#1JAPEX [Explanatory Material] Financial Results for the Nine Months Ended December 31, 2023 February 9, 2024 Japan Petroleum Exploration Co., Ltd. Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.#2Contents JAPEX I. Financial Highlights II. Financial Results for the Nine Months Ended December 31, 2023 III. Revised Financial Forecasts for the fiscal year ending March 31, 2024 Note: This material also serves as the presentation material for the financial results briefing for the institutional investors and analysts to be held on February 13, 2024. Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 2#3JAPEX I. Financial Highlights II. Financial Results for the Nine Months Ended December 31, 2023 III. Revised Financial Forecasts for the fiscal year ending March 31, 2024 Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 3#4I. Financial Highlights Financial Highlights 1-3Q FY3/24 Results (Year-on-Year) JAPEX FY3/24 Forecasts Revision (vs Nov.10 Forecasts) (Billion Yen) 1-3Q FY3/23 1-3Q FY3/24 Change (Billion Yen) (a) (a) Previous (f) Nov. 10, 2023 Revised (f) Feb. 9,2024 Change Operating profit 38.7 39.8 +1.1 Operating profit 48.8 50.7 +1.9 Ordinary profit 57.8 48.1 (9.7) Ordinary profit 57.0 59.1 +2.1 Profit attributable to Profit attributable to 43.2 36.5 owners of parent (6.7) 45.0 45.0 owners of parent Operating profit: Increased due to growth of sales volume for U.S. tight oil development • Ordinary profit : Decreased due to decline in equity method profit and foreign exchange gains Shareholder Returns Operating profit: Increased mainly due to start of sales from Profit attributable the Seagull project in U.K. North Sea to owners of parent: Increased tax expense in the U.K. FY3/24 annual dividend (forecast): 250 yen per share (interim 125 yen + year-end forecast 125 yen), unchanged from the previous forecast *Based on shareholder return policy of 30% dividend payout ratio Major Business Progress Signed a Key Principles Agreement with PETRONAS for the maturation and development of the CCS Project in Malaysia (Nov) • Agreed on Joint Study with Nippon Gas Line on domestic marine transportation of liquefied CO2 and port developments (Nov) Commenced CO2 injection field test at Sukowati oil field in Indonesia (Dec) Acquired additional well interests in tight oil development project in U.S. (Dec) Commenced Joint Study to establish ammonia supply base in Soma area, Fukushima Prefecture (Jan) Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 4#5JAPEX II. Financial Results for the Nine Months Ended December 31, 2023 III. Revised Financial Forecasts for the fiscal year ending March 31, 2024 I. Financial Highlights Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. LO 5#6II. Financial Results for the Nine Months Ended December 31, 2023 1-3Q FY3/24 Results (Year-on-Year) Million Yen Net sales Gross profit Operating profit Ordinary profit Profit attributable to owners of parent Oil Price and Exchange Rate WTI Crude oil price (CIF) Exchange rate JAPEX 1-3Q FY3/23 (a) 1-3Q FY3/24 (a) Change 225,105 229,938 +4,833 +2% 63,888 62,745 (1,143) (2%) 38,742 39,868 +1,125 +3% 57,878 48,162 (9,716) (17%) 43,286 36,515 (6,771) (16%) 1-3Q FY3/23 (a) 1-3Q FY3/24 (a) Change USD/bbl 98.27 77.46 (20.81) USD/bbl 106.81 86.26 (20.55) JPY/USD 132.69 141.98 +9.29 Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 6#7II. Financial Results for the Nine Months Ended December 31, 2023 E&P Business Sales (Year-on-Year) 1-3Q FY3/23 (a) 1-3Q FY3/24 (a) Net sales: Million Yen Unit Sales volume Net sales Sales volume Net sales Sales volume E&P Business 35,902 72,841 Breakdown Change JAPEX Net sales +36,938 +103% Crude oil 402 35,672 1,000 72,350 +597 +148% +36,678 +103% Crude oil - Japan 173 Thousand KL 15,964 161 12,778 [1] (11) (7%) (3,186) (20%) *1 Crude oil Overseas - 213 18,283 823 58,369 [2] +609 +285% +40,085 +219% Purchased crude oil 15 1,424 15 1,203 (0) (1%) (221) (16%) Natural Gas - Overseas *2 Million M3 5 230 42 490 +37 +712% +260 +113% Main factors for change [1] Decrease in sales volume and sales price [2] Increase in sales volume of Iraq Garraf project and U.S. tight oil development *1 Amounts of overseas consolidated subsidiaries, Japex Garraf Ltd., and Japex (U.S.) Corp. *2 Amounts of overseas consolidated subsidiary, Japex (U.S.) Corp. Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 7#8II. Financial Results for the Nine Months Ended December 31, 2023 I/U Business Sales (Year-on-Year) Net sales: Million Yen Infrastructure & Utility Business 1-3Q FY3/23 (a) 1-3Q FY3/24 (a) Unit Sales volume Net sales Sales volume Net sales Sales volume 141,748 - 110,714 Change JAPEX Net sales (31,034) (22%) Breakdown Natural Gas-Japan 692 62,625 646 55,741 [1] (45) (7%) (6,884) (11%) Million M3 - Produced in Japan 324 305 (19) (6%) LNG Thousand Ton 213 34,877 99 10,193 [2] (113) (53%) (24,683) (71%) Electricity Million kWh 2,146 40,843 2,641 40,059 +495 +23% (784) (2%) Other* 3,400 4,719 +1,318 +39% Main factors for change [1]-[2] Decrease in sales volume and sales price * Including net sales from commissioned transportation of natural gas and commisioned regasification of LNG Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 8#9II. Financial Results for the Nine Months Ended December 31, 2023 Operating Profit (Year-on-Year) (Billion Yen) JAPEX E&P Business Overseas : +9.8 bn. 2.2 bn. 12.0 bn. OP total 2.2 E&P-Overseas 12.0 E&P-Japan I/U Others (3.8) (6.2) 13.7 12.9 21.0 26.5 38.7 39.8 • Increase in sales volume of tight oil development in U.S. (+) Foreign exchange gap related to cost recovery and decrease in operating expenses, etc., for the Iraqi Garraf project (+) Japan (5.5 bn.) 26.5 bn. →> 21.0 bn. Decrease in sales volume and sales price of crude oil (-) • Decrease in sales volume and sales price* of natural gas (-) * Internal transaction price from E&P Business to I/U Business for the internal management (0.7 bn.) • • I/U Business 13.7 bn. -> 12.9 bn. Decrease in marginal gain on LNG procurement (-) Raw material slide time lag (+) (2.3 bn.) Others * (3.8 bn.) → (6.2 bn.) Increase in general and administrative expenses (-) Decrease in profit of contract services at subsidiaries (10.0) (5.0) 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 (-) ■1-3Q FY3/23 (a) 1-3Q FY3/24 (a) * Operating profit not belonging to the above business units (contracting, oil products and commodities, and others) less headquarters administrative expenses Note) The amounts in the operating profit breakdown by business segment are the figures for the Group's internal management Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 9#10II. Financial Results for the Nine Months Ended December 31, 2023 Analysis of Net Income change (Year-on-Year) (Billion Yen) 60.0 50.0 40.0 30.0 43.2 20.0 10.0 0.0 Net +9.8 JUS (FY3/23) Gain on derivatives (6.0 bn.) Interest income/Dividend income +1.1 bn. (5.5) (0.7) (2.3) (1.6) +3.9 (5.2) +0.0 (0.9) +6.0bn. Japex Garraf (1.7 bn.) (4.0) Japex Garraf +3.1bn. SODECO (3.6 bn.) DGN (0.8 bn.) EMPI (0.4 bn.) income Operating profit* +1.1 bn. Non-operating income (10.8 bn.) FY3/23 1-3Q (a) E&P overseas E&P Japan Foreign I/U Others exchange gains and loss Equity on earnings Others Extraordinary income Income taxes JAPEX 36.5 Net income Profit attributable to non- controlling FY3/24 1-3Q (a) interest FY3/23 2.2 26.5 13.7 (3.8) 4.8 6.7 7.5 (0.0) 13.4 1.0 1-3Q (a) FY3/24 12.0 21.0 12.9 (6.2) 3.2 1.5 3.5 (0.0) 9.5 2.0 1-3Q (a) Note) The amounts in the operating profit breakdown by business segment are the figures for the Group's internal management Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 10#11JAPEX I. Financial Highlights II. Financial Results for the Nine Months Ended December 31, 2023 III. Revised Financial Forecasts for the fiscal year ending March 31, 2024 Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 11#12II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 FY3/24 Forecasts (vs Nov. 10 Forecasts) Million Yen Net sales Gross profit Operating profit Ordinary profit Profit attributable to owners of parent Oil Price and Exchange Rate JAPEX Previous (f) Nov. 10, 2023 Revised (f) Feb. 9, 2024 Change 325,400 330,700 +5,300 +2% 83,800 84,200 +400 +0% 48,800 50,700 +1,900 +4% 57,000 59,100 +2,100 +4% 45,000 45,000 WTI Crude oil price (CIF) Exchange rate Previous (f) Nov. 10, 2023 Revised (f) Feb. 9, 2024 Change USD/bbl 77.46 75.60 (1.86) USD/bbl 84.35 84.74 +0.39 JPY/USD 139.51 141.42 +1.91 Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 12#13II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 E&P Business Sales Forecasts (vs Nov. 10 Forecasts) Previous (f) Nov. 10, 2023 Revised (f) Feb. 9, 2024 Net sales: Million Yen Unit Sales volume Net sales Sales volume Net sales Sales volume E&P Business 94,172 97,267 Breakdown JAPEX Change Net sales +3,094 +3% Crude oil 1,331 93,411 1,393 96,218 +61 +5% +2,806 +3% Crude oil-Japan 219 16,479 230 17,397 [1] +11 +5% +917 +6% Thousand KL - Crude oil overseas *1 1,092 75,445 1,142 77,260 [2] +49 +5% +1,815 +2% Purchased crude oil 19 1,487 20 1,560 +0 +3% +73 +5% Natural Gas Overseas*2 *2 Million M3 60 761 66 1,049 +6 +11% +287 +38% Main factors for change [1] Increase in sales volume [2] Sales begin from the Seagull project in U.K. North Sea/Increase in sales volume of U.S. tight oil development *1 Amounts of overseas consolidated subsidiaries,Japex Garraf Ltd., Japex (U.S.) Corp. and JAPEX UK E&P Ltd. *2 Amounts of overseas consolidated subsidiaries, Japex (U.S.) Corp. and JAPEX UK E&P Ltd. Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 13#14II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 I/U Business Sales Forecasts (vs Nov. 10 Forecasts) Net sales: Million Yen Infrastructure & Utility Business Breakdown JAPEX Previous (f) Nov. 10, 2023 Revised (f) Feb. 9, 2024 Change Unit Sales volume Net sales Sales volume Net sales Sales volume Net sales - 168,005 169,996 +1,991 +1% Natural Gas-Japan 961 80,950 955 80,997 (5) (1%) +47 +0% Million M3 - Produced in Japan 448 445 (3) (1%) LNG Thousand Ton 279 28,617 279 28,578 +0 (0%) (39) (0%) Electricity Million kWh 3,468 52,160 3,520 53,338 [1] +52 +2% +1,178 +2% Others* 6,277 7,081 +804 +13% Main factors for change [1] Increase in sales volume and sales price * Including net sales from commissioned transportation of natural gas and commissioned regasification of LNG Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 14#15II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 Operating Profit Forecasts (vs Nov. 10 Forecasts) OP total E&P-Overseas E&P-Japan I/U Others (9.0) (8.9) 12.8 14.4 19.0 25.9 25.4 (Billion Yen) 48.8 50.7 JAPEX E&P Business Overseas : +1.6 bn. 12.8 bn. → 14.4 bn. Sales begin from the Seagull project in U.K. North Sea (+) Increased production remuneration for the Iraqi Garraf • project (+) Japan (0.4 bn.) • • 25.9 bn. → 25.4 bn. Increase in operating costs (-) Increase in sales volume of crude oil (+) • • 19.7 Internal transaction price from E&P Business to I/U Business for the internal management +0.6 bn. I/U Business 19.0 bn. -> 19.7 bn. Increase in marginal gain on LNG procurement (+) +0.1 bn. (20.0) (10.0) 0.0 10.0 20.0 30.0 40.0 50.0 60.0 * | Initial (f) Nov.10, 2023 | Revised (f) Feb.9, 2024 Others* (9.0 bn.) → (8.9 bn.) Operating profit not belonging to the above business units (contracting, oil products and commodities, and others) less headquarters administrative expenses Note) The amounts in the operating profit breakdown by business segment are the figures for the Group's internal management Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 15#16II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 JAPEX Analysis of Change in Net Income Forecasts (vs Nov. 10 Forecasts) (Billion Yen) 60.0 50.0 +1.6 +0.6 +0.1 +0.9 +0.3 (0.4) (0.4) (0.3) (2.4) 40.0 30.0 JUK 45.0 Japex Garraf +1.2 bn. +0.2 bn. Increase in interest income Decrease in interest expenses +0.4 bn. +0.2 bn. 20.0 JUK Japex (1.4 bn.) (0.4 bn.) 45.0 10.0 0.0 Net income Operating profit* +1.9 bn. Non-operating income +0.2 bn. Net income FY3/24 (f) Nov.10 E&P overseas E&P Japan Foreign I/U Others exchange gains and loss Equity on earnings Profit attributable to Others Extraordinary income Income taxes non- controlling interest FY3/24 (f) Feb.9 FY3/24 (f) Nov. 10 12.8 25.9 19.0 (9.0) 3.0 0.9 4.3 (0.1) 9.6 2.3 FY3/24 (f) 14.4 25.4 19.7 (8.9) 2.6 0.6 5.2 (0.1) 12.0 2.0 Feb. 9 Note) The amounts in the operating profit breakdown by business segment are the figures for the Group's internal management Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 16#17II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 FY3/24 Forecasts (Year-on-Year) Million Yen Net sales Gross profit Operating profit Ordinary profit Profit attributable to owners of parent Oil Price and Exchange Rate WTI Crude oil price (CIF) Exchange rate Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. JAPEX FY3/23 (a) FY3/24 Revised (f) Change 336,492 330,700 (5,792) (2%) 96,111 84,200 (11,911) (12%) 62,085 50,700 (11,385) (18%) 83,130 59,100 (24,030) (29%) 67,394 45,000 (22,394) (33%) FY3/23 (a) FY3/24 Revised (f) Change USD/bbl 94.42 75.60 (18.82) USD/bbl 102.26 84.74 (17.52) JPY/USD 132.86 141.42 +8.56 17#18II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 E&P Business Sales Forecasts (Year-on-Year) FY3/23 (a) FY3/24 Revised (f) Change Net sales: Million Yen Unit Sales volume Net sales Sales volume Net sales Sales volume E&P Business 56,063 97,267 JAPEX Net sales +41,204 +73% Breakdown Crude oil 695 55,703 1,393 96,218 +697 +100% +40,515 +73% Crude oil - Japan 238 20,760 230 17,397 (7) (3%) [1] (3,363) (16%) Thousand KL *1 Crude oil-overseas 436 33,084 1,142 77,260 [2] +706 +162% +44,176 +134% Purchased crude oil 20 1,858 20 1,560 (0) (4%) (297) (16%) Natural Gas - Overseas* *2 Million M3 11 360 66 1,049 +55 +480% +688 +191% Main factors for change [1] Decrease in sales price [2] Increase in sales volume of Garraf Project in Iraq and tight oil development in U.S. *1 Amounts of overseas consolidated subsidiaries, Japex Garraf Ltd. and Japex (U.S.) Corp. for FY3/23, and Japex Garraf Ltd., Japex (U.S.) Corp. and JAPEX UK E&P Ltd. for FY3/24. *2 Amounts of overseas consolidated subsidiaries, Japex (U.S.) Corp. for FY3/23, and Japex (U.S.) Corp. and JAPEX UK E&P Ltd. for FY3/24. Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 18#19II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 I/U Business Sales Forecasts (Year-on-Year) Net sales Million Yen Infrastructure & Utility Business Breakdown JAPEX FY3/23 (a) FY3/24 Revised (f) Change Unit Sales volume Net sales Sales volume Net sales Sales volume Net sales - 213,657 - 169,996 (43,661) (20%) Natural Gas-Japan 989 97,360 955 80,997 (33) (3%) [1] (16,363) (17%) Million M3 - Produced in Japan 461 445 (15) (3%) LNG Thousand Ton 340 51,572 279 28,578 [2] (61) (18%) (22,994) (45%) Electricity Million kWh 3,005 58,735 3,520 53,338 +514 +17% [3] (5,396) (9%) Others* 5,988 7,081 +1,093 +18% Main factors for change [1]-[2] Decrease in sales price of natural gas and LNG, decrease in sales volume of LNG [3] Decrease in sales price * Including net sales from commissioned transportation of natural gas and commissioned regasification of LNG Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 19#20III. Revised Financial Forecasts for the fiscal year ending March 31, 2024 Operating Profit Forecasts (Year-on-Year) OP total 1.9 E&P-Overseas 14.4 E&P-Japan I/U (5.6) Others (8.9) (20.0) 0.0 25.4 24.6 19.7 20.0 41.1 (Billion Yen) 50.7 62.0 JAPEX E&P Business Overseas : +12.5 bn. • • 1.9 bn. →> 14.4 bn. Increase in sales volume of tight oil development in U.S. (+) Absence of one-time expenses, etc., of Japex Garraf Ltd. (+) Japan: (15.7 bn.) • 41.1 bn. -> 25.4 bn. Decrease in sales volume and sales price of crude oil (-) Decrease in sales volume and sales price* of natural gas (-) *Internal transaction price from E&P Business to I/U Business for the internal management (4.8 bn.) I/U Business 24.6 bn. -> 19.7 bn. Decrease in marginal gain on LNG procurement (-) (3.2 bn.) • Others* (5.6 bn.) → (8.9 bn.) Increase in general and administrative expenses (Personnel and digital-related expenditures etc.) (-) Decrease in profit of contract services at subsidiaries (-) Operating profit not belonging to the above business units (contracting, oil products and commodities, and others) less headquarters administrative expenses 40.0 60.0 * FY3/23 (a) ■FY3/24 Revised (f) Note) The amounts in the operating profit breakdown by business segment are the figures for the Group's internal management Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 20 20#21II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 Analysis of Change in Net Income Forecasts (Year-on-Year) (Billion Yen) Japex Garraf JAPEX (2.2 bn.) (0.4 bn.) SODECO DGN (3.1 bn.) (2.2 bn.) LBJ (0.6 bn.) (15.7) (4.8) (3.2) (2.7) +3.1 (0.0) (6.5) (3.4) (1.4) 90.0 +12.5 80.0 70.0 60.0 50.0 40.0 JUS 67.3 30.0 Japex Garraf +6.0 bn. +5.2 bn. 20.0 10.0 0.0 Net income Operating profit* (11.3 bn.) (FY3/23) Gain on derivatives (6.0 bn.) Dividend income/Interest income +1.3 bn. Non-operating income (12.6 bn.) Profit JAPEX 45.0 Net income FY3/23 (a) E&P overseas E&P Japan Foreign attributable to I/U Others exchange gains and loss Equity on earnings Others Extraordinary income Income taxes non- controlling interest FY3/24 Revised (f) FY3/23 (a) 1.9 41.1 24.6 (5.6) 5.3 7.1 8.6 (0.0) 15.1 0.5 FY3/24 Revised (f) 14.4 25.4 19.7 (8.9) 2.6 0.6 5.2 (0.1) 12.0 2.0 Note) The amounts in the operating profit breakdown by business segment are the figures for the Group's internal management Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 21#22II. Revised Financial Forecasts for the fiscal year ending March 31, 2024 Cash Flows and Debt JAPEX Million Yen FY3/23 (a) FY3/24 (f) Full year Full year Nov.10 Feb.9 Cash flows from operating activities Profit before income taxes Depreciation 104,581 88,635 88,412 83,084 56,900 59,000 14,257 24,491 26,946 Recovery of recoverable accounts 18,295 39,736 36,647 Cash flows from investing activities (52,723) (115,444) (95,099) Purchase of property, plant and equipment (35,973) (85,385) (68,293) Payments of recoverable accounts (27,729) (32,413) (30,241) Cash flows from financing activities (14,506) (30,392) (30,161) Cash and cash equivalents at end of period 186,166 128,965 149,318 Interest-bearing debt*1 EBITDA *2 Debt-to-EBITDA ratio 10,413 10,149 10,149 85,316 83,241 88,227 0.1 0.1 0.1 *1 Interest-bearing debt includes lease obligations, retirement benefit liabilities and contingent liabilities *2 EBITDA is the total of operating profit, depreciation, interest and dividends received based on investment cash flow statement Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 222 22#23JAPEX Appendix 1. Net Sales 2. Financial Results 3. Segment Profit 4. Price Assumptions for FY3/24 Forecasts 5. Sensitivities Analysis on FY3/24 Forecasts Basis 6. Business Overview 7. Integrated Report and IR-related materials, etc. 8. Glossary Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 23 23#24Appendix 1. Net Sales - 1 E&P JAPEX Million Yen FY3/23 (a) 3Q 1-3Q Full year 1Q FY3/24 (a) 2Q FY3/24 (f) 3Q 1-3Q 4Q Full year (f) Nov. 10 Feb. 9 Sales 21,760 35,902 Net sales Sales volume of Crude oil (Thousand KL) Sales volume of Crude oil - Japan (Thousand KL) Net sales 260 402 56,063 695 10,724 36,811 152 497 25,304 349 72,841 24,426 94,172 97,267 1,000 392 1,331 1,393 21,570 35,672 55,703 10,608 36,650 25,091 72,350 23,868 93,411 96,218 57 173 238 50 50 60 161 68 219 230 5,468 15,964 20,760 3,700 3,962 5,115 12,778 4,619 16,479 17,397 Sales volume of Crude