Consolidated Financial Results for the Six Months ended June 30, 2020 [Japanese GAAP]
August 6, 2020
Note: The following report is an English translation of the Japanese-language original.
Company name
Code number
Representative
Contact person: INPEX CORPORATION
Stock Exchange on which the Company is listed : Tokyo Stock Exchange: 1605
URL https://www.inpex.co.jp: Takayuki Ueda, President: Munehiro Hosono, General Manager, Corporate Communications Unit
TEL+81-3-5572-0233
Scheduled date of filing Quarterly Financial Report: August 11, 2020
Scheduled date of payment of cash dividends: September 1, 2020
Preparation of supplementary explanatory materials: Yes
Meeting of quarterly financial results presentation: Yes (for institutional investors and analysts)(Amounts less than one million yen are rounded off)
1. Consolidated Financial Results for the Six Months ended June 30, 2020 (January 1, 2020-June 30, 2020)(1) Consolidated operating results(Figures in % represent the changes from the corresponding period of the previous fiscal year)

Net sales
For the six months ended
June 30, 2020

Operating income

Net income attributableto owners of parent

Ordinary income

Millions of Yen%

Millions of Yen%

Millions of Yen%

Millions of Yen%

391,683－

123,799－

149,276－(120,799)－

575,26931.3

280,71524.0

271,104

9.8

69,487104.2

September 30, 2019

(Note): Consolidated comprehensive income: for the six months ended June 30, 2020, ¥(214,235) million; (－%)
for the six months ended September 30, 2019, ¥(22,988) million; (－%)

Net income pershare—basic

Net income pershare—diluted

For the six months ended
June 30, 2020

Yen
(82.73)

Yen－

September 30, 2019

47.59

－

(Note): The Company changed its consolidated fiscal year-end from March 31 to December 31, effective from the previous fiscal
year. As a result, the second quarter (January 1, 2020 to June 30, 2020) of the fiscal year ending December 31, 2020 differsfrom the corresponding second quarter (April 1, 2019 to September 30, 2019) of the fiscal year ended December 31, 2019. On
this basis, percentage data for changes between the second quarter of the fiscal year ended December 31, 2019 and the second
quarter of the fiscal year ending December 31, 2020 have not been provided.
[Reference]
Percentage figures below (adjusted % increase/decrease) represent year-on-year changes between the six-month period fromJanuary 1, 2020 to June 30, 2020 and the corresponding period of the previous year, the six-month period from January 1, 2019
to June 30, 2019.
Net Sales
391,683 (30.5)%

Operating income
123,799(54.0)%

Ordinary income
149,276 (44.9)%(Millions of yen)
Net income attributable to owners of parent(120,799)－%(2) Consolidated financial position

Millions of Yen

Millions of Yen

Net assets excluding non-controllinginterests as a percentage of total assets%

As of June 30, 2020

4,671,086

3,054,168

60.0

As of December 31, 2019

4,849,995

3,297,176

62.7

Total assets

Net assets(Reference): Net assets excluding non-controlling interests: as of June 30, 2020, ¥2,801,958 million
as of December 31, 2019, ¥3,040,775 million

2. Dividends
Cash dividends per share
At 1st quarter end At 2nd quarter end At 3rd quarter end At fiscal year end
For the year ended
December 31, 2019
For the year ending
December 31, 2020
For the year ending
December 31, 2020 (forecast)

Total

Yen

Yen

Yen

Yen

Yen

－

12.00

－

18.00

30.00

－

12.00
－

12.00

24.00

(Note): 1. Changes in projected dividends for the year ending December 31, 2020 from the previous forecast: None
2. "Dividends" as stated above refer to common stock. For information regarding Class A stock (not listed), please refer to Exhibit "Dividends of ClassA stock".

3. Forecasted Consolidated Financial Results for the year ending December 31, 2020 (January 1, 2020-December 31, 2020)(Figures in % represent the changes from the corresponding period of the previous fiscal year)

