Note: The following report is an English translation of the Japanese-language original.

Consolidated Financial Results
for the Nine Months Ended December 31, 2015
＜Supplementary Material＞
February 5, 2016

Japan Petroleum Exploration Co., Ltd.

Cautionary Statement
Any information contained herein with respect to JAPEX’s plans, estimates, strategies
and other statements that are not historical facts are forward-looking statements about
the future performance of JAPEX. Actual results and events may differ substantiallyfrom these projections due to various factors.
The provision of this document should not be construed as a solicitation for 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 result(e) = Estimates
FY = Fiscal Year (FY3/16, for instance, means 12 months ending March 31, 2016)
Any inquiries about the information contained herein or other Investor Relations questions
are requested to be directed to:Investor Relations Group,Media & Investor Relations Department,
Japan Petroleum Exploration Co., Ltd.
Tokyo, JAPANTEL: +81-3-6268-7111

22012-12
2013-012013-022013-032013-04
2013-05
2013-06
2013-072013-08
2013-09
2013-10
2013-112013-12
2014-01
2014-022014-032014-04
2014-05
2014-06
2014-072014-08
2014-09
2014-10
2014-11
2014-12
2015-01
2015-022015-032015-04
2015-05
2015-06
2015-072015-08
2015-09
2015-10
2015-11
2015-12[Crude Oil Price US$/bbl]
$130

$120

$70

Crude Oil price US$/bbl (Left axis)

Japan Crude Cocktail (JCC) Price in the first 10 days of January 2016
on a prompt report basis : US$ 39.51/bbl

3

¥120

$110
¥110

$100
¥100

$90
¥90

$80
¥80

Exchange Rate JP¥/US$(Right axis)¥70$60¥60$50¥50$40¥40JP¥ 121.02/US$[Foreign Exchange Rate: JP¥/US$]

Trends in Crude Oil Prices and Foreign Exchange Rate
¥130

Consolidated Financial Estimates for FY3/16（Highlight ）FY3/15
Billion JP¥

FY3/16

ChangePrevious
estimate
Full (e)Nov. 6, ‘15 ④

Revisedestimate
Full (e)Feb.5, ’16 ⑤

187.4

257.7

245.7

-42.0

-59.1

32.1

6.9

8.6

8.6

-16.9

-23.4

40.5

54.8

6.6

5.8

5.1

-33.8

-49.6

29.3

29.5

6.3

6.9

5.2

-22.9

-24.3

1Q-3Q(a) ①

Full(a) ②

Net sales

229.4

304.9

Operating income

23.8

Ordinary income
Profit attributable toowners of parent

1Q-3Q(a) ③

1Q-3Q
③-①

Full
⑤-②

Assumptions for JCC price and Exchange rate
JCC price

US$/bbl106.76

96.48

56.00

54.81

51.37

-50.76-45.11

Exchangerate

JP¥/US$103.80106.23121.26120.82121.05+17.46+14.82

Assumptions for Bitumen price and Exchange rate
BitumenPrice

CA$/bbl

56.92

55.74

30.01

27.45

26.76

-26.91-28.98Exchange
rate

JP¥/CA$

98.04

103.63

89.34

90.00

87.18

-8.7

-16.454

1Q-3Q Result

Actual Financial Results for 1Q-3Q FY3/16 (Summary)Billion ¥Billion JP¥

FY3/15
1Q-3Q(a)

FY3/16
1Q-3Q(a)ChangeNet sales

229.4

187.4

-42.0-18%

Operating income

23.8

6.9

-16.9-71%

Ordinary income

40.5

6.6

-33.8-83%

Profit attributable toowners of parent

29.3

6.3

-22.9-78%

JCC price

US$/bbl106.7656.00-50.76

Exchangerate

JP¥/US$103.80121.26+17.46

Bitumenprice

CA$/bblExchangerate

JP¥/CA$

98.04

30.01
89.34

60.0

229.4

%Change

Net Sales (left axis)

225.0

50.0

210.0

40.0

40.5195.0

180.0

56.92

Billion ¥240.0

29.3

187.4

23.8

30.0

20.0

165.0

10.0

6.9 6.6 6.3
150.0-26.91

FY3/15 1Q-3Q (a)FY3/16 1Q-3Q (a)right axis
Operating income-8.7

Ordinary income
Profit attributable to owners of parent

50.0

Actual Sales of Natural Gas in 1Q-3Q FY3/16

1Q-3Q Result( year-on-year )Sales volume : Million M3
Net sales : Million JP¥

FY3/15

FY3/16

1Q-3Q (a)1Q-3Q (a)ChangeSales volume

1,219

1,253+33

Net sales

59,22049,170-10,050

Domestic gas

Sales volume911895-16(Domestically produced gas)

