Empresa Nacional del Petróleo

2011 Financial Results

May 2012
Disclaimer

Forward-looking statements are based on the beliefs and assumptions of ENAP´s management and on
information currently available to the Company. They involve risks, uncertainties and assumptions because
they relate to future events and therefore depend on circumstances that may or may not occur in the future.
Investors should understand that general economic conditions, industry conditions and other operating factors
could also affect the future results of ENAP and could cause results to differ materially from those expressed
in such forward-looking statements

This presentation contains certain performance measures that do not represent Chilean GAAP and IFRS
definitions, such as “EBITDA” and “Net financial debt”. These measures cannot be compared with the same
previously used by ENAP and the same used by other companies

Investors Presentation | 2
Highlights

100% State owned, the second largest Chilean state-owned company

2011 Revenues and EBITDA of US$10,835 mm and US$372 mm,
respectively

A key strategic asset for Chile

The only refiner in Chile

Represents approximately 40% of Chile’s energy matrix

Satisfies approximately 66% of Chilean demand for refined oil products

World class operator with state of the art facilities and an extensive logistics
network in Chile

3 refineries, marine terminals, storage facilities for crude and refined
products, pipelines, and the region’s first LNG terminal

Stable & long-term relationships with a diverse base of suppliers & buyers

Proven access to multiple sources of financing

Experienced and professional management

Strong investment grade ratings since 2002 (Baa1/BBB-/A)

Investors Presentation | 3
Agenda

Section 1
Business Strategy
Section 2
ENAP at-a-glance

Section 3
Company Overview

Section 4
Financial Performance

Investors Presentation | 4
Business Strategy

Maintain leadership position in the growing Chilean market

– Continue offering a variety of refined and natural gas products at competitive prices
– Improve complexity of refineries and focus on providing higher value-added products

Improve operating efficiency and profitability

– Shorten the inventory cycle and implement a more flexible hedging strategy
– Improve cost structure and energy independence from South America

Expand international exploration and production operations, primarily in South

America and Northern Africa
– Focus on E&P opportunities in markets with already established presence such as
Egypt, Ecuador and Argentina

Achieve a greater level of integration by expanding refining, logistics and

distribution capabilities in the region

Investors Presentation | 5
Agenda

Section 1
Business Strategy

Section 2
ENAP at-a-glance
Section 3
Company Overview

Section 4
Financial Performance

Investors Presentation | 6
Chile’s Only Oil Refiner, 100% Government-Owned

ENAP represents a key strategic asset for Chile as the largest and most significant oil
producer, the only refiner in Chile, and the Chilean market leader in the refined oil
products market
– Represents approximately 40% of Chile’s energy supply for transportation and
power generation
– Satisfies approximately 66% of Chilean demand of refined oil products
– 100% State owned, Chile’s second largest state-owned company

World class operator with an extensive network for transportation, storage and
distribution of crude oil, natural gas and refined products in Chile

3 refineries with a total aggregate refining capacity of 229,000 bb/day, an unmatched

asset base
– Stable and long-term relationships with suppliers and buyers

One of the highest rated oil and gas company in Latin America, with strong access to
capital markets: Baa1 (Stable) / BBB- (Positive) / A (Stable) (Moody’s/S&P/Fitch)

Investors Presentation | 7
Strong Support from The Republic of Chile

Government ownership with strong support as evidenced by:

– US$250 mm capital contribution in 2008

– Capitalization of retained earnings at the ENAP subsidiary level

– Temporary suspension of dividends to the Republic of Chile – The government has waived its right to
receive any dividends for the past three years, allowing ENAP to strengthen its capital base

Relationship with the owner

– Strong corporate governance, following best practices from the private sector

– Chilean government and its regulatory bodies closely supervise operations

– The Chairman of the Board is the Minister of Energy

– Budget and debt issuance approved by the Ministry of Finance

– Professional and experienced management team

Investors Presentation | 8
Agenda

Section 1
Business Strategy

Section 2
ENAP at-a-glance

Section 3
Company Overview
Section 4
Financial Performance

Investors Presentation | 9
Two Distinct Businesses: Downstream & Upstream

ENAP organizes its operations into two divisions:
– Refining and Logistics (“R&L”) for downstream activities
– Exploration and Production (“E&P”) for upstream activities

R&L and E&P historically have accounted for approximately 95% and 5% of revenues and approximately
60% and 40% of the net profit, respectively

Downstream Upstream

Refining and Logistics Exploration and

Refining and Logistics
(R&L) Exploration
Production and
(E&P)
(R&L) Production (E&P)