Net sales
For the year ending
December 31, 2020

Operating income

Ordinary income

Net income
attributable toowners of parent

Millions of Yen%

Millions of Yen%

Millions of Yen%

Millions of Yen

730,000－

203,000－

200,000－(136,000)%－

Net income per
share
Yen

(93.14)(Note): Changes in forecasted consolidated financial results for the year ending December 31, 2020 from the previous forecast: Yes
Due to the change in the Company’s fiscal year-end from March 31 to December 31, the consolidated accounting period of the Company and its
subsidiaries with provisional settlements of accounts for the fiscal year ended December 31, 2019 is the nine-month period between April 1 andDecember 31, 2019. Meanwhile, the accounting period (for the same fiscal year) of subsidiaries with a December 31 fiscal year-end is the normal,
twelve-month period between January 1 and December 31, 2019. Therefore, percentage changes from the previous fiscal year are not provided.
[Reference]
Percentage figures below for the year ending December 31, 2020 (after adjustment) represent the year-on-year percentage changes between thefinancial results of the Company, its subsidiaries with provisional settlements of accounts and its subsidiaries with a December 31 fiscal year-end forthe period between January 1 and December 31, 2019 and the forecasted consolidated financial results (of these entities) for the period between
January 1 and December 31, 2020.
(Millions of yen)
Net Sales
Operating income
Ordinary income
Net income attributable to owners of parent
730,000 (37.7)%
203,000(63.7)%
200,000 (65.8)%(136,000)－%

Notes(1) Significant changes in scope of consolidation: None(Changes in the specified subsidiaries during the period due to change in scope of consolidation)(2) Adoption of accounting treatments which are exceptional for quarterly consolidated financial statements: None(3) Changes in accounting policies, accounting estimates and restatement of corrections
1. Changes in accounting policies resulting from the revision of the accounting standards and other regulations
2. Other changes in accounting policies
3. Changes in accounting estimates
4. Restatement of corrections: None: None: None: None(4) Number of shares issued (Common stock)
1. Number of shares issued at the end of the period(including treasury stock):
2. Number of treasury stock at the end of the period:
3. Average number of shares:

1,462,323,600 shares as of June 30, 2020
1,462,323,600 shares as of December 31, 2019
2,119,069 shares as of June 30, 2020
2,121,916 shares as of December 31, 2019
1,460,203,039 shares for the three months ended June 30, 2020
1,460,200,688 shares for the three months ended September 30, 2019

(Note): The shares held by "the Board Incentive Plan Trust" are included in number of treasury stock at end of period.
(As of June 30, 2020: 152,569 shares As of December 31, 2019: 155,416 shares)*This quarterly earnings report is not subject to audit by certified public accountants or audit firms.
*Explanation regarding the appropriate use of estimated consolidated financial results
The aforementioned forecasts are based on the currently available information and contain many uncertainties. The final results
might be significantly different from the aforementioned forecasts due to changes in business conditions including oil and natural gas
price levels, production and sales plans, project development schedules, government regulations and financial and tax schemes.
Please refer to "1.(3) Explanation regarding future forecast information such as Forecasts for Consolidated Financial Results" on page
5.
Exhibit:
Dividends of Class A stock
Cash dividends per share
At 1st quarter end At 2nd quarter end At 3rd quarter end
Yen

Yen

Yen

At fiscal year end
Yen

Total
Yen

For the year ended―
4,800.00―
7,200.00
12,000.00
December 31, 2019
For the year ending―
4,800.00
December 31, 2020
For the year ending
December 31,―
4,800.00
9,600.00
2020(forecast)(Note) 1. The Company conducted a stock split at a ratio of 1:400 of common stock effective October 1, 2013. However, for ClassA stock (not listed), no stock split was implemented. The article specifying that dividends of Class A stock are equivalent
to dividends of common stock prior to the stock split is included in the Articles of Incorporation.

Index of the Attachments
1. Qualitative Information / Financial Statements …………………………………………………………………………………

2(1) Explanation on Consolidated Financial Results ………………………………………………………………………………

2(2) Explanation on Consolidated Financial Position ……………………………………………………………………………

3(3) Explanation regarding future forecast information such as Forecasts for Consolidated Financial Results …………………

5

2. Consolidated Financial Statements and Principal Notes ………………………………………………………………………

6(1) Consolidated Balance Sheet …………………………………………………………………………………………………

6(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income ………………………………

8

Consolidated Statement of Income …………………………………………………………………………………………

8

Consolidated Statement of Comprehensive Income …..……………………………………………………………………

9(3) Consolidated Statement of Cash Flows .... ...............…...……………………………………………………………………

10(4) Notes to Consolidated Financial Statements ………………………………………………………………………………… 12(Conditions or events that indicate there could be substantial doubt about
the Company's ability to continue as a going concern) ……………………………………………………………………… 12(Note on significant changes in shareholders' equity) ………………………………………………………………………

12(Segment information) ……………………………………………………………………………………………………… 13(Subsequent events) …………………………………………………………………………………………………………

14

3. Supplementary Information ……………………………………………………………………………………………………… 15(1) Production, Orders Received and Sales Performance………………………………………………………………………… 15

