Suntera Booklet for Web

www.bouncedesign.net
LAGOS • LONDON • MOSCOW • NEW DELHI
i n f o @ s u n t e ra e n e rg y. c o m
Suntera is an innovative private energy company focused on
building a material oil and gas reserve base in rich
hydrocarbon basins, with unique relationships at the local and
regional levels with governments and energy groups. Suntera
has a highly experienced management team with a proven
track record in building energy businesses around the world.
Integrated gas projects have historically been the domain of
the oil and gas majors, but National Oil Companies (NOCs)
and emerging regional players are seeking a more active role
in developing such projects as they exercise increasing control
of their own resource base. Suntera works with these NOCs and
regional players as a constructive partner bringing technical
expertise, commercial structuring solutions, and established
resource-to-market relationships.
Suntera’s strategy is to create value for its stakeholders by
building a scalable platform of high quality assets at key
points along the energy chain through the application of its
principal competitive advantages: proven operating skills,
privileged access and flexible investment structures. Suntera
has developed a pipeline of new opportunities that can
absorb substantial amounts of capital and will firmly establish
Suntera as a significant energy company.
Suntera will continue to maintain its focus on growing the
business with a long term horizon.
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MIDDLE EAST
NIGERIA: LOCATION OF ASSETS
NIGERIA
OPL-905
OML 142
NIGERIA
AFRICA
Onitsha
Port Harcourt
NIGERIA
Gulf of Guinea
OML 142
OPL-905
Blocks of Interest
Oil Fields
Gas Fields
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NIGERIA:
A MAJOR PRODUCER OF HYDROCARBONS
• Most prolific oil producer in Sub-Saharan Africa
• Economy largely dependent on Oil & Gas sector accounting for 95% of
Nigeria’s foreign exchange earnings, 80% of government revenue and
INDUSTRY
HIGHLIGHTS
50% of GDP
• Proven oil reserves of 37.2bn barrels (2.7% of the world’s reserves) - 10th
largest petroleum reserves
• Proven natural gas reserves of around 185Tcf - 7th largest gas reserves in
the world
DOMESTIC GAS UTILIZATION
Nigeria with its enormous gas potential is currently experiencing a major gas revolution. The country
currently puts gas-to-power at the core, but also envisions an aggressive gas based industrial growth which
in turn will drive further growth of power demand.
In the Nigerian domestic market, some of the key industries which require gas include beer, soft drinks, pharmaceuticals, basic commodities, and other manufacturing industries that need gas for captive power
generation as well as process heat requirements. Targeting the industrial market for replacing high price
diesel (AGO) also allows gas to command a good price and build a profitable long-term business. Suntera’s
strategy is to carefully target this industrial market and develop it further before focusing on other potentially
lower-value offtakers for gas.
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NIGERIA: OML 142
OML 142 (originally OPL 205) was awarded in 1989 to Summit Oil, an indigenous Nigerian company owned
by the prominent Nigerian family of Chief MKO Abiola. The block was awarded as a Sole Risk License with
excellent fiscal terms. Suntera became a partner to Summit in 2006, and helped convert the block to a
20-year oil production license (OML 142) in 2010, with no minimum work programme. Suntera Nigeria 205 Ltd
is the technical party supporting Summit in its endeavours with 40% participation interest, whilst Summit
remains the operator. Suntera owns 50% of Suntera Nigeria 205 Ltd, with the rest of it equally held by two
Indian NOCs, Oil India Ltd and Indian Oil Corporation Ltd.
OML 142 is located on the northern edge of the prolific Niger delta petroleum province covering an area of
1,295km2, the largest OML size for Nigeria. The block has one condensate discovery, Otien, and a number of
undrilled prospects. It is Suntera’s intention to develop the Otien discovery and further explore the license
area. The block’s prospective resources are likely to exceed 1Tcf gas and 100MMbbls condensate.
OML 142 offers relatively low cost, and low risk exploration and development opportunities within a major oil
and gas province. It has potential to become the cornerstone of a regional gas processing cluster. The block
is close to existing oil and gas pipeline infrastructure thereby providing a variety of easy development
options.
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NIGERIA: OPL 905
Location of OPL 905
OPL 905 Prospects and Leads
OPL 905 is situated at the southern edge of the Anambra Basin to the northeast of the Niger Delta Complex.
