[Explanatory Material]

Financial Results
for the Three Months Ended June 30, 2024

August 8, 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.

Contents
Ⅰ. Financial Highlights
Ⅱ. Financial Results for the Three Months Ended June 30, 2024
Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Note: This material also serves as the presentation material for the financial results briefing for the institutional investors and analysts
to be held on August 9, 2024.

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

2

Ⅰ. Financial Highlights
Ⅱ. Financial Results for the Three Months Ended June 30, 2024
Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

3

Ⅰ. Financial Highlights

Financial Highlights
FY3/25 Forecast Revision （vs. May 14 Forecasts）

1Q FY3/25 Results（Year-on-year）

May 14,2024 (f)Aug 8,
2024 (f)ChangeOperating profit

52.4

53.8

+1.4

(1.6)

Ordinary profit

55.5

57.8

+2.3

(1.5)

Profit attributable toowners of parent

42.8

44.0

+1.2

1Q FY
3/24 (a)1Q FY
3/25 (a)ChangeOperating profit

12.9

12.9

+0.0

Ordinary profit

18.2

16.5

Profit attributable toowners of parent

12.9

11.4

(Billion Yen)

Ordinary profit ： Decrease in equity method profit and foreignexchange gains⚫

(Billion Yen)⚫
⚫

Operating profit ： Expect to increase in sales prices ofdomestic crude oil and domestic natural gas
Ordinary profit ： Expect to increase in equity method profit

Shareholder Returns⚫

FY3/25 annual dividend (forecast)：
Interim 125 yen per share + Year-end 25 yen per share, unchanged from the previous forecast✓ A 5-for-1 stock split of common stock, effective October 1, 2024, was resolved at the Board of Directors’ meeting held on May 14, 2024. The yearend dividend per share for FY2024 (forecast) without considering the stock split is 125 yen✓ The dividend forecast is currently unchanged from the initial forecast of the interim dividend (125 yen) and year-end dividend (25 yen). We will
decide dividend forecast taking into consideration a full-year earnings forecast and other factors at the second quarter of the fiscal year ending
March 31, 2025, based on the basic policy to pay dividends in line with business results for each fiscal year, with a target consolidated payout ratioof 30%.

Business Progress⚫
⚫
⚫

Participated in the Freeport LNG Project in Texas, U.S.A.(May)
Acquired additional well interests in tight oil development project in U.S.(Jun)
Made Longboat JAPEX Norge AS, a Norwegian offshore exploration, development, and production company, a wholly owned subsidiaryand renamed JAPEX Norge AS (J Norge) (Jul)Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

4

Ⅰ. Financial Highlights
Ⅱ. Financial Results for the Three Months Ended June 30, 2024
Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

5

Ⅱ. Financial Results for the Three Months Ended June 30, 2024

1Q FY3/25 Results (Year-on-Year)
Million Yen

1Q FY3/24 (a)1Q FY3/25 (a)ChangeNet sales

61,321

89,465+28,143+46%

Gross profit

20,50822,278+1,769+9%Operating profit

12,903

12,948+45+0%Ordinary profit

18,21916,560(1,658)(9%)

Profit attributable to owners of parent

12,99911,493(1,505)(12%)

Oil Price and Exchange Rate
1Q FY3/24 (a)1Q FY3/25 (a)ChangeWTI

USD/bbl

76.11

77.06

+0.95

Crude oil price (CIF)

USD/bbl

85.17

85.95

+0.78

Exchange rate

JPY/USD

134.36152.39+18.03Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

6

Ⅱ. Financial Results for the Three Months Ended June 30, 2024

E&P Business Sales (Year-on-Year)
1Q FY3/24 (a)Net sales：Million Yen

Unit

-

E&P Business

Sales volume

1Q FY3/25 (a)Net sales

Sales volume

ChangeNet sales

Sales volume

Net sales-

10,724-29,836--+19,111

+178%

152

10,608403

28,966

+250

+164%

+18,358

+173%

50

3,700

51

4,348

+1

+3%

+647

+17%

97

6,532

346

24,247

+249

+255%

+17,715

+271%

5

375

4

370

(1)

(12%)

(5)

(1%)

10

116

35

869

+24

+239%

+753

+648%

Breakdown
Crude oil
Crude oil - Japan
Crude oil - Overseas

Thousand KL*1

Purchased crude oil

Natural Gas - Overseas*2

Million M3[1]

Main factors for change[1] 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 Aamounts of overseas consolidated subsidiary Japex (U.S.) Corp.