11. Qualitative Information ⁄ Financial Statements(1) Explanation on Consolidated Financial Results
The Company and its subsidiaries unified their fiscal year-ends to December 31, effective from the previous fiscal year.
Changes displayed hereinafter are based on the comparison to the corresponding period of the previous year, which is comprisedof the six-month results (January 1 - June 30, 2019).
(Millions of yen)
Corresponding
For the six months
Period of theended June 30,
Change% Change
Previous Year2020
Net sales

563,170

391,683(171,487)(30.5)

Operating income

269,150

123,799(145,351)(54.0)

Ordinary income

270,734

149,276(121,457)(44.9)Net income (loss)
attributable toowners of parent

82,468(120,799)(203,268)－

Net sales for the six months ended June 30, 2020 decreased by ¥171.4 billion, or 30.5%, to ¥391.6 billion from the corresponding
period of the previous year due to a decrease in sales price of crude oil, despite an increase in sales volume.
Net sales of crude oil decreased by ¥175.0 billion, or 41.5%, to ¥246.3 billion, and net sales of natural gas increased by ¥5.8
billion, or 4.5%, to ¥138.2 billion.
Sales volume of crude oil increased by 3,111 thousand barrels, or 5.4%, to 60,894 thousand barrels. Sales volume of natural gas
increased by 37,659 million cf, or 20.3%, to 222,856 million cf. Sales volume of overseas natural gas increased by 39,699 million
cf, or 27.7%, to 183,030 million cf, and sales volume of domestic natural gas decreased by 55 million ㎥ , or 4.9%, to 1,067
million ㎥ (39,826 million cf).
The average sales price of overseas crude oil decreased by US$28.94, or 43.7%, to US$37.27 per barrel. In addition, the averagesales price of overseas natural gas decreased by US$0.04, or 1.0%, to US$4.17 per thousand cf. Meanwhile, the average sales
price of domestic natural gas decreased by ¥6.81, or 11.9%, to ¥50.65 per ㎥ . The average exchange rate of the Japanese yen
against the U.S. dollar on consolidated net sales appreciated by ¥1.72, or 1.6%, to ¥108.41 per U.S. dollar from the corresponding
period of the previous year.
The decrease of ¥171.4 billion in net sales was mainly derived from the following factors: regarding net sales of crude oil andnatural gas, an increase in sales volume contributing ¥38.0 billion to the increase, a decrease in unit sales price pushing sales downof ¥201.9 billion, the appreciation of the Japanese yen against the U.S. dollar pushing sales down of ¥5.1 billion, and a decrease in
net sales excluding crude oil and natural gas of ¥2.3 billion.
Cost of sales for the six months ended June 30, 2020 decreased by ¥20.8 billion, or 8.4%, to ¥226.0 billion. Exploration expenses
decreased by ¥5.5 billion, or 54.1%, to ¥4.6 billion. Selling, general and administrative expenses increased by ¥0.2 billion, or
0.6%, to ¥37.1 billion. As a result, operating income decreased by ¥145.3 billion, or 54.0%, to ¥123.7 billion.
Other income increased by ¥22.1 billion, or 95.2%, to ¥45.3 billion due to an increase in equity in earnings of affiliates and others.
Other expenses decreased by ¥1.7 billion, or 8.1%, to ¥19.9 billion. As a result, ordinary income decreased by ¥121.4 billion, or
44.9%, to ¥149.2 billion.
Extraordinary loss increased by ¥186.9 billion, as a result of posting impairment loss of ¥192.4 billion due to deteriorating
business environments based on the drop in oil prices, which were caused by the impact of the growing number of COVID-19
cases and others. Total amount of current income taxes and deferred income taxes decreased by ¥111.0 billion, or 58.7%, to ¥78.2
billion, and net loss attributable to non-controlling interests was ¥0.6 billion. As a result of the above effects, net loss attributableto owners of parent for the six months ended June 30, 2020 was ¥120.7 billion compared with ¥82.4 billion of net income
attributable to owners of parent for the corresponding period of the previous year.

