INPEX CORPORATION
1605・Prime Market・Mining
Domestic Oil & Natural Gas Business (Domestic O&G)
Segment responsible for domestic exploration, development, production, and sale of oil and natural gas
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (Q1) | ¥57,921 million | ¥65,099 million (same period prior year) | ↓ |
| Segment profit (quarterly profit attributable to owners of parent) (Q1) | ¥1,967 million | ¥11,336 million (same period prior year) | ↓ |
| Natural gas sales volume (Q1) | 26,817 million CF | 27,100 million CF (same period prior year) | ↓ |
| Crude oil sales volume (Q1) | 24 thousand barrels | 62 thousand barrels (same period prior year) | ↓ |
| Total production (Q1) | 1,370 thousand BOE (15 thousand BOE/day) | 1,533 thousand BOE (17 thousand BOE/day) (same period prior year) | ↓ |
| Iodine production (Q1) | 154 tons | 148 tons (same period prior year) | ↑ |
| Revenue (full year, FY2025 (ending December 2025)) | ¥192,176 million | – | — |
| Segment profit (full year, FY2025 (ending December 2025)) | ¥22,452 million | – | — |
Business Details
This segment conducts domestic exploration, development, production, and sale of oil and natural gas, with the Minami-Nagaoka gas field and Naoetsu LNG Terminal as key assets. Natural gas is the core business, complemented by crude oil, iodine, and power generation. Revenue for FY2025 (ending December 2025) was ¥192,176 million, accounting for approximately 9.6% of the group total. In Q1 of FY2026 (ending December 2026), both revenue and segment profit declined significantly due to falling sales prices.
Recent Overview
Q1 segment profit plunged 82.6% year on year due to falling sales prices
In Q1 of FY2026 (ending December 2026), primarily due to the average domestic natural gas price falling to ¥72.28 per cubic meter (down 10.8% year on year), revenue declined significantly to ¥57,921 million (down 11.0% year on year), and quarterly profit attributable to owners of parent fell sharply to ¥1,967 million (down 82.6% year on year). Natural gas sales volume declined only modestly to 26,817 million CF (down 1.0% year on year), but the impact of falling prices weighed heavily on earnings. Meanwhile, iodine production volume increased to 154 tons (up 4.1% year on year).
Key Products
Growth Drivers
- Increase in iodine production volume (154 tons in Q1 of FY2026 (ending December 2026), up 4.1% year on year)
- Policy support from the maintenance of the target ratio for self-developed oil and natural gas under the 7th Strategic Energy Plan (50% or more by 2030)
- Maintenance of future production base through continued exploration and development investment
- Stable natural gas supply system leveraging existing infrastructure such as the Naoetsu LNG Terminal
Risks
- Decline in domestic natural gas sales prices (Q1 of FY2026 (ending December 2026): ¥72.28 per cubic meter, down 10.8% year on year)
- Continued decline in domestic natural gas sales volume (Q1 of FY2026 (ending December 2026): 26,817 million CF, down 1.0% year on year)
- Sharp decline in domestic crude oil sales volume (Q1 of FY2026 (ending December 2026): 24 thousand barrels, down sharply from 62 thousand barrels in the same period prior year)
- Declining trend in overall domestic production (Q1 of FY2026 (ending December 2026): 1,370 thousand BOE, down 10.6% year on year)
- Risk of long-term contraction of the production base due to declining domestic proved reserves
- Sharp decline in power generation volume (Q1 of FY2026 (ending December 2026): 6 million kWh, down sharply from 51 million kWh in the same period prior year)
Last updated: March 26, 2026