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

Consolidated Financial Results
for the Fiscal Year Ended
March 31, 2013
＜Supplementary material＞
May 10 , 2013

Japan Petroleum Exploration Co., Ltd.
copyright©2013 JAPAN PETROLEUM EXPLORATION Co.,LTD. All rights reserved.

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. Readers should be aware that actual results andevents may differ substantially from 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 the prior consent of JAPEX.
Note: The following abbreviations are used within this document:
1H = First half (1Q-2Q)
2H = Second half (3Q-4Q)(a) = Actual result(e) = Estimate
FY =Fiscal Year (FY2013, for instance, means 12 months ended March31, 2013)
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. (JAPEX)Tokyo, JAPANTEL: +81-3-6268-7111

2

$140

¥120

$130

¥115
crude oil price USD/bbl （left axis）

¥110

$110

¥105

$100

¥100

$90

¥95

$80

¥90

$70

exchange rate JPY/US$（right axis）

¥85

$60

¥80

$50

¥75

$40

¥70
2010-04
2010-05
2010-06
2010-072010-08
2010-092010-10
2010-112010-122011-01
2011-02
2011-03
2011-04
2011-05
2011-06
2011-072011-08
2011-09
2011-10
2011-11
2011-12
2012-01
2012-022012-032012-04
2012-05
2012-062012-07
2012-08
2012-09
2012-10
2012-11
2012-122013-012013-022013-032013-04[crude oil price: USD/bbl]$120

Japan Crude Cocktail (JCC) Price in the first 10 days of April 2013
on a prompt report basis : USD 113.01/bbl
3

JPY 94.89/USD[foreign exchange rate: JPY/US$]

Trends in Crude oil prices and Foreign exchange rates

Actual results for FY2013 and Estimate for FY2014 (Highlight)
60■ Actual results for FY2013 ( vs FY2012)
FY2013(a)changeNet Sales

230.6

231.0

0.40%

45

Operating income

15.0

13.9(1.1)

(7%)

40

Ordinary income22.1

28.0

5.927%

35Net income

17.0(0.8)(17.8)-%

30

JCC price
USD/bblExchange rate
Yen/USD

112.4378.93

114.67
81.71

2.24
2.78

231.055

FY2012(a)[ Billion ￥]

230.6

502%

■ Estimate for FY2014 ( vs FY2013)

210

22.1

15
15.0

17.0

185

5

231.0

232.6

1.61%

Operating income

13.9

20.7

6.8

49%

Ordinary income (left axis)

Ordinary income

28.0

28.7

0.7

2%

Net income (left axis)

Net income

(0.8)

21.5

22.3

-%

114.67100.00(14.67)

(13%)

81.71

90.00

8.29

10%

Yen/USD0(5)FY2012

FY2013-0.8

Operating income (left axis)

180
FY2014(e)

FY2013： Decrease in costs & rise in sales pricemade up major part of the impairment
loss of 37 billion yen.
FY2014： Profit will improve reflecting thedepreciation decrease caused byimpairment loss.

4195
190

13.9

Net Sales

Exchange rate

200
21.5

20.7

change

USD/bbl

205

28.7

28.0

FY2014(e)

JCC price

225

215

FY2013(a)[ Billion ￥]230

220

20 ￥Billion
10235

Net Sales (right axis)

254%Billion ￥232.6

175

Actual Result

Actual results for FY2013 ( Highlight )[ Million ￥]FY2012
Actual

FY2013
Initialestimate(May 2012)

Revisedestimate ①(Oct. 2012)

Revisedestimate ②(Feb. 2013)

Actual230,638

214,653

222,228

228,749

231,086

Operating income

15,045

10,003

10,304

11,925

13,906

Ordinary income

22,15916,81918,85525,031

28,082

Net income

17,027

16,526(11,630)(5,152)(865)

