiaries and Gazprom Neft's companies. Gazprom performs primary refining of purchased

hydrocarbon raw materials and produces final products based on processing agreements signed with

various refining organizations. As of December 31, 2009, Gazprom's aggregate hydrocarbon processingand refining capacity comprised 52.5 bcm of natural gas and 75.4 million tons of unstable gas condensate

and oil (including the capacity of Gazprom Neft) per year.


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LEADING COMPANIES



Gazprom operates the following six refineries: the Astrakhan Gas Refinery, the Orenburg Gas Refinery,

the Sosnogorsky Gas Refinery, the Orenburg Helium Plant, the Urengoi Condensate Preparation Plant,

and the Surgut Condensate Stabilization Plant.

Gazprom Neft operates crude oil refining facilities. Its major refinery is Omsk Oil Refinery with the

installed capacity of 19.5 million tons of crude oil per year. Gazprom Neft also controls 38.63% of shares

in Moscow Oil Refinery (with the installed capacity of 12.2 million tons per year). It also has a 50%

shareholding in Slavneft-Yaroslavnefteorgsintez (50%) and the D.I. Mendeleyev Yaroslavl Oil Refinery

(50%).

Gazprom operates in the power generation sector through Mosenergo (with a generating capacity of

11,918 MW), OGK-2 (with a generating capacity of 8,695 MW), OGK-6 (with a generating capacity of

9,052 MW), and Kaunasskaya teplofikatsionnaya elektrostantsiya (with a generating capacity of 170 MW

in Lithuania). Gazprom also owns a 51.79% shareholding in OAO TGK-1, the third largest territorial

generating company in Russia in terms of its installed capacity (6,313 MW as of December 31, 2009).

At the end of December 2009, Gazprom's electricity generation capacity was 36,148 MW and heat

generation capacity was 54,556 gigacalorie per hour (Gcalh). The company generated 138.5 billion

kilowatt-hour (KWh) of power and 73.4 million gigacalorie (Gcal) of heat in FY2009.

Key Metrics




Table 13: OAO Gazprom: key financials ($)

$ million 2006 2007 2008 2009 2010

Revenues 53,646.1 58,322.7 118,887.8 98,278.1 118,192.9

Net income (loss) 11,292.7 11,843.8 5,685.2 26,082.6 32,792.3

Total assets 149,611.6 171,566.6 203,114.4 274,800.6 303,478.5


Employees 232,200 222,000 221,300 386,000 393,000



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Table 14: OAO Gazprom: key financials (RUB)

RUB million 2006 2007 2008 2009 2010

Revenues 1,632,653.0 1,774,979.4 3,618,204.0 2,990,971.0 3,597,054.0Net income (loss) 343,680.0 360,450.0 173,021.6 793,793.0 997,993.0

Total assets 4,553,244.2 5,221,417.2 6,181,534.2 8,363,215.0 9,235,993.0

Total liabilities 897,835.6 1,265,895.2 1,408,014.1 2,717,269.0 2,699,632.0


Table 15: OAO Gazprom: key financial ratios

Ratio 2006 2007 2008 2009 2010

Profit margin 21.1% 20.3% 4.8% 26.5% 27.7%Revenue growth 32.6% 8.7% 103.8% (17.3%) 20.3%

Asset growth 7.2% 14.7% 18.4% 35.3% 10.4%

Liabilities growth (0.4%) 41.0% 11.2% 93.0% (0.6%)

Debt/asset ratio 19.7% 24.2% 22.8% 32.5% 29.2%

Return on assets 7.8% 7.4% 3.0% 10.9% 11.3%

Revenue per employee $231,034 $262,715 $537,225 $254,606 $300,745

Profit per employee $48,634 $53,350 $25,690 $67,572 $83,441



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LEADING COMPANIES



Figure 16: OAO Gazprom: revenues & profitability


Figure 17: OAO Gazprom: assets & liabilities



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LEADING COMPANIES



Royal Dutch Shel l plc

Table 16: Royal Dutch Shell plc: key facts

Head office: Carel van Bylandtlaan 30, 2596 HR, The Hague NLD

Telephone: 31 70 377 9111

Fax: 31 70 377 3115

Website: www.shell.com


Ticker: RDS, RDSA

Stock exchange: New York, London


Royal Dutch Shell (Shell) is engaged in the aspects of the oil and natural gas industry worldwide. It is a

holding company which owns direct and indirect investments in a number of companies comprising the

group. Shell also has interests in chemicals, power generation, and renewable energy. The company has

extensive operations in more than 90 countries around the world.

