1. Petdrill Development Company
Gas Conversion Complex
Delta State, Nigeria
Presented by KINGSLAND GROUP
Ma r c h
20 1 3

2. Petdrill Development Company
Gas Conversion Complex Project
EPC Proposal
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information shall be published, reproduced, copied, disclosed or used for any purpose other than
the review and consideration of this document without written approval of Kingsland Group.

3. Index
The Vision
The Company
The Business Opportunity
The Project
The Business Plan
The proposal
Summary

4. TheVision
The Petdrill’s vision is to create a world class gas conversion plant
that will provide the benefits economically, empowerment,
environmental enrichment and widespread employment of qualified
natives and technocrats.
The Company will reduce gas flaring in the Niger Delta region by
developing a state of the art Liquefied Natural Gas conversion plant
in Isoko North Local Government Area of Delta State.
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5. TheCompany
PETDRILL DEVELOPMENT COMPANY LIMITED was incorporated in
Nigeria in the year 1992.
The purpose of the company is providing oil and gas services in
the petrochemical industry. The Company was formed with an
objective for optimum utilization of flared gas in the Niger Delta.
The Company is constructing a gas conversion plant in
Oghere-Emevor in Isoko North Local Government Area of Delta
State.
Chief Daniel Ogwilaya founded and manages PETDRILL DEVELOPMENT
COMPANY LIMITED since its foundation
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6. BusinessCard
Chief Daniel Ogwilaya : Chairman & CEO
Chief Ogwilaya is a Bachelor of Science Degree in Mechanical
Engineering from the University of Lagos.
The Chief worked with Shell - British Petroleum Development Company of Nigeria from
1971 to 1973 as a Pupil Petroleum Engineer. He joined OAC Nigeria Limited in 1973
and worked as General Manager Engineering Division before commencing a
partnership relationship with the Metrop Group of Geneva in 1975.
The Chief served as Metrop Group’s local representative in Nigeria and Dahomey (now
Republic of Benin) under the name SOGEXIM Agencies Ltd.
The Chief managed these companies until the government of the Republic of Benin
acquired Sogexim Benin and renamed it Metreaux Benin. The company was into the
marketing and sales of crude oil and refined petroleum products. The Chief took over
the administration of Togo refinery in 1985 but left three years later due to serious
political turbulence in that country.
In 1990 The Chief formed Petdrill Resources Limited – an oil services company which
had extensive collaborations with Chevron Nigeria Ltd and Shell Petroleum
Development Company of Nigeria.
Petdrill Development Company Limited was incorporated to embark on the gas
conversion project and fight gas flaring in the Niger Delta.
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7. TheBusinessOpportunity
Fully guaranteed payback of investment in relatively short period.
Possibility of hooking up to additional projects with local
government.
Political connections of the Chief may open up additional doors in
Nigeria and Africa.
Due to the dense presence of foreign companies in Nigeria, new
business connections will be forged.
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8. ProjectDescription
Gas from the well is transported to the plant via
pipeline and trucks.
The holding tank farm, the gas goes to the
processing unit in the plan where the products
such Methanol, Ethanol, Urea etc. will be
extracted and residual gas is transferred for use
for the power plant.
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9. Point of Collection
VisualDescription
LPG
Alcohol
25 KM
central unloading point
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10. ProjectDescription (2)
In the future, the transport of gas by trucks will be replaced
with pipelines that will move the gas from all 32 fields to one
central logistic point at the factory
Area of the 32
points of
collection for
the g as fr om
g r o u n d
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11. Producefromtheproject:
The Gas Conversion Complex plant will turn out the following
on a daily basis :
• 400 metric tons of LPG (cooking and industrial gas)
• 3,000 metric tons of Methanol
• 1,000 metric tons of Ethanol
• 2,000 metric tons of mixed alcohols
• 1,760 metric tons of Urea for fertilizer
• Residue gas to generate over 400 Megawatts of electricity
The Company will be utilizing 160 million standard cubic foot of Natural Gas at a flow rate of about 200 million standard cubic foot per day in the first phas
e of the project. This is slated to increase to 1 billion standard cubic foot of natural gas at phase two and three of the project.
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12. TheProject-Marketing
The mission of Petdrill is to improve the socioeconomic welfare of its
shareholders and produce excellent returns on investments through
community partnered initiatives.
The company will achieve total revenue of over USD693M yearly.
The company has of Japan
(web site: http://www.mitsui.co.jp/en/) as off - takers of the project for an initial
period of twenty (20) years and renewable very two (2) years thereafter.
Total value of contract over 20 years: 13,860 billion USD
Market Analysis
The target market for Methanol and Ethanol is Japan and other Asian
countries.
The target market for LPG is Nigeria, other West African countries,
Europe, North America and Asia
The target market for Urea is Nigeria, other West African countries,
Europe, North America and Asia respectively
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13. TheProject-MarketAnalysis (2)
Competitive Advantages
The competitive edge for Petdrill is a mix of significant factors, which includes but not
limited to the following:
This will be the first full spectrum commercial gas conversion plant in West Africa.
Cost savings will accrue from the reduced necessity to export LNG to foreign conversion
plants for subsequent importation of the fractionalized products.
Proximity to abundant gas reserves in the Niger Delta.
*Possession of supply MOU with the NNPC and NGC.
*Expansive (land) assets in the region.
*Existing off-take agreement with Mitsui.
*Growing national and global demand for products.
A robust management team with strong experience in the Nigerian oil and gas industry.
Deeply rooted relationship between the promoters of the Company and the host
community.
Favorable legislations by the Government on Oil & Gas projects.
The presence of national gas policy makers in both the management team and the
advisory board.
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14. TheBusinessPlan
The Total Project Cost - USD 1.8 billion
The company has acquired the following acres of land for the
entire project:
92 Acre for the factory site
150 Acre for workers Estate
50 Acre for Guest House to take care of clients and visitors
25 Acre for Jetty for export loading
5 Acre for office accommodation
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15. TheBusinessPlan (2)
Thebreakd
ownis as following :
Land 25,000,000
Workers Estate 23,000,000
Jetty Land 25,000,000
Licenses 12,000,000
Building :
Office Complex 100,000
Gas Pipeline 350,000,000
Motor Vehicles 10,000,000
Jetty construction cost 10,000,000
Compensation to Host Communities 20,000,000
Plant and Machineries 800,000,000
Site preparation 130,000,000
Contingencies 200,000,000
Admin & other start up cost 1,000,000
Audit fees and professional charges 1,000,000
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16. TheBusinessPlan (3)
Income Forecast USD 693 million
Methanol ($ 250 MT) 224,352,000
Ethanol ($ 270 MT) 52,254,720
LPG ($ 750 MT) 36,288,000
Urea ($ 600 MT) 380,160,000
*Price of Methanol is set at reduced value of 50% in order be conservative*
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17. TheBusinessPlan (4)
BASICASSUMPTION
The prevailing conducive and economic climate will continue
There will be no significant changes in the rate of inflation currently hovering around 13.8%
there will be no significant changes in foreign exchanges rate currently hovering around 120
Nigeria Naira per one United State Dollar.
Government will neither enact new laws nor pursue policies that will affect the Oil and Gas
sector and in extension Petdrill Development Limited.
Corporate tax rates currently standing at 32% and the payment policy of one year in arrears will
not be alters significantly.
The company’s financial year will run from January to December
The company will commence construction work by the end of the second quarter of the grant of the
loan.
The company will use 18 months to complete the construction work and installation of plants and
machineries.
The current price of methanol and ethanol will be stable.
There will be a 20% delay in revenue collection (20% credit allowance).
Industrial harmony will prevent with little chances of workers’ strikes; disagreement; shut downs
and likes.
Natural unpleasant occurrences such as earthquakes; floods; bad weather will not occur
significantly as to affect the company’s operations significantly.
Industrial hazards such as accidents will be minimized.
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18. TheBusinessPlan (5)
ProfitForecast
2014 2015 2016
$000,000,000 $000,000,000 $000,000,000
Turnover 693 776 916
Profit before Tax 392 474 612
Tax
Profit after Tax 392 474 462
Dividend Provision 150 150 150
Retained Profit b/f 242 324 462
Retained Profit 242 566
Retained profit cash flow 242 566
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19. TheProposal
Main points of the proposal
The total budget is assessed at 1.3 billion USD.
Petdrill Ltd. will commit to bring finance at a rate of 5% of the
construction budget, including collateral as per demand of the
Chinese conglomerates.
The company will achieve a total revenue of USD 693M yearly – as a
minimum.
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20. TheProposal (2)
Structuring proposal for the EPC and funding
The total project cost project is 1.8 Billion USD, which the Contraction
budget is estimate at 1.3 Billion USD, while the initial capital is 5%,
(meaning 65 .M USD). This amount should be seen as down payment
during the first stage.
The execution of the EPC of the project will include:
Establishment of the plant
Establishment of the hotel compound
Execution of all pipelines and infrastructure
All remains up to activation
Financing of the above up to 95% of the construction budget
(Assessed at 1.3 billion USD)
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21. TheProposal–Technology (3)
Petdrill Ltd. requests to consider purchasing the technology as per
following specifications
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22. TheProposal-Financial (4)
There are three options of structuring the collateral issue:
Option A
The Mitsui contract will serve as collateral.
Option B
Raw material (LPG, Ethanol, Urea, electricity, mixed alcohol etc.)
could be provided as collateral as well. Quantity and duration are
subject to negotiations.
Option C
EPC Company has option to bring in its own off taker, who
may negotiate the purchase one or more products from the
project.
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23. Summary
Viability - The project is viable given the fact that gas flaring is a
Government policy and to harness the rich potential of the abundance of
oil and gas resources in Nigeria. This is the first time in the history of the
country that the natural gas will be put into proper usage and also
judging from the financial projections couple with the fact that the
company already has an off taker for the project for the initial twenty (20)
years.
Technicality - The Company has engaged the services of world class
Engineers Jacobs Engineering Group
(Web site: http://www.jacobs.com/) of USA who is a major player in Gas
Conversion Worldwide are the manager of the Conversion Gas Plant.
With the availability of the financing of the facility, Petdrill Development
Company limited can easily construct and commission the Conversion
plant and with a crack management team as envisions; technical
handicaps will be reduced to the minimum
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24. Summary(2)
Profitability - The financial projections have shown that the venture will
fare profitability. With a yearly profit before tax of USD392Million it is
profitable to invest into the project.
Liquidity - The cash flow statement in the financial projections section
shows that the company will start making profit from the first year of
operation as shown in the cash flow projection. The major cash outflow
will be in dividend payment and loan repayment and attendant interests
The cash flow statement shows that the company will meet its liabilities
as and when they fall due.
Furthermore; Petdrill Development Company limited will maintain a very
good relationship with the bankers so that it can obtain funds
from them easily to take care of unforeseen eventualities.
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25. Summary(3)
Community services - The Chief has graciously decided to offer the
products, including electricity at a discounted rate for the people living in
the vicinity of the project – the area of his birth.
The project creates 25,000 job opportunities for the people in the Delta
area, an area pestered with a lack of jobs.
The project will create improvement in housing, education and health
services, i.e.: prosperity.
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26. Thank You
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