2. Disclaimer This presentation uses the terms “potential petroleum quantities”, “prospective resources” and “contingent resources” to describe those quantities of petroleum that are potentially recoverable from accumulations yet to be discovered. Because of the uncertainty of commerciality and lack of sufficient exploration drilling, and the lack of identified prospects, leads, or future development and exploration projects, the potential petroleum quantities estimated herein cannot be classified as prospective resources, contingent resources or reserves, and the prospective resources and contingent resources cannot be classified as reserves. Investors are advised that the U.S. Securities and Exchange Commission (SEC) and other international securities regulators do not recognize potential petroleum quantities and prospective and contingent resources. There is no certainty that any portion of the potential petroleum quantities or prospective resources will be discovered and, if discovered, whether they could be developed economically. Therefore, investors are cautioned not to assume that all or any part of OGX’s potential petroleum quantities or prospective resources exist, or that they can be developed economically. Accordingly, information concerning potential petroleum quantities and prospective and contingent resources contained in this presentation are not comparable to information permitted to be made public by U.S. or other international companies subject to SEC reporting and disclosure requirements, especially Regulation S-K under the Securities Act. Certain of the information and conclusions set forth herein are based on projections. These projections were prepared for the limited purpose of analyzing the potential risks and benefits of an investment in the securities by illustrating under certain limited assumptions projected capital and operating expenditures, installed production capacity, expected production, and number of wells drilled. In addition, because of the subjective judgments and inherent uncertainties of projections and because the projections are based on a number of assumptions, which are subject to significant uncertainties and contingencies that are beyond the control of OGX, there can be no assurance that the projections or conclusions derived therefrom will be realized. Under no circumstances should the projections set forth herein be regarded as a representation, warranty or prediction that OGX will achieve or is likely to achieve any particular future result. There can be no assurance that OGX’s future results or projections will not vary significantly from those set forth herein. Accordingly, investors may lose all of their investment to the extent the projections or conclusions included herein are not ultimately realized. This presentation also contains forward-looking statements, which may be identified by such words as "may", "plans", "expects", "believes" and similar expressions, or by their context. These statements are made on the basis of current knowledge and, by their nature, involve numerous assumptions and uncertainties. This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or purchase any securities. Neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. Recipients of this presentation are not to construe the contents of this summary as legal, tax or investment advice and recipients should consult their own advisors in this regard. Various factors could cause OGX's actual future results, performance or events to differ materially from those described in this presentation. In no event shall OGX or the members of its board, directors, assigns or employees be liable to any third party (including investors) for investment decisions or acts or business carried out based on the information and statements that appear in this presentation, or for indirect damage, lost profit or related issues. OGX does not intend to provide to potential shareholders with a revision of the statements or an analysis of the differences between the statements and the actual results. You are urged to carefully review OGX's offering circular, including the risk factors included therein. This presentation does not purport to be all-inclusive or to contain all the information that a prospective investor may desire in evaluating OGX. Each investor must conduct and rely on its own evaluation, including of the associated risks, in making an investment decision.11 2
