EnQuest 2014 Half Year Results

0

Kraken FPSO

host vessel

Overview Amjad Bseisu, CEO

Financials Jonathan Swinney, CFO

Operations Neil McCulloch, North Sea President

Major projects Amjad Bseisu

& summary

Agenda

1

Production from 1 January to 30 June 2014 averaged 25,292

Boepd, up 18% on the same period last year

2014 production guidance maintained at an average of

between 25,000 Boepd to 30,000 Boepd

Business development in 2014 has added c.20 MMboe

Malaysian acquisition completed (PM8/Seligi)

Sustained strong cash flow and EBITDA $284m

Alma/Galia sailaway in spring 2015, first oil mid-year

FPSO is now substantially complete

Kraken on time and on budget

Two exploration/appraisal successes: Cairngorm & Avalon

Don NE (‘Ythan’) FDP submitted

planning production in late 2015 / early 2016

EnQuest StrategySustainable growth model continuing to deliver

2

Realising value through capability Technical leadership in integrated development

3

• Upgrading existing facilities

• Newer technology, new seismic

• Simplifying processes

• Infill drilling, subsurface skill in identifying well targets

• Agile, innovative and cost efficient solutions

• Redesigning and upgrading ‘used’ facilities

• Using existing infrastructure; tie-backs

• Deploying technical and financial capacity too stretching for some previous owners

• Integrated teams commercialising and developing discoveries

• Low risk, low cost near field development and appraisal

Thistle/Deveron

Heather/BroomGreater Kittiwake Area

PM8/Seligi

Didon

Maturing fields

Ex majors

Dons

Alma/Galia

Dormant fields

Ex majors

& licensing rounds

Kraken

Zarat

Ex smaller companies

Proven depth in subsurface, engineering, execution and operations

Field life extensions

Marginal field solutions

Focused

on hubs

New developments

Top quartile results for production efficiency UK North Sea production efficiency task force (O&G UK), 2013 operator rankings

4

Top quartile

UKCS task force target of

80% production efficiency

EnQuest

EnQuest’s growing North Sea asset base, at 30 June 2014Now four UK hubs with GKA, with Alma/Galia five UK hubs

55

Malaysia: PM8/Seligi acquisition now completed5,000 Boepd net production, 11.0 MMboe net 2P reserves

6

EnQuest’s third Malaysian project: In June 2014, EnQuest completed the third acquisition of ExxonMobil’s interest in the Seligi oil

field and the PM8 PSC :

Cash consideration of US$28 million

With its strong relationship with PETRONAS, EnQuest and Petronas Carigali Sdn Bhd (50% each) negotiated an extension

of PM8/Seligi to 2033

Preparing work programme and budget for 2015 and the medium term

Evaluating further upside potential from infill drilling and workovers

Seligi

Greater Kittiwake Area opportunity50 km tie-back radius & competitor infrastructure

7

Financials

8

Results summary

9

Half year to 30 June

US dollars H1 2014 H1 2013 Change %

Export production (Boepd) 25,292 21,455 17.9

Average realised price per barrel ($) 110.0 108.7 1.2

Revenue ($ million) 503.8 455.9 10.5

Cost of sales ($ million) 339.5 280.9 20.9

Gross profit ($ million) 164.3 175.0 (6.1)

Profit before tax & net finance costs ($ million) 149.4 167.2 (10.6)

Profit after tax & net finance costs ($ million) 75.1 97.7 (23.1)

EBITDA(1) ($ million) 284.0 274.0 3.6

Reported earnings per share (cents) 7.9 12.2 (35.2)

Net cash/(debt)(2) ($ million) (716.7) (101.9) -

(1) EBITDA is calculated by taking profit/loss from operations before tax and finance income/(costs) and adding back depletion (adjusted for depletion of

fair value uplift), depreciation, impairment, write-off of intangible oil and gas assets and foreign exchange movements. This foreign exchange

adjustment for 2013 is a change to the definition used previously and the prior year EBITDA figure has been restated accordingly. (2) Net (debt)/cash

represents cash and cash equivalents less borrowings as at the reported cash flow statement date of 30 June.

