Copyright© INPEX CORPORATION. All rights reserved.

February 9, 2022

Contents
Ⅰ Long-term Strategy
1. Basic management policy towards a net zero carbon
society by 2050

2. Vision for around 2030
3. Initiatives in the 5 net zero businesses
4. Initiatives in the crude oil and natural gas business5. Initiatives towards structural improvement

Ⅱ Medium-term Business Plan
1. Positioning of medium-term business plan
2. Management targets and business targets
3. Cash allocation

4. Shareholder returns
5. Financial strategy
6. Milestones by area
7. Structural improvement

Copyright© INPEX CORPORATION. All rights reserved.

1

Part Ⅰ

Long-term Strategy

I-1

Basic management policy towards a net zero carbon society by 2050

As a pioneer in energy transformation (EX), INPEX will provide a stablesupply of diverse and clean energy sources including oil and naturalgas, hydrogen and renewable power.
1

Oil & gas business

Expand each business at
an accelerated pace andbecome recognized as acredible key player

Maintain stable energy
supply on the basis ofthoroughly making thebusiness cleaner

2050
Challenge for net zero

Be a company rich invitality, creativity anddiversity, capable ofsustainable development

5 net zero businesses

1:①Hydrogen/ammonia, ②Reduce CO₂ emissions from oil & gas operations (CCUS) 2, ③Renewable energy, ④Carbon recycling/new business, ⑤Forest conservation
2:Carbon dioxide Capture, Utilization and Storage

Copyright© INPEX CORPORATION. All rights reserved.

3

I-2

Vision for around 2030

INPEX will transform net zero carbon from an ideal to reality.
Invest up to about 1 trillion JPY in the 5 net zero businesses and aim for thesebusinesses to generate about 10% of operating cash flow 1 by 2030

［ 9 years between 2022 and 2030 ］
Revenue

Expenditure
Debt reduction
Maintain a strong
financial position
Shareholder returns
Adequate shareholder returns

Operating CF
before exploration
Approx.

5-6T JPY

2

5 net zero businesses

2030
Achieve commercializationand establish a strong position(Maximize use of government
support and collaboration withindustry, academia andgovernment, etc.)

Reduce net carbon
intensity by
30% or more

Growthinvestment
Approx.

3.8-4.4T JPY 2
Promote investment forsustainable growth
Including 0.7-1T JPY
for 5 net zerobusinesses

Oil & gas business
Maintain and expand
stable supply

Build awell-balanced
portfolio

Strengthen and expand the businessas a revenue base while making it
cleaner through CCUS, etc.
1:Operating Cash flow before exploration (including Ichthys LNG Pty Ltd, the Ichthys Downstream Incorporated Joint Venture). Cash flow from renewable energy business is estimated based on equity operating cash flow.
2:Estimates based on the assumption of a Brent oil price of 60-70 USD per barrel

Copyright© INPEX CORPORATION. All rights reserved.

4

I-2

Vision for around 2030
AroundMedium-termbusiness plan period
HydrogenAmmonia

CCUS

RenewableenergyKashiwazaki
demonstration project

700t/year
Kashiwazaki demonstration
project, etc.

6Kt/year
Renewable power
generating capacity

500MW

2030
Approx.
150 times

Around 10% of
operating CF

Commercialization of
3 or more projects

Supply of approx.
10% of domestic
demand100Kt/year1CO₂ injection

Approx.
400 times

2.5MMtScale upper yearApprox.
2-4 times

2050

Renewable power
generating capacity

Monetization as
CCUS business

Future production ofgreen hydrogen2

1-2GW

Around 2035
Methanation

Domestic technology
development business

400N㎥/hForestconservation

REDD+ project3

1.5MMt
GHG intensity
reduction by

10% or more

Approx.
25 times

Production business scale

10K N㎥/h

Expansion

Carbon credit acquisition
Project
participation

2MMt

60K N㎥/h(360Kt/year)(60Kt/year)

Expansion

Expanded sustainable
forest conservation
business

Sustained
efforts

Expandedstable supply ofclean oil & gas

per year
GHG intensity reduction by
Making thebusiness cleaner

Oil & gas

30% or more(vs. 2019)
Investment ratio for gas business

Investment ratio
for gas businessApprox. 50%

Production business scale

Approx. 70%
Gas shift

Reinforced trading functions4
LNG handling volume

Approx. 10MMt

All figures based on INPEX equity portion

1:Ammonia volume shown in hydrogen equivalent 2:Hydrogen that is produced by splitting water using electricity generated from renewable energy
3:Concept defined at the 2010 United Nations Climate Change Conference that augments REDD (Reducing Emissions from Deforestation and forest Degradation) with the active prevention of forest degradation
through forest management and enhancement of carbon stocks through forestation. 4:Inclusive of midstream and downstream business, etc.

Copyright© INPEX CORPORATION. All rights reserved.