oil - overseas *1 (Thousand KL) 199 213 436 97 441 283 823 319 1,092 1,142 Net sales 15,632 18,283 33,084 6,532 32,312 19,524 58,369 18,891 75,445 77,260 Sales volume of Purchased crude oil (Thousand KL) Net sales 4 15 20 469 1,424 1,858 375 55 5 5 15 4 19 20 375 451 1,203 357 1,487 1,560 Sales volume of Natural gas -overseas *2 (Million M3) 3 5 11 10 15 16 42 23 60 66 Net sales 189 230 360 116 160 213 490 558 761 1,049 WTI (USD/bbl) Crude oil price (CIF) (USD/bbl) *3 91.76 105.93 98.27 94.42 76.11 73.78 82.49 77.46 70.00 77.46 75.60 106.81 102.26 85.17 81.77 90.79 86.26 81.16 84.35 84.74 *1 Amounts of overseas consolidated subsidiaries, Japex Garraf Ltd. and Japex (U.S.) Corp. for FY3/23, and Japex Garraf Ltd., Japex (U.S.) Corp. and JAPEX UK E&P Ltd. for FY3/24. *2 Amounts of overseas consolidated subsidiaries, Japex (U.S.) Corp. for FY3/23, and Japex (U.S.) Corp. and JAPEX UK E&P Ltd. for FY 3/24. *3 Domestic sales price average of crude oil referring to crude oil price (CIF) Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 224 24#25Appendix 1. Net Sales - ②I/U JAPEX Million Yen FY3/23 (a) FY3/24 (a) FY3/24 (f) 3Q 1-3Q Full year 1Q 2Q 3Q 1-3Q 4Q Full year (f) Nov. 10 Feb. 9 Sales 64,968 141,748 213,657 36,398 38,288 36,027 110,714 59,282 168,005 169,996 Sales volume of Natural gas - Japan (Million M3) 245 692 989 202 197 246 646 309 961 955 Net sales 26,659 62,625 97,360 20,200 16,189 19,351 55,741 25,256 80,950 80,997 Sales volume of Natural gas produced in Japan (Million M3) 112 324 461 102 90 90 111 305 140 448 4449 445 Sales volume of LNG (Thousand ton) 119 213 440 340 30 30 30 30 38 99 99 179 19 279 279 Net sales 21,391 34,877 51,572 1,498 4,551 4,143 10,193 18,384 28,617 28,578 Sales volume of Electricity (Million kWh) 693 2,146 3,005 774 1,171 695 2,641 878 3,468 3,520 Net sales 15,591 40,843 58,735 13,137 16,113 10,808 40,059 13,279 52,160 53,338 Others* 1,326 3,400 5,988 1,561 1,434 1,723 4,719 2,362 6,277 7,081 JLC Price (JPY/ton) 142,404 129,363 126,286 89,887 88,343 93,685 90,638 93,367 89,909 91,320 * Including net sales from commissioned transportation of natural gas and commissioned regasification of LNG Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 25 25#26Appendix 2. Financial Results JAPEX Million Yen FY3/23 (a) FY3/24 (a) 3Q 1-3Q Full year 1Q 2Q 3Q 1-3Q 4Q Nov. 10 FY3/24 (f) Full year (f) Feb. 9 Net sales 104,396 225,105 336,492 61,321 89,387 E&P Business 21,760 35,902 56,063 10,724 36,811 79,229 25,304 229,938 100,761 325,400 330,700 72,841 24,426 94,172 97,267 Infrastructure/Utility Business 64,968 141,748 213,657 36,398 38,288 36,027 110,714 59,282 168,005 169,996 Others 17,667 47,454 66,771 14,199 14,286 17,897 46,383 17,052 63,221 63,435 Cost of sales 74,488 161,216 240,380 40,812 66,591 59,789 167,193 79,306 241,600 246,500 Gross profit Exploration expenses 29,907 63,888 96,111 20,508 22,795 19,440 62,745 21,454 83,800 84,200 860 2,000 2,885 255 726 1,035 SG&A expenses 9,609 23,145 31,139 7,349 Operating profit Non-operation income (expense) Interest income 19,438 38,742 62,085 12,903 6,470 15,597 (4,643) 19,136 21,044 5,315 5,318 7,037 11,366 (2,339) 2,018 20,858 39,868 2,181 4,700 4,200 8,441 30,300 29,300 10,831 48,800 50,700 8,294 105 8,200 8,400 342 749 1,173 520 464 559 1,544 255 1,400 1,800 Interest expenses (3) (5) (24) (34) (161) (220) (479) (1,000) (700) Dividend income 67 1,719 3,520 57 1,977 71 2,106 2,093 4,200 4,200 Share of profit of entities accounted for 49 6,734 7,109 338 932 245 1,516 (916) 900 600 using equity method Provision for overseas investment (44) (44) (44) (15) 0 (23) (38) 138 (100) 100 Foreign exchange gains and loss (4,312) 4,864 5,332 4,764 Other (744) 5,117 3,958 (325) 1,587 390 (3,103) 3,248 (648) 3,000 2,600 72 136 (336) (200) (200) Ordinary profit 14,794 57,878 83,130 18,219 Extraordinary income (loss) (11) (27) (46) (9) 20,916 (3) 9,027 48,162 10,937 57,000 59,100 (7) Profit before income taxes 14,783 57,851 Income taxes Profit attributable to non-controlling interests 4,520 (1,593) 13,490 1,074 83,084 15,102 587 18,209 4,335 874 20,912 9,019 (20) 48,141 (79) (100) (100) 10,858 56,900 59,000 4,757 476 9,569 2,430 9,600 12,000 1,384 Profit (loss) attributable to owners of parent 11,856 43,286 67,394 12,999 14,770 (202) 8,745 2,056 (56) 2,300 2,000 36,515 8,484 45,000 45,000 Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 26 26#27Appendix 3. Segment Profit JAPEX Million Yen FY3/23 (a) FY3/24 (a) FY3/24 (f) 3Q 1-3Q Full year 1Q 2Q 3Q 1-3Q 4Q Full year(f) Nov. 10 Feb. 9 Operating profit 19,702 42,391 68,855 13,732 12,608 9,612 35,954 11,899 48,164 47,853 Japan Share of profit (loss) of entities accounted for using equity method 124 440 326 136 50 (64) 123 34 276 157 2,370 2,918 4,210 1,952 3,536 3,440 8,929 1,273 10,253 10,202 Operating profit North America Share of profit of entities accounted for using equity method Operating profit (loss) (29) (118) (170) (111) (137) (111) (360) 576 (984) 216 Europe Share of profit (loss) of entities accounted for using equity method (61) (61) (609) (728) (670) Operating profit (loss) (8) 1,125 (112) 447 2,672 1,110 4,230 835 4,773 5,065 Middle East Share of profit (loss) of entities accounted for using equity method (2) (9) (11) (1) (3) 7 2 0 (4) 2 Operating profit Others Share of profit (loss) of entities accounted for using equity method (72) 6,303 6,793 202 884 364 1,451 (341) 1,354 1,110 Adjustments and Eliminations Amounts on consolidated Operating profit (loss) statement of income*3 (2,596) (7,574) (10,697) (3,118) (3,082) (2,684) (8,885) (3,752) (13,406) (12,638) 19,438 38,742 62,085 12,903 15,597 11,366 39,868 10,831 48,800 50,700 *1 Include the Sakhalin Oil and Gas Development Co., Ltd., Energi Mega Pratama Inc., and others *2 Mainly intersegment elimination and corporate expense. Furthermore, corporate expense represents mainly general and administrative expenses and experiment and research expense that are not allocated to reporting segments. *3 Segment profit (loss) is reconciled to operating profit in the consolidated statements of income. Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 27 27#28Appendix 4. Price Assumptions for FY3/24 Forecasts JAPEX Upper: from January 2022 to March 2023 Lower: from January 2023 to March 2024 Full year Market Price Jan.-Mar. Apr.-Jun. Jul.-Sep. Oct.-Dec. Jan.-Mar. Crude oil price (CIF) *1 USD/bbl FY3/23 (a) Previous (f) Nov. 10 101.55 115.31 105.93 89.98 102.26 85.17 81.77 85.00 85.00 84.35 Revised (f) Feb. 9 - 85.17*2 81.77*2 90.79*2 81.16 84.74 FY3/23 (a) 94.41 108.65 91.76 82.85 94.42 Previous (f) WTI USD/bbl 76.11 73.78 80.00 80.00 77.46 Nov. 10 Revised (f) 76.11*2 73.78*2 Feb. 9 82.49*2 70.00*2 - 75.60 FY3/23 (a) 101,863 143,821 142,404 117,057 126,286 Previous (f) JLC price JPY/Ton Nov. 10 88,287 89,115 89,400 91,233 89,909 Revised (f) Feb. 9 89,887*2 88,343*2 93,685 93,367 91,320 FY3/23 (a) 122.50 133.58 143.32 133.39 132.86 Previous (f) Exchange rate JPY/USD 134.36 141.06 140.00 140.00 139.51 Nov. 10 Revised (f) Feb. 9 134.36*2 141.06*2 148.53*2 140.00 141.42 *1 Domestic sales price average of crude oil referring to crude oil (CIF) *2 Actual Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 28#29Appendix 5. Sensitivities Analysis on FY3/24 Forecasts Basis Impacts on profit (Million Yen) FY3/24 4Q Assumptions JAPEX Fluctuation Operating profit Profit attributable to owners of parent Main factors for change positive factor "+" / negative factor "-" + Sales of oil and gas 60 40 Increase in LNG procurement cost Crude oil price Crude oil price (CIF) 4Q:USD 81.16/bbl Increase by 1USD/bbl Exchange rate JPY 140.00/USD 1 weaker JPY against USD + Sales of oil and gas 50 20 - Increase in LNG procurement cost 【Assumptions] • • Changes in equity method profit/loss are not included in the above amount. In addition to the impact of exchange rate fluctuations shown on the above, translation adjustments of foreign-currency-denominated receivables and payables also may occur. • Actual profits are influenced by various other factors besides crude oil prices and exchange rates. Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 29 29#30Appendix 6. Business Overview 1 E&P Field [3] Norway: Offshore Blocks [5] Russia: Sakhalin 1 Project [4] UK North Sea: Seagull Project [1] Iraq: Garraf Project [6] United States: Tight Oil Development JAPEX E&P Business site [A] Japan: Domestic oil and gas fields (10 sites in Hokkaido, Akita, Yamagata, and Niigata) • [2] Indonesia · Kangean Project JAPEX Group E&P business base site 10 fields Japan Overseas 6 projects JAPEX Group oil and gas E&P fields/projects (as of Jan., 2024) No. Oil and gas field/Project title (Operator) Interest Share (JAPEX's net) Japan: Domestic oil and gas fields A Differ by interest (Total of 10 locations in Hokkaido, Akita, Yamagata, and Niigata) Production type Crude oil/ natural gas Status 1 Iraq: Garraff Project (PETRONAS Carigali Iraq Holding B.V.) 30% (16.5%) Crude oil 2 Indonesia: Kangean Project (Kangean Energy Indonesia Ltd.) 100% (25%) 3 Norway: Offshore Blocks (Longboat JAPEX Norge AS*2) Differ by interest 4 UK North Sea: Seagull Project (BP Exploration Operating Company Ltd.) 15% (15%) 5 Russia: Sakhalin-1 Project (Sakhalin-1 Limited Liability Company: S1LLC) 30% (4.59%)*3 Crude oil/ natural gas Crude oil/ natural gas Crude oil/ natural gas Crude oil/ natural gas Production/ Development Production/ Development Production/ Development Production Exploration/Production/ Development Production/ Development Production Volume*1 Undisclosed Approx. 158,000bbl Approx. 2,350,000m³ (Approx. 14,304boed) Approx. 254boed Undisclosed Undisclosed 16 North America: Tight Oil Development (EOG Resources Inc., etc.) *1: Average daily Production for 3Q FY2023 (No.2, 3: Jan.-Sep. 2023, No.1: Apr.