Net Sales

JCC price

USD/bbl112.43100.00112.08113.99114.67

Exchange rate

Yen/USD

78.93

80.00

80.19

81.18

81.71

Bitumen price

CAD/bbl

49.81

52.91

48.76

50.69

50.71

Exchange rate

Yen/CAD

76.22

80.00

80.00

87.0587.05

Initial estimate (May 2012)

Revised estimate ① (Oct. 2012)【＋】 Rise in crude oil prices【－】 Impairment loss for the business assets for production operation of Yufutsu oil & gas field

Revised estimate ① (Oct. 2012)

Revised estimate ② (Feb. 2013)【＋】 Rise in crude oil prices 【＋】 change of exchange rate 【＋】Increase in non-operating income

Revised estimate ② (Feb. 2013)

Actual results【＋】Rise in crude oil and natural gas sales prices 【＋】 change of exchange rate 【+】 Increase in non-operating income
Ordinary income ¥28.0 billion (+¥3.0billion )Net income loss ¥0.8 billion (+¥4.2billion )5

Actual Result

Actual sales of Natural gas in FY2013(vs FY2012)
FY2012Natural gas:
Of which,
Domestically produced gas:

FY2013

1H (a)

Full (a)1H (a)

Full (a)change1H

Full

Sales volume

million M3

742

1,730

685

1,455

(56)

(274)

Net sales

million ￥31,17074,95730,054

69,795(1,115)(5,162)

Sales volume

million M3

522

1,194

498

1,019

(24)

(175)

Sales volume of “Domestically produced gas” stated herein does not include purchased gas.
Million M3

Natural gas(supplied by gas pipeline )

1,800
1,600

Sales volume （total）
1,730

1,400

1,455

1,200
1,000Of which, domestically produced gas

Sales volume decreased by 274 million M3 (-16%) vs FY121,194
1,019

800

-Decrease in demand of industrial users.

Net sales decreased by ¥5.1 billion (-7%) vs FY12600-Increase in natural gas sales prices made up a part of the decrease in net
sales caused by a 274 million M3 volume decrease (-16%).

400200FY2012

FY20136

Actual Result

Actual sales of Crude oil in FY2013 (vs FY2012)
FY 2012

Sales volume : Thousand KL
Net sales : Million ￥1H (a)FY 2013

Full (a)1H (a)

changeFull (a)1H

FullSales volume

896

1,778

920

1,684

24(93)Net sales

46,64989,891

46,46388,529(186)(1,362)

Domestically produced
crude oil:

Sales volume

239

529

240

468

0(60)

Net sales

13,92530,351

14,291

28,167365(2,183)

Overseas subsidiary
crude oil:

Sales volume

12

15(0)

3

Net sales

84

128

61

290

(22)

161

Sales volume

175

382

187

349

12(33)Net sales

4,207

9,137

4,708

9,694501557

JCC price

USD/bbl112.38112.43116.16114.67

3.78

2.24

Exchange rate

Yen/USD

81.07

78.93

80.35

81.71

(0.72)

2.78

Bitumen price

CAD/bbl

45.70

49.81

52.02

50.71

6.32

0.90

Exchange rate

Yen/CAD

83.38

76.22

76.77

87.05

(6.61)

10.83

Crude oil:
Breakdown of equity oil

Bitumen:Oil price and Exchange rate assumptions

Domestically produced crude oil : 【- 】 Decrease in production volume

FY2013468

Bitumen : 【+ 】Rise in crude oil prices and weakening of the yen

FY2012529

Sales volume and net sales of “Domestically produced 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 subsidiary crude oil” stated herein are amounts of Japex(U.S.) Corp., an overseas consolidated subsidiary.

