A development and production focused

North Sea company

November 2017

Independent Oil & Gas plc

This page is intentionally left blank

Disclaimer

3

The information contained in this confidential document (“Presentation”) has been prepared by Independent Oil and Gas plc (the “Company”).

While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers

give, have given or have authority to give, any representations or warranties (express or implied) as to, or in relation to, the accuracy, reliability or completeness of the

information in this Presentation, or any revision thereof, or of any other written or oral information made or to be made available to any interested party or its advisers (all

such information being referred to as “Information”) and liability therefore is expressly disclaimed. Accordingly, neither the Company nor any of its shareholders, directors,

officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct or indirect, express or implied, contractual, tortious, statutory or

otherwise, in respect of, the accuracy or completeness of the Information or for any of the opinions contained herein or for any errors, omissions or misstatements or for any

loss, howsoever arising, from the use of this Presentation.

This Presentation may contain forward-looking statements that involve substantial risks and uncertainties, and actual results and developments may differ materially from

those expressed or implied by these statements. These forward-looking statements are statements regarding the Company's intentions, beliefs or current expectations

concerning, among other things, the Company's results of operations, financial condition, prospects, growth, strategies and the industry in which the Company operates. By

their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future.

These forward-looking statements speak only as of the date of this Presentation and the Company does not undertake any obligation to publicly release any revisions to

these forward-looking statements to reflect events or circumstances after the date of this Presentation.

Neither the issue of this Presentation nor any part of its contents is to be taken as any form of commitment on the part of the Company to proceed with any transaction and

the right is reserved to terminate any discussions or negotiations with any prospective investors. In no circumstances will the Company be responsible for any costs, losses

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obligation to provide the recipient with access to any additional information or to update this Presentation or to correct any inaccuracies in, or omissions from, this

Presentation which may become apparent.

This Presentation should not be considered as the giving of investment advice by the Company or any of its shareholders, directors, officers, agents, employees or advisers.

In particular, this Presentation does not constitute an offer or invitation to subscribe for or purchase any securities and neither this Presentation nor anything contained

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www.independentoilandgas.com

Strategy and Company Overview

4

Strategy

Deliver the Company’s significant gas reserves via two

production hubs and fully owned infrastructure

Company Overview

North Sea development and production focus:

• Targeting over 200 MMcfd gas production from

current portfolio (c.35 MMBOE [1],[2])

– 54.7 BCF 2P gas reserves in Blythe Hub[2]

– 248.6 BCF 2P gas reserves in Vulcan Satellites[2]

– £320.5 MM NPV10 of 2P Reserves at Blythe and

Vulcan Satellites Hubs [2]

– 114 BCF P50 to be appraised at Harvey[2]

• Portfolio offtake to be via 100% owned pipeline

• Experienced team with proven track record

– Gas hub strategy - CH4 Energy

– Clipper South development – Fairfield

• Supportive investors providing working capital to

progress development work

Sources: [1] Conversion factor of 5.8 BCF per MMBOE plus gas condensate

[2] ERC Equipoise CPR – October & November 2017

Blythe

Harvey

Elgood

Southwark

Elland

Nailsworth

Southern North Sea

Bacton

Theddlethorpe

Map: Wood Mackenzie PathFinder/IOG

Dimlington

Thames Pipeline

Vulcan Satellites HubBlythe Hub

Benefits of IOG’s UK Gas Hub Strategy

• Strong cash flows and investor returns

• Low costs and breakeven prices

• Stable UK gas prices of 43-44p/therm (see below)

• Portfolio of 6 fields diversifies risk

Economic Drivers

• Gas will remain vital part of UK energy supply

• High UK gas import reliance (see right)

• IOG to provide 15+ years of stable domestic gas supplies

• Reduces need for higher LNG or pipeline imports

• Gas as “bridge fuel” to lower carbon energy mix

• IOG’s 400+ BCF could heat up to 9 million UK homes for a year

Macro & Energy Security Factors

• Fulfilling the UK government’s Maximise Economic Recovery (MER UK) strategy

• Extending life of UK infrastructure (Thames Pipeline)

• Building on OGA’s SNS Tight Gas Strategy

Aligned with UK Oil & Gas Authority

Source: OGA/Bloomberg

UK’s Rising Gas Import Dependency

Source: ICE/IOG

UK Gas Forward Curve 5-Year Outlook (NBP in p/therm)

5

Experienced Team

Board

Chief Petroleum

Engineer

Colin Jones

Ex-Norsk Hydro and DNO

Former Chairman of Oslo SPE

Management

6 Directors and Management own 21.9% of IOG

Non-Executive

Director (LOG)