Shell operates through two business segments: upstream and downstream.

The upstream segment explores for and recovers crude oil and natural gas around the world, along with

joint venture partners. The segment also engages in liquefying natural gas by cooling and transports it to

customers. It also converts natural gas to liquids (GTL) to provide cleaner burning fuels. The business

also markets and trades natural gas and power in support of Shell's businesses. It extracts bitumen from

mined oil sands and converts it to synthetic crude oil. Moreover, the segment also develops wind power

as a means to generate electricity.

The upstream segment consists of the upstream international and upstream Americas businesses.

Upstream international manages the upstream business outside the Americas. It also manages the global

LNG business and the wind business in Europe. The upstream Americas business manages the

upstream business in North and South America. It also extracts bitumen from oil sands that is converted

into synthetic crude oil. Additionally, it manages the US based wind business.

In FY2009, the company's total hydrocarbon production totaled 3,142 thousand barrels of oil equivalent(boe) per day. During FY2009, the company participated in 345 successful exploratory wells drilled

outside proved areas. Shell added acreage to its exploration portfolio, mainly from new licenses in

Australia, Brazil, Canada, Guyana, Italy, Jordan, Norway, and the US; and successfully bid for new

exploration licenses in Egypt, South Africa, and French Guiana.


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LEADING COMPANIES



In FY2009, Shell added 4,417 million boe of proved oil and gas reserves before accounting for

production, of which 3,632 million boe was from its subsidiaries and 785 million boe was associated with

Shell's share of equity-accounted investments.

The exploration and production business is supported by the exploration and production research and

development (R&D) directorate which is engaged in application of technology to enhance the cost-

efficiency and performance of the company's exploration and production activities. The directorate has

two main research and development laboratories, one in the Netherlands and another in the US.

Additional technology facilities are in Oman, Qatar, Norway, Canada, Germany, the UK, and India.

The downstream segment manages Shell's manufacturing, distribution, and marketing activities for oil

products and chemicals. The segment comprises the downstream businesses of manufacturing which

include the following: refining and supply and distribution; marketing which includes retail, business to

business (B2B), lubricants, and alternative energies and carbon dioxide (CO2) business; Shell Trading;

and Shell Global Solutions. The segment sells a range of products, including fuels, lubricants, bitumen,and liquefied petroleum gas (LPG) for home, transport, and industrial use. The chemicals business

produces and markets petrochemicals for industrial customers. The downstream segment also trades

Shell's flow of hydrocarbons and other energy related products, supplies the downstream businesses,

markets gas and power, and provides shipping services. The segment also oversees Shell's interests in

alternative energy (excluding wind) and CO2 management.

The manufacturing portfolio of Shell includes interests in over 35 refineries, with a capacity of

approximately four million barrels of crude oil per day. The distribution network includes about 250

distribution facilities, 2,500 storage tanks, and 9,000 kilometers of pipeline in about 60 countries.

Shell is one of the largest single branded retailers with about 44,000 service stations spanning more than

80 countries. The company sold 1.45 billion liters of fuel in FY2009. Shell Lubricants sells lubricant

products to customers across the transport sector for passenger cars, trucks, and coaches, as well as in

manufacturing, mining, power generation, and agriculture and construction industries in around 100

countries.

The B2B business of Shell sells fuels and special products and services to a broad range of commercial

client base through six separate businesses: Shell Aviation, Shell Marine Products, Shell Gas (LPG),

Shell Commercial Fuels, Shell Bitumen, and Shell Sulphur Solutions. The alternative energies and CO2

business manages the company's emerging businesses or functions to support the development of new

transport fuels until the business is integrated into Shell's mainstream businesses. These include GTLproducts, biofuels, and hydrogen. Alternative energies and CO2 is also responsible for leading energy

conservation and CO2 management activities across Shell.

Shell Trading, engaged in trading and shipping activities, trades about 15 million barrels of crude oil

equivalent per day. Shell Global Solutions provides business and operational consultancy, technical


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LEADING COMPANIES



services, and research and development expertise to Shell companies and the energy and processing

industries across the world. It supports the oil products, gas and power, and chemicals businesses of

Shell.

