Investor Presentation 01 October 2018 Highlights 2020 year to date - PowerPoint PPT Presentation

June 2020 Investor Presentation 01 October 2018

Highlights 2020 year to date highlights  Safe and responsible operations maintained – Focus on health and safety of our people – Production averaged 70.1 kboepd to end April  Forecast broadly free cash flow neutral for 2020 at forward curve – c. 30% of 2020 volumes hedged at $60/boe – $240m capex & opex savings & deferrals secured  Tolmount schedule impacted by COVID-19, first gas Q2 2021  Optionality of operated growth projects preserved with new partnerships agreed  Highly prospective exploration acreage retained  Zama unitisation and sales process ongoing  $490m of liquidity; addressing covenant and drawing profiles with creditors  Court approved schemes, re-engaging with stakeholders around proposed UK acquisitions and extension of credit maturities Transcocean Leader on tow to Solan field June 2020 P1

Highlights Status of UK acquisitions & lender discussions Strategic rationale behind acquiring UK assets still stands  Strengthens UK business through addition of operated assets  Equity financed acquisition of cash generative assets consistent with deleveraging  Accelerates use of Premier’s UK tax losses  Continues track record of capturing long term value through acquisition at low points in the cycle (Oilexco, E.ON) Current status of UK acquisitions  Focus on BP assets given immediately cash flow generative  Integration and transition work well advanced  Seeking to adjust terms given current market conditions  Remain subject to shareholder and lender consent Lender discussions ongoing  Adequate liquidity: c. $490m of cash & undrawn facilities  Manage covenant profile; secure any necessary waivers  Address May 2021 maturity: blueprint for an extension linked to the acquisitions already exists  Court approved the creditor schemes in April (subject to appeal) June 2020 P2

Production Production assets overview 2020 ytd Outlook UK 47 kboepd  Production averaged 70.1 kboepd  Rising production profile  FY guidance now 65-70 kboepd – Increased contribution from tax advantaged UK assets – Catcher outage (now restored) SE Asia 23 kboepd – Stable Asia production – Huntington COP  High value infrastructure led  No recordable injuries on any opportunities Premier operated sites  Continuous review of operated  Proposed UK acquisitions announced assets to minimise emissions Net debt Operating efficiency 1 $m % 100 3000 Premier (Group) UKCS avg 80 2500 60 2000 40 1500 20 2016 2017 2018 2019 Apr-20 2017 2018 2019 2020 ytd 1 Company estimates, Oil and Gas Authority data June 2020 P3

Production UK North Sea 2020 ytd performance Outlook  47.1 kboepd, underpinned by Catcher which  Varadero infill well spudded 11 May averaged 28.7 kboepd (net)  Solan P3 horizontal, expected to boost field  Elgin Franklin: 7.3 kboepd (high OE and production to >10 kbopd in Q4 completion of FIC infill well)  Catcher North and Laverda drilling deferred  Huntington COP in April with FPSO sailaway planned for mid-year UK field opex of $3/bbl prm to Brent $11/boe (to 31 Apr) (Catcher Q1 cargos)  Solan P3 vertical pilot well completed Catcher plateau rates kboepd (gross) 60 40 20 0 Sanctioned First Oil 2019 2020F June 2020 P4

Production South East Asia Cash generative: c.$50 million of free cash flow generated from SE Asian assets to end April 2020 NSBA, Indonesia (28.7% op) NSBA production kboepd (net)  2020 ytd: 13.8 kboepd (net)  Low opex of $5/boe 15  Infill wells identified to maintain profile 10  48% of 2020 production hedged at c.$9/mscf 5 60% 0 GSA1 market share Q1 2020 Q2 19 Q3 19 Q4 19 Q1 20 Chim Sáo, Vietnam (53.1% op)  2020 ytd: 9.2 kboepd  Low opex of $9/boe >$5/bbl  Ongoing well interventions av. premium to Brent (Chim Sáo 2020 1H cargoes)  2021 infill wells deferred June 2020 P5

Development Tolmount Area  500 Bcf gross resource  50 kboepd gross peak rates  Modest capex; low opex  Partnership with Kellas who are partially funding the capex  Revised schedule with first Tolmount topsides pre-commissioning Tolmount jacket roll up achieved in Dec 19 gas now Q2 2021 Tolmount indicative production profile 1  Significant upside within the kboepd (net, Premier 50 per cent) Greater Tolmount Area 30 Tolmount Tolmount East – Tolmount East, Mongour 25 discoveries – Tolmount Far East, Tolmount 20 South 15 – Initial results from 4D seismic survey very encouraging 10  Potential acquisition of 5 additional 25 per cent interest from Dana 0 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1 Company estimates June 2020 P6