Unless otherwise stated all figures are before exceptional items and depletion of fair value uplift and are in US dollars

2.9 5.0 4.4 3.9

8.8

0.4 0.6 1.0 10.6

(Restated)

1.7

0.2

1.4

0.0

5.0

10.0

15.0

2009 2010 2011 2012 2013 H1 2014

SVT Other transportation costs

Focus on cost efficiencyEnQuest historical operating costs Vs doubling in UKCS costs over last 5 yrs

10

$/bbl

26.3 23.5

26.9 27.4 27.2 27.5

2.5

5.4

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

2009 2010 2011 2012 2013 H1 2014

Cost of operations

SVT

Increased costs of BP operations

Reduced throughput from other users

Increased allocation to EnQuest

Unit production costs

Impact of GKA acquisition, $5.4/bbl

$:£ exchange rate also added c.$2.5/bbl

Group taxation positionNo material UK cash tax on operational activities expected before 2020

11

ETR is the full year expected rate on UK activities only.

It will vary dependent upon realised oil price and

production in H2 2014, together with the mix of profits

from our International assets in Tunisia and Malaysia.

UK tax allowances $m’s

Recognised at 31 Dec 2013 1,088

1H 2014 net additions plus RFES 340

Prior year adjustment 25

Tax losses at 30 June 2014 1,453

Tax losses expected at 31 December

2014

1,900

ETR % $m’s

PBT 79

UK CT Rate 62 49

PRT 24 19

RFES (76) (60)

Finance costs not

deductible for SCT

32 25

Prior year adjustment (10) (8)

Tax rate differences (10) (8)

H1 2014 Tax Charge 22 17

The Group will be cash tax paying in Malaysia in H2 2014 following the acquisition of PM8/Seligi.

208

102

53

17

3738

27

Alma/Galia Kraken Thistle/Deveron Dons Heather/Broom E&E Other

$482 million cash capital expenditure

12

Six months to 30 June 2014

US$m

(381)

(717)

(64)

(64)

(482)

(58)

(50)

Financing & other

(excludes borrowings)

Cash flow

from operationsCapex

Cash & equivalents less

borrowings at

30 June 2014

Strong financial position, $1.7bn credit facility, £155m retail bond, $650m high yield bond

Cash & equivalents less

borrowings at

1 January 2014

US$m

Cash flow Six months to 30 June 2014

13

318

(590)

PrepaymentsAcquisitions

Finance outlook

Full Year 2014

Capex expectations of around $1.2bn

Production and transportation costs expected to be in the range $535m to $555m

Including c.$50m for PM8/Seligi and reflecting the increased SVT costs

Depletion anticipated to be similar to the first half on a per barrel basis

G&A approximately $15m to $20m

Cash finance costs expected to be in the region of $70m

Tax

Effective rate expected to be approximately 25% to 33%, based on current oil prices

With continuing investment in the North Sea no material UK cash tax is expected to be paid before 2020

Corporate funding

As at end of H1 2014, net debt of $717m

14

Operations

15

2014 Production results by hubYear to date

Net production (Boepd)

16

5,046

11,349

4,246

814 0

21,455

9,281 9,789

4,041

1,276 905

25,292

Thistle/Deveron The Dons Heather/Broom Alba Kittiwake Total

2013 2014

Thistle / Deveron

Delivering production levels not seen since the ‘90s

17

2014

Production in H1 2014 almost double H1 2013.

