Message from the Officer in Charge

For the INPEX Group, FY2025 was a year in which we further and steadily advanced sustainability management toward the realization of (or in line with) INPEX Vision 2035 - Realizing a Responsible Energy Transition.

Through sustained investments in lower-carbon energy solutions and power-related fields while maintaining the business foundation of a stable supply of oil and natural gas, we are working to grow and transform our businesses to meet the diversifying needs and expectations of society.

In Japan, we accelerated initiatives toward the realization of a lower-carbon society through advanced technologies and partnerships, including the production and use of clean energy sources such as hydrogen and ammonia as well as the promotion of the carbon dioxide capture and storage (CCS) business. In particular, we achieved key milestones, including the commencement of commissioning of the Kashiwazaki Hydrogen Park, the implementation of basic front-end engineering design (FEED) for the Metropolitan Area CCS Project that included appraisal well drilling, and commencement of preliminary FEED for the Bonaparte CCS Project in Australia. These initiatives are directly linked to Pillar for Growth 2 "Provide lower-carbon solutions leveraging CCS and hydrogen" in INPEX Vision 2035 and are expected to become pillars for future corporate growth.

In addition, as an initiative under Pillar for Growth 3 "Drive initiatives in the energy and resources fields," additional renewable energy assets were acquired through Potentia Energy Group Pty Ltd in Australia, bringing our net power generation capacity to 838 MW, an increase of 233 MW from the end of FY2024. We also continue to pursue opportunities in power-related fields, including the signing of a comprehensive collaboration agreement with the Hokuriku Electric Power Company.

In addressing climate change, we reduced net carbon intensity (Scope 1 and Scope 2) of greenhouse gas (GHG) emissions to 27 kg-CO₂e/boe and achieved an annual contribution of 1.11 million tons-CO₂e toward reducing third-party GHG emissions. We also worked on our target of maintaining methane emission intensity at 0.1% or lower, achieving an intensity of 0.04% this year. We again achieved the Oil & Gas Methane Partnership 2.0 (OGMP 2.0) Gold Standard Pathway, which is awarded to companies that meet the framework's requirements in FY2025. We will continue to expand reduction measures that are transparent and effective at our offices and operational sites in Japan and overseas.

Furthermore, in our Policy and Commitments on Biodiversity Conservation, we set out commitments to "Develop Net Positive Approaches" and "Enhance Biodiversity Conservation Activities," undertaking various activities at our domestic and overseas sites based on these commitments.

At the Ichthys LNG Project's onshore plant (Darwin Harbour) in Australia, we are monitoring wastewater quality, seawater quality, and the growth conditions of mangrove forests and other natural vegetation. We are also conducting coral reef research and other activities around the plant site of the Abadi LNG Project in Indonesia, which is currently in FEED stage.

In Japan, since FY2010, our wholly owned subsidiary INPEX JAPAN, LTD. has been conducting the Kitsunedaira Donguri-no-mori (Acorn Forest) Project at a forest adjacent to the Nagaoka Field Office in Niigata Prefecture. As a result of the ongoing efforts by employees and local residents, the project was selected as a Nationally Certified Sustainably Managed Natural Site in FY2025. We take pride in being recognized for our science-based biodiversity monitoring and conservation activities. We also took this opportunity to join the 30by30 Alliance for Biodiversity, a platform that was launched by the Ministry of the Environment and aims to conserve at least 30% of land and sea areas by 2030.

Going forward, we will further deepen our collaboration with local communities and advance environmental conservation activities, HSE efforts, and human capital enhancement throughout our organization. As the INPEX Group, we will seek to enhance corporate value and achieve sustainable growth, while striving to be an energy company trusted by society.