Integrated Report 2025

ENEOS REPORT 2025

Integrated Report

April 1, 2024 to March 31, 2025

Group Philosophy

Commitment to Realizing the Group Philosophy

Commitment of Top Management

Value Creation Strategy

Business Strategies

ESG Management

Financial and Corporate Data

Contents 01

Supporting "today's normal," taking the lead for "tomorrow's normal"

We continue to support everyday life with tireless efforts and strong leadership.

We take action for positive change and continue to take on challenges, while pursuing every possible combination of the strengths of

diverse people, technologies, and ideas.

"Today's normal" in our day-to-day lives-its presence is anything but ordinary.

From the time when "today's normal" life was not ordinary, the ENEOS Group has always been a frontrunner,

committed to developing and supplying energy and materials essential to the everyday life of each age.

Now, we aim to achieve "tomorrow's normal," a decarbonized, recycling-oriented society, where next-generation energy, materials and services are essential.

We will continue to take the lead in creating and innovating "tomorrow's normal" to be a corporate group that is trusted by and indispensable to society.

ENEOS REPORT Integrated Report 2025

‌ENEOS Group Philosophy

Group Philosophy

Commitment of Top Management

Value Creation Strategy

Business Strategies

ESG Management

Financial and Corporate Data

Contents 02

Mission

Harnessing the Earth's power for the common good and for the day-to-day life of each individual, we will contribute to the development of our communities and help to ensure a vibrant future through creation and innovation

in energy, resources, and materials.

As a member of the community

High ethical standards

Based on our core principles of integrity and fairness, we conduct all of our business activities in accordance with our high ethical standards.

Health, safety and environment

We give the highest priority to health, safety and environmental initiatives, which are vital to the well-being of all living things.

Our Five Core Values

Supporting day-to-day life

Focus on customers

We strive to meet the expectations and evolving needs of our valued customers and of society as a whole through the stable provision of products and services while creating new value as only we can.

For a vibrant future

Taking on challenges

Taking changes in stride, we rise to the challenge of creating new value while seeking innovative solutions for today and tomorrow.

Moving forward

Looking to the future, we continue to grow, both as individuals and as a company, through the personal and professional development of each and every employee.

Group Philosophy and Code of Conduct

The Group Philosophy reflects a commitment that must be realized by everyone working at the ENEOS Group through our business activities. The Code of Conduct is a set of standards to be practiced in order to realize the Group Philosophy and fulfill our social responsibilities. It is the foundation for all of our corporate regulations and serves as the basis for decision-making in our business activities. In addition, we have established the following policies to complement the Code of Conduct.

Disclosure Policy:

https://www.hd.eneos.co.jp/english/about/policy/disclosure/

Tax Matters Policy:

https://www.hd.eneos.co.jp/english/about/policy/tax.html

Anti-Corruption Policy:

https://www.hd.eneos.co.jp/english/about/policy/anti_corruption.html

Human Rights Policy:

https://www.hd.eneos.co.jp/english/about/policy/human_rights.html

Competition Law Compliance Policy:

https://www.hd.eneos.co.jp/english/about/policy/competition_law/

Mission

Our Five Core Values

Various Policies

Raising Awareness of the Group Philosophy and Code of Conduct

The ENEOS Group believes that understanding and implementation of the Group Philosophy and the Group Code of Conduct by all officers and employees plays an important role in the fulfillment of our social responsibilities.

In fiscal 2024, we continued to hold town hall meetings, as in the previous fiscal year, to deepen communication between management and employees. We also conducted an employee awareness survey to understand the level of awareness and understanding of the Group Philosophy and Code of Conduct in order to consider future measures for their thorough instillment throughout the Group. To further instill the Group Philosophy and Code of Conduct, we plan to hold group training for officers and e-learning for both officers and employees in fiscal 2025.

ENEOS REPORT Integrated Report 2025

‌Our History-Putting the Group Philosophy into Practice

For over 130 years, we have supported "today's normal" through the stable supply of energy and materials.

We will continue to be a corporate group that delivers "tomorrow's normal" while addressing the issues facing society, regardless of the era.

Nisseki Mitsubishi

Mitsui Oil

TonenGeneral Sekiyu

ExxonMobil

Esso Sekiyu

ENEOS Holdings (2020-)

2024-

Ceased management of the Company and ENEOS Corporation in an integrated manner following changes in the Group's management structure

Kyushu Oil

Tonen

General Sekiyu

Mobil Sekiyu

Nippon Oil

Mitsubishi Oil

Nippon Oil

JXTG Holdings

JX

Holdings

Nippon Mining Holdings

Japan Energy

See our website for the history of the founding and integration of main ENEOS Group companies. WEB ENEOS Group Historyhttps://www.hd.eneos.co.jp/english/about/history/

Process of Corporate Expansion (Abridged)

1880-

Toward industrial and economic development

1940-

Toward rapid economic growth and transition from coal to petroleum

1970-

Oil crisis and growth of domestic demand

2000- 2020-

Declining domestic demand and industry consolidation

Transition to a low-carbon society

Supply of domestically produced petroleum

1888 Started crude oil production, oil refining and sales in Japan (Nippon Oil)

Expansion of petroleum supply capacity

Expanded domestic service station network Opened refineries nationwide in Japan

Oil and gas field exploration and development overseas

1973 Production at Mubarraz Oil Field in the UAE Participation in overseas mine development

Expansion into new business areas

2013 Sequentially established mega solar power plants

2014 Sequentially opened hydrogen stations

Commitment to pursue carbon neutrality

2020 Started commercial operation of Muroran Biomass Power Plant

2022 Acquired Japan Renewable Energy (JRE)

Launched elastomers business at ENEOS Materials

2023 Invested in US Large-Scale Forestry Fund

Acquired Japan Drilling Co., Ltd. (JDC) to strengthen CCS1/CCUS2 value chain

2024 Completed construction of Japan's first synthetic fuels demonstration plant and started operations

Muroran Biomass Power Plant

Amase Oil Field

Negishi Refinery during construction (1963)

Mubarraz Oil Field

1990 Discovered the Helang Gas Field in Malaysia (commenced production in 2003)

1998 Production at Rang Dong Oil Field in Vietnam

Hydrogen station (integrated into service station)

2017 Started operation of CO2-EOR (enhanced oil recovery) project in the US

2025 Started full-scale operation of state-of-the-art high-efficiency LNG-fired facilities at Goi Thermal Power Station

JX Advanced Metals Corporation shares listed on the Tokyo Stock Exchange Prime Market3

1. Carbon dioxide capture and storage

2. Carbon dioxide capture, utilization and storage

3. JX Advanced Metals Corporation became an equity-method affiliate in March 2025 after having been a consolidated subsidiary.

Major Events

Stable supply of energy during major disasters

2011 Initiatives following the Great East Japan Earthquake

Restored stable supply in the affected areas the month after the earthquake by increasing production at unaffected refineries and promptly resuming supply using tank trucks

Tank truck bound for a disaster-affected

area dispatched from Oita

Dawn of industrial development

Period of rapid economic growth

Oil crisis and growth in domestic demand, development of IT society

Paris Agreement and acceleration of decarbonization movement

(Trillion yen)

Great East Japan Earthquake (2011)

(1018J)

600

500

400

300

200

100

0

Trend in Domestic Primary Energy Supply

Petroleum

Other fossil energy

Non-fossil energy

Gross domestic product (GDP)

Collapse of Lehman Brothers (2008)

COVID-19 pandemic (starting in 2020) 25

20

15

10

5

0

1955

1960

1965 1970

1975 1980 1990 1995 2000 2005 2010 2015 2020 (FY)

Note: Developed by ENEOS Holdings based on the Comprehensive Energy Statistics of the Agency for Natural Resources and Energy and the Long-term Economic Statistics of the Cabinet Office.

