Slide 1: Financial Results for the year ended December 31, 2019
INPEX CORPORATION Financial Results for the year ended December 31, 2019 0 February 13, 2020
Slide 2: Agenda
Agenda Corporate Overview Progress of Medium‐term Business Plan 2018‐2022 Consolidated Financial Results for the year ended December 31, 2019 Consolidated Financial Forecasts for the year ending December 31, 2020 Copyright © 2020 INPEX CORPORATION. All rights reserved. 1
Slide 3: Cautionary Statement
Cautionary Statement This presentation includes forward‐looking information that reflects the plans and expectations of the Company. Such forward‐looking information is based on the current assumptions and judgments of the Company in light of the information currently available to it, and involves k
Slide 4: Corporate Overview
Corporate Overview Takayuki Ueda Representative Director, President & CEO
Slide 5: FY 2019/12 Financial Results Highlights
FY 2019/12 Financial Results Highlights FY 2019/12: Approximately 586thousand BOED* (51% increase compared to Apr‐ Net Production Dec 2018) *INPEXʹs highest average annual net production volume to date FY 2019/12 Financial Results (Apr. 2019 ‐ Dec. 2019(9‐month accounting Financial period)) • Ne
Slide 6: FY 2019/12 Corporate Highlights
FY 2019/12 Corporate Highlights Made final investment decision on further development at ACG Oil Fields in Caspian Sea, Republic of Azerbaijan (April) Prelude FLNG facility shipped first LNG cargo (June) Acquired exploration Block AC/P66 in the North West Shelf, Australia (July) Acquired Kea
Slide 7: Ichthys LNG Project Status after production
Ichthys LNG Project Status after production Achieved financial completion on 20th December, 2019 Production status Continued smooth production operations currently ongoing Number of cargoes 126 LNG cargoes shipped (cumulative shipments from the first shipment in October 2018 to the end of
Slide 8: Exploration Blocks in Vicinity of Ichthys LNG Project
Exploration Blocks in Vicinity of Ichthys LNG Project Participating interests held in 20 exploration blocks in the vicinity of the Ichthys LNG Project. To date, gas formations including Crown, Lasseter, Mimia and Burnside have been discovered. These discovered gas formations extend across at least
Slide 9: Abadi LNG Project
Abadi LNG Project Production Capacity Sufficiently strong project economics Total output of natural gas (LNG equivalent): 10.5 million tons per year including Secured PSC term until 2055 ‐Approximately 9.5 million tons of LNG per year The Abadi gas field features excellent reservoir produc
Slide 10: Progress on other key overseas projects supporting our business
Progress on other key overseas projects supporting our business Abu Dhabi Onshore Concession Abu Dhabi Offshore Oil Fields (Upper Zakum・Lower Zakum・Satah・ (In Production: Abu Dhabi) Umm Al Dalkh) ナダ (In Production：Abu Dhabi) Target Production Capacity Target Production Capacity Approximately 2
Slide 11: Natural Gas Business in Japan
Natural Gas Business in Japan LNG Domestic Natural Gas Domestic Natural Gas / LNG(Regasified LNG) Naoetsu LNG Terminal Natural Gas Sales Sarulla Geothermal IPP Project FY 2019/03 sales volume: approx. 2.17 billion m3 * FY2019/12 sales volume (9‐month accounting period) : approx. 1.51 billion m
Slide 12: Renewable Energy Business and CO2 Effective Utilization Technology Development
Renewable Energy Business and CO2 Effective Utilization Technology Development Renewable Energy Business Indonesia: Sarulla Geothermal Independent Power Producer (IPP) Project Commercially operating since May 2018 at total rated capacity of approximately 330MW Sarulla Geothermal IPP Project Ja
Slide 13: Net Production Volume (April-December 2019)
Net Production Volume* (April‐December 2019) 600 586 Factors contributing to 4% production increase : • Ichthys Project ramp‐up 500 • Prelude Project production 42% start‐up 387 • Acquisition of tight oil 400 (Thousand BOED) 5% assets 300 9% 60% 200 41% 100 13% 14% 0 7% 4% Apr.-Dec. 18 Apr.-Dec. 19
Slide 14: Production Cost, Proved + Probable Reserves and Reserve Indices
Production Cost, Proved + Probable Reserves* and Reserve Indices Reserves to 7,000 6,706 production ratio**** Production Cost per BOE (Excl. Royalty) 6,000 7.0 5,300 5,212 4,970 2,620 5,000 4,693 5.9 1,443 1,202 6.0 5.7 US$/BOE 1,705 Million BOE 5.3 4,000 1,389 31.3 5.0 years 3,000 4.0 19.1 2,000 3,
Slide 15: Progress of Medium-term Business Plan 2018-2022
Progress of Medium‐term Business Plan 2018‐2022 Takayuki Ueda Representative Director, President & CEO
Slide 16: Progress of Medium-term Business Plan 2018-2022 and FY 2020/12 Outlook ①
Progress of Medium‐term Business Plan 2018‐2022 and FY 2020/12 Outlook ‐① FY 2019/3 & FY 2019/12 Results FY 2020/12 Initiatives & Outlook (First & Second Year of the Medium‐term Plan) (Third Year of the Medium‐term Plan) Sustainable Growth of Oil Ichthys LNG Project: Rapid and steady ramp‐up Ich
