2008

• At Long Lake, bitumen production ramping up and upgrader construction complete with commissioning underway.
• Sanctioned Usan development, offshore Nigeria
• Announced positive results from winter shale gas program

2007

• Grew net production by 33%, leading our North American peers
• Achieved record annual cash flow of $3.5 billion ($6.56/share); an increase of 30% over 2006
• Added 102 million boe of proved reserves, replacing approximately 110% of 2007 production
• Recorded net income of $1.1 billion or $2.06/share for the year
• Achieved exploration successes in the Gulf of Mexico and the UK North Sea.
• Received several awards reflecting our high standards in safety, leadership, social responsibility, reporting, and corporate governance.
• All wells steaming at Long Lake and upgrader on track for mid 2008 start up

2006

• Grew cash flow 11% to a record $2.7 billion or $10.18 per share; net income of $601 million or $2.29 per share.
• Added 341 million barrels of proved reserves, replacing approximately 440% of our 2006 production. This included 246 million barrels of proved reserves at Long Lake.
• Completed Buzzard development and commenced production in January 2007.
• Completed Syncrude Stage 3 expansion, adding 8,000 bbls/d of production capacity to us.
• Progressed Long Lake project for start up in 2007.
• Achieved exploration successes in the Gulf of Mexico and the UK North Sea.
• Received several awards reflecting our high standards in safety, leadership, social responsibility, reporting, and corporate governance.
• Outperformed our North American peers for the second year in a row in terms of stock market performance.

2005

• Achieved record financial results, delivering more than $1 billion in net income for the first time ever ($1.15 billion or $4.43 per share) and record cash flow from operations of $2.4 billion or $9.23 per share.
• Met our production targets despite Canadian asset sales and hurricane disruptions in the Gulf of Mexico.
• Disposed of approximately 18,300 boe/d of conventional Canadian oil and gas assets and restructured our chemicals business into Canexus Income Fund, retaining a 61.4% interest. Total proceeds of more than $1.4 billion were used to reduce net debt.
• Advanced our major projects at Buzzard in the North Sea, and Long Lake and the Syncrude Stage 3 expansion in Canada, keeping them on time and on budget.
• Sanctioned Phase 2 of our Athabasca oil sands project, replicating the Long Lake project.
• Began commercial development of coalbed methane in the Upper Mannville Coals in Canada.
• Encountered exploration success in the deep-water Gulf of Mexico at Knotty Head, the deepest oil discovery ever drilled in the Gulf.
• Drilled successful appraisal wells at Usan, Offshore Nigeria and submitted a development plan to Nigerian government agencies for approval.
• Added 82 million barrels of proved reserves, replacing 91% of our production. We anticipate more reserves to come as we complete development projects, delineate discoveries and sanction new development projects.
• Grew shareholder value by $8 billion with the 7th best performing stock on the S&P TSX Composite Index.
• Included on the Dow Jones Sustainability Index for the fifth year in a row.

2004

• Grew cash flow 8% to a record $1.9 billion; achieved net income of $793 million.
• Sanctioned commercial development of our Long Lake project in the Athabasca oil sands at a cost to us of $1.7 billion.
• Entered the UK North Sea with US$2.1 billion acquisition, including the world-class Buzzard field development and the producing Scott and Telford fields.
• Brought production for Block 51 in Yemen on stream earlier than planned.
• Had another significant discovery on OPL-222, offshore Nigeria. This westerly extension of Usan was also appraised by a second well.

2003

• Grew cash flow 37% to a record $1.8 billion; achieved net income of $578 million.
• Brought second deep-water project, Gunnison, on stream in the Gulf of Mexico.
• Acquired the remaining 40% of our deep-water Aspen project, operating our first deep-water project.
• Began development of Block 51 in Yemen with expectations of between 20,000 and 25,000 barrels per day from the Baishir al Khair field by 2005.
• Continued appraising our offshore Nigeria discoveries containing a commercial resource estimated to be at least 300 million barrels.
• Obtained commercial approval for the Long Lake Synthetic Crude pilot project with plans to start producing 60,000 barrels per day by 2006.
• Received encouraging results from our coalbed methane project in northeastern Alberta.

2002

• Brought first deep-water project in the Gulf of Mexico, Aspen, on stream in December, just 19 months after the initial discovery, producing 16,000 barrels per day net to Nexen.
• Began pilot project in northeastern Alberta at Long Lake to test whether steam-assisted-gravity-drainage can successfully extract bitumen for upgrading.
• Continued acquiring acreage to build a resource base of more than four billion barrels of recoverable bitumen across Alberta.
• Built a one million-barrel storage tank at our marine facility in Yemen. There are less than 100 tanks this size worldwide.
• Drilled 74 new development wells at our Masila project in Yemen to maintain production at 226,900 barrels per day.
• Began commercial development of our Guando discovery in Colombia.
• Started coalbed methane pilot project in northeast Alberta to extract natural gas from underground coal beds.

2001

• Achieved record production averaging 268,000 boe per day for the year.
• Made two new discoveries, Aspen and Durango, in the deep-water Gulf of Mexico.
• Began a joint-venture project with OPTI Canada Ltd. to use steam-assisted-gravity-drainage to extract bitumen and upgrade it using OPTI’s licensed field upgrader technology.
• Participated in approving the Stage 3 expansion at Syncrude’s, estimated to increase Nexen’s share (7.23%) of production by 8,000 bbls/d by mid 2006.
• Recognized as one of the top 50 companies to work for in Canada by Report on Business magazine.
• Added to the Dow Jones Sustainability World Index, a benchmark for companies committed to sustainable business practices.

2000

• Successfully separated from our largest shareholder, Occidental Petroleum Corporation, ending a 30-year relationship.
• Changed our name from Canadian Occidental Petroleum Limited to Nexen Inc.
• Achieved record earnings of $602 million ($4.52 per share), up 500% from 1999.
• Doubled cash flow from operations $1.6 billion ($12.01 per share).
• Made two major discoveries at Gunnison in the deep-water Gulf of Mexico, and at Guando in Colombia.
• Began operations at Hay, one of Nexen’s biggest discoveries in Canada, on the northeast border of B.C.
• Began a gas capturing project at our Canadian facilities to gather and sell gas that was previously vented to the environment.
• Acquired the remaining 50% ownership of the Buffalo field offshore northwest Australia, becoming the sole owner and operator.