2

Financial results by segment are as follows:(Millions of yen)
Net sales

Segment income (loss)Japan

76,940For the six
monthsended June30, 2020
63,147

Asia & Oceania

120,963

116,020(4.1)

57,27031,937(44.2)

Eurasia (Europe & NIS)

46,95629,541(37.1)

10,385(1,580)－

Middle East & Africa

311,763

175,029(43.9)

196,634

89,621(54.4)

6,545

7,943

21.4

(2,964)(2,431)(18.0)

563,170

391,683(30.5)

275,499

130,111(52.8)

Adjustments

－

－

－

(6,348)(6,312)(0.6)

Consolidated

563,170

391,683(30.5)

269,150

123,799(54.0)

Segment

Americas
Total

Corresponding
Period of thePrevious Year

% Change

Corresponding
Period of thePrevious Year(17.9)

14,172For the six
monthsended June30, 2020
12,565% Change(11.3)

1) JapanNet sales decreased by ¥13.7 billion, or 17.9%, to ¥63.1 billion due to a decrease in sales price of natural gas. Operating income
decreased by ¥1.6 billion, or 11.3%, to ¥12.5 billion.
2) Asia & Oceania
Net sales decreased by ¥4.9 billion, or 4.1%, to ¥116.0 billion due to a decrease in sales price of crude oil. Operating income
decreased by ¥25.3 billion, or 44.2%, to ¥31.9 billion.
3) Eurasia (Europe & NIS)
Net sales decreased by ¥17.4 billion, or 37.1%, to ¥29.5 billion due to a decrease in sales price of crude oil. Operating loss totaled¥1.5 billion compared with ¥10.3 billion of operating income for the corresponding period of the previous year.
4) Middle East & Africa
Net sales decreased by ¥136.7 billion, or 43.9%, to ¥175.0 billion due to a decrease in sales price of crude oil. Operating income
decreased by ¥107.0 billion, or 54.4%, to ¥89.6 billion.
5) Americas
Net sales increased by ¥1.3 billion, or 21.4%, to ¥7.9 billion due to an increase in sales volume. Operating loss decreased by ¥0.5
billion, or 18.0%, to ¥2.4 billion.
(2) Explanation on Consolidated Financial Position
Total assets as of June 30, 2020 decreased by ¥178.9 billion to ¥4,671.0 billion from ¥4,849.9 billion as of December 31, 2019.
Current assets increased by ¥92.4 billion to ¥512.2 billion due to increases in cash and deposits and others. Fixed assets decreasedby ¥271.3 billion to ¥4,158.8 billion due to decreases in tangible fixed assets, intangible fixed assets and others.
Meanwhile, total liabilities increased by ¥64.0 billion to ¥1,616.9 billion from ¥1,552.8 billion as of December 31, 2019. Current
liabilities decreased by ¥28.5 billion to ¥372.9 billion and long-term liabilities increased by ¥92.6 billion to ¥1,243.9 billion.
Net assets decreased by ¥243.0 billion to ¥3,054.1 billion. Total shareholders' equity decreased by ¥147.0 billion to¥2,575.7 billion. Total accumulated other comprehensive income decreased by ¥91.7 billion to ¥226.2 billion and non-controllinginterests in net assets decreased by ¥4.1 billion to ¥252.2 billion.
Due to the change of the fiscal year-end, the previous fiscal year was a nine-month transition period. Therefore, the change fromthe previous fiscal year is not displayed.
Cash and cash equivalents as of June 30, 2020 totaled ¥303.1 billion reflecting a net increase of ¥129.4 billion from ¥173.7
billion at the end of the previous fiscal year.
Cash flows from operating activities, investing activities and financing activities are as follows:
1) Cash flows from operating activities
Net cash provided by operating activities is ¥173.5 billion due mainly to impairment loss and depreciation and amortization(non-cash), despite loss before income taxes caused by decreases in sales price of crude oil and others.
2) Cash flows from investing activities
Net cash used in investing activities is ¥167.7 billion due mainly to payments for purchases of tangible fixed assets andpayments for time deposits.
33) Cash flows from financing activities
Net cash provided by financing activities is ¥124.0 billion due mainly to an increase in proceeds from long-term debt.

4

(3) Explanation regarding future forecast information such as Forecasts for Consolidated Financial Results
The consolidated financial forecasts for the year ending December 31, 2020 (January 1 - December 31, 2020) have been revised
from the previous forecasts announced on May 12, 2020. For the details, please refer to the press release "Recognition of
Impairment Losses, Differences between Consolidated Financial Forecasts and Actual Financial Results for the Six Months Ended
June 30, 2020 and Revision of Consolidated Financial Forecasts for the Fiscal Year Ending December 31, 2020" issued today(August 6, 2020).
Forecasts for consolidated financial results for the year ending December 31, 2020

Previous Forecasts: A

710,000

172,000

163,000(Millions of yen)
Net income (loss)
attributable to owners ofparent10,000

Revised Forecasts: B

730,000

203,000

200,000(136,000)