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

7

Ⅱ. Financial Results for the Three Months Ended June 30, 2024

I/U Business Sales (Year-on-Year)
1Q FY3/24 (a)Net sales：Million Yen

Unit

-

Infrastructure & Utility Business

Sales volume

1Q FY3/25 (a)Net sales

Sales volume

ChangeNet sales

Sales volume

Net sales-

36,398-43,749--+7,351+20%

202

20,200195

16,778(6)(3%)[1] (3,422)

(17%)

102

-

102

-

+0

+0%

-

-

Breakdown
Natural Gas - Japan
Million M3- Produced in Japan

LNG

Thousand Ton

30

1,498

169

15,960[2] +138+446%+14,462+965%

Electricity

Million kWh774

13,137579

9,585[3] (194)(25%)(3,552)

(27%)

-

1,561

-

1,425

-

(136)

(9%)

Other*--

Main factors for change[1] Decrease in sales price[2] Increase in sales volume[3] Decrease in sales volume*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

Ⅱ. Financial Results for the Three Months Ended June 30, 2024

Operating Profit (Year-on-Year)(Billion Yen)

12.9

OP total

12.9

1.9

E&P-Overseas

Overseas : +3.8 bn.

6.0

6.0 bn.

I/U Business

4.0

4.0 bn. →3.6 bn.

Raw material slide time lag（－）
Increase in marginal gain on LNG procurement (+)

•
•

3.6

Others *(2.0)(0.3 bn.)

(2.4)

∗

(5.0)

→

* Internal transaction price from E&P Business to Infrastructure/Utilities
Business for the internal management(0.4 bn.)

Others

9.0 bn.

Decrease in sales price* of natural gas（－）
Increase in exploration expenses （－）

•
•
9.0

I/U

1.9 bn. → 5.7 bn.

• Increase in sales volume of U.S. tight oil
development（+）• Foreign exchange gap related to cost recovery of
Iraqi Garraf project (+)

Japan : (2.9 bn.)

5.7

E&P-Japan

E&P Business

0.0
1Q FY3/24 (a)

5.0

10.0

15.0

(2.0 bn.)→(2.4 bn.)

Operating profit not belonging to the above business units (CN,contracting, oil products and commodities, and others) lessheadquarters administrative expenses

1Q FY3/25 (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.

9

Ⅱ. Financial Results for the Three Months Ended June 30, 2024

Analysis of Net Income change (Year-on-Year)(Billion Yen)
1 0

3.

1 0
14 0

2.

12 0

0.4

0.3

0.

10 0

0.0

0.
0.5

0.

JUS
+2.9 bn.
Japex Garraf +1.0 bn.

0
0

0.0

12.

11.4
J Norge40(1.2 bn.)

20
00

Net
incomeOperating profit*+0.0 bn.

Non-operating income(1.7 bn.)

Net
incomeFY3/24
1Q (a)

E&P
overseas

E&P
Japan

I/U

OthersForeignexchange
gains / loss

Equitymethodprofit /loss

OthersExtraordinary
income / loss

Incometaxes

Profitattributable tononcontrollinginterest

FY3/24
1Q (a)

1.9

9.0

4.0

(2.0)

4.7

0.3

0.2

(0.0)

4.3

0.8

FY3/25
1Q (a)

5.7

6.0

3.6

(2.4)

4.0

(0.5)

0.1

(0.0)

3.6

1.3

FY3/25
1Q (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

Ⅰ. Financial Highlights
Ⅱ. Financial Results for the Three Months Ended June 30, 2024
Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

11

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

FY3/25 Forecasts (vs May 14 Forecasts)
Million Yen

Initial (f) May 14, 2024

Revised (f) Aug. 8, 2024

ChangeNet sales

379,400

358,400(21,000)(6%)

Gross profit

86,30088,800+2,500+3%

Operating profit

52,40053,800+1,400+3%

Ordinary profit

55,50057,800+2,300+4%

Profit attributable to owners of parent

42,80044,000+1,200+3%

Oil Price and Exchange Rate
Initial (f) May 14, 2024

Revised (f) Aug. 8, 2024

ChangeWTI

USD/bbl

80.00

75.52

(4.48)

Crude oil price (CIF)

USD/bbl

85.00

81.30

(3.70)

Exchange rate

JPY/USD

140.00146.71+6.71

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

12

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

E&P Business Sales Forecasts (vs May 14 Forecasts)
Initial (f) May 14, 2024
Net sales：Million Yen

Unit

E&P Business-

Sales volume

Net sales

Revised (f) Aug. 8, 2024
Sales volume

ChangeNet sales

Sales volume

Net sales-

141,190-

118,000--(23,189)

(16%)

2,009

138,031

1,665

114,563

(343)

(17%)

(23,467)

(17%)

220

16,507233

17,637+12+6%+1,130+7%

1,769

120,096

1,413

95,419

(356)

(20%)

(24,676)

(21%)

