sign in sign up
<<
Home , Eurasia, Isesaki

14 Segment Overview Segment Operating income(¥million) Net sales(¥million) Net sales Number of projects Number of countries Number of INPEX CORPORATIONINPEX Net production (thousandboed) Proved reserves (millionboe) Reserves Other Under exploration Preparation fordevelopment Under development In production / / Production Operating income

Annual Report 2016 Report Annual 7 2011 2011 406,828 214 235,814 367 2012 & & Asia 2012 483,187 201 299,599 1,551 22 20 20 u 13 485,275 13 179

p. 16 p. 281,623 1,296 39 2014 2014 485,069 167 264,849 1,245 2015 2015

409,776 166 1

178,225 1,218 2 14 2016 2016 302,871 185 97,204 1,145 2011 2011 68,319 28 36,461 210 4 2012

2012

84,325 25 Eurasia 47,076 188 20 20

13 25 13 85,541 190 u

41,752 p. 24 p. 2 2014 2014 96,341 26 1 42,601 191 6 2015 2015 94,050 27 32,228 197 2016 2016 66,852 32 13,832 188 3 Middle East 6 2011 2011 350,735 135 & 243,113 583 2012 2012 500,033 155 354,136 518 2 u 20 20

p. 26 p. 13 13 520,835 158 357,343 505 9 2014 2014 621,513 168 421,184 857 2015 2015 524,528 169 333,213 783 7 2016 2016 516,513 248 290,866 1,742 2011 2011 7 12,673 21 （3,035） 30 2012 2012 5,525 18 （5,518） 36 20 20 u 5 13 13 5,945 17 p. 28 p. （6,089） 68 1 15 2014 2014 11,435 20 （7,646） 65 2015 2015 13,351 21 （15,303） 74 9 2016 2016 13,727 23 （14,002） 36 2011 2011 INPEX CORPORATIONINPEX 104,525 25 1 25,959 117 2012 2012 113,662 28 24,607 138 20 20 u (Approx. 1,400km) 13 13 Minami-Nagaoka 118,937 29 pipeline network

p. 30 p.

28,568 130 Naoetsu LNG Natural gas Gas Field Terminal 2014 2014

Annual Report 2016 Report Annual 27

120,268 etc. 22,771 174 2015 2015 129,522 25 16,693 163 2016 2016 109,601 26 12,096 153

15 Project Overview Project 4 Project Overview by

Asia & Oceania In the Asia and Oceania region, INPEX holds participating interests in the Offshore Mahakam Block in , which is contributing significantly to earnings, and the large-scale Ichthys and Abadi LNG projects, where development and preparatory development activities are under way. The Company is also actively advancing more than 20 exploration projects with growth potential across the region.

16 INPEX CORPORATION Annual Report 2016 4 Project Overview 17 Annual Report 2016

Interest owned Interest (*Operator) INPEX 50% TOTAL* 50% TOTAL* 50% INPEX 50% 50% Chevron* INPEX The The Offshore Mahakam Block INPEX CORPORATION 1 has begun to see output decline after decline after has begun to see output more than 40 years of production. In 2012, impediments in in output, drop wells led to a large at production Thereafter, attrition. natural to addition to control taken steps were successful the decline in production by advanc- problems to counter sand ing efforts which the the pace at and accelerate Company undertakes development well drilling. Despite these to still expected is production ors, endeav- in the future. gradually decrease 1: Booster station 2: Offshore platform during well drilling work during platform 2: Offshore 1: Booster station Sisi Field Tunu Field Tunu Nubi Field Attaka Field Peciko Field Bekapai Field Attaka Unit Venture company Venture (established) INPEX CORPORATION INPEX 1966) 21, (February Oil and gas field Offshore Mahakam Block South Mahakam Field Oil field Gas field Bontang LNG Plant Santan Terminal Badak Field Nilam Field Field Tambora Handil Field Senipah Terminal Balikpapan INDONESIA 2 quently made a series of discoveries in the Bekapai (oil), Handil (oil), Tam- bora (oil and gas), Tunu (gas), Peciko as the as well Sisi and Nubi (gas), (gas), South Mahakam (gas), fields, each of crude to produce which has continued oil and natural gas. The crude oil and these from produced condensate fields are shipped mainly to oil refin- Japan in eries and power companies Senipah and Santan the from tanker by terminals. Most of the natural gas Plant, LNG Bontang to the supplied is and then shipped as LNG to custom- and elsewhere. Japan ers in - Project status Project of on the basis of rate FY2015) (production all fields and average Crude oil: 73 Mbbld 1,452 gas: Natural MMcf/d In production LPG: 7 Mbbld Offshore Mahakam Block and Attaka Unit Attaka Block and Mahakam Offshore Contract area area Contract (block) Offshore Mahakam Offshore Attaka Unit Attaka 1 shar into a production entered INPEX ing contract (PSC) with the Indonesian Government in October 1966, at that time acquiring a 100% interest in the Offshore Mahakam Block. The Attaka Unit was established in of the unitization of part through the April 1970 adjacent blocks owned by INPEX and com- each with Chevron), (now Unocal pany taking a 50% interest. tion of gas has crude oil and natural Produc- continued since 1972. INPEX farmed out 50% of its interest in the Offshore Mahakam Block to CFP (now TOTAL) in July 1970. This venture subse- 2 South Natuna Block B