5

I-2

Vision for around 2030

Centralize business portfolio by setting core business areas•

Focus on Australia, Abu Dhabi, Southeast Asia, Japan and Europe as new core business areas,
and improve efficiency by centralizing business assets in these areas•

Expand core business area operations beyond the existing oil & gas business to also include
initiatives in the 5 net zero businesses and pursue synergies by leveraging businessfoundations such as existing business assets, networks and technologies

EuropeJapan

Oil & gas
Hydrogen/Ammonia
CCUS

Southeast AsiaWind

Abu Dhabi
Geothermal
Methanation
Forest conservation
Note:
Icons on the map indicate that the company currently owns assets or has concrete plans.

Copyright© INPEX CORPORATION. All rights reserved.

Australia6I-3

Initiatives in the 5 net zero businesses

HydrogenAmmonia

Develop a hydrogen business

Commercialize 3 or more projects by around 2030 andaim to produce and supply 100 thousand tons or more ofhydrogen/ammonia per year

Integrated demonstration of hydrogen & ammonia
production and usage in Kashiwazaki City, Niigata
Prefecture, JapanTo be a Pioneer of EX

Clean ammonia production in Abu Dhabi• Aim to construct a clean ammonia plant with a large-scale
production capacity in cooperation with ADNOC3 and others andcommence supply from the second half of the 2020s, based on the
results of the joint study (ADNOC/JERA/ JOGMEC) currently being
implemented• Aim to construct a blue hydrogen & ammonia production
plant and start operations by 2024

Commercialization of blue hydrogen 1 project inNiigata Prefecture, Japan• Based on the results of the above initiative, aim toconstruct a blue hydrogen production plant utilizing INPEX
natural gas fields and existing infrastructure and producehydrogen on a commercial scale by around 2030 (100thousand-ton scale2)

Clean hydrogen projects overseas (Australia, Abu Dhabi,Indonesia, etc.)• Promote business expansion through feasibility studies andcollaboration, aiming at large-scale project development overseas.
Now pursuing opportunities in the hydrogen production, liquefaction,
offloading and shipping business

1: Hydrogen that is produced by reforming natural resources such as natural gas, where CO₂ generated at the same time is captured and stored by CCUS 2:Project-based 3:Abu Dhabi National Oil Company
Power Generation

Hydrogen Production

Production

Pipeline

H₂

GAS
Minami-Nagaoka Gas Field

HE
AT

H₂
CO₂
GAS

Ammonia production

DAC*

Enhanced Gas Recovery

CO₂

CO₂

CO₂

OIL

Sales
Advanced
technologies

Core
Advanced

Copyright© INPEX CORPORATION. All rights reserved.

INPEX-operated
depleting gas field

H₂
Market development

7

I-3

Reduce CO₂ emissions fromoil & gas operations（CCUS）

Initiatives in the 5 net zero businesses

Aim to become a leading company in the CCUS business by
CCUS targeting an annual CO₂ injection volume of 2.5 million tons ormore in around 2030 and promoting technical development andcommercialization

To be a Pioneer of EX

CO₂EOR1 demonstration at Minami-aga(Niigata Prefecture, Japan)

Promotion of CCS3/CCUS business development inJapan and overseas• Commence CO₂ injection tests by 2023 and establish CO₂EOR
efficiency improvement technology2 currently under development,
aiming to expand CCUS technology in Japan and deploy
CO₂EOR technology at oil fields overseas• Conduct surveys of suitable CCS/CCUS locations andtechnical development in Japan and overseas. Make full useof knowledge, experience and assets in the oil and natural
gas sector with the aim of commercializing the CCS/CCUS
business

CO₂EOR scale up in Abu Dhabi

CCS implementation at Ichthys LNG Project (Australia)• Pursue technical evaluations to increase CCUS capacityof ADNOC Onshore CO₂EOR activities from the current
0.8 million tons per year with ADNOC• Introduce CCS to Ichthys in the late-2020s and begin
injecting 2 million tons or more 4 of CO₂ per year as a firststep• Play a leading role towards the realization of a CCS hub
project in Darwin, Australia

Darwin Office

Australia
Perth Office

1:Enhanced Oil Recovery 2:CO₂ foam EOR Technology, 3:Carbon Capture and Storage
4:Project basis (INPEX equity equivalent: 1.3 million tons per year)

Copyright© INPEX CORPORATION. All rights reserved.

