Slide 1: Financial results for the six months ended June 30, 2023 - Appendix
Financial results for the six months ended June 30, 2023 Appendix August 10, 2023
Slide 2: Subsidiaries and Affiliates
Subsidiaries and Affiliates 67 Consolidated Subsidiaries Major Subsidiaries Country / Region Ownership Phase Accounting Term INPEX Sahul, Ltd. Timor-Leste 100% Production December INPEX Ichthys Pty Ltd Australia 100% Production December INPEX Oil & Gas Australia Pty Ltd Australia 100% Production Dec
Slide 3: 2Q FY2023 Segment Information
2Q FY2023 Segment Information*1 Oil and Gas Overseas Oil and Gas Other*2 Total Adjustments*3 Consolidated*4 Japan Ichthys Other (Millions of yen) Projects Projects Net sales 141,787 193,210 742,281 18,171 1,095,451 (16,661) 1,078,789 Segment income (loss) 28,484 152,997 76,481 2,692 260,655 (6,400)
Slide 4: Net Production Volume (January to June 2023)
Net Production Volume (January to June 2023) Crude Oil, Condensate and LPG （388 thousand BOE/day） O&G Japan 9 23 3 （1%） O&G Overseas 386 （99%） Crude 9Oil23 and Gas Total Ichthys PJ (647 thousand BOE/day) 253 278 35 （9%） Other PJ O&G Japan 351 （91%） 20 （3%） 253 O&G Overseas278 Natural Gas 627 （97%） 1
Slide 5: Electric Power Generation Capacity for Interest & Electric Power Generated
Electric Power Generation Capacity for Interest & Electric Power Generated Power Generation Capacity for INPEX’s share Power Generation Country INPEX’s share Power Generation Capacity Capacity for INPEX’s share Koshijihara Gas fired Power Plant Japan 100% 55MW 55.0MW Total gas fired power 55MW 55.0M
Slide 6: Sales Volume
FY2023 Sales Volume (Forecast) FY2023 (forecasts as of FY2023 (forecasts as of Change % Change February 10, 2023) August 10, 2023) Crude oil (thousand bbl) *1 139,642 136,314 (3,327) (2.4%) Natural gas (million cf) *2 524,197 498,848 (25,349) (4.8%) Sales Volume Overseas 438,249 420,085 (18,164) (4.
Slide 7: Net Income Sensitivities
Net Income Sensitivities ◼ Sensitivities of crude oil price and foreign exchange fluctuation on consolidated net income attributable to owners of parent for the year ending December 31, 2023*1 (Billions of yen) At Beginning of 1Q : +6.0 (-6.0) Brent Crude Oil Price; The impact on net income will cha
Slide 8: Shareholder Returns
Shareholder Returns DPS Dividends, Share Buybacks and Total Payout Ratio 250 70.0% 65.1% (Unit:¥) Around 61.9% 61% 60.0% 200 50.0% 44.1% 150 120 100 40.0% 36.5% 35.5% 31.2% 30.0% 74 100 62 70 20.0% 48 50 Around 30 83 95 24 24 68 10.0% 18 44 35 35 26 0 0.0% Dividends (billion yen) Share Buybacks (bil
Slide 9: Reserves & Production Indices
Reserves & Production Indices Production Cost per BOE Produced SG&A Cost per BOE Produced 5.0 18.0 15.2 15.0 4.0 11.3 12.0 US$/boe 8.6 3.0 2.4 2.5 US$/boe 2.3 9.0 5.2 5.4 5.8 2.0 6.0 3.0 Incl. royalty 1.0 0.0 Excl. royality 0.0 FY2020 FY2021 FY2022 FY2020 FY2021 FY2022 ＊Production cost per boe produ
Slide 10: Reserves
Reserves*1 7,000 6,706 6,505 6,311 6,213 6,000 5,212 2,620 5,000 2,775 2,666 2,476 1,202 Million BOE 4,000 27.4 3,000 years*4 2,000 4,010 4,086 3,730 3,738 16.5 3,645 years*4 1,000 0 FY2019/3 FY2019/12 FY2020/12 FY2021/12 FY2022/12 Proved Reserves *2 Probable Reserves *3 *1 The reserves cover most o
Slide 11: Proved Reserves by Region
Proved Reserves by Region 4,500 4,010 4,086 4,000 0.1% 1.2% 3,730 3,738 3,645 1.1% 1.0% 0.3% 3,500 3,000 58.6% 59.2% 58.1% 2,500 61.2% MMBOE 73.8% *1 2,000 1,500 8.2% 8.6% 9.7% 8.9% 1,000 29.3% 27.2% 27.4% 25.3% 500 22.5% 0 3.8% 3.8% 3.7% 3.6% 3.4% 2019/3 2019/12 2020/12 2021/12 2022/12 Japan Asia/O
