Clean Energy For the MENA Regions Tomorrow Dana Gas Investors - PowerPoint PPT Presentation

Clean Energy For the MENA Region’s Tomorrow Dana Gas Investors Presentation September 2015 www.danagas.com 1

Forward Looking Statement Forward-looking statements are based on certain assumptions This presentation contains forward-looking statements which may be identified by their use of words like “plans,” and expectations of future events. The Company, its subsidiaries and its affiliates (the “Companies”) referred to in “expects,” “will,” “anticipates,” “believes,” “intends,” “projects,” “estimates” or other words of similar meaning. All this presentation cannot guarantee that these assumptions and expectations are accurate or will be realised. The actual statements that address expectations or projections about results, performance or achievements of the Companies, could the future, including, but not limited to, statements about the thus differ materially from those projected in any such forward- strategy for growth, product development, market position, looking statements. The Companies assume no responsibility expenditures, and financial results, are forward looking to publicly amend, modify or revise any forward looking statements. statements, on the basis of any subsequent developments, information or events, or otherwise . www.danagas.com 2

Presentation Outline  Increasing role of gas in MENA  Dana Gas – Business Profile  Country Operations – Egypt, KRI and UAE  Valuation and Credit Metrics  Summary www.danagas.com 3

Gas is the growth fuel of the 21 st Century. It has strong environmental credentials, is cost competitive, is accessible and available in abundance Current full lifecycle costs for new-build power generation including externalities (USD per boe) 300 Fall in oil price has brought its price 250 below renewables and more into line Full Life Cycle Cost (USD / boe) with gas prices 200 ? 150 ? Subject to Not yet c. 10% supply utilisation of working at 100 price ? scale capacity uncertainty No c. 20% full c. 25% c. 35% 50 utilisation cycle utilisation utilisation of cost of of capacity capacity audit capacity 0 Solar PV Solar PV CCS Coal Offshore Biomass Nuclear Onshore New New Oil in Jul Oil in Dec (Germany) (South USA) wind Inciner. (EPR) wind (UK) Hard coal CCGT @ 2014 2014 LEA price Openness of gas industry Huge global conventional range % of 2013 gas production CO2 emissions of various fuels in power generation and unconventional gas resources Qatar 250+ years of Nigeria Latin America 5% Carbon Intensity (tCO2 per MWh) 1.2 1% Other FSU gas resources Asia Pacific 8% 3% North Save 60% today at at 2012 global 18% Other 1.0 America 15% demand levels low cost… LatAm Left 0.8 16% China, Europe other ME … or save extra 30% in 5% Algeria c. 825 13% 0.6 2% Iran uncertain future at 5% tcm 0.4 Turkmen. very high cost OECD 2% 36% 0.2 Russia Former Soviet 18% Middle East + 0.0 Union Africa Nuclear Biomass Offshore Gas / Coal Coal CCS Gas Coal 26% CCS 27% Wind www.danagas.com 4

Middle East gas demand is poised for continued growth as the region’s population and economy grows in coming decades GDP Growth of Middle East 1 Regional Gas Demand Growth in Last Decade 3,500 CAGR: 8.2% 3,000 500% 162 2013 Gas 2,500 GDP, USD bn Demand 450% 2,000 (bcm pa) 1,500 400% Total Gas Demand Growth since 2003 1,000 350% 500 Gas is 50% of regions Energy Mix in 2013 0 300% 1990 1995 2000 2005 2010 2015 2019 Primary Energy Demand of Middle East 1 250% 428 Gas Other 1 600 200% Primary Energy Demand, bcme pa 51 Gas CAGR: 4.5% 1 400 117 150% 1 200 737 438 1 000 100% 800 600 50% 400 53% 50% 0% 49% 200 50% China Middle India Japan US EU 34% - East 1990 2012 2020 2030 2040 www.danagas.com 5 Source: IEA, IMF, BP Statistical Review 2014 1. Middle East comprises: Bahrain, Iran, Iraq, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Syria, UAE, Yemen

MENA region holds ca. 50% of global oil & gas reserves but with limited access. Dana Gas has established presence in both large resource plays and growth market with open access Oil & Gas Proved Reserves (Source: BP Statistical Review 2014) 400 1688 6558 Gas MENA Reserve Ranking 350 bln bbl Tcf MENA RoW Oil 100% 300 90% developments may lead to improved access in future 54% 49% 80% Recent political 70% 250 Reserves, bln boe 60% 50% 40% 200 Open access (incl. 30% 46% 51% licensing round) 20% 10% 150 0% Partially open Oil Gas Restricted access (no open/direct access for 100 independent oil companies) or geopolitical concerns 50 0 www.danagas.com 6 1. KRI reserves as estimated by Ministry of Natural Resources of KRG: Oil at 45bln bbls & Gas at 100tcf