Sales volume(591)(552)(-38)

Overseas gas

Sales volume307357+49

Natural gas
Breakdown

Million M3

1,400

Sales volume of overseas gas

1,200
1,000

307357

Increase of sales volume byShale Gas Project in Canada

Sales volume of domestic gas

800600400

911

895200-

Sales volume of “Overseas gas” stated herein are amounts of Japex (U.S.)
Corp. and JAPEX Montney Ltd., overseas consolidated subsidiaries.
3Q FY3/15

3Q FY3/166

Actual Sales of Crude Oil in 1Q-3Q FY3/16 1Q-3Q Result( year-on-year )FY3/15

FY3/16

1Q-3Q(a)1Q-3Q(a)Sales volume

1,711

2,506+795

Net sales

106,694

87,460-19,234

Sales volume279

260-18Net sales

19,591

11,478-8,113

Sales volume562

1,294+731

Net sales

34,444

42,636+8,191

Sales volume

244

223

-21

Net sales

8,603

4,018-4,584

JCC price

US$/bbl106.7656.00-50.76

Exchange rate

JP¥/US$103.80121.26+17.46

Bitumen price

CA$/bbl

56.92

30.01

-26.91

Exchange rate

JP¥/CA$

98.04

89.34

-8.7

Sales volume : Thousand KL
Net sales : Million JP¥Crude Oil

ChangeDecline in sales prices

Breakdown
Domestic crude oil

Overseas crude oil

BitumenIncrease of crude oil sales fromGarraf oil field, Iraq

Assumptions

Sales volume and net sales of “Domestic crude oil” stated herein do not include purchased crude oil. Royalty is excluded in the net sales andprice of Bitumen. Sales volume and net sales of “Overseas crude oil” stated herein are amounts of 3 overseas subsidiaries (Japex (U.S.)
Corp., JAPEX Montney Ltd. and Japex Garraf Ltd.).

7

Actual Results for 1Q-3Q FY3/16

1Q-3Q Result( year-on-year )FY3/15
Million JP¥

FY3/16

Causes of increase(+) or decrease(-)
Change1Q-3Q (a)1Q-3Q (a)Net sales

229,431

187,402-42,028

Gross profit

52,681

37,465-15,216

Exploration expenses

4,182

6,335

+2,152

SG&A expenses

24,617

24,221-395

Operating income

23,880

6,907-16,972

Non-operating income(expenses)

16,692-221-16,914

Ordinary income

40,573

6,686-33,887

-11

-27

-16

Income taxes

8,797

5,566

-3,231

Profit attributable tonon-controlling interests

2,421-5,275-7,697

Profit attributable toowners of parent

29,342

6,368-22,974

Extraordinary income(losses)

8Gross profit
Domestic crude oiland natural gas- ¥7.1billion

Overseas consolidated
subsidiaries- ¥7.7billion

Exploration expenses
Domestic exploration- ¥0.3billion

Overseas exploration+ ¥2.5billion

Non-operating income (expenses)
Equity in earnings- ¥6.4 billion
Foreign currency translation
adjustments on debt
- ¥4.7 billion
Fluctuations in foreign currency
exchange gains and losses - ¥5.3 billion* From the 3Q of the current fiscal year, Japan Canada Oil
Sands Ltd., overseas consolidated subsidiaries, have changed
functional currency from Canadian dollar to US dollar.

Revised full year estimates

Revised Full Year Estimates for FY3/16[Assumptions for Crude Oil Prices and Exchange Rate]
2015
2016
Full year
Jan.-Mar. Apr.-Jun. Jul.-Sep. Oct.-Dec. Jan.-Mar.
WTI
JCC price

US$/bbl
US$/bblExchange rate JP\/US$

JACOS
Bitumen
JML
Gas
1.
2.

CA$/bbl
CA$/mcf

Previous estimates
Revised estimates

48.70
48.70

57.75
46.50
40.00
48.24
57.75 46.50 42.03
48.75
56.49
62.50
50.00
50.00
54.81
56.49 62.50 48.91 36.19 51.37
119.74 123.31 120.00 120.00 120.82
119.74 123.31 120.76 120.00 121.05

28.15
28.15
2.37
2.37

38.57
38.57
2.35
2.35

Previous estimates
Revised estimates
Previous estimates
Revised estimates

Previous estimates
Revised estimates
Previous estimates
Revised estimates

24.32
24.80
2.23
2.30

20.07
18.02
1.82
1.51

27.45
26.76
2.17
2.10

“JACOS Bitumen” stated herein Bitumen selling price of Japan Canada Oil Sands Ltd. (Deduction of Royalty)“JML Gas” stated herein Gas sales price of JAPEX Montney Ltd. (Deduction of Royalty)9Revised full year estimates