18

1,427

19

1,505

+1

+6%

+78

+5%

151

3,158

144

3,436

(7)

(5%)

+278

+9%

Breakdown
Crude oil
Crude oil - Japan
Thousand KL

Crude oil - overseas*1

Purchased crude oil

Natural Gas - Overseas*2

Million M3[1]

Main factors for change[1] Decrease in sales volume of Iraq Garraf Project / Decrease in sales volume and sales price of U.S. tight oil development*1 Amounts of overseas consolidated subsidiaries Japex Garraf Ltd , Japex (U S ) Corp , JAPEX UK E＆P Ltd and JAPEX Norge AS*2 Amounts of overseas consolidated subsidiaries Japex (U.S.) Corp., JAPEX UK E&P Ltd.and JAPEX Norge AS

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

13

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

I/U Business Sales Forecasts (vs May 14 Forecasts)
Initial (f) May 14, 2024
Net sales：Million Yen

Unit

Infrastructure & Utility Business-

Sales volume

Sales volume

Net sales

ChangeRevised (f) Aug. 8, 2024
Net sales

Sales volume

Net sales-

171,691-

173,516--+1,825+1%

970

76,623

950

76,017

(19)

(2%)

(605)

(1%)

457

-

453

-

(4)

(1%)

-

-

(5)

(2%)

[1] +1,026

+3%

+51

+2%

+966

+2%

-

+438

+3%

Breakdown
Natural Gas - Japan
Million M3- Produced in Japan

LNG

Thousand Ton

366

34,401360

35,427

Electricity

Million kWh

2,980

44,6783,032

45,645

Others*--15,988-16,426[2]-

Main factors for change[1] Increase in sales price[2] Increase in sales volume* Including biomass fuel sales, net sales from commissioned transportation of natural gas and commisioned regasification of LNG

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

14

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Operating Profit Forecasts (vs May 14 Forecasts)(Billion Yen)

E&P Business

52.4

OP total

53.8

Overseas : (0.9 bn.)
•
•

25.1

E&P-Overseas

25.1 bn.

→

24.1 bn.

Decrease in sales volume and sales price of U.S. tight oil
development（－）
Increase in cost of sales for the Seagull project in U.K.
North Sea （－）
Foreign exchange gap related to cost recovery of Iraqi
Garraf project (+)

•

24.1

Japan : +1.5 bn.

23.6 bn. →25.1 bn.

Increase in sales volume of crude oil（＋）•
23.6

E&P-Japan

25.1

I/U Business
12.0

I/U

+1.1 bn.

13.1•
Others

12.0 bn. →13.1 bn.

Increase in marginal gain on LNG procurement（＋）(8.3)

Others*(8.6)(20.0) (10.0)

0.0

10.0

20.0

30.0

40.0

50.0

60.0

(0.2 bn.)∗

Initial (f) May 14, 2024

Revised (f) Aug. 8, 2024

(8.3 bn.) →(8.6 bn.)

Operating profit not belonging to the above business units (CN,contracting, oil products and commodities, and others) lessheadquarters 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

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Analysis of Change in Net Income Forecasts (vs May 14 Forecasts)(Billion Yen)
00

00

1.5

20 0

42.

0.2

(0.0)

0.3

GCLH
J Norge

30 0
JUS
JUK
J Norge
Japex Garraf

0.

0.2

0.

40 0

-

1.1

(1.2 bn.)(0.7 bn.)+0.1 bn.
+0.8 bn.

0.

+1.6 bn.
(1.4 bn.)

44.0

10 0

00

Net
incomeOperating profit*+1.4 bn.

Non-operating income+0.8 bn.

Net
incomeFY3/25 (f)May 14E&P
overseas

E&P
Japan

I/U

OthersForeignexchange
gains / loss

Equitymethodprofit /loss

OthersExtraordinary
income / loss

Incometaxes

Profitattributable tononcontrollinginterest

FY3/25 (f)May 14

25.1

23.6

12.0

(8.3)

-

0.6

2.5

-

11.9

0.8

FY3/25 (f)Aug. 8

24.1

25.1

13.1

(8.6)

-

1.3

2.7

(0.0)

12.2

1.6

FY3/25 (f)Aug. 8Note) 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

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

FY3/25 Forecasts (Year-on-Year)
Million Yen

FY3/24 (a)FY3/25 Revised (f)ChangeNet sales

325,863

358,400+32,536+10%

Gross profit

87,29688,800+1,503+2%

Operating profit

55,24753,800(1,447)(3%)

Ordinary profit

68,80857,800(11,008)(16%)

Profit attributable to owners of parent

53,66144,000(9,661)(18%)