Dana gas as regional gas integrated player focused on matching resource with markets Gas Resource Holders in Middle East (incl. Egypt) (Total Reserves: c. 82 Tcm) 40 Proved Gas Reserves, tcm Access to Private Capital 35 Based on IHS estimates Open 30 approx. 60% of ME Potentially Open resources are 25 Incl. KRI associated gas Closed/inaccessible resource 20 estimates 15 10 5 0 Iran Qatar Iraq Saudi Arabia United Arab Egypt Kuwait Oman Yemen Syria (Incl. KRI) Emirates 2013 Gas Demand in Middle East (incl. Egypt) 180 (Total Demand: c. 473 bcm pa) 2013 Gas Demand, bcm pa 160 140 120 100 80 60 40 20 0 Iran Saudi United Arab Egypt Qatar Kuwait Bahrain Oman Yemen Syria Iraq Arabia Emirates (Incl. KRI) www.danagas.com 7 Source: BP Statistical Review 2014, EIA

Dana Gas – Business Profile www.danagas.com 8

Dana Gas: Independent E&P company listed on the ADX Dana Gas is operating at the heart of the World’s  Dana Gas is a MENASA focused gas Largest Hydrocarbon region independent headquartered in the UAE  Dana Gas is quoted in the Abu Dhabi Securities Exchange. Bloomberg: DANA:UH  Shares outstanding: c. 6961 million Market capitalisation: approx. $ 950 million Enterprise value: $ 1.60 billion Average Daily Traded Volume: 15% of ADX  Net Debt/(Cash) 1 : $ 595 million (2015 H1)  Current Production: 67,200 boepd (2015 H1)  2P Reserves 2 : 145 mmboe  Strong Corporate Governance structure and a unique pan-MENA Board of Directors access to business opportunities in the world’s largest hydrocarbon region www.danagas.com 1.Total interest bearing debt less cash ( Borrowing less cash less MOL shares) 9 2.Includes Egypt & UAE reserves only at end of 2014

Dana Gas works across the gas value chain addressing both domestic and export market needs in MENA region Dana Gas is operating at the heart of the Production Profile world’s largest hydrocarbon bearing region CAGR 11% Mid Stream and Reserve & Resources Business Model across the gas value Downstream assets chain – Meeting energy needs of (YE 2014) in MENA domestic and export markets 120 113 100  EBGDCo – Liquid 2P reserves (mmboe) Extraction plant (LPG) 80  UGTC & SajGas - Gas 60 Transportation and Processing 40  35% in Crescent Natural 32 20 Gas Corporation Limited (CNGCL) – Gas marketing 0 Egypt UAE www.danagas.com 10

Consistent growth, delivery and financial performance since 2007 Revenue Production 800 700 600 USD Million 500 400 690 683 652 636 300 487 200 349 311 282 231 100 0 2007 2008 2009 2010 2011 2012 2013 2014 H1 2015 EBITDAX Profit After Tax www.danagas.com 11

Dana Gas: Country Business Highlights www.danagas.com 12

Despite a challenging business environment; Egypt gas fundamentals are robust. Dana Gas to play a key role in increasing gas production in the core Nile Delta region Egypt GDP (USD bln) Egypt Primary Energy Demand (mln toe pa) 450 100 Primary Energy Demand (mln toe pa) Other Renewables 90 400 Coal GDP, US$ Current Prices 80 Hydro electric 350 Oil 70 300 Natural Gas 60 250 50 200 40 150 30 100 20 10 50 0 0 Gas consumption in Egypt in 2015 expected to exceed Onshore Nile Delta steady and production (LNG imports expected to fill the gap) critical gas supply source Population (RHS) Production Consumption 70 140 60 120 50 100 Population, mln Gas, bcm pa 40 80 30 60 20 40 10 20 0 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015E EGPC official (April 2015): “Egypt will import around $3.55 billion worth of liquefied natural gas (LNG) in the 2015-2016 financial year” www.danagas.com 13 Source: BP Statistical Review 2014, IMF, Morgan Stanley

Dana Gas is the 6 th largest operator and 4 th largest onshore producer in Egypt 2015e Gas Production Ranking in Egypt (* denotes company is an operator) 1,000 900 2015 WI Production, mmcfpd Dana Gas Egypt Credentials: 800 8 th largest producer 700 6 th largest operator 600 4 th largest onshore producer 500 400 300 200 100 0 EBGDCO LPG Plant Gas Reserve Ranking of Independents in Egypt 700 (Dana Gas holds 26.4% of the project) 600 Gas Reserves, bcf 500 400 300 200 100 0 www.danagas.com 14 1.Edison holds 100% operating interest in Abu Qir, but the development is operated by a 50:50 JV with EGPC – Edison not designated as operator Source: Wood Mackenzie