7Thousand- KL200

Domestically produced crude oil

5349
2400

382600800

Overseas subsidiary crude oil

1,000
Bitumen

Actual Result

Actual results for FY2013 (vs FY2012)≪Causes of increase(+) or decrease(-) ≫FY2012(a)

FY2013(a)changeNet sales

230,638

231,086

448

Gross profit

56,27859,0102,732

Exploration expenses

7,805

13,086

5,280

SG&A expenses

33,42632,017(1,409)Operating income

15,045

13,906(1,139)Non-operating income(expenses)

7,114

14,176

7,062

Ordinary income

22,15928,082

5,922

311(34,522)(34,833)

4,746(6,439)(11,674)

696

1,352

655

17,027(865)(17,892)[ Million ￥]Extraordinary income(losses)
Income taxes
Minority interests in income
Net income

8

Gross profit
Domestic crude oil and natural gas+ ¥0.2 billion
LNG substitution expense- ¥0.3 billion
Transportation fee of natural gas+ ¥3.2 billion

Exploration expenses
Domestic exploration- ¥3.0 billion
Overseas exploration- ¥2.2 billion

Non-operating income (expenses)
Dividends income
Foreign exchange profit or los+ ¥4.1 billion+ ¥1.7 billion

Extraordinary income (losses)
Gain on transfer of mining rights + ¥2.8 billion
Impairment loss for the business assets for
production operation of Yufutsu oil & gas field- ¥37.0 billion

Estimate for FY2014

Estimates for FY2014 (Point)
FY2013[ Million ￥]FY2014
1H (e)

Full (e)1H99,741

232,692(6,218)

1,606

13,906

9,294

20,722

7,515

6,815

3,062

28,082

12,462

28,7839,400

701(24,433)

(865)

9,677

21,511

34,11022,377

1H (a)

Full (a)105,958

231,086

Operating income

1,778

Ordinary income

Net Sales

Net incomechangeFull

JCC price

USD/bbl

116,16

114,67100.00100.00(16.16)(14.67)

Exchange rate

Yen/USD

80.35

81.71

90.00

90.00

9.65

8.29

Bitumen price

CAD/bbl

52.02

50.71

47.25

45.87

(4.77)(4.84)

Exchange rate

Yen/CAD

76.77

87.05

90.00

90.0013.23

2.95

Point

FY2014 vs FY2013

Operating income Exploration expenses+¥ 3.9 billion

Ordinary income

 Non-operating income(expenses)-¥ 6.1 billion

Net income

 Extraordinary income(losses)+¥ 34.4 billion

 Income taxes-¥ 13.4 billion+¥ 6.8 billion+¥ 0.7 billion+¥ 22.3 billion

9： Decrease of dividends income

Estimate for FY2014

Estimated Natural gas sales in FY2014
FY2013Natural gas:
Of which,
Domestically produced gas:

Million M3

FY2014change1H (a)

Full (a)1H (e)

Full (e)1H

FullSales volume

Million M3685

1,455588

1,289(97)(167)

Net sales

Million ￥30,054

69,79530,51968,478465(1,317)

Sales volumeMillion M3498

1,019416887(83)(133)

Natural gas

Sales volume of “Domestically produced gas” stated herein does not include purchased gas.

( supplied by gas pipeline )

1,600
1,400

Sales volume （total）

1,455

1,200

Of which, domestically produced gas

1,289

1,000
800

1,019887

Sales volume decreased by 167 million M3 (-11%) vs FY2013-Decrease in sales volume.

600

Net sales decreased by ¥1.3 billion (-2%) vs FY2013400-200

Increase in natural gas sales prices made up a part of the decrease in net sales
caused by a 167 million M3 volume decrease (-11%).

FY2013

FY201410

Estimate for FY2014

Estimated Crude oil sales in FY2014
FY 2013

Sales volume : Thousand KL
Net sales : Million ￥1H (a)FY 20141H (e)

Full (a)changeFull (e)1H

FullSales volume920

1,684

767

1,897

(154)

212

Net sales

46,46388,52938,524

95,935(7,939)7,406

Domestically produced
crude oil:

Sales volume240

468

194384(47)(84)

Net sales

14,291

28,167

11,18022,159(3,111)(6,009)Overseas subsidiary
crude oil:

Sales volume

1

57369

6363

Net sales

61

290

363

19,881

302

19,591

Sales volume

187

349

179

371(8)

21

Net sales

4,708

9,694

4,815

9,623

106

(72)

