Support Material
Financial Results for the year ended December 31, 2020
February 10, 2021

Cautionary Statement
This presentation includes forward‐looking information that reflects the plans andexpectations of the Company. Such forward‐looking information is based on the current
assumptions and judgments of the Company in light of the information currently available toit, and involves known and unknown risks, uncertainties and other factors. Such risks,
uncertainties and other factors may cause the Company’s performance, achievements orfinancial position to be materially different from any future results, performance,achievements or financial position expressed or implied by such forward‐looking information.
Such risks, uncertainties and other factors include, without limitation:
 Price volatility and change in demand in crude oil and natural gas
 Foreign exchange rate volatility
 Change in costs and other expenses pertaining to exploration, development andproduction
The Company undertakes no obligation to publicly update or revise the disclosure ofinformation in this presentation (including forward‐looking information) after the date of thispresentation.

Copyright © 2021 INPEX CORPORATION. All rights reserved.

1

Highlights of the Consolidated Financial Results
for the year ended December 31, 2020
(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

FY2020(Jan ‐ Dec ’20)

Change% Change

1,171.2771.0(400.1)(34.2%)

Crude oil sales

871.5

505.5

(366.0)(42.0%)Natural gas sales (including LPG)

281.0

250.5

(30.4)(10.8%)

Others18.6

14.9(3.6)(19.7%)

Operating income (Billions of yen)

559.2

248.4

(310.7)(55.6%)

Ordinary income (Billions of yen)

584.6

257.3

(327.3)(56.0%)Net income (loss) attributable toowners of parent (Billions of yen)

167.3

(111.6)(279.0)‐Net income (loss) per share* (Yen)

114.58(76.50)(191.08)‐(20.95)(32.7%)Net sales(Billions of yen)

* Average number of INPEX shares issued and outstanding during the year ended December 31, 2020: 1,460,203,728

Average crude oil price (Brent) ($/bbl)

64.16

43.21

Average exchange rate (¥/$)

109.03106.77

2.26yen
2.1%
appreciation appreciation

Copyright © 2021 INPEX CORPORATION. All rights reserved.

2Crude Oil Sales(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

FY2020(Jan ‐ Dec ’20)

Change% Change

871.5

505.5(366.0)(42.0%)

122,315

117,282(5,033)(4.1%)

Average unit price of overseas production($/bbl)

65.32

40.31

(25.01)(38.3%)

Average unit price of domestic production(¥/kl)

45,38431,001(14,383)(31.7%)

Average exchange rate (¥/$)

109.08106.84

Net sales (Billions of yen)

Sales volume (thousand bbl)

2.24yen

2.1%yenappreciation

appreciation(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

FY2020(Jan ‐ Dec ’20)

ChangeJapan700(111.2thousand kl)

621(98.7thousand kl)(79)(12.5thousand kl)(11.3%)

Asia & Oceania

16,351

15,580(771)(4.7%)

Eurasia (Europe & NIS)

15,22016,918

1,697

11.2%

Middle East & Africa

88,02081,022(6,998)(8.0%)

Americas

2,024

3,141

1,117

55.2%

122,315

117,282(5,033)(4.1%)

Sales volume by region (thousand bbl)

Total
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% Change3Natural Gas Sales (excluding LPG)
(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

FY2020(Jan ‐ Dec ’20)

Change% Change

Net sales (Billions of yen)

277.6

247.8

(29.7)（10.7%)

Sales volume (million cf)

420,109467,466

47,357

11.3%

Average unit price of overseas production($/thousand cf)

4.33

3.61

(0.72)(16.6%)

Average unit price of domestic sales (¥/m3)

54.62

46.93

(7.69)(14.1%)

Average exchange rate (¥/$)

108.90106.88

Sales volume by region (million cf)

2.02yen

1.9%

appreciation

appreciation(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

FY2020(Jan ‐ Dec ’20)

Japan

80,075(2,146million m3 *)77,413(2,074 million m3 *)(2,663)(‐71 million m3 *)(3.3%)

Asia & Oceania
Eurasia (Europe & NIS)
Middle East & Africa
AmericasTotal

311,426
9,291‐
19,317420,109361,864
9,086‐
19,102
467,466

50,439
(205)
‐
(214)
47,35716.2%(2.2%)‐(1.1%)
11.3%

Change% Change* 1m3=41.8605MJ
Copyright © 2021 INPEX CORPORATION. All rights reserved.

