financial results - first nine months 2007 results - first nine months 2007 733 599 2,226 1,653 ......

Financial Results - First Nine Months 2007

C. Ashley Heppenstall, President & CEOGeoffrey Turbott, Vice President Finance & CFOWF9825

1

Disclaimer

DISCLAIMER Certain statements made in this presentation involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. Certain statements relating to Lundin Petroleum’s business and operations are based on management’s expectations, estimates and projections. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Certain statements are based upon assumptions as to future events that may not prove to be accurate. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such statements. Lundin Petroleum makes no commitment, and disclaims any duty, to update or revise any of these statements. This presentation is for informational purposes only and is not intended as a solicitation or offering of securities in any jurisdiction. The information contained in this presentation is not intended to qualify, supplement or amend information disclosed under corporate and securities legislation of any jurisdiction applicable to Lundin Petroleum and should not be relied upon for the purpose of making investment decisions concerning any securities of Lundin Petroleum.

WF8278

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0

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1000

1500

2000

2500

0

500

1000

1500

2000

2500

Financial Results - First Nine Months 2007

733 599

2,226 1,653

2,412 2,173

733 599

2,226 1,653

2,412 2,173

Net Profit first 9 months

2007

Net Profit first 9 months

2006

OperatingCash Flow

first 9 months 2007

OperatingCash Flow

first 9 months 2006

EBITDAfirst 9 months

2007

EBITDAfirst 9 months

2006

Mill

ion

SEK

WF9686 11.07

+22.5%

+35%

+11%

3

WF9608 11.07

Production 36,100 BOEPD

Cost of operations USD 16.56/bbl

Effective corporate tax rate 47%

Financial Performance - First Nine Months 2007

4

WF9608 11.07

Write offs

Foreign exchange gain

G & A costs

209.9

124.1

133.7

128.0

102.2

26.0

Financial Performance First Nine Months 2007

9 months Jan-Sep 07

MSEK

3 monthsJul-Sep 07

MSEK

5

WF9609 05.07

Production & Oil Price - Quarterly Comparison

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

Q1 2006 Q2 2006 Q3 2006 Q4 2006 Q1 2007 Q2 2007 Q3 2007

boepd

0

10

20

30

40

50

60

70

$/bbl Brent

6

2007 Cost of Operations

WF9834 11.07

2.5%

12

15

16

17

9 Months Budget (excl. Alvheim) vs Actual

2007 Budget (excl. Alvheim)

$/boe

Budget excl. Alvheim

Actual

7

WF9612 11.07

Margin Netback USD/boe - First Nine Months 2007

Brent oil price Revenue

Cost of operationsTariffsProduction & sales taxesStock movements

DepletionWrite off

Margin Netback

67.1158.93

-16.56-2.00-3.790.35

36.93

-11.89-3.04

22.00

55.0048.32

-16.28-1.66-3.63-0.29

26.46

-10.96-

15.50

First Nine Months2007 Actual

(USD/boe)

Original 2007 Forecastexcluding Alvheim

(USD/boe)

8

WF9610 08.07

Balance Sheet - 30 September 2007

Fixed Assets

Net Current Assets (excluding cash)

Net Bank Debt

Shareholder Equity

Net Debt/Equity Ratio

16,188

3

1,134

8,953

13%

17,611

(213)

1,566

9,541

16%

30 Sept 2007MSEK

31 DEC 2006MSEK

9

WF9827 11.07

Norway Tax Benefits

Tax bene�t of development expenditure

Forecast capital expenditure to end 2007 amounts to ~ NOK 2.2 bn (~$405 million)

Discounted (8%) future tax benefit from the historic capital expenditure is estimated at ~ NOK 1.65bn (~ $310 million)

Forecast E&A spend for 2007 is NOK 575 million (~$105 million)

Discounted (8%) tax credit receivable in December 2008 is estimated at ~ NOK 430 million (~ $80 million)

10

WF9835 11.07

Liquidity

New Finance Facility of $1bn

$850 million secured revolving reducing credit facility $150 million unsecured credit facility

Facility underwritten by BNP Paribas Royal Bank of Scotland Bank of Scotland

11

WF9618 08.07

36,100 boepd - in line with forecast

Outperformance in Oudna, Tunisia and Broom, United Kingdom

Underperformance in Heather, United Kingdom

Acquisition of additional production interests in Paris Basin, France (included from 01Nov 2007)