10. OGX Overview OGX is among the 10 largest pure E&P companies globally with a market cap of approximately US$25 billion, and is the 3rd most traded stock in Latin America World class E&P portfolio with 10.8 billion boe of potential resources, mostly in shallow waters and onshore (low cost and off-the-shelf technology) Multi-billion barrel discoveries and overall success rate exceeding 90% with high productivity reservoirs amongst the best in Brazil Solid cash position allows OGX to conclude the largest and most successful private sector exploratory campaign in Brazil and to support production development (63 wells spud in 23 months) Highly successful and experienced management team, combining unique intellectual capital and superior execution skills Proven execution capability (from concept to oil in an unprecedented timing) with fully established operations comprising more than 5,000 people Brazil’s historical under-exploration underpins massive growth opportunities for OGX
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12. Total equity raised to date: US$8.0 bnJun/10 IPO: US$4.1 bn raised Jan/10 OGX Creation Sep/09 Survey and interpretation of the 3D seismic data Aug/09 Procurement of all equipment and services necessary to initiate the drilling campaign Jun/08 Nov/07 Jul/07 Proven execution capability (from concept to first oil in unprecedented timing) with fully established operations comprising more than 5,000 people (1) Calculated by OGX based on potential, prospective and contingent volumes contained in the DeGolyer and MacNaughton Reports 6
16. Most liquid common share99.99% OGX Campos Petróleo e Gás S.A. 30% 100% 7 Blocks 7 Blocks 20 Blocks 7 - Parnaiba (70%) (2) 5 - Campos (100%) (2) 2 - Campos (50%) 5 - Santos (100%) (2) 5 - Espirito Santo (50%) 5 - PAMA (100%) (2) 5 - Colombia (100%) (2) (1) EBX represented through Centennial Asset Mining Fund LLC (Nevada, USA) (“CAMF”) (2) OGX as operator (3) Market data as of May 17th (4) MPX S.A. holds 33.33% 7
17. CEO Eike Batista Gen. Exec. Officer Paulo Mendonça (38) Oil & Gas Commercialization Joaquim Dib Cohen (32) Exploration Officer Paulo Mendonça (38) General Counsel José Roberto Faveret CFO Marcelo Torres Production Officer Reinaldo Belotti(34) ExplorationCampos-ES Paulo Ricardo (28) Procurement Olavo Foerch (32) Production Development José Brito (42) Exploration Santos and Eq. Margin Edmundo Marques (24) Reservoir & Reserves Roberto Toledo (31) Drilling Ricardo Juiniti (27) E&P Laboratory Dolores Carvalho (35) Onshore Basin Celso Martins (34) Logistics Billy Pinheiro (30) Strategic Alliances Luiz Reis (45) International Ernani Posrche (33) Production Ricardo Abiramia (24) New Areas Executive Manager Paulo de Tarso Guimarães (34) GeologicalOperations Moacir Santos (38) Applied Technology Marcos Amaral (28) HSE Leandro Leme (31) Highly successful and committed management team, Combining unique intellectual capital and superior execution skills Management Organization Structure (1) (1) Parentheses represent years experience in the E&P industry 8
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19. Success index in excess of 60% on average offshore Brazil from 2002-2007 whilst at Petrobras
20. Over 10 billion boe and more than 50 new fields discoveredProven track record having opened several new oil frontiers, including the pre-salt, and discovering over 50 new oil fields Highly Qualified Exploration Team 9
21. Brazil: Vast Untapped Oil & Gas Potential Brazil: Vast Untapped Oil & Gas Potential New provinces could propel Brazil into top reserves holders Still significantly under-explored Largest oil and gas discoveries in the world % of sedimentary basins under concession + 35 bn boe SaudiArabia Venezuela Iran Iraq Kuwait Brazil post Tupi UAE Russia Libya Kazakhstan Nigeria Canada US Qatar China Angola Brazil Licensed 4% BrazilTurkmenistan Iran Kazakhstan China Russia Australia Kuwait Israel SaudiArabiaIndia Indonesia Venezuela Papua NewGuineaGhana Unlicensed 96% Source: ANP Oil & gas in the world Oil and Gas Discovered Volumes 2000 – 2010 (Bn boe) Oil Resources- December 2009 (Bn bbl) Source: EIA-DOE, BP Statistical Review of World Energy 2010, Saudi Aramco, UPPSALA University, Petrobras, ANP and OGX analysis Source: IHS Source: BP Statistical Review of World Energy 2010 & analyst estimates Brazil’s historical under-exploration underpins massive growth opportunities for OGX 10
24. Unique portfolio with 10.8 billion potential recoverable barrels of oil equivalent (boer)
25. OGX’s business plan is based on 4.1 billion barrels already discovered in the shallow waters of the Campos BasinPortfolio Shallowwater ~120m Shallowwater ~150m Deepwater ~1,000m Shallowwater ~60m 12 OGX Portfolio
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27. 5 blocks operated by OGX (100% owned) and 2 operated by Maersk Oil (50% owned)
31. 100% success rateOGX’s discovered accumulations confirm a new hydrocarbon province in the southern Campos Basin Campos Basin: Low Risk, Shallow Water and Large 13
53. 1st well to be drilled in 2H11Thenewfrontierof Espírito Santo hasproven to be a veryactivepetrolific system 17
54.
