1. Exploration Investor Presentation January 2010

2. Forward looking statements
This presentation may contain forward-looking statements and
information that both represents management's current
expectations or beliefs concerning future events and are
subject to known and unknown risks and uncertainties.
A number of factors could cause actual results, performance or
events to differ materially from those expressed or implied by
these forward-looking statements.
January 2010 | Page 1

3. Target and strategy
Exploration is a fundamental part of Premier’s growth strategy
Target
• Build three quality businesses
which deliver 100 kboepd from
400 mmbbls of reserves
Strategy
• Attain 75 kboepd from 2P
reserves of 265 mmboe
• Commercialise contingent
resource base of 180 mmboe
• Add 200 mmboe of
2P reserves from exploration
• Make value-adding acquisitions
in three core areas
• Maintain a conservative
financing plan
January 2010 | Page 2

4. Exploration – Targets
Add 200 mmboe net reserves by 2015
Global Exploration: 2009
Forecast 2C resource additions (mmboe) • Premier added 20 mmboe to 45 mmboe of net
400 resources
Success Case/NV Unrisked • 5 exploration and 2 appraisal wells (excl Egypt;
Success Case/NV Risked
350 Unrisked now sold)
Risked
Cum risked additions • Exploration success rate: 40%
300
• Finding cost: $4/boe
250
2010-2012
200 • Unrisked target resource: 800 mmboe
• Risked resource target: 100 mmboe
150
• 12 Exploration and appraisal wells planned in 2010
100 • Material prospects targeted
• Drilling candidates from existing portfolio
50
2012 to 2014
0
2009 2010 2011 2012 2013 2014 • Resource additions must come from success case
follow on and/or new ventures
January 2010 | Page 3

5. Premier – Petroleum basin focus
The majority of the worlds petroleum resources are found in 3 basin types:
• Rift Basins: e.g. North Sea, SE Asia, onshore Africa and West Siberia
• Passive Margins: e.g. West Africa / SE Brazil, NW Australia and the Gulf of Mexico
• Fold-belts / Forelands: Columbia, Iran / Iraq and Pakistan
Premier has a competitive advantage in value creating exploration of Rifts and Fold-belts / Forelands
Premier will continue to explore the rift basins of SE Asia and the North Sea and will look to exploit its
competitive advantages in selected rifts and fold-belt basins of Africa, the Middle East and Central Asia
January 2010 | Page 4

6. Exploration – Historic performance
Premier Discoveries 1986-2009* (net mmboe)
800
Annual discoveries • Premier began exploring in 1986, initially via entry
Cumulative annual into SE Asia
700 discoveries
• To date Premier has discovered net 800 mmboe at
600 an overall commercial success rate of 22%
• The commercial discoveries have been made in
500 two basin types:
1) Rifts: Southeast Asia and Norway
400
2) Frontal Fold-belts: Pakistan
300 • The success rate in these basin types is ~40%
200
• Since 2000 the exploration success has been
dominated by Rift Basin exploration in Asia and
latterly in Norway
100
0
1985 1990 1995 2000 2005 2010
* Does not include Egypt
January 2010 | Page 5

7. Exploration strategy
The goal is to deliver 200mmboe 2P reserves through the drill bit
focussing on areas where we have demonstrated skills and expertise
Near-term programme
• Asia: Nam Con Son Basin (Vietnam and Indonesia)
• North Sea: UK Central North Sea and Norwegian North Sea
New Venture Activity
• Rift Basins: new acreage in the North Sea, Asia and potentially North/East
Africa or Central Asia
• Frontal Fold-belt plays: new acreage in the Middle East or Central Asia
January 2010 | Page 6

8. Exploration outlook – January 2010
Unrisked net potential of 350mmboe
2010
Asia Q1 Q2 Q3 Q4
Vietnam 07/03 Seismic (contingent)
104/109-05 Seismic
Indonesia Tuna Prospect A
Prospect B
Buton Lead B
North Sea
Norway PL374S (34/2,5) Blabaer Bredford Dolphin
PL359 (16/1,4) Greater Luno Transocean Winner
PL406 (8/3) Gardrofa Maersk Guardian
PL378 Gnatcatcher
PL378 Grosbeak Appraisal
UK P815 Bugle Appraisal Transocean GSF Arctic IV
P1430 Catcher Galaxy II (STC)
P1620 Oates
Middle East/Pakistan
Pakistan Qadirpur Pirkoh-1
Firm Wells: Rig Contracted Firm Wells: Rig TBC Contingent Wells Seismic Programme
All well timings are subject to revision for operational reasons
January 2010 | Page 7