Strong production efficiency

Ongoing interventions campaign

Additional perforations of A55/02

Integrity work to recover A43/12 production

Integrity work on non-producing wells

Further interventions H2 2014

2015 & beyond

Continuing investment in Thistle life extension

Including new control systems, process

simplification leading to cost savings, jacket

integrity improvements and topsides structural

integrity improvements

New drilling programme in 2016/17

The Don fieldsContinuing very strong production efficiency

2014: existing fields

Production in H1 2014 down on H1 2013, reflecting

natural decline rates. Strong production efficiency

and high levels of water injection

New Don SW producer S14 (TJ) drilled and

completed awaiting subsea tie-in in September

2014

The Conrie producer, S7, has been reinstated to

continuous production

Ythan

Net resources c.4 MMboe

Two firm wells: producer/injector pair

S2Z

S8Z

S12Z

S3Z

S4

S6

S9

S2

S4Z

211/18-12

211/18a-22

211/18a-24

N6X

S12

-11000

-11050

-10550

-10650

-10600

-10900

-10850

-10800

-10750

-10700

-10950

-11100

-11

15

0

-111

50

-10500

-11200

-11

20

0

-10450

-10550

-11550

-11500

-11550

-117

00

-11450

-11400

-11350

-113

00-1

1250

-11150

-11200

-11400

-11350

-111

00

-11050

-11000

-117

50

-10950

-10900-10850-10800

-10750

-10700-10650

-10

60

0

-11700

-11500

-10550

-10500

-11650

-11650

-11800

-117

00

-11850

-11650

-11450

-11450

-11450

-11550

-11550

-115

50

-11900

-11900

-11500

-11

500

-11500

-11500

-11600

-11

600

-11600

-11600

-11700

-11700

-11150

-11400

-11850

-11

200

-11750

-11750

-11800

-11250

-11250

-11200

-11300

-11300

-11300

-11

300

-11400

-11

400

-11350

-11350

-11400

-11400

-11250

-11450

-11

45

0

-11650

-11650

-115

00

-11

50

0

-11200

-11100

-11350

-11

350

-11550

-11

600

-11

60

0

-11450

-11050

-11100

-110

00

-11400

-11350

-11150

-11150

-11250

-11250

-11250

-11550 -1

1200

-11200

-11300

-11

60

0

-11250

-11200 -11150

-11550

-11600

-11650

-11700

-11750

-11800

-11850

-11900

1°34'E 1°35'E 1°36'E 1°37'E

1°34'E 1°35'E 1°36'E 1°37'E

61°2

7'0

0"N

61°2

8'0

0"N

61°2

7'0

0"N

61°2

8'0

0"N

0 200 400 600 800 1000m

EQ Development wells

Future producer

Future water injector

Potential future producer

Potential future water injector

Don North East Area (‘Don NE’) (60%)‘Ythan’ FDP submitted, planning onstream late 2015/early 2016

18

Heather / BroomHighest production efficiency for over 5 years

19

2014 & beyond

Production broadly in line with H1 2013

Following commencement of rig operations in Q1 2014, the

workover of the H56 well was successfully completed in Q2

and a new injection well drilled (Rosea, H64). The 2014

programme also includes the H47 recompletion and a new

producer, H48ST

The Broom field continues to perform well

Heather life extension project; three year infill drilling

campaign with nine targets, targeting 12 MMboe reserves

which are included in net 2P reserves

New 3D seismic has been delivered, which is being used to

optimise well placement and define additional targets in both

the Heather and Broom fields

2/0

5-

15

2/05-21

(BW3)2/0

5-62/0

5-52/05-23

(BR4)

2/0

5-

172/05-

19Y2/05-25

(BR2)

2/05-20

(BX5)

2/05-22Z

(BW6)

2/05-20

(BR1)

2/05-27

(BR8)

Legen

d

Water

Injector

Exploration /

Future

Producing

Legend

Drilling Programme

Water Injector

H07

H37 H47

H40

H46

Furzey

Viking

Erica

Else

Rosea,

H64

H49H20

H63H56

H60

H38

H41

H61Z

H42H33

H62Y

Producing

Rosea,

H48ST

Greater Kittiwake AreaNow integrated into EnQuest operations

Completed GKA acquisition on 1 March 2014

Benefits from improvements should start to come

through later in H2 2014

Mallard workover under way to reinstate production

Evaluating potential of reinstating production from

Gadwall in 2015

Eagle exploration well planned for H2 2014

Preparation for Scolty/Crathes FDP progressing well

Avalon post drill evaluation ongoing

Further exploration opportunities are also being

assessed

20

Mallard tree before and after cleaning

Development

DrillingQ1 Q2 Q3 Q4

Thistle Ongoing interventions campaign

Heather 2 sidetracks & 2 workovers

Dons 1 producer (‘TJ’)

GKA 1 workover (‘Mallard’)