Revised Estimates in FY3/16 (Summary)Previousestimates
Full (e)Nov.6,’15

Revisedestimates
Full (e)Feb.5,’16

Change%Change

Billion ¥
270.0

257.7

245.7

-12.0-4%

255.0

Operating income

8.6

8.6

+0+0%

Ordinary income

5.8

5.1

-0.7

-12%

6.9

5.2

-1.7-24%

Billion JP¥
Net Sales

Profit attributable to ownersof parent

US$/bbl

54.81

51.37

-3.44

Exchange rate

JP¥/US$

120.82121.05+0.23

Bitumen price

CA$/bbl

27.45

26.76

-0.69

Exchange rate

JP¥/CA$

90.00

87.18-2.82

2Q (a)

195.0

4Q (e)

56.49

62.50

48.91

36.19

Bitumen price CA$/bbl

28.15

38.57

24.80

18.02

10Net Sales (left axis)

8.6

8.6
5.8

10.0
8.0

6.9

6.0

5.1 5.2

165.0

3Q(a)

14.0
12.0

180.0

US$/bbl

JCC price

245.7

225.0

150.0

1Q (a)

257.7

240.0

210.0

JCC price

Billion ¥
16.0

4.0
2.0

Previous estimates Revised estimates(e) Nov. 6,’15(e) Feb. 5,’16

right axis
OperatingincomeOrdinary
incomeProfit attributable to owners of parent0.0

Revised Estimated Natural Gas Sales in FY3/16 Revised full year estimates(vs Previous Estimates)
Previous estimates Revised estimates
Full (e)Full (e)Nov.6,’15
Feb.5,’16

Sales volume : Million M3
Net sales : Million JP¥

ChangeMillion M3

Sales volume

1,797

1,777

-19

Net sales

70,094

68,172-1,922

Domestic gas

Sales volume

1,288

1,273

-15

(Domestically produced gas)

Sales volume

(765)

(768)

(+4)

Overseas gas

Sales volume

509

504

-5

Natural gas
Breakdown

Million M3

2,000
1,800
1,600
1,400
1,200
1,000
800
600
400200-

Sales volume of overseas gas

5095041,288

1,273

Sales volume of domestic gas

Sales volume of “Overseas gas” stated herein are amounts of Japex (U.S.)
Corp. and JAPEX Montney Ltd., overseas consolidated subsidiaries.
Previous estimates Revised estimates

11

Revised Estimated Crude Oil Sales in FY3/16 Revised full year estimates(vs Previous Estimates)
Sales volume : Thousand KL
Net sales : Million JP¥

Previousestimates
Full (e)Nov.6,’15

Revisedestimates
Full (e)Feb.5,’16

ChangeSales volume

3,397

3,561

+163

Net sales

119,837

110,343-9,494

Domesticcrude oil

Sales volume341339-2Net sales

15,181

13,706-1,476

Overseas
crude oil

Sales volume

1,796

1,945+149

Net sales

59,89355,859-4,035

Sales volume296

306+11Net sales

4,599

4,874+275

Crude Oil

Decline in sales prices

Breakdown

BitumenAssumptions
JCC price

USD/bbl

54.81

51.37

-3.44

Exchange rate

JP¥/US$120.82

121.05+0.23

Bitumen price

CAD/bbl

27.45

26.76

-0.69

Exchange rate

JP¥/CA$90.00

87.18

-2.82

12

Increase of crude oil sales
from Garraf oil field, Iraq

Sales volume and net sales of“Domestic crude oil” stated herein do
not include purchased crude oil.
Royalty is excluded in the net sales
and price of Bitumen. Sales volume
and net sales of “Overseas crude oil”
stated herein are amounts of 3
overseas subsidiaries (Japex (U.S.)
Corp., JAPEX Montney Ltd. andJapex Garraf Ltd.).

Revised full year estimates

Revised Estimates for FY3/16 (vs Previous Estimates)
Million JP¥

Previous estimates
Full (e)Nov.6,’15

Revised estimates
Full (e)Feb.5,’16

Net sales

257,724

245,714

Causes of increase(+) or decrease(-)
Change-12,010

Gross profit

49,05548,230-825

Exploration expenses

7,338

6,788-549

SG&A expenses

33,03832,752-286

Operating income

8,679

8,690

+11- ¥2.4billion

Overseas consolidated
Subsidiaries+ ¥1.3billion

Exploration expenses
Domestic exploration- ¥0.1billion
Overseas exploration

Non-operating income(expenses)-2,802-3,540-738

Ordinary income

5,877

5,150-727

52-40-92

Income taxes

5,466

6,665

+1,199Profit attributable tonon-controlling interests-6,506-6,791-285

Profit attributable toowners of parent

6,970

5,236-1,733

Extraordinary income(losses)

Gross profit
Domestic crude oiland natural gas

13- ¥0.4billion

Non-operating income (expenses)
Equity in earnings+ ¥0.1 billion
Fluctuations in foreign currency
exchange gains and losses- ¥0.9 billion* From the 3Q of the current fiscal year, Japan
Canada Oil Sands Ltd., overseas consolidated
subsidiaries, have changed functional currency
from Canadian dollar to US dollar.

