Slide 1: Delivering Growth: 2005 Interim Results
Delivering Growth 2005 Interim Results 25 August 2005 This presentation contains forward iooking statements that are subject to risk factors associated with thé oil and gas industry. itis believed that the expectations reflected in these statements are reasonable, but they may be affected by a range
Slide 2: Half year key results
Production (mimboe) Sales revenue ($m) Net profit after tax (401) Operating cash flow ($m) Gearing (%) Dividend (cents) TSR (% annualised) 26.3 1019.1 289.5 565.2 33.6 18.0 73.0
Slide 3: Total Recordable Case Frequency Rate
il Total Recordable Case Frequency Rate Gecordable injuries per milion Work hours) Full Year 2002 6) Full Year 2003 Full Year 2004 F fn YTD:2009:5:4.9 Jans TTC ii’ 1 mM ii AN we aa Norio Africa, Central & Sk Asia, USA Easter Australia conventional gas and oi, CSG Western Australia gas and i 2001 200
Slide 4: Progress (Post sanction)
Progress (Post sanction) Mutineer-Exeter startup «Cooper oil production 420% Bayu-Undan condensate Average gas price +10% a Maleo Sanctioned = OyOng dn development: = Casing devyelooment dilling above expectations Bayu-Undan pipeline completed John Brookes good appraisal results Jerak SD seismic acq
Slide 5: Bayu-Undan Liquids
SBayu-Uadan Liquid: Mutineer-Exeter. : fea) S a a SS oS & : e B é i E SS oS bt Ray
Slide 6: Exploration
405.7) = Exploration Expensed: ‘Operating: items. Nor: Feclirring dterns* 13 Halt 2004 Adjusted Recurring 42 Male 2005 15 Hall 2004 Peont
Slide 7: Bayu-Undan
Bayu-tndan commences Mopmba ae mena. OMS oc Mibneer Exeter: Ovens. Males ‘Tipperary ed: ‘Start-up: -acguired ‘Startup. sanctioned. sanctioned BEGUISIHON Acguired: Bani Feb Ap Onshore: East Spar Bayd-Undan shut in Golden Obway sold ‘Shut for de-bottienecking Béach sold kirricane SE Héany 3 Hiv Aman @
Slide 8: Moomba incident and production cost
Moomba incident 400 Half 2004 Moomba incident i? Halt 2004 Production Cost $5.98/hoe Controtieble Rems Gas Louis Prices Gas 2folimss: Volumes Jncrease in Volumes (6) (14) | : i New: Fields + Acquisitions: Proguction Cast: $5.67 /boe 494 > c_] 102 USD Weakness: Liguids PHCeG 1° Hall 2005. Increased C
Slide 9: Supply & contracting
UT a Supply & contracting Drilling Organisational redesign Engineering initiatives Shared business services Other savings Ml Opex actbal sovings a le OU UL) l i! rollable items 158 1936 928 ERED 17/8 ve Gas Uguics PERS Volumes Volumes Gas Moomba Incident 47 Half 2004 TA Hall 2005:
Slide 10: Impairment reversal
MAMMA Lit 355 y fe ' Volumes: Prices Moomba incident te alt 2004. Halt 2005 Ampairment reversal After tax impairment reversal increased DDKA impairment History : AIPRS transition 1 January 2004 $351m wiite-down © Half year 30 June 2004 no movement Year 6nd 31 December 2004 $5 reversal 10
Slide 11: Exploration expense
Rete Increase 273 (19) : impaisment 472 {4 ; Reuersal wy - ve O4 ; Moomba ; Reserves ; East Spar Incident f BOCs i shut in AP alt 2004 Halt 2005: OBL i boe 1938 {hoe Leese incurred Expensed incutred Expensed Seismic, GRG, studies 33.9 337 30.2 30.2 Drilling 75.8 37.6 aid iQ" 11
Slide 12: Profit drivers
5) S| im i: Costs = Other Une DDRAY impairaient Exploration B® Evaluation Expense Liquids Prices Gas Volumes Prices, Moomba Incident. 4° Halt 2004 Mal€ 2005 Tax change C_12% CAGR > CAGR \ M V De a / 4 Moomba incident 12
Slide 13: Enhancing existing core areas
Enhancing existing core areas Maturing emerging core aréas ~ Identifying new core areas Production 89%: ‘2P Reserves 8% Contingabt: Resautces 76% | Pastern Australia conventional gas dnd oll CSG ‘Western Australia gas-and oil 2001 2003 2005 2007 2009 2011 13 2013
Slide 14: Leading position in gas market
seeding position ii gas market » Established infrastructure 2 Exploitation opportanities: ‘Asset: diversity: ©. Established infrastructure « Commercialisation opportunities. NONI # World class asset ® Proximity to markets Infrastructure, cost synergies ® Production growth Increased exploration acrea