The chemicals business, a part of the company's downstream business, produces and sells

petrochemicals to industrial customers worldwide. These products are used in manufacturing plastics,

coatings, and detergents; which in turn are used in items such as fibers and textiles, thermal and

electrical insulation, medical equipment and sterile supplies, computers, vehicles, paints, and

biodegradable detergents. Shell has interests in more than 30 chemical manufacturing sites worldwide,

including joint ventures.

The segment produces base chemicals such as ethylene, propylene, and aromatics; and intermediates

chemicals such as styrene monomer, propylene oxide, solvents, detergent alcohols, ethylene oxide, and

ethylene glycol. The chemicals portfolio of the company includes several joint ventures: Infineum, Saudi

Petrochemical Company (SADAF), and Shell Petrochemicals Company (CSPCL).

Infineum is a 50:50 joint venture between Shell and Exxon Mobil. It formulates, manufactures, and

markets high-quality additives used in fuel, lubricants, and specialty additives and components. Infineum

has manufacturing centers in seven countries: the US, Mexico, Brazil, Germany, France, Italy, and

Singapore. SADAF produces base and intermediate chemicals for international markets. It is a 50:50 joint

venture between Shell and Saudi Basic Industries Corporation (SABIC). CSPCL is a 50:50 joint venture

between Shell and CNOOC Petrochemicals Investment. The company produces a variety of

petrochemicals for the Chinese market.

Shell also reports a non-operating segment, corporate, which represents the functional activities

supporting the whole group. This segment consists of the following functional activities: holdings and

treasury, headquarters and central functions, and Shell insurance operations.

The corporate segment also includes insurance underwriting results and the functional and service-center

costs that have not been allocated to the other segments. In addition, it also accounts for the interest and

other income of non-operational nature, interest expense, non-trading currency exchange effects, and tax

on these items.

Key Metrics





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LEADING COMPANIES



Table 17: Royal Dutch Shell plc: key financials ($)

$ million 2006 2007 2008 2009 2010

Revenues 318,845.0 355,782.0 458,361.0 278,188.0 458,361.0Net income (loss) 25,442.0 31,331.0 26,277.0 12,518.0 26,476.0

Total assets 235,276.0 269,470.0 282,401.0 292,181.0 322,560.0


Employees 108,000 104,000 102,000 102,000 0


Table 18: Royal Dutch Shell plc: key financial ratios

Ratio 2006 2007 2008 2009 2010Profit margin 8.0% 8.8% 5.7% 4.5% 5.8%

Revenue growth 3.9% 11.6% 28.8% (39.3%) 64.8%

Asset growth 7.2% 14.5% 4.8% 3.5% 10.4%

Liabilities growth 6.5% 12.3% 6.6% (0.7%) 12.2%

Debt/asset ratio 55.1% 54.0% 54.9% 52.7% 53.6%

Return on assets 11.2% 12.4% 9.5% 4.4% 8.6%



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LEADING COMPANIES



Figure 18: Royal Dutch Shell plc: revenues & profitability


Figure 19: Royal Dutch Shell plc: assets & liabilities



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MARKET FORECASTS



MARKET FORECASTS

Market value forecast

In 2015, the global oil & gas storage & transportation sector is forecast to have a value of $162.1 billion,an increase of 41.9% since 2010.

The compound annual growth rate of the sector in the period 201015 is predicted to be 7.3%.

Table 19: Global oil & gas storage & transportation sector value forecast: $ billion, 201015

Year $ billion billion % Growth

2010 114.2 86.0 32.6%

2011 112.7 84.9 (1.3%)

2012 123.2 92.8 9.3%

2013 142.5 107.3 15.7%

2014 160.1 120.6 12.3%

2015 162.1 122.1 1.2%

CAGR: 201015 7.3%


Figure 20: Global oil & gas storage & transportation sector value forecast: $ billion, 201015



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MARKET FORECASTS



Market volume forecast

In 2015, the global oil & gas storage & transportation sector is forecast to have a volume of 42.9 billion 0,


The compound annual growth rate of the sector in the period 201015 is predicted to be 2.3%.