FPSO vessel In July 1977, INPEX acquired a 17.5% South Natuna, utilize a -class interest in the South Natuna Sea Block floating production, storage and off- Natuna Sea B in Indonesia. Later, in January 1994, loading (FPSO) system. Production of North Belut South Natuna Sea Belida Kerisi Block B INPEX increased its total interest in the crude oil and condensate began in Bawal block to 35% with the purchase of an December 2004, with LPG production additional interest. Crude oil produc- commencing in April 2007. After 2006 tion began in 1979, and supplies of at this same block, production began at South Belut Natuna Island natural gas to Singapore via Indone- the Hiu Gas, Kerisi Oil and Gas, North Hiu Belanak sia’s first international pipeline com- Belut Gas and Bawal Gas fields. Most Gas field Oil field Oil and gas field menced in 2001. Additional deliveries recently, production commenced at of natural gas from this pipeline to the South Belut Gas Field in April 2014. started in 2002. These supply Project status milestones contributed to the exten- Contract area Venture company Interest owned (production on the basis of all fields and (block) (established) (*Operator) sion of the PSC covering the block average rate of FY2015) until 2028. Crude oil: 22 Mbbld INPEX Natuna 35% South Natuna INPEX Natuna, Ltd. Production operations in the Bela- In production Natural gas: 253 MMcf/d ConocoPhillips* 40% Sea B (September 1, 1978) nak oil and gas field, which is part of LPG: 9 Mbbld Chevron 25%

3 Sebuku Block Ruby Gas Field In September 2010, INPEX obtained Bontang LNG Plant Fertilizer plant a 15% interest in the Sebuku Block off Attaka Field Santan Terminal the shore of South Makassar, Indone- Tunu Field sia. Thereafter, work began to develop Senipah Terminal the Ruby Gas Field in the block, and Balikpapan Peciko Field production of natural gas followed in South Mahakam Field October 2013. The natural gas pro- Kalimantan duced here is transported from off- Makassar Strait shore production facilities via undersea INDONESIA pipeline to onshore storage facilities Sebuku Block that receive products from the Offshore Sulaewesi Mahakam Block. The natural gas is then Gas field mainly sent via inland pipeline to a fer- Oil field Ruby Gas Field tilizer plant in East Kalimantan. Offshore production facility in the Ruby Gas Field

Contract area Project status Venture company Interest owned (block) (production on the basis of all fields and average rate of FY2015) (established) (*Operator) INPEX South Makassar, Ltd. INPEX South Makassar 15％ Sebuku In production (Natural gas: 91 MMcf/d) (May 17, 2010) PEARL OIL (Sebuku) Ltd.* 70% TOTAL 15%

18 INPEX CORPORATION Annual Report 2016 4 Project Overview 19 Gas field INDONESIA Annual Report 2016

Darwin Tanimbar Island 1: Production test 2: Drillship for the Abadi LNG Project test 2: Drillship for the 1: Production Abadi Gas Field Sea INPEX CORPORATION 1 ％ Interest owned (*Operator) Interest Masela* 65% INPEX Shell 35 of a substantially greater certified was which reserves, gas natural volume of by the Indonesian authorities. Having considered ways to optimize of a development plan centered on a large- scale FLNG, for example by increasing selection concept and volume reserve studies, the Company development the for plan revised submitted a an with plant FLNG an on based annual LNG processing 7.5 capacity million of tons authorities in September 2015. In April to the Indonesian the 2016, however, Company received Indonesian the from notification a authorities instructing it to re-propose of plan a on based development onshore LNG. The Company's policy of aiming for and unchanged, remains development the early start-up implementation the pursue will INPEX of of in the most economically the project and technically rational way, in close and Shell partner its with cooperation authorities. Indonesian the - INPEX Masela, Ltd. Masela, INPEX 1998) (December 2, Project statusProject company (established) Venture Preparation for Preparation development In In December 2010, Indonesian appraisal three drilled also INPEX Abadi LNG Project Contract area (block) area Contract Masela 2 INPEX INPEX acquired a the 100% Masela Block interest in in November through an open bid conducted 1998 by the and subse- Indonesian government quently went about exploratory activ- the discovering ities as the operator, explor first the through Field Gas Abadi atory well drilled in 2000. The Company The well drilled in 2000. atory wells appraisal two drilled subsequently in 2002 and four in 2007–2008, all which of confirmed the presence of gas reservoirs. and condensate plan initial the approved authorities of development (POD-1) an with plant (FLNG) LNG floating a deploying annual processing capacity million and tons, from November 2012 of 2.5 to November 2014, INPEX undertook SURF (subsea, umbilical, work. FEED FLNG and flowline) riser and wells between 2013 and of aim the of volume the expanding 2014 with recoverable reserves. Evaluations confirmation in the resulted wells these of 4 5 The Ichthys LNG Project and Surrounding Blocks