‌Contents and Editorial Policy

Part 1

Group Philosophy

1. Commitment to Realizing the Group Philosophy

2. ENEOS Group Philosophy

3. Our History-Putting the Group Philosophy into Practice

4. Contents and Editorial Policy

5. TCFD Disclosure Index

Part 4

Business Strategies

38 Business Overview

41 Strategy by Business

41 Petroleum Products

1. Oil and Natural Gas E&P

2. High Performance Materials

3. Electricity

4. Renewable Energy

Part 2

Commitment of Top Management

07 Message from the CEO

11 Direction of the ENEOS Group

1. Value Creation Model

2. Capital and Indicators

3. Group Management Structure

Part 5

ESG Management

48 ESG Management

48 Dialogue with Investors

54 Corporate Governance

54 Message from the Chairman of the Board of Directors

67 Message from the CRO

70 Message from the CCO

72 Environmental and Social

Part 3

Value Creation Strategy

17 Review of Third Medium-Term Management Plan (FY2023-FY2024)

18 Fourth Medium-Term Management Plan (FY2025-FY2027)

23 Message from the CFO

1. Message from the CPPO

2. Human Capital Management

26 Message from the CHRO

30 Carbon Neutrality Plan 2025 Edition

30 Message from the CTO

Part 6

Financial and Corporate Data

79 Financial and Non-Financial Highlights

83 Performance Summary

1. Investor Relations (IR) Activities

2. Company Overview / Investor Information

Editorial Policy

The Company, ENEOS Holdings, announced the Group's fourth Medium-Term Management Plan and the Carbon Neutrality Plan 2025 edition in May 2025. Although

our third Medium-Term Management Plan was still in progress, we decided that revisions were needed in response to changes in our portfolio due to the listing of our subsidiary, JX Advanced Metals, and changes in society regarding carbon neutrality.

This report presents the direction and management structure of the Group in the Commitment of Top Management section, details our management plan in the Value Creation Strategy section, and reports on the strategies of each business in the Business Strategies section. We have also expanded the disclosure of information on human capital, which is the driving force behind the achievement of our management plan.

Furthermore, the ESG Management section includes details of a dialogue with investors and a message from the chairman of the Board of Directors, as well as reports on the progress of governance transformation.

Given the nature of our businesses, responding to climate change is a critical issue that underlies all of our management strategies and business activities. Therefore, we continue to structure this entire report based on the TCFD recommendations (see page 05).

This report covers the reporting period from April 1, 2024 to March 31, 2025 and includes statements

pertaining to before and after this period. In preparing this report, we referred to the Ministry of Economy, Trade and Industry's Guidance for Collaborative Value Creation.

Our website features comprehensive and detailed information on the Group's business activities, financial information and environmental, social, and governance (ESG) initiatives, including this report. We will continue working to proactively communicate with investors and other stakeholders through clear, concise disclosures.

Disclosure Media Framework

Financial information

Non-financial information

Integrated Report

Website (ESG)

Website (Investor Relations)

Non-financial information is also available on the corporate websites of our principal operating companies

‌TCFD Disclosure Index

As stated in the Editorial Policy (see page 04), this report is structured based on the TCFD recommendations and details our efforts to achieve carbon neutrality. The table on this page is an index for reference to our disclosures based on the TCFD recommendations.

Overview of TCFD Disclosure Recommendations

‌Part 2

Group Philosophy

Commitment of Top Management

Value Creation Strategy

Business Strategies

ESG Management

Financial and Corporate Data

Contents 06

Commitment of Top Management

07 Message from the CEO

11 Direction of the ENEOS Group

1. Value Creation Model

2. Capital and Indicators

3. Group Management Structure

ENEOS REPORT Integrated Report 2025

‌Message from the CEO

Group Philosophy Commitment of Top Management

Value Creation Strategy

Business Strategies

ESG Management

Financial and Corporate Data

Contents 07

We will maximize corporate value through transformation to a robust management structure and portfolio restructuring.

Focus Areas in the Previous Year

Establishing a New Management Structure

Since my appointment as CEO in April 2024, I have been working to strengthen governance while reviewing our medium- to long-term business strategy to enhance the ENEOS Group (see page 08).

Previously, the holding company and ENEOS, one of our operating companies, were operated in an integrated manner. This resulted in uncertainty regarding supervisory responsibilities and division of roles in Group management. By clearly separating the roles of the holding company and ENEOS, handling of the operating companies has become

smoother, and we are now able to supervise each company's business in a comprehensive manner. The transition to the new structure was completed in fiscal 2024 and I feel that the effectiveness of the holding company structure has improved dramatically. By being involved in each operating company's budget, we can keep a close eye on their management. We also plan to strengthen our supervision of the subsidiaries of our principal operating companies in the future.

The Group has adopted a CxO system, with a CFO,

CHRO, CTO, CPPO, CRO, and CCO1, creating a structure that runs horizontally across the entire Group. One example of an improvement brought about by this change is the establishment of a dedicated FP&A2 organization under the CFO, which has strengthened decision-making by combining information from finance and accounting with information from business divisions. This is a major step forward in terms of operations.

For large-scale projects and strategic procurement, cold-eye reviews and function reviews for large investments are implemented under the supervision of the CPPO. By

changing to a system where gatekeeper approval is required, we can expect to see benefits such as improved returns on investment projects.

In terms of human resources, the effects of the transformation are beginning to emerge, as executive officers and general managers in charge of human capital

Miyata Tomohide

Representative Director, CEO ENEOS Holdings, Inc.

ENEOS REPORT Integrated Report 2025

‌management of principal operating companies are now able to discuss issues and solutions across the entire Group without any barriers.

We are also restructuring the succession plan for management, having redefined the roles and requirements of leaders based on the management issues of principal operating companies and mapped and assessed the capabilities, experience, and skills of the current management team and successor candidates. Based on this, we are implementing highly transparent selection of company presidents, which included the appointment of two new presidents of principal operating companies effective April 2025.

1 CFO: Chief Financial Officer; CHRO: Chief Human Resources Officer; CTO: Chief Technology Officer; CPPO: Chief Project & Procurement Officer; CRO: Chief Risk Officer; and CCO: Chief Compliance Officer.

2 Financial planning & analysis: An organization that provides necessary information from the fields of finance and accounting to support management decision-making in formulating business strategies and determining specific measures.

Initiatives for the Enhancement of the ENEOS Group

JX Advanced Metals IPO

The decision concerning the IPO of JX Advanced Metals, one of our fiscal 2024 highlights, was the culmination of several years of careful preparation by JX Advanced Metals and us to maximize its value toward listing, including the transfer of shares in the Caserones Copper Mine.

In terms of best owner, the IPO will eliminate the conglomerate discount and maximize the corporate value of both companies by allowing the Company to focus on the energy and materials segments, while JX Advanced Metals will focus on the semiconductors and information and communications materials, which will drive growth. Furthermore, we have established a financial foundation to make strategic investments necessary for business portfolio transformation to realize the energy transition, as well as to provide shareholder returns in an agile and reliable manner.

Formulation of Fourth Medium-Term Management Plan in Response to Changes in the Business Environment

Key Points of the Fourth Medium-Term Management Plan While the social situation regarding energy is moving toward decarbonization, there is a growing emphasis on a stable

and economical supply of energy, including petroleum. In addition, there is increasing uncertainty due to factors such as the increased cost toward decarbonization, the difficulty in

predicting project profitability due to inflation, etc., and policy risks in various countries.

Reflecting these changes in the external environment and the changes to our business portfolio with the IPO of JX Advanced Metals, we ended our third Medium-Term Management Plan one year early and launched the fourth

Medium-Term Management Plan in fiscal 2025. To enable us to respond to these changes in the social situation with agility and flexibility, the fourth Medium-Term Management Plan sets out two strategic pillars, transformation to a robust management

structure and portfolio restructuring, as basic policies. It also

Enhancing the ENEOS Group

Ideal management / Managing structure to lead transformation

stipulates allocation management in the cash flow plan to allow for funding investments and shareholder returns.

With the trend toward carbon neutrality slowing, the turning point in the energy transition may be delayed beyond our initial expectations. In preparation for this

turning point, whenever it may occur, we will streamline and strengthen our base and materials businesses to achieve high cash generation capability, and use the cash generated by the base and materials businesses to create value through flexible cash allocation. Regarding our low-carbon business in particular, the importance of low-carbon energy will increase during the transition period, and we will focus our efforts on this business.

Transformation to a Robust Management Structure

One of the pillars of our Medium-Term Management Plan is transformation to a robust management structure, as we must improve the efficiency of our existing businesses to maximize the earnings of the Group. We will improve ROIC through comprehensive visualization, not just by business, but from multiple perspectives, including by supply chain stage and area, and through the implementation of effective measures.

I feel that there is still a great deal of potential for efficiency improvement at Group companies in particular. We will evaluate these companies in terms of capital efficiency and business strategies and proceed with reductions.

We will also utilize AI across all operations to significantly improve operational efficiency and maximize profits.

Previously, we have used AI in some operations, such as to optimize the supply chain in supply and manufacturing and to explore new materials in research and development. In fiscal 2025, we established the AI Innovation Department directly under the CEO to strongly promote the use of AI. We will actively explore the full potential of AI utilization across all of our businesses to reduce fixed costs and streamline

our organization by improving operational efficiency, and maximize profits by optimizing operations.