Increase (Decrease): B‐A

20,00031,00037,000(146,000)

2.8

18.0

22.7

－

Net sales

Percentage change (%)

Operating income

Ordinary income

The above forecasts are calculated based on the following assumptions:
Previous Forecasts

Revised Forecasts

Crude oil price(Brent)

1st quarter (actual):
From 2nd quarter:
Full Year average:

US$ 50.8/bbl
US$ 30.0/bbl
US$ 35.2/bbl

1st half (actual):
2nd half:
Full Year average:

US$ 42.1/bbl
US$ 40.0/bbl
US$ 41.1/bbl

Exchange rate

1st quarter (actual):
From 2nd quarter:
Full Year average:¥108.9/US$¥110.0/US$¥109.7/US$

1st quarter (actual):
2nd half:
Full Year average:¥108.3/US$¥105.0/US$¥106.6/US$

Note:Crude oil prices at which the Company sells products vary depending on crude oil type and differ from Brent crude oil prices. Crude oil price differences
are determined by the quality of each crude oil type, etc., and are also affected by market conditions.

52. Consolidated Financial Statements and Principal Notes(1) Consolidated Balance Sheet(Millions of yen)Accounts

As of December 31, 2019

As of June 30, 2020

(Assets)
Current assets
Cash and deposits

173,798

357,076

Accounts receivable-trade148,765

65,896Inventories

38,98739,414

Other

72,02062,724

Less allowance for doubtful accounts(13,768)(12,864)

Total current assets

419,802512,247

Buildings and structures, net

177,320

172,843

Wells, net

261,931265,329

1,254,865

1,287,035

Land

18,596

18,608Construction in progress

552,866

345,494

9,790

26,1762,275,372

2,115,488

Goodwill

42,20638,825

Other493,124415,239

Total intangible assets

535,330

454,065

Investment securities

378,527

316,260

Long-term loans receivable

718,976

751,199

Recoverable accounts under production sharing

568,377

573,456

Other

23,71820,533

Less allowance for doubtful accounts

(818)

(589)

Less allowance for recoverable accounts under
production sharing(66,897)(69,108)

Less allowance for investments in exploration(2,395)(2,466)

1,619,489

1,589,284

4,430,192

4,158,838

4,849,995

4,671,086

Fixed assets
Tangible fixed assets

Machinery, equipment and vehicles, net

Other, net
Total tangible fixed assets
Intangible assets

Investments and other assets

Total investments and other assets
Total fixed assets
Total assets

6

(Millions of yen)Accounts

As of December 31, 2019

As of June 30, 2020

(Liabilities)
Current liabilities
Accounts payable-trade

21,79810,301

Short-term loans

166,831214,367

Income taxes payable

43,19015,334

Accrued bonuses

1,334

－

Accrued bonuses to officers

108

54

Provision for loss on business

8,635

10,661

Provision for exploration projects

11,808

7,949

780

489

Other

146,996

113,778

Total current liabilities

401,483

372,937

950,948

1,042,423

Provision for stocks payment

42

55

Accrued special repair and maintenance

537

534

Liability for retirement benefits

8,011

7,947

Asset retirement obligations

136,101

141,390

Other

55,694

51,6281,151,334

1,243,980

1,552,818

1,616,918

Common stock

290,809290,809

Capital surplus

674,374

674,374Retained earnings

1,763,034

1,615,949

Treasury stock(5,432)(5,428)2,722,786

2,575,704

5,570(1,867)

Unrealized gain (loss) from hedging instruments(18,128)(66,072)

Translation adjustments

330,546

294,193

Total accumulated other comprehensive income

317,988

226,254

256,400

252,209

Total net assets

3,297,176

3,054,168

Total liabilities and net assets

4,849,995

4,671,086

Asset retirement obligations

Long-term liabilities
Long-term debt

Total long-term liabilities
Total liabilities(Net assets)
Shareholders' equity

Total shareholders' equity
Accumulated other comprehensive income
Unrealized holding gain (loss) on securities

Non-controlling interests7(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income
Consolidated Statement of Income
Accounts(Millions of yen)
For the six months ended
June 30, 2020

For the six months ended
September 30, 2019

Net sales

575,269

391,683

Cost of sales

245,711226,006

Gross profit

329,558

165,677

Exploration expenses

11,642

4,692

Selling, general and administrative expenses

37,20037,185

Operating income

280,715

123,799

Interest income

1,789

591

Dividend income

2,226

5,938

Equity in earnings of affiliates

4,270

30,700

－

3,704

Other

3,763

4,450

Total other income

12,04945,384

Interest expense

14,387

11,532

Provision for allowance for recoverable accounts under
production sharing

1,909

2,233

623

－

Other

4,740

6,142

Total other expenses

21,66019,907271,104

149,276

Impairment loss－

192,449

Total extraordinary loss－

192,449

Income (loss) before income taxes

271,104(43,173)

