Oil Search : 2020 Sustainability Report

ASX Announcement

2020 Sustainability Report

15 April 2021

ASX: OSH | PNGX: OSH | ADR: OISHY

Oil Search is pleased to release its 2020 Sustainability Report and Climate Resilience Addendum (attached), which outlines how we will create shared value for all stakeholders through the delivery of positive social, environmental and sustainability outcomes.

In delivering the 2020 Sustainability Report, Executive Vice President, Sustainability and Technology, Beth White said:

"The opportunities and challenges presented by the energy transition require Oil Search to employ all of our core strengths - listening to our communities; working in partnership with host governments and joint venture partners; and applying our scientific and commercial know-how to assess a range of options to select innovative solutions for the complex energy problems society faces."

Oil Search Managing Director Dr Keiran Wulff said he was proud of Oil Search's 2020 sustainability performance and outcomes.

"Oil Search has long been recognised as a leader in responsible development within our communities. Our 2020 Sustainability Report reflects our continued commitment to social development and our increasing commitment to materially contribute to the energy transition that will inevitably occur over coming decades. It demonstrates how our growth projects are aligned with the Paris Agreement and demonstrates our transparency and commitment to minimising carbon intensity in the near term."

The 2020 Sustainability Report and Climate Resilience Addendum along with our 2020 Transparency Report, Basis of Preparation and Voluntary Principles on Security and Human Rights, are available on the Oil Search website at www.oilsearch.com

Contacts:

Investors	Media
Peter Laliberte	Matthew Park
VP - Investor Relations	VP - Communications and Media
[phone]	[phone]
[e-mail]	[e-mail]

This ASX announcement was authorised for release by the Disclosure Committee.

Oil Search Limited	Australian Office	oilsearch.com	1
Incorporated in Papua New Guinea	1 Bligh Street, Sydney NSW 2000, Australia	P. [phone]
ARBN 055 079 868	GPO Box 2442, Sydney NSW 2001, Australia	F. [phone]

A B S O LU T E

COMMITMENT

Sustainability Report 2020

	OIL SEARCHSUSTAINABILITY REPORT 2020	ABOUT THIS REPORT	LEADERS' MESSAGE	HIGHLIGHTS	ABSOLUTE COMMITMENT CLIMATE AND ENERGY TRANSITION ENVIRONMENT

About this Report

At Oil Search, we are committed to transparently reporting on our approach to, and management of, material sustainability issues. For this reason, we regularly provide a balanced and timely view on our performance across these areas. This enables stakeholders such as shareholders, investors, project area communities and governments to review our performance, compare it to previous years and that of our industry peers, and provide informed feedback.

This Report provides an update on Oil Search's sustainability performance relating to operations and projects in Papua New Guinea (PNG) and Alaska that are under our operational control for the 2020 calendar year, as well as our plans to address broader sustainability impacts in our supply chain. Oil Search is the operator of PNG oil fields, the Hides gas to electricity project and the Pikka development in Alaska.

Our non-operated equity interest emissions in the PNG LNG Projectare reported for the first time in the 2020 Sustainability Report. The non-operated equity interest emissions in NiuPower are not included in this report.

Our 2020 reporting suite

Oil Search recognises the importance of public disclosure. Our 2020 reporting suite outlines our approach to considering and addressing environmental, social and governance issues in the countries in which we operate. Representatives from across the business have worked with the Sustainability team to compile a summary of our 2020 performance, and it has been reviewed by the Executive Team and the Sustainability Committee.

As well as being part of Oil Search's reporting suite, this Report serves as our required Communication on Progress report as a UN Global Compact (UNGC) member.

Other elements in our reporting suite include:

• The2020 Oil Search Annual Reportincludes a summary of material aspects of our performance in 2020.
• TheTransparency Reportsummarises information about payments we made in 2020 to governments of the countries where Oil Search has a presence, as well as other socio- economic contributions. This information also informs
  our Extractive Industries Transparency Initiative (EITI) submission for PNG.
• TheData Centrecontains multi-year performance data across a range of environmental, social and governance indicators in accordance with external benchmarks and standards, including the Global Reporting Initiative (GRI) Standards 2016. The data is supported by a detailed Basis of Preparation.
• TheVPSHR Reportoutlines Oil Search's progress on implementing the Voluntary Principles on Security and Human Rights (VPSHR) in 2020.
• TheModern Slavery Statementdescribes steps Oil Search has taken to identify and assess modern slavery risks in our operations and supply chain, and actions taken to address these risks.
• TheOil Search websitedescribes our overall approach to managing material environmental, social and governance issues.
• TheClimate Resilience Addendumto the 2020 Sustainability Report is a continuation to the 2018 TCFD 1-aligned Climate Change Resilience Report

Independent assurance

To enhance confidence in the integrity of information and underlying processes for this Report, as well as help us identify improvements for future reporting, our sustainability reporting has been subject to independent assurance since 2011, with the assurance findings presented to the Executive Team and the Sustainability Committee.