Operational Highlights - First Nine Months 2007

Production

WF9618 11.07

12

WF9613 11.07

2006Actual

29,400 BOEPD

First Nine Months 2007Actual

36,100 BOEPD

2003Actual

16,100 BOEPD

2004Actual

28,900 BOEPD

2005Actual

33,100 BOEPD

Production History

2002Actual

14,010 BOEPD2001

NIL

13

WF9618 08.07

Alvheim, Norway - First oil Q1 2008

Volund, Norway - Development plan approved - First oil 2009

Singa, Indonesia - Gas sales agreement signed - First gas 2009

Thistle, UK - Redevelopment ongoing - 3D seismic completed


Development

WF9618 11.07

14

WF9066 11.07

Alvheim Status

First production first quarter 2008Topsides installation - power generation and control system commissioning delaysDevelopment drilling - 3 production wells completedSubsea installation completedPlateau production >90,000 (gross) in 2008Reserves 189 MMboe (gross)

Alvheim FPSO topsides installation in Norway

15

WF9586 11.07

2006Actual

29,400 BOEPD

2003Actual

16,100 BOEPD2002Actual

14,010 BOEPD2001

NIL

2004Actual

28,900 BOEPD

2005Actual

33,100 BOEPD

Production Growth

2007Forecast

34,000 BOEPD

2008 Onwards

Alvheimnet plateau production

14,000 bopd

16

WF9618 08.07

Norway - Luno discovery, PL338

UK - Scolty discovery, P1107

Norway/UK - Orange (PL335) and Lytham (P1129) both plugged and abandoned

Indonesia - Tengis well flowed high CO2 gas to surface and was plugged and abandoned


Exploration

WF9618 11.07

17

Norwegian & UK Continental Shelf Licences

WF9832 11.07

Major acreage position in UK and Norwegian North Seawith 50 licences

Lundin Petroleum non-operated assetsLundin Petroleum operated assets

0

200

400

600

800

1,000

Talis

man

Nex

enC

an N

atM

aers

k

LUND

IN P

ETRO

LEUM

*

Apa

che

BG

Cen

trica

RW

E D

ea

Vent

ure

Tullo

wH

ess

Petro

-Can

ada

Oile

xco

Pere

nco

Nau

tical

Pet

ATP

Antri

m E

ngy

BHP

Billi

ton

DO

NG

E.O

N R

uhrg

asD

ana

Net r

emai

ning

rese

rves

(mm

boe)

Operated Non-Operated

North Sea Operated Positions

Source: Wood Mackenzie Pathfinder – Includes probable developments and technical reserves

* 2P + contingent resources

18

009

0016

0025

016

008

0015015

0024

0026

0017

PL304

PL359

PL338

PL410

PL409

PL412

PL103B

PL363PL413

PL203

PL340

PL150

PL036c

PL088P090

PL167PL167B

0 20KM

Alvheim and Luno Acreage

Luno discovery

Jotun field

Alvheim field

Lundin Petroleum OperatorLundin Petroleum Partner

WF9832 11.07

Luno light oil discovery in PL338

Estimated recoverable reserves65 MMboe to 190 MMboe

Largest oil discovery in Norwegian North Sea in last 10 years

Luno area development...the next Alvheim?

UK

Norway

19

WF9828 11.07

16/1-4

16/1-5

16/1-8

Utsira high south

PL338

PL304

PL167

PL359

PL410

Luno discoverywell

0 KM 10

Luno Regional Setting

Lundin 70%(operator)


Lundin 20%



Lundin Petroleum operatorand has material equity interest in Luno discovery andadjoining acreage

Luno discovery new playconcept in Norway

20

WF9828 11.07

Luno Discovery

Luno discovery well 16/1-8

16/1-4

16/1-5

Jurassic reservoir

Triassic reservoir

Discovery well 16/1-8discovered oil in Jurassic reservoir with Triassic reservoir belowoil/water contact

21

WF9828 11.07

Luno discoverywell 16/1-8 16/1-4

16/1-5

Luno Discovery Upside

Jurassic reservoir

Triassic reservoir

Estimated 65 MMboe to 190 MMboeof recoverable reserves only in Jurassic reservoir

Additional potential upside reserves in Triassic reservoir

22

WF9828 11.07


16/1-5


16/1-5

Jurassic reservoir

Triassic reservoir

Appraisal 1

Appraisal 2

Luno Discovery Upside

Appraisal programme to commence in 2008 to - appraise lateral extent and quality of Jurassic reservoir and - appraise Triassic potential

Revus has provided early rig slot to begin appraisal programme in 2008

23

021 022

015

FORTIES

NELSON

COOK

TWEEDSMUIR

KITTIWAKE

GLENN

PICT

MALLARD

ALBACALLANISH

GADWALL

WAGTAILGROUSE

GANNET COMPLEX

WHINCHAT

TEAL;TEAL SOUTH

CHRISTIAN

GOOSANDER

FINLAGGAN

BACCHUS

022/01 (Area 4)