Revised full year estimates

Revised Estimated Natural Gas Sales in FY3/16 (vs FY3/15)
Sales volume : Million M3
Net sales : Million JP¥

FY3/16 Revised estimates(e) Feb.5,’16

FY3/15Full (a)1Q-3Q (a)4Q (e)

ChangeFull (e)(year-on-year)

Sales volume

1,710

1,253

524

1,777+67

Net sales

83,974

49,17019,002

68,172-15,802

Sales volume

1,276

895

378

1,273-3(Domestically produced gas)
Sales volume

(813)

(552)

(216)

(768)

(-45)

434

357

147

504+69Natural gas
Breakdown
Domestic gas

Overseas gas
Million M3

2,000
1,800
1,600
1,400
1,200
1,000
800
600
400
200-Sales volume

Sales volume of overseas gas

434

504

Increase of sales volume byShale Gas project in Canada

Sales volume of domestic gas

1,276

1,273
Sales volume of “Overseas gas” stated herein are amount of Japex (U.S.)
Corp. and JAPEX Montney Ltd., overseas consolidated subsidiaries.

FY3/15 Full(a) FY3/16 Full(e)14Revised full year estimates

Revised estimated crude oil sales in FY3/16 (vs FY3/15)
Sales volume : Thousand KL
Net sales : Million JP¥

FY3/15

FY3/16 Revised estimates Full (e) Feb.5,’16

Full (a)1Q-3Q (a)4Q (e)

Full (e)Change(year-on-year)

Sales volume

2,396

2,506

1,055

3,561+1,164

Net sales

133,346

87,46022,883110,343-23,003

Sales volume

367

260

79339-28

Net sales

23,857

11,4782,228

13,706-10,151

Sales volume

830

1,294

651

1,945+1,115

Net sales

43,466

42,636

13,22355,859+12,393

Sales volume

332

223

83

306

-26

Net sales

12,105

4,018

856

4,874-7,232

JCC price

US$/bbl

96.48

56.00

36.19

51.37

-45.11

Exchange rate

JP¥/US$106.23121.26120.00121.05+14.82

Bitumen

CA$/bbl

55.74

30.01

18.02

26.76

-28.98Exchange rate

JP¥/CA$

103.6389.3487.18

87.18-16.45Crude oil
Breakdown

Domestic crude oil:Overseas crude oil:

BitumenAssumptions

Sales volume and net sales of “Domestic crude oil” stated herein do not include purchased crude oil. Royalty is excluded in the net sales
and price of Bitumen. Sales volume and net sales of “Overseas crude oil” stated herein are amounts of 3 overseas subsidiaries (Japex(U.S.) Corp., JAPEX Montney Ltd. and Japex Garraf Ltd.).

15

Revised full year estimates

Revised Estimates for FY3/16 (vs FY3/15)

Causes of increase(+) or decrease(-)

Million JP¥

FY3/15 Full (a)FY3/16 Revised
estimates Full(e) Feb.5,’16

Net sales

304,911245,714-59,198

Gross profit

70,262

48,230-22,032

Exploration expenses

4,489

6,788

+2,299

SG&A expenses

33,62532,752-874

Operating income

32,146

8,690-23,457

Non-operating income(expenses)

22,692-3,540-26,233

Ordinary income

54,8395,150-49,689

Extraordinary income(losses)-4,465-40+4,426

Income taxes

17,644

6,665-10,979

Profit attributable tonon-controlling interests

3,161-6,791-9,953

Profit attributable toowners of parent

29,567

5,236-24,332

16

ChangeGross profit
Domestic crude oiland natural gas- ¥10.1billion

Overseas consolidated
subsidiaries- ¥11.1billion

Exploration expenses
Increase of Overseas exploration+ ¥2.3billion

Non-operating income (expenses)
Equity in earnings- ¥9.9 billion
Foreign currency translation
adjustments on debt - ¥6.5 billion
Fluctuations in foreign currency
exchange gains and losses- ¥7.8 billion* From the 3Q of the current fiscal year, Japan
Canada Oil Sands Ltd., overseas consolidated
subsidiaries, have changed functional currency
from Canadian dollar to US dollar.