RATIO OILEXPLORATION (1992)Limited Partnership [1]

LEVIATHAN PROJECT-

INVESTORS UPDATE

November 2017

From Exploration

to Development

DISCLAIMER

[2]

This presentation was prepared by Ratio Oil Exploration (1992) – Limited Partnership(the “Partnership” or “Ratio”). It is not an offer to buy or sell securities of thePartnership, nor an invitation to receive such offers, and is designed, as aforesaid, for theprovision of information only. The information used to make the presentation (the“Information”) is given for convenience purposes only and is neither a basis for makingany investment decision, nor a recommendation nor an opinion, and is no substitute forthe investor’s discretion.

Everything stated in this presentation with respect to an analysis of the Partnership’sbusiness is merely a summary, and it does not purport to be all-inclusive or to contain allof the information that may be relevant in making any decision concerning an investmentin the securities of the Partnership. To obtain a full picture of the Partnership’s businessand the risks facing the Partnership, review the Partnership’s Periodical and ImmediateReports, as filed with the Israeli Securities Authority on the Magna website. Norepresentation or warranty, express or implied, is made by any person as to the accuracyor completeness of the information contained herein.

Various issues addressed in this presentation, which include forecasts, goals, estimates,assessments and other information pertaining to future events and/or matters, whosematerialization is neither certain nor within the Partnership’s control, including inconnection with data, income forecasts, the value of the Partnership, costs of projects,development plans and concepts and construction thereof etc., are forward-lookinginformation, as defined in the Israeli Securities Law. Such Information is based solely onthe Partnership’s subjective assessment, based on facts and figures concerning thestatus of the Partnership’s business, and macro-economic facts and figures, all as areknown to the Partnership on the date of preparation of this presentation. The Partnershipdoes not undertake to update and/or change any such forecast and/or estimate to reflectevents and/or circumstances occurring after the date of preparation of this presentation.The materialization or non-materialization of the forward-looking information will beaffected, inter alia, by risk factors characterizing the Partnership’s business, as well as bydevelopments in the general environment and external factors affecting the Partnership’sbusiness, third-party representations not materializing, delays in the receipt of permits,etc., which cannot be estimated in advance and are beyond the Partnership’s control.The Partnership’s results of operations may differ materially from the results estimated orimplied from the aforesaid, inter alia due to a change in any one of the foregoing factors.

• World class asset

that contains 21.4 TCF

of natural gas resources (*)

• Phase 1A Project Development:

• Final Investment Decision obtained in Feb 2017.

• Partners approved CAPEX of $3.75Bn.

• Project is on schedule on budget.

• First gas delivery targeted for Q4/2019.

• Initial gas processing capacity of 1.2 bcf/d.

• On-going marketing negotiations to secure additional

gas sale contracts for domestic and regional markets.

• Phase 1B Development is driven by markets maturity.

[3]

2007Ratio obtains Preliminary permit

2007-2008Farm out to Noble & Delek

2010Drill and discovery

2014Obtain Leases

2017Phase 1A FID

Q4/2019Estimated first Gas

(*) As per the Partnership’s immediate report dated September 26,2017

Noble Energy

(Operator)39.66%

Delek Drilling45.34%

Ratio15.00%LEVIATHAN AT

A GLANCE

LEVIATHANPHASED DEVELOPMENT

[4]

Leviathan Development ProjectFocus on Israel & regional export markets

According to the approved development plan, the

project’s processing capacity of 2.1 bcf/d will be built in

the same production platform in two phases:

Phase 1A: Initial processing capacity of 1.2 bcf/d. Targets Israeli

consumers, adjacent countries & territories, such as: Jordan,

Egypt (Domestic), PA.

Phase 1B: Additional processing capacity of 0.9 bcf/d. Targets

neighboring countries, such as Egypt (Idku ELNG) and Turkey.

Ability to export up to 1.2 bcf/d through a dedicated pipeline.

Construction of Phase 1A - 1.2 bcf/d

Future Expansion (Phase 1B) - 2.1 bcf/d

• Fixed platform located 10 KM offshore Israel with full

processing capabilities. Construction is underway.

• Four producing wells at first gas; aggregate capability

of more than 1.2 bcf/d

• Gas will be delivered via two 115 KM 18'' flow lines to

the platform.

• Processed gas will be delivered from the platform via a

32'' pipeline to the INGL transmission system.

PHASE 1A DEVELOPMENT

Platform Fabrication

Farming Production Deck

[5]

PHASE 1A DEVELOPMENT

[6]

• Fixed platform located 10 KM offshore Israel with full

processing capabilities. Construction is underway.