Slide 12: Upside Potential from Proved & Probable Reserves
Upside Potential from Proved & Probable Reserves (MM BOE) 11,000 Probable Reserves 10,000 Ichthys, Upper Zakum, Proved Undeveloped Reserves Abu Dhabi Onshore, etc. 9,000 Proved Developed Reserves 8,000 7,000 Abadi, Ichthys, etc. 6,000 5,000 2,476 4,000 1,148 1,148 27.4 3,000 Years*1 2,000 16.5 Years
Slide 13: Factor Analysis of Change in Proved Reserves
Factor Analysis of Change in Proved Reserves (MM BOE) 4,500 286 4,000 44 (11) 3,500 (227 ) 3,000 2,500 2,000 3,645 3,738 1,500 1,000 500 0 December 2021 Extensions and Revisions of Impact of Production December 2022 Proved Reserves Discoveries*1 previous estimates Change in during FY2021 Proved Rese
Slide 14: Factor Analysis of Change in Probable Reserves
Factor Analysis of Change in Probable Reserves (MM BOE) 3,000 7 2,500 (168) (29) 2,000 1,500 2,666 2,476 1,000 500 0 December 2021 Extensions and Revisions of Impact of December 2022 Probable Reserves Discoveries*1 previous Change in Probable Reserves estimates Oil Prices *1 Including acquisitions a
Slide 15: Definition of Proved Reserves and Probable Reserves
Definition of Proved Reserves and Probable Reserves Proved Reserves ◼ Our definition of proved reserves is in accordance with the SEC Regulation S-X, Rule 4-10, which defines proved reserves as the estimated quantities of oil and gas, which, by analysis of geoscience and engineering data, can be est
Slide 16: Climate Change Response Goals and GHG Emissions
Climate Change Response Goals and GHG Emissions Our Climate Change Response Goals 2050 2030 Scope 3 NET ZERO* 30% OR MORE* REDUCTION in absolute emissions work together with reduction of net carbon intensity (Scope 1+2) all relevant stakeholders to (Scope 1+2) * on INPEX equity share basis address c
Slide 17: Project Data
Project Data
Slide 18: List of Main Projects (1/3)
List of Main Projects (1/3) Crude oil LPG production Participating production Gas production Fields / Projects name Contract Type (Thousand Phase Interest (Thousand (MMcf/day)*2 bbl/day)*2 bbl/day)*2 Australia WA-285-P*2and others*1 Concession 100 - - - Exploration Upstream Upstream WA-50-L and WA-5
Slide 19: List of Main Projects (2/3)
List of Main Projects (2/3) Crude oil LPG production Gas production Participating production Fields / Projects name Contract Type (Thousand (MMcf/day) Phase Interest (Thousand bbl/day)*2 *2*3 bbl/day)*2 Middle East Upper Zakum Oil Field etc. Concession 12 Production Lower Zakum Oil Field Concession
Slide 20: List of Main Projects (3/3)
List of Main Projects (3/3) Crude oil LPG production production Fields / Projects name Contract Type Participating Interest Gas production*2 Phase (Thousand (Thousand bbl/day)*2 bbl/day)*2 Japan Approx.2.6 Crude oil & million m3/d Minami-Nagaoka Gas Field, etc.*1 Concession - condensate: - Productio
Slide 21: Project Highlights – Ichthys LNG Project
Project Highlights – Oil and gas business – CORE AREA #1 Australia Ichthys LNG Project Overview of the Project Cargoes shipped by product type ◼ Drilling of Production Wells Onshore Offshore ➢ Currently drilling the 25th production well Period LNG Condensate Condensate LPG October 2018 to 31 4 10 6
Slide 22: Project Highlights – Prelude FLNG, Van Gogh, Coniston, Ravensworth
Project Highlights – Oil and gas business – CORE AREA #1 Australia Prelude FLNG Project INPEX Oil & Gas Australia Pty Ltd ◼ Operator: Shell ◼ Milestones ◼ Concession Agreement: Valid until end of production ➢ Made FID in May 2011 ➢ Wells opened and initial phase of production commenced in ◼ Producti