Alma/Galia 4 producers

Alba 2 producers

Exploration/

Appraisal

Cairngorm Avalon Kraken / GKA / Malaysia

(‘Tyrone’) (‘Eagle’) (‘Kitabu’)

2014 EnQuest outline programmePlanning delivery of over 15 wells

21

Major projects

& summary

22

Alma/Galia

23

Sailaway in spring 2015, first oil mid-year

The FPSO is now substantially complete and commissioning has begun

Three wells have been completed and a fourth is in the process of being completed for production

Subsea work has been completed with the exception of mooring and riser pull-ins to the FPSO

CSU Area Water Injection Aft Turret

General Construction Areas

Kraken proceeding on time and on budget

24

A conventional development programme

High level of capex confidence

Good progress on evaluation of drilling rig options

The Kraken FPSO host vessel is at the yard in

Singapore (c110th such FPSO in that yard); hull

conversion and marine system refurbishment is

progressing.

Pipeline route surveys have been undertaken on the

Kraken site, boulders removed and preparatory pipeline

initiation facilities installed.

The Kraken West appraisal well ‘Tyrone’ will be drilled

in H2 2014

25

Delivering strong compound annual growth rates 25% for reserves & 15% for production

13,613

21,07423,698 22,800 24,222

25,000

5,000

2009 2010 2011 2012 2013 2014

Guidance

Range

80.5 88.5115.2 128.5

194.8

2009 2010 2011 2012 2013

Net 2P reserves (MMboe)

Average net production (Boepd)

EnQuest’s producing hubsFrom 3 to 6 in approx. one year, a growing & increasingly diversified portfolio

26

Thistle/Deveron The Don fields Heather/Broom

Greater Kittiwake Area PM8/Seligi (Malaysia) Alma/Galia

Delivering sustainable growthOn course for six hubs and 50,000 Boepd in UKCS

27

Exploiting our existing reserves

Commercialising & developing discoveries

Converting contingent resources into reserves

Making selective acquisitions

Dons, Thistle/Deveron, Heather/Broom, Alba

Alma/GaliaGreater Kittiwake Area, Didon/Zarat, PM8/Seligi

Dons Northern Producer

Alma/Galia EnQuest ProducerHeather/Broom

Thistle/Deveron

Q&A

28

Largest UK Independent Producer in the UK North Sea

Government data (DECC) for UK North sea independent producers

29

-

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

EnQuest Ithaca Tullow Oil Fairfield Premier Oil First Oil Endeavour

Total Production for the year ending April 2014

Summary income statement

30

Half year to 30 June

2014 2014 2014 2013

US dollars Business

performance

$m’s

Exceptional

items

$m’s

Reported

$m’s

Reported

$m’s

Revenue 503,844 - 503,844 455,863

Cost of sales (339,507) (35,625) (375,132) (287,223)

Gross profit 164,337 (35,625) 128,712 168,640

Exploration and evaluation expenses (2,173) - (2,173) (2,326)

General and administration expenses (3,675) - (3,675) (4,488)

Impairment on investments - - - (312)

Net other expenses (9,068) - (9,068) (949)

Profit/(loss) from operations before tax and

finance income/(costs) 149,421 (35,625) 113,796 160,565

Net finance costs (35,209) - (35,209) (19,933)

Profit/(loss) before tax 114,212 (35,625) 78,587 140,632

Income tax (39,141) 22,088 (17,053) (45,705)

Profit/(loss) after tax 75,071 (13,537) 61,534 94,927

Reported basic earnings per share (cents ) 0.079 0.122

Balance sheet

US dollars30 June 2014

$m’s

31 December 2013

$m’s

ASSETS Property, plant and equipment 3,334.4 2,871.2

Non-current assets Goodwill 166.6 107.8

Intangible oil and gas assets 197.5 130.9

Investments 2.4 2.4

Deferred tax asset 24.1 14.7

Other financial assets 21.9 21.9

3,746.9 3,148.9

Current assets Inventories 80.7 46.8

Trade and other receivables 336.7 267.2

Currrent tax receivable 3.6 6.3

Cash and short term deposits 213.0 72.8

Other financial assets 2.5 8.5

636.5 401.6

TOTAL ASSETS 4,383.4 3,550.5

EQUITY AND LIABILITIES Share capital 113.4 113.4

Equity Merger reserve 662.9 662.9

Available-for-sale reserve 0.4 0.4

Share based payment reserve (7.7) (10.3)

