Aker BP

Investor Presentation • Feb 11, 2020

Capital Markets Update

Aker BP ASA

11 February 2020

Disclaimer

This Document includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this Document are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Aker BP ASA's lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Aker BP ASA's businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the Document. Although Aker BP ASA believes that its expectations and the Document are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the Document. Aker BP ASA is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Document, and neither Aker BP ASA nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use.

Today's programme AKER BP ASA - CAPITAL MARKETS UPDATE 2020

Karl Johnny Hersvik CEO

High efficiency, profitable growth and value creation

Kjetel Digre SVP Operations & Asset Development

Maximizing value of our assets

Evy Glørstad SVP Exploration & Asset Initiation

Creating value through exploration

David Tønne CFO

Maximizing returns through the cycle

All speakers

Q&A session

10:00	Break	11:30	12:15 – 12:45

High efficiency, profitable growth and value creation

Capital Markets Update

11 February 2020

The challenge

The need for energy to support rising prosperity

The need for CO2 emissions to fall dramatically

Affordable, reliable, sustainable and modern energy for all

World population will continue to increase…

… and human prosperity is closely linked to energy consumption

Energy-related CO2 emissions must come down to reach the Paris goals

1) Source: UN's World Population Prospects 2019 2) Source: IEA World Energy Outlook 2019. The Sustainable Development Scenario, according to the IEA, identifies a pathway consistent with key energy-related sustainable development goals for emissions, access and air quality (e.g. the Paris Agreement)

Oil demand varies significantly across energy scenarios

Global petroleum liquids demand (mmboepd)

Investments in oil and gas essential part of the energy transition

Oil and gas a large share of the energy mix

Upstream investments needed to meet the demand

Average annual upstream oil and gas investment estimates (USD bill. 2018)

The future requires more efficient production of oil and gas

Our contribution as a pure play oil & gas company

Produce efficiently to return high value from oil & gas resources to our stakeholders

Return value Reduce emissions Share

Reduce emissions from our operations focusing on the total footprint

Contribute with data, know-how and technology to other industries

Creating the leading independent offshore E&P company

Total resources1 (billion boe)

Net production2 (mboepd)

205-220

1.84

Production cost4 (USD/boe)

<5

CO2 emissions3 (kg/boe)

Annual shareholder return since 20165

51%

~10

Dividend6 (USD mill.)

850

1) Sum of oil and gas 2P reserves and 2C resources per year-end 2019 2) Production target 2020 3) CO2 Kg/boe target 4) Cost target 2020 5) Bloomberg TSR from January 2016 6) Plan for dividend payment 2020

A journey of high growth and improved efficiency

>205*

Safe and efficient operations

• Health, safety, security and environment is always the number one priority in Aker BP
• Improvement agenda enabler for improved safety, reliability and more efficient operations
• Aker BP dedicated to significantly reduce our environmental footprint

Photo: Aker BP office

AKER BP STRATEGY Our strategy for value creation

EXECUTE Achievements in 2019 support our strategic development

Strong organic growth

+70 000 boepd

in 2020 from three projects

Setting drilling records!

• First dual drilling operation

First offshore single-trip multi-frac well stimulation

EXECUTE Reaching our targets for 2019

IMPROVE Aker BP's improvement pillars driving efficiency

IMPROVE The alliances are the cornerstones of our improvements

One team – common goals – shared incentives

IMPROVE Tech is easy - implementation is hard

GROW Profitable organic and inorganic growth

GROW Counter-cyclical and value-driven approach to M&A

Logos represents acquisitions, mergers and asset transactions by Aker BP in Norway in the respective year. (M&A: mergers & acquisitions) 21

GROW Targeting new opportunities

CRITERIA FOR M&A IN AKER BP

TARGETING SUPERIOR VALUE CREATION

TARGETING SUPERIOR VALUE CREATION Unique resource base – a strong foundation for organic growth

TARGETING SUPERIOR VALUE CREATION High and profitable growth from existing portfolio

Production ambition (mboepd)

500

TARGETING SUPERIOR VALUE CREATION Returning value creation to shareholders

Dividends, USD million

• Strong cash flow from existing portfolio
• Profitable growth from project pipeline
• Strong balance sheet

HIGH EFFICIENCY

PROFITABLE GROWTH

VALUE CREATION

Maximizing the value of our assets

Capital Markets Update 2020

Kjetel Digre SVP Operations & Asset Development

MAXIMIZING THE VALUE OF OUR ASSETS Key operational priorities

MAXIMIZING THE VALUE OF OUR ASSETS Driving operational excellence

Using the improvement toolbox… …to build a leading operating model

MAXIMIZING THE VALUE OF OUR ASSETS Driving down cost – targeting below USD 7 per barrel

Production cost (USD/boe)

MAXIMIZING THE VALUE OF OUR ASSETS A large and profitable opportunity set for growth

