Japan Petroleum Exploration Co., Ltd. · TSE:1662

Japan Petroleum Exploration — H1 FY2010 Earnings Presentation

30 slides from Japan Petroleum Exploration's earnings presentation, Nov 9, 2009

  1. Slide 1: Presentation of Consolidated Financial Results for the Six Months Ended September 30, 2009

    Note: The following report is an English translation of the Japanese-language original. Presentation of Consolidated Financial Results for the Six Months Ended September 30, 2009 November 9, 2009 Japan Petroleum Exploration Co., Ltd. copyright© JAPAN PETROLEUM EXPLORATION Co.,LTD. All rights reserve

  2. Slide 2: Cautionary Statement

    Cautionary Statement Any information contained herein with respect to JAPEX’s plans, estimates, strategies and other statements that are not historical facts are forward-looking statements about the future performance of JAPEX. Readers should be aware that actual results and events may differ substa

  3. Slide 3: Contents

    Contents 1. Business Overview President Osamu Watanabe 2. Consolidated Financial Results for the Six Months Ended September 30, 2009 Senior Managing Director Hiroshi Sato 3. Revised full year forecasts for the Fiscal Year Ending March 31, 2010 Senior Managing Director Hiroshi Sato 3

  4. Slide 4: Business Overview

    Business Overview Business Overview President Osamu Watanabe 4

  5. Slide 5: Trends in Crude oil prices and Foreign exchange rates

    Business Overview Trends in Crude oil prices and Foreign exchange rates $140 ¥130 $130 ¥125 [Price] $-denominated $/bbl [Exchange Rate] \/ $ $120 ¥120 $110 ¥115 $100 ¥110 $90 ¥105 Exchange Rate $80 \/$ (right axis) ¥100 $70 ¥95 $60 $-denominated Price ¥90 $50 $/bbl (left axis) ¥85 $40 ¥80 2007-01 20

  6. Slide 6: Revised estimate for the fiscal year ending March 31, 2010

    Business Overview Revised estimate for the fiscal year ending March 31, 2010 Billion yen Billion yen 225 45 FY2009 FY2010(e) Net sales (left axis) 202.1 [ Billion ￥] (a) Initial estim ate Revised estim ate Revised estim ate 200 Ordinary income (right axis) 40 announced May 14 announced Aug.7 announc

  7. Slide 7: Business Highlight during First Half of 2009

    Business Overview Business Highlight during First Half of 2009（Apr．1- Sep.30, 2009) Natural gas business Drillings of production wells 2 wells drilled in Yufutsu oil & gas field : 「Numanohata SK-9D」 「Numanohata SK-10aD」 2 expansion projects of production facilities at Yufutsu oil & gas field（Hokkaid

  8. Slide 8: Domestic exploration: Result for the 1H & Plan for 2H in FY2010

    Business Overview Domestic exploration： Result for the 1H & Plan for 2H in FY2010 „ Drilling schedule Fiscal year ending March 31, 2010 Notes 1Q 2Q 3Q 4Q Yashimakogen SK-1D Exploration well Iwafune Oki Z Extention well Yashimakogen SK-1D Total Depth: 3,502m = result = plan Iwafune Oki Z Total Depth:

  9. Slide 9: Overseas business: Basic Strategy

    Business Overview Overseas business: Basic Strategy Ensure an appropriate portfolio balance between exploration projects & development projects Set strategic regions, continue the regions-focused strategy Seek up-stream & mid-stream LNG projects Canada Oil sands development Sakhalin (Production & Ex

  10. Slide 10: Current status of overseas business ① Canada: Oil Sands

    Business Overview Current status of overseas business ① Canada： Oil Sands „ Canada Oil Sands Co., Ltd. ‡ Operator: Japan Canada Oil Sands Ltd. (JACOS) Consolidated subsidiary (86.64% owned by JAPEX) (Canadian subsidiary, wholly owned by Canada Oil Sands Co., Ltd. ) Areas in which JACOS holds interes

  11. Slide 11: Current status of overseas business ② Sakhalin 1 Project

    Business Overview Current status of overseas business ② Sakhalin 1 Project OVERVIEW Sakhalin 1 Consortium 0 5 10 Company Country Interest Odoptu Kilometers Exxon Neftegas Ltd. U.S. 30.0% Odoptu PAD#2 Sakhalin Oil and Gas Japan 30.0% Development Co., Ltd. PAD#1 Sakhalinmorneftegas-Shelf Russia 11.5%