Retained earnings 779.8 718.3

TOTAL EQUITY 1,548.9 1,484.7

Non-current liabilities Borrowings 18.4 199.4

Bond 911.3 254.5

Obligations under finance leases 0.1 0.1

Provisions 518.5 308.4

Other financial liabilities - 0.9

Deferred tax liabilities 797.3 761.0

2,245.6 1,524.3

Current liabilities 588.9 541.5

TOTAL LIABILITIES 2,834.5 2,065.8

TOTAL EQUITY AND LIABILITIES 4,383.4 3,550.5

31

Expanding our UK asset base in 2013 and 2014

Delivering sustainable growth

Alba

3 production wells in

2014

Don North East 60%

‘Out of round’ licence

Kraken

Appraisal well 2014

Greater Kittiwake

Area (‘GKA’)

From zero to 50%

Avalon

From zero to 50%

Cairngorm

Farmed out 55%

Avalon

Appraisal well 2014

Cairngorm

Appraisal well

Alba

Acquired

8%

GKA

Integration, workover

Don NE/Ythan

FDP submission

ongoing

32

Awarded two licences

in the Norwegian Sea

Kraken overviewField summary

2 fields located in Block 9/2b

350km NE of Aberdeen

Field area ~12 x 3.5 km

Water Depth of 110m

Heavy Oil (14 Deg API) but good

flow properties

Low sulphur content and not waxy

FDP approved by DECC with two heavy

oil tax allowances confirmed

Developing 147 MMbbls reserves

(FDP base case, including fuel)

25 wells

Further upside potential to the

West and possibly beyond

33

EnQuest 60% (Operator)

Cairn 25%

First Oil 15%

Kraken subsurfaceSTOIIP, reserves & recovery factor

34

Ultimate Recovery Factor from Heavy oil Fields

Vis

cosity in

cP

Kraken

Conservative Recovery Factor

FDP STOIIP Produced RF%

North 68 20 30%

Central 85 38 45%

South 268 89 33%

Kraken Area 421 147 35%

Kraken subsurface

Gross production profile & reserves – FDP

35

Gro

ss P

rodu

ced O

il stb

/d

MMstb South Central North Total

Produced 89 38 20 147

Fuel 10

Sales 137

Alba 8% non-operated, 1,276 Boepd H1 2014

2014

Drill two new producers

One well online

One currently being completed

Acquisition of new 4D seismic survey

Key input for maturing future drilling targets

Replacement of subsea water injection pipeline

2015

1 Planned Platform Well

Reinstatement of subsea water injection

Source : Chevron

36

Alma / Galia

37

EQ Development wells

Future Water Injector

Future producer

Drilled / completed producer

Drilled producer

(planned completion 2014)