Project Overview Status of Development Work June 2016, the installation of 90% In 1997, INPEX placed an open ten- As of March 2016, project progress of the more than 200 modules had der bid to acquire the petroleum rate was approximately 84%. Look- been completed. In moving toward exploration permit WA-285-P, located ing at the status of offshore facilities, the commencement of operations of approximately 200 km northwest of work continues on the construction of both the offshore and onshore facili- ’s Kimberley coast. a central processing facility (CPF) and ties, the Company is paying maximum This bid was accepted in August 1998. a floating production, storage and attention to safety while making prog- During the initial phase of explora- offloading (FPSO) facility. Installation ress with a variety of tasks. tion, which began in March 2000, the of the topside modules for both off- Company drilled three exploratory shore facilities has been completed. Surrounding Exploration Blocks wells that confirmed the presence Currently, internal construction work INPEX holds 12 exploration blocks in of gas and condensate. As part of a and commissioning are under way. the vicinity of the Ichthys gas-conden- second drilling campaign, INPEX con- The installation of the chains anchor- sate field and is currently engaging ducted three-dimensional seismic ing the CPF and FPSO on the in exploration activities. Of this total, surveys while drilling an additional was completed in April 2016. As evaluation work on the gas already two wells. These activities helped to regards other offshore-related work, discovered at the three WA-56-R, identify the existence of sufficient the laying of the 890-km-long gas WA-281-P, and WA-274-P blocks is recoverable reserves of gas and con- export pipeline (GEP) that will con- under way. In the event that substan- densate to warrant commercial devel- nect the Ichthys gas-condensate field tial amounts of crude oil and natural opment. From 2009, the Company with onshore facilities in Darwin was gas are confirmed as a result of this undertook front-end engineering and completed in November 2015. The exploration and evaluation activity, design (FEED) operations, acquired drilling of production wells remains synergies and other effects with the government approval and engaged ongoing. With regard to the onshore Ichthys LNG Project are expected to in LNG marketing and other related facilities, the Company has finished further expand business. activities. A final investment decision the delivery and installation of all the (FID) was made in January 2012, trig- modules of 1st train (natural gas liq- gering the start of fully fledged devel- uefaction facilities) and is currently opment work. carrying out connection work. As of

1 2

3 4 1: FPSO under construction 2: ENSCO5006 drilling rig for a production well 3: Subsea wellhead assembly installation operations 4: CPF under construction

20 INPEX CORPORATION Annual Report 2016 4 Project Overview 21 s flare tower s flare ’ Annual Report 2016

INPEX Browse E&P Pty* 50% Browse INPEX Murphy 50% E&P Pty* 100% Browse INPEX E&P Pty 20% Browse INPEX 50% Santos* 30% Chevron E&P Pty 40% Browse INPEX Santos* 60% E&P Pty 40% Browse INPEX Santos* 60% E&P Pty 40% Browse INPEX Santos* 60% E&P Pty 40% Browse INPEX Santos* 60% INPEX Browse E&P Pty* 60% E&P Browse INPEX TOTAL 40% E&P Pty 20% Browse INPEX 50% Santos* 30% Chevron E&P Pty 20.0000% Browse INPEX Santos* 47.8306% 24.8300% Chevron 7.3394% Beach Interest owned Interest (*Operator) INPEX Ichthys Pty* 62.245% TOTAL 30.000% CPC 2.625% Gas 1.575% Gas 1.200% 1.200% Electric Power Kansai 0.735% Chubu Electric Power Gas 0.420% Toho INPEX Browse E&P Pty* 60% E&P Browse INPEX TOTAL 40% INPEX CORPORATION Venture company (established) INPEX Ichthys Pty. Ltd. (April 5, 2011) Browse INPEX Ltd. E&P Pty. (October 21, 2013) - - - Under exploration Under exploration Project status Project Under development Under exploration Under exploration Under exploration Under exploration (Oil/gas reser voirs confirmed) (Oil/gas reser voirs confirmed) (Oil/gas reser voirs confirmed) WA-494-P WA-274-P/ WA-58-R WA-502-P WA-504-P WA-513-P WA-514-P AC/P36 WA-281-P WA-57-R Contract Contract area (block) WA-50-L WA-51-L WA-285-P WA-343-P WA-56-R 8: Onshore liquefaction plant module installation operations 9: Onshore gas liquefaction plant 9: Onshore operations liquefaction plant module installation 8: Onshore 6 P36 / WA-56-R AC WA-343-P WA-285-P WA-494-P AUSTRALIA 9 5: Gas export pipeline laying work 6: Onshore gas liquefaction plant under construction 7: Operations to install an FPSO gas liquefaction plant under construction 7: Operations laying work 6: Onshore pipeline 5: Gas export Ichthys WA-50-L WA-51-L 513-P -281-P -514-P Ichthys gas-condensate field WA WA-502-P WA WA-57-R WA-274-P/ WA-58-R WA- WA-504-P 8 7 5 6 Prelude FLNG Project (WA-44-L Block)

In June 2012, we acquired from Shell Prelude and Concerto gas fields and the world’s first FLNG project, in May a 17.5% interest in the Prelude FLNG will approximately produce 3.6 mil- 2011. Development of the Prelude Project, which is located in WA-44-L, tons per year of LNG, 400 thou- FLNG Project is currently under way, approximately 475 km north-northeast sand tons per year of LPG at peak and with the start of production targeted of Broome, off the coast of Western approximately 36 thousand barrels at around 10 years from when the Pre- Australia. A production, liquefaction per day of condensate at peak. lude Gas Field was first discovered in and shipment project using FLNG, the Shell (the operator) made the FID early 2007. Prelude FLNG Project consists of the on the Prelude FLNG Project, which is

