Galp Energia

Earnings Release • Jan 31, 2017

4Q16 Trading Update

This trading update aims to provide estimated macroeconomic, operational and trading conditions experienced by Galp during the fourth quarter of 2016.

The fourth quarter margins, prices, production and other data referred to below are currently provisional. All such data is subject to change and may differ from the final numbers that will be reported on February 21.

Market indicators

	3Q16	4Q15	4Q16	Var. 4Q16/3Q16	Var. 4Q16/4Q15
Average dated Brent price1 (USD/bbl)	45.9	43.8	49.3	7.6%	12.7%
UK NBP natural gas price2 (USD/mmbtu)	4.4	5.5	5.9	34.0%	6.4%
LNG Japan and Korea price1 (USD/mmbtu)	5.6	7.1	7.5	34.6%	5.6%
Benchmark refining margin1 (USD/bbl)	2.3	4.0	3.9	70.1%	(3.4%)

¹Source: Platts. For a complete description of the method of calculating the benchmark refining margin see page 2. ²Source: Bloomberg.

Operating indicators

Exploration & Production

	3Q16	4Q15	4Q16	Var. 4Q16/3Q16	Var. 4Q16/4Q15
Average working interest production (kboepd)	74.0	52.1	84.9	14.8%	63.2%
Oil production (kbpd)	68.8	48.9	75.6	9.8%	54.5%
Average net entitlement production (kboepd)	71.5	49.2	82.7	15.6%	67.9%

Refining & Marketing

	3Q16	4Q15	4Q16	Var. 4Q16/3Q16	Var. 4Q16/4Q15
Raw materials processed (mmboe)	29.4	28.8	28.8	(1.9%)	0.2%
Refined product sales (mton)	4.6	4.5	4.6	(1.2%)	1.3%
Sales to direct clients (mton)	2.3	2.2	2.2	(4.0%)	(2.0%)

Gas & Power

	3Q16	4Q15	4Q16	Var. 4Q16/3Q16	Var. 4Q16/4Q15
NG supply total sales volumes (mm3 )	1,750	1,692	1,861	6.4%	10.0%
Sales to direct clients (mm3 )	950	992	1,048	10.3%	5.6%
Trading (mm3 )	800	700	814	1.7%	16.2%

Benchmark margin methodology

45% Hydrocraking refining margin: Yields: -100% Brent dated, +2.2% LGP FOB Seagoing (50% Butane + 50% Propane), +19.1% EuroBob NWE FOB Bg., +8.7% Naphtha NWE FOB Bg., +8.5% Jet NWE CIF, +45.1% ULSD 10 ppm NWE CIF Cg. +8.9% LSFO 1% FOB Cg; C&L: 7.4%; Terminal rate: \$1/ton; Ocean loss: 0.15% over Brent; Freight 2015: WS Aframax (80 kts) Route Sullom Voe / Rotterdam – Flat \$6.95/ton. Yields in % of weight.

42.5% Rotterdam cracking refining margin : Yields: -100% Brent dated, +2.3% LGP FOB Seagoing (50% Butane + 50% Propane), +25.4% EuroBob NWE FOB Bg., +7.5% Naphtha NWE FOB Bg., +8.5% Jet NWE CIF, +33.3% ULSD 10 ppm NWE CIF Cg. and +15.3% LSFO 1% FOB Cg.; C&L: 7.7%; Terminal rate: \$1/ton; Ocean loss: 0.15% over Brent; Freight 2015: WS Aframax (80 kts) Route Sullom Voe / Rotterdam – Flat \$6.95/ton. Yields in % of weight.

7% Base Oil refining margin yield: -100% Arabian Light, +3.5% LGP FOB Seagoing (50% Butane + 50% Propane), +13.0% Naphtha NWE FOB Bg., +4.4% Jet NWE CIF, 34.0% ULSD 10 ppm NWE CIF, +4.5% VGO 1.6% NWE FOB Cg.,+ 14% Base Oils FOB, +26% HSFO 3.5% NWE Bg.; Consumptions: -6.8% LSFO 1% CIF NWE Cg.; C&L: 7.4%; Terminal rate: \$1/ton; Ocean loss: 0.15% over Arabian Light; Freight 2015: WS Aframax (80 kts) Route Sullom Voe / Rotterdam – Flat \$6.95/ton. Yields in % of weight.

5.5% Rotterdam aromatics refining margin yield: -60% EuroBob NWE FOB Bg., -40% Naphtha NWE FOB Bg., +37% Naphtha NWE FOB Bg., +16.5% EuroBob NWE FOB Bg., +6.5% Benzene Rotterdam FOB Bg., +18.5% Toluene Rotterdam FOB Bg., +16.6% Paraxylene Rotterdam FOB Bg., +4.9% Ortoxylene Rotterdam FOB Bg. Consumption: -18% LSFO 1% CIF NEW. Yields in % of weight.

Galp Energia, SGPS, S.A. Investor Relations:

Pedro Dias, Head Otelo Ruivo, IRO Cátia Lopes João G. Pereira João P. Pereira Teresa Rodrigues Contacts: Tel: +351 21 724 08 66 Fax: +351 21 724 29 65

Address: Rua Tomás da Fonseca, Torre A, 1600-209 Lisboa, Portugal Website: www.galp.com Email:investor.relations@galp.com

Reuters: GALP.LS Bloomberg: GALP PL

This announcement may include forward-looking statements. Forward-looking statements are statements other than in respect of historical facts and accordingly actual events or results may differ materially from those expressed or implied by such forward-looking statements. Important factors that may cause actual results to differ from forward-looking statements are referred in the Annual Accounts Report of Galp for the year ended 31 December 2015. Galp does not intend to, and expressly disclaims any duty, undertaking or obligation to, make or disseminate any supplement, amendment, update or revision to any of the information, opinions or forward-looking statements contained in this announcement to reflect any change in events, conditions or circumstances.