Aker BP

Earnings Release • Nov 21, 2016

AKER BP ASA

CREDIT CAPITAL MARKETS DAY

Alexander Krane, CFO November 21, 2016

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.

AKER BP ASA Credit highlights

Strong execution: High margin operations with low operating cost

• Material oil-weighted portfolio: 795 mmboe 2P reserves (81% liquids)
• Substantial visible growth: Potential to reach 250 mboepd post 2020
• Purely operating on the NCS: Low political risk and attractive fiscal regime
• Industrial ownership: Aker ASA and BP plc control 70% of equity
• Robust and diversified capital structure: USD 2.3* bn in liquidity
• Prudent financial risk management policies: Downside protection

STRATEGY Using the downturn to create a company for the future

Execute		Improve		Grow
92%	Operational efficiency*	+95%		Drilling productivity**	4x		Reserve increase***
6 USD/ boe	Production cost*	200	USD mill	2017 savings	+35	NOK bn	Market capitalisation***

* First nine months 2016, as presented in P&L

** Maersk Interceptor most current production well vs first production well at Ivar Aasen

*** Compared to end 2014

AKER BP ASA Solid footprint covering entire NCS

Skarv Solid base performance and upside potential

Alvheim High production efficiency and low operating cost

Ivar Aasen On track to first oil in December 2016

Johan Sverdrup

World class development with break even price below 25 USD/bbl*

Ula/Tambar Late life production with significant upside potential

Valhall/Hod

Production from giant chalk reservoir with potential production in ~70 years

AKER BP ASA High margin production with low operating cost

• Excellent uptime and reliability record on Alvheim FPSO
• Operational efficiency of 92% YTD (incl. maintenance stop)
• Achieved a sustained high margin even in lower oil price environment
• Low production costs combined with a pricing premium to the Brent benchmark

*First nine months, as presented in P&L Note: 2016 production cost excludes transportation cost in order to be comparable to previous years

AKER BP ASA Significant production and cash flow

*Sanctioned and non-sanctioned projects

** Based on Det norske end of 2015 ASR (498 mmboe) and DeGolyer & MacNaughton (D&M) reserves for BP Norge AS (297 mmboe) end 2015

7

*** Based on Det norske evaluation for DETNOR, excluding immature options and identified upsides. D&M for BP Norge AS

AKER BP ASA Strengthened credit metrics from BP Norge merger

Strengthened balance sheet from new equity and increased debt capacity

• Increased cash flow
• Significant dividend capacity
• Credit accretive transaction
• Market value of equity to enterprise value has increased from ~45% to ~70% after deal
• About 35% reduction in net interest-bearing debt per boe of reserves

Illustrative capital structure, USD bn

* Based on market cap per June 9, 2016 and net interest bearing debt per end Q1-2016 ** Based on a share price of NOK 130,5 and net interest-bearing debt per end Q3-2016

AKER BP ASA Net interest bearing debt adjusted for tax

• Net interest bearing debt as of Q3 2016
• Tax positions include undepreciated tax position and tax loss carry forward estimated as of Q3 2016

Tax positions vs. Net debt - USDbn NCS tax system and implications for Aker BP

• Key attractions of the NCS tax system
• ~90% of investments recovered over 6 years
• Opex/exploration costs 78% immediate tax recovery
• Financial costs recovered ~40%**
• Full tax recovery under all scenarios
  • If not in tax position, losses accumulated
  • Losses refunded if petroleum activities discontinued
• Aker BP considerations
• Gearing considered relative to tax receivable
  • Current debt position fully covered by tax receivable
  • Tax positions are effectively government risk
• Tax balances expected to increase going forward due to organic capex program

AKER BP ASA Strong liquidity position and diversified capital structure

AKER BP ASA Prudent financial risk management policies

• Various hedging agreements for commodities, rates and FX to mitigate financial risk when pricing and levels are viewed as attractive
• No mandatory hedging requirements in debt facilities
• USD 55 put options for ~12% of oil production volumes in 2016 (including BP Norge)
• USD 400 million of floating rate debt swapped to fixed rate until 2020 at rates below 1%
• Aker BP is a USD-company, but NOK exposure is high from Sverdrup investments, operating costs and tax payments
• Loss of production insurance for Alvheim, Ivar Aasen, Skarv and Valhall
• Covers loss of production after 60 days at net USD 50/bbl

Hedging Overview of current hedges

	2017	2018	2019
Foreign exchange rate hedges
% hedged of total NOK exposure	~40%	~40%	~30%
Type of structure	Collars + forwards	Collars + forwards	Forwards
Average Hedge Rate	8.04 – 8.84	8.26 – 8.57	8.45

AKER BP ASA 2016 guidance

Item		Actual Year-to-date Sept 30, 2016	Guidance Aker BP ASA FY 2016
	DETNOR BP Norge AS		(Economic exposure)*
2016 CAPEX	USD 626 million	USD 14 million	USD 910 - 930 million
2016 EXPEX	USD 176 million	USD 5 million	USD 240 – 260 million
2016 production	61.0 mboepd	56.0 mboepd	118 – 120 mboepd
2016 Production cost	USD 6.3 per boe	USD 19.3 per boe	USD ~13 per boe

Note: Guidance based on USD/NOK 8.5

* Effective date of the merger with BP Norge AS was January 1, 2016. For accounting purposes, BP Norge AS will be included in the financial accounts from September 30, 2016.

AKER BP ASA Creating the leading independent offshore E&P company

Unique capabilities

World class asset base

Financially robust

• Combining nimble business practices with IOC capabilities and 175 years of industrial experience
• Leveraging Det norske's improvement agenda and lean initiatives to revitalize business model

Combined production of 122 mboepd and reserves of 795 mmboe

Predominantly operated portfolio with 5 operated hubs with significant development potential

Inventory of high quality non-sanctioned discoveries

• Diversification of production and cash flow
• Strong balance sheet combined with attractive dividends
• Positioned for further growth

Appendix

FINANCIALS Statement of income

Income statement (USD mill)	Q3 2016	Q2 2016	FY 2015
Revenues	248	256	1,222
Production costs	32	39	141
Other operating expenses	6	5	52
EBITDAX	210	211	1,029
Exploration expenses	31	36	76
EBITDA	179	175	953
Depreciation	115	120	481
Impairment losses	8	(20)	430
Operating profit/loss (EBIT)	56	74	41
Net financial items	(5)	(29)	(155)
Profit/loss before taxes	51	45	(114)
Tax (+) / Tax income (-)	(13)	39	199
Net profit/loss	63	6	(313)
EPS (USD)	0.31	0.03	(1.54)

FINANCIALS Statement of financial position

Assets (USD mill)	30.09.16	30.09.15
Goodwill	1 858	948
Other intangible assets	1 701	898
Property, plant and equipment	4 383	2 929
Deferred tax assets	889	-
Calculated tax receivables (long)	22	0
Receivables and other assets	507	246
Calculated tax receivables (short)	133	8
Cash and cash equivalents	786	207
Total Assets	10 280	5 237

Equity and liabilities (USD mill)	30.09.16	30.09.15
Equity	2 579	495
Other provisions for liabilities incl. P&A (long)	2 400	555
Deferred tax	1 415	1 424
Bonds	526	511
Bank debt	2 640	1 842
Other current liabilities incl. P&A (short)	721	409
Total Assets	10 280	5 237

FINANCIALS Third quarter cash flow

¹⁷ * Including FX effect on cash held ** Including cash beginning of year of USD 1.5 million and FX effect on cash held