Oil Price and Exchange Rate
FY3/24 (a)FY3/25 Revised (f)ChangeWTI

USD/bbl

77.69

75.52

(2.17)

Crude oil price (CIF)

USD/bbl

86.28

81.30

(4.98)

Exchange rate

JPY/USD

143.28146.71+3.43

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

17

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

E&P Business Sales Forecasts (Year-on-Year)
FY3/24 (a)Net sales：Million Yen

Unit

Sales volume

FY3/25 Revised (f)Net sales

Sales volume

ChangeNet sales

Sales volume

Net sales-

88,810-118,000--+29,189

+33%

1,240

87,808

1,665

114,563

+424

+34%

+26,754+30%

225

17,792

233

17,637

+7

+3%

(155)

(1%)

Crude oil - overseas*1

994

68,397

1,413

95,419+418+42%+27,021+40%

Purchased crude oil

20

1,618

19

1,505

(1)

(6%)

(113)

(7%)

65

1,002

144

3,436

+78

+118%

+2,433+243%

E&P Business-

Breakdown
Crude oil
Crude oil - Japan
Thousand KL

Natural Gas - Overseas*2

Million M3[1]

Main factors for change[1] Increase in sales volume of U.S. tight oil development and Seagull project in U.K. North Sea.
Recognition of sales due to the acquisition of JAPEX Norge AS as a subsidiary*1 FY3/24 Amounts of overseas consolidated subsidiaries Japex Garraf Ltd , Japex (U S ) Corp and JAPEX UK E＆P Ltd
FY3/25 Amounts of overseas consolidated subsidiaries Japex Garraf Ltd., Japex (U.S.) Corp., JAPEX UK E&P Ltd. and JAPEX Norge AS*2 FY3/24 Amounts of overseas consolidated subsidiaries Japex (U S ) Corp and JAPEX UK E＆P Ltd
FY3/25 Amounts of overseas consolidated subsidiaries Japex (U.S.) Corp., JAPEX UK E&P Ltd. and JAPEX Norge AS

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18

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

I/U Business Sales Forecasts (Year-on-Year)
FY3/24 (a)Net sales：Million Yen

Unit

Infrastructure & Utility Business-

Sales volume

FY3/25 Revised (f)Net sales

Sales volume

ChangeNet sales

Sales volume

Net sales-

172,147-

173,516--+1,369+1%

955

81,487

950

76,017(5)(1%)[1] (5,469)

(7%)

444

-

453

-

+9

+2%

-

-

Breakdown
Natural Gas - Japan
Million M3- Produced in Japan

LNG

Thousand Ton

275

30,190360

35,427

[2]

+85

+31%

+5,236+17%

Electricity

Million kWh

3,548

53,272

3,032

45,645

[3]

(516)

(15%)

(7,626)

(14%)

-

7,197

-

16,426-[4] +9,228+128%

Others*--Main factors for change[1] Decrease in sales price[2] Increase in sales volume[3] Decrease in sales volume[4] Increase in sales volume of biomass fuel* Including biomass fuel sales, net sales from commissioned transportation of natural gas and commisioned regasification of LNG

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19

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Operating Profit Forecasts (Year-on-Year)(Billion Yen)

E&P Business
55.2

OP total

53.8

15.6

E&P-Overseas

Overseas : +8.5 bn.
••

Japan : (1.7 bn.)•

24.1

15.6 bn.

→

24.1 bn.

Increase in sales volume of U.S. tight oil development（＋）
Increase in sales volume at the Seagull Project in U.K. North
Sea （＋）

26.8 bn. →25.1 bn.

Decrease in sales price* of natural gas（－）∗

Internal transaction price from E&P Business to Infrastructure/Utilities
Business for the internal management

26.8

E&P-Japan

25.1

I/U Business(7.7 bn.)
•

20.8

I/U

20.8 bn. →13.1 bn.

Raw material slide time lag（－）

13.1

Others*Others(0.4 bn.)

(8.1)

∗

(8.6)

(20.0)(10.0)

0.0

FY3/24 (a)

10.0

20.0

30.0

40.0

50.0

(8.1 bn.) →(8.6 bn.)

Operating profit not belonging to the above business units (CN,contracting, oil products and commodities, and others) lessheadquarters administrative expenses

60.0

FY3/25 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

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Analysis of Change in Net Income Forecasts (Year-on-Year)(Billion Yen)

JAPEX
Japex Garraf

00(2.8 bn.)(4.6 bn.)

00

Interest income
Interest expenses

.5
00

1.
.

00

0.4

1.0
.

40 0
30 0

(0.5 bn.)(2.4 bn.)

53.

20 0

JUS
JUK
J Norge
Japex Garraf+7.1 bn.
+2.2 bn.
+0.1 bn.
(0.7 bn.)