Timor Sea

Concerto Gas Field WA-44-L Prelude Gas Field

Ichthys Gas-Condensate Field

AUSTRALIA Gas field

FLNG vessel

Contract area (block) Project status Venture company (established) Interest owned (*Operator) WA-44-L Under development INPEX Oil & Gas Australia Pty. Ltd. (February 28, 2012) INPEX Oil & Gas Australia 17.5% Shell* 67.5% KOGAS 10.0% CPC 5.0%

7 Tangguh LNG Project (Berau Block)

MI Berau B.V., jointly established by a stake in KG Berau Petroleum Ltd., of the production sharing contract INPEX and Mitsubishi Corporation, effectively increasing the Company’s (PSC) and project development plans acquired an interest in the Berau Block interest to around 7.79% in the Tang- for the Tangguh LNG Project through in October 2001. In October 2007, guh LNG Project. 2035. Development work commenced MI Berau Japan Ltd., a joint venture In March 2005, the Indonesian thereafter, and the first shipments of with Mitsubishi Corporation, acquired Government approved an extension LNG began in July 2009.

Papua Province (Indonesia)

Berau Block

Gas field

Shipping facility

Contract area Project status Venture company Interest owned (block) (production on the basis of all fields and average rate of FY2015) (established) (*Operator) Ml Berau 22.856% BP* 48.000％ Berau Nippon Oil Exploration (Berau) 17.144% KG Berau 12.000% Crude oil: 6 Mbbld MI Berau B.V. In production MI Berau 16.3% *BP 37.16% CNOOC 13.9% Tangguh Natural gas: 1,035 MMcf/d (August 14, 2001) Nippon Oil Exploration (Berau) 12.23% KG Berau 8.56% Unit LNG Japan 7.35% Talisman 3.06% KG Wiriagar 1.44%

22 INPEX CORPORATION Annual Report 2016 4 Project Overview 23 Darwin Oil field AUSTRALIA INDONESIA Van Gogh FPSO vessel Van Annual Report 2016

Gas field Abadi Gas Field Timor Sea Timor Development Area Joint Petroleum Darwin Gas Pipeline Bayu-Undan Gas-Condensate Field INPEX CORPORATION Interest owned Interest (*Operator) 52.501% Alpha 47.499% Quadrant* INPEX 52.501% Alpha 47.499% Quadrant* INPEX Alpha 28.500% BHPBP* 39.999% INPEX 31.501% Quadrant INPEX Alpha 18.670% Quadrant* 40.665% Alpha 18.670% Quadrant* INPEX 6.555% Tap 7.000% JX 27.110% OMV EAST TIMOR EAST joint development of the Bayu-Undan Gas-Condensate Field to The commercial production and ship- proceed. ment of and LPG started condensate 2006. and LNG in February in 2004, ） Venture Venture company (established) INPEX Ltd. Alpha, (February 1989) 17, Oil field Part II （ Barrow Island Barrow Onslow WA-155-P Bayu-Undan offshore facility Bayu-Undan offshore Interest owned Interest (*Operator) INPEX Sahul 19.2458049% ConocoPhillips* 61.3114766% Santos 19.4427185% INPEX Sahul 11.378120% ConocoPhillips* 56.943372% Eni 10.985973% Santos 11.494535% Tokyo Timor Sea Resources (TEPCO/Tokyo Gas) 9.198000% AUSTRALIA

Van Gogh Oil Field Van WA-35-L & WA-55-L & WA-35-L Unitization Ravensworth Oil Field WA-43-L 12 Block) 12 INPEX Sahul, Ltd. (March 30, 1993) Venture company Venture (established) - Exmouth of oil and gas fields. Of these, the Undan structure that ies revealed stud- and the Bayu structure in the adjacent single a were area contract JPDA03-13 unitized holders interest The structure. both contract areas in 1999, allowing Project status Project on the basis of(production all of rate FY2015) fields and average In production (Crude oil: 15 Mbbld) In production (Crude oil: 11 Mbbld) In production Under exploration (JPDA03 ) Crude oil: 21 Mbbld gas: 586 Natural In production MMcf/d LPG: 13 Mbbld Project status Project on the basis of(production all of rate FY2015) fields and average Ⅱ Bayu-Undan Project Bayu-Undan Project Van Gogh Oil Field, Ravensworth Oil Field and Others Oil Field and Gogh Oil Field, Ravensworth Van JPDA03-12 Bayu-Undan Unit Contract area Contract (block) Contract area (block) area Contract WA-35-L (Van Gogh Oil Field) (Van WA-35-L area Unitization WA-55-L & WA-35-L Oil Field) (Ravensworth WA-43-L (Part WA-155-P In April 1993, interest in JPDA03-12, a contract INPEX area acquired an located in the Timor Sea JPDA, which is jointly managed by Australia East and Timor. Exploration in resulted contract area the discovery within this INPEX acquired interests in offshore offshore in interests acquired INPEX Western Australia I) in WA-155-P July 1999, Gogh and (Part after Ravensworth oil which fields were the Australian The Government discovered. Van licenses for the production granted above oil fields as which at oil production blocks, WA-43-L the WA-35-L and commenced in February and August of The development 2010, respectively. of the Coniston Oil Field, which saddles WA-35-L and WA-55-L, in was December started 2011, in May 2015. commenced production and crude oil 9 8 Eurasia The Company’s activities in this region revolve mainly around the ACG projects in and the Kashagan project in , large-scale oil projects. The Company has been aggressively exploring for resources with the acquisition of exploration projects in Green- land and the region of .