4

Analysis of Net Sales Decrease(Billions of Yen)
1,200(17.4)

Crude Oil

(319.6)Natural Gas (including LPG) (45.9)

1,000800600(365.5)
1,171.2

Crude Oil

(13.4)(3.6)(35.8)Natural Gas (including LPG) +18.4

400771.0

2000(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

Decrease inSales VolumeCopyright © 2021 INPEX CORPORATION. All rights reserved.

Decrease inUnit Price

Exchange rate
(Appreciation of Yen)

Others

FY2020(Jan ‐ Dec ’20)
5

Statement of Income(Billions of Yen)

(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

FY2020(Jan ‐ Dec ’20)

Change% Change

1,171.2771.0(400.1)(34.2%)

Decrease in sales volume :Decrease in unit price :(17.4)(365.5)

Cost of sales

511.1

439.8

(71.2)(13.9%)

Exchange rate:
Others :(13.4)(3.6)

Gross profit

660.0

331.1

(328.8)(49.8%)

Exploration expenses

23.5

9.0

(14.5)(61.5%)

Cost of sales for Crude Oil:
(Change)

268.3(77.6)

Selling, general andadministrative expenses

77.2

73.6

(3.5)

(4.6%)

Operating income

559.2

248.4

(310.7)(55.6%)

Other income

63.3

63.8

0.4

0.7%

Other expenses

37.9

54.9

17.0

44.9%

Ordinary income

584.6

257.3

(327.3)(56.0%)

6.2

189.9

183.6

‐

Total income taxes419.2

171.2(248.0)(59.2%)Net income (loss) attributable to non‐controlling interests

(8.1)

7.8

16.0

‐

Net income (loss) attributable toowners of parent

167.3(111.6)(279.0)‐Net sales

Extraordinary loss (Impairment loss)

Cost of sales for Natural Gas*:159.2(Change)+8.5* Including LPG

Main factors for change :Equity in losses of affiliates +12.9

Main factors for change :Prelude FLNG Project
Eagle Ford
Lucius Oil Field
Bayu‐Undan+129.0+33.2+18.6+8.9

Copyright © 2021 INPEX CORPORATION. All rights reserved.

6

Other Income and Expenses(Billions of Yen)

(Reference)
Same Period Last Year(Jan ‐ Dec ’19)

Other income

63.3

63.8

0.4

0.7%

Interest income*

3.1

33.4

30.3

‐

Dividend income

7.5

6.7(0.8)(11.2%)

Guarantee commission received*

0.3

6.6

6.3

‐

Equity in earnings of affiliates*

36.6

‐

(36.6)(100%)

Foreign exchange gain

0.8

‐

(0.8)

(100%)

Other

14.8

16.9

2.1

14.4%

Other expenses

37.9

54.9

17.0

44.9%

Interest expense

27.7

19.0(8.6)(31.2%)

Equity in losses of affiliates*FY2020(Jan ‐ Dec ’20)

Change% Change

‐

12.9

12.9‐

Provision for allowance for recoverable accounts
under production sharing

1.7

2.5

0.8

50.8%

Provision for exploration projects

0.2

0.0(0.2)(99.0%)

Losses on valuation of investment securities

3.4

6.5

3.0

87.4%

‐

8.2

8.2

‐

4.7

5.5

0.7

16.2%

Foreign exchange loss
Other
*Presented as gross figures from FY2020 (previously presented as net figures)

Copyright © 2021 INPEX CORPORATION. All rights reserved.

7

Analysis of Income before One‐off Profit (Loss) Decrease* Income before one‐off profit (loss)= Net income (loss) attributable to owners of parent − one‐off profit (loss)(Billions of Yen)

Copyright © 2021 INPEX CORPORATION. All rights reserved.