Slide 15: Interests in all major supply basins
* Interests in all major supply basins » Extensive infrastructure » Gas marketing expertise Swap opportunities » Innovative contracting options « Storage infrastructure is » 35 Pi/yr, 283 Pl 2P » Construction 63% complete » Henry 1 discovery to supplement Casino » Acquired OMV & Trinity interests «
Slide 16: Production update
ry af * Commenced production March 2005 « 3 months early, 10% under budget « Averaged 72,000 bapd in Q2 « Current rate >80,000 bopd » Rapid payback ‘es « Successful appraisal drilling » Development drilling completed « CO; removal facility accelerated « Startup expected September 2005 « More gas sol
Slide 17: LNG infrastructure
UNG itrastuctuce * Ouiling material prospects 4 Material portiglis 4 Large contingent ges sesources 4 Pssbple: exploration targets & Dereage position JOGAA Liguids (10.6%) » Statutory inspection, pipeline tie in and debottlenecking completed * 100,000 + bpd liquids post shutdown « Ramp Up to 3 Mi/yr
Slide 18: Indonesia
CAMA Acreage Acquisition & Evaluation East Java Kutei North Bati i » First phase: oil production te start end 2005 to early 2006 « Development drilling in progress « Second phase: gas likely 2007 » Gas sales agreement signed » Start-up second half 2006 » Gas reserves sold for clectricity » Productio
Slide 19: Jeruk appraisal
» 3D Seismic survey acquired + Data being processed «+ Awe to three wells planned to be drilled during second half a Jeruk 2 S15 in progress » Jeruk 2 514 data being assimilated inte models Jeruk 1 discovery Jeruk 2 appraisal Jerk 2 re-entry 30 seismic acquisition 30 seisiic processing: 3D seismic i
Slide 20: Donggala PSC
4 Aequired 50% operated interest in Donggala PSC = a Three wells drilled YTD « Discovered gas and of at Hii Aman « 2006 exploration and appraisal drilling program in preparation Production: ae 2P Resarvas 1% ‘Contingent Resources North Afica, Central & SE Asia, USA 2005 2007 2009 2011 2013 20
Slide 21: Outlook
» Recent farm-in, due diligence review in progress Staged work program 2005 to 2008 «16,500 km tn 10 blocks eee Earning 80% equity e Production - Increased to 55 mmiboe in 2005 * AL least 10% further growth in 2006 « Development + Start-up of John Brookes ~ Progress al Casina, Oyotig, Bayu-indan, Ma
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Slide 23: Reference slides
Reference slides Rainy ( Brae Ras AGU Galt of Sts a ee eee UL ee (ees ios [001 ee cae a 2 ee ice ea ee I I ESTES EIS HL oe ee 7 ee ee eee ie ee oom eee | ieee ee Se Fe 23
Slide 24: Prices and operating costs
Realised Oil Price (US$/bb1) Realised Oil Price (A$/bbl) Santos Average Gas Price AG/G] AS/USS Exchange Rate (after hedging} Production costs Pipeling tariffs Royalties PRRT Total operating costs Gas purchases inventory movement DD&A 24
Slide 25: Gross profit and non-recurring items
Gross profit Other revenue Exploration & evaluation expense Impairment SGRA expenses Borrowing costs Income tax Foreign-currency gains / (losses) Non-r SU impairment reversal dricremmental depletion and depreciation due to impatiment reversal Accelerated depreciation due to East Spar shut-in Organis
Slide 26: Exploration and capital expenditure
A Exploration Delineation Development Acquisitions Exploration 79. Bayu-tindae liquids: BayieUndad UNG: Mutinder Exeter John Brookes: Cooper gas, 97 TS Cooper'oll BRO. Mooniba LBP reoulld: NSA Estonesia Southern Adstralia Comorate & Other 26
Slide 27: Sales and profit sensitivities
Sales Oberating costs (213) Depletion & deprecation (208) Other revenue Exploration & evaluation Impairment Foreign currency Other expenses Finance costs Net profit before tax Income tex expense US dollar oil price US$ t/bbI $A/SUS exchange rate 1 cent Interest rates 1% 27