It is a highly prospective exploration block with a significant upside potential, covering a very large area of
about 2600km2. It was awarded to GTPL under Inland Basin fiscal terms which provide more favourable
terms than conventional Nigerian PSCs. The PSC for OPL 905 was signed in April 2007 by NNPC, GTPL, Suntera
and Ideal Oil & Gas (nominated Local Content Vehicle). Suntera has a 40% participating interest and is the
foreign technical partner for the block, whilst GTPL remains the operator.
The block has two gas discoveries - Ihandiagu and Amansiodo. The recent 2D seismic study carried out at
Ihandiagu reveals a large untested deeper structure suggesting the potential for liquid hydrocarbons. The
Ihandiagu and Amansiodo discoveries, along with a number of other substantial prospects and leads are
estimated to hold multi-tcf gas with a proved volume already in excess of 300 BCF.
OPL 905 is in an accessible onshore area, with relatively easy drilling conditions. Power generation is
expected to offer the best opportunity for bulk gas offtake under the backdrop of power shortages and
market liberalization. Compressed Natural Gas (CNG) provides a means of delivering gas efficiently and
cost effectively to industrial and
commercial
users
currently
dependent on imported diesel. OPL
905’s gas can form the nucleus of
industrial
as
well
as
power
development which can accelerate
economic development in Enugu
and nearby states, and serve as the
nearest source of gas for the
gas-starved centre and north of
Nigeria.
Seismic Line 6 passing through IH-1 well over IH prospect depicting fault and payzones
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PARTNERSHIPS
OML 142 : Summit Oil International Limited
Indian Oil Corporation Limited
Indian Oil Corporation Limited (IOCL) is India's flagship National Oil Company holding 25% equity in
Suntera Nigeria 205 Limited. IOCL contributes to finance, technical inputs, and governance.
Abiola to embrace the independent indigenous upstream oil company concept
A Fortune-500 company, with a market capitalization of over US$14billion, IOCL is the largest refining and
• MKO Abiola was a popular Nigerian Yoruba businessman, publisher, politician and aristocrat of the Egba
marketing company in India. It operates 8 refineries and controls a refining capacity of 65.7 mmtpa. It has a
clan who ran for the presidency in 1993, and is widely regarded as the presumed winner of the
pipeline network of more than 10,300km. IOCL also operates the largest network of fuel stations in India. The
inconclusive election since no official final results were announced
overseas upstream portfolio of the company includes ten blocks spanning Libya, Iran, Gabon, Nigeria,
Timor-Leste, Yemen, Venezuela and USA.
• In May 2012, the President of Nigeria, Goodluck Jonathan, renamed the University of Lagos to Moshood
Abiola University in honour of MKO Abiola
To achieve the next level of growth, IOCL is scouting for new business opportunities, both in the upstream as
well as downstream sectors in the energy markets of Asia and Africa. The “Maharatna” status of IOCL grants
enhanced powers to the Board of company so as to facilitate expansion for their operations, both in domestic
as well as global markets.
• OPL 205, located largely in the Anambra Basin on the north edge of the Niger Delta, was granted to
Summit in 1990
• Summit discovered the Otien Field in 1992 – one of the first oil discoveries by a private indigenous
company in Nigeria
OPL 905 : Gas Transmission and Power Limited
Oil India Limited
Oil India Limited (OIL) is India’s second-largest National Oil Company holding 25% equity in Suntera Nigeria
• Gas Transmission and Power Limited (GTPL) is an indigenous, independent Nigerian E&P company
205 Limited. OIL contributes to finance, technical inputs, and governance.
• It is the local operating partner of Suntera for OPL905 under a Production Sharing Contract (PSC)
OIL is the oldest E&P Company in Asia with operations dating back to more than a century. It is a “Navratna”
arrangement with the Federal Government of Nigeria
Company primarily engaged in exploration, production and transportation of crude oil and natural gas
• The company aims to operate medium sized oil and gas fields
both in-country and overseas. OIL has an attractive asset portfolio with an expanding international
• GTPL is an emerging player in the Nigerian energy sector created with the objective of participating
presence. Within India, the company holds interests in 65 blocks with acreage of over 118,000km .
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Internationally, OIL holds interests in 20 blocks in 9 countries spread over 3 continents with acreage of around
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• Summit Oil International Limited is a pioneer oil company that was founded in 1990 by the Late MKO
actively in the diverse Nigerian energy spectrum with a focus on developing the gas value chain
• Objectives include
39,000km2. Additionally, it also holds a stake in a 741km pipeline in Sudan.