For this Report, we obtained independent limited assurance from Deloitte Touche Tohmatsu (Deloitte) over selected sustainability data in accordance with Australian Standards on Assurance Engagements ASAE 3000. Deloitte's Limited Assurance Statement outlines the scope and basis of the assurance they have provided.

Deloitte is Oil Search's external auditor as well as our sustainability reporting assurance provider. The Audit and Financial Risk Committee oversees the independence of this relationship and governs the approval processes.

Disclaimer

This Report contains some forward-looking statements that are subject to risks associated with the oil and gas industry. Actual outcomes could differ materially due to a range of operational, cost and revenue factors and uncertainties including: oil and gas prices, changes in market demand for oil and gas, currency fluctuations, drilling results, field performance, timing of well workovers and field development, reserves depletion and fiscal and other government issues and approvals.

1. Task Force on Climate-related Financial Disclosures

COMMUNITY	HEALTH AND SAFETY	PEOPLE	INTEGRITY	ECONOMIC SUSTAINABILITY	ASSURANCE STATEMENT	CORPORATE REPORTING	CLIMATE RESILIENCE ADDENDUM

Contents

IFC About this Report

1. Message from Our Leaders

1. Sustainability Highlights

1. Absolute Commitment

12 Climate and Energy Transition

1. Environment

1. Community

1. Health and Safety

1. People

1. Integrity

1. Economic Sustainability

34 Assurance Statement

1. Corporate Reporting

1. Climate Addendum

01

	OIL SEARCHSUSTAINABILITY REPORT 2020	ABOUT THIS REPORT	LEADERS' MESSAGE	HIGHLIGHTS	ABSOLUTE COMMITMENT CLIMATE AND ENERGY TRANSITION ENVIRONMENT

Sustainability Committee Chair's Letter

"Oil Search has an unwavering commitment to be a responsible development partner, creating shared value for all stakeholders through the delivery of positive social, environmental and sustainability outcomes"

The Oil Search 2020 Sustainability Report reflects our commitment to a sustainable future for all our stakeholders.

Our purpose is simple; to deliver low cost, high value energy that meets society's needs.

Oil Search has an unwavering commitment to be a responsible development partner. Our ethos to create shared value for all stakeholders drives our continual focus to deliver positive social, environmental and sustainability outcomes. This values-driven approach is an essential part of who we are as a company and we believe differentiates Oil Search.

As Chair for the Oil Search Sustainability Committee, I can confirm we are acutely aware that the energy industry is entering a new paradigm in which the world's demand for energy is undiminished alongside an expectation for clean, low carbon fuel. The factors driving the energy transition are firmly in our view. The Oil Search Board welcomes the opportunity to engage

with our stakeholders to deliver the energy that is needed in the socially responsible way it is wanted.

In 2020, we worked closely with the Executive Team to redefine our sustainability commitments and develop an informed and stakeholder aligned Sustainability Strategy. This Strategy reinforces the Board and Company's commitment to remain focused on our sustainability responsibilities and key risk areas. The Oil Search 2020 Sustainability Report outlines the commitments we have made across all 7 pillars of our new Sustainability Model.

2020 presented many challenges. In periods of extensive change, it is vital to keep focusing on doing business safely, securely and ethically. I am pleased to report that Oil Search's performance across all areas of sustainable practice reflected this focus. I would like to thank the senior leadership team and all Oil Search employees for showing commitment to sustainability at every opportunity.

With Oil Search entering our new Evolve phase of growth and taking meaningful steps to realise the opportunities presented by the energy transition, 2021 will be a busy year. I look forward to reporting on significant progress against our sustainability

commitments in next year's Sustainability Report.

Dr Eileen Doyle

Sustainability Committee Chair

02