8

I-3

Enhance and emphasize
renewable energy initiatives

Initiatives in the 5 net zero businesses

Aim to secure 1-2 gigawatts of installed capacity, mainly in the
Renewable offshore wind and geothermal power generation businessenergyBecome a key player by accelerating business expansion using
assets acquired through M&A and other means as a platform
Wind power

To be a Pioneer of EX

Geothermal

Be a key player in the floating offshore wind powerbusiness

Aim for further expansion, mainly in Japan andIndonesia• Agreed to acquire shares of the Luchterduinen and
Borssele III/IV offshore wind power generation projects in
the Netherlands in December 2021

• Promote geothermal development in Indonesia and consider
further development of the Muara Laboh Geothermal Power
Project, which the company joined in December 2021

• Join leading wind power generation businesses in Europe
and other prospective areas and secure assets such as
human resources to position Europe as a platform of thecompany’s renewable energy business• Continue development of the Oyasu Geothermal Power
Project (Akita Pref.) towards start-up in 2026

• Consortium including INPEX selected as operator offloating offshore wind power project off Goto City, Nagasaki
Prefecture, Japan in June 2021
• Aim to become a key player in the floating offshore wind
power generation sector• Pursue new projects in Japan and Indonesia in addition tocontinuing geothermal surveys at Amemasudake (Hokkaido)

Technical development• Pursue studies towards the practical application of various
geothermal businesses such as next-generation geothermal
development technologies, etc.

Luchterduinen offshore wind farm
Muara Laboh Geothermal Power Project

Copyright© INPEX CORPORATION. All rights reserved.

9

I-3

Initiatives in the 5 net zero businesses

CarbonrecyclingNewbusiness

Promote carbon recycling andcultivate new business opportunities

Promote the adoption of methanation in society and aim to supply
about 60 thousand tons1 of synthetic methane per year through
INPEX’s natural gas trunk pipeline network by 2030 while pursuingfurther development

Methanation2

Artificial photosynthesis4• Construct a larger scale plant of 400• Now participating in the “Japan

N㎥/h in Nagaoka City, Niigata

Technological Research Association

Prefecture, based on practical usageof Artificial Photosynthetic Chemicalof results from a past demonstration

Process (ARPChem)” of NEDO5 andproject3, and commence production

in charge of technical developmentof synthetic methane in 2025 to be

for production of solar hydrogen

supplied to customers throughthrough catalytic reaction

INPEX gas pipelines• Steadily implement R&D with aims toultimately achieve 10% solar energy• In pursuit of further development,
construct a 10 thousand N㎥/h scaledemonstration facility in Australia
and aim to ship synthetic methane to

To be a Pioneer of EX

Demonstration
facility at the
Koshijihara Plant

conversion efficiency and plan toevaluate practical application• Installed artificial photosynthesis

Japan for supply to customers via

panels in Darwin, Australia, thegas pipelines in around 2030

location of the Ichthys onshore plant

Artificial
photosynthesis panel
installed in Darwin,
Australia

Methane pyrolysis

Drones• Conduct R&D studies for future commercialization• Implement drone technology for the maintenance of
INPEX facilities

Also developing new business opportunities in the clean energy sector through an entrepreneurshipprogram and collaboration with start-ups, universities, etc.
1:Equivalent to approx. 200 thousand households 2:Production of hydrogen through electrolysis and conversion to CH₄ using high concentrations of CO₂ and CO₂ generated during natural gas production
3:Built and operated an 8N㎥/h scale technology demonstration plant 4: A technology to split hydrogen from oxygen in water using a photocatalyst installed on the surface of an artificial photosynthetic
panel; the hydrogen is then used for fuel and raw materials, etc. 5:New Energy and Industrial Technology Development Organization

Copyright© INPEX CORPORATION. All rights reserved.

10

I-3

Promote forest
conservation

Initiatives in the 5 net zero businesses

ForestconservationStrengthen and expand projects aimed at CO₂ absorption
through forest conservation, from supportive measures
to project participation

To be a Pioneer of EX

Target business participation in forest conservation
projects

Strengthen efforts to achieve net zero and Scope 3
reductions• Aim to participate in projects in addition to acquiring credits• Stably secure about 2 million tons of forestation credits per
year from leading forest conservation projects

from forest conservation projects mainly based on theleading REDD+ concept by utilizing INPEX’s track recordin carbon credit acquisition through supporting the Rimba
Raya REDD+ Project and afforestation and savanna fire
management at Ichthys• Complement initiatives towards net zero targets such as
making the oil and natural gas business cleaner,
implementing a natural gas shift and promoting CCUS,
hydrogen and ammonia, renewable energy, carbon
recycling, etc.
• Reduce Scope 3 through marketing carbon-neutral LNG
and gas to customers

Forests of Rimba Raya REDD+ project area

Copyright© INPEX CORPORATION. All rights reserved.

Orangutan conservation efforts(Currently building protection camp)11

Initiatives in the crude oil and natural gas business1. Basic management policy

I- 4
Oil
and
gas

Aim to achieve a stable supply of clean energy by focusing on core business areas,
implementing a shift to natural gas and promoting resilience and making thebusiness cleaner in an integrated manner
Selection and concentration ofcore business areas• Improve business efficiency by concentrating resources suchas capital and human resources in core business areas• Consider all options including the sale of non-core assets tobuild a well-balanced portfolio

Implementation of a shift to natural gas

Making the business more resilient and cleaner• Raise the gas investment ratio from the current level ofaround 50% to around 70% to increase the gas ratio of theportfolio. Through these efforts, contribute to raising Japan's
independent development ratio• Strengthen the business framework to generate profit even at
low oil prices through cost reduction and portfolio management• Expand the scale of the natural gas development businessmainly in Asia and Oceania to meet demand and consider
feedstock supply for hydrogen and ammonia projects andbusiness transformation opportunities• In the oil business development, carefully select projects
with an emphasis on early production, early cost recovery
and GHG emissions intensity
Copyright© INPEX CORPORATION. All rights reserved.

