Consolidated Financial Results for the Three Months ended March 31, 2023 [Japanese GAAP]May 10, 2023
Note: The following report is an English translation of the Japanese-language original.
Company name
Code number: INPEX CORPORATION: 1605

Stock Exchange on which the Company is listed
URL https://www.inpex.co.jp

Representative
Contact person: Takayuki Ueda, President: Yoshihiro Wakita, General Manager, Corporate Communications Unit

TEL +81-3-5572-0233
Scheduled date of filing Quarterly Financial Report: May 11, 2023

Scheduled date of payment of cash dividends
Preparation of supplementary explanatory materials

:–
: Yes

Meeting of quarterly financial results presentation: None: Tokyo Stock Exchange(Amounts less than one million yen are rounded off)
1. Consolidated Financial Results for the Three Months ended March 31, 2023 (January 1, 2023 - March 31, 2023)(1) Consolidated operating results(Figures in % represent the changes from the corresponding period of the previous fiscal year)

Net sales
For the three months ended
March 31, 2023

Operating income

Net income attributableto owners of parent

Ordinary income

Millions of Yen%

Millions of Yen%

Millions of Yen%

Millions of Yen%

578,476

19.2

306,300

34.1

367,995

32.4

151,475

61.2

485,391–

228,408–

277,996–

93,968–March 31, 2022

(Note): Consolidated comprehensive income: for the three months ended March 31, 2023, ¥170,405 million; [(37.1)%]
for the three months ended March 31, 2022, ¥271,123 million; [–%]Net income pershare-basic

Net income pershare-diluted

For the three months ended
March 31, 2023

Yen

Yen

115.98–March 31, 2022

67.77

–

(Notes): 1. In the third quarter ended September 30, 2022, the Company finalized the tentative accounting treatment of the business combinations. As a result, thefigures for the three months ended March 31, 2022 reflect the finalization of the tentative accounting treatment.
2. The figures for the three months ended March 31, 2022 were adjusted retrospectively according to the changes in accounting policies, and the figures
after retrospective application are presented. The changes from the corresponding period of the previous fiscal year are not shown.

(2) Consolidated financial position
Total assets
As of March 31, 2023
As of December 31, 2022

Net assets

Net assets excluding non-controllinginterests as a percentage of total assets

Millions of Yen

Millions of Yen%

6,312,568
6,259,853

4,161,753
4,022,370

61.8
60.1

(Reference): Net assets excluding non-controlling interests: as of March 31, 2023, ¥3,900,146 million
as of December 31, 2022, ¥3,760,852 million(Note): The figures as of December 31, 2022 were adjusted retrospectively according to the changes in accounting policies, and the figures after retrospective
application are presented.

2. Dividends
Cash dividends per share
At 1st quarter end At 2nd quarter end At 3rd quarter end
For the year ended
December 31, 2022
For the year ending
December 31, 2023
For the year ending
December 31, 2023
(forecast)At fiscal year end

Total

Yen

Yen

Yen

Yen

Yen

–

30.00

–

32.00

62.00

32.00

–

32.00

64.00

–

(Notes): 1. Changes in projected dividends for the year ending December 31, 2023 from the previous forecast: None
2. “Dividends” as stated above refer to common stock. For information regarding Class A stock (not listed), please refer to Exhibit “Dividends of Class A
stock.”

3. Forecasts for Consolidated Financial Results for the year ending December 31, 2023 (January 1, 2023 - December 31, 2023)(Figures in % represent the changes from the corresponding period of the previous fiscal year)

Net sales
Millions of Yen

Operating income% Millions of Yen% Millions of Yen

For the six months ending
June 30, 2023

1,071,000 (2.5)

551,000 (5.7)

For the year ending
December 31, 2023

1,994,000 (14.2)

984,000 (21.1)

Net income
attributable toowners of parent

Ordinary income

630,000% Millions of Yen

0.6

1,077,000 (25.3)

Net income
per share
%

Yen

18.4

166.92300,000 (34.9)

229.71

218,000(Notes): 1. Changes in forecasts for consolidated financial results for the year ending December 31, 2023 from the previous forecast: Yes
2. In the third quarter ended September 30, 2022, the Company finalized the tentative accounting treatment of the business combinations. As a result, thechanges from the corresponding period of the previous fiscal year presented are for the comparison with the figures for the corresponding period of theprevious fiscal year that reflect the finalization of the tentative accounting treatment.
3. The changes from the previous fiscal year and the changes from the corresponding period of the previous fiscal year were adjusted retrospectively according
to the changes in accounting policies, and the changes presented are for the comparison with the figures for the previous fiscal year and the figures for thecorresponding period of the previous fiscal year after retrospective application.