021/19 (Area 2)

021/15 (Area 2)

SAXON021/24 (Area 4)

FORTIES

NELSON

COOK

TWEEDSMUIR

KITTIWAKE

GLENN

PICT

MALLARD

ALBACALLANISH

GADWALL

WAGTAILGROUSE

GANNET COMPLEX

WHINCHAT

TEAL;TEAL SOUTH

CHRISTIAN

GOOSANDER

FINLAGGAN

BACCHUS

022/01 (Area 4)

021/19 (Area 2)

021/15 (Area 2)

SAXON021/24 (Area 4)

BRODGAR

BRITANNIA

BLIGH

021/02 (Area 2)

BRODGAR

BRITANNIA

BLIGH

021/02 (Area 2)

P1109

P1107

P1176

P1421

8 9

19

1214

10

4b

7b

5b

22

16b

11b

17a

25

18b

1a

21

15a

13b

5a

6b

2b

23a

20c

6b

24a

3a1b

1c

13a

7

15b

17

6a 7a

1b

21

18a

11c

17b

16b

2aCR

3c

1aN

3b

6aN

30

3d

3e

6aS

16a

20d

11F1

28c

16a

23b

11d

4a

20f

6aF1

29b

22a

20e

2aJR

2b

1aS

27LW

2aS

12aS

20b

9F1

26b

11a

12aF1

20aF1

11a

29d

2a

7F1

29c

0 10KM

UK Exploration - Scolty Discovery (P1107)

WF9833 11.07

Scolty Discovery

Torphins Prospect

Lundin Petroleum acreage OperatorPartner

Scolty Discovery

24

WF9831 11.07

UK Exploration - Scolty Discovery (P1107)

Scolty discovery@ ~1700m

21/8-3

Middle Jurassic @ ~3000-4000m

Torphins ProspectProspective resources~30 MMbbls recoverable.Well planned in 2008

Torphins prospects @ ~1700m

Scolty discoveryPotential ~10 MMbbls recoverable

25

WF9171 11.07

Jong

lei C

anal

Km 200

Thar Jath

JarayanBlock 5B

Block 5A

Block B Central

Block B CentralThar Jath (Dev)

Lake Nuong

White Nile

Khawr Jurwel

Bahr El Zaraaf

Nuong DockSeismic Camp

Adok

Lundin PetroleumPetronas Carigali

ONGC Videsh LtdSudapet

24.5%39.0%

23.5%13.0%

Current Partners

Jointoperators(WNPOC)

5B interest

SUDAN

Port Sudan

Khartoum

Kosti

BLOCK 5BCENTRAL

AFRICAN REPUBLIC

CONGO

LIBYAEGYPT

CHAD

KENYA

ETHIOPIA

ERITREA

Red S

ea

Prolific Muglad Basin petroleum system

1500 km 2D seismic survey programmeOver ~1280 km of seismic acquired since 2006

Multi-well exploration programme to begin in 2007

Net unrisked resourcefrom targeted prospects > 500 million boe

Sudan - Block 5B

B

Umm Dandalo

Kasafa

Barada

Nyal

26

WF9171 10.07

Well Site Preparation

Equipment at well site

DB

SB

SBTB

PT

CB

DB – Drilling BargeCB – Crane BargeSB – Storage BargeTB – Transport BargeWT – Well Testing BargeAB – Accommodation BargePT – Pusher Tugs

AB

WT

110m110m

110m110m

18m18m

~ 2500m~ 2500m

Vegetation primarily consists of Vegetation primarily consists of papyrus and elephant grasspapyrus and elephant grass

Drilling AreaDrilling Area

Bahr El Bahr El ZarafZaraf

AccessAccessChannelChannel

DBDB

SB

SB

SB

SBTB

PT

TBTB

PTPT

CBCB

DB – Drilling BargeCB – Crane BargeSB – Storage BargeTB – Transport BargeWT – Well Testing BargeAB – Accommodation BargePT – Pusher Tugs

ABAB

WTWT

110m110m

110m110m

18m18m

~ 2500m~ 2500m





110m110m

110m110m

18m18m

~ 2500m~ 2500m

110m110m

110m110m

18m18m

~ 2500m~ 2500m





Well site preparation - 19 September 07

Equipment en route to well site

Well site layout

27

WF9171 10.07

Accomodation barge at KostiRig test at Kosti

Barges and drilling equipment at Kosti logistics base before transit to well location

Kosti Logistics Base

28

Sudan - Block 5B

National Petroleum Commission (NPC) has confirmed the legal validity of

the Block 5B partnership.