• Aim to achieve zero routine flaring by 2030 and thoroughly makeprojects cleaner by introducing CCUS, utilizing forest credits,
introducing electricity based on renewables and saving energy• Promote the digitalization of operations to achieve higher
productivity and power saving and help make businesses
cleaner and more resilient

12

I- 4

Initiatives in the crude oil and natural gas business
2. Major projects in core business areas
Oil & gas
Australia (Ichthys etc.)

Abu Dhabi (Zakum oil fields, onshore oil fields etc.)• At Ichthys, a core project, aim to further increase the current• Promote the expansion of production capacity and early

LNG production capacity by 2024 to build a frameworkcommercialization based on Abu Dhabi’s overall production

capable of stably producing 9.3 million tons per year

capacity expansion plan (5 million BD1 by 2030)• Accelerate participation in exploration activities in the• Make existing businesses low carbon based on the UAE’s

vicinity of the Ichthys Field as well as development of2050 net zero plan and ADNOC’s target to decrease GHG

discovered but undeveloped assets to further ensure aemissions intensity by 25% by 2030

sustained production volume in the long term, and then aim
to further increase production volume with a view to expand

the Ichthys onshore production plant in around 2030

• At Onshore Block 4, pursue appraisal work on the multiple

oil and gas columns discovered through drilling the first
appraisal well and aim to commence production at an earlystage while continuing exploration activities

Ichthys onshore production plant

Offshore production facilities(Lower Zakum)

1:Barrels per Day

Copyright© INPEX CORPORATION. All rights reserved.

13

I- 4

Initiatives in the crude oil and natural gas business
2. Major projects in core business areas
Oil & gasSoutheast Asia (Abadi, etc.)• As for the Abadi LNG Project in Indonesia, conduct a comprehensive study of measures such as the introduction of CCUS to makethe project cleaner and further reduce costs, and promote the project as competitive and clean with the aim of commencing
production in the early 2030s• Pursue business opportunities in Vietnam, Malaysia and other countries in Southeast Asia to acquire more natural gas resources

Japan

Europe• Conduct natural gas exploration activities at offshore Shimane• Secure stable revenue using the newly acquired Norwegianand Yamaguchi prefectures and Minami-Sekihara in 2022 andassets as a platform and expand the business by promoting

aim for the early development of natural gas resources based

the development of discovered but undeveloped oil and gas

on the results of these activities

fields and pursuing exploration opportunities in the vicinity• Strengthen the resilience of the domestic natural gas trunk• Deepen knowledge of clean energy technologies from thepipeline network by extending the New Tokyo Line, etc.

supply of clean electricity to offshore production facilities• Consider expanding facilities at the Naoetsu LNG Terminal inthrough floating offshore wind power generation, etc.1

line with the promotion of gas marketing and hydrogen /ammonia projects©Equinor
Naoetsu LNG Terminal

Rendering of Hywind Tampen as viewed
from the platform, upon completion

1:Hywind Tampen Offshore Wind Power Generation (2022)

Copyright© INPEX CORPORATION. All rights reserved.

14

I-5

Initiatives towards structural improvement

Structural
improvementResolutely promote initiatives in the 5 net zero businesses and the oil and natural gas
business and pursue synergies between these two areas by establishing a foundation intechnology, marketing, HSE1 and human resources, etc.
• Deepen existing E&P expertise and apply this toTechnology• Diversify energy supply by investing in LNG

clean energy technologies and acquire andbunkering, LNG receiving terminals, LNG small-lot

develop advanced technologies by

distribution, power generation, etc., mainly in Asia

strengthening R&D

and the Middle East

• Establish a technical foundation for energy

Marketing• Expand the LNG trading business and strengthentransition by strengthening upstream businesses

midstream and downstream businesses toand promoting clean energy

increase the volume of LNG handled by about 3
million tons. Aim to handle about 10 million tons by• Utilize digital technology to create and provide

2030 combining currently held project interests andnew added value to stakeholders as well as

new project interests the company acquire in theenhance production and supply chains, thenfutureestablish a foundation as a digital energy• In addition to expanding domestic gas marketingcompany(marketing volume target: 2.7 billion Nm 3),
contribute to making energy cleaner by promoting
fuel conversion and achieving carbon neutrality for
5%2 of the total volume of marketed gas• Achieve zero major accidents 3• Introduce fairer human resources systems andmake INPEX and the entire INPEX Group a• Thoroughly enforce the “Life Saving Rules” andHSE

strengthen process safety management toensure the safety of high-risk operations

Human
resources

most rewarding company to work for

1:Health, Safety and Environment 2:In line with the Japanese government target (the Sixth Strategic Energy Plan) of 5% carbon neutrality for city gas
3:Fatalities, major leaks and serious injuries, etc. at INPEX-operated projects

Copyright© INPEX CORPORATION. All rights reserved.