Portfolio Restructuring

Another pillar of the Medium-Term Management Plan is portfolio restructuring. While improving the efficiency of existing businesses, we will prioritize the allocation of resources to the Petroleum Products business, which will continue to be important due to the delayed progress toward carbon neutrality, and to low-carbon solutions, such as LNG, SAF, and biofuels, and will proceed with portfolio restructuring. In addition

to organic strategic investments, we will actively consider the utilization of M&A, and identify and evaluate potential

acquisition targets, including cross-border opportunities, while prioritizing synergies with existing businesses.

We will carefully select investments and maximize returns through enhanced investment management. While we have conducted a certain level of investment screening to date, in fiscal 2025 we will establish an investment screening team, and thereafter we will carefully select investment projects through systematic, multifaceted screening. In addition, after a certain period of time following the execution of investment projects, we will conduct investment reappraisals and enhance investment outcomes by reviewing strategies and reallocating resources as needed.

Especially for M&A, post merger integration (PMI) is vital for success. Therefore, we have established PMI guidelines that are also applicable to cross-border M&A and put in place a system to maximize returns.

Shareholder Returns

As stated in our Shareholder Return Policy, we have positioned the return of profits to shareholders as an important management issue and will strive to continue to provide

stable dividends with the basic policy of implementing returns reflecting medium-term consolidated business performance and forecasts.

During the two-year period of the third Medium-Term Management Plan, we completed share buybacks totaling approximately 250.0 billion yen and increased the annual dividend by 4 yen per share, from 22 yen to 26 yen. To underscore our commitment to achieving the targets of the fourth Medium-Term Management Plan, we have decided to further increase the annual dividend by 4 yen per share, from 26 yen to 30 yen, in fiscal 2025, the first year of the plan, and to progressively increase dividends thereafter.

We will continue to enhance shareholder returns,

keeping in mind the pursuit of an optimal capital structure and the utilization of allocation management.

Developing Strong Leaders through Human Capital Management

Enhancing Employee Engagement

The enhancement of employee engagement is an important factor underpinning the growth of a company. While enhancing employee engagement is not easy, I believe it is important for management to continue to communicate their thoughts and expectations to employees. To that end, we proactively create opportunities for interactions between management and employees. Through town hall meetings and social gatherings in the employee cafeteria, we provide opportunities for everyone from top management to junior employees to freely exchange opinions.

Through these activities, we not only share the Group's vision, but also help employees understand their own roles and build a foundation to bring the entire organization together.

This also has the effect of strengthening horizontal ties and expanding networks among employees.

Developing Strong Leaders

Going forward, the Group will need strong leaders who can overcome uncertain times. In other words, we need people who are unafraid of change, who are willing to bring about change themselves, and who can lead organizational change. This awareness may not be widespread in Japan, but it is necessary for overcoming these uncertain times. In particular, tenacity in negotiations and speed in decision-making are important for M&A. Whether in Japan or overseas, it is essential to approach not only negotiating partners but also government agencies and other organizations and have a good understanding of the situation. We are focusing on the development of people with the leadership skills to thrive in areas that transcend their own fields of expertise.

Job-Based Talent Management

Job-based talent management is the key to assigning the right person to the right job. We are currently building a system that matches talent with the knowledge, experience, and skills required for each position. By specifically understanding the requirements for the position they are aiming for, employees can grow autonomously, and we can make the most of their skills and experience. We aim to grow together by building a relationship where we are chosen by individuals, and they are chosen by us.

Strengthening the Group over the Medium to Long Term

The Importance of Verification

There is a saying that I value in my approach to management: "Change before you have to," by Jack Welch. This saying

illustrates the importance of initiating change before change becomes necessary. I also place importance on the idea of "trust but verification."

When we entrust tasks to others, we tend to leave it entirely to them. Yet, even after entrusting the tasks, we should manage them by carefully verifying the process and progress. It was my boss at an overseas multinational corporation where I used to work who made me realize

how important this is. He said to me, the refinery manager, "How do you know? How can you say it's safe?" And he was absolutely right. We have to determine rules and systems, and thoroughly verify that they are being properly implemented on-site. Many Japanese people are not used to pursuing things logically, and find this difficult to understand, but in

an interview with one manager, he said, "Through overseas M&A, our company was able to incorporate a culture of verification, which is a global standard, and as a result, we were able to improve our performance," and I felt a strong connection with this statement.

I believe that by instilling a culture of trust but verification, we can become a stronger company, and that understanding the importance of verification and being able to put it into practice is an essential quality that should be honed in a leader.

Cross-Border Growth

In Japan, where the population is declining, simply maintaining the status quo will only lead to the shrinking of our business. Our energy business can no longer exist in Japan alone. We must broaden our perspective to a global one. This is especially true in a market that requires cross-

border operations, so thorough preparation is vital. At Board of Directors meetings, we have repeatedly discussed taking on challenges in a wide range of fields, taking into account

global political and economic trends and changes in the Asian economic environment. Our greatest strength is our operations, which make full use of functional supply chains that span the globe, something that other companies cannot

easily replicate. By leveraging this strength, we will expand our growth potential.

Message to Stakeholders

Over the past year, we have been implementing corporate reforms in a variety of areas, and I am confident that these reforms will produce sound results. In addition, we will accelerate our transformation by utilizing AI across all of our businesses. Even in a challenging business environment

where domestic demand for petroleum is on the decline, we recognize that we must quickly achieve and sustain visible results in the form of improved capital efficiency.

First, to ensure we achieve ROE of 10% or more as set out in our Medium-Term Management Plan, we will seize investment opportunities through decision-making focused on economic rationality. We will endeavor to grow our business while also seeking to enhance corporate value through the best mix of growth and shareholder returns.

I would like to thank our shareholders, investors, and other stakeholders for your continued support as we strive to meet your expectations.

September 2025

Miyata Tomohide

Representative Director, CEO ENEOS Holdings, Inc.

‌Direction of the ENEOS Group

Re-Examining Strategies for Achieving Our Long-Term Vision

Even in an Uncertain Business Environment Supporting "today's normal" through a stable supply of energy and materials, and continuing to lead "tomorrow's

normal" through low-carbon and decarbonization initiatives-this is the ENEOS Group's Long-Term Vision and determination to achieve it. Based on this vision, we are moving ahead with business portfolio transformation, including the initial public offering (IPO) of our subsidiary, JX Advanced Metals, in March 2025. Meanwhile, the trend toward carbon neutrality is slowing due to rising uncertainty, including heightened energy security awareness, the risk of US tariff policies, increased costs of decarbonization, and difficulty in predicting project profitability due to inflation. We recognize that the turning point of the energy transition may be delayed from the previously anticipated date of around 2030.

To realize our Long-Term Vision under these circumstances, it is essential that we respond agilely and flexibly to the uncertainties prevailing in the business environment. Therefore, we have cut short the third Medium-Term Management Plan after two years and formulated a new fourth Medium-Term Management Plan covering the period from fiscal 2025 to fiscal 2027.

Our medium- to long-term business strategy involves preparing for the eventual turning point of the energy transition by streamlining and strengthening our base and materials businesses and increasing our cash generation capability. We will also use the cash generated to create value through flexible cash allocation. We recognize that the low-carbon business, including LNG development and SAF1, will continue to play an increasingly important role as

energy sources during the transition to carbon neutrality, and we intend to focus on these businesses through strategic investments and other means.

ENEOS Group Long-Term Vision

The ENEOS Group is taking on the challenge of achieving both

a stable supply of energy and materials and the realization of a carbon-neutral society

Awareness of the medium- to long-term business environment in terms of carbon neutrality

The trend towards carbon neutrality is slowing. We had anticipated that the energy transition would reach a turning point in around 2030, but concluded that this may occur later.

Reexamine business strategies to support "today's normal" and lead "tomorrow's normal," even in a highly uncertain business environment

Medium- to Long-Term Business Environment and Strategies

Flexible cash allocation to create value

Enhancing the Management Base Human capital AI

Medium- to Long-Term Business Environment Our Strategy

1 Sustainable aviation fuel 2 Carbon dioxide capture and storage

Direction of the ENEOS Group

Building a Sustainable Portfolio While Increasing Business Scale

The Group plans to restructure its business portfolio by around 2040 as it expands its operations. The Group's operating profit was 429.3 billion yen1 in fiscal 2024, of which approximately 70% was generated from base businesses2. We aim to grow this to 900.0 billion yen by fiscal 2040 and transition to a portfolio in which the base and materials businesses and

the low-carbon and decarbonization businesses account for roughly equal proportions.