3.0

GCLH
J Norge

1.4

0.0
0.1

+1.6 bn(1.2 bn.)

44.0

10 0
00

Net
incomeOperating profit*(1.4 bn.)Non-operating income(9.5 bn.)

Net
incomeFY3/24 (a)E&Poverseas

E&P
Japan

I/U

OthersForeignexchange
gains / loss

Equitymethodprofit /loss

OthersExtraordinary
income / loss

Incometaxes

Profitattributable tononcontrollinginterest

FY3/24 (a)

15.6

26.8

20.8

(8.1)

7.6

0.2

5.7

(0.0)

12.0

3.0

FY3/25
Revised (f)

24.1

25.1

13.1

(8.6)

-

1.3

2.7

(0.0)

12.2

1.6

FY3/25
Revised (f)Note) The amounts in the operating profit breakdown by business segment are the figures for the Group’s internal management
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21

Ⅲ. Revised Financial Forecasts for the fiscal year ending March 31, 2025

Cash Flows and Debt
Million Yen

FY3/24 (a)FY3/25 (f)Full year

Full year

Cash flows from operating activities

May 14

Aug.8

90,564

123,326

117,159

Profit before income taxes

68,78455,50057,800Depreciation

27,64642,09840,557

Recovery of recoverable accounts

27,77554,16630,823

Cash flows from investing activities(99,659)(112,674)(187,799)

Purchase of property, plant and equipment(65,924)(74,238)(95,733)

Purchase of investment securities(7,685)(5,985)(65,228)

Payments of recoverable accounts(25,379)(41,746)(36,206)

Cash flows from financing activities(28,596)(30,624)(4,448)Cash and cash equivalents at end of period

152,598

132,626

77,510Interest-bearing debt*1

9,091

17,78947,700EBITDA*2

93,606

100,370

102,590

0.1

0.2

0.5

Debt-to-EBITDA ratio*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.

22

Appendix
1. Net Sales
2. Financial Results
3. Segment Profit
4. Segment Sales
5. Price Assumptions for FY3/25 Forecasts
6. Sensitivities Analysis on FY3/25 Forecasts Basis
7. Business Overview
8. Integrated Report and IR Materials, etc.
9. Glossary

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

23

Appendix

1. Net Sales - ①E&P
Million Yen

FY3/24 (a)1Q

FY3/25Full year

1Q

Full year (f)May 14

Aug. 8

10,72488,81029,836

141,190

118,000

152

1,240

403

2,009

1,665

10,60887,80828,966

138,031

114,563

50

225

51

220

233

3,700

17,792

4,348

16,507

17,637

97

994

346

1,769

1,413

6,532

68,397

24,247

120,096

95,419

5

20

4

18

19

375

1,618

370

1,427

1,505

10

65

35

151

144

116

1,002

869

3,158

3,436

WTI（USD/bbl）

76.11

77.69

77.06

80.00

75.52

Crude oil price (CIF) (USD/bbl) *3

85.17

86.28

85.95

85.00

81.30

Sales
Sales volume of Crude oil (Thousand KL)
Net sales
Sales volume of Crude oil - Japan (Thousand KL)
Net sales
Sales volume of Crude oil - overseas *1 (Thousand KL)
Net sales
Sales volume of Purchased crude oil (Thousand KL)
Net sales
Sales volume of Natural gas -overseas *2(Million M3)

Net sales*1 FY3/24 Amounts of overseas consolidated subsidiaries Japex Garraf Ltd., Japex (U.S.) Corp and JAPEX UK E&P Ltd.
FY3/25 Amounts of overseas consolidated subsidiaries Japex Garraf Ltd., Japex (U.S.) Corp., JAPEX UK E&P Ltd. and JAPEX Norge AS*2 FY3/24 Amounts of overseas consolidated subsidiaries Japex (U.S.) Corp. and JAPEX UK E&P Ltd.
FY3/25 Amounts of overseas consolidated subsidiaries Japex (U.S.) Corp., JAPEX UK E&P Ltd. and JAPEX Norge AS*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.