• Four producing wells at first gas; aggregate capability

of more than 1.2 bcf/d

• Gas will be delivered via two 115 KM 18'' flow lines to

the platform.

• Processed gas will be delivered from the platform via a

32'' pipeline to the INGL transmission system.

PHASE 1A DEVELOPMENT

Subsea Line pipe Shipment Loadout

[7]

• Fixed platform located 10 KM offshore Israel with full

processing capabilities. Construction is underway.

• Four producing wells at first gas; aggregate capability

of more than 1.2 bcf/d

• Gas will be delivered via two 115 KM 18'' flow lines to

the platform.

• Processed gas will be delivered from the platform via a

32'' pipeline to the INGL transmission system.

PHASE 1A DEVELOPMENT

Onshore Site Development

(CVS & DVS)

[8]

• Fixed platform located 10 KM offshore Israel with full

processing capabilities. Construction is underway.

• Four producing wells at first gas; aggregate capability

of more than 1.2 bcf/d

• Gas will be delivered via two 115 KM 18'' flow lines to

the platform.

• Processed gas will be delivered from the platform via a

32'' pipeline to the INGL transmission system.

PHASE 1A DEVELOPMENTPROGRESS

[9]

Project remains on schedule and budget (*)

(*) As per the Operator report of October 30 ,2017 (Form 8-K )

23% of Project

Development

Completed (*)

All Critical Path

Equipment and Major

Contracts Secured (*)

LEVIATHAN NATURAL GAS RESOURCES

L-5 Well recent results reconfirmed reservoir quality and quantity

12.5 TCF are classified as “Reserves approved for Development”

[10]

1P 2P 3P

Category/ Estimation (Proved) (Proved+ Probable)(Proved + Probable+

Possible)

Reserves 9.4 12.5 13.8

1C 2C 3C

(Low) (Best) (High)

Contingent Resources

Phase 1A (*) 5.1 3.8 3.7

Future Development (**) 2.2 5.1 8.3

Total Reserves & Resources

16.7 21.4 25.8

Natural Gas Resources (TCF)NSAI report, as of September 2017

(*) Pending Development Category; subject to additional 4 wells and further GSPAs

(**) Subject to FID of Phase 2 and further GSPAs

LEVIATHAN MARKETING

[11]

• Secured firm GSPAs of up to 525 mmcf/d to local

customers and NEPCO in Jordan.

• On-going extensive negotiations with potential

customers in Israel and regional markets, aiming

to obtain peak supply of 1.0 bcf/d in 2020.

• Potential growth engines for Phase1A:

• Domestic:

• IEC - following coal-to-gas conversions

• Existing power producers and industrial customers

• New built power plants & gas based industries

• Transportation – CNG, railway system electrification

• Export:

• Egypt (Domestic) & Palestinian Authority

• Industrials in Jordan

• On-going discussions with potential anchor

customers in Turkey and Egypt (ELNG plant),

which will allow sanction of Phase 1B.

FOECAST FOR HIGH DEMAND GROWTH IN ISRAEL

Demand forecast includes additional consumption of ~ 3.5 BCM/A due to coal reduction

[12]

Israel’s Natural Gas Demand Forecast (*)

(*) BDO forecast as of August 2017

RATIO FINANCING & LIQUIDITY

[13]

• Ratio’s Leviathan Development’s outstanding

CAPEX through 2020 estimated at approx.

$520m.

• Ratio holds a cash balance position of approx.

$155m.

• Secured senior financing facility of $250m from

leading International & local banks.

• Facility can be increased to $400m from existing or

new lenders.

• $56m were drawn down from the facility.

• In the process of refinancing Bond A to a new

Bond with longer maturity.

• Potential additional liquidity of approx. $160m

through exercise of warrants 17 & 18.

RATIO FUTURE CASH FLOW

Robust cash flow beginning in 2020 attributed to Phase 1A.

Additional significant revenues expected from Phase 1B.

Ability to meet Ratio’s expected financing liabilities.

[14]

(*) As per the Partnership’s immediate report dated September 26,2017 "Leviathan discounted cash flow

projections“; based only on Proved & Probable Reserves categories

(**) Operating cash flow represents undiscounted gross revenue from gas and condensate sales less

royalties and less operating expenses and taxes.

0

200

400

600

800

1000

1200

184

214

211

233

240

Phase 1A Development cumulative estimated Ratio’s

operating cash flow 2020-2024 ($m) (*) (**)

2024 2023 2022 2021 2020

TOTAL

$1,082m

CONTACT DETAILS

[15]

Ratio OilExploration (1992)Limited Partnership

85 Yehuda Halevy St.Tel Aviv 6579614Israel

Tel: +972-3-5661338Fax: +972-3-5661280office@ratioil.com