8

Analysis of Impact of One‐off Profit (Loss)(億円)(Billions of Yen)

100

Prelude FLNG Project(129.0)Eagle Ford
(33.2)
Lucius Oil Field(18.6)
Bayu‐Undan Gas‐Condensate Field (8.9)

50
54.6
0

(50)

(111.6)
39.9

(100)

13.8
(5.1)
(16.8)

(150)

(200)

(8.2)

(189.9)

Income before
one‐offprofit (loss)

Impairment loss

Tax effect on
Impairment loss

FY2020(Jan ‐ Dec ’20)

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Refinance(Ichthys LNG Project)

Loss onvaluation ofinvestment securities

Expense related toexit from projects

Others

Net income (loss)
attributable toowners of parent
FY2020(Jan ‐ Dec ’20)

9Balance Sheet(Billions of yen)

December 2019

December 2020

Change% Change

Current assets

419.8

387.0

(32.7)(7.8%)

2,275.3

2,069.7(205.5)(9.0%)

Intangible assets

535.3

441.8

(93.4)(17.5%)

Recoverable accounts under production sharing

568.3

575.5

7.1

1.3%

Other

1,118.0

1,229.7

111.6

10.0%

Less allowance for recoverable
accounts under production sharing(66.8)(69.4)(2.5)(3.8%)

Total assets

4,849.9

4,634.5(215.4)(4.4%)

Current liabilities

401.4

339.2

(62.1)(15.5%)

Long‐term liabilities

1,151.3

1,293.8

142.5

12.4%

Total net assets

3,297.1

3,001.3(295.8)(9.0%)(Non‐controlling interests)

256.4

264.7

8.3

3.3%

Total liabilities and net assets

4,849.9

4,634.5(215.4)(4.4%)Net assets per share (Yen)2,082.43

1,874.08(208.35)(10.0%)

Tangible fixed assets

Summary of financial information forIchthys downstream JV (100% basis,including the Company’s equity share66.245%)(Billions of yen)
• Current assets : 143.7• Fixed assets : 3,457.6• Total assets:
3,601.4*Fixed assets include interest expense
which are not included in CAPEX,
and capitalized costs before FID.

The total of long‐term loans and shortterm loans is 1.2 trillion yen.
Adding the off‐balanced net loans of
the Ichthys IJV brings the total ofINPEX net loans to be 2.1 trillion yen(as of Dec, 2020).

(Billions of yen)
Total shareholders’ equity: (155.5)
Accumulated other comprehensive
income : (148.7)

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10

Statement of Cash Flows(Billions of Yen)FY2020(Jan ‐ Dec ’20)

(Reference) FY2019/12(Apr ‐ Dec ’19)

Income before income taxes

67.3

510.2

Depreciation and amortization

174.0

135.6

Impairment loss

189.9

0.7

Recovery of recoverable accounts under production sharing (capital expenditures)

34.6

32.2

Recoverable accounts under production sharing (operating expenditures)

(7.1)

(5.4)

(218.0)(337.4)51.9(61.3)

292.9

274.7

Payments for time deposits / Proceeds from time deposits(10.8)

0.0

Payments for purchases of tangible fixed assets

Income taxes paid
OtherNet cash provided by (used in) operating activities(129.7)(109.7)

Payments for purchases of marketable securities/investment securities and proceedsfrom sales of marketable securities/investment securities

0.8

2.1

Investment in recoverable accounts under production sharing (capital expenditures)（35.0)(36.6)

Long‐term loans made / Collection of long‐term loans receivable(44.7)(108.4)

Payments for purchase of long‐term loans receivable(201.7)‐Payments for acquisitions of participating interests(5.7)(35.8)

9.8(0.1)

Net cash provided by (used in) investing activities(417.1)(288.7)

Net cash provided by (used in) financing activities

126.7(48.6)Cash and cash equivalents at end of the period

172.4

173.7

Other

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11Financial Indices
Equity Ratio*2

Net Debt/Total Capital Employed (Net)*1

22.3%

26.0%

62.7%

59.0%

FY ended Dec.ʹ19

FY ended Dec.ʹ20

FY ended Dec.ʹ19

FY ended Dec.ʹ20

D/E Ratio*3

36.8%

FY ended Dec.ʹ19*1*2
*3

45.1%

FY ended Dec.ʹ20

Net Debt/Total Capital Employed (Net) = (Interest‐bearing debt ‐ Cash and deposits)/(Net assets + Interest‐bearing debt ‐ Cash and deposits)
Equity Ratio = (Net assets ‐ Non‐controlling interests)/Total assets
D/E Ratio = Interest‐bearing debt/ (Net asset ‐ Non‐controlling interests)

Copyright © 2021 INPEX CORPORATION. All rights reserved.