-Dec. 2023) *2: Company name was changed upon completion of capital participation (49.9% stake) in Jul. 2023 *3: Pursuant to Government of the Russian Federation order on November 2022, Sakhalin Oil and Gas Development Co., Ltd.(SODECO) was approved to subscribe for 30% equity of the S1LLC. Differ by interest Crude oil/ natural gas Production/ Undisclosed Development Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 30#31Appendix 6. Business Overview ② I/U Field - Gas Supply Features of JAPEX's domestic gas supply network High-pressure gas pipeline network over 800 km total 2 LNG terminals for ocean-going carriers Capable to supply from Sea of Japan and Pacific Ocean Domestic gas supply Domestic produced gas and regasified LNG supply via pipelines Receive, storage, regasify, and deliver LNG LNG satellite system: tank trucks, domestic vessels Third-party or consignment use of our gas pipelines and LNG terminals etc. Respond to diversification of domestic gas supply Support fuel switching to natural gas from other fossil fuels Propose and provide energy services in cooperation with city gas suppliers • LNG procurement Procure competitive LNG with a combination of term and spot contracts Overseas LNG supply infrastructure LNG Receiving Terminal Hokkaido Gas Co., Ltd. Ishikari LNG Base Coastal vessel LNG tank truck Kitahiroshima Chitose Tomakomai Akita Yurihonjo LNG tank truck Yamagata LNG from overseas Shindigh LNG Receiving Terminal NIHONKAI LNG CO., LTD. Niigata Terminal Launch new projects or other process mainly in Southeast Asia with stronger demands for gas ✓ Ongoing feasibility study: Northern Vietnam LNG terminal project LNG tank truck Niigata-Sendai Gas Pipeline LNG tank truck Fukushima Ulonuma LNG tank truck Korty ama LNG tank truck LNG tank truck JAPEX LNG tank truck Yufutsu LNG Plant/ Yufutsu LNG Receiving Terminal Coastal vessel On Field/Gas Field/oil and Gas Field LNG Terminal Power Plant Natural gas ppeme LNG tank truck LNG Ocean-going LNG Carriers -LNG Costal vessal *Cities on the los are supply destasations Sendal wanuma Soma-wanuma Gas Pipeline Coastal vessel Soma LNG Terminal LNG from overseas Fukushima Natural Gas Power Plant Shiroishi-Koriyama Gas Pipeline Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 31#32JAPEX Appendix 6. Business Overview ③ I/U Field · Electricity Total JAPEX's joining power plants are 8 sites Total output 1,389,800kw (Renewable energy 7 sites Renewable energy 209,800kw) * Total output represents gross plant output Power plants in development and operation (as of Jan., 2024) Name [1] Abashiri Biomass Power Plant No.2&3 BIO [2] Mega solar power generation at JAPEX Hokkaido District Office PV [3] Yufutsu Solar Power Plant PV Status No. Location Туре Capacity (kW) Share A Fukushima Natural Gas Power Plant Shinchi Town, Fukushima Natural gas 1,180,000 33% In operation (LNG) 1 Abashiri Biomass No.2&3 Power Plants Abashiri City, Hokkaido Biomass 19,800 33.8% In operation (wood chip) Mega solar power generation Tomakomai City, 2 PV 1,800 100% In operation at JAPEX Hokkaido District Office Hokkaido 3 Yufutsu Solar Power Plant Tomakomai City, Hokkaido PV 13,000 20% In operation [A] Fukushima Natural Gas Power Plant 4 Mitsuke PV Power Plant Mitsuke City, Niigata PV 250 100% In operation LNG Tahara City, Biomass 5 Tahara Biomass Power Plant 50,000 39.9% Aichi (wood pellet) Under construction PV 6 Ozu Biomass Power Plant 7 Chofu Biomass Power Plant Ozu City, Ehime Shimonoseki City, Yamaguchi Biomass (wood pellet) 50,000 35% Biomass (wood pellet) 74,950 39.9% Under construction Under construction [4] Mitsuke PV Power Plant • Other renewable energy project PHOTON Sustainable Solar Investment Limited Partnership (funding up to 10 billion yen in PV generation projects including non-FIT projects; 50% of our investment ratio) [7] Chofu Biomass Power Plant [5] Tahara Biomass Power Plant BIO BIO BIO Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. [6] Ozu Biomass Power Plant Gas power plant Renewable power plant Renewable power plant (under construction) 32#33Appendix 6. Business Overview 4 CN Field • Ongoing Carbon Neutral initiatives to promote/participate in Japan Realize hub & cluster type CCS/CCUS model by FY2030 Consideration in JAPEX ✓ Examination of CO2 storage capacity in our oil and gas fields, etc. ✓ Study of re-injection of associated CO2 from our oil and gas field operations Feasibility study with companies/cross-industry ✓ Considering of possibility of a business that effectively utilizes CO2 in the Niigata area with Mitsubishi Gas Chemical (May 2021~) ✓ Feasibility study of CCUS project in Tomakomai area, Hokkaido with Idemitsu and HEPCO (Jan 2023~) ✓ JAPEX, Idemitsu, and HEPCO commissioned a CCS Study in Tomakomai Area as the "Business Feasibility Study on Japanese Advanced CCS Project" in FY2023 by JOGMEC (Jul 2023) ✓ JAPEX, MGC, TOHOKU-EPCO, HC and NRI commissioned a Study in East-Niigata Area as the "Business Feasibility