Requested by NPC to accommodate “Nile Pet” (Government of South Sudan oil company)

with a 10% interest in Block 5B. Limited progress on documentation

WF9693 11.07

29

WF9201 01.07

Russia Exploration - Lagansky Block

0 40KM

Lagansky Block

Tengutinskoye

Oleynikovskoye

Mezhevoye

Promyslovskoye

Sallkhinskaya

KurgannoyeKamyshanskoye S.

Kamyshanskoye V.

Ulan-Khol

Ermolinskoye

Kaspiiskoye

Oernoye

Stepnoye

Kumukhskoye Yu.

Kumukhskoye

Sarmatskoye

Yuri Korchagin

Rakushechnoye

Yubileinoye

TalovskoyeSolonchaskovoye

Dorozhnoye

Krasnokamysh

Naryn-Khuduk

Tyuleniy

Severny (Northern)

Severo-Rakushechny

Northern Caspian

45º

46º

47º 48º 49º

Viktor Filanovski

Russia

Laganskaya Prospect

Petroskaya Lead

Morskaya Prospect

Rakushechnoye-1, 2001Gas condensate discoveryFlow rate: 14 MMscf/d

Rakushechnoye-2, 2005Oil and gas discoveryFlow rates: 6,400 bopd 16.5 MMscf/d

Rak-1

Rak-2

Rak-4

2 exploration wells in 2007LundinConcessionOil Field

Gas Field

Gas Condensate

Prospects

30

Russia Lagansky Exploration - Alliance with Gazprom

Gazprom option to purchase 50% + one share in Laganskyduring exploration phase

Lundin Petroleum option to purchase 30% in Laganskyfrom minority partner during exploration phase

If options exercised Lundin Petroleum and Gazprom 50:50 partnership

Lundin Petroleum continue to operate in exploration phase

WF9691 08.07

31

Russia Lagansky Exploration - Permitting Status

WF9691 11.07

Permitting

Operationally ready to commence drilling

Licence amendments approved by RosnedraFinalising drilling permit from Rosprirodnadzor

First well to be drilled in first half 2008

32

WF9598 11.07

New Ventures - First Nine Months 2007

Congo (Brazzaville)

Ethiopia (3)

Kenya

Signed 7 PSCs

VietnamCambodia

Indonesia(2 study options)

Signed 2 Direct Study Options in Indonesia

0 200KM

ETHIOPIA

KENYA

SOMALIA

DJIBOUTI

BLOCKS 2 & 6

BLOCK 10A

BLOCKS 7 & 8

ADIGALACONGO

(Brazzaville)

GABON

ANGOLACONGO

(Kinshasa)

MARINE XI

0 KM 500 100KM

VIETNAM

CAMBODIA

BLOCK E

BLOCK 06/94

MALAYSIA

THAILAND

33

WF9192 05.07

2007 Proven & Probable Reserves

France (22.6) Netherlands (5.4)

Indonesia (17.6)

Tunisia (3.8)

UK (49.3)

Norway (47.2)

Russia (30.3)

Total 176.4 MMboe

01.01.2006 146.1mmboe

- Produced (excl Russia) -9.8- Venezuela Mixed Enterprise -4.4+ New reserves (excl Acquisitions) 12.0+ Acquisitions 32.5

01.01.2007 176.4

Reserves Replacement Ratio 122%

Increase in Reserves 29%

Oil 89.1%

Gas 10.9%

176.4

34

WF9688 11.07

0

20

40

60

80

100

120

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Mb

oep

d

2P as at 1.1.2007

Contingent Resources

Production Profile based upon 2007 Reserve Position

35

WF9829 11.07

Norway - Alvheim delay

Indonesia - Delay of Singa first gas from 2008 to 2009

United Kingdom Broom - 2007 outperformance of Broom. Non requirement for additional water injection well

Thistle - Deferment of gas lift facilities on platform - Shutdown in 2008 related to Thistle redevelopment

4,100 boepd

1,100 boepd

2,000 boepd

3,100 boepd

Comparison to original P50 Reserves Certi�cation2008 negative impact

on production

Factors Affecting 2008 Production

36

WF9830 11.07

0

100

200

300

400

500

MMboe

2P RESERVES176.4 MMboe

CONTINGENTRESOURCES133 MMboe

LUNO (min)

SCOLTY/TORPHINS15 MMboe

RUSSIASUDAN

NORWAYUK

VIETNAMCONGO

LUNO (max)LUNO

32.5 - 95 MMboeexcluding Triassic

Reserves Upside Potential

37

financial results - first nine months 2007 results - first nine months 2007 733 599 2,226 1,653 ......

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