Under the fourth Medium-Term Management Plan, we aim to achieve operating profit of 500.0 billion yen in fiscal 2027. We will strengthen the profitability of the base and

materials businesses while maintaining their scale, and also focus on the low-carbon business. At the same time, we will steadily implement strategic investments in the energy transition while monitoring social trends. Going forward, we plan to incorporate the results of these investments and achieve operating profit of 600.0 billion yen in fiscal 2030, with the proportion of low-carbon and decarbonization businesses increasing to around 25%.

As we move toward fiscal 2040, we will continue to fulfill our responsibility to provide a stable supply of energy and materials, while steadily growing our low-carbon

and decarbonization businesses by responding flexibly to the speed and trends of technological innovation toward

achieving net-zero emissions.

Generate Returns That Exceed the Cost of Capital In fiscal 2024, ROIC was 5% and ROE 8%, leaving issues to be addressed in terms of capital efficiency. We aim to

generate returns that exceed our cost of capital by deepening ROIC management using comprehensive "visualization" (see page 19) and by resolving social issues related to energy and materials. We will pursue sustainable improvements in capital efficiency, with the financial targets of our fourth Medium-Term Management Plan-ROIC of 6% and ROE of 10% in fiscal 2027-as a waypoint, and with our sights set on our targets for ROIC of 7% and ROE of 15% in fiscal 2040.

Portfolio Plan

FY2024

Current state

FY2027

Final year of the fourth Medium-Term Management Plan

FY2030

Flexible response to transition Reap the rewards of upfront investment

FY2040

Base and materials businesses remaining crucial

Growth of low-carbon/ decarbonization businesses

ROIC 7%

ROE 15%

Operating profit

¥900.0 billion

Base2 Materials Low-carbon Decarbonization

ROIC 5%

ROE 8%

Operating profit

¥429.3 billion1

ROIC 6%

ROE 10%

Operating profit

¥500.0 billion

ROIC 6%

ROE 12%

Operating profit

¥600.0 billion

Adjusted (excluding one-time factors, etc.)

¥389.7 bn3

1 Operating profit incl. discontinued operations / excl. inventory valuation 2 Including JX Advanced Metals, NIPPO, etc.

3 Consolidated financial statements of the ENEOS Group excluding one-time factors (gain on the sale of JXAM shares, impairment of goodwill in the Petroleum Products business) and the impact of time-lag, and including JXAM operating profit as share of profit of entities accounted for using equity method.

‌Value Creation Model

Today's normal

Societal changes (external environment)

Tomorrow's normal

Energy transition (transition period) Carbon-neutral society

Capital inputs

Stable supply of energy and

materials to meet the needs of society

CCS Synthetic fuel Hydrogen

Decarbonization business

Low-carbon business

Renewable energy

LNG development Biofuel (SAF, etc.) Green materials

Flexible cash allocation to create value

Base and materials businesses

Petroleum products

Chemicals and high performance materials Electricity

Enhance the management base

Group people

strategy

Promotion of AI utilization

Initiatives to address material ESG issues

‌Capital and Indicators

Legend: Indicators for supporting "today's normal" Indicators for creating "tomorrow's normal"

Manufactured Capital Social and Relationship Capital

Utilizing petroleum refining

Renewable energy power

Service station network (customer contact points and customer data)

Alliances with

and sales assets

Crude oil processing capacity

1.64 million bbl/day

(as of June 30, 2025)

generation capacity

1.38 GW

(as of June 30, 2025; includes projects

under construction)

Market share of SS in Japan

Approx. 44%

No. 1 in Japan

(as of March 31, 2025)

Number of ENEOS Card holders

6.53 million

(as of June 30, 2025;

credit card results)

Number of ENEOS app members

18.17 million

(as of June 30, 2025)

partners Strategic alliances with leading overseas and

domestic companies

To further improve efficiency at our refineries, we aim to maximize operating rates through efforts such as appropriate investment in repair costs. Furthermore, our refineries have a wide range of equipment that can be used for the production and supply of next-generation energy, and they also have large-scale logistics infrastructure, such as berths and tanks. We will utilize these facilities as supply bases for next-generation energy.

Intellectual Capital

Responding to the energy transition is difficult for one company to do alone. It requires collaboration with the government and a variety of partners. In addition to collaboration, we will promote digital marketing related to car life, utilizing our existing network and the ENEOS app.

See page 31

Natural Capital

Intellectual capital

Number of registered patents

4,3441

(as of March 31, 2025)

R&D system

R&D investment

¥16.1 bn1

(FY2024)

Utilization of support systems

Number of projects utilizing GI Fund

6

Greenhouse gas emissions

Operational emissions (Scope 1 and 2)

FY2040 target

73% reduction compared

to FY2013

Contribution to the reduction of downstream emissions from sold products (including Scope 3)

FY2040 target

20% to 50% reduction in CI* compared

Amid a high level of uncertainty due to heightened energy security awareness and policy risks in various countries, we will continue to develop the technologies needed by society in order to respond quickly to any situation. We will also utilize government support such as the Green Innovation Fund2 to establish technological and strategic advantages while minimizing risks.

1. The decrease in the number of registered patents and R&D investment compared to the previous fiscal year is mainly due to the exclusion of JX Advanced Metals from the calculation.

2. A support system by the Japanese government for reaching the target of carbon neutrality by 2050

See page 27

Human Capital

to FY2020

We aim to achieve carbon neutrality in terms of operational emissions and downstream emissions from sold products, including Scope 3, by fiscal 2050. We will implement measures to reduce operational emissions, while leading the supply of energies and materials that will contribute to the transition and a circular economy in response to demands to reduce downstream emissions from sold products.

* Carbon intensity: Indicator of CO2 emissions (g) per unit of energy supply (MJ)

People strategy KPIs

(FY2024 results compared to FY2027 targets)

Number of advanced digital resources

For financial capital, see pages 23-24.

Growth opportunity score

56%

75% or more

Job satisfaction score

69%

75% or more

Work environment score

68%

75% or more

2,700

(as of March 31, 2025)

As part of our people strategy, which will enable the realization of our business portfolio restructuring, we will focus on developing strong leaders who can overcome uncertain times, thoroughly implementing job-based talent management centered on the pursuit of expertise, and fostering a corporate culture where employees can work comfortably and with pride. We will measure the effectiveness of these strategies using KPIs.

‌Group Management Structure (As of April 1, 2025)

As a pure holding company, ENEOS Holdings implements strategic leadership-type portfolio management, formulates strategies for the entire Group, and optimally allocates resources and capital. In addition, by appointing Group CxOs and working closely with principal operating companies, we aim to strengthen Group governance and improve profitability.

Manufacturing and sales of high performance Power generation and sales, promotion of VPP Development, generation and sales of

materials such as elastomers business, generation and sales of city gas renewable energy

Development, production and sales of oil and

natural gas, promotion of CCS/CCUS projects

Refining and sales of petroleum products, manufacturing and sales of petrochemical

products, lubricants business, hydrogen supply, etc.

Renewable Energy

Operating profit*: −¥16.9 bn

Electricity

Operating profit*: ¥21.0 bn

High Performance Materials

Operating profit*: ¥17.7 bn

Oil and Natural Gas E&P

Operating profit*: ¥87.4 bn

Petroleum Products

Operating profit excluding inventory valuation*: ¥6.9 bn

ENEOS

Renewable Energy

ENEOS Power

ENEOS Materials

ENEOS Xplora

ENEOS

Principal Operating Companies

Portfolio transformation, optimization of resource allocation, involvement in business strategies and monitoring of management progress

Business operations in accordance with Group strategies and timely reporting Execution of the Long-Term Vision and Medium-Term Management Plan

* Results for fiscal 2024

‌Part 3

Group Philosophy

Commitment of Top Management

Value Creation Strategy

Business Strategies

ESG Management

Financial and Corporate Data

Contents 16

Value Creation Strategy

1. Review of Third Medium-Term Management Plan (FY2023-FY2024)

2. Fourth Medium-Term Management Plan (FY2025-FY2027)

23 Message from the CFO

1. Message from the CPPO

2. Human Capital Management

26 Message from the CHRO

30 Carbon Neutrality Plan 2025 Edition

30 Message from the CTO

ENEOS REPORT Integrated Report 2025

‌Review of Third Medium-Term Management Plan (FY2023-FY2024)

Implementing Aggressive Shareholder Returns

Due to changes in the business environment, we decided to end our third Medium-Term Management Plan in fiscal 2024, the second year of the three-year plan. Below, we report on the main progress and achievements made during the period of the plan.