K6

K5

K1

K2

K4

K3

W1

GA

GB

EQ Development wells

2015 Planned producer

Future producer

Potential future producer

GE

W2

N-Dev

GALIAALMA

Alma abandoned at low water cut of 70%

Prudent base case with upside

The right facilities for the fields

Dedicated completions for Devonian/Rotliegend/Zechstein

Variable speed drive ESPs

Water injection

AlmaSubsurface

-9600

-9575

-9625

-9575

-9575

-9600

-9600

-945

0

-9625

-9475

-9575

-9575

-9575

-9575

-950

0-9575

-9550

-9550

-9525

-9525

-9575

-9575

-9600

-9525

-8850

-8825

-9350

-9350

-9350

-8950

-8950

-8950

-8925

-8925

-8925

-8900

-8900

-940

0

-9400

-9450

-9425

-9525

-9500

-9625

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-9600-9675

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5

-8975

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5

-8875

-887

5-9650

-96

00

-9625

-9625-9

650

-9475

-9475

-9550

-9325

-9325

-932

5

-9325

-9325

-9325

-932

5

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-9300

-930

0

-930

0

-9300

-9300

-93

00

-9300

-9300

-930

0

-9000

-9575

-920

0

-9550

-9550

-9550

-9550

-9550

-9550

-9550

-8875

-8875

-885

0

-9550

-8950

-8975

-9025

-9525

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-9225

-9225

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5

-922

5

-92

25

-9225

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5

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-932

5

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-937

5

-9375

-9375

-9350

-9225

-9275

-9275

-9275

-9275

-9275

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-927

5

-9275

-9275

-9250-9

250

-9250

-9250

-9250

-9250

-925

0

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0

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-9550

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-952

5

-9525

-9200

-9200

-9200-9

200

-9200

-9200

-9200

-9200

-9200

-9200

-9200

-8825

-9175

-9175

-9175

-9175

-9175

-91

75

-9175

-9175

-9175

-9175

-9150

-9150

-9150

-9150

-9150

-9150

-9150

-9150

-9150

-9150

-9125

-9125

-9125

-9125

-9125

-9125

-9125

-912

5

-9125

-9125

-9575

-9575

-9575

-9075

-9600

-9525

-9000

-9000

-9000

-9000-9000

-9000

-9000

-9000

-9000

-9000

-9000

-9350

-9350

-935

0

-9350

-9350

-9350

-935

0

-9125

-9050

-9050

-9050

-9050

-9050

-9050

-9050

-9050

-9050

-9050

-9100

-9100

-9100

-9100

-9100

-9100

-9100

-9100

-9100

-910

0

-9100

-9500

-9500

-9500

-950

0

-9500

-9500

-9500

-9500

-9475

-947

5

-9475

-947

5

-9475

-9475

-9475

-947

5

-9450

-945

0

-9450

-9450

-9450

-9450

-9450

-9450

-9425

-9425

-9425

-9425

-9425

-942

5

-9425

-9425

-9400

-9400

-9400

-9400

-9400

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-9400

-9400

-8975

-8975

-8975

-8975

-8975

-8975

-8975

-89

75

-9250

-9375

-9375

-9375

-9375

-9375

-93

75

-9375

-9375

-9075

-907

5

-9075

-9075

-9075

-9075

-9075

-9075

-9075

-9075

-9350-9325

-9300-9650

-9650

-9625

-9625

-9600

-9600

-9025

-9025

-9025

-9025

-9025

-9025

-9025

-902

5

-902

5

-9025

-8950

-8950

-8950

-8950

-8950

-8950

-89

50

-8925

-8925

-8925

-8925

-8925

-8925

-8925

-8900

-8900

-8900

-8900

-8900

-8900

-8875

-8875

-8875

-887

5

-8850

-8850

-8850

-88

50

-8825

-8825

-8825

-88

25

-93

75

-8800

-8800

-8800

-9375

-9675

-9675

-8775

-8775

-8775

-8625

-9400

-8750

-8750

-8750

-8675

-8675

-8725

-8725

-8725

-92

75

-8600

-9750

-9750

-9725

-9725

-9700

-9700

-9775

-9775

-9800

-9800

-8700

-8700

-8700

-9825

-9825

-8650

-8650

-9850

-9850

-9875

-987

5

-9900

-990

0

-9925

-992

5

-9975-9950

-10000-10025

-10075

-10050

-10100

-10150

-10125

-10175-10200

-10250-10225

-10275

-10325-10300

-10350

-10425

-10400-10375

-10500-10475-10450

-10525

30/24-01

30/24b-T4z

30/24b-T1z

30/24b-T1

30/25a-02

30/24b-T3

30/24b-T2

30/24-39

30/24-37

30/24-34

30/24-31

30/24-28

30/24-26

30/24-25

30/24-20Z

30/24-18

30/24-16

30/24-14

30/24-13

30/24-12

30/24-11

30/24-10

30/24-09

30/24-08

30/24-06

30/24-05

30/24-03

30/24-02

-9023

-8758

-8988

-9139

-9421

-8956

-8975

-8980

-8998

-8888

-9107

-8976

-9073

-8998

-8990

-9285

-9033

-9108

-8880

-8986

-8887

-8981

-8621

-8993

-8896

-8965

484000 484400 484800 485200 485600 486000 486400 486800 487200 487600 488000 488400