15

Part Ⅱ

Medium-term Business Plan
2022-2024

II-1

Positioning of medium-term business plan
Accelerate efforts to realize “Vision for around 2030”

5 net zero businesses

Oil and gas business▶ Steadfastly implement
demonstration and research
activities▶ Safely and stably operatebusinesses▶ Prepare for full-scale
investment▶ Contribute to the stable supplyof energy and secure revenue
and cash flow

Resilient management
framework▶ Build financial strength to prepare for
future investments and risks andimprove stakeholder returns▶ Strengthen R&D and reinforce
organizational structure, etc.

Copyright© INPEX CORPORATION. All rights reserved.

17

II-2

Management targets

Generate stable revenue and cash flow through stable operations of Ichthys as well as otherprojects in Japan and around the world
Secure financial soundness by pursuing debt reduction, expand the 5 net zero businesses ofthe future and prepare funds for the crude oil and natural gas business
Targets for FY 20241
Index

USD 60 basis2

USD 70 basis2

Net income
attributable to owners of parent

170 billion JPY

240 billion JPY

Operating CF before
exploration3

600 billion JPY

700 billion JPY

ROE4Around 6.0%

Around 8.0％

Net debt/equity ratio3

50% or lessSensitivities of crude oil price and foreign exchange fluctuation on net income attributable to owners of parent are disclose d at the time of the annual financial forecast announcements.
1:Exchange rate assumption: 110 JPY/USD
2:Oil price per barrel (Brent)
3:Includes Ichthys downstream Incorporated Joint Venture and differs from financial accounting basis
4:We will continue to strengthen our business as well as improve management efficiency including share buybacks, etc.

Copyright© INPEX CORPORATION. All rights reserved.

18

II-2

Business targets

Continue fulfilling our responsibility for the development and stable supply of energy bymaking our core oil and natural gas business more resilient and cleaner and respond to
the energy needs of Japan and the world as a first step towards net zero carbon

Index

Targets for FY 2024

Net production volume

Level exceeding 700 thousand BOED1

Production cost per barrel

Reduction towards 5 USD per barrel or below

Net carbon intensity2

Reduction of 10% (4.1kg/boe) or more
over a 3-year period towards 2030 target3

SafetyZero major accidents

1:Barrels of Oil Equivalent per Day
2:Net carbon intensity = (equity share emissions volume (Scope 1＋2) - offset) / net production volume
3:Reduction of 2019 net carbon intensity (41.1kg/boe) by over 30%

Net production volume outlook
Achieve stable production
mainly in core business areas
and target a production levelexceeding 700 thousand BOED

(Unit: Thousands of BOED)

600

0

2021
Copyright© INPEX CORPORATION. All rights reserved.

2022

2023

2024

19

II-3

Cash allocation
Allocate operating cash flow before exploration in the following order:
1. Debt reduction 2. Shareholder returns 3. Growth Investment
Invest about 20% of 3. Growth investment in 5 net zero businesses

Expected cash allocation for 2022-2024 (3-year period)(Assumptions: Inclusive of Ichthys downstream IJV, 110 JPY/USD exchange rate)◦

Pursue debt reduction of about 500B JPY and achieve a net interest bearing debt level 1 of about 1.5T JPY→Aim for a net D/E ratio of 50% or less 1 and establish a robust
financial base◦

Aim for annual returns of 60B JPY or more based on 170B JPY
net profit level, in line with returns policy (see next slide)◦

Of which about 900B JPY allocated to oil and gas business
Secure level required to sustain stable supply as a key business◦

Of which about 200B JPY allocated to 5 net zero businesses
To accelerate business, raise investment in 5 net zero businesses
to about 20% of total

About 200B JPY◦

Operating cash flow to further increase by about 300B JPY at a 70
USD/barrel oil price

About 2.1T JPY

300B JPY◦

To be used strategically and comprehensively considering businessstrategy progress, shareholder returns and financial base, etc.

Revenue

Expenditure

1. Debt reduction
About 500B JPY

60 USD/barrel

2. SH returns
About 200B JPY
Operatingcash flow
beforeexploration
About

3. Growth
Investment
About 1.1T JPY

1.8T JPY+10 USD/barrel

5 net zero businesses+300B JPY

Copyright© INPEX CORPORATION. All rights reserved.

1:Includes Ichthys downstream Incorporated Joint Venture and differs from financial accounting basis

20

II-4

Shareholder returns
Strengthen shareholder returns in accordance with growth in financial performance,with stable dividends as a basis•

Aim for a total payout ratio of around 40% or greater•

Implement share buybacks based on business environment, financial base andmanagement conditions, etc.