International Domestic

Magallanes R&L Magallanes E&P

Magallanes R&L Magallanes E&P

Source: ENAP

Investors Presentation | 10
Extensive Refining and Logistics Assets

Leadership position based on refining capacity and extensive oil and gas
network in Chile which delivers natural gas and refined products to key Refinery Locations
energy centers

Unmatched asset base which is critically important to Chile 1 Concón:

Refinery
Santiago:
ENAP Sipetrol
Aconcagua S.A. (HQ)

– Three refineries located in central and southern Chile (Aconcagua, Santiago:

ENAP
Maipú:
Terminal
Headquarters
Bío Bío and Gregorio) which in 2011 produced an average of Linares:
San Fernando:
Terminal
Terminal
192.3 thousand barrels of refined products per day, including a 2 Hualpén:
Chillán:
station

wide range of products Refinery

Bío Bío

– Crude oil storage facilities with an aggregate storage capacity of

approximately one million cubic meters
3 Punta Arenas:
Refinery
– Refined products storage facilities with a total capacity of Gregorio

approximately 1.5 million cubic meters

Marine terminals next to the Aconcagua and Bío Bío refineries, with ENAP’s Refining Capacity
sufficient capacity to receive 100% of the refineries’ crude oil and
imported refined product requirements 46.7% 47.0%

Gas pipelines in the Magallanes region which connect Tierra del Fuego
island with the continent and which connect our facilities to our industrial
6.3%
customers
Aconcagua Bío Bío Gregorio

Pipelines in Magallanes connecting crude oil producing wells with the
Gregorio refinery and the marine terminal

Investors Presentation | 11
Advanced & Flexible Refining Capacity

Highlights ENAP’s Refining Utilization Rate (%)

ENAP’s refineries process crude oil, substantially 100% 94,9%
87,7% 89,1%
all of which is purchased from foreign third parties 83,7%
76,4%
75% 69,4%

ENAP has improved its refineries’ capacity for

refining heavy crude oils 50%

Use Rate
– Heavy crude oils are less expensive than 25%
light crude oils and are abundant in South
0%
America, shortening ENAP’s inventory cycle
2006 2007 2008 2009 2010 2011

The utilization rate, as of December 31, 2011,

reached 76.4%

Given refining margins in the current market, International Refining Margins (Dated Brent)
ENAP is making better use of its refineries 40
35
30

Despite oil price volatility, several factors have 25
helped ENAP’s efficiency and operations: 20

– Advanced and capable refineries 15

10
– Import parity pricing mechanism 5
0
– Dominant market share in Chile ene-2011

mar-2011

may-2011

jul-2011

ago-2011

oct-2011

dic-2011
-5

– High-value and quality products -10

-15
-20
-25

Crack F.O N°6 3% S. USGC (US$/bbl) Investor Presentation

Crack Unl87 USGC (US$/bbl) | 12
Crack ULSD USGC (US$/bbl)

Source: ENAP
 Undisputed Leadership in Refined Products

Crude Oil Volume Processed Refined Products Production

Cubic Meters (Thousands)

dic-10

Cubic Meters (Thousands)

6.000 4.000 3.767 dic-10
5.166 5.247 3.456
dic-11 3.500 dic-11
5.000 3.006
3.000 2.778

4.000 3.553 2.500

2.795 2.000
3.000 1.462 1.389 1.381
1.961 1.721 1.500 1.238 1.197
2.000 1.638 943
1.225 1.000 794 793

1.000 500
0 0
Diesel Gasoline LPG Fuel Oil Kerosene Others
Light Medium Heavy Other gross
inputs
Market Share 2011 in Chile
Dec-10 Dec-11
99,22%
95,45%
83,06% 85,34%
79,79% 76,98%
72,23% 72,29%
63,99% 66,32% 65,54%
62,34%
57,65% 56,05%

Diesel Gasoline LPG Fuel Oil Kerosene Other Average

Investor Presentation | 13
Source: ENAP
Comprehensive downstream chain with a diverse base
of clients and products
Volume Sold by Clients Refining Capacity Crude Oil Suppliers
Others
Aconcagua (46.7%) Others
Petrobras
9% 13%

