27 October 2020

2020 production update

Neptune Energy today announced that following a fire at the Hammerfest LNG plant in Norway on 28 September, Equinor, the operator of the plant, informed its joint venture partners on 26 October that the LNG facility will be closed for up to 12 months for repairs.

Neptune has a 12% interest in the Hammerfest LNG plant at Melkøya, which processes gas produced from the Snøhvit, Albatross and Askeladd fields.

While inspection work is ongoing, Equinor has advised that it may take until 1 October 2021 to restart production. During the shutdown further maintenance and repair work planned for 2021 will be carried out.

Neptune's losses of revenue will be recovered through business interruption insurance, claims for which are effective 60 days after the incident. Further insurance claims will be submitted for our share of repair costs.

As a result of this shutdown, Neptune now anticipates full year 2020 Group production will average 140-145 kboepd. Although 2021 revenues will be protected through business interruption insurance, production guidance for the year is currently under review, with losses from the outage at Hammerfest LNG plant expected to be partly offset with new projects coming online in Norway and Indonesia. Further updates will be provided at our Q3 financial results on 18 November 2020.

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About Neptune Energy Group

Neptune Energy is an independent global E&P company with operations across the North Sea, North Africa and Asia Pacific. The business had production of 144,000 net barrels of oil equivalent per day in 2019 and 2P reserves at 31st December 2019 of 633 million barrels of oil equivalent. The Company, founded by Sam Laidlaw, is backed by CIC and funds advised by Carlyle Group and CVC Capital Partners.

More information: www.neptuneenergy.com