Gulf Keystone Petroleum Limited · LSE:GKP

Gulf Keystone Petroleum — Gulf Keystone Pet Ord New — FY2021 Earnings Presentation

21 slides from Gulf Keystone Petroleum's earnings presentation, Mar 30, 2022

1. Slide 1: 2021 Full Year Results

   2021 Full Year Results 30 March 2022

2. Slide 2: Disclaimer

   Disclaimer This proprietary presentation (the “Presentation”) has been prepared by Gulf Keystone Petroleum Limited (the “Company”). Under no circumstances may this presentation be deemed to be an offer to sell, a solicitation to buy or a solicitation of an offer to buy securities of any kind in any

3. Slide 3: 2021 Full Year Results highlights

   2021 Full Year Results highlights  Continued focus on safety & sustainability 0 LTIs >160 days  One LTI in 2021 following >660 days LTI-free  Approved sustainability strategy and roadmap ‘000 bopd 43.4 2021 YTD gross production  Strong operational & financial performance  19% production increas

4. Slide 4: Operational Review

   Operational Review

5. Slide 5: ESG: Safety & sustainability underpin our business

   ESG Safety & sustainability underpin our business 2021 performance highlights Our sustainability strategy priorities  Approved sustainability strategy & roadmap  Submitted draft FDP, including Gas  Address climate risk Management Plan to target >50% reduction E  Minimise impact on environment in

6. Slide 6: Production performance

   Production performance  2021 gross average production of 43,440 bopd, towards upper end of guidance  2022 YTD(1) gross average production of c.45,500 bopd  Remain focused on delivering 2022 gross production of 44,000-50,000 bopd Gross average production (Mar-21 – Mar-22) SH-5 Record production on

7. Slide 7: Long-life asset with significant growth potential

   Long-life asset with significant growth potential  >100 MMstb production to date from Jurassic reservoir  Est. 2P reserves life index of ~30 years, assuming 2021 average production  Focus on driving Jurassic production growth and testing Triassic reservoir Shaikan Field geology Reservoir 1P(1) 2P

8. Slide 8: 2022 work programme

   2022 work programme  2022 net Capex guidance of $85-$95 million  Drilling of SH-15 completed and awaiting hook-up; targeting start-up in Q2  Well interventions and workovers to optimise production  Executing activity that enables us to expedite the FDP following approval:  Preparation for expan

9. Slide 9: Draft Field Development Plan

   Draft Field Development Plan Drive profitable production growth while more than halving carbon intensity  Expected components of Phase 1 of draft FDP:  Expand Jurassic gross production plateau up to 85,000 bopd  Test Triassic reservoir, targeting gross production plateau of up to 10,000 bopd  Ga

10. Slide 10: Financial Review

    Financial Review

11. Slide 11: Historic financial performance highlights

    Historic financial performance highlights 2017 to 2021 Adjusted EBITDA ($m) Profit/(loss) after tax ($m) 223 165 150 80 123 44 104 14 57 (47) 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 Net Capex ($m) Shareholder distributions ($m) 90 Dividends Share buybacks 51 46 30 35 100 8 50 20 2017 2018

12. Slide 12: Adjusted EBITDA

    Adjusted EBITDA Production increase and leverage to oil price drove EBITDA expansion US$m  $50/bbl realised price, up $29/bbl  19% increase in gross average production to 43,440 bopd  Gross Opex/bbl of $2.7/bbl, in middle of $2.5 - $2.9/bbl guidance 12 * Capacity Building Payments

13. Slide 13: Cash flow

    Cash flow US$m  ~4x increase in adjusted EBITDA  Capex related to drilling activity and PF-2 debottlenecking  Working capital driven by larger and delayed KRG payments, despite continued collection of arrears  Free cash flow $122 million  $100 million dividends 13

14. Slide 14: Operating costs & other G&A

    Operating costs & other G&A Continuing focus on strict cost control  4% increase in gross Opex to $2.7/bbl  2022 gross Opex guidance of $2.9-$3.3/bbl, reflecting increased operational activity and catch-up of previously deferred work programmes  Higher Other G&A expenses driven by increasing oper

15. Slide 15: Crude oil payments

    Crude oil payments  $222 million net received from KRG in 2021(1) for crude oil sales and arrears  Additional $106 million net received in 2022 for Sep-21 to Nov-21invoices  Outstanding arrears net $22 million; 70% collected to date $45 $40 $35 $7m $7m US$m (net) $30 $5m $5m $5m $25 $4m $4m $3m $

16. Slide 16: Robust balance sheet

    Robust balance sheet Balance sheet strength provides resilience and downside protection  Capital discipline and low cost structure supports strong cash generation  $100 million bond maturity July 2023; significant covenant headroom  Cash balance consistently in excess of outstanding bond  No cur

17. Slide 17: Shareholder distributions

    Shareholder distributions Balancing investment in sustainable growth with shareholder returns  $90 million dividends declared Total declared dividends & buybacks today: 350 $340 million  $25 million 2021 annual ordinary dividend subject to approval at AGM on 300 24 June 2022 140  $65 million inte

18. Slide 18: Outlook

    Outlook

19. Slide 19: Outlook

    Outlook Gross production: 44,000-50,000 bopd Achieve 2022   Net Capex: $85-$95 million guidance  Gross Opex/bbl: $2.9-$3.3/bbl Execute  Maintain rigorous focus on safety as operational activity increases sustainability  Continue to generate significant economic value for Kurdistan strategy  Ex

20. Slide 20: Thank you

    Thank you More resources are available at: www.gulfkeystone.com 20

21. Slide 21: Appendix: Key historical financials

    Appendix: Key historical financials FY 2021 FY 2020​ FY 2019 FY 2018 FY 2017 Gross production (bopd) 43,440 36,625​ 32,883 31,563 35,298 Dated Brent (US$/bbl) 70.8 42.0​ 64.6 71.3 54.9 Discount (US$/bbl) 21.2 21.1​ 21.7 22.3 20.3 Realised price (US$/bbl) 49.7 20.9​ 42.9 49.0 34.6 Revenue (US$m) 301.

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