484000 484400 484800 485200 485600 486000 486400 486800 487200 487600 488000 488400

62

24

00

06

22

44

00

62

24

80

06

22

52

00

62

25

60

06

22

60

00

62

26

40

06

22

68

00

62

27

20

06

22

76

00

62

28

00

06

22

84

00

62

28

80

06

22

92

00

62

24

00

06

22

44

00

62

24

80

06

22

52

00

62

25

60

06

22

60

00

62

26

40

06

22

68

00

62

27

20

06

22

76

00

62

28

00

06

22

84

00

62

28

80

06

22

92

00

0 200 400 600 800 1000m

1:20000

-10600-10500-10400-10300-10200-10100-10000-9900-9800-9700-9600-9500-9400-9300-9200-9100-9000-8900-8800-8700-8600

Depth

Country

Block

License

Model name

Horizon name

Scale

Contour inc

User name

Date

Signature

UKCS

30/24

1:20000

25

marty.haynes

04/25/2011

Top Devonian Depth

38

AlmaNew Seismic

SW 30/24-2 30/24-1 3 0/24-5 30/24-3 30/25a-2 NE

39

Alma DevelopmentWells Trajectory Schematic

Development wells optimised to

target:

All key reservoir zones (no

comingling)

Stand-off from FWL in key

producing zones

Optimise wells to get max length

in Devonian

4 Types of well to drill and complete:

Zechstein Producers x2

Rotliegends Producer x1

Devonian Producers x 3

Zechstein/Rotliegends Water

Injectors x 2

-8800

-8900

-8850

-885

0

-875

0

-8750

-8700

-8650

-8600

-880

0

-900

0 -895

0

-8900

-8850

-900

0

-900

0

-8950

-9050

-9100

-9000

-8950

-895

0

-895

0

-940

0

-935

0

-930

0

-925

0

-9200

-9150

-9250

-910

0

-905

0

-9000

-9050

-895

0

-8950

-8900

-9500

-9550

-9500

-9500

-945

0

-955

0

-950

0

-9500

-950

0

-9500

-950

0

-9450

-945

0

-9500 -935

0

-9300

-9500

-9400

-9250

-925

0

-9200

-920

0-915

0

-9100

-945

0

-935

0

-950

0

-940

0

-930

0-9

250

-9050

-9000

-9500

-9100

-955

0

-910

0

-9650

-9600

-9600

-955

0

-9800

-955

0-9

500

-950

0

-945

0

-10200

-10350

-9600

-9550

-9400

-940

0

-10400

-950

0 -945

0

-9900

-10300-10250

-101

00

-10150

-965

0

-10050

-960

0-9950

-955

0

-9850 -9500

-9450

-10000

-9750

-9700

-9800

-9400 -9350

-9300

-9250

-950

0

-9300

-895

0

-9350

-925

0

-915

0

-9100

-9050

-9000

-9250

-9350

-9400

-9300

-920

0

-940

0

-935

0

-9350

-9450

-945

0

-9250

-910

0

-9050

30/24b-T4z

30/24b-T1z

30/24b-T1

30/25a-02

30/24b-T3

30/24b-T2

30/24-39

30/24-37

30/24-34

30/24-31

30/24-28

30/24-26

30/24-25

30/24-20Z

30/24-18

30/24-16

30/24-14

30/24-13

30/24-12

30/24-11

30/24-10

30/24-0930/24-08

30/24-06

30/24-05

30/24-03

30/24-02

484000 484400 484800 485200 485600 486000 486400 486800 487200 487600 488000 488400

484000 484400 484800 485200 485600 486000 486400 486800 487200 487600 488000 488400

6224

000

6224

400

6224

800

6225

200

6225

600

6226

000

6226

400

6226

800

6227

200

6227

600

6228

000

6228

400

6228

800

6229

200

62240006224400

62248006225200

62256006226000

62264006226800

62272006227600

62280006228400

62288006229200

0 200 400 600 800 1000m

1:20000

CNE Zech

C Dev (B06)