Large resource base with highly attractive economics…

Break-even for non-sanctioned projects (USD/boe)1) 2C contingent resources

Production ambition non-sanctioned projects

… yields increased production

Mboepd

NOAKA 34% Valhall area 25% Ula area 18% Alvheim area 9% Skarv 9% Other 6% 931 mmboe ~75% liquids

Ærfugl project

300

MILLION BOE

ÆRFUGL BREAK-EVEN PRICE

\$15

Substantial improvements through alliances

Accelerated production

Start-up in first half of 2020

SKARV Increased volumes, better efficiency and lower cost

Increased 2P reserves at Skarv

Reserves addition of 85% last three years (mmboe, net)

Improved production efficiency

Tremendous improvment on Skarv adds volume and value

Reduced production cost

USD per barrel

2019 CO2 EMISSION REDUCTIONS IN PRACTICE Optimization of energy use and logistics at Skarv

ANNUAL CO2 REDUCTIONS OF ABOVE 25 000 TONNES

Reduced export pressure and reduced energy use in the gas cleaning process 1 2

Effects:

• Reduced emissions and increased gas sales (scope 1 emissions)
• Annual CO2 emissions 22 000 tonnes lower and NOK 36 million in annual savings

Rescheduling in collaboration with other operators in the area

Effects:

• Reduced fuel consumption and emissions (scope 3 emissions)
• Annual CO2 emissions 3 300 tonnes lower and NOK 2.4 million in annual savings

37

SKARV Priorities and outlook

Skarv production outlook1) (net mboepd)

Alvheim (PL203) - 65%, Volund (PL150) - 65%, Vilje (PL036 D) - 46.9%, Bøyla/Frosk (PL340) - 65%, Skogul (PL460) - 65% 39

The Aker BP blueprint for area developments ALVHEIM – A GREAT SUCCESS STORY

ALVHEIM AREA Priorities and outlook

Alvheim production outlook1) (net mboepd)

Valhall Flank West project

80 MILLION BOE

VALHALL FLANK WEST BREAK-EVEN PRICE

A new standard for flank developments

Alliance strategy vital for project success

Excellent safety performance

VALHALL AREA First successful offshore "Single-Trip Multi-Frac" campaign

Key technology to enable increased recovery

• Applied at Valhall with success
• An alliance delivery
• Part of the Well Intervention and Stimulation alliance with Stimwell Services and Schlumberger
• Benefits
• Less time spent per well
• Reduced cost
• Gets the well earlier on stream
• Key enabling technology for tight oil reservoirs both at Valhall and elsewhere
• Helping unlock the next billion barrels at Valhall

VALHALL AREA Priorities and outlook

Valhall production outlook1) (net mboepd)

45

ULA AREA Priorities and outlook

Ula production outlook1) (net mboepd)

15

IVAR AASEN – THE DIGITAL FRONTRUNNER Onshore control room – a successful first year

IVAR AASEN Priorities and outlook

Ivar Aasen production outlook1) (net mboepd)

JOHAN SVERDRUP A world class oil field

Resources: 2.2-3.2 bn boe

2P reserves: 2.7 bn boe

Recovery ambition above 70%

Plateau production phase 1 of 440 mboepd (Q2 20)

Plateau production phase 2 of 660 mboepd (Q2 22)

PRODUCTION PROFITABILITY CO2 RESOURCES INTENSITY

Break even oil price below USD 20 per barrel Currently ~350 mboepd 0.67 kg per barrel

Production cost below USD 2 per barrel

Photo: Equinor

JOHAN SVERDRUP Phase 2 with first oil late 2022 to lift production to +660 000 boepd

MAXIMIZING THE VALUE OF OUR ASSETS

SAFETY

LOW EMISSIONS

LOW COST HIGH PRODUCTION EFFICIENCY

PROFITABLE GROWTH

NOAKA Progressing towards a joint development of the NOAKA area

Creating value through exploration

Capital Markets Update 2020

Evy Glørstad SVP Exploration and Asset initiation

The Aker BP exploration formula EXPLORATION STRATEGY

Maximize value of operated hubs

60 %

Explore for new hub potential

40 %

Smart integration of data and technology

EXPLORATION Excellent exploration results in 2019

EXPLORATION PERFORMANCE Exploiting the potential around Alvheim

• Frosk on test production
• Evaluating options for Froskelår
• Maturing new exploration opportunities

EXPLORATION PERFORMANCE Liatårnet – exciting opportunity in the NOAKA area

Discovery estimated to 80-200 mmboe recoverable

Potential tie-in to NOAKA development solution

Appraisal well planned in 2020

EXPLORATION 2020 exploration programme

Net unrisked resources, mmboe (accumulative)

