Europe Gas Supply Growth: All Eyes on Cyprus

Tristan AsprayVice President, Europe/Russia/CaspianExxonMobil Exploration Company

November 2, 2017

0%

25%

50%

75%

100%

125%

2015 2040

Global Trends Continue to Evolve

+1.8 billionpeople

2xGDP

+25%demand

+10%CO2 emissions

-45%CO2 intensity

Percent

Growth from 2015 Level

ExxonMobil Energy Outlook

3

0

30

60

90

2000 2020 20400

30

60

90

2000 2020 2040

Europe Energy Demand

Transportation

Industrial

Electricity Generation

Res/Comm

Oil

Gas

Coal

Nuclear

Biomass

Other Renewables

By SectorQuadrillion BTUs

By FuelQuadrillion BTUs

ExxonMobil Energy Outlook

Gas Imports into Europe Growing

ExxonMobil Energy Outlook

• Well developed gas transmission network

• More than 60% of all gas consumed in EU crosses at least one international border

• LNG is forecast to play a growing role in meeting Europe’s gas demand

• 26 LNG receiving terminals in operation

• Cyprus can play a role in meeting the future needs for gas in Europe

BCFD

First delivery of US LNG to Poland, June 2017

Adriatic LNG terminal, offshore Italy

Strong Growth in Asia Pacific LNG Demand

ExxonMobil Energy Outlook

• Rapidly growing economies in Asia Pacific drive most global growth in LNG

• Demand will be met from sources around the world

• Any future LNG development in Cyprus will be well-positioned to also supply markets beyond Europe

LNG tanker passing through Suez canal

Near-term Cyprus Exploration Activity

EgyptIsrael

Cyprus

N

Lebanon

Zohr30 TCF

IP

Tamar12 TCF IPLeviathan

27 TCF IP

Aphrodite5 TCF IP

All in place (IP) volumes as reported by IHS

• 3 blocks awarded in 3rd

Round, April 2017

• ExxonMobil and partner Qatar Petroleum will begin a 2-well program on Block 10 in 2H 2018

• 3D seismic data acquired

• Well planning and permitting under way

• Rig and other contracts progressing

• Limassol shore base

• Other near-term drilling planned across multiple blocks