CS Zech

CS Dev

C Rot

C Dev

40

1

9

2

1

29

22

15

1708

23

33

3

0

30Z

30Y04

Galia East

outline

Galia

Main

outline

GaliaSTOIIP & Reserves

Galia Main

Well Sampled 30/24-15

Bubble Point Pressure 1900 psia

Differential Gas-Oil Ratio 631 scf/stb

Formation Volume Factor 1.33 b/stb

Oil Viscosity 0.49 Degrees

API Gravity 38 Degrees F

Reservoir Temperature 260

Only 50% Water Cut

41

Cairngorm appraisal wellFurther evaluation of results ongoing

42

Avalon Discovery

43

EnQuest operated discovery well (21/6b-8)

encountered 85 ft gross oil column

EnQuest (50%)

Core acquired confirming Darcy sands

Samples indicate 23 API oil

Development options being progressed

21/6b-8

1 km

InternationalSouth East Asia & North Africa

44

EnQuest’s first steps outside the UKCS

a low cost entry point

exploration opportunity with potential

Partnering with Lundin (Op) and Petronas Carigali

Blocks SB307 and SB308 (6,200km²) Sabah

Maturing Kitabu for drilling around the end of 2014

International production acquisition, providing an

operating platform in Tunisia

100 MMboe of gross contingent resources and

additional exploration and appraisal opportunities

2 MMboe of net producing 2P oil reserves in the Didon

oil field

Possible additions from additional infill drilling

Over 40 MMboe of net contingent resources in Zarat

45

Power & Electricity Upgrade Project

New D turbine commissioned

Process Simplification Project

New 1st stage separator internals complete

Hot work activity for flare/drains complete

Controls and Safety Systems

Installation of PCSS and SIS architecture

commenced. Fire and gas installation

30% complete

Jacket Integrity Project

Modifications required to ensure jacket

protection for another 15 years

Restarted

drilling in

2010

Topsides Structural Integrity Projects

MOD 6A laydown area

Destruct completed

Construct commenced

Topsides Structural

Interim Projects

New PC2 crane commissioned and

operating as of Q2 2014. New PC1

destruct underway

Controls and Safety Systems

PCSS hardware FAT complete

UPS hardware FAT complete

Process Simplification Scopes Completed

New process system hot water heater

commissioned

New portable water maker commissioned

Thistle life extension projects

46

The Don fieldsDrilling map

46

Legend

Legend

Drilled in 2013

Water Injector

Producing

S10Y

S2Z

S4

S6

S9

S8ZS11

2014 Development

Conrie – S7

Don Southwest and Conrie Drilling Plan

W4

W2

W1

W3Z

W6

W5

West Don Drilling Plan

46

S12Z

S13

TJ

46

Thistle, Conrie and The Dons Infrastructure

47

Heather / Broom Infrastructure

4848

Alma/Galia infrastructure

494949

Proven fields

Alma abandoned at low water cut of 70%

Prudent base case with upside

The right facilities for the fields

Dedicated completions for

Devonian/Rotliegend/Zechstein

Variable speed drive ESPs

Water injection

Greater Kittiwake Area Opportunity

Kittiwake

Avalon

Crathes

Scolty

Production

Platform (or

FPSO)

50

Eagle

GKA Infrastructure

51

Kraken Infrastructure

52

Tanjong Baram Infrastructure

53

Forward Looking Statements

This presentation may contain certain forward looking statements with respect to EnQuest’s

expectation and plans, strategy, management’s objectives, future performance, production,

costs, revenues, reserves and other trend information. These statements and forecasts

involve risk and uncertainty because they relate to events and depend upon circumstances

that may occur in the future. There are a number of factors which could cause actual results

or developments to differ materially from those expressed or implied by these forward

looking statements and forecasts. The statements have been made with reference to

forecast price changes, economic conditions and the current regulatory environment.

Nothing in this presentation should be construed as a profit forecast. Past share

performance cannot be relied on as a guide to future performance.

No representation or warranty, express or implied, is or will be made in relation to the

accuracy or completeness of the information in this presentation and no responsibility or

liability is or will be accepted by EnQuest PLC or any of its respective subsidiaries, affiliates

and associated companies (or by any of their respective officers, employees or agents) in

relation to it.

54