Notes(1) Significant changes in scope of consolidation(Changes in the specified subsidiaries during the period due to change in scope of consolidation): None(2) Adoption of accounting treatments which are exceptional for quarterly consolidated financial statements: None(3) Changes in accounting policies, accounting estimates and restatement of corrections
1. Changes in accounting policies resulting from the revision of the accounting standards and other regulations
2. Other changes in accounting policies
3. Changes in accounting estimates
4. Restatement of corrections: Yes: None: None: None(Note): Please refer to “2. Consolidated Financial Statements and Principal Notes (3) Notes to Consolidated Financial Statements (Changes in Accounting
Policies)” on page 9 for further information.

(4) Number of shares issued (Common stock)
1. Number of shares issued at the end of the period(including treasury stock):
2. Number of treasury stock at the end of the period:
3. Average number of shares:

1,386,667,167 shares as of March 31, 2023
1,386,667,167 shares as of December 31, 2022
80,667,273 shares as of March 31, 2023
80,672,863 shares as of December 31, 2022
1,305,995,701 shares for the three months ended March 31, 2023
1,386,518,175 shares for the three months ended March 31, 2022

(Note): The shares held by “the Board Incentive Plan Trust” are included in number of treasury stock at end of period.
(As of March 31, 2023: 904,773 shares As of December 31, 2022: 910,363 shares)*This quarterly earnings report is not subject to audit by certified public accountants or audit firms.
*Explanation regarding the appropriate use of estimated consolidated financial results
The aforementioned forecasts are based on the currently available information and contain many uncertainties. The final results might be significantly different

from the aforementioned forecasts due to changes in business conditions including oil and natural gas price levels, production and sales plans, project
development schedules, government regulations and financial and tax schemes. Regarding the forecasts, please refer to “1. Qualitative Information / Financial
Statements (3) Explanation regarding future forecast information such as Forecasts for Consolidated Financial Results” on page 4.

Exhibit:
Dividends of Class A stock
Cash dividends per share
At 1st quarter end At 2nd quarter end At 3rd quarter end
For the year ended
December 31, 2022
For the year ending
December 31, 2023
For the year ending
December 31, 2023
(forecast)At fiscal year end

Total

Yen

Yen

Yen

Yen

Yen

–

12,000.00–

12,800.00

24,800.00

12,800.00–

12,800.00

25,600.00–(Note): The Company conducted a stock split at a ratio of 1:400 of common stock effective October 1, 2013. However, for Class A stock (not listed), no stock
split was implemented. The article specifying that dividends of Class A stock are equivalent to dividends of common stock prior to the stock split isincluded in the Articles of Incorporation.

Index of the Attachments
1. Qualitative Information ∕ Financial Statements...................................................................................................................................... 2(1) Explanation on Consolidated Financial Results ............................................................................................................................... 2(2) Explanation on Consolidated Financial Position.............................................................................................................................. 3(3) Explanation Regarding Future Forecast Information Such as Forecasts for Consolidated Financial Results .................................. 4
2. Consolidated Financial Statements and Principal Notes........................................................................................................................ 5(1) Consolidated Balance Sheet ............................................................................................................................................................. 5(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income .......................................................... 7
Consolidated Statement of Income .................................................................................................................................................... 7
Consolidated Statement of Comprehensive Income .......................................................................................................................... 8(3) Notes to Consolidated Financial Statements .................................................................................................................................... 9(Conditions or events that indicate there could be substantial doubt about the Company’s ability to continue as a going concern) . 9(Note on significant changes in shareholders’ equity) ....................................................................................................................... 9(Changes in Accounting Policies)...................................................................................................................................................... 9(Additional Information) ................................................................................................................................................................... 9(Segment Information and Others) .................................................................................................................................................. 10(Business Combinations) ................................................................................................................................................................. 12(Significant Subsequent Events) ...................................................................................................................................................... 12
3. Supplementary Information ................................................................................................................................................................. 13(1) Production, Orders Received and Sales Performance .................................................................................................................... 13-1-