  12. Slide 12: Current status of overseas business ③ Libya: Block 40-3/4, Block 176-4

    Business Overview Current status of overseas business ③ Libya: Block 40-3/4, Block 176-4 ¾ Japex Libya Ltd.: Consolidated subsidiary (wholly owned by JAPEX) Offshore Block 40-3/4 (coastal area of the Mediterranean Sea) ‡ Interest： 42% (Operator) ‡ Operating result and plan: Tripoli Block 40-3/4 Mar.

  13. Slide 13: Current status of overseas business ④ Iraq

    Business Overview Current status of overseas business ④ Iraq Participation for oil development in Iraq ‡The 1st licensing round (End-June 2009） ・6 production oil fields were offered Kirkuk ・Participated as a consortium ⇒ unsuccessful ‡The 2nd licensing round Bai Hassan (Scheduled in December 2009) ・

  14. Slide 14: Current status of overseas business ⑤ Indonesia: Kangean Block

    Business Overview Current status of overseas business ⑤ Indonesia: Kangean Block ¾ Kangean Energy Indonesia Ltd. (KEI) and two other companies： Equity-method affiliates ¾ Block Name: Kangean Block (offshore East Java） Jakarta ¾ JAPEX Interest：25% Surabaya Java Island ¾ Operator: KEI Pagerungan Utara

  15. Slide 15: Current status of overseas business ⑥ Indonesia: Block A

    Business Overview Current status of overseas business ⑥ Indonesia: Block A Japex Block A Ltd. Consolidated subsidiary (wholly owned by JAPEX) (state-run electoric power company) (state-run fertilizer plant) 3 oil development fields ‡ Block Name: Block A (northern Sumatra) □ Interest: 16.67% □ Operat

  16. Slide 16: Current status of overseas business ⑦ Indonesia: Buton Block

    Business Overview Current status of overseas business ⑦ Indonesia: Buton Block Japex Buton Ltd.: Consolidated subsidiary (wholly owned by JAPEX) ‡ Block Name: Buton Block (onshore/offshore block on Buton Island, Southeast Sulawesi) ‡ Interest: 40% ‡ Operator: Japex Buton Ltd. Jakarta Buton Block ‡ O

  17. Slide 17: Consolidated Financial Results for the Six Months Ended September 30, 2009

    Actual Results Consolidated Financial Results for the Six Months Ended September 30, 2009 Senior Managing Director Hiroshi Sato 17

  18. Slide 18: Consolidated financial results for the six months ended September 30, 2009

    Actual Results Consolidated financial results for the six months ended September 30, 2009 Billion ¥ Billion ¥ FY2008 FY2009 FY2010 (1H) 125 25 [ Million ￥] 1H 1H Initial estimate Revised estimate Actual result 110.9 (a) (a) announced May14 (e) announced Aug.7 (e) (a) Net sales 91,360 110,912 59,903

  19. Slide 19: Actual sales of crude oil in the six months ended September 30, 2009

    Actual Results Actual sales of crude oil in the six months ended September 30, 2009 (YoY comparison) FY08 FY09 FY10 1H 1H 1H YoY change (a) (a) (a) Crude Oil: Sales volume [thousand KL] 1,227 1,028 967 ( 60) Net sales [Million￥] 59,177 73,668 33,008 ( 40,659) JCC price (＄/bbl) 65.08 115.39 56.83 ( 5

  20. Slide 20: Actual sales of natural gas in the six months ended September 30, 2009

    Actual Results Actual sales of natural gas in the six months ended September 30, 2009 (YoY comparison) FY08 FY09 FY10 1H 1H 1H YoY change (a) (a) (a) Natural gas: Sales volume [Million M3] 631 647 643 ( 3) Net sales [Million￥] 20,102 22,906 24,924 2,017 Of which, domestically produced gas: 487 481 4

