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2013 ATPAC Annual Meeting 

Thailand-U.S. Cooperation:

From R&D to Commercialization

August 29 , 2013Bangkok, Thailand

Thailand and S&T Related Venture Capital

Noppawan Tanpipat, Ph.D.

Vice President, Innovation Strategy and Partnering

PTT Global Chemical Public Company Limited (PTTGC)

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2Strictly Confidential 2

Agenda

Agenda

PTTGC Business Overview A result entity of amalgamation

Product portfolio and global business

PTTGC strategic approach to technologies Focus of corporate venture capital in innovation process

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3Strictly Confidential 3

Agenda

Agenda

PTTGC Business Overview PTTGC at a glance

Product portfolio and global business

PTTGC strategic approach to technologies Focus of corporate venture capital in innovation process

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4Strictly Confidential 4

ICIS Top 100 Chemical Companies

Ranking of the world’s largest chemical producers

(listing based on 2011 sales)

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5Strictly Confidential 5

PTTGC: The Chemical Flagship of PTT Group

PTT is the national energy company engaged in conducting an

integrated petroleum and petrochemicals business with the market

capitalization of US$33bn1, ranked as 95th in Fortune 100 company

• Polymer producer with the combined production capacity of 3,482 ktpa and

products ranging from HDPE, LLDPE, LDPE, PP, PS and ABS

• 7th largest aromatic producer in Asia with capacity of 3,526ktpa

• First and sole producer of phenol, acetone, ACN ethylene oxide and related

products in Thailand

• Business partner with world’s leading companies such as LyondellBasell from

Netherlands, Asahi Kasei Chemical from Japan, Sime Darby Plantation from

Malaysia, Cargill from the US, and Perstorp from Sweden

THE LARGEST OLEFINSPRODUCER IN THAILAND ANDFIFTH IN ASIA

1

COUNTRIES OPERATING

PETROCHEMICAL CAPACITY

[Million tonnes per annum]

5EMPLOYEE

3531

SALES

[Billion USD]

18.6*

Note: 1) As of 30 March 2012

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Fully Integrated Petrochemical and Refinery Operations with

Diversified Product Portfolio

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Leading chemicals company in South-East Asia withbroadest expertise in downstream derivatives

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Diversified Product Portfolio and End Markets

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Agenda

Agenda

PTTGC Business Overview PTTGC at a glance

Product portfolio and global business

PTTGC strategic approach to technologies Focus of corporate venture capital in innovation process

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Global Business: Asia, Europe and US

12

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page 12

Global Megatrends Impacting Chemical/Plastic Industry

Convenience

Urbanization

Next Billion

Customers &

Rise of Asian

Demand

New Materials /

Substitutes

Energy

ConservationWaste

Reduction

Regulations,

Environment,

and Health

MonomerPolymerization/

ConversionCompounding Processing End Users

“The Trends of Changing World Impact the

Plastics Value Chain in Many Aspect.” 

Global

Warming

Sustainability

Health &

wellness

Transportation

13

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R&D Development Phase & Gap 

Source: Modified from BCG Analysis

Science & Innovation 

Innovation and emerging technology acquisition

arms to PTTCG

PTT Chemical

International

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CVC Agenda

Market

Captured Un-Captured

   E   x   i   s

   t   i   n   g

   N   e   w 

   T   e   c    h   n   o    l   o   g   y

Future business

growth enabled by

new technology

“Green and Transformative”— CVC as an accelerator to

growth beyond current business focus.

Value

creation

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S&I Model To Acquire Emerging Technology 

Corporate venture capital (CVC) as one of strategic technology investment arms

o Strategic benefits

o Open “window on new technology” through venture investments.

o Leverage external sources of innovation through contact with “technology-based investment bankers,

entrepreneurs, scientists, deal finders and makers, consultants and network ”. 

o Create opportunities in joint development and become strategic partners.o Strengthen entrepreneurial companies’ product marketing through the existing corporate’s marketing experience

and contacts.

o Financial benefits

o Shorten time and OPEX expenditure in leveraging R&D technology to be commercialized.

o Minimize risk and impact from technology failure via indirect investment while managing opportunity of getting

returns on investments upon exit events, such as IPOs or sales to third parties.

o Potentially acquire a “right to operate (or produce)” of new and innovative processes (or products) to compete in

their existing market via emerging technology.

Client orstakeholder

views 

Researcherinterests and

views 

Corporatestrategy

andpriorities 

ResearchTechnology

Development Prototypeand Trial 

Technology Platform 

Collaboration and Partnering

In-houseR&D 

VCFund 

Portfolio Companies 

Technology Incubator  

Joint Development OpportunityDirectInvestment 

IndirectInvestment 

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Example: Synthetic Biology

Source: Technology Strategy Broad, “A synthetic biology roadmap for the UK” 

Synthetic biology: Development of new bio-synthetic route to a wide range of products

page 18

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Value Proposition by CVC

Client orstakeholder

views

Researcherinterests

and views

Corporate

strategyand

priorities

Research TechnologyDevelopmentPrototypeand Trial

Technology Platform

In-house andCollaborative

R&D

CVC Portfolio Companies

Technology Incubator

Indirect

Investment

Joint

developmentStrategic

alliances

Shortcut for Risky technology development and

Commercialization of new emerging innovation at reduced risk.

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Collaboration & Partnering

University

Government Agency

Industry

page 20

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page 20

S&I Expansion

Life Science Research Unit

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www.pttgcgroup.com 

555/1 Energy Complex, Building A, 14th – 18th Floor,

Vibhavadi Rangsit Road, Chatuchak, Bangkok 10900 Thailand.

Telephone : +66 (0) 2265-8400

Fax : +66 (0) 2265-8500

Thank You