Santos’ Brownfields Opportunity in meeting Asian Energy Demand

Joe Ariyaratnam

General Manager WA & NT

Darwin LNG

2 | Strzelecki Desert

3 | Discovery crew on rig floor of Gidgealpa-2, 31 December 1963

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Asia Pacific LNG demand Large opportunity exists to supply into Asia Pacific

Source: Wood Mackenzie, LNG tool 2015 Q2 dataset, supply represents contracted volumes sold into Asia Pacific from global operating and under construction projects. Typical LNG train size 4 mtpa.

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Mtpa

130mtpa

205mtpa

Contracted Asia Pacific LNG supply

305mtpa

2015 2020 2025 20352030

Asia Pacific represents over 75% of global LNG demand

− demand grows at 4% p.a. from 2014

− over 63% of global LNG demand growth from the region

Large opportunity for new LNG supply

− ~ 32 new LNG trains by 2025

− ~ 76 new LNG trains by 2035

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Asia Pacific LNG demand However, there will be competition from existing uncommitted supply

Source: Wood Mackenzie LNG tool, 2015 Q2 dataset, contracted supply represents contracted volumes sold into Asia Pacific from global operating and under construction projects, uncontracted Pacific supply represents uncontracted volumes from operational and under construction LNG projects in the Pacific Basin, flexible Qatari volumes include uncontracted volumes from Qatar, portfolio volumes from Qatar Petroleum and contracted volumes Qatar to US, flexible US volumes from operational and under construction US LNG projects include uncontracted volumes and volumes contracted to portfolio players.

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Mtpa

Contracted Asia Pacific LNG supply

Flexible US LNG supply

2015 2020 2025 20352030

Source: Wood Mackenzie, LNG tool, supply data as per previous slide6 |

Mtpa

2015 2020 2025 20352030

Asia Pacific LNG demand And, demand forecasts have been consistently revised down over the last three quarters

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Asia Pacific Historical LNG Demand Forecasts

2014 Q3 LNG Demand Forecast 2014 Q4 LNG Demand Forecast 2015 Q1 LNG Demand Forecast 2015 Q2 LNG Demand Forecast

Contracted Asia Pacific LNG supply

Flexible US LNG supply

Pluto

PNG LNG

RL 3Qatargas-1Qatargas-4

RasGas I

Darwin

Atlantic LNG 4Atlantic LNG 2&3

QCLNG

Yamal LNG

Gorgon

Wheatstone LNGIchthys

APLNG

GLNG

Prelude FLNG

5 Mtpa

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LNG Plant CAPEX

Brownfields solution Santos brownfield expansions are competitive

SOURCE: WOOD MACKENZIE LNG TOOL, 2015 Q2 DATASET; TOTAL PLANT CAPEX OVER NOMINAL PLANT CAPACITY PLOTTED AGAINST PROJECT START-UPYEAR. US LNG PROJECTS INCLUDE SABINE PASS T1-4, CAMERON LNG, COVE POINT, FREEPORT AND CORPUS CHRISTI. EAST AFRICAN, CANADIAN AND

RUSSIAN PROJECTS INCLUDE MOZAMBIQUE LNG, TANZANIA LNG, KITIMAT LNG, LNG CANADA, PACIFIC NORTHWEST LNG (CONDITIONALLY APPROVED).7 |

Operational LNG Plants

Under Construction LNG Projects

2017

US$/tonne (2015$)

Sanctioned US LNG Projects

Planned Canadian / East African Greenfield LNG Projects

Overview: Northern Australia

Strong discovered resource base to support Darwin brownfield development

8 | SEAAOC, AUGUST 2015

Darwin LNG

9 | SEAAOC, AUGUST 2015Bayu-Undan WP-1 wellhead platform jacket, being towed to location

Browse

10 | SEAAOC, AUGUST 2015Lasseter discovery, Browse Basin

Petrel Tern Frigate

11 | SEAAOC, AUGUST 2015

Insert Photo.

Petrel 7 appraisal well, Bonaparte Basin

Barossa Caldita

12 | SEAAOC, AUGUST 2015Well test, Barossa appraisal, Timor Sea

Operator with 30% equity, 7.8 mtpa plant

capacity

Commissioning on track

First LNG expected around end Q3 2015,

within budget

Leveraging existing and new LNG infrastructure and capabilities

Santos’ LNG portfolio

13.5% equity, 6.9 mtpa plant capacity

Producing above nameplate capacity

First LNG in 2014, 118 cargoes to date

Debottlenecking and expansion opportunities

11.5% equity, 3.7 mtpa plant capacity

Producing ahead of expectations

First LNG in 2006, 488 cargoes delivered

Expansion and backfill opportunities

Pro

duci

ng

Under

const

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ion

Darwin LNG

PNG LNG

GLNG174

448

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1H 2014 1H 2015

A$million

Santos’ LNG portfolio has grown

Over 30% of Santos’ production will be LNG by 2016

50% of production sold to Asian markets by 2016

─ Portfolio leveraged to Asian energy demand

─ Revenue leverage to Asian energy prices

LNG will represent more than a third of Santos’ production portfolio

*Includes Santos Portfolio to GLNG

Disclaimer andimportant notice

This presentation contains forward looking statements that are subject to risk factors associated with the oil and gas industry. It is believed that the expectations reflected in these statements are reasonable, but they may be affected by a range of variables which could cause actual results or trends to differ materially, including but not limited to: price fluctuations, actual demand, currency fluctuations, geotechnical factors, drilling and production results, gas commercialisation, development progress, operating results, engineering estimates, reserve estimates, loss of market, industry competition, environmental risks, physical risks, legislative, fiscal and regulatory developments, economic and financial markets conditions in various countries, approvals and cost estimates.

All references to dollars, cents or $ in this document are to Australian currency, unless otherwise stated. All references to project completion percentages are on a value of work done basis, unless otherwise stated.

15 | SEAAOC, AUGUST 2015

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