1. Qualitative Information ∕ Financial Statements
In the third quarter ended September 30, 2022, the tentative accounting treatment of the business combinations was finalized, and in
the comparative analysis with the three months ended March 31, 2022, the figures reflect the significant revision of the initial
allocation of acquisition costs due to the finalization of the tentative accounting treatment. Please refer to “2. Consolidated
Financial Statements and Principal Notes (3) Notes to Consolidated Financial Statements (Business Combinations)” for further
information.
In addition, the changes in accounting policies have been made from the first quarter ended March 31, 2023, and the figures after
retrospective application are used in the comparative analysis with the three months ended March 31, 2022 and the year ended
December 31, 2022. Please refer to “2. Consolidated Financial Statements and Principal Notes (3) Notes to Consolidated Financial
Statements (Changes in Accounting Policies)” for further information.
Furthermore, the change in reportable segments has been made from the first quarter ended March 31, 2023, and the figures reflect
the revision of the method of calculation for a portion of the sales volume and average sales price in the comparative analysis withthe three months ended March 31, 2022.
(1) Explanation on Consolidated Financial Results
Net sales for the three months ended March 31, 2023 increased by ¥93.0 billion, or 19.2%, to ¥578.4 billion from thecorresponding period of the previous fiscal year due to the depreciation in the average exchange rate of the Japanese yen against
the U.S. dollar during the period. Net sales of crude oil increased by ¥44.1 billion, or 12.4%, to ¥399.6 billion, and net sales ofnatural gas increased by ¥49.8 billion, or 40.2%, to ¥173.7 billion. Sales volume of crude oil increased by 1,502 thousand barrels,
or 4.3%, to 36,677 thousand barrels, and sales volume of natural gas increased by 2,456 million cf, or 2.0%, to 128,241 million cf.
Sales volume of overseas natural gas increased by 8,932 million cf, or 9.6%, to 102,132 million cf, and sales volume of domestic
natural gas decreased by 173 million m3, or 19.9%, to 697 million m3 (26,011 million cf). The average sales price of overseas crude
oil decreased by US$4.72, or 5.4%, to US$82.20 per barrel. The average sales price of overseas natural gas increased by US$0.67,
or 11.1%, to US$6.73 per thousand cf, and the average sales price of domestic natural gas increased by ¥44.91, or 68.3%, to¥110.67 per m3. The average exchange rate of the Japanese yen against the U.S. dollar on consolidated net sales depreciated by¥16.57, or 14.3%, to ¥132.60 per U.S. dollar.
The increase of ¥93.0 billion in net sales was mainly derived from the following factors: regarding net sales of crude oil and naturalgas, an increase in sales volume contributing ¥22.8 billion to the increase, an increase in unit sales price contributing ¥8.2 billion to
the increase, the depreciation in the average exchange rate of the Japanese yen against the U.S. dollar contributing ¥62.9 billion to
the increase, and a decrease in net sales excluding crude oil and natural gas of ¥0.9 billion.
Meanwhile, cost of sales increased by ¥10.2 billion, or 4.5%, to ¥235.5 billion. Exploration expenses decreased by ¥0.4 billion, or
7.5%, to ¥5.9 billion. Selling, general and administrative expenses increased by ¥5.4 billion, or 21.8%, to ¥30.5 billion. As a result,operating income increased by ¥77.8 billion, or 34.1%, to ¥306.3 billion.
Other income increased by ¥17.9 billion, or 29.4%, to ¥78.8 billion due to an increase in equity in earnings of affiliates and others.
Other expenses increased by ¥5.8 billion, or 51.4%, to ¥17.1 billion. As a result, ordinary income increased by ¥89.9 billion, or
32.4%, to ¥367.9 billion.
Income taxes increased by ¥32.4 billion, or 17.6%, to ¥216.8 billion, and net loss attributable to non-controlling interests was ¥0.3
billion. As a result of the above effects, net income attributable to owners of parent increased by ¥57.5 billion, or 61.2%, to ¥151.4
billion.

