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

Consolidated financial results
for the three months ended Jun 30, 2011
＜Supplementary material＞
August 5, 2011

Japan Petroleum Exploration Co., Ltd.
copyright©2011 JAPAN PETROLEUM EXPLORATION Co.,LTD. All rights reserved.

Cautionary statement
Any information contained herein with respect to JAPEX’s plans, estimates, strategies
and other statements that are not historical facts are forward-looking statements about
the future performance of JAPEX. Readers should be aware that actual results andevents may differ substantially from these projections due to various factors.
The provision of this document should not be construed as a solicitation for investment.
Copyright : All information contained herein is protected by copyright, and may not be
copied or reproduced without the prior consent of JAPEX.
Note: The following abbreviations are used within this document:
1H = First half (1Q-2Q)
2H = Second half (3Q-4Q)(a) = Actual result(e) = Estimate
Any inquiries about the information contained herein or other Investor Relations questions
should be directed to:Investor Relations Group, Media & Investor Relations Department,
Japan Petroleum Exploration Co., Ltd.
TEL: +81-3-6268-7111

2

$140

¥120

$130

¥115$-denominated JCC price $/bbl(left axis)

¥110

$110

¥105

$100

¥100

$90

¥95

$80

¥90

$70

¥85

$60

¥80

Exchange rate \/$(right axis)

$50
$40

¥75
¥70

Japan Crude Cocktail (JCC) Price in the first 10 days of July 2011
on a prompt report basis : USD 115.19 / bbl

Yen 80.43 / USD
3【 Exchange rate】 \ /$$120

2008-072008-08
2008-09
2008-10
2008-11
2008-12
2009-01
2009-022009-032009-04
2009-05
2009-06
2009-072009-08
2009-09
2009-10
2009-11
2009-122010-01
2010-022010-032010-04
2010-05
2010-06
2010-072010-08
2010-092010-10
2010-112010-122011-01
2011-02
2011-03
2011-04
2011-05
2011-06
2011-07[JCC Price] $-denominated $/bbl

Trends in Crude oil prices and Foreign exchange rates

Consolidated financial forecasts for the FY2012 [Highlight]
FY2011[ Billion ￥]

1Q
(a)

1Q-2Q
(a)

changeFY2012Full(a)

1Q
(a)

1Q-2Q
(e)

Full(e)1Q

1Q-2Q

FullNet sales

46.5

92.3

199.6

52.4

101.2

223.4

5.9

8.8

23.8

Operating income

5.1

3.8

13.8

4.6

5.7

11.7(0.5)

1.8(2.0)

Ordinary income

6.1

4.9

17.1

5.5

7.3

15.6(0.6)

2.4

(1.4)

Net income

3.7

1.8

10.0

4.4

5.4

11.5

0.6

3.5

1.5

JCC price

USD/bbl

80.54

78.95

82.69

110.80

90.00

90.00

30.26

11.05

7.31

Exchange rate

Yen/USD

92.00

90.71

86.24

82.25

85.00

85.00

(9.75)(5.71)(1.24)

Bitumen price

CAD/bbl

59.37

52.98

48.32

40.91

45.48

47.82

(18.46)(7.50)(0.50)

Exchange rate

Yen/CAD

91.36

83.76

81.47

85.66

85.00

85.00

(5.70)

1.24

3.53

Regarding consolidated financial forecasts, an examination of the first quarter results revealed that no changes are necessary to
the six months and full-year forecasts released on May 13, 2011.

Point

FY2012 vs FY2011

Operating income-¥ 2.0 billion
Ordinary income-¥ 1.4 billion
Net income+¥ 1.5 billion-¥ 2.3 billion+¥ 0.3 billion+¥ 0.6 billion-Transportation on consignment income

 Extraordinary income(losses)+¥ 3.9 billion-Application of new accounting standards-Loss on Great East Japan Earthquake Income taxes-¥ 1.0 billion
4 Gross profit
 Exploration expenses
 Non-operating income(expenses)-Domestic exploration expenses-Loss on valuation of securities

Actual sales of Natural gas in 1Q FY2012 ( vs FY2011 )FY111Q (a)FY121Q (a)changeSales volume356

368

11

Net sales

14,226

15,2991,073

Sales volume271

270

(1)

Sales volume : Million M3
Net sales : Million ￥Natural gas:
Of which,
Domestically produced gas:

-Increase in demand for industrial
users and utility gas customers.
-Rise in sales prices.

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

Sales volume （total）

Million M3400350

Of which, domestically produced gas356368300
250271

270

200150

Sales volume increased by 11 million M3 (+3.3%) vs FY2011- Increase in demand for industrial users and commercial-scale utility
gas customers.

Net sales increased by ¥ 1.0 billion (+7.5%) vs FY2011-Increase in demand (+11 million M3).

10050
-

F11/1Q

F12/1Q

5

Actual sales of Crude oil in 1Q FY2012 ( vs FY2011 )FY11

FY121Q (a)1Q (a)

Sales volume426

462

35Net sales

18,871

24,235

5,363

Domestically produced
crude oil:

Sales volume135

129(6)Net sales

6,354

7,658

1,303

Overseas subsidiary
crude oil:

Sales volume10(0)Net sales54

32(21)

Sales volume

101

93(8)

Net sales

3,477

2,057(1,420)

80.54 110.80

30.26

Sales volume : Thousand KL
Net sales : Million ￥Crude oil:changeBreakdown of equity oil

Bitumen:-Increase in sales volume ofpurchased crude oil.
-Rise in purchased and domestically
produced crude oil prices.

-Rise in sales prices.

-Decrease in sales volume.
-Decline in sales prices.

Oil price and Exchange rate assumptions
JCC price

USD/bblExchange rate

Yen / USD

92.00

82.25

(9.75)

Bitumen price

CAD/bbl

59.37

40.91

(18.46)

Exchange rate

Yen /CAD

91.36

85.66

(5.70)

Sales volume and net sales of “Domestically produced crude oil” stated herein do not include purchased crude oil.
Royalty is excluded in the net sales and price of Bitumen.
Sales volume and net sales of “Overseas subsidiary crude oil” stated herein are amounts of Japex (U.S.) Corp., anoverseas consolidated subsidiary.

6Actual results for 1Q FY2012 ( vs FY2011 )
FY11

FY12

1Q (a)

1Q (a)Net sales

46,52652,462

5,935

Gross profit

14,914

13,688(1,226)

Exploration expenses

2,402

1,569(833)

SG&A expenses

7,335

7,444

109

Operating income

5,176

4,674(502)

Non-operating income(expenses)

1,017

899

(118)

Ordinary income

6,194

5,573(620)(2,377)74

2,452(121)

1,139

1,260

207

86(120)

3,730

4,422

691

[ Million ￥]Extraordinary income(losses)
Income taxes
Minority interests in income
Net incomechangeCauses of increase(+) or decrease(-)
Gross profit

7Overseas consolidated subsidiaries-¥1.3 billion

Exploration expenses
Domestic exploration
Overseas exploration+¥1.2 billion-¥0.4 billion

Non-operating income (expenses)
Equity in earnings (losses) of affiliates-¥0.5 billion
Gain on sales of securities+¥0.4 billion

Extraordinary income (losses)
Loss on adjustment for changes of accounting
standard for asset retirement obligations+¥2.3 billion