•

Set minimum annual dividend per share of 30 JPY even in case of short-term deteriorationof business environment, etc.

Returns level

Share buybacks
Aim total
payout ratioof over 40%
30-JPY
minimum
dividend

Dividends

Net profit level

Copyright© INPEX CORPORATION. All rights reserved.

21

II-5

Financial strategy

Build a resilient financial base that can withstand
low oil price environments• Maintain a structure that supports stable business operations
and can readily respond to future growth investments
Constantly monitor trends on borrowing balance, investment andreturns and manage financial balance appropriately
1. Financial discipline
Maintain current credit ratings

2. Financing policy(Current ratings: S&P : A- / Moody’s : A2 / R&I : AA/
JCR: AA+)

Visualize 2030 targets, adhere to financial guidelines andmaintain long-term, stable procurement, and promotefurther diversification of procurement methods

Flexibly control leverage based on market environment (oilprice, exchange rate) and trends on investment and returns

Closely monitor stance on oil and natural gas financing ofmajor domestic and foreign financial institutions

Net D/E ratio: 65% (current level: upper limit)
up to 50% (End of December 2024: target)

Raise the ratio of direct procurement to a reasonablelevel according to market trends

Secure over 400 billion JPY in liquidity on hand (cashequivalent + commitment line)

Accelerate sustainable finance initiatives

Copyright© INPEX CORPORATION. All rights reserved.

22

II-6

Milestones by area
1. Australia

Ensuring stable supply andmaking the business more resilient

Making the business cleaner

Ichthys

Ichthys CCS▶ Further increase current production capacity by 2024, and▶ Implement appraisal well drilling and evaluation work towards

build a framework to stably supply 9.3 million tons of LNG
per year▶ Accelerate involvement and development at nearby

exploration and discovered assets and further ensure longterm production volume maintenance and then aim tofurther expand production volume also visualizing the
expansion of Ichthys in around 2030

conducting Ichthys CCS operations▶ Play a leading role towards the realization of a CCS hub

project in Darwin, Australia

Reduce flaring, improve operational efficiency▶ Introduce measures to minimize flaring during production

and fuel gas consumption and promote low-carbon
operations

New business/renewable energy business▶ Proactively participate in Australian renewable energy

businesses▶ Expand forest conservation business targeting 2024
▶ Promote clean hydrogen projects

Central Processing Facility (offshore Australia)

Copyright© INPEX CORPORATION. All rights reserved.

23

II-6

Milestones by area
2. Abu Dhabi
Ensuring stable supply andmaking the business more resilient

Existing production assets▶ Increase production capacity across all producing assets

Making the business cleaner
Make existing production assets cleaner▶ Make operations cleaner in cooperation with ADNOC byincluding Abu Dhabi Onshore Concession (to 2MM BD),

supplying offshore facilities with clean power from onshore,

UZ1 (to 1MM BD), LZ 2 (to 450K BD) and SU 3 (to 45K BD)

etc.

▶ Aim to further reduce production cost by optimizing personnel▶ Pursue technical evaluations to increase CCUS capacity ofallocation and introducing new technologies (AI, DX, etc.)

ADNOC Onshore CO₂EOR activities from the current 0.8

Existing exploration and development assets▶ At Onshore Block 4, pursue appraisal work on the multiple oiland gas columns discovered through drilling the firstmillion tons per year with ADNOC

Clean ammonia and hydrogen business▶ Aim to commence production by the second half of the 2020s,

appraisal well and aim to commence production at an early

implement joint study in cooperation with ADNOC/JERA/

stage while continuing exploration activities

JOGMEC and secure market and low-carbon certification, etc.
▶ Pursue clean hydrogen business opportunities
Ammonia
production

Natural gas
production
ガス生産

Gas pipeline
Natural gas

Oil & Gas field

Gas

CO2

Oil

CO2EOR
1:Upper Zakum. 2:Lower Zakum 3:Satah, Umm Al Dalkh

Copyright© INPEX CORPORATION. All rights reserved.

24

II-6

Milestones by area
3. Southeast Asia

Ensuring stable supply andmaking the business more resilient
Abadi▶ Continue negotiations with the Indonesian government andconcerned parties for the plan of development re-revision1
incorporating changes centered on making the project more
economically resilient and cleaner, and aim to obtainapproval in 2023
▶ Aim to reach FID2 in the second half of the 2020s andcommence production in the early 2030s

Gas exploration and asset acquisition▶ Carry out exploration and M&A activities in Vietnam,

Malaysia, etc. to acquire additional natural gas resources in
Asia

Making the business cleaner
Tangguh CCUS
▶ Plan to reach FID in 2024 and commence injection in 2026
▶ Injection volume: 25 million tons (cumulative) by the expirationof the PSC3 (2035)

Create clean energy business opportunities in Asiawith a focus on Indonesia▶ Collaborate with governments and concerned parties on theselection of prospective CCS locations including thediversion of depleted assets and development of legal
frameworks▶ Invest in fuel switching and new fuel businesses to promoteenergy transition in Asian countries (natural gas, hydrogenand ammonia, biofuels, etc.)