-2-

Financial results by segment are as follows:
The changes in segment income and reportable segments have been made from the first quarter ended March 31, 2023, and the figures
based on the changed segment income and reportable segments are used in the comparative analysis with the three months ended
March 31, 2022. Please refer to “2. Consolidated Financial Statements and Principal Notes (3) Notes to Consolidated Financial
Statements (Segment Information and Others)” for further information.
1) Oil & Gas JapanNet sales increased by ¥17.1 billion, or 27.2%, to ¥79.9 billion due to an increase in sales price of natural gas. Net income
attributable to owners of parent increased by ¥16.2 billion to ¥17.2 billion.
2) Oil & Gas Overseas - Ichthys Project
Net sales increased by ¥4.7 billion, or 5.0%, to ¥99.1 billion due to an increase in sales price of natural gas and the depreciation of
the Japanese yen against the U.S. dollar. Net income attributable to owners of parent increased by ¥13.7 billion, or 17.8%, to ¥90.8
billion.
3) Oil & Gas Overseas - Other Projects
Net sales increased by ¥66.4 billion, or 20.5%, to ¥390.7 billion due to an increase in sales volume and the depreciation of theJapanese yen against the U.S. dollar. Net income attributable to owners of parent increased by ¥24.9 billion, or 155.4%, to ¥41.0
billion.
(2) Explanation on Consolidated Financial Position
Total assets as of March 31, 2023 increased by ¥52.7 billion to ¥6,312.5 billion from ¥6,259.8 billion as of December 31, 2022.
Current assets increased by ¥51.2 billion to ¥780.6 billion due to an increase in securities and others. Fixed assets increased by ¥1.4
billion to ¥5,531.8 billion due to an increase in investments and other assets, and others.
Meanwhile, total liabilities decreased by ¥86.6 billion to ¥2,150.8 billion from ¥2,237.4 billion as of December 31, 2022. Current
liabilities increased by ¥260.7 billion to ¥787.4 billion, and long-term liabilities decreased by ¥347.4 billion to ¥1,363.3 billion.
Net assets increased by ¥139.3 billion to ¥4,161.7 billion. Total shareholders’ equity increased by ¥118.9 billion to ¥3,027.2 billion.
Total accumulated other comprehensive income increased by ¥20.3 billion to ¥872.8 billion, and non-controlling interests in net
assets increased by ¥89 million to ¥261.6 billion.

-3-(3) Explanation Regarding Future Forecast Information Such as Forecasts for Consolidated Financial Results
The Company revised its consolidated financial forecasts for the six months ending June 30, 2023 and the year ending December
31, 2023 due to factors including the upturn in crude oil prices and the depreciation of the Japanese yen against the U.S. dollar in
the three months ended March 31, 2023 and the revision of its crude oil price and exchange rate assumptions for the year.
1. Forecasts for consolidated financial results for the six months ending June 30, 2023
(Millions of yen)
Net sales

Operating income

Ordinary income

Net income attributableto owners of parent

Previous Forecasts: A

1,013,000

507,000

596,000

199,000

Revised Forecasts: B

1,071,000

551,000

630,000

218,000

58,00044,00034,00019,000

5.7

8.7

5.7

9.5

Increase (Decrease): B-A
Percentage change (%)

2. Forecasts for consolidated financial results for the year ending December 31, 2023
(Millions of yen)
Net sales

Operating income

Ordinary income

Net income attributableto owners of parent

Previous Forecasts: A

1,885,000

892,000

1,005,000

270,000

Revised Forecasts: B

1,994,000

984,000

1,077,000

300,000

109,000

92,00072,00030,000

5.8

10.3

7.2

11.1

Increase (Decrease): B-A
Percentage change (%)

The above forecasts are calculated based on the following assumptions:
Previous Forecasts

Crude oil price(Brent)Exchange rate

Revised Forecasts

First Half average:

US$77.5/bbl

First Half average:

US$81.1/bbl

Second Half average:

US$72.5/bbl

Second Half average:

US$79.0/bbl- 3rd quarter average:

US$75.0/bbl- 3rd quarter average:

US$80.0/bbl- 4th quarter average:

US$70.0/bbl- 4th quarter average:

US$77.9/bbl

Full Year average:

US$75.0/bbl

Full Year average:

US$80.0/bbl

First Half average:¥125.0/US$

First Half average:¥131.2/US$

Second Half average:¥125.0/US$

Second Half average:¥128.8/US$

Full Year average:¥125.0/US$

Full Year average:¥130.0/US$

Note: Crude oil prices at which the Company sells products vary depending on crude oil type and differ from Brent crude oil prices. Crude oil price differences
are determined by the quality of each crude oil type, etc., and are also affected by market conditions.

-4-2. Consolidated Financial Statements and Principal Notes(1) Consolidated Balance Sheet(Millions of yen)Accounts

As of December 31, 2022

As of March 31, 2023

(Assets)
Current assets
Cash and deposits

227,829

197,571

Accounts receivable-trade and contract assets

252,938

198,480

Securities

58,152

178,094

Inventories

68,154

68,238Other

135,346

151,407

Less allowance for doubtful accounts(13,020)(13,103)

Total current assets

729,401

780,689

157,137

160,710

Fixed assets
Tangible fixed assets
Buildings and structures, net
Wells, net

340,259

340,648

1,583,141

1,567,901

Land

18,17818,186

Construction in progress

339,787

331,057

Machinery, equipment and vehicles, net

Other, net

34,61532,502

2,473,118

2,451,007

Goodwill

40,33237,394

Other442,371433,515

Total intangible assets

482,704

470,909

Total tangible fixed assets
Intangible assets

Investments and other assets
Investment securities

742,914812,260

1,279,383

1,245,642

Recoverable accounts under production sharing

521,541

512,367

Other

87,20596,800Long-term loans receivable

Less allowance for doubtful accounts

(690)

