Analysts’ Briefing May 28, 2020

1Q2020 Financial and

Operating Results

1Q2020 Highlights

Philex swings to Php103 million Core Net Income in 1Q2020 from

Core Net Loss of Php112 in 1Q2019, driven by the positive

momentum in the business operations beginning 3Q2019.

Better ore grades for both gold and copper, resulting in higher

metal output

Favorable gold prices continue to push operating revenues higher

by 15%

Operational improvements reduced cash and non-cash production

cost and expenses

Core EBITDA significantly increased by 93%

2

Production Performance

Tonnes Milled: Higher

tonnage due to continuous

improvement in

operational efficiencies

Production: Higher metal

output due to higher ore

grades and recovery

Gold prices: Highest

realized prices since

2012.

1Q2020 1Q2019 +/-

Tonnes Milled (‘000) 1,969 1,832 7%

Production:

Gold – ozs 14,159 10,493 35%

Copper – lbs (‘000) 6,738 5,727 18%

Recovery:

Gold 78% 74% 5%

Copper 83% 81% 2%

Ore Grade:

Gold – gms/dmt 0.283 0.239 19%

Copper - % 0.188 0.175 7%

Average Realized Prices:

Gold – (US$/oz) 1,600 1,304 23%

Copper – (US$/lb) 2.35 2.96 -21%

3

Financial Results Summary

• Operating Income:

Continuous improvement in

metal production and

favorable gold prices.

• Core Net Income: A

complete turnaround in Core

Net Income of Php103

million from last year’s core

net loss of Php112 million.

(in Php million) 1Q2020 1Q2019 +/-

Gross Revenues 1,860 1,613 15%

Smelting Charges 147 137 7%

Net Revenues 1,713 1,476 16%

Costs and Expenses 1,552 1,566 -1%

Operating Income (Loss) 161 (90) -279%

Other (Charges) Income (42) 293 -114%

Net Income 102 206 -50%

Core Net Income (Loss) 103 (112) -192%

Core EBITDA 419 217 93%

Margins: EBITDA Margin (%) 23% 13% 10%

Net Income Margin (%) 6% 13% -7%

4

Capital Expenditures

• 1Q2020 Capex of Php307

million mainly to cover

sustaining capex for Padcal’s

mine development

• Silangan Project: For pre-

development works

• On going search for Silangan

strategic partners

5

• Total Assets: Silangan

Project accounts for 65% of

total assets

• Short-Term Debt:

Additional loan availments

for Silangan’s pre-

development works

Balance Sheet

(in Php million) 31-Mar-20 31-Dec-19

Cash & Cash Equivalents 545 796

Receivables & Others 2,419 2,125

Total Current Assets 2,964 2,921

Property, Plant & Equipment 3,200 3,185

Deferred Exploration Costs 26,779 26,616

Others 5,032 5,177

Total Assets 37,975 37,899

Short-Term Debt 2,589 2,532

Others 2,221 2,397

Total Current Liabilities 4,810 4,929

Bonds Payable 7,835 7,743

Deferred Tax Liabilities & Others 2,306 2,258

Total Liabilities 14,952 14,930

Total Equity 23,023 22,969

6

PXP Energy Corporation

Financial Highlights and

Operational Updates

Financial Highlights – Profit and Loss

8 28 May 2020

• 79% decrease in gross revenue due to:

38% lower volume lifted in SC14 C-1 Galoc

60% drop in average crude sale price

• 65.4% decrease in cost and expenses due to:

Lower depletion in Galoc

• Net loss during the current year vs prior year due to:

Decrease in oil revenues and impairment in Galoc resulting from the

global oil price crash in late Q1

(in PhP millions)

Mar 31,

2020

Mar 31,

2029

% Inc

(Dec)

Gross revenue ₱ 6 ₱ 30 -79%

Cost and expenses 27 47 -43%

Loss from operations (21) (17) 20%

Other income (charges) - net (20) 24 -182%

Reported net income (loss) ₱ (40) ₱ 7 -677%

Financial Highlights – Financial Position

9 28 May 2020

As at Mar 31,

2020

As at Dec 31,

2019

% Inc

(Dec)