24Appendix

1. Net Sales - ②I/U
FY3/24 (a)Million Yen

1Q

FY3/25Full year

1Q

Full year (f)May 14

Aug. 836,398172,147

43,749171,691

173,516

202

955

195

970

950

20,20081,487

16,77876,62376,017

102

444

102

457

453

30

275

169

366

360

1,498

30,19015,96034,40135,427

774

3,548

579

2,980

3,032

Net sales

13,13753,272

9,585

44,67845,645

Others*

1,561

7,197

1,425

15,98816,426JLC Price (JPY / ton)

89,887

93,12890,20885,80087,302

Sales
Sales volume of Natural gas – Japan (Million M3)
Net sales
Sales volume of Natural gas produced in Japan (Million M3)
Sales volume of LNG (Thousand ton)
Net sales
Sales volume of Electricity (Million kWh)

* Including biomass fuel sales, 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

Appendix

2. Financial Results
Million Yen

FY3/24 (a)1Q

Net sales

FY3/25Full year

1Q

Full year (f)May 14

Aug. 861,321

325,863

89,465

379,400

358,400

E&P Business

10,72488,81029,836

141,190

118,000

Infrastructure/Utility Business

36,398172,147

43,749171,691

173,516

Others

14,19964,905

15,88066,51866,883

Cost of sales

40,812

238,567

67,187

293,100

269,600

Gross profit

20,50887,29622,27886,30088,800

255

3,536

1,713

1,800

3,000

SG&A expenses

7,349

28,512

7,616

32,10032,000Operating profit

12,90355,247

12,94852,40053,8005,315

13,561

3,611

3,100

4,000

Interest income

520

2,265

705

1,000

1,700

Interest expenses

(24)

(626)

(598)

(2,300)(3,100)

Dividend income

57

4,090

68

4,300

4,300

Equity method profit (loss)

338

214

(589)

600

1,300

Provision for overseas investment

(15)

78

-

200

-

Foreign exchange gains (loss)

4,764

7,634

4,086

-

-

Other

(325)

(95)

(59)

(700)

(200)

18,21968,80816,56055,50057,800Extraordinary income (loss)

(9)

(24)

(1)

-

(0)

Profit before income taxes

18,20968,784

16,55855,50057,800

4,335

12,067

3,669

11,90012,200

874

3,055

1,395

800

1,600

12,99953,661

11,49342,80044,000Exploration expenses

Non-operation income (expense)

Ordinary profit

Income taxes
Profit attributable to non-controlling interests
Profit attributable to owners of parent

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

26

Appendix

3. Segment Profit
Million Yen

FY3/24 (a)1Q

FY3/25Full year

1Q

Full year (f)May 14

Operating profit (loss)

Japan

Equity method profit(loss)
Operating profit (loss)

North America

13,732

51,1309,957

39,031

41,181

136

168

110

334

452

1,952

11,417

4,853

19,732

18,532

-

(49)

(29)

(66)

1,565

(111)

426

(275)

3,490

2,884

-

(529)

(1,290)(378)(1,810)

447

4,750

1,503

3,154

3,982

(1)

2

-

-

-

-

-

-

-

-

202

622

619

709

1,092

(3,118)(12,477)(3,090)(13,008)(12,780)

12,90355,247

12,94852,40053,800Equity method profit(loss)
Operating profit (loss)

EuropeEquity method profit(loss)
Operating profit (loss)

Middle East

Equity method profit(loss)
Operating profit (loss)

Others*1

Equity method profit(loss)

Adjustments andEliminations*2

Amounts on consolidated
statement of income*3

*1
*2

*3

Operating profit

Aug. 8

Include the Sakhalin Oil and Gas Development Co., Ltd., Energi Mega Pratama Inc., and others
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.
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

Appendix

4. Segment Sales
Million Yen

FY3/24 1Q (a)
North

Japan
Crude oil
E&P Business

North

Japan

EuropeAmerica

Middle East

Total

-

903

10,608

4,718

12,13132

12,08428,966

-

116

-

-

116

-

256

612

-

869

4,076

5,744

-

903

10,724

4,718

12,388645

12,08429,836

20,200---20,20016,778---

16,778

LNG

1,498

-

-

-

1,498

15,960---15,960Electricity

13,137---

13,137

9,585

-

-

-

9,585

Others

1,561

-

-

-

1,561

1,425

-

-

-

1,425

Subtotal

36,398---36,39843,749---43,749Contracting

1,329

-

-

-

1,329

1,662

-

-

-

1,662

12,112---

12,112

13,605---

13,605

756

-

-

-

756

611

-

-

-

611

Subtotal

14,199---14,19915,880---15,880

Total

54,673

5,744

-

903

61,32164,34812,388645

12,08489,465Natural Gas OverseasJapanoil products andBusinesses

Total

5,628

Natural Gas -Other

Middle East

4,076

Subtotal

I/U Business

EuropeAmerica

FY3/25 1Q (a)commodities
OthersCopyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

28

Appendix

5. Price Assumptions for FY3/25 Forecasts
Upper: from January 2023 to March 2024
Full year

Lower: from January 2024 to March 2025
Jan.-Mar.

Apr.-Jun.

Jul.-Sep.

Oct.-Dec.

Jan.-Mar.