• Acquisition of oil and gas assets through bidding processes and farm-ins
OIL’s strategic vision is to become a global E&P player. The company therefore aims to expand its
• Form strategic alliances and partnerships with renowned energy companies within and outside
international footprint with a balanced presence in exploration acreages and producing properties.
• Nigeria who have proven technical and financial capabilities
OIL has a market capitalization of over US$5billion.
• Engage in extensive gas utilization & commercialization projects
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PRINCIPALS
MANAGEMENT TEAM
Nand Khemka
A. S. Soni
Chairman, SUN Group
Vice Chairman
• Over fifty years of business experience in India, Russia, Europe and the US
• Working with SUN Group for more than 8 years and has over 35 years experience in the Oil
& Gas industry
• Awarded with the Order of Friendship by the Prime Minister of Russia in 2009
• Previously, he was Director of Operations at ONGC and was responsible for Oil & Gas
• Member of the Russian Prime Minister’s Foreign Investment Advisory Council and the Russian
production across India. Also held additional charge of Chairman & Managing Director of
Prime Minister’s Foreign Business Leaders Council at the World Economic Forum in Davos
GAIL and Chairman of Petronet LNG
• Was the Honorary Consul General of Iceland in India for over 15 years and was awarded
with the Knights Order by President of Iceland. Currently Honorary Consul General of the
Republic of Jamaica in India
• Member of the Board of Overseers of Columbia Business School and Member of the Board of
Trustees of the International House in New York
• Member of the Executive Committee of the Federation of Indian Chambers of Commerce
and Industry (FICCI) and Chairman of the Indo- Russian Joint Business Council
• Master of Business Administration degree from Columbia Business School, New York
Sudhir Kamath
Managing Director
• Working with SUN Group since 2005, and has been the Managing Director of Suntera since 2009
• He was also a part of the team that led SUN Energy’s investments in Russia and the formation
of Suntera
• Previously, he has worked with McKinsey
Shridhar Mishra
Head - Technical
Shiv Khemka
• Mr. Mishra been with SUN Group since 2005, and currently heads all technical teams for Suntera
Vice Chairman, SUN Group
• He pioneered 3D seismic in India in mid-eighties and brings over 30 years of deep technical
• 26 years of investment and business experience, principally focused on Russia, countries of
expertise in Geology and Geophysics and has technically evaluated over 600 Oil & Gas
Former Soviet Union (FSU) and India
opportunities worldwide
• Founded and helped build one of the region’s largest brewing companies, SUN Brewing
(world’s 12th largest brewing company)
• Established and led SUN Capital Partners, one of the first private equity funds in Russia,
which invested in diverse sectors including natural resources
• Elected a Global Leader of Tomorrow at the World Economic Forum in Davos
Shyamal Barua
Head - Operations
• Heads production operations for Suntera and has more than 25 years of industry experience.
• Member of Prime Minister of Russia’s Foreign Investment Advisory Council
Highly experienced field engineer with a wide work experience, with expertise in managing
• Board of Overseers, Wharton Business School, and Board of Skolkovo Business School, Moscow
old and declining fields
• BA in economics from Brown University, a Masters in International Studies from Lauder
Institute and an M.B.A. with distinction from Wharton Business School
• Previously worked with ONGC, OVL in India, Kuwait Oil Company, Goldpetrol in Myanmar
and Jindal Petroleum in Georgia
Vinod Ranjan
Uday Khemka
Head - Exploration
Vice Chairman, SUN Group
• Heads exploration operations for Suntera and has 37 years of industry experience
• More than 24 years of investment, investment banking and entrepreneurial experience in
• Previously Group General Manager (Geology) at ONGC Videsh. Also served as Head of
varied emerging markets with particular focus on India and the countries of the former
Exploratory Projects that included management and planning of the entire project
Soviet Union
organisation for Iran, Brazil, Vietnam and Myanmar
• Worked with Credit Suisse First Boston and Morgan Stanley in London and New York,
• Major projects executed include exploration and discovery of big gas fields in Farsi offshore
established and led Morgan Stanley’s investment banking operation in India
area in Persian Gulf of Iran and in Myanmar
• Led SUN's investment management activities and the creation of private equity-focussed
fund franchises (today managing over $3b) in SUN's core markets, including joint ventures
with AREA, Sequoia Capital and others
• Member of the Board of Governors of the Indian School of Business (ISB) in Hyderabad and
the Board of The Synergos Institute in New York
• Elected a Young Global Leader at the World Economic Forum in Davos
• Undergraduate and Masters degrees from Cambridge University and MBA with distinction
from Harvard Business School (Baker Scholar)
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Mudit Gupta
Financial Controller
• Financial Controller for Suntera since October 2009.
