Straight Ahead to ValueSegment presentation Oil & Gas

Dr. Rainer SeeleChairman of the Board of Directors of WintershallLondon, December 9, 2010

22

1 | Oil & Gas in the BASF portfolio

2 | Exploration and Production

3 | Natural Gas Trading

4 | Outlook

3

Chemical Activities

Agricultural Solutions

Oil & GasPerformance

Products 19%

Functional Solutions

15%

Plastics 16%

16%

7%

Chemicals 18%

Oil & Gas – one of BASF’s core activities

Q1-Q3 2010 total sales: €47 billionincluding ”Other” (9%)

4

Oil & Gas

Oil & Gas business provides significant advantages for BASF

Long term security of gas supply

Significant cash flow

and sustainable profitability

Hydrocarbonhedge

Joint R&D for EOR

(enhanced oil recovery)

5

Natural Gas TradingExploration and Production

Key drivers of profitability

• Successful exploration, acquisitions and farm-ins

• Profit sharing of E&P contracts with host countries

• Selective technology development and deployment

• Synergy potential with downstream gas activities

• Oil and gas price

• Cost development

• Well established relationships with German and European customers

• Long term access to – gas reserves– transport capacity– storage capacity

• Superior security of supply• Spot market opportunities• Price volatility and time lag effects• Weather conditions

6

Exploration & Production• 5.6% CAGR 2002-2009• Gas share increased

to 63% in 2009• In 2010 production level will

almost be maintained despite OPEC production restriction in Libya

Gas Trading• 7.2% CAGR 2002-2009• Decline in 2009 as a result of

the challenging economic climate

• In 2010 gradual recovery of gas sales

Oil & Gas – E&P and Natural Gas Trading

010203040

2002

2003

2004

2005

2006

2007

2008

2009

Q1-Q3/2

010

Gas Trading (including sales to BASF) in billion m³

24 29 30 33 35 37

Wholesale (WIEH, WIEE)

WINGAS

0

40

80

120

2002

2003

2004

2005

2006

2007

2008

2009

Q1-Q3/2

010

93109 112 111 112

Oil

Gas

130

42

104136

39

Production in million boe*

* Libya onshore 100%; excluding Achimgaz

98

31

7

Sales• 15% CAGR 2002-2009• Lower sales in 2009 due to a

decline in natural gas prices and lower crude oil production

• In Q1-Q3/2010 sales reduction because gas prices in natural gas trading further decreased

EBIT• 10% CAGR 2002-2009• EBIT in E&P in 2009

declined mainly as a result of lower prices

• In Q1-Q3/2010 EBIT slightly reduced since higher oil price can not compensate drop in gas price

Oil & Gas – Sales and EBIT

E&P

Gas trading

E&P

Gas trading

Sales in billion €

EBIT in billion €

0369

1215

2002

2003

2004

2005

2006

2007

2008

2009

Q1-Q3/2

010

E&P4.2 4.8 5.3

7.710.7 10.5

01234

2002

2003

2004

2005

2006

2007

2008

2009

Q1-Q3/2

010

1.2 1.4 1.62.4

3.3 3.0

14.5

3.8

11.4

2.3

7.8

1.7

88

1 | Oil & Gas in the BASF portfolio

2 | Exploration and Production

3 | Natural Gas Trading

4 | Outlook

9

Operating Company (OPCO)

Core region

Production and / or Exploration

Russia

Northern Africa Caspian Sea

Europe

South America

Middle East

Exploration and ProductionActivities in core regions

10

Exploration and ProductionSuccess through focus

Wintershall is the starting point of a world-class hydrocarbon value chain called BASF

• #1 German E&P company, #11 in Europe, #58 worldwide*

• 75 years of E&P experience on- / offshore

• Experience in Enhanced Oil Recovery (EOR)since the mid 60’s

• Unique partnership with Gazprom

• Up- / midstream integration basis for“Gas for Europe” strategy

• Selective technology development

• World class operational excellence

* Source: Energy Intelligence 2010

11

Exploration and ProductionWintershall competitive position

Production growth [% p.a.]

Production costs [$/boe] Return on capital [% p.a.]**

Finding & Development costs [$/boe] F&D/Production [$/boe]

Reserve replacement [%] Reserve/Production ratio [yrs.]