Income taxes-current

200,861

91,429

Income taxes-deferred(1,156)(13,147)

Total income taxes

199,705

78,281

Net income (loss)

71,398(121,455)

Net income (loss) attributable to non-controlling interests

1,911

(655)

Net income (loss) attributable to owners of parent

69,487(120,799)

Other income

Foreign exchange gain

Other expenses

Foreign exchange loss

Ordinary income
Extraordinary loss

8

Consolidated Statement of Comprehensive Income
Accounts

For the six months ended
September 30, 2019

Net income (loss)(Millions of yen)
For the six months ended
June 30, 2020

71,398(121,455)

Unrealized holding gain (loss) on securities

1,143(7,419)Unrealized gain (loss) from hedging instruments

(192)

199

Translation adjustments(59,597)(36,315)

Share of other comprehensive income of associates
accounted for by the equity method(35,740)(49,243)

Total other comprehensive income(94,387)(92,779)(22,988)(214,235)(22,630)(212,533)(357)(1,701)Other comprehensive income

Comprehensive income
Total comprehensive income attributable to
Owners of parent
Non-controlling interests9(3) Consolidated Statement of Cash Flows(Millions of yen)
For the six months ended
June 30, 2020

For the six months ended
September 30, 2019

Accounts
Cash flows from operating activities
Income (loss) before income taxes

271,104(43,173)

Depreciation and amortization

83,047

88,848－

192,449

Amortization of goodwill

3,380

3,380

Provision for allowance for recoverable accounts
under production sharing

1,925

2,211

Provision for exploration projects

6,896(3,213)

Other provisions

(130)

(375)

(5)

(33)

Interest and dividend income(4,015)(6,529)Interest expense

14,387

11,532Foreign exchange loss (gain)

1,652(3,320)Equity in losses (earnings) of affiliates(4,270)(30,700)

Impairment loss

Liability for retirement benefits

Recovery of recoverable accounts under production sharing(capital expenditures)
Recoverable accounts under production sharing(operating expenditures)

19,343

14,892(4,251)(1,250)Accounts receivable-trade(30,307)

81,266Inventories(4,842)634

Accounts payable-trade(10,746)(11,486)

Other

5,493

523

Subtotal

348,661

295,656

5,925

10,463

Interest paid

(12,958)(11,116)

Income taxes paid

(187,029)(121,437)

Net cash provided by (used in) operating activities

154,598

173,565Interest and dividends received

10

(Millions of yen)
For the six months ended
June 30, 2020

For the six months ended
September 30, 2019

Accounts
Cash flows from investing activities
Payments for time deposits－(54,125)

Proceeds from time deposits

222(66,270)(68,253)

Proceeds from sales of tangible fixed assets

15

354

Payments for purchases of intangible assets(702)(2,638)

Payments for purchases of investment securities(1,012)(431)

Investment in recoverable accounts under production sharing(capital expenditures)(21,893)(18,941)238

241(78,108)(28,701)

2,931

3,290

(30,039)

－

344

1,439

(194,474)(167,762)

48,000－－54,371

Proceeds from long-term debt

71,517

155,884

Repayments of long-term debt

(69,137)(54,803)

4,286

1,608

Cash dividends paid

(21,903)(26,270)

Cash dividends paid to non-controlling interests(6,725)(4,098)

Other(1,133)(2,594)

Net cash provided by (used in) financing activities

24,904

124,096

Effect of exchange rate changes on cash and cash equivalents(5,533)(487)

Net increase (decrease) in cash and cash equivalents(20,504)

129,412

Cash and cash equivalents at beginning of the period

239,652

173,774

Cash and cash equivalents at end of the period

219,147

303,186

Payments for purchases of tangible fixed assets

Decrease (increase) in short-term loans receivable
Long-term loans madeCollection of long-term loans receivable
Payments for acquisitions of participating interests
Other
Net cash provided by (used in) investing activities
Cash flows from financing activities
Increase (decrease) in commercial papers
Increase (decrease) in short-term loans

Proceeds from non-controlling interests for additional shares11(4) Notes to Consolidated Financial Statements(Conditions or events that indicate there could be substantial doubt about the Company's ability to continue as a going concern)
For the six months ended June 30, 2020 (January 1, 2020 through June 30, 2020):
None(Note on significant changes in shareholders' equity)
For the six months ended June 30, 2020 (January 1, 2020 through June 30, 2020):
None

