ENQUEST PLC, 25 MAY 2021

Reports on Payments to Governments for the Year ended 31 December 2020

This report provides information in accordance with DTR 4.3A in respect of payments made by the Company to Governments for the year ended 31 December 2020 and in compliance with the Reports on Payments to Governments Regulations 2014 (SI 2014/3209).

This report is available to download from: https://www.enquest.com/environmental-social-and-governance/governance/business-conduct

Basis of preparationThe payments disclosed, which are on a cash basis, are based on where the obligation for the payment arose (i.e. at a project or corporate level). Where a payment or a series of related payments do not exceed £86,000, they are not required to be disclosed under the UK Regulations, however this has been disclosed in aggregate at a corporate level for clarity over obligations.All of the payments disclosed in accordance with the Directive have been made to national Governments, either directly or through a Ministry or Department of the national Government, with the exception of the Malaysian payments in respect of production entitlements, supplementary payments, royalties, research CESS and education commitment payments which are paid to PETRONAS (Petroliam Nasional Berhad, the National Oil Company of Malaysia).

By licence
Project/entity Licence Production Taxes Royalties Licence Education Research Supple TOTAL
name entitlements fees commitment CESS -mentary
payment payments
mboe $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
Kraken & Kraken P1077 - - - - 583 - - -  583
North
Alma & Galia P1765 & - - - - 815 - - -  815
P1825
Heather & Broom P242 & - - - - 424 - - -  424
P902
Greater P73 & - - - - 203 - - -  203
Kittiwake Area P238
Dons (including P236, - - - - 490 - - -  490
Ythan & Conrie) P1200 &
P2137
Thistle & P236 & - - - - 65 - - - 65
Deveron P475
Scolty & P1107 & - - - - 459 - - -  459
Crathes P1617
Magnus P193 - - - - 367 - - - 367
Corporate - - (171) - 75 - - - (96)
Total United - - (171) - 3,481 - - - 3,310
Kingdom 
PM-8E 748 27,410 - 1,383 - - 402 2,034 31,229
PM409 - - - - - 100 - - 100
Corporate - - 10,537 - - - - - 10,537
Total Malaysia  748 27,410 10,537 1,383 - 100  402  2,034 41,866
Total Group  748 27,410 10,366 1,383 3,481 100 402 2,034 45,176
 
By Government
Project/entity Production Taxes Royalties Licence Education Research Supple- TOTAL
nameLicence entitlements fees commitment CESS mentary
payment payments
mboe $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
HM Revenue - - (171) - - - - - (171)
and Customs
Department of - - - - 3,481 - - - 3,481
Business,
Energy and
Industrial
Strategy
Total United - - (171) - 3,481 - - - 3,310
Kingdom
PETRONAS  748 27,410 - 1,383 - 100  402  2,034 31,329
Malaysian - - 10,537 - - - - - 10,537
Inland
Revenue
Board
Total  748 27,410 10,537 1,383 - 100  402  2,034 41,866
Malaysia
Total Group  748 27,410 10,366 1,383 3,481 100 402 2,034 45,176

Production entitlements expressed in barrels
This includes non-cash royalties and state non-participating interest paid in barrels of oil or gas out of EnQuest's working interest share of production in a licence. The figures disclosed are produced on an entitlement basis rather than a liftings basis. It does not include the Government's or National Oil Company's working interest share of production in a licence. Production entitlements are assessed on a quarterly basis and are valued at the price used to determine entitlement.

Taxes
This represents cash tax calculated on the basis of profits including income or capital gains. Income taxes are usually reflected in corporate income tax returns. The cash payment of income taxes occurs in the year in which the tax has arisen or up to one year later. Income taxes also include any cash tax rebates received from the Government or revenue authority during the year and excludes fines and penalties.

Royalties
This represents cash royalties paid to Governments during the year for the extraction of oil or gas. The terms of the royalties are described within our Production Sharing Contracts ('PSC') and can vary from project to project within one country. Royalties paid in kind have been recognised within the production entitlements category.

Licence fees
This represents total, rather than working interest share of, licence fees, rental fees, entry fees and other levies or consideration for licences and/or concessions paid for access to an area during the year (with the exception of signature bonuses which are captured within bonus payments if applicable).

Education commitment payment
This represents the annual education contribution paid to PETRONAS pursuant to the PM409 PSC.

Research CESS
Research CESS payments are contractual amounts due under the PM-8E PSC, and are based on EnQuest's entitlement to production. These payments are made to PETRONAS.

Supplementary payments
Supplementary payments are required under the PM-8E PSC and are based on EnQuest's entitlement to profit oil and profit gas. These payments are made to PETRONAS.

Ends

For further information, please contact:

EnQuest PLC          Tel: +44 (0)20 7925 4900
Ian Wood (Head of Communications
and Investor Relations)
Jonathan Edwards (Senior Investor
Relations and Communications
Manager)

Tulchan Communications  Tel: +44 (0)20 7353 4200
Martin Robinson  
Harry Cameron

Notes to editors

ENQUEST

EnQuest is providing creative solutions through the energy transition. As an independent production and development company with operations in the UK North Sea and Malaysia, the Group's strategic vision is to be the operator of choice for maturing and underdeveloped hydrocarbon assets by focusing on operational excellence, differential capability, value enhancement and financial discipline.

EnQuest PLC trades on both the London Stock Exchange and the NASDAQ OMX Stockholm.
Please visit our website www.enquest.com for more information on our global operations.

Forward-looking statements: This announcement may contain certain forward-looking statements with respect to EnQuest's expectations and plans, strategy, management's objectives, future performance, production, reserves, costs, revenues and other trend information. These statements and forecasts involve risk and uncertainty because they relate to events and depend upon circumstances that may occur in the future. There are a number of factors which could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements and forecasts. The statements have been made with reference to forecast price changes, economic conditions and the current regulatory environment. Nothing in this announcement should be construed as a profit forecast. Past share performance cannot be relied upon as a guide to future performance.

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