Energy Intelligence's Executive Director and Oil & Money Conference chairman, Herman Franssen chairs "Is Unconventional Oil and Gas a sustainable Game Changer?" Videos of this session will be available shortly on www.oilandmoney.com.

2. Is Unconventional Oil and Gas a
Sustainable Game Changer?
Antoine Rostand - President Schlumberger Business Consulting
John Knight - Executive Vice President Global Strategy and
Business Development Statoil
Marianne Kah - Chief Economist ConocoPhillips
Alex Krueger - President and Co-Head of Buyout Funds First Reserve
CHAIR Herman Franssen - Executive Director Energy Intelligence and
Conference Chairman

3. Is Unconventional Oil and Gas a
Sustainable Game Changer?
CHAIR Herman Franssen
Executive Director Energy Intelligence
and Conference Chairman

7. Is Unconventional Oil and Gas a
Sustainable Game Changer?
Antoine Rostand
President
Schlumberger Business Consulting

8. 0
1
2
3
4
5
6 -40%
Fayetteville MarcellusHaynesvilleBarnett
-24%-29%
-41%
201120092008 2010 2013
More mature
developments
Newer
developments
US market
gas price
range
2010-2013
Source: SBC Analysis
USD/Mcf
BREAK EVEN PRICES IN MAJOR US SHALE GAS PLAYS

9. EXAMPLE: NORTH AMERICA LNG LANDED COST IN
JAPAN2
GLOBAL LNG DEMAND AND NORTH AMERICA GAS
POTENTIAL
Tcf USD/Mcf
1,170
520
3422
$5/Mcf$4/McfHighBase
4.0
5.2
4.0
3.0
4.6
4.6
2.8
4.31.1
Resource
Gulf Coast w/o
Panama Canal
Conversion
Shipping
12.9
West Coast
10.9
Gulf Cost w/
Panama Canal3
9.8
2025 Global LNG
Demand
NAM Gas Resource
Potential1
15-24
years of
demand
34-53
years of
demand
1: North America natural gas resource potential after supplying local demand (which is expected to range from 30 to 35 tcf/year from now to 2025)
2: Acreage cost is included as leasehold cost and royalty
3: North American NG Cost ($4.4/Mcf) is based on internal and external breakeven analysis. This is largely industry consensus view of the Street. Most contracts assume $5/ MMBtu
over the long term. All other NG, conversion and shipping costs are based on external estimates
Source: EIA; IHS; Bank reports; SBC Analysis

10. 40
80
60
3,000 6,000
0
4,5000 1,500
100
20
Remaining TRR (Billion barrels)
Production cost
(2012, $ per barrel)
Already
produced ME & North Africa
Extra heavy oil
&
bitumen
Artic
Other conventional
EOR
$ per barrel, billion barrels
SUPPLY COST OF LIQUID FUELS
LTO
Source: IEA World Energy Outlook 2013; SBC analysis

11. 58
63
7074
93
6056
46
4038
0
20
40
60
80
100
2013201220112009 2010
Majors Full cycle cost
LTO Breakeven price -11%
+12%
CAGR
1: F&D + Lifting costs. Pure unconventional NAM players
2: S&GA + F&D + Total Production + WACC. Majors
Source: 1) Rystad, IHS; 2) Evaluate Energy; Goldman Sachs
USD/boe
LTO BREAKEVEN PRICE1 AND MAJORS FULL CYCLE COST2

12. John Knight
Executive Vice President Global Strategy and
Business Development Statoil
Is Unconventional Oil and Gas a
Sustainable Game Changer?

13. Statoil’s positions in three core unconventional plays
EAGLE FORD BAKKEN MARCELLUS
• Entered October 2010
• ~ 61,000 net acres
• Production 30,000 boepd
• Entered October 2011
• ~ 335,000 net acres
• Production 56,000 boepd
• Entered November 2008 and
December 2012
• ~ 612,000 net acres
• Production 123,000 boepd

14. Will the next ten years be a re-run of the past ten years?
¹Total shareholder return = The total amount returned to
investors (capital gains + dividends) in USD
CAGR
15,4%
CAGR
11,1%
CAGR
9,4%

15. Will conventional exploration be able to sustain IOC’s growth post 2020?
Comparison of produced & discovered volumes
5 year average (bn boe) 1960 – 2013
Comparison of discovered volumes
Discovered, recoverable volumes (mmboe) 2012 - 2014