From a financial perspective, while capital efficiency, such as ROE and ROIC, requires continued focus, we achieved our initial targets for profit excluding inventory valuation, free cash flow, and net D/E ratio as of fiscal 2024. As for shareholder returns, we implemented large-scale share buybacks totaling 250.0 billion yen and increased the annual dividend by 4 yen. This was based on our pursuit of capital efficiency through balance sheet management and improving our financial strength through portfolio review. The total payout ratio during the period of the third Medium-Term Management Plan was 77%.

Maximizing Corporate Value with the Listing of JX Advanced Metals

One of the biggest decisions we made during the period of this plan was the listing of JX Advanced Metals. We had increased the company's share value through careful preparations over several years, including the transfer of shares in the operating company of Caserones Copper Mine and in Pan Pacific Copper Co., Ltd.

The listing of JX Advanced Metals not only secured funds for the energy transition, but also powerfully advanced the maximization of the Group's corporate value.

Additionally, we have worked to raise our earnings power through reduction of UCL1 in the Petroleum Products business and additional development in the Oil and Natural Gas E&P business. Moreover, as a stepping stone toward energy transition, we are steadily accumulating technological knowledge through various demonstration projects, such as the operation of synthetic fuel shuttle buses at the Osaka-Kansai Expo.

1. Unplanned capacity loss (percentage of unplanned refinery shutdowns)

   Financial Targets and Results

   Indicators Targets Results

1. Excluding inventory valuation

2. Excluding incubation businesses

3. After payment of lease liabilities

4. Adjusting for hybrid bonds on a total asset basis

5. In accordance with the calculation basis for the targets of the fourth Medium-Term Management Plan, lease liabilities are added to net interest-bearing debts and

non-controlling interests are deducted from equity.

Main Initiatives and Progress

Dividends

Share buybacks

¥250.0 bn

(FY2023-FY2024)

Share buybacks

¥100.0 bn

¥4/year

nd increase

¥22/year ¥22/year ¥22/year

¥22/year

¥26/year

2020 2021

2022

2023

2024 (FY)

2nd Mid-Term Mgmt. Plan 3rd Mid-Term Mgmt. Plan

‌Fourth Medium-Term Management Plan (FY2025-FY2027)

Accelerate Maximization of Corporate Value

In the fourth Medium-Term Management Plan, which covers the three-year period beginning in fiscal 2025, we have established two basic policies. These are intended to resolve issues remaining from the third Medium-Term Management Plan and to clarify the roadmap for realizing our Long-Term Vision in an uncertain business environment.

The first of these basic policies is transformation to a robust management structure (see pages 19-20). We will maximize profits by reviewing our operations from scratch and improving their efficiency, focusing on existing businesses. We will comprehensively "visualize" the profit and loss structure of the entire Group

and strive to improve operating efficiency and streamline our organization through the use of AI across all operations.

The second basic policy is portfolio restructuring (see page 21). We will prioritize the allocation of resources to early earnings generation businesses, centered on the overseas fuel oil business, and the low-carbon business, including LNG and biofuels. We will also pursue growth opportunities, including through M&A, while enhancing our investment management, aiming to carefully select investment projects and maximize performance.

As the foundation of these basic policies, we will also focus on human capital management (see pages 26-29), including the development of leaders for uncertain times and thorough implementation of job-based talent management.

Through these efforts, we will accelerate our initiatives to achieve our financial targets (see diagram at right), including the early realization of ROE of 10%, and to maximize our corporate value.

We are determined to achieve our plan regarding shareholder returns based on our dividend policy of increasing the dividend by 4

yen per share to an annual dividend of 30 yen per share. At the same

Basic Policies

Human capital management

Develop strong leaders who can overcome uncertain times

Implement job-based talent management centered on the pursuit of expertise

1 R is the profit attributable to owners of the parent excluding inventory valuation 2 Operating profit incl. discontinued operations / excl. inventory valuation

3 Based on examples disclosed by other companies, net D/E ratio in the fourth Medium-Term Management Plan includes lease obligations and excludes non-controlling interests (adjusted for hybrid bonds on a total asset basis)

Shareholder Returns

time, we will introduce a progressive dividend based on financial results, starting from an annual dividend of 30 yen per share. We will take a step beyond our commitment to continue paying stable dividends and aim to further increase dividends as profits grow.

FY2025 dividend policy Determined a dividend per share of ¥30

Return policy in the fourth Medium-Term Management Plan

Progressively increase dividends based on financial results, starting from 30 yen/share dividends On average over the three-year period, 50% or more of net income excl. the impact of inventory valuation will be returned through dividends and share buybacks.

‌Strategy 1: Transformation to a Robust Management Structure

Enhancing Efficiency through Comprehensive Visualization

The first basic policy of the fourth Medium-Term Management Plan is transformation into a robust management structure.

We aim to maximize profitability by reviewing the Group's potential issues from scratch and improving efficiency.

As a first step, we will improve ROIC through comprehensive visualization. Under the CFO (Chief Financial Officer), we have established an FP&A* organization, a specialized organization for financial planning and analysis. This organization will carefully examine changes in the business environment and the current internal situation, and

quickly provide its findings to various departments within the Group. After visualizing ROIC, not only by business unit but at various levels, we will use the PDCA cycle to improve it.

In addition, we will work to improve ROIC and strengthen governance at Group companies. Following the listing of JX Advanced Metals, the number of consolidated subsidiaries

is approximately 650, and there is undoubtedly a great deal of potential for efficiency improvements. We will regularly evaluate Group companies in terms of capital efficiency and strategic alignment, and after visualizing this, we will proceed with reducing the number of subsidiaries.

* Financial planning & analysis: An organization that provides necessary information from the

fields of finance and accounting to support management decision-making in formulating business strategies and determining specific measures.

Reducing Risks through Mitigation Plans

In order to strengthen risk management in light of the increasing uncertainty surrounding the business environment, we have established a dedicated Risk Management Department under the leadership of our CRO (Chief Risk Officer).

We will identify material risks across the Group, formulate mitigation plans*, and implement rapid and appropriate countermeasures to reduce risks.

* Measures to reduce risk to a tolerable level

Measures for Enhancing Efficiency

‌Strategy 1: Transformation to a Robust Management Structure

Pursuing the Possibilities of AI in All Areas of Operation The Group is utilizing AI in its business and research and development. We have also been working to create new businesses using AI technology through the development of Matlantis™, a materials development AI, and hammock®, our proprietary energy management system powered by AI. Under our fourth Medium-Term Management Plan, we will further expand these efforts and accelerate the use of AI across all areas of operation.

We will maximize opportunities for profit improvement by visualizing management data, including management indicators and risk information, and introducing AI into the

decision-making process. Additionally, we will pursue the potential of AI utilization in all areas of operation, such as enhancing marketing and sales strategies, optimizing the entire supply chain in supply and manufacturing, and improving efficiency and automating operations in administrative departments, thereby achieving a leaner organization.

Strengthening AI Governance

In June 2025, the Group established the AI Innovation Department, a dedicated organization for promoting the use of AI. The department promotes operational reform and

innovation through the development and use of cutting-edge

digital technologies, including AI, with the aim of strengthening the Group's overall competitiveness and increasing its corporate value. Furthermore, to ensure the appropriate and effective

use of AI, the department will also work to strengthen our governance structure for data and AI. The department is proceeding with data preparation and standardization, training employees to improve their AI literacy, and establishing a review system for DX and AI projects at each Group company. Through these efforts, the department will appropriately manage the risks associated with AI utilization and develop an environment in which AI can be used with confidence, leading to sustainable business growth and increased corporate value.

Measures for AI Utilization

Security

Four driving forces to be strengthened during the fourth Medium-Term Management Plan period

Digital and IT personnel

Digital technology capabilities

Management

• AI prediction of management indicators

• Risk management using AI prediction

• Utilization of AI in investment management operations

• Introduction of AI agents for business management

DX

Data utilization

"Tomorrow's normal" utilizing AI

Supply

• Cost reduction, risk management, and earnings improvement through AI-driven optimization of the entire supply chain

• Optimization of plans on vessel/vehicle allocations, production, inventory

Manufacturing

• Expansion of automated plant operation (optimization / CO2 reduction)

• Equipment failure prediction and maintenance

• Corrosion detection / leak detection through AI image diagnosis

• AI quality auditing

Sales

• 1-to-1 marketing aimed at service improvement

• Utilization of the official ENEOS app and AI support for service station earnings

• Proposal of ancillary services optimal for service stations based on service station conditions

• AI recommendation based on marketing/sales data analysis

R&D

• Development of new materials utilizing atomic simulations (Matlantis™)

• Advanced R&D in automated testing analysis, patent analysis, etc.

