Aker BP

Earnings Release • Oct 22, 2019

Third quarter 2019 results

Aker BP delivered strong operational performance and exploration success during the third quarter. The company's field developments progressed as planned, paving the wayfor a significant increase in production in the coming months. Johan Sverdrup was brought on streamearlyOctober, and Valhall Flank West remains on track for first oil later this year. The companypaid a dividend of USD 187.5 million (USD 0.52 per share) in the quarter.

Aker BP reported total income of USD723 (785) million and operating profit of USD196 (354) million for the third quarter 2019. Net loss was USD43 million, compared to a net profit of USD62 million in the previous quarter.

The company's net production in the third quarter was 146.1 (127.3) thousand barrels of oil equivalents per day ("mboepd"). Net sold volume was 143.3 (140.7) mboepd. The production volumes were below plan mainly due to delays in the stimulation program at Valhall following the planned maintenance shutdown in June. Average realized liquids price was USD62.0 (69.3) per barrel, while the realized price for natural gas averaged USD0.16 (0.16) per standard cubic metre ("scm").

Production costs for the oil and gas sold in the quarter amounted to USD167 (198) million. Production cost per produced unit in the quarter amounted to USD13.2 (15.4) per boe, negatively impacted by the costs of approximately USD14 million related to an incident with the Mid Water Arch (MWA) at Alvheim. Any related insurance recoveries will be recognized in future periods.

Exploration expenses amounted to USD70 (60) million. Total cash spend on exploration was USD144 (119) million. The company completed six exploration wells in the quarter, of which the Liatårnet and Ørn wells were classified as discoveries. The Shrek well was completed and classified as a discovery after the end of the quarter.

Depreciation amounted to USD206 (168) million, equivalent to USD15.3 (14.5) per produced boe. Impairments amounted to USD78 (0) million related to technical goodwill on Ula/Tambar, mainly triggered by decreased near-term oil and gas prices and updated cost and production profiles.

Profit before taxes amounted to USD143 (268) million. Tax expense was USD186 (206) million, representing an effective tax rate of 130 (77) percent. The tax rate was negatively impacted by impairment of technical goodwill with no tax impact, and an increase in deferred tax primarily driven by currency movements. Overall, the company reported a net loss of USD43 million for the quarter.

Investments in fixed assets amounted to USD435 (414) million in the third quarter. All field development projects, including Johan Sverdrup, Valhall Flank West and Ærfugl progressed according to plan. Abandonment expenditures in the quarter were USD35 (40) million.

Net interest-bearing debt was USD3.3 (2.9) billion at the end of the quarter, including USD0.3 billion in lease debt. Total available liquidity at the end of the quarter was USD2.9 (3.3) billion.

InAugust, the company paid a quarterly dividend of USD0.5207 (NOK 4.44) per share. The Board has resolved to pay a quarterly dividend of USD187.5 million (USD0.5207 per share) in November 2019, implying total annual dividends of USD750 million.

Presentation, webcast and conference call details:

The full report and presentation are attached and can also be found on www.akerbp.com.

AkerBP-2019Q3-Report.pdf

AkerBP-2019Q3-Presentation.pdf

A live webcast will be available on our website from 08:30 (CEST).

To access the conference call, please contact the conference call operator at the telephone numbers listed below. Please call in 5 minutes prior to the scheduled start time and provide the confirmation code 22 166 52 or ask for theAker BP Third Quarter 2019 Presentation.

Location	Phone Number
Norway	+47 2100 2610
United Kingdom	+44 (0) 330 336 9125

Investor contact:

Kjetil Bakken, VP Investor Relations, tel.: +47 91 889 889

Lars Mattis Hanssen, Senior IR Professional, tel.: +47 99 459 460

Media contact:

Tore Langballe, VP Communications, tel.: +47 907 77 841

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 ofAlvheim, IvarAasen, 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 aboutAker BP at www.akerbp.com.

This information is subject to disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.