Slide 23: Project Highlights – Bayu-Undan Gas and Condensate Field
Project Highlights – Oil and gas business – CORE AREA #1 Australia TL-SO-T 19-12 Block (Bayu-Undan Gas and Condensate Field) INPEX Sahul, Ltd. ◼ Operator: Santos ◼ PSC: Until December 31, 2023 ◼ Milestones ➢ In February 2004, commenced sales of condensate and LPG ➢ In August 2005, entered into an LN
Slide 24: Project Highlights – Abu Dhabi
Project Highlights – Oil and gas business – CORE AREA #2 Abu Dhabi Abu Dhabi Onshore Concession ◼ Operator：ADNOC Onshore* ◼ Concession agreement：Until 2054 * Operating company owned by companies with participating interests. JODCO ◼ Further development study is ongoing to increase production capacit
Slide 25: Project Highlights – Abadi LNG Project
Project Highlights – Oil and gas business – CORE AREA #3 Southeast Asia Abadi LNG Project INPEX Masela, Ltd. ◼ Operator : INPEX ◼ PSC : Until November 15, 2055 (Signed extension in October 2019) ◼ Production Capacity ➢ Total output of natural gas 10.5 million tons per year (LNG equivalent) including
Slide 26: Project Highlights – Vietnam Blocks and Sebuku Block
Project Highlights – Oil and gas business – CORE AREA #3 Southeast Asia Blocks 05-1b and 05-1c (Sao Vang and Dai Nguyet Gas Field) INPEX Con Son Co., Ltd. ◼ Operator:Idemitsu Gas Production (Vietnam) ◼ PSC: Until November 17, 2034 ◼ Expected Production Volume ➢ Gas: approx. 1.5 billion m3 per annum
Slide 27: Project Highlights – Malaysia Blocks E and SK418
Project Highlights – Oil and gas business – CORE AREA #3 Southeast Asia Block 4E (deep water block) INPEX Malaysia E&P 4E Sdn. Bhd. ◼ Operator : INPEX Malaysia E&P 4E Sdn. Bhd. ◼ PSC : Until February 14, 2059（1st exploration period: three years until February 14, 2026, 2nd exploration period: two ye
Slide 28: Project Highlights – Natural Gas Business in Japan
Project Highlights – Oil and gas business – CORE AREA #4 Japan Natural Gas Business in Japan ◼ Natural Gas Sales Volume (1m3 =41.8605MJ) ➢ FY2022 (actual): 2.20 billion m3 ➢ FY2023 (forecast): 2.11 billion m3 ➢ Distribution outlook: 2.70 billion m3 in 2030 ◼ Naoetsu LNG Terminal ➢ Commenced commerci
Slide 29: Project Highlights – Snorre Project etc. in Norway
Project Highlights – Oil and gas business – CORE AREA #5 Europe Snorre Project etc. in Norway ◼ Snorre Oil Field ➢ Operator: Equinor ➢ Production Start-up: 1992 ➢ Milestones • 2022: Completed Snorre Expansion Development Construction Project • May, 2023: Hywind Tampen (floating offshore wind power)
Slide 30: Project Highlights – Kashagan and ACG Oil Fields
Project Highlights – Oil and gas business – OTHER AREAS Kashagan Oil Field and others INPEX North Caspian Sea, Ltd. ◼ Operator: North Caspian Operating Company(NCOC) ◼ PSA: Until the end of 2031* (Kashagan) ◼ Milestones ➢ Oil shipments at Kashagan Oil Field commenced in October 2016 ➢ Operations ong
Slide 31: Project Highlights – BTC Pipeline and Block 10 Iraq
Project Highlights – Oil and gas business – OTHER AREAS BTC (Baku-Tbilisi-Ceyhan) Pipeline Project INPEX BTC Pipeline, Ltd. ◼ Operator : BP ◼ Oil export volume*: ➢ approx. 643 thousand bbl/d ◼ Milestones ➢ Acquired a 2.5% participating interest in the operating company (BTC Co.) through INPEX BTC Pi
Slide 32: Net Zero Businesses #1 Hydrogen & Ammonia
Project Highlights – 5 net zero businesses businesses – Net Zero Businesses #1 Hydrogen & Ammonia Integrated Demonstration of Hydrogen & Ammonia Production (Kashiwazaki City, Niigata Prefecture, Japan) ◼ In October 2022, took a final investment decision (FID) on drilling operations and the construct
