The petroleum E&P industry is based on comprehensive technologies including geological and geophysical surveys, exploration, well drilling, oil reservoir engineering and information technologies. While many E&P companies outsource most of these diverse technologies, the JAPEX Group maintains the advantage of having accumulated the technologies required for exploration, development, production and transport through years of evolution as an integrated E&P corporate group. JAPEX considers technological research and development as one of its key management responsibilities. The Company has placed particular emphasis on new energy and environment-related fields as a part of efforts to acquire innovative technologies and knowledge through its research on GTL, methane hydrate and CCS, as well as other areas. Looking ahead, we will incorporate these technologies and knowledge into the JAPEX business model and develop them into a new profit base.