55. 5 blocks operated by OGX (100% owned), 3 of which are located close to Maracaibo Basin (~80 bnboe discovered and ~50 bnboe already produced)
56. Beginning of the Seismic Campaign in 2H11Balancedportfolioofexploratoryassets, combiningproductionregionswithlessexploredareasnext to theMaracaibobasin, oneofthemostprolificprovinces in the world 18
57. Portfolio Breakdown 19% Onshore 8% Deep Water Oildiscoveries of 4.1 bn bbl are already under production development in the shallow waters of campos basin OGX Portfolio Potential: Breakdown 73% Shallow Water 21% Gas 79% Oil Note: “POS “ defined as geological probability of success (1) The OGX portfolio potential was calculated by OGX based on volume estimates contained in the DeGolyer and MacNaughton Reports (2) We consider the 3C contingent resources in the arithmetic summation of our potential portfolio based on the assumption that these resources will be converted to 2C and 1C resources after the appraisal campaign and that they will be converted into reserves after the removal of contingencies (3) We consider the high estimate and not Pg-adjusted delineation area prospective resources as we believe the delineation area is part of the 3C area (4) Prospective resources mean estimates Pg-adjusted. Colombia considered two Colombian basins, the Lower and Middle Magdalena Valleys Basins(5) Includes petroleum potential quantities in one Colombian basin, the Cesar-Ranchería Basin(6) OGX net interests in the table are not the same as OGX net interests contained in the DeGolyer and MacNaughton September 2009 report due to the fact that OGX now holds 100% of the interests in the concessions included in that report (7) Gas volumes were converted by OGX to barrels of oil, using a conversion rate of 5,615 ft³ of natural gas to one boe 19
102. DSTs (drill stem tests) support conservative production estimate of 10 – 20 kbpd
103. One of the best DSTs ever performed in Brazil, with a production potential of 40,000 barrels per day
104. OGX production estimates are supported by results from other fields in Campos using current technologyNotes:1 Number of wells concluded in 2010 and included in D&M’s reports2 Number of wells concluded in 2011 24
105. Campos Basin: Focusing on Wildcat & Appraisal Wells Wildcat Wells Appraisal Wells Note:1 Numbers indicate the well drilling area as per D&M’s Dec/10 reports and net pay 26 wildcat wells and 19 appraisal wells drilled with hydrocarbons and results which support expectations 25
138. Waterdepthof 140 metersFlexible lines delivered Anchor system (moorings and piles) delivered Installation support vessel delivered EWT approved by ANP (National Petroleum Agency) Electricalsubmersiblepump Horizontal Well OGX first oil expected for October/November through Extended Well Test (EWT) Illustrative frames 28
155. Final StepsTowardsProduction Flexible lines / umbilicals connection and risers installation Mooringsand Piles installation Arrival of the FPSO OSX-1 Beginningofproduction 1 3 2 Arrival of the Buoy and installation Buoy hook-up and connection to the FPSO 5 4 6 Illustrative frames 30
165. OGX-55HP and OGX-53D wells to be hooked-up to OSX-1 after the declaration of commerciality next year
166. With 3 production wells on stream next year, OGX should reach production levels of ~50 kbpdProductionWell 1 (OGX-26HP) ProductionWell 3 (OGX-53D) InjectionWell 2 InjectionWell 1 ProductionWell 2 (OGX-55HP) Development Wells Illustrative frame 31
167. Operational Expenditures (Leased Equipment) Opex <US$ 16/bbl FPSOOil capacity: 100 K bpd Liquid capacity: 160 K bpd Oil will be offloaded WHPCapacity: 30 wellsDrilling package on topside WHP Subsea Flow Lines Power line Gas Lift line Service line Water Injection line Production line Test line Drilling + Completion Development wells with dry completion Gaswillbereinjected, used for gasliftorpowergeneration WaterInjection Capital Expenditures Campos Basin: Replicable Development Concept Capex US$ 2/bbl Note: Please see details in the Appendix slide: “Campos Basin: Typical Production Project” 32
168.
169. OSX-2 and OSX-3 to be built in world-class Singaporean shipyards by SBM and Modec
171. WHP-1 and WHP-2 with detailed engineering ongoing (EPC awarded to Techint by OSX)FPSOs and WHPs Expected Deliveries Production equipment allocated to begin operations until 2013 33
205. Campos Basin: Oil Production Ramp-Up 150 CAGR : 174% Oil Production Target (kbpd) ¹ 50 20 2011 2012 2013 Note: 1 To be reached through the end of the period 36
225. OGX Financial Sources and Uses (2Q11 – 4Q13) Financial Sources and Uses Notes: ¹ Includes net financial results ² Represents 40% of Exploration capex (contemplating all OGX basins) and 60% of Development capex (contemplating Campos and Parnaíba discoveries only) 41
234. Recoverable volume: 500 million bbl (low Gas:OilRatio (GOR)): all gas produced will be used for power generation or gas reinjection, if applicable