1 Offshore North Contract Area (Kashagan Oil Field and Others)

In September 1998, INPEX acquired development work, the Kashagan Oil was also confirmed in the surrounding an interest in the Offshore North Cas- Field began producing crude oil in Kalamkas, Aktote and Kairan struc- pian Sea Contract Area in Kazakhstan’s September 2013, but production was tures. Appraisal of these three struc- territorial waters. The Offshore North suspended due to gas leaks from the tures is continuing in parallel with the Caspian Sea Contract Area consists pipeline. development of the main Kashagan of two blocks: the East Block is about Besides the Kashagan field, the field with a view to expanding the total 4,300 km2 and the West Block is about presence of hydrocarbon reserves production of the contract area. 1,275 km2 in area (for a total of about 5,575 km2). The Kashagan Oil Field, which is in the East Block, is located in the Caspian Sea at depths of 3–5 m and is approximately 75 km southeast of , Kazakhstan. Since the first exploratory well was drilled in September 1999, the Kashagan Oil Field was confirmed in 2000 and commercial discover- ies were announced in 2002. After Offshore facility

Contract area (block) Project status Venture company (established) Interest owned Offshore Production under INPEX North Caspian Sea, Ltd. INPEX North Caspian Sea 7.56% Eni 16.81% ExxonMobil 16.81% North Caspian Sea suspension (August 6, 1998) KMG 16.87% Shell 16.81% TOTAL 16.81% CNPC 8.33%

24 INPEX CORPORATION Annual Report 2016 2 ACG Oil Fields

INPEX acquired an interest in the Aze- Oil Fields, oil is being produced at ri-Chirag-Gunashli (ACG) Oil Fields in the Chirag, the Central Azeri, the West a region of the south Caspian Sea in Azeri, the East Azeri, the Deepwater Azerbaijan in April 2003. At the ACG Gunashli and the West Chirag.

Project status Contract (production on Venture company Interest owned area the basis of all fields (established) (*Operator) (block) and average rate of FY2015) INPEX Southwest Caspian Sea 10.96% INPEX Southwest In production BP* 35.78% Chevron 11.27% SOCAR 11.65% ACG Caspian Sea, Ltd. (Crude oil: 632 Mbbld) Statoil 8.56% ExxonMobil 8.00% TPAO 6.75% (January 29, 1999) Offshore production facilities Itochu 4.30% ONGC 2.72%

KAZAKHSTAN Atyrau

RUSSIA

Offshore North Caspian Sea Contract Area 4 Project Overview

Black Sea Caspian Sea GEORGIA Tbilisi Baku

ARMENIA AZERBAIJAN BTC Pipeline ACG Oil Fields

Ceyhan

Mediterranean Sea IRAN IRAQ Oil field

3 BTC Pipeline Project

The 1,770-km BTC pipeline stretches in June 2006. Total transportation from Baku in Azerbaijan on the coast of capacity stands at 1.2 million barrels the Caspian Sea to Ceyhan in Turkey. per day, mainly for crude oil produced Full-scale operation commenced in the ACG Oil Fields in Azerbaijan.

Contract area Venture company Interest owned (block) (established) (*Operator) INPEX BTC Pipeline 2.50% BP* 30.10% INPEX BTC Pipeline, Ltd. Azerbaijan (BTC) Limited 25.00% Chevron 8.90% BTC Pipeline (October 16, 2002) Statoil 8.71% TPAO 6.53% Eni 5.00% TOTAL 5.00% Itochu 3.40% CIECO 2.50% ONGC 2.36% Shipping terminal

INPEX CORPORATION Annual Report 2016 25 Middle East & Africa In the Middle East, the ADMA Block in Abu Dhabi in the United Arab Emirates and the ADCO Block, in which INPEX took up a participating interest from April 2015, are contributing sub- stantially to the Company’s oil production capacity. In Africa, oil production is ongoing at various locations including the Offshore Angola Block 14.

1 ADMA Block

In May 2004, INPEX made Japan Oil artificial islands, as well as Phase 2 Development Co., Ltd. (JODCO), a development and other work, with the wholly owned subsidiary by acquir- aim of engaging in overall production at ing all of the JODCO shares held by the Umm Lulu and Nasr oil fields. Japan National Oil Corporation (at that time) through a share exchange. Satah Field JODCO owns an interest in the ADMA Nasr Field Das Block located offshore Abu Dhabi in the Island Umm Shaif Field United Arab Emirates. Oil production Upper Zakum/ Lower Zakum currently spans seven fields in the block. Field Zirku Island In addition, a number of Umm Al-Dalkh Field development projects are under way Umm Lulu Field Zirku Island to maintain and expand oil output, Abu Dhabi such as redevelopment of the Upper U.A.E. Oil field Subsea pipeline Zakum Oil Field involving the use of

