p (HES) is a mid-sized oil & gas company with 1.0bn boe of proved reserves at end 2015. E&P operations are focused in the US onshore, deep water GOM, North Sea, Guyana, West Africa, and Asia. MGM Resorts International (MGM) Shaun Kelley +1 646 855 1005 Research Analyst, MLPF&S Buy, PO $33 1Q investment t

61) (1,359) (592) (50) 574 company with 1.0bn boe of proved reserves at the end of 2015. E&P operations are focused in the US onshore, deepwater GOM, North Sea, West Africa #@method™—QualityofEarningss oil, and Asian natural gas. (US$ Millions) 2015A 2016A 2017E 2018E 2019E Cash Realization Ratio NM NM NM

rice assumptions 3.0 2.5 2.0 mn b/d, YoY BofAML f'cast 15 1.0 0.5 0.0 -0.5 -1.0 2010 2012 2014 2016F 2018F 2020F mu US meme Canada mam Mexico mmm North Sea mmm Russia Kazakhstan . . 2013 2014 2015 2016 2017 2018 2019 2020 mum Asia Brazil mmm Sudan/So. Sudan other —+— total non-OPEC base =2016@$45/bbl m20

cial Disclosures BofA Merrill Lynch is currently acting as Financial Advisor to Royal Dutch Shell PLC in connection with its proposed sale of its UK North Sea assets to Chrysaor LTD, which was announced on January 31, 2017. Bankof America Merrill Lynch Global Equity Volatility Insights |O6 June 2017. 29

g Brent time spreads (long front vs. third futures contract), long industrial metals, long US natural gas and short agriculture. Production losses in the North Sea should support our Brent trade, while the current econo mic rebound in China should push industrial metals higher. US Natural gas should benefit from

nager on DP drillships prior to take over his first rig Manager job in 2004, a position he held for the last 5 years. His work locations were mainly North Sea and Brazil. Frederic Jacquemin, Rig Manager Frederic comes from a engineering background (M.Sc Petroleum Engineering & Project Development — IFP Sc

finance minister Christine Lagarde confirms that she will stand as a candidate to head the IMF * Cloud of volcanic ash from Iceland drifts across North Sea to Germany (could ground 600 flights today) * U.K. 01 GDP rises 0.5% (matching estimates) as exports offset weak consumption (exports +3.7%) *

g warnings follow a torrid start to the year on financial markets, with billions of pounds wiped off stocks in the UK and elsewhere. BP slashes 600 North Sea jobs as crumbling oil price forces the explorer to reduce global headcount by 4,000 Is the New Year stock market slump a blip or something more omin

g warnings follow a torrid start to the year on financial markets, with billions of pounds wiped off stocks in the UK and elsewhere. BP slashes 600 North Sea jobs as crumbling oil price forces the explorer to reduce global headcount by 4,000 Is the New Year stock market slump a blip or something more omin

on Key Players 40 Angola 40 Brazil 42 Canada 44 Caspian Sea, ex Russie 47 Colombia 49 U.S. Gulf of Mexico 51 Malaysia 54 Mexico 56 North Sea 59 Russia 61 Appendix 63 Page 2 Deutsche Bank Securities Inc. CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0058853 CONFIDENTIAL

f the larger global picture. Largely synonymous with mature declining assets, averaging 6% YoY decline since 2002 (vs 9% for the UK), the Norwegian North Sea will actually see production flat to slightly increasing through 2017. Driving this is a significant increase in major project growth barrels, with

Colombia • Non-OPEC Africa • Non-OPEC Middle East • Australia • Malaysia ell Indonesia • Other Non-OECD Asia • Russia • Caspian Sea i Total North Sea a Other Non-OPEC Latin America • Other i Mexico • China i India OTotal Canada 0 Brazil ▪ n'ell.11 Through 2017, the vast majority of this g

020. Figure 13: ,_014-20 I 7 Cumulative Growth (Mbid) Figure 14 2014.2020 Cumulative Growth (Mbrkt Mexico MI Non-OPEC Mickile East Colombia ■ North Sea • Alaska r Caspian Sea India Europe Non-OECD Other Non-OECD Asia Angola Other FSU Australia Other Non-OPEC Latin America Other Europe OE

ils Why the UK 7:3). 7 a good prow for Norwegian for global Non-OPEC) production While some have looked at the UK as a cautionary tale for both the North Sea and as an example for global Non-OPEC production, we see limited read through. Like its neighbor, the UK has seen steadily declining production de

31 May 2015 Integrated Oil US Integrated Oils The North Sea: A Case Study On Spend and Decline Rates In some ways, the Norwegian North Sea is representative on a small scale of larger trends across the industry over the next couple of years. After steadily declining for nearly 14 years

MMb/d of current production. We see this risk as slightly less acute than some basins heavily dependent on maintenancefunfill capital spend (ie. UK North Sea/Norway). however every 1% increase in underlying decline above our 8%/yr base case would reduce 2017 production by 40 Mb/d. 2. Delays to FPSO star

31 May 2015 Integrated Oil US Integrated Oils North Sea The North Sea has been synonymous in recent years with mature, Non-OPEC decline, and for good reason. Since its peak production in 2000, North Sea

nt month Brent futures have weakened by around S5/bbl, trading around $107/bbl and are almost flat in the last week. The weak demand in the physical North Sea crude markets has continued to weigh on the front end of the curve, now in contango through Nov 2014. The combination of seasonal high in global re

ions as well (as these might be more permanent given that non shale/unconventional plays do not have a quick turnaround time). Across the pond, the North Sea was again Bid and forties diffs are the strongest of the past 3 weeks. Med crude and Urals were also strong. Even more interesting, BRE/Dubai is wea