Development Development asset review Tolmount East Area Block 7 Zama oil field 1 Tuna discoveries Sea Lion Phase 1  160-300 BCF gross  810-970 mmbbls gross  100 mmboe gross  250 mmbbls gross resource (P50-P10) resource (P50-P10) resource  Conventional FPSO and including Mongour  Simple, conventional  HoT agreed with subsea development  FEED studies underway development plan Zarubezhneft  FEED completed for subsea and  Long life plateau of  Premier carried for two  Technical work now platform concepts 120 kbopd (gross) to appraisal well campaign paused with work done  Designed for electric 2040+ planned for 2021 to date being fully power  Robust economics: PSC  MoU signed for sale of documented  Project sanction regime Tuna gas to Vietnam  Reduced team to decision targeted 2020  Unitisation and sales  Preparation of net zero progress regulatory 2H process ongoing development plan and financial matters  Extends Tolmount underway  Transaction plateau production documentation with Navitas being progressed Premier, 50% op Premier, 25% non-op Premier 2 , 50% op Premier 2 , 40% op 1 Extends into neighbouring block which is 100% owned by Pemex 2 Working interest, assuming proposed farm outs June 2020 P7

Development Development asset review – a Net Zero Commitment Low Carbon by Design  Measuring, managing and minimising Premier’s emissions  Emissions Hopper approach  Best Available Technology Carbon Neutral by Commitment  Nature- based offsetting in Premier’s geographies  All operated developments will be Carbon Neutral (Scopes 1 and 2) Reducing Scope 1 emissions  Premier’s activities will be:  Use of normally unattended facilities – >65% net zero by 2025  Removal of CO 2 from the gas stream for re-injection – 100% net zero by 2030  Minimisation of all venting and flaring  Electrification of platforms, vehicles etc where possible GHG intensity  Minimisation of offshore support vessels kgCO 2 e/boe Reducing Scope 2 emissions 25  Efficiently generate our own power 20 Advocacy and supported initiatives 15 10 2017 2018 2019 P8 June 2020

Exploration High value exploration portfolio Targeting under explored plays in proven hydrocarbon basins Wahoo prospect, Block 30, Mexico Area A, Alaska North Slope  Charlie-1 well drilled in Q1 >300 mmbbls  Extended Brookian play south but On block gross resource potential encountered gas condensate Block 717, Brazil  Berimbau/Maraca targeting 100-600 mmbbls (gross, P90-P10) Flat Spot  Well deferred to 2021 Mexico  Block 30: Wahoo flat spot similar to Expanded position in South Andaman Sea, Indonesia Zama; drilling deferred to 2022 Timpan DHI  Burgos Blocks 11 & 13: 3D seismic Multi-TCF reprocessing gross potential Andaman Sea, Indonesia  3D survey completed with highly Timpan-1 encouraging initial results  Timpan (Andaman II, PMO 40% op) now planned for 2022; targeting 1.5 TCF of gross unrisked resource June 2020 P9

Summary Forward production profile  Rising, highly cash generative production base  Near to medium term growth from UK assets; South East Asia stable  Longer term growth from new international projects  Excludes contribution from proposed UK North Sea acquisitions Indicative production profile kboepd Base profile Awaiting approval Growth projects June 2020 P10

Summary 7 year balanced capital allocation (2020 to 2026) Reinvestment in new projects will be measured against shareholder returns Non-discretionary Discretionary 100% 25% 10% 10% 10% 45% 2018-2019 allocation At $65/bbl, 40p/therm the business will deliver  Debt reduction 40%  Positive free cash flow in all years  Producing assets / abex 20%  Production averages >100 kboepd by period end  New projects 25%  Covenant level of <1x by period end June 2020 P11

Summary Priorities in today’s environment Maintain safe and responsible operations Capital expenditure $m 2020F capex reduction  Focus on health and safety of our people 500 c. $140 million Maximise operating cash flow 400 Abex P&D E&A  30% of 2020 production hedged at $60/boe 300  Non safety critical maintenance deferred 200  Opex reduced by c. $100m 100 Minimise expenditure 0  Ability to flex and control capex as operator 2020 budget 2020F (May)  Production capex with quick pay back prioritised 2020 FCF breakeven price $/bbl  Sea Lion put on hold, exploration deferred 50 Broadly FCF breakeven Preserve liquidity at current forward curve  $490 million of cash & undrawn facilities  Manage covenant profile 25 Re-engage with stakeholders  Proposed UK acquisitions 0  2021 credit maturities extension 2020 budget 2020F (May) June 2020 P12