• Previously worked with SUN Group from 1995 to 2002 in the Moscow office as well as in the
corporate office at Delhi, India
• He is a Fellow Chartered Accountant and an Associate Cost and Management Accountant
from India with more than 20 years experience.
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SOCIAL OUTREACH
The Company is involved in various corporate social responsibility initiatives, actively supporting the local
In Russia, the Group led the development of the Moscow School of Management SKOLKOVO. The Group's
cultural heritage and encouraging its partners to participate dynamically in projects aimed at enhancing
chairman Nand Khemka came up with the idea of creating an international world class business school in
the development of host communities.
Russia. The concept was enthusiastically supported by the Russian Government, and a group of socially
In Ehandiagu, the Company redeveloped a school. The Company also built primary school blocks and town
responsible Russian businessmen soon took leadership for the development of this project. In 2006 Vladimir
hall for the Egbokor community. In addition to this, the Company also provides school furniture, books and
Putin laid the foundation stone of SKOLKOVO.
other materials.
In 2009 the school launched its first full-time
MBA class. It is a matter of pride that
SKOLKOVO is ranked as a National Priority
venture and Prime Minister of the Russian
Federation
Dmitri
Medvedev
chairs
its
International Advisory Board.
The Group has contributed towards construction of sports facilities, classrooms and computerization at the
The principles of corporate social responsibility have been an integral part of the way SUN Group, the
school in Kluchevskoye village and it is a significant donor for local cultural, sports and social activities. The
promoter of Suntera, conducts its business.
Group has also helped develop and maintain village facilities including roads and water supply. In
Kazakhstan, the Group has been financing programs for the support and development of the socially
vulnerable population of Aktobe region. The Group has developed and maintains village facilities
including roads, parks, street lighting, schools and water supply. The Group has also contributed towards
building a Russian Orthodox Church and a Mosque near its Yubileinoye gold mine in Aktobe, Kazakhstan.
SUN Group contributed towards building a Russian Orthodox Church and Mosque in Kazakhstan
Russian Prime Minister, Vladimir Putin, decorates Nand Khemka, Chairman, SUN Group, with the Order of
Friendship, Russia’s highest civilian honour awarded to foreigners
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SUN GROUP’S GLOBAL PRESENCE
Moscow
Astana
London
New Delhi
Lagos
SUN Group
SUN Group is a leading principal investor in Russia, India and other
emerging markets. The founding shareholders of SUN are part of an
Indian family group that has been active in India for more than 100
years and first started working with Russia in 1958. SUN has been active
in areas such as Oil & Gas, Mining, Real Estate, Infrastructure, Food &
Beverage, Technology and Renewable Energy. The Group is also socially
active through its various philanthropic foundations. SUN Group's core
ENERGY
MINING
REAL ESTATE
ELECTRONICS &
COMMUNICATIONS
PRIVATE EQUITY/
ASSET
MANAGEMENT
values and experience benefit not only the stakeholders, partners and
the companies within the Group, but also the economies, societies and
communities in which it operates. In addition to the community service
programs and philanthropic activities that are encouraged at the local
levels of its operating companies, SUN Group supports larger-scale
philanthropic initiatives where the founders of the company have
established several institutions through which they work to impact
Oil, Gas &
Renewable
Assets in India &
Nigeria
Gold & Copper in
India, Russia,
Kazakhstan
Real Estate
Investment &
Development
Elcom Systems,
Elcom Innovations
& Aerospace
Venture Capital
Private Equity &
Real Estate Private
Equity Platforms
society regionally and internationally. SUN works actively on such
projects by creating a hub of international partnerships to mobilize
expertise, best practices and capacity building in the areas of
education, leadership and ethics, social entrepreneurship, environment
and climate change, health and livelihood, preserving cultural
heritage and community development.
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