Bío Bío (47.0%) 20%
Terpel
Gregorio (6.3%) Chevron
15%
Copec 10%

43% Glencore
Refined Products Taurus 10%
7%
Shell Shell

Crude oil
Kerosene Petrochina
17% 4%
7%

Natural Gas
Diesel Ecopetrol Occidental
Petrobras

LPG
Fuel oil 7% BP Repsol 8%
16% 8% 6%

Gasoline
Petrochemicals
Sales Breakdown Crude Oil Supply by Country
Peru Bolivia
Others
3% 1%
Natural Gas 8% Argentina
5% Storage Facilities 11%
Kerosene
6% UK Brazil
Diesel
Refineries & Distribution 10% 39%
GLP 42% Companies
6%
End User Direct Products
Fuel Oil
9% Colombia

Copec, Shell, Petrobras, Terpel 17%

Gasoline Ecuador
23% 19%

Source: ENAP Investor Presentation | 14

Pioneer in Diversifying the Chile’s Energy Matrix –
First LNG Regasification Plant in the Region

ENAP built a critical asset to continue playing its strategic role in Chile’s
economy, partnering with British Gas, Metrogas and Endesa, ENAP built the
first liquefied natural gas (“LNG”) storage and re-gasification plant in Latin
America

– The plant, located in south-central Chile, has an average LNG re-

gasification capacity of 10 mm m3 / day

The GNL Quintero plant has provided ENAP with

– A safe and dependable source of natural gas, allowing procurement from
different origins from where energy can be shipped, and reduced the
need for significant diesel imports
– A more cost effective and stable supply of fuel to power its refineries

The project started its commissioning stage in July 2009 and completed the
early gas phase in September 2009
– The plant became fully operational in January 2011

In June 2011 the Virtual Gas Pipeline that takes LNG by trucks from GNLQ’s
Truck Loading Facility from the V Region to the VIII Region began operating,
allowing the Bío Bío Refinery to operate with natural gas again.

Source: ENAP

Investors Presentation | 15
Select Base of E&P Assets Focused on ENAP’s Areas
of Expertise and Furthering Regional Integration

ENAP’s E&P operations have allowed the Company to develop expertise in the field and deepen relationships with E&P
partners and crude oil suppliers

ENAP’s main goal for its E&P operations is to increase the quantity of its oil and gas reserves both in Chile and abroad

The Company’s operations are focused on Latin America & North Africa with fields in Chile, Argentina, Ecuador and
Egypt producing crude oil and natural gas

ENAP also actively manages its E&P portfolio through sales and acquisitions
– In March 2009, the Company sold its 50% stake in Egypt’s North Bahariya block for a profit of US$45.7 mm
– From the renegotiation of tariffs required under the new contract in Ecuador, ENAP obtained a new block called
Intracampos to carry out exploration work between the PBH and MDC blocks located in Ecuador’s eastern basin

In 2011, 3 new discoveries were put into production in Egypt with average daily production of 4,300 barrels per
day

Proved Oil & Gas Reserves

Egypt
7%
Egypt (Branch)
Ecuador
• East Ras Qattara (50%) 12%
• Rommana (40%)
• Sidi Abd El Rahman (30%)*

Chile
Ecuador (Branch) (1)
55%
Argentina
• PBH (100%) 26%
• MDC (100%)

Chile (Headquarters) Argentina (Subsidiary)

• Magallanes Chile (100%)
(1) Service contracts
Dic-11: 95.5 mm boe
• Area Magallanes (50%)
• CAM 2/A Sur (50%)
• E2 (33%) *
(%) Ownership Investors Presentation | 16
• Camp. Central (50%) * * Blocks where ENAP is not an operator
• Pampa del Castillo (100%)
Exploration & Production Performance

Until the 1980s, the production of crude in Magallanes, Chile represented approximately 50% of the
crude required by ENAP’s refineries. Currently approximately 2% of the crude oil produced in
Magallanes is used by ENAP’s refineries.

The natural gas produced in Magallanes is the main source of the power generation and heating
system used for the city of Punta Arenas, and currently supplies one train of ethanol production.

In 1991, ENAP created an international affiliate, Sipetrol, to explore and produce crude oil and natural
gas internationally.

The total production of crude oil from our E&P division currently represents approximately a 10% of the
crude oil required by the refineries, though the crude is not actually used in the refineries.