• Power generation volume forecasting AI and optimal control of energy management system (EMS)

• Wind power generation anomaly detection

Administration

• AI auditing, internal control, legal affairs, review of regulations

• Optimization of personnel allocation and training

• Enhancement of budget planning / automation of financial management

• Automation of IT operations

‌Strategy 2: Portfolio Restructuring

Portfolio Restructuring

The second basic policy of the fourth Medium-Term Management Plan is portfolio restructuring.

To realize our fiscal 2040 target portfolio (see pages 11-12), in the base and materials businesses, we will work to strengthen businesses that are expected to generate earnings early, such as the overseas fuel oil trading business. In the low-carbon business, we will prioritize the allocation of resources to the acquisition of additional LNG interests and assets as well as entering the overseas biofuels and SAF markets, which will become increasingly important in the transition to a decarbonized society.

Strengthening System for Careful Selection of Investments and Maximization of Returns

When investing, in order to pursue growth opportunities, including through M&A, it is essential to have a system

in place for careful selection of investment projects and maximization of returns. To strengthen our existing investment screening process, we have established an investment screening team, which will implement systematic and multifaceted investment screening. Our goal is to reduce investment by 5% from the initial plan.

In addition, after a certain period of time has elapsed after an investment project is implemented, we will conduct

gap analysis between the initial plan and the current situation. Based on the results, we aim to maximize performance by taking necessary measures such as reviewing strategies and reallocating resources.

M&A is a powerful and immediate means of portfolio restructuring. We will establish an M&A promotion system and evaluate M&A from a global perspective. Regarding post-merger integration (PMI), which determines the success of M&A, we will strengthen our PMI system by formulating

guidelines and establishing a dedicated PMI team, as we work to maximize post-acquisition synergies and returns, as well as manage risks.

Direction of Portfolio Restructuring and Investment Management System

In addition to organic growth,

pursue growth opportunities through M&A

• Established an M&A promotion system, planning with a global perspective

Strongly promote portfolio restructuring

for the realization of our

Long-Term Vision

Carefully select investments and maximize returns

Enhance investment management

1. Reorganization of investment screening system

   • Establish an investment screening team to strengthen the screening system and apply uniform investment screening rules to all investment projects

     Low-carbon business

     (LNG, biofuels, etc.)

     Prioritize resource allocation

     as a step toward a decarbonized society

1. • Conduct third-party reviews and functional reviews by CxOs (multifaceted reviews)

   • Conduct particularly rigorous reviews of investment projects that are important in corporate management

2. Investment reappraisal

   • Organize guidelines for reappraisals after a certain period following the execution of investment projects

   • Maximize investment performance by analyzing gaps from the initial plan and taking necessary measures

3. Establishment of post-merger integration (PMI)

   • New PMI Guidelines were established in FY2024 to improve PMI quality

   • Establish a team to strengthen the PMI system and link it with the gate system to utilize it for both promotion and screening

Reduce investment by 5%

(improve capital efficiency)

Maximization of investment performance

Maximize returns from M&A

Cash Allocation

Three-Year Cash Allocation Plan for the Medium-Term Management Plan

Three-Year Cash Flow for the Fourth Medium-Term Management Plan

Regarding cash flow over the three-year period of the Medium-Term Management Plan, we will utilize cash inflows of 820.0

Cash IN Cash OUT

• Breakdown of capital investment over three years

  Business maintenance investments

  ¥820.0 bn

  Base and materials

  ¥180.0 bn

  billion yen in net profit and 960.0 billion yen in depreciation and amortization costs, as well as the temporary financial surplus generated by the JX Advanced Metals IPO. We plan to allocate this cash to three areas: 1.56 trillion yen for capital investment, 410.0 billion yen for shareholder returns based on a total payout ratio

  Enhancement of corporate value

  
  
  

  Sale of assets, etc. ¥130.0 bn

Financial leverage

(Mainly base and materials businesses)

Strategic investments ¥740.0 bn

• Allocation management

  Decarbonization

  (Renewable energy, CCS, etc.)

  ¥250.0 bn

  Strategic investments

  ¥740.0 bn

  Low-carbon

  (LNG development, SAF, etc.)

  ¥310.0 bn

  of 50%, and a new allocation management portion that is set somewhere between investment and shareholder returns.

  Regarding capital investment, 820.0 billion yen, approximately half of the total, will be invested in business maintenance investments. Even in an inflationary environment, we will aim to maintain and improve our competitiveness by allocating sufficient

  Investment / shareholder returns

  Shareholder returns

  ¥410.0 bn

  
  
  

  Financial discipline (Net D/E ratio*)

  March 31, 2025

  0.48 x

Execute flexible and strategic cash allocation to selective strategic investments, including M&A, or additional returns (around ¥500.0-1,000.0 bn)

Ensure flexibility even in an uncertain business environment

• Approach to establishing financial discipline

Determined after comprehensively considering the perspectives of maintaining the current credit rating and the need to reduce the cost of capital.

resources to our base and materials businesses. We also plan to spend 740.0 billion yen on strategic investments, with more than 40% of that amount earmarked for the low-carbon business, including LNG development and SAF (see diagram at right).

Flexible and Strategic Cash Allocation Using the Allocation Management Framework

To continuously achieve an ROE of 10%, it is extremely important to strike a balance between strategic investment in businesses that contribute to the growth of the Group and shareholder returns as part of capital control.

We are currently considering investment opportunities in promising strategic investment projects that will contribute to portfolio restructuring. In light of this current situation, we have established a new allocation management portion for which specific uses are not stipulated, but is governed by a certain level of financial discipline. We will allocate funds flexibly and strategically, with an eye toward carefully selected strategic investments, including M&A, and shareholder returns, including share buybacks, leading to increased corporate value.

* Based on examples disclosed by other companies, this includes lease obligations and excludes non-controlling interests from the fourth Medium-Term Management Plan (adjusting for hybrid bonds on a total asset basis)

Strategic investments

Business maintenance investments

Total

Investment area

Capital Investment Plan by Business (Billion yen)

Breakdown for Each Year (Billion yen)

‌Review of the Third Medium-Term Management Plan and Financial Targets of the Fourth Medium-Term Management Plan

We ended the third Medium-Term Management Plan in fiscal 2024, one year ahead of schedule, in light of the listing of

JX Advanced Metals and significant changes in the business environment. While profit and operating profit figures (excluding inventory valuation) progressed smoothly toward the initial targets, issues remain regarding capital efficiency, specifically ROE and ROIC.

In our fourth Medium-Term Management Plan, which covers the three years starting from fiscal 2025, we will work to improve capital efficiency under the new Group management structure following the listing of JX Advanced Metals, with targets set at ROE of 10% or higher and ROIC

of 6% or higher. In terms of bottom line, we have set targets of 320.0 billion yen in profit excluding inventory valuation and 500.0 billion yen in operating profit excluding inventory valuation. Regarding our net D/E ratio, we aim for appropriate leverage of around 0.7 to 0.9 times, taking into consideration the need to maintain our current credit rating and reduce the cost of capital. While the previous plans only indicated an upper limit from the perspective of financial stability, we have now set a more ambitious target.

Adapting to Changes in the Business Environment

Shrinking domestic demand due to Japan's declining population and energy conservation measures is inevitable. For this reason, there is a growing sense of urgency that the Group will face

a shrinking bottom line if it continues only with its original businesses. Meanwhile, the business environment is becoming increasingly uncertain, with factors such as difficulty in predicting project profitability due to inflation and the risk of policy changes

Financial Targets for the Fourth Medium-Term Management Plan

Indicators

Previous targets

FY2024

Actual

FY2027

Target

1. R is the profit attributable to owners of the parent excluding inventory valuation

2. Operating profit incl. discontinued operations / excl. inventory valuation

3. Based on examples disclosed by other companies, this includes lease obligations and excludes non-controlling interests from the fourth Medium-Term Management Plan (adjusting for hybrid bonds on a total asset basis)

in various countries in the area of carbon neutrality.

To adapt to these changes in the business environment, our fourth Medium-Term Management Plan sets out a basic policy of transformation to a robust management structure and

portfolio restructuring. We will respond agilely and appropriately to uncertainty by deepening ROIC management using comprehensive visualization and implementing a swift PDCA cycle. In terms of capital allocation, we will maximize corporate value by utilizing the management allocation framework to agilely allocate funds to strategic investments aimed at the Group's growth and shareholder returns. In an uncertain business environment, many opportunities coexist with risks. Through high-quality analysis by our FP&A* organization and enhanced investment management, we will accurately identify the potential opportunities within the risks and steadily seize further growth opportunities.

* Financial planning & analysis: An organization that provides necessary information from the fields of finance and accounting to support management decision-making in formulating business strategies and determining specific measures.