JCC price

USD/bbl116.16114.67100.00100.00(16.16)(14.67)

Exchange rate

Yen/USD

80.35

81.71

90.00

90.00

9.65

8.29

Bitumen price

CAD/bbl

52.02

50.71

47.25

45.87

(4.77)(4.84)

Exchange rate

Yen/CAD

76.77

87.05

90.00

90.00

13.23

2.95

Crude oil:
Breakdown of equity oil

Bitumen:Oil price and Exchange rate assumptions

Domestically produced crude oil : 【－】Fall in production
volume and oil prices

Thousand KL

Overseas subsidiary crude oil : 【＋】 commenced production ofJAPEX Garraf
Bitumen : 【－】Fall in crude oil prices

FY2014384

FY2013468

Sales volume and net sales of “Domestically produced 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 subsidiary crude oil” stated herein are sum totals of the sales volumes andnet sales reported by two overseas consolidated subsidiaries (Japex (U.S.) Corp. and Japex Garraf Ltd.).

11-200369
5400

371

349
600

800

1,000 1,200

Domestically produced crude oil
Overseas subsidiary crude oil
BitumenEstimate for FY2014

Estimates for FY2014≪Causes of increase(+) or decrease(-) ≫FY2013(a)

FY2014(e)changeNet sales

231,086

232,692

1,606

Gross profit

59,01061,972

2,961

Exploration expenses

13,086

9,184(3,903)

SG&A expenses

32,01732,06649

Operating income

13,906

20,722

6,815

Non-operating income(expenses)

14,176

8,062(6,115)

Ordinary income

28,082

28,783701

Extraordinary income(losses)(34,522)(90)

34,433

Income taxes(6,439)6,502

13,429Minority interests in income

1,352

680

(672)

Net income(865)

21,511

22,377[ Million ￥]12

Gross profit
Domestic crude oil and natural gas+ ¥0.6 billion
LNG substitution expense+ ¥2.3 billion

Exploration expenses
Domestic exploration
Overseas exploration- ¥0.2 billion+¥4.1 billion

Non-operating income (expenses)
Equity in loss of affiliates+¥2.3 billion
Dividends income- ¥6.7 billion
Foreign exchange profit or loss - ¥1.5 billion

Extraordinary income (expenses)(impact of extraordinary losses in FY2013)

Gain on transfer of mining rights -¥2.8 billion
Impairment loss for the business assets for
production operation of Yufutsu oil & gas field+ ¥37.0 billion

Estimate for FY2014

Oil price and Exchange rate assumptions and impact on profits
Assumption

Impact on Profits

JCC price

Exchange rate

Bitumen price

USD 100 /bbl

JPY 90 /USD

CAD 45.87 /bbl
（ JPY 90 /CAD ）USD 1 /bbl increase in

JPY 5/USD weakening in

CAD 1/bbl increase in

JCC prices would pushprofits up by...

exchange rates would pushprofits up by…

bitumen prices would pushprofits up by…

Operating income

JPY 390 million

JPY 1,780 million( 2.33 million CAD )JPY 210 million

Net income

JPY 260 million

JPY 1,270 million(1.53 million CAD )JPY 140 million

FY2013

FY2014

1H (a)

2H (a)

Full (a)1H (e)

2H (e)

Full (e)changeJCC price

USD/bbl116.16113.12114.67100.00100.00100.00(14.67)

Exchange rate

JPY/USD80.35

83.16

81.71

90.00

90.00

90.00

8.29

Bitumen price

CAD/bbl

52.02

49.19

50.71

47.25

44.58

45.87

(4.84)

Exchange rate

JPY/CAD

76.77

87.05

87.05

90.00

90.00

90.00

2.95

Note1: Royalty is excluded in “Bitumen price”.
Note2: In addition to the impact of exchange rate fluctuations shown on the above, translation adjustments of foreigncurrency- denominated receivables and payables also occur.
Actual profits are influenced by a variety of other factors besides crude oil prices and exchange rates.

13