(695)

Less allowance for recoverable accounts under
production sharing(53,873)(54,258)

Less allowance for investments in exploration(1,852)(2,153)

2,574,629

2,609,962

5,530,452

5,531,879

6,259,853

6,312,568

Total investments and other assets
Total fixed assets
Total assets-5-

(Millions of yen)Accounts

As of December 31, 2022

As of March 31, 2023

(Liabilities)
Current liabilities
Accounts payable-trade47,18330,588

Short-term loans

75,878349,557

Commercial papers–

50,000

Income taxes payable

126,675

103,423

Provision for bonuses

1,458

–

Provision for bonuses to officers

130

30

Provision for loss on business

8,631

8,384

Provision for exploration projects

3,391

4,343

Asset retirement obligations

15,504

16,530Other

247,887

224,629

Total current liabilities

526,740

787,488

Long-term liabilities
Bonds payable

30,00030,000Long-term debt

1,164,369

786,456

Provision for stocks payment

245

278

Provision for special repair and maintenance

705

734

Liability for retirement benefits

689

1,996

Asset retirement obligations

303,159

305,643

Other

211,572

238,219

1,710,742

1,363,326

2,237,483

2,150,815

Common stock

290,809290,809

Capital surplus

683,382

684,496

Retained earnings

2,055,459

2,173,307

Treasury stock(121,358)(121,349)

Total shareholders’ equity

2,908,293

3,027,264

Unrealized holding gain (loss) on securities

4,147

5,258

Deferred gain (loss) on hedges

32,42130,184

Translation adjustments

815,989

837,438

Total accumulated other comprehensive income

852,558

872,882

Total long-term liabilities
Total liabilities(Net assets)
Shareholders’ equity

Accumulated other comprehensive income

Non-controlling interests

261,517

261,607

Total net assets

4,022,370

4,161,753

Total liabilities and net assets

6,259,853

6,312,568-6-

(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income
Consolidated Statement of Income(Millions of yen)
For the three months ended
March 31, 2022

For the three months ended
March 31, 2023

Net sales

485,391

578,476

Cost of sales

225,392

235,598

Gross profit

259,998

342,877

Exploration expenses

6,479

5,992

Selling, general and administrative expenses

25,10930,584

Operating income

228,408306,300

Interest income

8,784

21,462

Dividend income

6,471

362

Equity in earnings of affiliates

34,38751,911

2,989

–

–

2,551

Other

8,283

2,561

Total other income

60,91678,8503,777

13,764–385

Foreign exchange loss

3,929

–

Other

3,621

3,005

Total other expenses

11,32917,156

Ordinary income

277,996

367,995

Income before income taxes

277,996

367,995

Income taxes

184,365

216,857

Net income

93,630151,137

Accounts

Other income

Gain on reversal of allowance for recoverable accounts
under production sharing
Foreign exchange gain

Other expenses
Interest expense
Provision for allowance for recoverable accounts under
production sharing

Net loss attributable to non-controlling interests
Net income attributable to owners of parent

-7-

(338)

(338)

93,968151,475

Consolidated Statement of Comprehensive Income(Millions of yen)
For the three months ended
March 31, 2022

For the three months ended
March 31, 2023

93,630151,137

Unrealized holding gain (loss) on securities

1,308

1,111

Deferred gain (loss) on hedges(9,449)226

Translation adjustments

159,653

19,623

Share of other comprehensive income of affiliates
accounted for by the equity-method

25,980(1,692)

Total other comprehensive income

177,492

19,268271,123

170,405

266,772

171,799

4,350(1,393)