Message from the CFO

We will maximize corporate value by allocating resources agilely and strategically while enhancing ROIC management.

Tanaka Soichiro

Representative Director, Executive Vice President, CFO ENEOS Holdings, Inc.

Message from the CFO

Rapidly Adapting to Changes in the Business Environment Using Our FP&A Organization In April 2025, we established a new FP&A organization. Under

the comprehensive control of the CFO, financially literate FP&A personnel conduct high-quality financial analysis and performance forecasts, creating a system where we can adapt rapidly to changes in the business environment. We will continue to foster a corporate culture in which Group companies take the initiative in their business efforts while maintaining an awareness of capital efficiency.

Pursuing ROIC to Establish a Robust Management Structure

During the period of the previous plan, we moved ahead with the sale of non-core businesses and assets from the perspectives of portfolio management and balance sheet management

using business-specific ROIC as an indicator. As a result, ROIC management has spread throughout the Group. However, we still face a number of issues, including a harsh assessment by the capital market because our PBR is less than one, as well as the impairment losses we recorded in the Renewable Energy business, so there is room for improvement in capital efficiency.

The fourth Medium-Term Management Plan calls for us to raise ROIC awareness for effective action and achieve true ROIC management. We will visualize ROIC not only by business, but also by supply chain, customer segment, area, and affiliate, in more detail, to better understand the actual state of unprofitable and low-profit businesses. Furthermore, we will implement a PDCA cycle led by the FP&A organization to improve areas with low capital efficiency. We will strengthen profitability through extensive efficiency improvements and strongly promote

transformation to a robust management structure.

Pursuing Enhancement of Investment Management

Under our fourth Medium-Term Management Plan, we plan to make strategic investments totaling 740.0 billion yen

over the three-year period from fiscal 2025 to fiscal 2027. To execute these investments, it is essential to enhance investment management, which includes careful selection of projects based on rigorous investment screening, as well as strengthening

our systems to maximize returns. While ensuring transparency and objectivity in investment decisions through quantitative assessments and risk analyses by our FP&A organization, we will pursue the enhancement of investment management through efforts such as visualizing the future value of each business,

leading to the maximization of corporate value.

ROIC Targets and Initiatives in the Fourth Medium-Term Management Plan

FY2024 Actual

Adjusted Invested operating profit capital

ROIC

WACC1

FY2027 Target

Adjusted Invested

operating profit capital

ROIC WACC

Initiatives

Related to return (ROIC)

Related to invested capital (ROIC)

(Billion yen)

1 Level at the time of formulation of the third Medium-Term Management Plan 2 After adjustment based on equity-method (42.4% of JXAM equity)

‌Message from the CPPO

We are maintaining and strengthening the Group's business competitiveness through attentive management of

large-scale projects and strategic procurement.

Someya Yoshiyuki

Senior Vice President, CPPO In charge of Procurement Dept.,

Project Services Dept. ENEOS Holdings, Inc.

Review of Fiscal 2024

In fiscal 2024, my first year as CPPO (Chief Project & Procurement Officer), we launched the project-gate system1 in the second half of the year. Initially, many people had doubts about the new system, which required multiple

gate screenings, saying that it increased the workload and decreased work efficiency. But having thoroughly implemented the system, its importance has become apparent. The documents for each gate screening now

Project-Gate System

Gate 0

Gate 1

Gate 3

Stage 0 Proposal Stage 1

Start of consideration

Stage 2 Feasibility study Stage 3

FEED2

Execution

No Go

No Go

Gate 2

No Go

No Go

2 Front-End Engineering Design: Basic design carried out after feasibility has been confirmed through the feasibility study. This process examines the risks, technical issues, and costs of the project.

clearly outline the various points for consideration, and the reasons for "go" or "no go," along with the process, can now be recorded. I feel that the system is functioning well as a way of selecting investment projects systematically and with a high degree of transparency.

Additionally, in fiscal 2024, we conducted classification-leveled training on the latest trends in the gate system and large-scale projects. The training aimed to communicate global practices to management as well as the project planning and execution staff, and to help them visualize change and success. We will make fiscal 2025 a year of results by improving project quality and investment efficiency.

1 A system in which project periods are divided into five stages, with gate screening conducted between each stage to determine whether the project is a "go" or "no go." Fourteen items for consideration (elements) are used to manage project risks and select high-quality projects.

Maximizing Capital Efficiency3

Under our fourth Medium-Term Management Plan, we are planning many capital investment projects to drive new revenue opportunities and carbon neutrality, in addition

to our existing projects. While there are many ways to improve capital efficiency, we aim to contribute in the following four areas.

1. Properly select necessary projects using the gate system and prevent inefficient investments

2. Complete projects on schedule and secure expected profits

3. Support the effective use of investment funds by properly estimating costs, carefully managing expenditures, and making costs visible

4. Seek opportunities to reduce project costs and complete projects within budget

Indicators for each of the four areas will be defined by the Group's Project Network (Project Promotion Committee), which will be established in fiscal 2025, with effectiveness to be measured individually.

3 An indicator that measures how efficiently invested capital is being used. Improvements can be made by reducing project costs and accelerating the start of operations.

Rigorous Procurement Governance and Strategic Procurement

In order to strengthen the Group's business competitiveness and fulfill its social responsibility throughout the supply chain, we established a meeting structure called the ENEOS Group Procurement Network in fiscal 2024. In addition to carefully implementing the ENEOS Group Procurement Policy and the Procurement Guidelines, we are conducting CSR procurement surveys to identify potential risks. We will also work to make each company's procurement data more visible and enhance data analysis, such as the cost reduction rate compared to estimates and budgets. Formulating and implementing strategic procurement in this way will contribute to improving capital efficiency along with projects.

‌Human Capital Management

Message from the CHRO

We will pursue a people strategy that will enable the realization of transformation to a robust management structure and portfolio restructuring.

Funo Atsuko

Senior Vice President, CHRO In charge of Secretariat,

Human Resources Dept., Public Relations Dept.

ENEOS Holdings, Inc.

To respond flexibly to these highly uncertain times, we are building a system for advancing human capital management across the entire Group.

Improving the Effectiveness of the Leader Selection, Development, and Appointment Processes

In fiscal 2024, we worked to visualize our ideal leaders and restructure the selection and development process (see page 27).

Organizations change depending on their leaders. With excellent leaders, the right strategies are formulated and management is executed with a greater degree of engagement, improving the organization's execution capabilities, productivity, and the quality and quantity of its results.

In light of the management challenges facing the Company and its principal operating companies, we redefined the roles and requirements of leaders and visualized the experience and knowledge of the current management team and successor candidates. As a result, we are now able to analyze the requirements for each position, the compatibility of talent with those requirements, and the overall capabilities of the management team. This has improved the effectiveness of discussions regarding the appointment of executives. The results of this analysis were also used in the Nomination Advisory Committee's repeated discussions regarding new presidents

for April 2025 at two principal operating companies, resulting

in the appointment of the best candidates to lead management.

We have also begun reorganizing the selection and development process for management candidates. Using the Group's shared evaluation standards, we have created a system that allows for highly transparent discussion and decisions

on development policies and appointments. As there was insufficient information sharing regarding management talent within the Group, we have established a joint meeting body with ENEOS Holdings and each Group company to discuss the selection and development of talent.

As we pursued these initiatives, we also discovered the issue of insufficient systematic leadership development in line with the times. Over our long history, which spans over a century, the Group has achieved results through a tacit

understanding centered on its leadership. As a result of having achieved success in this way, we have not adequately articulated and shared the requirements for strong leaders necessary

for our organization. Currently, we are strengthening our classification-leveled training for fiscal 2024 onward based on clear requirements and evaluation criteria.

Although there is room for improvement in identifying and developing talented people, we believe that this in itself offers great potential for improving our competitiveness. We will continue to improve the effectiveness of our leader selection, development, and appointment processes.

Improving Engagement

The source of our competitiveness is employees who empathize with our Group Philosophy and produce results while maintaining their physical and mental health.

Furthermore, for employees to maintain enthusiasm for their work, it is important for them to be engaged with the company in terms of work environment and job satisfaction.

To better understand the current situation and resolve any issues, we conducted an engagement survey (see page 29) at the Company and its principal operating companies. Results showed that while scores for empathy with our corporate philosophy and work environment were high, there were issues in terms of appropriate evaluations and the active participation of diverse people, which affect job satisfaction.

Based on the survey, we will strengthen our PDCA system and focus on creating an environment where diverse people can maximize their capabilities and be properly evaluated, to ensure that the right person is assigned to the right job.