Contract area (block) Project status Venture company (established) Interest owned Umm Shaif, Lower Zakum, Umm Lulu Field, Nasr Field JODCO 12.00% ADNOC 60.00% BP 14.67% TOTAL 13.33% Upper Zakum Field Japan Oil Development Co., JODCO 12.00% ADNOC 60.00% ExxonMobil 28.00% In production Ltd. (JODCO) Umm Al-Dalkh Field (February 22, 1973) JODCO 12.00% ADNOC 88.00% Satah Field JODCO 40.00% ADNOC 60.00%

26 INPEX CORPORATION Annual Report 2016 4 Project Overview 27 s interest) ’ Democratic Democratic ofRepublic Congo ANGOLA Onshore pipeline Onshore JODCO 5%, etc. 5%, JODCO Interest owned Interest Annual Report 2016

Cabinda Cabinda The State of State The CONGO Ocean Atlantic s largest deposits of deposits is largest s and oil ’ Offshore Offshore Angola Block 14 INPEX CORPORATION Participating through a joint venture a joint venture through Participating company with TOTAL acquired a S.A., 9.99% indirect interest INPEX in the oil-producing Angola Block 14 in approximately Located 2013. February 100 km Angola, Block 14 includes discovered offshore from and undeveloped fields. Crude Cabinda, oil is currently being produced from four and steps are development areas, to pursue exploration being taken potential within the block. that that came into effect 2015. on The January concession 1, is one world of the made made up to 15 principal onshore fields oil in Abu Dhabi of remain four and production in which currently 11 are to being taken are Steps undeveloped. aim the with work development pursue capacity toof oil production increasing day. per barrels million 1.8 Interest owned Interest (*Operator) of9.99% (including 20.00% INPEX B.V. 14 Block Angola Chevron* 31.00% Sonangol 20.00% Eni 20.00% Galp 9.00% Chevron* JODCO Onshore Limited (April 15, 2015) (April 15, Limited Onshore JODCO Production facility Production In production Project statusProject company (established) Venture Venture company Venture (established) B.V. 14 Block Angola 2012) (April 19, ADCO Contract area (block) area Contract Through Through its wholly owned subsidiary, Japan Oil interest 5% a acquired INPEX (JODCO), Development Co., in Ltd. the ADCO Onshore Concession in Abu Dhabi in April 2015 following its participation bid. The Company also concluded a 40-year agreement with the Supreme Petroleum the Council Emirate of of Abu (ADNOC) Company Oil National Dhabi Dhabi and Abu Concession agreement signing ceremony held in April 2015 held in signing ceremony agreement Concession Undeveloped oil fields Abu Dhabi Project status Project of on the basis of rate FY2015) (production all fields and average In production (Crude oil: 109 Mbbld) In production Crude oil pipelines Offshore Angola Block 14 ADCO Onshore Concession Onshore ADCO Oil field in production Contract area Contract (block) Offshore Offshore 14 Block Angola United Arab Emirates 3 2 Americas In , INPEX participates in shale gas projects and others. The Company is also engaged in projects including a major deepwater exploration project in the U.S. Gulf of (Lucius) and offshore oil projects in Brazil.

28 INPEX CORPORATION Annual Report 2016 4 Project Overview 29 Oil field Oil field BM-ES-23 ) ％ ％ Ship Shoal Block 72 Annual Report 2016

Edmonton Calgary Walker Ridge 95/139 Walker アメリカ合衆国 Other 68.4 ％ Lucius Oil Field Other 6.34% Blocks 874/875/918/919 ( Interest owned (*Operator) owned Interest 40% Columbia British Gas INPEX 60% Nexen* ％ Frade Project Vitoria Frade Japão Petróleo 18.2609% Petróleo Japão Frade 30.0000% 51.7391% Petrobras Chevron* Santos 15% Petróleo INPEX 20% 65% PTTEP Petrobras* Interest owned Interest (*Operator) BRAZIL Cuervito/ Fronterizo Blocks Campos Campos Vancouver INPEX CORPORATION Anadarko* 23.8 Anadarko* Teikoku Oil () 7.8 Oil (North Teikoku INPEX GulfINPEX of 12.29% Shell* Mexico 42.37% 25 Anadarko* Interest owned Interest (*Operator) (Operator: Anadarko (Block 95); Shell (Block 139)) Anadarko (Operator: Macae MEXICO British Columbia Shale Gas Project Prince Rupert Prince Venture company (established) company Venture Ltd. Columbia British Gas INPEX 2011) 28, (November