Table 20: Global oil & gas storage & transportation sector volume forecast: billion 0, 201015

Year billion 0 % Growth

2010 38.4 1.6%

2011 39.5 2.9%

2012 40.5 2.7%

2013 41.3 1.8%

2014 42.2 2.2%

2015 42.91.8%

CAGR: 201015 2.3%


Figure 21: Global oil & gas storage & transportation sector volume forecast: billion 0, 201015



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APPENDIX



APPENDIX

Methodology

Datamonitor Industry Profiles draw on extensive primary and secondary research, all aggregated,analyzed, cross-checked and presented in a consistent and accessible style.

Review of in-house databases Created using 250,000+ industry interviews and consumer surveys

and supported by analysis from industry experts using highly complex modeling & forecasting tools,

Datamonitors in-house databases provide the foundation for all related industry profiles

Preparatory research We also maintain extensive in-house databases of news, analyst

commentary, company profiles and macroeconomic & demographic information, which enable our

researchers to build an accurate market overview

Definitions Market definitions are standardized to allow comparison from country to country. The

parameters of each definition are carefully reviewed at the start of the research process to ensure they

match the requirements of both the market and our clients

Extensive secondary research activities ensure we are always fully up-to-date with the latest

industry events and trends

Datamonitor aggregates and analyzes a number of secondary information sources, including:

- National/Governmental statistics

- International data (official international sources)

- National and International trade associations

- Broker and analyst reports

- Company Annual Reports

- Business information libraries and databases

Modeling & forecasting tools Datamonitor has developed powerful tools that allow quantitative

and qualitative data to be combined with related macroeconomic and demographic drivers to create

market models and forecasts, which can then be refined according to specific competitive, regulatory

and demand-related factors

Continuous quality controlensures that our processes and profiles remain focused, accurate and

up-to-date


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APPENDIX



Indu stry associat ions

Energy Information Administration

1000 Independence Avenue, SW Washington, DC 20585, USTel.: 001 202 586 8800

Fax: 001 202 586 9753

http://www.eia.doe.gov

The International Association of Independent Tanker Owners

Bogstadveien 27B, PO Box 5804 Majorstua, N-0308 Oslo, Norway

Tel.: 0047 2212 2640

Fax: 0047 2212 2641

http://www.intertanko.com/

Association of Oil Pipelines

1101 Vermont Ave., NW , Suite 604, Washington, DC 20005, US

Tel.: 001 202 408 7970

Fax: 001 202 408 7983

http://www.aopl.org/


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APPENDIX



Disclaimer

All Rights Reserved.

No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form

by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior

permission of the publisher, Datamonitor plc.

The facts of this report are believed to be correct at the time of publication but cannot be guaranteed.

Please note that the findings, conclusions and recommendations that Datamonitor delivers will be

based on information gathered in good faith from both primary and secondary sources, whose

accuracy we are not always in a position to guarantee. As such Datamonitor can accept no liability

whatever for actions taken based on any information that may subsequently prove to be incorrect.


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ABOUT DATAMONITOR

The Datamonitor Group is a world-leading provider of premium global business information, delivering

independent data, analysis and opinion across the Automotive, Consumer Markets, Energy & Utilities,

Financial Services, Logistics & Express, Pharmaceutical & Healthcare, Retail, Technology and

Telecoms industries.

Combining our industry knowledge and experience, we assist over 6,000 of the worlds leading

companies in making better strategic and operational decisions.

Delivered online via our user-friendly web platforms, our market intelligence products and services

ensure that you will achieve your desired commercial goals by giving you the insight you need to best

respond to your competitive environment.

Premium Reports

Datamonitor's premium reports are based on primary research with industry panels and consumers.We gather information on market segmentation, market growth and pricing, competitors and products.

Our experts then interpret this data to produce detailed forecasts and actionable recommendations,

helping you create new business opportunities and ideas.

Summary Reports

Our series of company, industry and country profiles complements our premium products, providing

top-level information on 30,000 companies, 3,000 industries and 100 countries. While they do not

contain the highly detailed breakdowns found in premium reports, profiles give you the most important

qualitative and quantitative summary information you need - including predictions and forecasts.

Datamoni tor consul t ing

We hope that the data and analysis in this profile will help you make informed and imaginative business

decisions. If you have further requirements, Datamonitors consulting team may be able to help you. For

more information about Datamonitors consulting capabilities, please contact us directly at

[email protected].


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