Slide 33: Net Zero Businesses #2 CCUS
Project Highlights – 5 net zero businesses businesses – Net Zero Businesses #2 CCUS (Reduction of CO2 emissions from upstream operations) CO2EOR Demonstration (Agano City, Niigata Prefecture, Japan) ◼ In April 2021, commenced a joint study with JOGMEC for a CO2 enhanced oil recovery pilot test. ◼ Co
Slide 34: Net Zero Businesses #3 Renewable Energy - Offshore Wind
Project Highlights – 5 net zero businesses businesses – Net Zero Businesses #3 Renewable Energy Offshore Wind Power Project （Europe） Luchterduinen Offshore Wind Farm Moray East Offshore Wind Farm ◼ Year of participation : 2022 ◼ Year of participation : 2023 ◼ Design: Fixed-bottom ◼ Design: Fixed-bot
Slide 35: Net Zero Businesses #3 Renewable Energy - Geothermal
Project Highlights – 5 net zero businesses businesses – Net Zero Businesses #3 Renewable Energy Geothermal Power Projects in Indonesia Muara Laboh Geothernal Power Project Rajabasa Geothermal Power Project ◼ Year of participation : 2021 ◼ Year of participation : 2022 ◼ Operator:PT Supreme Energy Mua
Slide 36: Net Zero Businesses #4 Carbon Recycling & New Business
Project Highlights – 5 net zero businesses businesses – Net Zero Businesses #4 Carbon Recycling & New Business Methanation (Nagaoka City, Niigata, Japan) ◼ As a NEDO-sanctioned project, promoting technical development by constructing to launch a methane production capacity of 400 normal cubic meters
Slide 37: Other Data and Information
Other Data and Information INPEX
Slide 38: Production Sharing Contracts
Production Sharing Contracts 1. Cost Recovery Portion Cost Recovery ◼ Non-capital expenditures recovered during the current period Portion ◼ capital expenditures recovered during the current period ◼ Recoverable costs that have not been recovered in the previous periods Host Country Profit Oil Contr
Slide 39: Accounting on Production Sharing Contracts
Accounting on Production Sharing Contracts Cash Out Assets on Balance Sheet Income Statement Project under exploration phase Exploration Recoverable accounts Provision for allowance for recoverable accounts Expenditures under production sharing under production sharing Project under development and
Slide 40: Accounting on Concession Agreements
Accounting on Concession Agreements Cash Out Assets on Balance Sheet Income Statement All exploration costs are expensed as incurred Exploration Expenditures Exploration expenses Development Cost of sales Tangible Fixed Assets Expenditures (Depreciation and amortization) All production costs are Pro
Slide 41: Ichthys LNG Project Accounting Process Overview
Ichthys LNG Project Accounting Process Overview Ichthys Upstream Permit Holding Assets on Consolidated Consolidated Income entity (UJV) Balance Sheet Statement Sales Revenue Net Sales All production costs are Production Costs expensed as incurred Cost of sales (Operating Expenses) (Operating expense
Slide 42: Ichthys LNG Project Structure Overview
Ichthys LNG Project Structure Overview INPEX Holdings Australia Pty Ltd (Holding company) 100% owned 100% owned 66.245% owned Subsidiary Subsidiary Equity-method affiliate INPEX Operations Australia Pty Ltd INPEX Ichthys Pty Ltd Ichthys LNG Pty Ltd (Operating company) (Upstream entity) (Downstream e
Slide 43: Summary of Australian Taxation
Summary of Australian Taxation Sales ⇒(Oil & Gas sales price)×(Sales volume) …………..(1) Operating expense ⇒OPEX incurred in relevant year (+Exploration cost)+CAPEX tax depreciation …………..(2) PRRT (Petroleum Resource Rent Tax) = (Upstream Revenue - Upstream CAPEX & OPEX - Exploration Cost - Abandonmen