  21. Slide 21: Causes of income fluctuations (YoY comparison)

    Actual Results Consolidated financial results for the six months ended September 30, 2009: Causes of income fluctuations (YoY comparison) „ Actual Results for the six months (consolidated) FY09 FY10 [ Million yen ] 1Q-2Q 1Q-2Q YoY change ≪Causes of increase or decrease (MEMO)≫ (a) (a) Gross profit N

  22. Slide 22: Revised full year forecasts for the Fiscal Year Ending March 31, 2010

    forecasts Revised full year forecasts for the Fiscal Year Ending March 31, 2010 Senior Managing Director Hiroshi Sato 22

  23. Slide 23: Revised full year forecasts for the fiscal year ending March 31, 2010

    forecasts Revised full year forecasts for the fiscal year ending March 31, 2010 Billion ¥ Billion ¥ 250 45 FY2008 FY2009 FY2010 (1Q-4Q) [ Million￥ ] 1Q-4Q 1Q-4Q Initial estimate Revised estimate Revised estimate 225 207.6 40 (a) (a) announced May14 (e) announced Aug.7 (e) announced Nov.6 (e) 202.1 N

  24. Slide 24: Revised estimate sales of crude oil for fiscal year ending March 31, 2010

    forecasts Revised estimate sales of crude oil for fiscal year ending March 31, 2010 (YoY comparison) FY2010 Revised estimate announced Nov.6 FY2008 FY2009 1H 2H Full(1Q-4Q) YoY change (a) (a) (a) (e) (e) Crude Oil: Sales volume [thousand KL] 2,450 2,337 967 1,156 2,123 ( 214) Net sales [Million ￥] 1

  25. Slide 25: Revised estimate sales of natural gas for fiscal year ending March 31, 2010

    forecasts Revised estimate sales of natural gas for fiscal year ending March 31, 2010 (YoY comparison) FY2010 Revised estimate announced Nov.6 FY2008 FY2009 1H 2H Full(1Q-4Q) YoY change (a) (a) (a) (e) (e) Natural gas: Sales volume [Million M3] 1,486 1,485 643 826 1,469 ( 16) Net sales [Million ￥] 4

  26. Slide 26: Causes of income fluctuations (YoY comparison)

    forecasts Consolidated financial estimates for the fiscal year ending March 31, 2010 Causes of income fluctuations (YoY comparison) „ Revised estimate for the FY2010 ≪Causes of increase or decrease (MEMO)≫ FY09 FY10 [ Million yen ] 1Q-4Q 1Q-4Q YoY change Gross profit Domestic crude oil and natural g

  27. Slide 27: Estimated crude oil sales compared with August 7 estimate

    forecasts Estimated crude oil sales for the fiscal year ending March 31, 2010 (compared with August 7 estimate) FY2010 FY2010 FY2010 Revised estimate announced Nov 6 compared Initial estimate Revised estimate 1H 2H Full(1Q-4Q) with Aug.7 announced May14 (e) announced Aug.7 (e) (a) (e) (e) estimate C

  28. Slide 28: Estimated natural gas sales compared with August 7 estimate

    forecasts Revised estimate sales of natural gas for fiscal year ending March 31, 2010 (compared with August 7 estimate) FY2010 FY2010 FY2010 Revised estimate announced Nov.6 compared Initial estimate Revised estimate 1H 2H Full(1Q-4Q) with Aug.7 announced May14 (e) announced Aug.7 (e) (a) (e) (e) es

  29. Slide 29: Causes of income fluctuations (compared with August 7 estimate)

    forecasts Consolidated financial estimates for the fiscal year ending March 31, 2010 Causes of income fluctuations (compared with August 7 estimate) „ Revised estimate for the FY2010 ≪Causes of increase or decrease (MEMO)≫ FY2010 1Q-4Q change in Gross profit [ Million￥ ] announced Aug.7 announced No

  30. Slide 30: Oil price and exchange rate assumptions and impact on profits

    forecasts Oil price and exchange rate assumptions in the fiscal year ending March 31, 2010 and impact on profits FY2009 FY2010 1H(a) 2H 1Q-4Q 1H 2H 1Q-4Q (a) (a) (a) 1Q(a) 2Q(a) 1Q-2Q(a) (e) (e) JCC price ($/bbl) 115.39 69.07 89.71 47.92 65.88 56.83 70.00 64.31 Exchange rate (￥/$) 105.20 99.01 102.5

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