Accounts

Net income
Other comprehensive income

Comprehensive income
Total comprehensive income attributable to
Owners of parent
Non-controlling interests-8-(3) Notes to Consolidated Financial Statements(Conditions or events that indicate there could be substantial doubt about the Company’s ability to continue as a going concern)
For the three months ended March 31, 2023 (January 1, 2023 through March 31, 2023):
None(Note on significant changes in shareholders’ equity)
For the three months ended March 31, 2023 (January 1, 2023 through March 31, 2023):
None(Changes in Accounting Policies)(International Accounting Standards (IAS) 12 “Income Taxes” (amended in May 2021))
Some of the Group’s foreign consolidated subsidiaries and foreign equity-method affiliates have applied IAS 12 “Income Taxes”(amended in May 2021) from the first quarter ended March 31, 2023.
Due to the amendments, for transactions, such as for leases and decommissioning obligations, that give rise to equal taxable anddeductible temporary differences at the time of the transaction, it is clarified that a company should recognize deferred tax
liabilities and deferred tax assets arising from those differences. The amendments have been applied retrospectively and werereflected in the consolidated financial statements for the corresponding period of the previous fiscal year and for the previous
fiscal year.
As a result of this change, and compared with the figures before the retrospective application, in the consolidated balance sheet asof December 31, 2022, investment securities decreased by ¥2,451 million, deferred tax liabilities included in other under longterm liabilities increased by ¥13,540 million, retained earnings decreased by ¥10,983 million and translation adjustments
decreased by ¥5,008 million. In the consolidated statement of income for the three months ended March 31, 2022, equity inearnings of affiliates increased by ¥36 million and income taxes increased by ¥201 million, compared with the figures before theretrospective allocation. In addition, because the cumulative effect was reflected in net assets as of the beginning of the year ended
December 31, 2022, retained earnings as of the beginning of the previous fiscal year decreased by ¥33,776 million.
(Additional Information)(Application of practical solution on the accounting and disclosure under the group tax sharing system)
The Company and certain domestic consolidated subsidiaries have transitioned from the non-consolidated tax payment system tothe group tax sharing system from the first quarter ended March 31, 2023. In accordance with the transition, the accounting
treatment and disclosure of corporate tax, local tax and tax effect accounting are based on “Practical Solution on the Accounting
and Disclosure Under the Group Tax Sharing System” (Accounting Standards Board of Japan (“ASBJ”) Practical Issues Task
Force No.42, August 12, 2021).

-9-

(Segment Information and Others)(Segment information)
I. Information on changes in reportable segments and others
The reportable segments of the Group are components of the Group for which discrete financial information is available andregularly reviewed by the Board of Directors to make decisions about allocation of managerial resources and to assess theirperformance. Following the significant reclassifications to the business portfolio based on the Medium-term Business Planannounced in 2022 and the accompanying changes of the evaluation and analysis indicators used by the Board of Directors, theGroup made corresponding changes in segment income and reportable segments.
Segment income was previously reconciled with operating income on the consolidated statement of income. However, because
net income attributable to owners of parent is a management target in the Medium-term Business Plan and it is used as anindicator by the Board of Directors to make decisions about allocation of managerial resources and assess performance, thereconciliation was changed and segment income is reconciled with net income attributable to owners of parent on the
consolidated statement of income from the first quarter ended March 31, 2023 in order to conduct evaluations and analyses thatare more in line with actual conditions. In addition, as the main business of the Group is the global exploration, development,
production and sales of oil and natural gas, and loans and investments in companies engaged in such activities, namely the oiland natural gas business (“Oil & Gas”), the Group had previously used reportable segments by region. However, due tosignificant reclassifications to the business portfolio, the addition of initiatives for the five net-zero businesses to the Long-term
Strategy, and other factors, the reportable segments have been classified as “Oil & Gas Japan” and “Oil & Gas Overseas” fromthe first quarter ended March 31, 2023. The “Oil & Gas Overseas” segment is further classified as “Ichthys Project,” which is amajor operator project of the Group, and “Other Projects,” which is comprised of other overseas projects. The “Other” category
consists of the operating segments that are not included in the reportable segments, including the five net-zero businesses.
The reportable segments and other category after the changes are as follows.
Reportable segments, etc.
Oil & Gas Japan

Oil & Gas
Overseas

Other

Main business and project nameMinami-Nagaoka Gas Field, Naoetsu LNG Terminal

Ichthys Project

Ichthys LNG Project in Australia and exploration of surrounding area

Other Projects

Projects in Australia (excluding the Ichthys LNG Project), Southeast Asia, Europe, Abu Dhabi,
and other areas
Five net-zero businesses, transportation and sales business, civil engineering business, etc.

The segment information disclosed for the three months ended March 31, 2022 has been prepared based on the categories after
the changes. In addition, the changes in accounting policies have been made from the first quarter ended March 31, 2023, andthe figures after retrospective application are used in the three months ended March 31, 2022.