Committed to Getting the Job Done

In order for the Group to further increase its corporate value and make greater strides toward the next generation,

I will take strong leadership of our people strategy with the resolve and determination to see our human capital management efforts through to completion.

‌ENEOS Group Human Capital Management We will thoroughly implement people strategies closely linked to the Group's management strategy to ensure that people who support today's normal and lead tomorrow's normal perform at their best and maximize productivity.

As our approach to human capital management, under highly effective Group governance, we are promoting initiatives based on the two pillars of realizing and implementing an effective system based on the assignment of the right person to the right job and fostering a corporate culture where employees can work comfortably and with pride.

The ENEOS Group's Human Capital Management

Building an Effective System Based on the Assignment of the Right Person to the Right Job Strengthening Leader Development

As we restructure our business portfolio, we need strong leaders who can overcome uncertain times. We will strengthen the operational effectiveness of our processes to strategically select, develop, and appoint the next generation of management talent for the Company and its principal operating companies.

Appointing Leaders

We have identified positions that are particularly important in the Group's business activities and clarified the experience

and knowledge required for each. We have also visualized the experience and knowledge of the current management team and established a system for selecting successors through effective discussions, taking into account the balance of

Strengthening Leader Development (Succession Management)

expertise and experience.

Selecting and Developing Successors

Based on our requirements for leadership, we have strengthened our system for selecting suitable candidates using fair and objective criteria, and are implementing this at the Company and principal operating companies. At the same time, we will thoroughly implement strategic human resources development from an early stage.

Personnel Portfolio and Job-Based Talent Management We will develop a personnel portfolio taking into account future business portfolio restructuring and business trends. We will estimate the type of and need for personnel in terms of quality and quantity, and in parallel, we will clarify the current situation by visualizing the skills and experience of each employee. After comparing the future and current portfolios and identifying

Building a Group governance system

Priority issues

• Selection and development

  Clarify selection criteria and perform fair recruitment to implement

  Goal

  (CxO, etc.)

  Experience Knowledge and skills

  Competency

  • Assigned to AA project

  • Transferred to BB division

  • Seconded to CC

  Present

  Experience Knowledge and skills Competency

  
  
  

  strategic HR development from an early stage

• Appointment

  Visualize the capabilities of the entire management team, and select successors through effective discussions

  Requirements	X	Y	Z
  Current employee
  Candidate A
  Candidate B

  gaps, we will strategically recruit and develop the personnel needed for the future.

  Establishing a personnel portfolio also means showing employees exactly the type of people the company needs. We support each employee in thinking independently about their own career aspirations and continuing to grow while keeping in mind the type of people we are looking for. We will strengthen job-based talent management as a system that allows employees to confirm their current position, consider specific career paths while aligning their perspectives with their supervisors, and accumulate skills and experience toward their desired goals.

  Thorough Job-Based Talent Management

  Establish a future personnel portfolio and thoroughly implement talent management centered on assignment of the right person to the right job to resolve gaps

  Job-based talent management

Strengthening of recruitment of external personnel

60%* of new hires have work experience

M&A expert

Person with global perspectives

Digital expert

Engineer

Independent career development Visualize post requirements and skills of personnel

Fostering a Corporate Culture Where Employees Can Work Comfortably and with Pride

To maximize the potential of each employee, we must have a deeply rooted corporate culture where employees can work comfortably and with pride. In addition to health management, which is a fundamental premise for our corporate culture, we are working from two other perspectives: work environment and job satisfaction.

Health Management

We have formulated a health management strategy map for the Group, setting targets from three perspectives: individual health, individual vitality, and organizational vitality. Based on this map, we will further enhance employee health literacy and vigorously advance measures.

See the ENEOS Report: ESG Data Book 2025 (available on our website in January 2026) for further details.

DATA

ESG Data Book-Health

https://www.hd.eneos.co.jp/english/esgdb/social/health.html

System for Fostering a Corporate Culture Where Employees Can Work Comfortably and with Pride

Maslow's hierarchy of needs

Self-

Commitment to Group

actualization Philosophy and Long-Term Vision

Esteem

Organization with esteem

Love & Diverse work styles belonging Organization accepting diversity

Safety

Ensuring psychological and physical safety

Physiological Health management

* FY2024 results of ENEOS

Effective personnel development

Initiatives for the "TSUNAGU Project" at the Company and ENEOS

The TSUNAGU Project was launched in May 2024 for the re-establishment of an environment where employees can work comfortably and with pride, under the keywords "change starting with supervisors" and "everyone takes ownership." The senior vice presidents and division heads of the Company and ENEOS are responsible for leading the initiative, under which we are implementing companywide the "Three Principles for Working in Peace" to thoroughly promote constructive, two-way communication. The Three Principles have been put into practice over the course of efforts spanning one year, and results of monthly surveys have confirmed improvements in psychological safety and other areas. Starting in May 2025, we launched an upgraded version of the project under the name "TSUNAGU 2.0," adding health, work environment, and job satisfaction to the scope of activities.

Three Principles for Working in Peace

01 : Are others being respected?

03 : Is everyone saying what needs

to be said?

02 : Are others being listened to?

Actively support growth

‌Work Environment

We are advancing initiatives under the keywords "diverse work styles," "organization accepting diversity," and "ensuring psychological and physical safety."

For example, in terms of being an organization that accepts diversity, we have expanded ENEOS ALLY, a network of employees who understand and support sexual minorities, from the Company and ENEOS to other Group companies.

Job Satisfaction

In order to improve job satisfaction, it is essential to increase employees' commitment to our corporate philosophy and vision and instill a culture of mutual esteem. At the Company and principal operating companies, we provide opportunities for top management to communicate the company's direction to employees in their own words. Ongoing dialogue leads to a deeper understanding and empathy among employees for our corporate philosophy. Furthermore, at ENEOS, we are focusing on fostering a feedback culture in which employees share their insights with those around them, and on strengthening

steadily implement a PDCA cycle for measures to achieve the targets by fiscal 2027.

Engagement Surveys

We conduct engagement surveys to understand the current state of our organization and to confirm the effectiveness of our efforts to assign the right person to the right job and foster a corporate culture. In fiscal 2024, we conducted the

survey at the Company and principal operating companies. In the survey, approximately 80% of employees responded that they empathize with our corporate philosophy, confirming that our corporate vision is well understood. Over 70% of employees gave positive responses regarding psychological safety and respect for individuals. However, only around

50% of employees responded positively to questions about the active participation of diverse people and appropriate evaluations, and these two points remain issues. We will

Fiscal 2024 Engagement Survey Positive Response Rate by Item

A

implement solutions and continue conducting the survey, expanding the scope to Group companies.

CHRO Council

We have established the CHRO Council, chaired by the CHRO and comprising the executive officers in charge of human capital management at principal operating companies. The council holds discussions on the progress of KPIs and priority issues for the Group.

Discussion Topics in Fiscal 2024

• Human capital management

• Group people strategy and Group-wide KPIs in the Medium-Term Management Plan

• Strengthening leader development

• Health management

People Strategy KPIs, Results for Fiscal 2024 and Targets for Fiscal 2027

Assignment of the right person to the right job

followership, in which each employee takes the initiative to

Growth opportunity score

Training investment per person

involve others in solving organizational issues.

Highly Effective Group Governance

56 1,2

75%

%

or more

¥70,000

¥100,000

or more

Establishment of Group-wide KPIs

We have set Group-wide KPIs as indicators for the two pillars

G

Fostering a Corporate Culture

81%

H

74%

B

68%

51%

57%

73%

F

66%

74%

D

C

Job satisfaction score

69 1

75% or more

%

of human capital management: assigning the right person to

the right job and fostering a corporate culture. Among these,

Work environment score 68

1

75% or more

we have set five particularly important KPIs as non-financial

%

Health (Presenteeism)3 20.4

2

20% or lower

targets for the people strategy in the fourth Medium-Term Management Plan: "growth opportunity score" and "training

investment per person" for assigning the right person to the

E

Questions on job satisfaction Questions on work environment

%

1 Average positive response rate for engagement survey questions related to each item

2 Results for ENEOS Holdings and ENEOS

right job, and "job satisfaction score," "work environment score," and "health" for fostering a corporate culture. We will

A: Empathy toward corporate philosophy B: Esteem

C: Appropriate evaluations

D: Work-life balance E: Team relationship F: Psychological safety

G: Active participation of diverse people

H: Respect for individuals

3 A state in which an employee continues to work without taking time off despite physical or mental health issues, resulting in decreased productivity (percentage of lost labor productivity)

Note: For each indicator, the figures at left are the results for fiscal 2024 and the figures at right are the targets for fiscal 2027.