12

(Segment information)
I. For the six months ended September 30, 2019 (April 1, 2019 through September 30, 2019)
1. Information on sales and income (loss) by reportable segment(Millions of yen)
Reportable segments
Adjustments Consolidated
*1
*2

Japan

Asia &
Oceania

Eurasia(Europe& NIS)

62,828147,397

43,736

314,761

6,545

575,269―

575,269

―

1,661

―

―

―

1,661

(1,661)―

62,828149,059

43,736

314,761

6,545

576,930(1,661)

575,269

12,15872,657

10,846200,686(6,888)289,461(8,745)

280,715

Middle East
Americas& Africa

Total

Net sales
Sales to third parties
Intercompany sales andtransfers between segments
Total
Segment income (loss)

Note:1. Adjustments of segment income of ¥(8,745) million are corporate expenses. Corporate expenses are mainly amortization of goodwill and generaladministrative expenses that are not allocated to a reportable segment.
2. Segment income is reconciled with operating income on the consolidated statement of income.

2. Information on impairment loss from fixed assets, goodwill and other items by reportable segment
None
II. For the six months ended June 30, 2020 (January 1, 2020 through June 30, 2020)
1. Information on sales and income (loss) by reportable segment(Millions of yen)
Reportable segments
Adjustments Consolidated
*1
*2

Japan

Asia &
Oceania

Eurasia(Europe& NIS)

63,147116,020

29,541

175,029

7,943

391,683―

391,683

―

3,507

―

―

―

3,507

(3,507)―

63,147

119,527

29,541

175,029

7,943

395,190(3,507)

391,683

12,56531,937(1,580)89,621(2,431)130,111(6,312)

123,799

Middle East
Americas& Africa

Total

Net sales
Sales to third parties
Intercompany sales andtransfers between segments
Total
Segment income (loss)

Note:1. Adjustments of segment income of ¥(6,312) million are corporate expenses. Corporate expenses are mainly amortization of goodwill and generaladministrative expenses that are not allocated to a reportable segment.
2. Segment income is reconciled with operating income on the consolidated statement of income.

2. Information on impairment loss from fixed assets, goodwill and other items by reportable segment
Impairment loss due to deteriorating business enviroments based on the drop in oil prices are as follows.
"Asia & Oceania" segment - the Prelude FLNG Project:¥130,851 million, Bayu-Undan Gas-Condensate Field:¥8,948 million"Americas" segmentt - U.S. shale oil project:¥33,696 million, Lucius Oil Field:¥18,952 million

13

(Subsequent events)
For the six months ended June 30, 2020 (January 1, 2020 through June 30, 2020):
None

14

3. Supplementary Information(1) Production, Orders Received and Sales Performance1) Actual production
The following table shows actual production by segment:
Corresponding period of theSegment
Category
previous year *8
0.6 MMbbls
Crude oil
(3.5 Mbbls per day)23.4 Bcf
Natural gas(129.3 MMcf per day)
5.0 MMboe
Japan
Subtotal(27.7 Mboe per day)
Iodine292.8 tons

290.2 tons

113.4 million kWh

110.4 million kWh

7.5 MMbbls(41.6 Mbbls per day)
153.9 Bcf
(850.3 MMcf per day)37.0 MMboe(204.6 Mboe per day)

7.6 MMbbls(41.6 Mbbls per day)
181.8 Bcf
(999.1 MMcf per day)
42.5 MMboe(233.6 Mboe per day)

150.9 million kWh

186.4 million kWh

7.8 MMbbls(43.1 Mbbls per day)
4.0 Bcf(22.1 MMcf per day)
8.5 MMboe(47.0 Mboe per day)10.2 MMbbls(55.9 Mbbls per day)
4.8 Bcf(26.6 MMcf per day)11.0 MMboe(60.6 Mboe per day)Sulfur

32.2 Mtons

48.2 Mtons

Crude oil41.9 MMbbls(231.6 Mbbls per day)
1.5 MMbbls(8.4 Mbbls per day)14.0 Bcf(77.1 MMcf per day)
4.1 MMboe(22.8 Mboe per day)
59.4 MMbbls(328.2 Mbbls per day)
195.2 Bcf
(1,078.7 MMcf per day)
96.6 MMboe(533.7 Mboe per day)