- 10 -

II. For the three months ended March 31, 2022 (January 1, 2022 through March 31, 2022)
1. Information on sales and income (loss) by reportable segment(Millions of yen)
Reportable segments
Oil & Gas
Japan

Other
*1

Oil & Gas Overseas

Total

Adjustments*2

Consolidated*3

Ichthys Project Other Projects

Net sales
Sales to third parties

62,84994,346324,311

3,883

485,391–

485,391

Intercompany sales and transfers
between segments

594

7,950

–

1,513

10,058(10,058)–

Total

63,443102,297324,311

5,396

495,449(10,058)

485,391

1,040

77,15916,058

1,917

96,175(2,207)

93,968Segment income (loss)

Notes: 1. The “Other” category consists of the operating segments that are not included in the reportable segments, and includes the five net-zero businesses,etc.
2 Adjustments of segment income (loss) of ¥(2,207) million consist of elimination of inter-segment transactions of ¥(1,538) million and corporate
expenses of ¥(669) million that are not allocated to reportable segments or the “Other” category. Corporate expenses are mainly amortization of
goodwill and general administrative expenses that are not allocated to a reportable segment and “Other” category.
3. Segment income (loss) is reconciled with net income attributable to owners of parent on the consolidated statement of income.

2. Information on impairment loss from fixed assets, goodwill and other items by reportable segment(Significant change in goodwill)
In “Oil & Gas Overseas - Other Projects” segment, the Group included INPEX Norway Co., Ltd. and INPEX Idemitsu Norge AS
in the scope of consolidation. As a result, goodwill in the segment increased by ¥20,461 million for the three months ended
March 31, 2022.

- 11 -

III. For the three months ended March 31, 2023 (January 1, 2023 through March 31, 2023)
1. Information on sales and income (loss) by reportable segment(Millions of yen)
Reportable segments
Oil & Gas
Japan

Other
*1

Oil & Gas Overseas

Total

Adjustments*2

Consolidated*3

Ichthys Project Other Projects

Net sales
Sales to third parties

79,964

99,110390,780

8,620

578,476–

578,476

Intercompany sales and transfers
between segments

1,782

5,810

–

2,556

10,150(10,150)–

Total

81,747104,921390,780

11,177

588,626(10,150)

578,476

17,24190,85941,013629

149,743

1,732

151,475

Segment income (loss)

Notes: 1. The “Other” category consists of the operating segments that are not included in the reportable segments, and includes the five net-zero businesses,etc.
2 Adjustments of segment income (loss) of ¥1,732 million consist of elimination of inter-segment transactions of ¥2,518 million and corporate
expenses of ¥(786) million that are not allocated to reportable segments or the “Other” category. Corporate expenses are mainly amortization of
goodwill and general administrative expenses that are not allocated to a reportable segment and “Other” category.
3. Segment income (loss) is reconciled with net income attributable to owners of parent on the consolidated statement of income.

2. Information on impairment loss from fixed assets, goodwill and other items by reportable segment
None(Business Combinations)(Business combination through acquisition)
Significant revision of initial allocation of acquisition cost in comparative information
Although tentative accounting treatment was applied for the first quarter ended March 31, 2022 regarding the businesscombination with Idemitsu Snorre Oil Development Co., Ltd. (current corporate name: INPEX Norway Co., Ltd.) and Idemitsu
Petroleum Norge AS (current corporate name: INPEX Idemitsu Norge AS) executed on January 31, 2022 (deemed acquisition
date: January 1, 2022), the tentative accounting treatment was finalized in the third quarter ended September 30, 2022.
Following the finalization of the tentative accounting treatment, comparative information included in the consolidated financial
statements for the three months ended March 31, 2023, reflects the significant revision of initial allocation of acquisition cost.
As a result, for the consolidated statement of income for the three months ended March 31, 2022, cost of sales decreased by ¥161
million, selling, general and administrative expenses increased by ¥67 million and income taxes decreased by ¥63 million.
Accordingly, gross profit increased by ¥161 million, operating income, ordinary income and income before income taxes eachincreased by ¥93 million, net income increased by ¥157 million, net loss attributable to non-controlling interests decreased by¥111 million and net income attributable to owners of parent increased by ¥46 million.
(Significant Subsequent Events)
None- 12 -

3. Supplementary Information(1) Production, Orders Received and Sales Performance
The change in reportable segments has been made from the first quarter ended March 31, 2023, and the figures disclosed for thethree months ended March 31, 2022 have been prepared based on the categories after the change.
1) Actual production
The following table shows actual production by segment:
Segment