Project status Project production In (partly) Frade Japão Petróleo Japão Frade 1999) 5, (July Limitada (FJPL) INPEX Petróleo Santos Ltda. (January 19, 2007) Venture company Venture (established) CANADA INPEX Co., Ltd. Gulf INPEX of Co., Mexico 2010) 28, (April Venture company Venture (established) Ltd. America) Co., Oil (North Teikoku 2003) (May 30, The The Company first participated in Horn River, River, Horn areas Liard and Cordova Contract area (block) area Contract Espírito Santo Basin off the southeast Espírito Santo Basin off the southeast coast of Brazil in February 2010, the Company is advancing activities together with other compa- exploration - Petro including the operator, nies, bras. Up to now, quality oil and gas deposits the has been presence of confirmed at the same concession as a result of exploratory and appraisal well drilling. In 2015, the wells and is con- drilled two appraisal Company of at deposits oil presence the firming one of them. the deepwater Walker Ridge 95/139 in the Gulf block project exploration of Mexico in February 2011. Having ofconfirmed the presence crude oil the in Company is well, an exploratory well. drilling a follow-up appraisal - s ’ Crude oil: 71 Mbbld Crude oil: 71 (Oil/gas reservoirs confirmed) (Oil/gas reservoirs Project status Project on the basis of(production all fields and of rate FY2015) average Under exploration In production Natural gas: 74 MMcf/d (Oil/gas reservoirs confirmed) (Oil/gas reservoirs Crude oil: 23 Mbbld Frade Block, Other) Block, (Frade Under exploration Under exploration Project status Project of on the basis of rate FY2015) (production all fields and average In production Natural gas: 2 MMcf/d Having also acquired a 15% inter 15% a acquired also Having In the coming years, the Com- U.S. Gulf of Mexico Projects and Others Gulf of Projects Mexico U.S. Brazil Brazil Shale Gas Project in Canada Shale Gas Project BM-ES-23 Contract Contract (block) area Frade Project Walker Ridge Blocks Ridge Walker 95/139 Contract area area Contract (block) Blocks 874/875/918/919 Blocks Oil Field) (Lucius est in the BM-ES-23 concession in the offshore Northern Campos basin in July in basin Campos Northern offshore 1999. Commercial production started in June 2009. Crude oil was production temporarily suspended in March oil small a of presence the to due 2012 sheen but safely resumed at the end ofApril 2013. A A joint venture established by INPEX and Sojitz Corporation, Frade Japão an acquired Limitada (FJPL) Petróleo Block in Brazil in the Frade interest In August 2012, in the Gulf Field Oil Lucius deepwater INPEX joined the interest 7.2% a acquired and Mexico of from U.S.-based Anadarko Petroleum Corporation. Oil and gas production has proceeded Oil Field the Lucius at steadily since its commencement in 2015. January pany will proceed with development work in the which basins, are currently partly in production, and implement studies to consider commercialization the from LNG gas as shale export to west coast. Canadian In August 2012, INPEX acquired a 40% a acquired INPEX 2012, August In in the in the shale gas projects interest Horn River, Cordova and Liard basins in British Columbia, Inc. Nexen Canada, from 2 3 1

Japan INPEX is active in the Minami-Nagaoka Gas Field in Prefecture, one of Yabase Oil Field the largest of its kind in Japan, and participates in other oil and natural gas projects. In addition, the Company operates a domestic trunk pipeline network. INPEX also commenced operation at Naoetsu LNG Terminal in December 2013. Prefecture

Naoetsu Higashi-Kashiwazaki Gas Field Sekihara Gas Field LNG Terminal (underground storage) Niigata Cityy Niigata Marketing Line Office Minami-Aga Oil Field Kashiwazaki Itoigawa City Minami-Kuwayama Oil Field City Toyama City Nagaoka City Joetsu City Minami-Nagaoka Gas Field Toyama Prefecture Shin Oumi Line Domestic Niigata Natural Gas Prefecture

Nagano City Domestic Natural Gas / Regasified LNG Tokyo Line

Tomi BS* Matsumoto City Fujioka BS* Shin Tokyo Line Matsumoto Line Karuizawa Isesaki Power Control Center Town

Chino City Tochigi Tomim oka Ryomo Line Prefecture City Prefecture Honjo City Kofu Line Sano City Yamanashi Prefecture Iruma Line Konosuno Cityy Kofu City Second Suruga Trunk Line ShowS a Town Ome City Oil and gas fields Sodeshi LNG Terminal Prefecture Line [Shizuoka Gas] Adachi-ku, Tokyo Other project Gotembamb Metropolitan City Tokyo Natural gas Shizuoka Shizuoka City Head Office pipeline network Prefecture Regasified (Akasaka, Minato-ku) Fuji CiCity LNG * BS・・・Booster station Minamifuji Line Technical Research Center City (INPEX, Shizuoka Gas, Tokyo Gas) (Kitakarasuyama, -ku) Major office SaSammSam u City Naruto Gas Field Itazuma Power Control Center Chiba Prefecture 0 100 km

Natural Gas Business in Japan

In its natural gas business in Japan, the Terminal (Niigata Prefecture), which and Koshinetsu , and sold to natural gas produced from the Company- commenced operations in December customers including city gas companies held Minami-Nagaoka Gas Field (Niigata 2013, are transported through a trunk and large-scale plants along the Prefecture) as well as the LNG and other pipeline network of approximately aforementioned network. products received at the Naoetsu LNG 1,400 km stretching across the Kanto