16. Is Unconventional Oil and Gas a
Sustainable Game Changer?
Marianne Kah, Chief Economist
ConocoPhillips

17. Cautionary Statement
17
The following presentation includes forward-looking statements. These statements relate to future events, such as anticipated revenues, earnings,
business strategies, competitive position or other aspects of our operations or operating results or the industries or markets in which we operate or
participate in general. Actual outcomes and results may differ materially from what is expressed or forecast in such forward-looking statements. These
statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions that may prove to be incorrect and are
difficult to predict such as oil and gas prices; operational hazards and drilling risks; potential failure to achieve, and potential delays in achieving expected
reserves or production levels from existing and future oil and gas development projects; unsuccessful exploratory activities; unexpected cost increases or
technical difficulties in constructing, maintaining or modifying company facilities; international monetary conditions and exchange controls; potential
liability for remedial actions under existing or future environmental regulations or from pending or future litigation; limited access to capital or
significantly higher cost of capital related to illiquidity or uncertainty in the domestic or international financial markets; general domestic and
international economic and political conditions, as well as changes in tax, environmental and other laws applicable to ConocoPhillips’ business and other
economic, business, competitive and/or regulatory factors affecting ConocoPhillips’ business generally as set forth in ConocoPhillips’ filings with the
Securities and Exchange Commission (SEC). We caution you not to place undue reliance on our forward-looking statements, which are only as of the date
of this presentation or as otherwise indicated, and we expressly disclaim any responsibility for updating such information.
Use of non-GAAP financial information – This presentation may include non-GAAP financial measures, which help facilitate comparison of company
operating performance across periods and with peer companies. Any non-GAAP measures included herein will be accompanied by a reconciliation to the
nearest corresponding GAAP measure in an appendix.
Cautionary Note to U.S. Investors – The SEC permits oil and gas companies, in their filings with the SEC, to disclose only proved, probable and possible
reserves. We use the term "resource" in this presentation that the SEC’s guidelines prohibit us from including in filings with the SEC. U.S. investors are
urged to consider closely the oil and gas disclosures in our Form 10-K and other reports and filings with the SEC. Copies are available from the SEC and
from the ConocoPhillips website.

18. 0
2
4
6
8
10
12
14
16
18
MillionBarrelsperDay
Conventional Production
U.S. Tight Oil
NGLs
Alaska Crude
High Resource
Case
NGLs
Source: U.S. Department of Energy, EIA, Annual Energy Review 2013, Table 5.1b. Forecast from EIA Annual Energy Outlook 2014, Various forecasts
*Includes crude, condensate and natural gas liquids production
"Peak Oil"
18
U.S. Oil Production Forecast

19. Eagle Ford Efficiency Improvement
Enerdeq Database 8/1/14. Play level month averages. IP rate – Initial 24 hour production rate for wellhead crude.
Drilling DaysOil Initial Production Rate
19
Source: IHS Inc. Use of this content authorized in advance by IHS; further use or redistribution strictly prohibited without written permission from IHS. All rights reserved .
0
200
400
600
800
1,000
1,200
2008 2009 2010 2012 2013 2014
10
15
20
25
30
35
40
45
50
2008 2010 2013 2016
BarrelsperDay
SpudtoRigRelease

20. Government Policy Enablers
• Positive business climate for
investment
– Realistic tax policy
– Efficient and effective regulation
• Resource access
– Timely permitting
– Private mineral rights
• Infrastructure availability
– Timely development
– Open access
• Access to markets
– Free trade
– Free market pricing
20

21. Crude Export Ban Constrains U.S. Oil Production
• Domestic crude price discounts
would reduce investment in
new production
– Some wells and plays become
uneconomic
– Reduced cash flow to invest
• Without crude exports, U.S.
crude production would be
~1.5-3.0 MMBD lower in 2020
21
0
1
2
3
4
5
6
7
8
2013 2014 2015 2016 2017 2018 2019 2020
Flat production
3.5
MMBD
3.1
MMBD
2015-2020
Cumulative CapEx:
$620 Billion
(Rystad Energy)
Source: ConocoPhillips, for decline rates, Rystad for forecast and cumulative capital expenditures
*Brookings Institution, “Changing Markets: Economic Opportunities from Lifting the U.S. Ban on Crude Oil Exports,” September, 2014
U.S. Tight Oil Production
Excluding NGLs
MillionBarrelsperDay