Category

For the three months ended
March 31, 2022

Crude oil

9.2 Bcf(101.8 MMcf per day)Subtotal

2.1 MMboe(22.9 Mboe per day)

1.9 MMboe(21.4 Mboe per day)

Iodine142.4t141.6t56.6 million kWh50.3 million kWh

Electric power generation
Crude oil
Natural gas
Subtotal
Oil & Gas
Overseas

Crude oil
Other

Natural gas

Projects
Subtotal
Sulfur
Other

Electric power generation
Crude oil
Natural gas

Total

0.3 MMbbls(2.8 Mbbls per day)

9.6 Bcf

Oil & Gas Japan

Project

0.3 MMbbls(2.8 Mbbls per day)(106.6 MMcf per day)Natural gas

Ichthys

For the three months ended
March 31, 2023

Subtotal
IodineSulfurElectric power generation

3.7 MMbbls

3.3 MMbbls(40.6 Mbbls per day)

(37.1 Mbbls per day)

93.7 Bcf

92.7 Bcf(1,041.4 MMcf per day)

(1,029.9 MMcf per day)21.9 MMboe

21.2 MMboe(243.3 Mboe per day)(235.6 Mboe per day)

31.2 MMbbls

32.4 MMbbls(347.0 Mbbls per day)

(359.7 Mbbls per day)18.1 Bcf

24.5 Bcf(201.4 MMcf per day)(272.4 MMcf per day)

34.5 MMboe

36.9 MMboe(383.6 Mboe per day)

(410.0 Mboe per day)

28.8 Mtons

36.1 Mtons

95.1 million kWh

320.9 million kWh35.1 MMbbls(390.4 Mbbls per day)

36.0 MMbbls(399.7 Mbbls per day)

121.4 Bcf

126.4 Bcf

(1,349.4 MMcf per day)

(1,404.2 MMcf per day)58.5 MMboe

60.0 MMboe(649.9 Mboe per day)

(667.0 Mboe per day)

142.4t141.6t28.8 Mtons

36.1 Mtons

151.8 million kWh

371.1 million kWh

Notes: 1. The volume of LPG produced overseas is included in “Crude oil.”
2. A portion of crude oil and natural gas production volume is consumed as fuel to generate electricity.
3. The production by the Company’s affiliates accounted for by the equity method is included in the figures above.
4. The production volume of crude oil and natural gas under the production sharing contracts entered into by the Group corresponds to the net economic
take of the Group. Figures calculated by multiplying the gross production volume by the Company’s interest share are 36.0 MMbbls (400.5 Mbbls perday) of crude oil, 124.2 Bcf (1,380.5 MMcf per day) of natural gas, and in total 59.9 MMboe (665.3 Mboe per day) for the three months ended March
31, 2022, and 37.8 MMbbls (420.1 Mbbls per day) of crude oil, 129.3 Bcf (1,436.1 MMcf per day) of natural gas, and in total 62.4 MMboe (693.1
Mboe per day) for the three months ended March 31, 2023.
5. “Boe” means barrels of oil equivalent.
6. “Iodine” is refined by other company on consignment.
7. Figures are rounded to the first decimal place.

- 13 -

2) Orders received
Disclosure on this information is omitted because the amount of orders received is accounted for a minor portion of total sales.
3) Actual sales
The following table shows sales by segment:(Millions of yen)Segment

Category

Sales volume
Crude oil
Natural gas
Oil & Gas Japan

Ichthys
Project(excluding LPG)
LPG

Net sales
1,470

122 Mbbls

1,304

32,478 MMcf

57,22426,011 MMcf

77,133

1 Mbbls

5

–

–

Other

4,148

1,526

62,84979,964Crude oil

3,921 Mbbls

47,536

3,403 Mbbls

37,191Natural gas(excluding LPG)

79,288 MMcf

46,81084,449 MMcf

61,918Crude oil
(excluding LPG)
LPG

94,346305,237

33,153 Mbbls

358,592

13,911 MMcf

18,37017,683 MMcf

29,38335 Mbbls

269

441 Mbbls

2,747

434

Subtotal

390,780

–

1,245

–

2,570

108 MMcf

432

99 MMcf

548

815

–

2,042

LPG

–

Other

1,389

Subtotal

Total

56

324,311

Crude oil
Natural gas(excluding LPG)

99,11031,123 Mbbls

Other

Other

Net sales

Subtotal

Natural gas
Other
Projects

Sales volume

131 Mbbls

Subtotal
Oil & Gas
Overseas

For the three months ended
March 31, 2023

For the three months ended
March 31, 2022

3,458

3,883

8,620

Crude oil

35,176 Mbbls

355,489

36,677 Mbbls

399,658

Natural gas(excluding LPG)

125,785 MMcf

122,838

128,241 MMcf

168,984

35 Mbbls

1,090

441 Mbbls

4,790

LPG
Other

5,972

5,042

Total

485,391

578,476- 14 -