Aker BP

Earnings Release • Feb 6, 2017

AKERBP: Fourth quarter results 2016

AKERBP: Fourth quarter results 2016

Aker BP ASA ("the company" or "Aker BP") reported total income of USD 656 (255)

million in the fourth quarter of 2016. Production in the period was 126.5 (54.0)

thousand barrels of oil equivalent per day ("mboepd"), realising an average oil

price of USD 52 (45) per barrel and a gas price of USD 0.19 (0.22) per standard

cubic metre (scm).

"Aker BP continued to deliver a solid performance in the fourth quarter with

stable, safe and efficient operations. The Ivar Aasen production start-up 24

December - on schedule and within the overall budget framework - was a major

milestone for the company as operator. The company paid its first dividend in

December and aims to sustain a minimum dividend level of USD 250 million per

year going forward", CEO Karl Johnny Hersvik says.

Petroleum revenues were USD 542 (218) million, while other income was USD 114

(36) million. EBITDA amounted to USD 485 (208) million in the quarter and EBIT

was USD 281 (-95) million. Net loss for the quarter was USD 67 (156) million,

translating into an EPS of USD -0.20 (-0.77) after a tax charge of USD 277 (5)

million. Net interest-bearing debt amounted to USD 2,425 (2,532) million per

December 31, 2016.

Aker BP merger

After the merger, the integration between Det norske oljeselskap ASA ("Det

norske") and BP Norge AS was completed during the quarter, marking "day one" for

the new organisation. All licences and activity of BP Norge AS has been

transferred to Aker BP.

Operations and drilling

The Valhall area passed 1 billion boe produced late 2016 and preparations are

ongoing to resume drilling on the field from the injection platform in early

2017. Production from the Skarv area was high and stable in the quarter. Ula

production was impacted by shut-ins and well conversion.

Production from the Alvheim area has been stable and high in the fourth quarter,

positively impacted by the start-up of Viper-Kobra in November. The Transocean

Arctic drilling rig commenced infill drilling at Volund in December.

Development projects

A major milestone was achieved with the production start-up of Ivar Aasen in

December - on schedule and within the overall budget framework. The Johan

Sverdrup project is progressing according to plan and the pre-drilling campaign

was completed during the quarter. The development plan for the Oda development

was submitted to the authorities in November.

Exploration

Drilling on the Langfjellet prospect in PL442 in the North Sea was completed

during the fourth quarter. Preliminary volume estimates for the discovery are in

the range of 24 to 74 million barrels of oil equivalent.

As previously announced at Aker BP's Capital Markets Day in January 2017, total

net resource additions from exploration was 83 mmboe in 2016, stemming from the

Langfjellet discovery and the drilling campaign at Askja/Krafla.

On 17 January 2017, Aker BP was offered ownership in 21 new licenses, including

13 operatorship in the 2016 Awards in Pre-defined Areas.

Dividend

In December, the company paid its first dividend of USD 0.185 per share. The

next dividend payment, also of USD 0.185 per share is scheduled to be paid out

on or about February 17, 2017.

The ambition is to sustain a dividend of minimum USD 250 million per year in the

medium term and to increase the dividend level once Johan Sverdrup is in

production.

Please find the Q4 2016 report and presentation attached. A live webcast is

available from 8:30 CET at www.akerbp.com.

(Figures in brackets apply to the corresponding period in the previous year, and

is for 2015 not directly comparable as they represent Aker BP prior to the

merger with BP Norge AS.)

Contacts:

Investor contact: Jonas Gamre, VP Investor Relations, tel.: +47 971 18 292

Media contact: Ole-Johan Faret, Press Spokesman, tel.: +47 402 24 217

About Aker BP:

Aker BP is a fully-fledged E&P company with exploration, development and

production activities on the Norwegian Continental Shelf. Aker BP is the

operator of Alvheim, Ivar Aasen, Skarv, Valhall, Hod, Ula and Tambar. The

company is also a partner in the Johan Sverdrup field. Aker BP is headquartered

at Fornebu, Norway, and is listed on the Oslo Stock Exchange under the ticker

'AKERBP'. More about Aker BP at www.akerbp.com.