Establish an Asian gas value chain▶ Promote demand creation centered on trading andTangguhLNG Project

midstream and downstream investment
Indonesia

Abadi
LNG Project

Ichthys
LNG Project

Australia

1:Install CCUS infrastructure at downstream facilities, etc. 2:Final Investment Decision 3:Production Sharing Contract

Copyright© INPEX CORPORATION. All rights reserved.

25

II-6

Milestones by area
4. JapanEnsuring stable supply andmaking the business more resilient

Making the business cleaner

Conduct gas exploration to supplement reserves

Respond to the clean-up of operation sites▶ Exploratory drilling offshore Shimane and Yamaguchi▶ Save energy consumption, introduce carbon neutral power,

prefectures and Minami-Sekihara in 2022

Improve resistance to low oil prices throughenhanced operational efficiency▶ Reduce cost and improve technical capabilities by

centralizing plants and conducting in-house maintenance,
improve plant reliability through suitable management

Strengthen supply resilience▶ Improve resilience of supply in Japan in terms of domestic

natural gas trunk pipeline network by completing New
Tokyo Line extension by 2024

implement zero flare measures, etc.

Conduct methanation site demonstrations▶ Commence methanation production at Minami-Nagaoka in

2025, supply synthetic methane using INPEX’s natural gas
trunk pipeline network

Promote hydrogen and CCUS site demonstrations andcommercialization▶ Commence CO₂ injection tests by 2023 and establish

CO₂EOR efficiency improvement technology currently underdevelopment, aiming to expand CCUS technology in Japanand deploy CO₂EOR technology at oil fields overseas▶ Aim to construct a blue hydrogen & ammonia production

plant and start operations by 2024
▶ Aim to commercialize blue hydrogen in Niigata Prefectureby around 2030

Copyright© INPEX CORPORATION. All rights reserved.

26

II-6

Milestones by area
5. Europe

Ensuring stable supply andmaking the business more resilient

Making the business cleaner

Secure a stable source of revenue positioning the
newly acquired asset in Norway as a platform, as
well as promote the development of discovered but
undeveloped oil and gas fields in the vicinity andpursue exploration opportunities

Deepen knowledge on clean energy technology
through the supply of clean power to offshore
production facilities from floating offshore wind
power generation, etc., from a hub in Europe, which
is known for leading low-carbon initiatives▶ Promote additional development in the vicinity of

production assets in the northern North Sea▶ Carry out additional exploration including in the vicinity ofexisting assets▶ Commence power generation at Hywind Tampen in 2022
▶ Evaluate the introduction of hydropower from shore in the

Wisting Oil Field development plan (FID scheduled at the endof 2022)▶ Carry out gas exploration, expand gas assets▶ Pursue opportunities to enter renewable, hydrogen and CCUS

businesses in Europe, leveraging the London and Oslo offices©Equinor
Offshore production facilities (Snorre Project)

Copyright© INPEX CORPORATION. All rights reserved.

27

Milestones by area
6. Others

II-6

Ensuring stable supply andmaking the business more resilient

Making the business cleaner

Kashagan

Kashagan▶ Evaluate and implement additional development with▶ Evaluate and implement GHG reduction based on GHG &Energy Management Strategy1strong investment efficiency, increase production capacity
to 450 thousand BD▶ Improve operational efficiency of facilities, increase

production through additional development, and maintainand reduce unit costs through OPEX reduction, etc.

ACG
▶ Evaluate and implement GHG reduction based on ACG

Life of Field Strategy2

ACG

Eagle Ford

▶ Commence production of additional development project▶ Accelerate efforts as operator to make the business▶ Maintain and reduce operational costs by optimizing

cleaner through continued flare reduction measures, etc.

personnel allocation, contracts, etc.
▶ Accelerate crude oil production (early value creation), use

surplus capacity effectively (draw in crude oil produced fromother projects, etc.)

Iraq Block 10 (Eridu Oil Field)▶ Submit and receive approval for development plan
▶ Promote measures aimed at early-stage production

Kashagan Oil Field
1:GHG emissions reduction target 2:Plan to set a GHG emissions reduction target as part of business strategy

Copyright© INPEX CORPORATION. All rights reserved.

28

II-7

Structural improvement
1. Technology
Systematize and enhance CO₂
capture and storage
technology

Carbonrecycling

CCS
CCUS

E&P
core
technology

Reduce cost of hydrogenproduction technology
Combine hydrogen production
and CCUS technology

HydrogenAmmonia

Renewableenergies

Develop technology through R&D
Accelerate development of digital infrastructure and use of digital technologies
Expand R&D personnel and funding
アイレックスINPEX Research Hub for Energy Transformation (I-RHEX)”
Develop and enhance clean energy technology
Implement the following R&D with the establishment of I-RHEX at INPEX’s Technical Research Center
1. Transfer/apply existing E&P technology to clean energy technology
2. Acquire and develop advanced technology (CO₂ capture and storage technology, low-cost hydrogenproduction technology, etc.)