FY3/24 (a)

-

85.17

81.77

90.79

86.32

86.28

Initial (f)May 14

-

85.00

85.00

85.00

85.00

85.00

Revised (f)Aug. 8-85.95*2

80.00

80.00

80.00

81.30

FY3/24 (a)

76.11

73.78

82.49

78.36

-

77.69

Initial (f)May 14

80.00

80.00

80.00

80.00

-

80.00

Revised (f)Aug. 877.06*2

75.00

75.00

75.00

-

75.52

FY3/24 (a)-89,887

88,343

95,287

98,994

93,128Initial (f)May 14-

86,40085,60085,60085,60085,800

Revised (f)Aug. 8-90,20888,60085,20085,20087,302

FY3/24 (a)-134.36141.06148.53146.51

143.28Initial (f)May 14-140.00140.00140.00140.00140.00

Revised (f)Aug. 8-152.39*2

145.00145.00145.00146.71Market Price

Crude oil price (CIF) *1

WTI

JLC price

Exchange rate

USD/bbl

USD/bbl

JPY/Ton

JPY/USD*1 Domestic sales price average of crude oil referring to crude oil price (CIF)*2 Actual

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

29

Appendix

6. Sensitivities Analysis on FY3/25 Forecasts Basis
Impacts on
profit（Million Yen）

FY3/25
2Q-4Q
Assumptions

Fluctuation

Crude oil price

WTI
USD 75.00/bbl
Crude oil price (CIF), Brent
USD 80.00/bbl

Increase by
1USD/bbl

290+ Sales of oil and gas- Increase in LNG procurement cost

Exchange rate

JPY 145.00/USD

1 weaker JPY
against USD

380+ Sales of oil and gas- Increase in LNG procurement cost

Operating profit

Main factors for change
positive factor “+”/ negative factor “-”【Assumptions】• Changes in equity method profit/loss are not considered in the above amount• In addition to the impact of exchange rate fluctuations shown on the above, translation adjustments of foreign-currencydenominated 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.

30

Appendix

7. Business Overview ① E&P Field
3

E&P Business site

4

5
A

1

6

JAPEX Group E&P business base site

Japan

2

Overseas

10 fields
6 projects⚫ Our oil and gas E&P fields/projects (as of Jul., 2024)
No.

Oil and gas field/Project title (Operator)

Interest Share（JAPEX’s net）

Production type

Status

Production Volume*1

Differ by interest

Crude oil/natural gas

Production/
Development

Undisclosed

A

Japan: Domestic oil and gas fields(Total of 10 locations in Hokkaido, Akita, Yamagata, and Niigata)1

Iraq: Garraf Project (PETRONAS Carigali Iraq Holding B.V.)

30% (16.5%)

Crude oil

Production/
Development

Approx. 152,000bbl

2

Indonesia: Kangean Project (Kangean Energy Indonesia Ltd.)

100％ (25%)

Crude oil/natural gas

Production

Approx. 2,000,000m3(Approx. 12,190boed)

3

Norway: Offshore Blocks (Equinor ASA, etc.*2)

Differ by interest

Crude oil/natural gas

Exploration/Production/
Development

4

UK North Sea: Seagull Project (BP Exploration Operating Company Ltd.)

15% (15％)

Crude oil/natural gas

Production/
Development

Undisclosed

5

Russia: Sakhalin-1 Project (Sakhalin-1 Limited Liability Company: S1LLC)

30% (4.59％) *4

Crude oil/natural gas

Production/
Development

Undisclosed

6

North America: Tight Oil Development (EOG Resources Inc., etc.*2)

Differ by interest

Crude oil/natural gas

Production/
Development

14,469boe*5

381boe*3 *5*1: Average daily Production for 1Q FY2024 (No.1: Apr.-Jun.2024, No.2,3,6: Jan.-Mar.2024) *2: Operators differ by interest. Main operators listed.
*3: Since the procedures for the acquisition of interests in production assets were completed at the end of Jan. 2024.
*4: Pursuant to Government of the Russian Federation order on Nov. 2022,Sakhalin Oil and Gas Development Co., Ltd.(SODECO) was approved to subscribe for 30% equity of the S1LLC. *5 Stated in net.

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

31

Appendix

7. 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➢➢

Project Participation: Freeport LNG Project in Texas, U.S.A.
Ongoing feasibility study: Northern Vietnam LNG terminal project

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

32

Appendix

7. Business Overview ③ I/U Field - Electricity
1

JAPEX’s joining power plants are

8 sites

Total(Renewable energy 7 sites

Total output 1,389,800kW
Renewable energy 209,800kW)※ Total output represents gross plant output

2

3⚫ Power plants in development and operation (as of Jul., 2024)
No.