EXPLORATION Positioning Aker BP for further profitable growth

EXECUTE IMPROVE GROW

Follow up on 2019 successes with appraisal and new targets

Apply new technology to create new opportunities

Utilize existing infrastructure and search for new core areas

Maximizing returns through the cycle

Capital Markets Update 2020

David Tønne Chief Financial Officer

FINANCIAL STRATEGY Maximizing returns through the cycle by balancing three priorities

FINANCIAL STRATEGY Delivering on our 2019 ambitions

FINANCIAL STRATEGY Strong cash generation from producing assets

1) Assuming USDNOK of 8.5 in 2020 and onwards

2) Free cash flow: Net cash flow from operating activities after tax minus Net cash flow used in investment activities. Before dividends

67

INVEST IN PROFITABLE GROWTH Large resource base with highly attractive economics

Break-even for non-sanctioned projects (USD/boe)1)

INVEST IN PROFITABLE GROWTH Great opportunity for strong organic growth

Production ambition (mboepd)

INVEST IN PROFITABLE GROWTH Flexible investment program continuously optimized

Capitalized interest is excluded. Assuming USDNOK of 8.5 in 2020 and onwards 70

INVEST IN PROFITABLE GROWTH Climate risk integrated in investment decisions

Carbon pricing consistent with meeting climate goals

Investments tested against cost of carbon emissions consistent with IEA's Sustainable Development Scenario

Requires a carbon price of USD 100/tonne CO2 in 2030

• Aker BP carbon price used for investment decisions
• USD ~ 90/tonne CO2 in 2020
• USD ~ 105/tonne CO2 in 2030

INVEST IN PROFITABLE GROWTH Driving down production cost below USD 7 per barrel

Production cost (USD/boe)

INVEST IN PROFITABLE GROWTH Reducing cost and optimizing timing of decommissioning

Abandonment spend (USD million)

Investments in exploration provide upside to current plan INVEST IN PROFITABLE GROWTH

Exploration spend (USD million)

2019 review

• 16 exploration wells
• Discovered 170 mmboe
• Finding cost: USD 0.6 / bbl a.t.

2020 plan

• 10 wells planned
• Maturing recent discoveries
• Field evaluation spend depending on NOAKA DG2

Tax efficient

• Fully deductible same year at 78% tax rate

INVEST IN PROFITABLE GROWTH Profitable growth generating increased cash flow

Current producing fields and sanctioned and non-sanctioned projects

1) Free cash flow: Net cash flow from operating activities minus Net cash flow used in investment activities Assuming USDNOK of 8.5 in 2020 and onwards

MAINTAIN SUFFICIENT FINANCIAL CAPACITY Protecting a strong balance sheet

Leverage ratio Net debt / 12m EBITDAX BBB- (stable) Ba1 (stable) BBB- (stable) 1.2 - 0.5 1.0 1.5 2.0 2.5 3.0 2016 2017 2018 2019 Targeting leverage ratio below ~1.5x

Financial framework and risk management

• Continuously optimizing capital structure
• Investment grade credit profile
• Liquidity buffer > USD 2 billion
• Management of commodity price and FX risk
• Insurance of assets and loss of production
• Criteria for M&A

Capital structure with significant available capacity MAINTAIN SUFFICIENT FINANCIAL CAPACITY

High debt capacity – low utilization

Debt facilities USD million

Bond maturities USD million

Tax-adjusted net debt per 31.12.2019 USD billion

MAINTAIN SUFFICIENT FINANCIAL CAPACITY The plan is robust in various oil price scenarios

Leverage ratio - an approximation including all investments and dividends

0.0 0.5 1.0 1.5 2.0 2.5 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 \$ 50/bbl \$ 80/bbl \$ 65/bbl

3.0

Leverage ratio: Net debt/EBITDAX. Effect of oil put options are not included 2) All capex incl. sanctioned, non-sanctioned and NOAKA, Abex and Expex (no upsides from Exploration activity included). Static scenarios with no change in investment behavior or impact on supplier costs from changes in oil price 78

Balanced and stable fiscal regime RETURN VALUE CREATION

Tax payments - USD million

79

RETURN VALUE CREATION Returning value creation to shareholders

Dividends, USD million

Ambition to return value creation as dividends

• Strong cash flow from current production
• Profitable growth from flexible project pipeline
• Distributions matching underlying value creation

Plan for dividend payout

• Propose USD 850 million in 2020
• Annual increase of USD 100 million

FINANCIAL GUIDANCE 2020 Growing production – reducing spend – increasing dividends

FINANCIAL STRATEGY Capital allocation to maximize returns through the cycle

Invest in profitable growth

Maintain sufficient financial capacity

2019 2020 2021 2022 2023 2024 2025 2026

Return value creation

Dividend plan USD million

\$ 50/bbl

\$ 80/bbl

\$ 65/bbl

82

HIGH EFFICIENCY

PROFITABLE GROWTH

VALUE CREATION