12Consolidated Financial Forecasts for the year ending
December 31, 2021
AssumptionsFirst Half (Jan to Jun 2021)

Second Half (Jul to Dec 2021)

Full Year (Jan to Dec 2021)

Brent oil price ($/bbl)

53.0

53.0

53.0

Average exchange rate (¥/$)

103.0

103.0

103.0

Full YearFY2020/12 (Actual)

FY2021/12 (Forecast)

Change% Change

Net Sales (Billions of yen)

771.0

883.0

112.0

14.5%

Operating Income (Billions of yen)

248.4

319.0

70.6

28.4%

Ordinary Income (Billions of yen)

257.3

353.0

95.737.2%

Net income (loss) attributable toowners of parent (Billions of yen)(111.6)

100.0

211.6

‐

1st Half

FY2020/12 2Q (Actual)

FY2021/12 2Q (Forecast)

Change% Change

Net Sales (Billions of yen)

391.6

416.0

24.4

6.2%

Operating Income (Billions of yen)

123.7

146.0

22.3

17.9%

Ordinary Income (Billions of yen)

149.2

157.0

7.8

5.2%

Net income (loss) attributable toowners of parent (Billions of yen)(120.7)

35.0

155.7

‐

Cash dividends per share* (yen)FY2020/12 (Actual)

FY2021/12 (Forecast)

2Q End12.0

13.5

FY End12.0

13.5

TOTAL

24.0

27.0

* FY2021 dividend reference dates are June 30, 2021 for the mid‐term dividend and December 31, 2021 for the year‐end dividend.
Copyright © 2021 INPEX CORPORATION. All rights reserved.

13

FY2021/12 Financial Forecasts Analysis of Increase* Income before one‐off profit (loss)= Net income (loss) attributable to owners of parent − one‐off profit (loss)(Billions of Yen)
120

11.0

42.6*
90(7.5)166.3

6030(0.2)(0.5)

Exchange Rate (Yen/US$)FY2020/12 Actual
106.77
FY2021/12 Forecast 103.00

54.6

100.0

Crude Oil Price (Brent) （US$/bbl）
FY2020/12 Actual
43.21
FY2021/12 Forecast 53.00

0(30)
(60)

(111.6)(90)(120)
Net income (loss)
attributable toowners of parent

Stripped
one‐offprofit (loss)

Income before
one‐offprofit (loss)

FY2020(Jan ‐ Dec ʹ20)

FY2020(Jan ‐ Dec ʹ20)

FY2020(Jan ‐ Dec ’20)

Impact fromcrude oil priceImpact fromexchange rate

Decrease in
exploration
expenses

Project‐relatedchanges

Impact fromone‐offprofit (loss)

Net income (loss)
attribute toowners of parent

FY2021(Jan ‐ Dec ʹ21)

(Initial forecasts
Feb 10, 2021)* The discrepancy between the oil price impact figure shown above and the oil price impact
calculated from the difference in the Brent oil prices and the oil price sensitivity for FY2021
takes into consideration certain natural gas sales applying oil prices on a delayed basis.
Copyright © 2021 INPEX CORPORATION. All rights reserved.

14

Sales and Investment Plan for the year ending
December 31, 2021
FY2020/12(Actual)

FY2021/12(Forecast)

Change% Change

Sales Volume

Crude oil (thousand bbl) *1

117,282

111,732(5,550)(4.7%)Natural gas (million cf) *2

467,466

481,431

13,965

3.0%

Overseas390,053

402,758

12,705

3.3%

Japan

77,413(2,074 million m3)

78,673(2,108 million m3)

1,260(34 million m3)

1.6%

257

511

254

98.8%

LPG (thousand bbl) *3(Billions of yen)

FY2020/12(Actual)

FY2021/12(Forecast)