Name

Location

Type

Capacity
(kW)

Share

StatusA

Fukushima Natural Gas Power Plant

Shinchi Town,
Fukushima

Natural gas(LNG)

1,180,000

33%

In operation

1

Abashiri Biomass No.2&3 Power Plants

Abashiri City,
Hokkaido

Biomass(wood chip)

19,80033.8%

In operation

2

Mega solar power generation
at JAPEX Hokkaido District Office

Tomakomai City,
Hokkaido

PV

1,800

100%

In operation

3

Yufutsu Solar Power Plant

Tomakomai City,
HokkaidoPV13,00020%

In operation

4

Mitsuke PV Power Plant

Mitsuke City,
Niigata

PV

250

100%

In operation

5

Tahara Biomass Power Plant

Tahara City,
Aichi

Biomass(wood pellet)

50,000

39.9%

Under
construction

6

Ozu Biomass Power Plant

Ozu City,
Ehime

Biomass(wood pellet)

50,00035%

Underconstruction

7

Chofu Biomass Power Plant

Shimonoseki City,
Yamaguchi

Biomass(wood pellet)

74,950

39.9%

Under
construction

4

A⚫ 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)

5
7

Renewable power plant

6
Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

Gas power plant

Renewable power plant(under construction)

33

Appendix

7. Business Overview ④ CN Field
4
3

A

2
1
⚫ Ongoing initiatives to participate in / promote (as of Jul., 2024)
No.

Major Initiatives

Country✓ Study on technical issues of energy transportation infrastructure for the realization of CN society with JFE Engineering✓ 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

A

Japan

FY2023 by JOGMEC (Aug 2023)✓ Agreed on Joint Study with Nippon Gas Line on domestic marine transportation of liquefied CO 2 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 (Jan 2024)✓ Adoption of the Survey for establish an ammonia supply base in Soma area, Fukushima Prefecture, for the FY2024 “Subsidy for Measures to Promote
Introduction of Non-Fossil Energy (Hydrogen Supply Infrastructure Improvement Project)” (May 2024)

1

Indonesia

2

Malaysia

3

U.S.

4

Canada✓ Continue CO2 injection testing at the Sukowati oil field in Indonesia based on a joint study agreement with JOGMEC and the Pertamina Group (Jun 2023)✓ Signed a Memorandum of Understanding with SKK Migas for cooperation in realizing Hub & Cluster CCS/CCUS in Indonesia (Sep 2023)✓ Joint Study on CCS：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 FY2023 (Jun 2023),
Chugoku Electric Power and Nippon Gas Line newly participated in the same study (Feb 2024).
✓ 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)✓ Signed MOU to foster growth and collaboration in energy market throughout with Invest Alberta Corporation（Mar 2024）

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

34

Appendix

8. Integrated Report and IR-related Materials, etc.
Please visit our website for the integrated report and IR materials.
Integrated Report◆ Integrated Reporthttps://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

https://www.japex.co.jp/en/ir/library/result/◆ Explanatory Materials

https://www.japex.co.jp/en/ir/library/explanatory/◆ Securities Reporthttps://www.japex.co.jp/en/ir/library/report/

Performance information, etc.
◆ Financial highlights for 5 years* Past 10 years’ CVS data is also available◆ Shareholder Returns (Dividends)

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

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/35

Appendix

9. Glossary⚫ Abbreviations
BOE(D)

Barrels of Oil Equivalent (per Day)

CCS

Carbon dioxide Capture and Storage

CCUS

Carbon dioxide Capture, Utilization and Storage

CIF

Cost, Insurance and FreightCN

Carbon neutral

E&P

Exploration and Production

I/U

Infrastructure & Utility

JCC

Japan Crude Cocktail

WTIWest Texas Intermediate⚫ Main Subsidiaries and Affiliates
Japex Garraf

Japex Garraf Ltd.

Iraq / Garraf Project

EMPI

Energi Mega Pratama Inc.

Indonesia / Kangean Project

SODECO

Sakhalin Oil & Gas Development Co., Ltd.

Russia / Sakhalin-1 Project

J Norge

JAPEX Norge AS

Norway: Offshore Blocks

FGP

Fukushima Gas Power Co., Ltd.

Natural gas-fired electric power generation Business

GCLH

Gulf Coast LNG Holdings LLC

Freeport LNG Project in Texas, U.S.A.

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

36

Cautionary Statement

This document contains future outlooks such as plans, forecasts, strategies, and others which are nothistorical 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 (FY3/25, for instance, means 12 months ending March 31, 2025)
・Figures in parentheses in "Operating profit," "Ordinary profit," " Equity method profit," and " Profit attributable toowners 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.

37

Copyright © 2024 Japan Petroleum Exploration Co., Ltd. (JAPEX) All Rights Reserved.

38