Implement a more resilient and cleaner business through the initiatives above
Build a solid technical foundation through basic, applied and demonstrative research towards thedevelopment of business areas supporting energy transformation, including hydrogen and CCUS aswell as renewable energy, carbon recycling, etc.
Copyright© INPEX CORPORATION. All rights reserved.

29

II-7

Structural improvement
2. Marketing strategy

Reinforcemarketingcapabilities
responding tocustomer needs

Make energy
cleaner

Diversifyenergy supply

Copyright© INPEX CORPORATION. All rights reserved.

▶

Reinforce relations and joint initiatives with existing customers, acquirebusiness opportunities, cultivate new customers/areas of business▶

Reinforce trading, transportation capabilities▶

Promote fuel switching by expanding natural gas business▶

Further expand carbon neutral products and marketing, expand carbon credit
portfolio▶

Prepare for future transportation, marketing and sales of ammonia and hydrogen▶

Pursue new business models such as onsite methanation and hydrogen supply▶

Consider developing new business on microgrids aimed at localized energy
production and consumption and reinforcing resilience, and strengthening
wholesale electricity business▶

Establish a gas value chain in Asia through investment in midstream todownstream businesses such as LNG bunkering, receiving terminals, small lot
distribution and power generation

30

II-7

Structural improvement
3. HSE

Further enhance HSE management through the following initiatives
1. Demonstrate HSE leadership throughmanagement involvement
2. Contribute to low-carbon operations (the 5 net
zero businesses) through HSE management
3. HSE risks are managed to ALARP1
4. Improve measures to prevent incidents

5. Prevent process leaks
6. Prepare against new threats2
7. Address global environmental issues andcreate environmental value
8. Build countermeasures against infectious
diseases

1: As low as reasonably practicable
2: Geopolitical risks, cyberterrorism, large-scale natural disasters, etc.

Leadership

Process safety

Risk management

Environment

Management site visit

Ichthys onshore gasliquefaction plant

Rescue and firefighting drill at
Naoetsu LNG Terminal

Environment management

Copyright© INPEX CORPORATION. All rights reserved.

31

II-7

Structural improvement
4. Human resources and organizational structure

Human resources

Implement the following initiatives to create amost rewarding company to work for1. Establish a system operation to foster a sense ofsatisfaction and conviction and a corporate culture that
promotes this▶ Realize mutually agreeable performance evaluations througha job-centric HR system, etc. and the deploy of the rightpeople in the right places▶ Establish a free and open corporate culture globally acrossthe INPEX Group where employees can experience diversity& inclusion

2. Enhance employee development support▶ Foster creativity and autonomy through leadership training
programs, etc., and enhance career development and selfimprovement opportunities for motivated employees working
for the INPEX Group

Organizational structure

Flexibly update the company’sorganizational structure according to
the business environment andmanagement strategy
1. Build a framework to execute business operations more
efficiently and flexibly by restructuring the Hydrogen &CCUS Development Unit into the Hydrogen & CCUS
Development Division and reinforcing organizational
structure and personnel
2. Restructure the Eurasia, Middle East & Africa Projects
Division as the Europe & Middle East Projects Division toreflect the positioning of Europe as a core business area

3. Create a workplace responsive to diversifying work styles
and needs of well-being▶ Create a workplace that nurtures a sense of joy and pride inworking for the INPEX Group and enables employees to workwith peace of mind through policies adapted to individual
circumstances such as work-from-home and flextime, etc.

Copyright© INPEX CORPORATION. All rights reserved.

32

Disclaimer and cautionary statement

Disclaimer
INPEX Vision@2022 is not an offer or a solicitation of an offer to buy or sell securities. Investors arerequested to make investment decisions using their own judgment. While the company has made every
effort to ensure the accuracy of the information provided herein, the company assumes no responsibility
for any damages or liabilities including, but not limited to, those due to inaccurate information.

Cautionary statement
INPEX Vision@2022 includes forward-looking information that reflects the company’s plans andexpectations. Such forward-looking information is based on the current assumptions and judgements ofthe company in light of the information currently available to it, and involves known and unknown risks,
uncertainties and other factors. Such risks, uncertainties and other factors may cause the company’s
performance, achievements or financial position to be materially different from any results, performance,
achievements or financial position expressed or implied by such forward-looking information.
The company undertakes no obligation to publicly update or revise the disclosure of information in INPEX
Vision@2022, including forward-looking information.

Copyright© INPEX CORPORATION. All rights reserved.

33

THIS PAGE INTENTIONALLY LEFT BLANK

Copyright© INPEX CORPORATION. All rights reserved.

34

Copyright© INPEX CORPORATION. All rights reserved.

INPEX will contribute to solving the sustainability issues addressed in the SDGs by stably supplying energy in a cleaner way.