Source: Herold, SEC, own calculation

* Benchmark Group (upstream only): Amerada Hess, Apache, BP, ExxonMobil, Marathon, Occidental, Shell, Talisman, Total, Woodside** EBIT / average total assets, Wintershall adjusted by non compensable taxes

Five year average 2005 – 2009 Wintershall Group Average* Group Range

13.7 50.727.1

-2.4 9.2

4.5 14.910.9

9.0 95.527.8

40.219.2

163

12.19.2

5.6

83 194

9.2 16.1

4.5

29.2

9.5

5.6

137

5.02.2

12

• Maintain geographic focus, core region concept

• Ensure adequate reserve base– Increase greenfield exploration,

continue near field exploration – Acquisitions

• Innovation: Evolve from smart follower to one of the leaders in selected technologies exploiting BASF know-how

• Continue production growth into next decade– Short term focus on Russian gas projects– Develop production from discoveries

in Norway and the UK– 2015 overall production target:

150+ million boe/a

Exploration and ProductionStrategy

13

Reduce explorationrisk

Advanced 3D seismicinterpretations

Improve oil and gasrecovery

Chemical EOR Steam flooding

Optimized development of

complex reservoirs

Tight gasMulti frac technology

Exploration and ProductionSelective technology development

14

Exploration and ProductionExploration & development update

Russia• Yuzhno Russkoye• Achimgaz

Qatar• Operator block 3 and 4N

Operating Company (OPCO)

Core region

black

blue

Current Activities

Exploration

Development

Norway• Appraisal: Luno;

Exploration: Grosbeak, Catcher (UK), Maria, Blakeney (UK), Cladhan (UK) and Beta findings

Southern North Sea• Wingate (UK)• Ravn (DK)

Germany• Mittelplate: Dogger beta

central

Mauritania• Taoudeni 2D Seismic

Libya• Operator license 201 Kufra• C97 water injection• Infill drilling As Sarah Phase 6

Argentina• Aguada Pichana

Tight Gas

15

• Five new discoveries in the British and Norwegian North Sea

• One discovery in the Norwegian Sea (Maria)

• Wintershall participates in 6 of the 12 largest discoveries since 2005

• Wintershall is operator at Blakeney, Grosbeak and Maria

• Appraisal and development concepts in preparation

• Total regional production target 2015: 50.000 boe/day

Recent discoveries in the North Sea and Norwegian Sea

BETA (15%, oil)

GROSBEAK (20%, oil & gas, operated)

CATCHER (20%, oil)

BLAKENEY (65%, heavy oil, operated)

CLADHAN (34%, oil)

MARIA (25%, oil & gas, operated)

UK NOR

16

Oil & Gas – Partnership with Gazprom

YuzhnoRusskoye

Achimgaz Nord Stream WINGAS

Transport, Storage& TradingExploration & Production

50%50% 51% (40%*)25-1% (35%*) 51%15.5% 50-1%50+1%

* Economic interest

17

Plateau production at Yuzhno Russkoye gas field

Yuzhno Russkoye• Start of production

ahead of schedule in October 2007

• Accelerated ramp up and earlier plateau phase reached mid 2009 on a daily basis

• Production 2009: 22.5 billion m³* (100%)

• Production 2010 at plateau level of 25 billion m³* (100%)

• All 142 production wells are in operation

* Russian Standard Conditions

Forecast 2006Current schedule

Production in billion m³* (100%)

0

5

10

15

20

25

2007 2008 2009 2010 2011

Plateau production

18

Solid ramp up of Achimgaz projects

• Production joint venture with Gazprom

• Gazprom and Wintershall bundle technical expertise for development of complex reservoirs

• 6 wells of pilot phase drilled and completed

• Production tests confirm expectations

• Production 2009: 430,000 tons of condensate and around one billion cubic meters of natural gas

• Start of full field development in 2012

• Plateau production of up to 8 billion m³/a in 2018

19

Reserves distribution end 2009Reserves development

Exploration and ProductionReserves*

* According to SEC guideline without Achimgaz** Libyan concessions C96 / C97 at 51%

14%53%

22%9% 2%

Europe (w/o Germany)

Argentina

Libya**

Russia

GermanySEC Reserves (million boe) No consideration of Achimgaz reserves

R/P (years)

0

250

500

750

1000

1250

1500

2002 2003 2004 2005 2006 2007 2008 20090 yrs

5 yrs

10 yrs

Oil Gas

1,132

976 978 924 871 814

1,149

1,500

1,250

1,000

Total proven reserves: 1,136 million boe

1,136

2020

1 | Oil & Gas in the BASF portfolio

2 | Exploration and Production

3 | Natural Gas Trading

4 | Outlook

21

Sales developmentCore Regions

Natural Gas Trading Activities in Europe

* WIEE

F

UKDK

RO*

BUL*

BCZAU

DNL

0

10

20

30

40

50

2005 2010 E 2015 E

Gas Trading (including sales to BASF) in billion m³ p.a.