Slide 17: Progress of Medium-term Business Plan 2018-2022 and FY 2020/12 Outlook ②
Progress of Medium‐term Business Plan 2018‐2022 and FY 2020/12 Outlook ② FY 2019/03 Results FY 2019/12 Results FY 2020/12 Outlook FY 2022/12 Targets (First Year of the Mid‐term Plan) (April 2019~December 2019: (Final Year of the Mid‐term Plan) April 2018~March 2019 9‐month accounting period) (Januar
Slide 18: Progress of Medium-term Business Plan 2018-2022 and FY 2020/12 Outlook
Progress of Medium‐term Business Plan 2018‐2022 and FY 2020/12 Outlook FY 2019/03 Results FY 2019/12 Results FY 2020/12 Outlook FY 2022/12 Targets (First Year of the Mid‐term Plan) (April 2019~December 2019: (Jan 2020~December 2020) (Final Year of the Mid‐ April 2018~March 2019 9‐month accounting pe
Slide 19: Financial Results for the year ended December 31, 2019
Financial Results for the year ended December 31, 2019 Masahiro Murayama Director, Senior Executive Vice President, Finance & Accounting
Slide 20: Supplementary material concerning change in accounting period
Supplementary material concerning change in accounting period (Closing date of accounting period) INPEX’s accounting period changed to the January to December period from the April to March period The fiscal year ending December 31, 2019 (FY2019) is a transitional, nine‐month accounting period f
Slide 21: Highlights of the Consolidated Financial Results for the year ended December 31, 2019
Highlights of the Consolidated Financial Results for the year ended December 31, 2019 FY2018 FY2019 Change %Change Adjusted actual Apr. ‐ Dec. ’19 Net sales (Billions of yen) 800.1 1,000.0 199.8 25.0% Crude oil sales 675.1 764.0 88.8 13.2% Natural gas sales (including LPG) 112.7 223.0 110.3 97.8% Ot
Slide 22: Crude Oil Sales
Crude Oil Sales FY2018 FY2019 Change %Change Adjusted actual Apr. ‐ Dec. ’19 Net sales (Billions of yen) 675.1 764.0 88.8 13.2% Sales volume (thousand bbl) 85,138 106,950 21,812 25.6% Average unit price of overseas 71.56 65.61 (5.95) (8.3%) production ($/bbl) Average unit price of domestic 54,273 45
Slide 23: Natural Gas Sales (excluding LPG)
Natural Gas Sales (excluding LPG) FY2018 FY2019 Change %Change Adjusted actual Apr. ‐ Dec. ’19 Net sales (Billions of yen) 111.5 219.9 108.4 97.2% Sales volume (million cf) 157,925 345,182 187,257 118.6% Average unit price of overseas 2.94 4.45 1.51 51.4% production ($/thousand cf) Average unit pric
Slide 24: Statement of Income
Statement of Income Increase in sales volume : +233.5 FY2018 FY2019 (Billions of Yen) Change %Change Decrease in unit price : (19.5) Adjusted actual Apr. ‐ Dec. ’19 Exchange rate: (14.8) Others : +0.6 Net sales 800.1 1,000.0 199.8 25.0% Cost of sales 326.8 424.7 97.8 29.9% Cost of sales for Crude Oi
Slide 25: Analysis of Net Income Increase
Analysis of Net Income Increase (億円) (Billions of Yen) 350 300 233.5 0.6 250 (19.5) (14.8) 200 150 18.9 (97.8) (12.1) 8.8 123.5 (5.0) 100 (19.3) (21.9) 52.3 50 0 Net income Increase Extraordinary Increase in Net income Net income Decrease in Exchange rate Others Increase in Increase in Increase Othe
Slide 26: Balance Sheet
Balance Sheet Summary of financial information for Ichthys downstream JV (100% basis, including the Company’s equity share 66.245%) (Billions of yen) Mar. ’19 Dec. ’19 Change %Change (Billions of yen) • Current assets : 130.4 Current assets 457.7 419.8 (37.9) (8.3%) • Fixed assets : 3,720.0 • Total
Slide 27: Statement of Cash Flows
Statement of Cash Flows Reference (Billions of Yen) Apr. ‐ Dec. ’19 Apr.’18 – Mar. ’19 Income before income taxes 510.2 494.0 Depreciation and amortization 135.6 106.8 Impairment loss 0.7 25.2 Recovery of recoverable accounts under production sharing (capital expenditures) 32.2 33.1 Recoverable acco
Slide 28: Consolidated Financial Forecasts for the year ending December 31, 2020
Consolidated Financial Forecasts for the year ending December 31, 2020 Masahiro Murayama Director, Senior Executive Vice President, Finance & Accounting
Slide 29: Consolidated Financial Forecasts for the year ending December 31, 2020
Consolidated Financial Forecasts for the year ending December 31, 2020 1st Half (Jan. – Jun. ‘20) 2nd Half (Jul. – Dec. ‘20) Full year Brent oil price ($/bbl) 60.0 60.0 60.0 Average exchange rate (¥/$) 110.0 110.0 110.0 Dec. ‘19 Dec. ‘19 Dec. ‘20 % (Actual) (Adjusted actual*) (Forecasts) Change Full
Slide 30: Sales and Investment Plan for the year ending December 31, 2020
Sales and Investment Plan for the year ending December 31, 2020 Dec. ’19 Dec. ‘19 Dec. ’20 % (Actual) * (Forecasts ) Change (Adjusted actual ) Change Crude oil (thousand bbl)1 106,950 122,315 128,712 6,397 5.2% Sales Volume Natural gas (million cf)2 345,182 420,109 493,815 73,707 17.5% Overseas 288,
Slide 31: 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, 2020 (Note 1) (Billions of yen) At the Beginning of the 1Q : +6.5 (‐6.5) Brent Crude Oil Price; The impact on ne