Galp Energia SGPS S A : Results presentation - 1Q - 2021

1Q21 RESULTS

April 26

2021

An integrated energy player developing profitable and sustainable businesses

CAUTIONARY STATEMENT

This document may include forward-looking statements, including, without limitation, regarding future results, namely cash flows, dividends, and shareholder returns; liquidity; capital and operating expenditures; performance levels, operational or environmental goals, targets or commitments and project plans, timing, and outcomes; production rates; developments of Galp's markets; and impacts of the COVID-19 pandemic on Galp's businesses and results; any of which may significantly differ depending on a number of factors, including supply and demand for oil, gas, petroleum products, power and other market factors affecting them; the outcome of government policies and actions, including actions taken to address COVID-19 and to maintain the functioning of national and international economies and markets; the impacts of the COVID-19 pandemic on people and economies; the impact of Galp's actions to protect the health and safety of its employees, customers, suppliers and communities; actions of Galp's competitors and commercial counterparties; the ability to access short- and long-term debt markets on a timely and affordable basis; the actions of consumers; other legal and political factors, including changes in law and regulations and obtaining necessary permits; unexpected operating events or technical difficulties; the outcome of commercial negotiations, including negotiations with governments and private entities; and other factors discussed in Galp's Management Report & Accounts filed with the Portuguese Securities Market Commission (CMVM) for the year ended December 31, 2020 and available on our website at galp.com. This document may also contain statements regarding the perspectives, objectives, and goals of Galp, including with respect to energy transition, carbon intensity reduction or carbon neutrality. An ambition expresses an outcome desired or intended by Galp, it being specified that the means to be deployed may not depend solely on Galp. All statements other than statements of historical facts are, or may be deemed to be, forward-looking statements. Forward-looking statements express future expectations that are based on management's expectations and assumptions as of the date they are disclosed and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such those statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Galp to market risks and statements expressing management's expectations, beliefs, estimates, forecasts, projections, and assumptions. These forward-looking statements may generally be identified by the use of the future or conditional tense or the use of terms and phrases such as "aim", "ambition", "anticipate", "believe", "consider", "could", "envision", "estimate", "expect", "goals", "intend", "may'', "objectives", "outlook", "plan", "probably", "project", "risks", "schedule", "seek", "should", "target", "think", "will" or the negative of these terms and similar terminology.

Financial information by business segment is reported in accordance with the Galp's management reporting policies and shows internal segment information that is used to manage and measure the Group's performance. In addition to IFRS measures, certain alternative performance measures are presented, such as performance measures adjusted for special items (adjusted earnings before interest, taxes, depreciation and amortisation, adjusted earnings before interest and taxes, and adjusted net income), return on equity (ROE), return on average capital employed (ROACE), gearing ratio, cash flow from operations and free cash flow. These indicators are meant to facilitate the analysis of the financial performance of Galp and comparison of results and cash flow among periods. In addition, the results are also measured in accordance with the replacement cost method, adjusted for special items. This method is used to assess the performance of each business segment and facilitate the comparability of the segments' performance with those of its competitors. This document also contains non-financial performance indicators, including a carbon intensity indicator for energy products sold by Galp, that measures the amount of greenhouse gas emissions of those products, from their production to their end use, per unit of energy delivered. This indicator covers the direct GHG emissions of production and processing facilities (scope 1) and their indirect emissions associated with energy purchased (scope 2), as well as the emissions associated with the use of products by Galp's costumers (scope 3). The same emissions are considered for products purchased from third parties and sold or transformed by Galp. For a complete definition of scopes 1, 2 and 3 and the methodology used by Galp for this indicator please refer to Galp's website at galp.com.

Galp and its respective representatives, agents, employees or advisers do not intend to, and expressly disclaim any duty, undertaking or obligation to, make or disseminate any supplement, amendment, update or revision to any of the information, opinions or forward-looking statements contained in this document to reflect any change in events, conditions or circumstances. This document does not constitute investment advice nor forms part of and should not be construed as an offer to sell or issue or the solicitation of an offer to buy or otherwise acquire securities of Galp or any of its subsidiaries or affiliates in any jurisdiction or an inducement to engage in any investment activity in any jurisdiction.

2 1Q21 Results

1Q21 HIGHLIGHTS

Strong cash generation, benefiting from improved conditions and completion of GGND transaction

499€ m	518 € m
RCA Ebitda	Free Cash Flow

445€ m 1.1x

Adjusted operating	Net Debt to RCA Ebitda
cash flow1

3 1Q21 Results

1 The adjusted operating cash flow indicator represents a proxy of Galp's operational performance excluding inventory effects, working capital changes and special items +/- Special items

RESILIENT RESULTS

DESPITE CHALLENGING DOWNSTREAM ENVIRONMENT

UPSTREAM

RCA Ebitda

438 € m

• Production up 2% QoQ to 125 kboepd
• Output still impacted by restrictions, mostly pandemic-related
• Ebitda supported by stronger Brent and production

COMMERCIAL

RCA Ebitda

69 € m

• Oil and gas products' sales affected by lower demand in Iberia
• Electricity sales increase in both B2C and B2B segments
• Ebitda impacted by the decline in oil and gas volumes during the period

REFINING & MIDSTREAM

RCA Ebitda

-6€ m

• Sines refining margin up, supported by higher gasoline cracks
• Midstream with gas sourcing restrictions, pricing lag and regasification costs
• Ebitda reflects a slightly negative refining and a weak Midstream contribution

RENEWABLES & NEW

BUSINESSES

RCA Ebitda	1 € m
-2€ m	Proforma
Ebitda1

• Renewable generation up QoQ, considering higher sunlight hours
• Full operational capacity re-established on time to fully capture "high season"
• Proforma Ebitda backed by higher generation and solar prices

4 1Q21 Results

1 Pro-forma considers all projects as if they were consolidated according to Galp's equity stakes.

GROUP RCA EBITDA OF €499 M, UP 22% QoQ

SUPPORTED BY A ROBUST UPSTREAM PERFORMANCE

P&L (RCA figures, € m)

	1Q20	4Q20	1Q21
RCA Ebitda	469	410	499
RCA Ebit	217	159	284
Associates	19	8	0
Financial results	-60	-19	-55
1	-146	-120	-181
Taxes
Non-controlling interests	-1	-25	-22
RCA Net Income	29	3	26
IFRS Net Income	-257	-35	161

RCA figures adjusted from 1Q21 onwards for Matosinhos decommissioning and MTM from derivatives

RCA net income of €26 m also reflecting

neutral associates and higher upstream taxes. Financial results excluding the impact from MTM, now considered as special items

IFRS net income of €161 m, including an inventory effect of €101 m and special items of €34 m

5 1Q21 Results

1 Includes SPT payable in Brazil and IRP payable in Angola.