30 INPEX CORPORATION Annual Report 2016

INPEX has experienced steady ration, a subsidiary of Chubu Electric Echigo Line growth in sales of natural gas volume Power Co., Inc., and implemented inno- Sea of Mitsuke Japan City due to sharp rises in the prices of com- vative initiatives relating to its electric Sekihara Gas Field (underground storage) Shinetsu peting fuels, as well as the highly envi- power business. Honsen ronmentally friendly attributes of natu- At the Naruto Gas Field in Chiba Yabase Oil Field Nagaoka ral gas. Natural gas is expected to be Prefecture, natural gas is being pro- City used for a wide variety of applications, duced from water-soluble gas fields. In Joetsu Kashiwazaki City Shinkansen not only as a fuel for thermal energy but addition, after extracting the natural gas Line

also as a fuel for onsite power genera- from underground water (brine water), Minami-Nagaoka tion and co-generation, as well as a raw the brine water is used to produce Gas Field Akita Prefecture material for chemical products. INPEX iodine, which is exported to , Ojiya City is targeting annual sales of 2.5 billion the United States and elsewhere. Gas field Joetsu Line m3 by the early 2020s and as much as 3.0 billion m3 over the long term. Naoetsu Higashi-Kashiwazaki Gas Field Natural Gas Sales Volume in Japan Sekihara Gas Field To achieve these targets, INPEX (100 million Nm3/year) Note: 41.86MJ per 1m3 LNG Terminal (underground storage) is advancing construction work on the 18.0 17.9 Niigata Cityy 17.2 17.6 17.5 17.5 Niigata Marketing Toyama Line (extending from Itoigawa Toyama Line Office City, Niigata Prefecture, to Toyama City, Minami-Aga Oil Field Kashiwazaki Toyama Prefecture) with a view to begin Itoigawa City Minami-Kuwayama Oil Field City Toyama operations in mid-2016. Also, in the City Nagaoka City lead-up to the full deregulation of elec- Joetsu City Minami-Nagaoka Gas Field Toyama tric power retail sales in April 2016, the Prefecture Shin Oumi Line Domestic Niigata Company commenced electric power Natural Gas Prefecture supplies to city gas companies along Natural gas pipeline crossing a river Nagano City Domestic Natural Gas / its network through Diamond Corpo- 2011/3 2012/3 2013/3 2014/3 2015/3 2016/3 (Shibumi River, Niigata Prefecture) Regasified LNG Tokyo Line

Tomi BS* Matsumoto City Gunma Prefecture Fujioka BS* Shin Tokyo Line Matsumoto Line Karuizawa Isesaki Power Control Center 4 Town Renewable Energy and Other Initiatives Project Overview

Chino City Nagano Tochigi Power Generation Business in Japan of electricity with turbines powered Company to drill two survey wells in the Tomim oka Ryomo Line Prefecture City Prefecture In March 2013, the Company began by steam produced from the thermal Bandai region in 2016. Honjo City Kofu Line Sano City generating electricity at INPEX Mega energy of magma underground. Moreover, INPEX took steps to Yamanashi Solar Joetsu, a solar power plant With a view toward geothermal participate in the Sarulla Geothermal Prefecture Iruma Line Konosuno Cityy Kofu City with a maximum output of 2 MW, power generation, INPEX and Idemitsu Independent Power Producer (IPP) Second Suruga Trunk Line ShowS a Town located on the former site of an oil Kosan Co., Ltd., commenced jointly Project in Indonesia from June 2015. Ome City Saitama Oil and gas fields Sodeshi LNG Terminal Prefecture refinery that it shut down in Joetsu conducting geothermal surveys in the The project involves constructing a Shizuoka Line [Shizuoka Gas] Adachi-ku, Tokyo Other project City, Niigata Prefecture. In 2014, Amemasudake region of Hokkaido Pre- world-class geothermal power plant, Gotembamb Metropolitan City Tokyo Natural gas through cooperation between Group fecture and the Oyasu region of Akita with a capacity of around 330 MW, in Shizuoka Shizuoka City Head Office pipeline network companies, a new 2MW solar power Prefecture in 2011. Joined by Mitsui the Sarulla Geothermal Field located Prefecture Regasified (Akasaka, Minato-ku) Fuji CiCity LNG * BS・・・Booster station plant was built next to the original site. Oil Exploration Co., Ltd., in 2012, and in the island province of North Suma- Minamifuji Line Chiba City Technical Research Center Power generation began in July 2015. It the companies undertook geothermal tra, and providing generated power to (INPEX, Shizuoka Gas, Tokyo Gas) (Kitakarasuyama, Setagaya-ku) Major office SaSammSam u City Naruto Gas Field is estimated that these two solar power resource surveys by drilling of a total of Indonesia’s government-owned elec- Itazuma Power Control Center plants will generate around 5,330,000 four survey wells in the Amemasudake tricity company over a period of 30 Chiba Prefecture kWh annually, enough electricity to region and four more survey wells in years. Construction of the power gen- 0 100 km power 1,600 homes. the Oyasu region from 2013 to 2015. eration plant began in 2014. The Com- In addition, INPEX constructed a In fiscal 2016, we plan to continue pany is aiming for the progressive start high-efficiency gas turbine combined conducting geothermal resource sur- of commercial operations from 2016. cycle thermal power plant with an veys by drilling at one of the Amema- output of about 55,000 kW next to its sudake survey wells and at two of the Koshijihara plant in Niigata Prefecture Oyasu wells. and has been supplying electricity on Also a member of the geothermal a wholesale basis to power producers resource survey group in and suppliers (now retail electricity pro- Prefecture, INPEX has been conduct- viders) since May 2007. ing land surveys in areas surrounding Mt. Bandaisan since September 2013. Geothermal Development Having conducted geophysical surveys Geothermal power is the generation from 2014 to 2015, the plan is for the Sarulla Geothermal IPP Project

INPEX CORPORATION Annual Report 2016 31