9. Exploration – Vietnam / Indonesia – Nam Con Son
An integrated play-based approach to exploration
Premier equities
• 07/03: 30% and operator
• Tuna: 65% and operator, target equity 40% pre-drill
Prospectivity
• 10-15 leads and prospects
• Cá Rồng Đó discovery May 2009 (10 mmbo to 70
mmbo gross resource)
• Cá Rồng Vang - P&A December 2009
• Resource potential 30-100 mmbo per prospect
2010 Plan
• Fully interpret existing 3D
• Acquire 3D over central part of Block 7/03
• Drill 2 Tuna prospects
2011 Plan
• Appraise Cá Rồng Đó discovery
• Drill further exploration wells in 07/03
January 2010 | Page 8

10. Exploration – Block 07/03 – CRD discovery and CRV
Amplitude analysis of 3D is potentially the key to unlocking the prize
CRV CRD / CRD North East
CRD Discovery
NW SE
Anomalies associated Anomalies associated
with Hydrocarbons with Hydrocarbons?
Gas above CRD
Low amplitude area due
to gas in overburden
January 2010 | Page 9

11. Exploration – Tuna – Regional prospectivity
Plan to drill 2 prospects in Q3/Q4 2010
Singa / Kuda Laut Cacing Laut Gajah Laut Utara
NW Base Muda SE
MMU
Arang
Top Oil Expulsion
Gabus
Thermally Thermally
Mature Source Mature Source
Basement
Numerous material drillable prospects being defined on new 3D
January 2010 | Page 10

12. Exploration – North Sea
Premier’s rift basin expertise is being applied to the North Sea
• Active 2010 programme targeting
50- 200 mmboe net to Premier: Blåbaer
Gnatcatcher
Prospect Potential
(mmboe gross)
Gnatcatcher 31-60 mmboe
Gardrofa 15-115 mmboe
Greater Luno 30-150 mmboe
Greater Luno
Blåbaer 15-75 mmboe
Bugle Appraisal
Bugle North 7-39 mmboe
Oates 25-107 mmboe Bream
Gardrofa
Catcher 18-33 mmboe
Oates
Moth/Lacewing
• Preparing for 2011 drilling, e.g.
Moth/Lacewing
Catcher
January 2010 | Page 11

13. Exploration – Huntington, Moth and Oates
Building a new core area in the UK Central North Sea Rift basin
Huntington
• Premier equity in Block 22/14b is 40%
• Concept selection process ongoing
• First production forecast for 2012
• Unitization process underway
• Exploration focus is to Pre-Tertiary potential
Moth
• Appraisal of Moth and potentially a deep pre-
Cretaceous target (Lacewing) planned for 2011
• Premier equity ~50% (BG operator)
Oates
• Premier 50% equity and operator*
• Oates prospect has 25 mmboe to 107 mmboe
potential
• Low to moderate risk
* Subject to DECC approval
January 2010 | Page 12

14. Exploration – UK – Oates
Oates (P1620) NW Oates SE
• Premier 50% equity and operator
• Reserve estimate 25-65-107 mmboe
• Amplitude supported stratigraphic trap
• Low to moderate risk for oil and gas
• Drilling planned late Q2/Early Q3 2010
• Follow up potential exists at Bowers
(10-65 mmboe unrisked reserves)
Bowers
Amplitude Bloom on Far Stacks
Oates
Forties Isopach Map
January 2010 | Page 13

15. Exploration – Norway – Blåbaer
Blåbaer (PL374)
• Premier 15% equity
• Operated by BG
• Reserves estimate 15-30-75 mmboe
• Moderate risk for oil
• Well status: drilling
• Jordbaer project moving forward
Blåbaer Jordbaer
January 2010 | Page 14

16. Exploration – Norway – Greater Luno
Greater Luno (Pl 359)
• Premier 30% equity
• Operated by Lundin
• Targeting basement and possible Jurassic sandstones
related to the Luno discovery (95 mmboe) on adjacent
Lundin-operated block
• Estimated reserve range 30-150 mmboe
• Moderate risk for oil
• Drilling planned for Q1 2010
Greater Luno
16/4-5 Planned Well Location
January 2010 | Page 15

17. Exploration – Norway – Bream, Gardrofa
Success at Gardrofa will lead to a new core area for Premier in Norway
Bream (PL 406)
• Brent age oil discovered 1971, close to Yme Field
• In 2009,17/12-4 and its sidetracks wells appraised
this discovery, testing 2,516 boepd
• Operated by BG, Premier equity 20%
• Estimated reserves 39-50-63 mmboe
• Plan of development under review
9/1-1 Gardrofa Prospect Well Location
Gardrofa (PL407)
• Premier’s first operated licence in Norway
• Premier equity 40%
• Untested trap flanking a Salt dome feature
• Estimated reserves 15-70-115 mmboe
• Moderate risk for oil
• Well planned for Q3 2010
January 2010 | Page 16