Oil Production (thousand barrels per day) Gas Production (thousand boe per day)
31.9 33.1
30.7
2,2 29.4 27.6
2,2 2,3
3,5 33.7 34.6
3,9 31.5
16,9 1,3 5,1 26.8
16,8 14,9 6,0
13,6 19.4
12,5 4,8
2,5
32,5 29,5
10,3 11,3 11,0 9,8 25,5
8,9 22,0
17,0
2,6 2,6 2,6 2,5 2,3
2007 2008 2009 2010 2011
2007 2008 2009 2010 2011
Chile Argentina Ecuador Egypt
Chile Argentina
Source: ENAP
Investors Presentation | 17
Agenda

Section 1
Business Strategy

Section 2
Company Overview

Section 3
ENAP at-a-glance

Section 4
Financial Performance

Investors Presentation | 18
Consolidated Financial Highlights 2008– 2011

ENAP Financial Summary

US$ MM FY2008 FY2009 FY2010 FY2011
Revenues 12,183 7,098 8,179 10,835
Cost of Sales (12,927) (6,835) (7,933) (10,663)
Gross margin (744) 263 246 172
EBITDA (641) 546 402 372
EBITDA Margin (6.0%) 7.7% 4.9% 3,4%
Net Profit (956) 200 70 (67)
Net Financial Debt / EBITDA (LTM) NA 5.3x 8.1x 9.9x
EBITDA / Financial Expense NA 3.2x 2.2x 2.1x
Net Financial Debt / Total Equity 11.6x 6.5x 7.2x 9.6x

IFRS
US$ MM FY2008 FY2009 FY2010 FY2011
Cash and Equivalents 150 77 62 284
Current Assets 2,203 2,231 2,283 2,919
Properties Plant & Equipment Net 2,463 2,598 2,634 2,672
Total Assets 5,318 5,560 5,733 6,203
Current Liabilities 2,875 2,151 1,961 2,516
Long-Term Liabilities 2,246 2,965 3,315 3,306
Net Financial Debt 2,271 2,891 3,289 3,668
Total Liabilities 5,121 5,116 5,277 5,822
Total Equity 197 444 456 381

Investors Presentation | 19
Financial Summary

Capital Expenditure (USD MM) Equity (USD MM)

$381 $444 $456

$371 $381
$320
$264
$197

2008 2009 2010 2011 2008 2009 2010 2011

Total Financial Debt (USD MM) Total Financial Debt and Benchmark Crude Prices
Crude Price US$ Total Debt US$mm
160 4500
140 4000
$3.938
$3.348 3500
120 $2.968
$2.422 3000
100
2500
$3.951 80
$3.348 2000
$2.968 60
$2.422 1500
40
Brent
WTI 1000
20 Total Debt 500
0 0
2008 2009 2010 2011
31-Dec-07 29-Sep-08 30-Jun-09 31-Mar-10 30-Dec-10 30-Sep-11

Source: ENAP and Bloomberg (for historical crude prices)

Investors Presentation | 20
Financial Summary

Consolidated Quarterly EBITDA

181 182
168
153
127 117 122
107

60 70
53

-19

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11

Consolidated Last Twelve Months EBITDA

573
556
510

425 406 402

342 372

1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11

Investors Presentation | 21
Debt Profile as of Dec 31, 2011

Financial Debt and Supplier Credit – US$ Millions

4.694
4.135
4.016
742
Supplier´s
787
1.048 Credit

Financial Debt
3.951 (Banks and
2.968 3.348
Bonds)

Dic-09 Dec-10 Dec-11

Investors Presentation | 22
 Debt Maturity Profile as of December 31, 2011

Net Debt Maturity Profile as of December 31, 2011 – US$ millions

1.000,0

900,0 LT Bank Debt ST Bank Debt, Net

Local Bonds International Bonds
800,0
SPVs
41,4
700,0 43,0

600,0
300,0
US$MM

290,0 44,0
500,0 -

400,0

300,0 139,6 43,7

44,2
42,1 500,0 500,0
200,0 150,0 418,7
157,0 293,9
100,0 223,9
123,9 45,9
73,9 39,8 39,2
- 23,9 23,9 7,2 7,2 -7,2 -3,6
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

The weighted average life of ENAP’s Net Debt is 5,7 years

Investors Presentation | 23
Highlights

100% State owned, the second largest Chilean state-owned company

2011 Revenues and EBITDA of US$10,835 mm and US$372 mm,
respectively

A key strategic asset for Chile

The only refiner in Chile

Represents approximately 40% of Chile’s energy matrix

Satisfies approximately 66% of Chilean demand for refined oil products

World class operator with state of the art facilities and an extensive logistics
network in Chile

3 refineries, marine terminals, storage facilities for crude and refined
products, pipelines, and the region’s first LNG terminal

Stable & long-term relationships with a diverse base of suppliers & buyers

Proven access to multiple sources of financing

Experienced and professional management

Strong investment grade ratings since 2002 (Baa1/BBB-/A)

Investors Presentation | 24
Investors Presentation | 25