Martin Ruscoe

Director of London

Group plc

CEO & Interim

Chairman

Mark Routh

Founder and Ex-MD of

CH4 Energy Ltd

CFO

James Chance

Ex-Standard Chartered Oil &

Gas Banker

Non-Executive

Director

Andrew Hay

Adviser at Edmond de

Rothschild

SNS Project

Manager

Graham Cox

Formerly Project Manager on

Clipper South Development

Deputy CEO

Andrew Hockey

Ex-Fairfield, Sound Energy,

Eni & Fina

Head of Business

Origination

Peter Young

Ex-Standard Chartered, Mitsui,

and RBS

Non-Executive

Director (LOG)

Charles Hendry

Former UK Minister of

State for Energy

Technical

Director

Doug Fenwick

Founder and Ex-CEO of MPX

Energy

Financial

Controller

Gavin Milne

Ex-Sterling, Faroe, Celtique

and Valiant

Pipeline and

Subsea Engineer

Roger Farrow

Ex-Hess and BG

H S & E

Manager

Ian Pollard

Formerly H S & E Manager for

Fairfield Energy

Material Future Gas Production and Cash Flow

7

• First gas targeted by end of Q2

2019 from Blythe and Southwark

– All five fields in production by

2020

• Consistent strong cash flows

throughout 2020s

– Economic life to mid-2030s

• Expected peak production of over

200 MMcfd (c.35,000 BOE/D)

• Harvey development could

extend the 100 MMcfd+ plateau

to 2023

• Thames Pipeline provides offtake

route for gas production for life of

IOG’s SNS Hub[1]

• 74 MMBOE total potential

production at £5+ unrisked

NPV/BOE

• Portfolio Gas Reserves [2]

1P/2P/3P = 201/303/435 BCF

• Portfolio Condensate Reserves[2]

1P/2P/3P = 1.1/1.7/2.4 MMBO

Thames Pipeline Landfall at Bacton Terminal

[1] Pipeline acquisition subject to completion

[2] ERC Equipoise CPR - October 2017

Old NameRevised

Name

Vulcan South Southwark

Vulcan

North WestNailsworth

Vulcan East Elland

Vulcan Satellites

Revised Field Names

Thames Pipeline: Enabling the Gas Hub Strategy

• 100%-owned 24-inch line with

significant capacity

• Recommissioning gives control from

field to market

– Export line for all IOG SNS gas

– Major cost savings of up to

£100m

– No transportation tariff reduces

opex

• Pigging and onshore facility

refurbishment in Q1 2018 [1]

• Enables IOG to maximise economic

recovery in the area

• Potential further activity:

– Acquire and develop other nearby

assets

– De-risk appraisal and exploration

targets

– Third-party tariff income

Areas highlighted in yellow denote IOG licences

Map: Wood Mackenzie PathFinder/IOG

8

Thames Pipeline – section to be recommissioned shown in bold

[1] Subject to completion of Thames pipeline acquisition

Thames Pipeline Recommissioning

• IOG’s intelligent pigging operation in early 2018 will measure

the status and wall thickness of the Thames Pipeline

– This will determine the safe Maximum Allowable Operating

Pressure (MAOP)

• Engineering studies have demonstrated the low risks of

recommissioning the line

– Estimated further life of 25-40 years based on observed

and expected corrosion rates

– Compared to 15-20 year life of IOG assets

• Natural production declines will reduce need for operating

pressure and wall thickness

– Use of onshore compression at Bacton also significantly

further reduces need for operating pressure

• The line was decommissioned only in 2015 and no subsequent

damage is expected

– In the event it is required, replacing damaged sections is

technically and economically feasible

– In the extremely unlikely event the line is damaged beyond

reuse, a new line could be installed inside the existing one

from the terminal, with the same landfall section and

onshore facilities still being used

9

Thames Pipeline landfall at the Bacton Terminal

Example of intelligent pig device

Vulcan Satellites Hub – 100% owned

• Large gas hub close to Thames pipeline

• CPR conducted in October 2017

confirms development ready

2P reserves of 248.6 BCF

• Low-cost shallow water developments

using unmanned platforms

• Peak production of over 150 MMcfd

from 8 hydraulically stimulated wells

– Target breakeven price <25p/therm

($20/BOE)

• FDP submitted October 2017

• Current activities:

– Consultation on Environmental

Impact Assessment

– Offtake and Contractor funding

discussions

– Preparing for surveys

– Platform FEED

10

Vulcan Satellites Hub Location in relation to IOG’s other assets

Source: [1] ERC Equipoise CPR - October 2017

Vulcan Satellites Gas Initially in Place (BCF)[1] Gas Reserves (BCF)[1]

Field Low Best High 1P 2P 3P

Nailsworth 100.5 160.9 232.5 60.4 99.4 147.2

Elland 51.8 73.7 97.0 39.9 55.0 72.9

Southwark 84.2 128.5 178.6 61.2 94.2 137.7

Total (arithmetic sum) 236.5 363.1 508.1 161.5 248.6 357.8

Map: Wood Mackenzie PathFinder/IOG

Vulcan Satellites Hub – 2017 CPR [1]