Study on Japanese Advanced CCS Project" in FY2023 by JOGMEC (Aug 2023) ✓ Agreed on Joint Study with Nippon Gas Line on domestic marine transportation of liquefied CO2 and port developments (Nov 2023) ✓ Commencement of Joint Study with MGC, IHI, Mitsui & Co., and MOL to establish ammonia supply base in Soma area, Fukushima Prefecture (Jan 2024~) Overseas JAPEX Early profit earning in advanced countries & consideration in emerging countries Consideration in JAPEX ✓ Consideration for participation in CCS/CCUS projects in North America, Europe and other systematically advanced areas Feasibility study on companies/cross-industry ✓ Joint feasibility study of a CCUS project in Indonesia's Sukowati oil field utilizing bilateral credits (with Pertamina Group and Lemigas) (Jun 2021 Jul 2023) ✓ Joint Study on CCS in Malaysia: Jointly conducted site surveys and technical studies with a view to implementing CO₂ geological storage with PETRONAS, JGC Global Corporation, and Kawasaki Kisen Kaisha (Jan 2022~) ✓ Agreed with JFE Steel Corporation to establish CCS value chain originated from JAPAN in conjunction with the above CCS joint study in Malaysia in FY2023 (Jun 2023) ✓ Signed a Memorandum of Understanding with SKK Migas for cooperation in realizing Hub & Cluster CCS/CCUS in Indonesia (Sep 2023) ✓ Capital participation in Blue Spruce Operating LLC of the U.S. to participate in our first CCS business study project in advanced overseas country (Oct 2023) ✓ Started CO2 injection testing at the Sukowati oil field in Indonesia based on a joint study agreement with JOGMEC and the Pertamina Group (Dec 2023~) Common Technical and other related study ✓ Study on technical issues of energy transportation infrastructure for the realization of a CN society with JFE Engineering Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 33#34Appendix 7. Integrated Report and IR-related Materials,etc. Please visit our website for the integrated report and IR materials. Integrated Report Integrated Report JAPEX JAPEX Integrated Report 2023 For Fadesh 21.2001 https://www.japex.co.jp/en/ir/library/integratedreport/ The latest issue (Integrated Report 2023, published in October 2023) is available directly via the following link https://www.japex.co.jp/en/ir/uploads/pdf/JAPEX IR2023 e.pdf Disclosure Materials Archive Financial Results Explanatory Materials Securities Report Performance information, etc. Financial highlights for 5 years * Past 10 years' CVS data is also available Shareholder Returns (Dividends) https://www.japex.co.jp/en/ir/library/result/ https://www.japex.co.jp/en/ir/library/explanatory/ https://www.japex.co.jp/en/ir/library/report/ https://www.japex.co.jp/en/ir/figure/ https://www.japex.co.jp/ir/uploads/JAPEX 10yearFinancialData_e.xlsx https://www.japex.co.jp/en/ir/stock/dividend/ Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 34#35Appendix 8. Glossary • Abbreviations BOE(D) CCS CCUS Barrels of Oil Equivalent (per Day) Carbon dioxide Capture and Storage Carbon dioxide Capture, Utilization and Storage Cost, Insurance and Freight Carbon neutral Exploration and Production CIF CN E&P I/U Infrastructure & Utility JCC Japan Crude Cocktail WTI West Texas Intermediate Main Subsidiaries and Affiliates Japex Garraf Japex Garraf Ltd. EMPI SODECO LBJ FGP Energi Mega Pratama Inc. Sakhalin Oil & Gas Development Co., Ltd. Longboat JAPEX Norge AS Fukushima Gas Power Co., Ltd. Iraq Garraf Project Indonesia/Kangean Project Russia Sakhalin-1 Project Norway: Offshore Blocks Natural gas-fired electric power generation Business Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 35 35 JAPEX#36Cautionary Statement JAPEX This document contains future outlooks such as plans, forecasts, strategies, and others which are not historical facts and these are made by the management's judgement based on the obtainable information at the time of the disclosure. Actual results may significantly differ from those future. outlooks due to various factors. This document is not intended to invite investment. Copyright: All information contained herein is protected by copyright, and may not be copied or reproduced without prior consent of JAPEX. Note: . • Abbreviations used herein are as follows: (a) = Actual results (f) = Forecasts FY = Fiscal Year (FY3/24, for instance, means 12 months ending March 31, 2024) ⚫ Figures in parentheses in "Operating profit," "Ordinary profit," "Share of profit of entities accounted for using equity method," and "Profit attributable to owners of parent" represent losses in each category. Any inquiries about the information contained herein or other Investor Relations questions are requested to be directed to: Corporate Communication Office, Japan Petroleum Exploration Co., Ltd. (JAPEX) Tokyo, JAPAN TEL: +81-3-6268-7111 Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 36#37JAPEX Copyright 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved. 37