Change% Change

Development expenditure andothers*4

167.2

231.0

63.8

38.2%

Exploration expenditure

10.7

16.0

5.3

49.5%

Other expenditure

2.88.05.2‐16.5

4.133.1%

6.8

5.9

‐

Exploration expenses and Provision
for explorations*5

Exploration expenses 9.0
Provision for explorations 3.3(Non‐controlling Interests Portion) *612.4
0.9

Exploration expenses 14.0
Provision for explorations 2.4*1 CF for domestic crude oil sales and petroleum products : 1kl=6.29bbl*2 CF for domestic natural gas sales : 1m3=37.32cf*3 CF for domestic LPG sales : 1t=10.5bbl*4 Includes Ichthys downstream and asset acquisition expenditures*5 “Provision for allowance for recoverable accounts under production sharing” + ”Provision for exploration projects”, relating to exploration activities*6 Capital increase from Non‐controlling interests, etc.

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15

Net Income Sensitivities
 Sensitivities of crude oil price and foreign exchange fluctuation on consolidated net
income attributable to owners of parent for the year ending December 31, 2021*1(Billions of yen)

At Beginning of 1Q : +6.6 (‐6.6)
The impact on net income will change in FY2021 as below;
At beginning of 2Q : +4.6 (‐4.6)
At beginning of 3Q : +2.4 (‐2.4)
At beginning of 4Q : +1.0 (‐1.0)

Brent Crude Oil Price;$1/bbl increase (decrease)*2
Exchange Rate; ¥1 depreciation (appreciation)
against the U.S. dollar*3+2.0 (‐2.0)*1 The sensitivities represent the impact on net income for the year ending December 31, 2021 against a $1/bbl increase (decrease) in the Brent crude oil price on
average and a ¥ 1 depreciation (appreciation) against the U.S. dollar. These are based on the financial situation mainly of existing production projects at thebeginning of the fiscal year. These are for reference purposes only and the actual impact may change due to fluctuations in production volumes, capital
expenditures and cost recoveries, and may not be constant, depending on crude oil prices and exchange rates.
*2 Net income sensitivity is determined by fluctuations in the oil price and is subject to the average price of crude oil (Brent). A breakdown of quarterly sensitivity
figures is listed below taking into consideration certain natural gas sales applying oil prices on a delayed basis; At beginning of 1Q : +6.6 billions of yen (1Q : +1.0 billions of yen, 2Q : +1.2 billions of yen, 3Q : +2.2 billions of yen , 4Q : +2.2 billions of yen)
 At beginning of 2Q : +4.6 billions of yen (1Q : －－－－－－－－ , 2Q : +1.0 billions of yen, 3Q : +1.4 billions of yen , 4Q : +2.2 billions of yen)
 At beginning of 3Q : +2.4 billions of yen (1Q : －－－－－－－－ , 2Q : －－－－－－－－ , 3Q : +1.0 billions of yen , 4Q : +1.4 billions of yen)
 At beginning of 4Q : +1.0 billions of yen (1Q : －－－－－－－－, 2Q : －－－－－－－－ , 3Q : －－－－－－－－ , 4Q : +1.0 billions of yen)
*3 This is a sensitivity on net income determined by fluctuation of the yen against the U.S. dollar and is subject to the average exchange rate. On the other hand,sensitivity related to the valuation of assets and liabilities denominated in the U.S. dollar on net income incurred by foreign exchange differences between theexchange rate at the end of the fiscal year and the end of the previous fiscal year is largely neutralized.

Copyright © 2021 INPEX CORPORATION. All rights reserved.

16Comparison of FY2020/12 Results with the same period last year INPEX’s accounting period changed to the January to December period from the April toMarch period from the fiscal year ended December 31, 2019.
 FY2020/12 figures are compared with the (Reference figures) same period last year
(January to December 2019).

(Reference figures) Same period last year (January to December 2019) *2019
Jan‐MarApr‐Jun2020
Jul‐Sep(Reference figures)
Same period last year

Oct‐Dec

Jan‐MarApr‐Jun

Jul‐SepOct‐Dec

FY2020/12* Unaudited figures for reference purposes onlyCopyright © 2021 INPEX CORPORATION. All rights reserved.

17