44.3 MMbbls(243.6 Mbbls per day)
1.6 MMbbls(9.0 Mbbls per day)
9.6 Bcf(52.7 MMcf per day)
3.4 MMboe(18.8 Mboe per day)
64.3 MMbbls(353.2 Mbbls per day)
217.5 Bcf
(1,195.0 MMcf per day)
105.9 MMboe(581.6 Mboe per day)

292.8 tons

290.2 tons

264.3 million kWh296.8 million kWh32.2 Mtons

48.2 Mtons

Electric power
generation
Crude oil
Natural gas
Asia & Oceania

Subtotal
Electric power
generation
Crude oil

Eurasia(Europe & NIS)

Middle East & Africa

Natural gas
Subtotal

Crude oil
AmericasNatural gas
Subtotal
Crude oil
Natural gas
Subtotal

Total

For the six months ended
June 30, 2020
0.6 MMbbls(3.1 Mbbls per day)21.2 Bcf(116.6 MMcf per day)
4.6 MMboe(25.0 Mboe per day)

IodineElectric power
generation
SulfurNote:1. The volume of LPG produced overseas is included in 'Crude oil.'
2. A portion of crude oil and natural gas production volume is consumed as fuel to generate electricity.
3. The production by the Company's affiliates accounted for by the equity method is included in the figures above.
Also the production volume is a result for the six months ended June 30 regardless of a closing date of fiscal periods of its subsidiaries or affiliates.
4. The production volume of crude oil and natural gas under the production sharing contracts entered into by INPEX Group corresponds to the net
economic take of the group.
Figures calculated by multiplying the gross production volume by the Company's interest share are 66.9 MMbbls (369.7 Mbbls per day) of crude oil,
207.9 Bcf (1,148.60 MMcf per day) of natural gas, and in total 107.1 MMboe (591.5 Mboe per day) for the six months ended June 30, 2019, and 69.6
MMbbls (382.6 Mbbls per day) of crude oil, 224.7 Bcf (1,234.50 MMcf per day) of natural gas, and in total 112.5 MMboe (618.1 Mboe per day) for
the six months ended June 30, 2020.
5. Boe means barrels of oil equivalent.
6. Iodine is refined by other company on consignment.
7. Figures are rounded to the first decimal place.
8. The corresponding period for the second quarter of the fiscal year ending December 31, 2020 from January 1, 2020 to June 30,
2020 is the six-month period of the previous year from January 1, 2019 to June 30, 2019.

152) Orders received
Disclosure on this information is omitted because the amount of orders received is accounted for a minor portion of total sales.
3) Actual sales
The following table shows sales by segment:
Segment

Japan

Asia & Oceania

Category
Crude oil

403 Mbbls

2,966

335 Mbbls

1,670

Natural gas(excluding LPG)

41,866 MMcf

64,45439,826 MMcf

54,0522 Mbbls

10

1 Mbbls

7

LPG
Other

9,509

7,417

Subtotal

76,94063,147

Crude oil

7,719 Mbbls

56,0517,209 Mbbls

34,300Natural gas(excluding LPG)

126,285 MMcf

63,560168,905 MMcf

80,279150 Mbbls

1,351

159 Mbbls

1,440

LPG
Subtotal

Eurasia(Europe & NIS)

Middle East & Africa

Americas120,963

116,020

Crude oil

6,417 Mbbls

46,157

8,486 Mbbls

28,850Natural gas(excluding LPG)

3,983 MMcf

837

4,853 MMcf

1,001

Other

(38)

(309)

Subtotal

46,95629,541

Crude oil

42,531 Mbbls

311,763

42,925 Mbbls

175,029

Crude oil

714 Mbbls

4,427

1,940 Mbbls

6,498

Natural gas(excluding LPG)

13,063 MMcf

2,118

9,272 MMcf

1,444

Subtotal

Total(Millions of yen)
For the six months ended
June 30, 2020
Sales volume
Net sales

Corresponding period of theprevious year *2
Sales volume
Net sales

6,545

7,943

Crude oil

57,784 Mbbls

421,366

60,894 Mbbls

246,350Natural gas(excluding LPG)

185,197 MMcf

130,970

222,856 MMcf

136,777

152 Mbbls

1,362

160 Mbbls

1,447

LPG
Other

9,470

7,107

Total

563,170

391,683

Note:1. The above amounts do not include the related consumption tax.
2. The corresponding period for the second quarter of the fiscal year ending December 31, 2020 from January 1, 2020 to June 30,
2020 is the six-month period of the previous year from January 1, 2019 to June 30, 2019.
3. Sales volumes are rounded to the nearest whole number.

16