Cash & cash equivalents ₱ 188 ₱ 246 -23.6%

Receivables and other CA 52 57 -8.4%

Current assets 240 303 -20.7%

Deferred exploration costs & other NCA 6,545 6,563 -0.3%

Total assets ₱ 6,785 ₱ 6,865 -1.2%

As at Dec 31,

2019

As at Dec 31,

2018

% Inc

(Dec)

Accounts payable & others 44 75 -41.6%

Current liabilities 44 75 -41.6%

Deferred income tax liability 1,077 1,077 0.0%

Others 197 197 0.0%

Non-current liabilities 1,274 1,274 0.0%

Total l iabilit ies 1,318 1,349 -2.3%

Capital stock 1,960 1,960 0.0%

Additional Paid-in Capital 2,817 2,817 -

Subscription receivable (184) (184) -

Deficit (1,676) (1,644) 1.9%

Others 196 210 -6.8%

Non-controlling interest 2,355 2,358 -0.1%

Total equity 5,467 5,517 -0.9%

Total Liabilit ies and SHE ₱ 6,785 ₱ 6,865 -1.2%

ASSETS (in PHP millions)

LIABILITIES AND STOCKHOLDERS’ EQUITY

(in PHP millions)

Operations Update

10 28 May 2020

SC 14C2

SC 6A

Cadlao (SC 6B)

SC 6B

SC 14C1

SC 14B

SC 14A

TUMBES BASIN, OFFSHORE PERU

SC 72 Recto Bank (Forum 70%)

Under Force Majeure (FM) since 15 December 2014 Sub-Phase (SP) 2 with remaining 20 months upon lifting of FM. Minimum work commitment is the

drilling of 2 wells The Sampaguita Field Re-evaluation is ongoing with VGS Consultancy as contractor. The scope of

work includes 3D seismic interpretation of the newly reprocessed PSDM data, update of volume calculation, petrophysics study, economic analysis, and well drilling strategies.

SC 75 NW Palawan (PXP 50%)

Under FM since 27 December 2015 SP 2 with 18 months term will start upon lifting of FM. Minimum work commitment is the

acquisition of 1,000 sq. km of 3D seismic data

SC 74 NW Palawan (PXP 50%)

Under SP 3 until 13 December 2020.

Ongoing Phase 2 of Quantitative Interpretation (QI) study with Ikon Science as Contractor.

Delay in sending out of additional field samples to Core Laboratories Malaysia for paleodating and geochemical analysis due to Enhanced Community Quarantine (ECQ).

PCECP Area 7 Sulu Sea – Under Application (PXP 40%)

No update from the Department of Energy (DOE).

Operations Update 1/2

11 28 May 2020

12

SC 40 North Cebu (Forum 66.67%)

Land gravity survey in Bogo City and Daanbantayan Municipality was conducted from 18 February to 14 March 2020 with 84 stations acquired. The levelling of the same stations carried out by a third-party contractor was completed on 19 March 2020.

Currently conducting gravity reading, coordinates, and elevation corrections.

Data reduction, processing, and interpretation to follow.

SC 14A Nido (Forum 8.468%)

Plug and abandonment (P&A) of the Nido A1 and A2 wells originally planned for April 2020 was suspended due to COVID-19. The current crisis made an impact on Philodrill’s ability to mobilize personnel and equipment for the P&A. The JV is now looking at September 2020 to carry out the P&A, depending on the situation with COVID-19.

Peru Block Z-38 (Pitkin 25%)

Ongoing analysis of Marina-1X drilling results which was drilled from 26 January to 15 February 2020 at a total depth of 3,021 m MD. The well was plugged and abandoned as a dry well.

Drillship Stena Forth left offshore Peru on 25 February 2020 and arrived in Las Palmas on 17 April 2020 after 53 days.

Block Z-38 is currently under the 3rd Exploration Permit (EP) which was originally set to expire on 30 June 2020. On 30 April 2020, Perupetro granted Karoon’s request for a 6 months extension of the 3rd EP to complete post well drilling analysis activities. The expiration of the 3rd EP is now on 31 December 2020.

28 May 2020

Operations Update 2/2