Southwark

Elland

Nailsworth

Vulcan Satellites Hub: Subsurface Work

11

Nailsworth – Top Rotliegend Depth Map [1]

Elland – Top Rotliegend Depth Map [1]

Southwark – Top Rotliegend Depth Map [1]

49/21c

49/21c & 49/21d

Disciplined Subsurface In-House Work Flow 1H 2017

• Acquire 3D seismic dataset

• Proprietary mapping and resource assessment

• Build in-house static model to estimate gas in place

• Model hydraulic stimulation to understand potential

• Build dynamic reservoir model to forecast production

Outcome

• Proprietary reservoir model

• High quality input to field development plan

Source: [1] Beagle Geoscience / IOG November 2016

Blythe Hub – 100% owned

12

Sources: [1] Competent Person's Report: ERC Equipoise - October 2017

• Two proven gas discoveries to be developed

jointly and exported via Thames Pipeline

• CPR conducted in October 2017 confirms

Blythe 2P Gas Reserves of 33 BCF, Elgood

2P Gas Reserves of 22 BCF

• Unmanned platform at Blythe, Elgood

subsea tie-back

• First gas in Q2 2019, target peak production

85 MMcfd[1]

– Target breakeven price <25p/therm

($20/BOE)

– Total recovery 54.4 BCF[1] (2P case)

• FDP submitted July 2017

– Preparing for surveys

– Platform FEED underway

– Preparing Environmental Impact

Assessment

• Contracting and funding processes

combined with Vulcan Satellites hub

• Gas offtake agreement with BP Gas

Marketing for Blythe

Blythe Hub Gas Initially in Place (BCF) Gas Reserves (BCF)

Field Low Best High 1P 2P 3P

Blythe 31.9 47.9 65.9 25.2 33.0 44.1

Elgood 21.8 28.8 36.3 14.7 21.7 32.6

Total (arithmetic sum) 53.6 76.9 102.1 39.9 54.7 76.7

Blythe Hub – 2017 CPR [1]

Map: Wood Mackenzie PathFinder/IOG

Blythe

Elgood

Blythe Hub Location in relation to IOG’s other assets

Blythe Hub: Subsurface Work

13

Sources: [1] Schlumberger WesternGeCo

[2] Beagle Geoscience / IOG November 2016

[3] ERC Equipoise / IOG May 2017

Elgood Top Rotliegend Depth Map[2]

Elgood

Blythe Top Rotliegend Depth Map [2]

Blythe

Disciplined Subsurface In-House Work Flow:

Work completed in Q3 16 – Q2 17

• Reprocessed 250 km2 3D seismic data[1]

• Seismic mapping and amplitude analysis[2]

• Resource Assessment

• Reservoir Modelling[3]

– Static model confirms Gas in Place estimates

– Dynamic model forecasts gas production

Outcome

• Proprietary IOG reservoir model

• High quality input to Field Development Plan

Harvey Appraisal - Significant Upside

14Source: [1] ERC Equipoise CPR - November 2017

• A potential significant structure which could be the largest gas

field across IOG’s SNS portfolio

• Significant reprocessing and reinterpretation work completed

• Previous well indicated gas in system, appraisal well required

to confirm gas column and volumes

• CPR Geological Chance of Success (50%) [1]

• Reservoir quality is good

• Over 400 ft relief in Maximum Case

• Unrisked prospective resource estimates (Low-Best-High) [1]

• GIIP (structure): 71 – 176 – 437 BCF

• Resource (structure): 45 – 114 – 286 BCF

• GIIP (on block): 56 – 139 – 345 BCF

• Resource (on block): 36 – 90 – 226 BCF

N.B. Plans underway to licence all Harvey resources

• If successfully appraised, Harvey would be developed as a tie-

back to the Thames pipeline

• Appraisal well committed to be drilled by late 2019. Near term

drilling under consideration

• Extension to the current licence term requested in order to plan

and drill the appraisal well

Current activity:

• Reservoir modelling and well design

Harvey Top Rotliegend Depth Map

Target Timeline to First Gas

15

2020Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1

BlytheReservoir

Studies

Site

Surveys

Well

permitsDrilling

First Gas

Elgood Reservoir

Studies

Site

Surveys

Well

permitsDrilling

First Gas

SouthwarkReservoir

Studies

Site

Surveys

Well

permitsDrilling

First Gas

NailsworthReservoir

Studies

Site

SurveysConstruct & install infrastructure

Well

permitsDrilling

First Gas

EllandReservoir

Studies

Site

SurveysConstruct & install infrastructure

Well

permitsDrilling

First Gas

FDP & EIA Application FDP Approval & Final Investment Decision

Vu

lcan

Sat

elli

tes

Hu

b Construct & install

infrastructure

Construct & install

subsea infrastructure

Construct & install

infrastructure

2018 2019

Bly

the

Hu

b

Hub Field 2017

Pip

elin

e In

telli

gen

t P

iggi

ng

Op

erat

ion

s

CH4 Energy: Proven Track Record of Gas Hub Strategy

Mark Routh was the Founder and CEO of CH4 Energy

Founded in 2002 with £750k from 3i and £250k from

management

Strategy

• Hub strategy focused on North Sea gas

Key Actions

• Acquired 25% of ETS pipeline - instant tariff income

• Markham gas field acquired from Eni became CH4’s first

hub

• Markham infill well increased production by 30%

• Acquired 100% of Chiswick field building on hub strategy

• Installed production platform at Chiswick for tie back via

a new pipeline to a new compression platform at

Markham

Result

• CH4 was sold to Venture Production in 2006 for

£154.4m

➢ Realised 7.3 multiple on initial investment for 3i

Hub Strategy – North Sea

• Venture Production also executed a successful Hub

Strategy

• North Sea hub strategy now pursued by EnQuest,

Faroe, Ithaca and others

16

0

500

1000

1500

2000

2500

3000

3500

4000

4500

5000

2002 2003 2004 2005 2006

Bo

ep

d

Year

CH4 Energy Net Production & History

Acquired Markham from ENI

Drilled B6 infill well, acquired Chiswick

47.430.11.0 2.3

12.6

124.4

0

20

40

60

80

100

120

140

160

180

2002 2003 2004 2005 2006

Val

uat

ion

(£

m)

Year

CH4 Energy: Investment vs. Sale ValueEquity Debt

Sold to Venture for £154.4m

>7.3x equity multiple for 3i

>7.8x total equity multiple

Invested Realised

Clipper South: Proven Track Record with SNS Tight Gas

17

1992 Appraisal Well (48/19c-13S1)

High angle well

1200 ft net reservoir section

Flowed 2 MMscfd

1983 Discovery Well (48/19a-3)

Vertical well

Small frac of 60 ft interval at top

Flowed 3 MMscfd

Added 120 ft unstimulated in lower sands

Flowed 5 MMscfd

Source: DEA

Source: SPE 164826

IOG Deputy CEO Andrew Hockey was a founder and General

Manager Joint Ventures and New Business of Fairfield Energy

Founded in 2005 with $200 million from a consortium including

Warburg Pincus and Kern Partners

Strategy

• Late life production, redevelopment, dormant discoveries

and stranded assets

Key Actions

• Fairfield acquired dormant tight gas discovery Clipper South

100% from Shell and Esso in 2008

– 15km north of Vulcan Satellites and similar

characteristics

• No development funding requirement for Fairfield

– Farmed down 50% to RWE and 25% to Bayern Gas to

finance development to first gas in 2012

– Debt-funded remaining development drilling

programme with Credit Suisse

• Drilled 4 horizontal hydraulically stimulated wells

• Increased per well productivity from 3-5 MMcfd to >35

MMcfd with stimulation

Result

• Clipper South production exceeds expectations at 75 MMcfd

• 25% Clipper South interest was sold to Ineos in 2015

IOG Conclusion: Creating value via high-margin gas hubs

18

Monetising strong value

Creative commercial

strategy

Proven track record

Building genuine scale

Innovative funding

approach

Catalysts ahead

• Efficient hub strategy

• Low capex in $10/BOE range

• ~$8/BOE unrisked 2P NPV

• Thames recommissioning

• Full field-to-market control

• Contractor funding

• 2P+P50 416 BCF (74 MMBOE)

• Peak production >200 MMcfd

• Target breakeven <25p/therm

• Raising offtake finance

• Partnering with supply chain

• Minimising equity dilution

• Development funding

• FDP approvals

• Potential acquisitions

• Extensive SNS experience

• CH4 7.3x return

• Clipper South development

Sources: [1] ERC Equipoise CPRs – October & November 2017

[2] Net resources on block are 79%. Plans underway to licence all resources.

Map: Wood Mackenzie PathFinder/IOG

Vulcan Satellites, Blythe and Elgood[1] 1P 2P 3P

Economic Gas Reserves BCF 201 303 435

Oil Equivalent Reserves (incl. condensate) MMBoe 36 54 77

Post-Tax NPV10 (incl. IOG’s tax losses) £ MM 97 321 584

Pre-Tax NPV10 £ MM 119 453 880

Pre-Tax NPV0 (undiscounted) £ MM 295 843 1,530

Harvey[1] Low Best High

Gas Resources (gross)[2] BCF 44 114 290