18. Exploration challenges
1. Access to new opportunities in themes of choice
2. Maintaining exploration focus/discipline
3. Managing the natural tension between growth ambitions
and the production/development of existing resources
4. Building a geoscience organisation for the future
January 2010 | Page 17

19. Exploration strategy
The goal is to deliver 200mmboe 2P reserves through the drill bit
focussing on areas where we have demonstrated skills and expertise
Near-term programme
• Asia: Nam Con Son Basin (Vietnam and Indonesia)
• North Sea: UK Central North Sea and Norwegian North Sea
New Venture Activity
• Rift Basins: new acreage in the North Sea, Asia and potentially North/East
Africa or Central Asia
• Frontal Fold-belt plays: new acreage in the Middle East or Central Asia
January 2010 | Page 18

20. Look forward
End 2010 End 2012
• Stable production from established • Significantly increased reserve base
assets
• Run-rate production of 75 kboepd with
• Development drilling commenced on key related cash flow expansion
projects in Indonesia and Vietnam
• Follow-on portfolio of development
• New project approvals e.g. Dua, Bream, projects to add 10-15 kboepd
Bugle, Fife, Frøy
• Fully evaluated Nam Con Son basin
• Twelve well exploration programme opportunity
completed
• Replenished exploration portfolio in
• 10-20 prospects brought to drillable areas of existing geological knowledge
status for 2011/2012 programme
January 2010 | Page 19

21. Appendix
January 2010 | Page 20

22. Exploration – Norway – Grosbeak, Gnatcatcher
Gnatcatcher/Grosbeak (PL 378)
• Premier 20% equity (non-operated)
• Successful Grosbeak well completed in July 2009
– Close to nearby infrastructure
– Oil in Middle Jurassic sandstones
– Estimated reserves 30-90-170 mmboe
• Gnatcatcher resource estimate 31-40-60 mmboe
• Moderate to High risk for oil
• Q3 2010 Gnatcatcher Exploration well and Q4 probable
Grosbeak appraisal
Gnatcatcher
SW NE
January 2010 | Page 21

23. Exploration – UK – Bugle North
Bugle North (P815)
• Premier 41% equity, likely to move to 50%
• Nexen operator
• Nearfield exploration opportunity
• Gross reserves estimate 7-17-39 mmboe
• Adjacent Bugle discovery flowed 7,398 bopd and 9.06 mmscfd gas
• Drilling planned for Q1 2010
January 2010 | Page 22

24. Exploration – UK – Moth
Moth (P1181)
• 50% equity in 23/21
• 57.5% operated equity in
23/22b
• 70% operated equity in
7/7d and 7/10a
• Moth discovery max flow
rate 24.4 mmscfd gas and
2460 bopd
• Appraisal of Moth and
potentially a deep pre-
Cretaceous target
(Lacewing) are under
evaluation
• Drilling planned 2011
January 2010 | Page 23

25. Exploration – UK – Catcher
Catcher (P1430)
• Premier equity 50%
• Encore operator
• Reserves estimates 18-25-33 mmboe
• Low risk for gas
• Drilling planned Q2 2010
Blocks
28/9 & 10c
Top Cromarty depth Map W Catcher E
Phase Change
Top Cromarty Balder
Chalk
2 Km 2 Km
January 2010 | Page 24

26. Exploration – Indonesia – Buton
Buton PSC
• Premier equity 30%
• Japex operator
• Lead B reserve estimates 35-100-300 mmboe
• High risk for oil
• Prospect maturation ongoing
• Drilling planned Q4 2010/Q1 2011
NW Lead B‘B’ SE
0 5000
meters
January 2010 | Page 25

27. Premier Oil – a snapshot
2009 2009 Production by region
Production by type Commodity price exposure (kboepd)
2009 2013
39% 61% 62% 38% 16.0 17.2 15.5 21.0
44.2 77.4
11.0 North Sea / West Africa 41.0
Oil Direct oil price linked Asia
Gas Regulated gas pricing Middle East-Pakistan
Reserves and resources by category Reserves by region Reserves and resources by region Reserves and resources
(mmboe, at 30 June 2009) (mmboe, at 30 June 2009) (mmboe, at 30 June 2009) (mmboe)
500
2C reserves
181 121 49 59 53 158 2P reserves 181
400
300
446 265 446
265
200
144 157 235 100
In production North Sea / West Africa North Sea / West Africa
In development Asia Asia 0
2005 2006 2007 2008 Proforma
Contingent resources Middle East-Pakistan Middle East-Pakistan 30/6/09
January 2010 | Page 26

28. January 2010 | Page 27
www.premier-oil.com January 2010