33

Wholesale (WIEH, WIEE)

WINGAS

40~ 45

22

Natural Gas Trading Well positioned in a liberalizing market

• WINGAS # 3 in German market, expanding into Europe

• Excellence in gas distribution, trading, transport and storage

• Strategic partnership with Gazprom through successful joint ventures (WINGAS, WIEH, WIEE)*

• Large long term supply contracts beyond 2030• Access to modern and expanding infrastructure

– Well structured pipeline system in NW Europe

– Largest gas storage facility in West Europe (Rehden)

• Direct connections to European gas hubs

* WINGAS: 50+1% BASF / 50-1% Gazprom; WIEH and WIEE 50/50 each.

23

Natural Gas TradingWINGAS competitive position

Gas sales growth [% p.a.]

Sales per employee [million €/employee] EBIT per employee [million €/employee]

Return on capital [% p.a.]** Return on sales [% p.a.]

-8.6 9.6

7.16.3

9.6

6.2 20.5

0.39 1.2

1.8 20.5

0.12 1.2

6.3 13

3.7 9.8

WINGAS Group average* Group Range

Source: Annual Reports, own calculation

* Peer Group: E.ON Ruhrgas, Verbundnetz Gas AG, Centrica, ** (Income before tax + interest on borrowed capital) / average total assets

-2.7

10.7 12.9

Five year average 2005 – 2009

24

• WINGAS offers long-term security of supply

• Diversified portfolio: competitive advantage through optimisation of short and long term supply

• Innovative sales strategies:– Gas for Europe– Optimization of customer portfolio:

Move closer to end user– Focus on storage related products:

Value before volume• Value creation through access to storage and

pipeline infrastructure

• Industry leader in cost efficiency

• Strengthen partnership with Gazprom through the whole value chain

Natural Gas TradingWINGAS strategy

25

Natural Gas TradingWINGAS turntable for Russian gas

• Decreasing indigenous production (e.g. North Sea)

• Increasing demand• Growing import and

storage needs• Increasing share of

Russian importsEurope needs gas and flexibility

25

14

2

3

5

INTERCONNECTORJAMALNET4GASBBLNORD STREAM (incl. OPAL and NEL)Gas storageWINGAS TRANSPORT- pipeline systemNord Stream (incl. OPAL and NEL) under construction

1

2

3

4

5

Imports

Local production

EU 27in billion m³

2009 2020

550-590

520

~ 37% ~ 20%

~ 80%~ 63%

26

Offshore:• 55 bn m³/a capacity via two 1,220 km subsea

pipelines*• All approvals received since February 2010• First gas to be delivered in October 2011• JV between Gazprom 51%, BASF** and E.ON**

15.5% each, Gasunie** and GDF SUEZ** 9% each

Onshore:• System expansion: OPAL (2011), NEL (2012)• Increased transportation capacity to NL, B, F, (UK)

through system upgrade incl. storage• Germany as distribution hub for Europe

Total investment €2.3 billion (BASF-share)***

Nord Stream Major project for European supply

* Nord Stream estimates project budget for the offshore part at €7.4 billion ** indirect through subsidiary companies*** thereof €1.15 billion offshore, €1.15 billion onshore incl. Farm Out of 19% NEL to Fluxys

27

Natural Gas Trading Diversified supply portfolio

short-/mid-term (1-4y)

long-term West (>4y)long-term Russian supplies (2035)„Nord Stream“long-term Russian supplies (2030)

WINGAS sales

Supply

• Portfolio of long-term supply contracts from different sources

• Active at different spot markets in NW Europe

• Logistical integration of storages, spot markets and long term supplies

Diversification,optimized logistics,providing flexibility and security of supply

Sales

• >70% of sales volumes already contracted at least until 2012

WINGAS supply portfolio*in billion m³ p.a.

Spot price (NBP)German border price

Long term vs. spot price in ct/kWh

0

1

2

3

4

5

Jan00

Jan02

Jan04

Jan06

Jan08

Jan10

0

10

20

30

40

1995 2000 2005 2010 2015

* Annual Contracted Quantity, effective volumes could be lower and compensated by spot volumes

28

Competitive advantage through storage portfolio

• Different markets/regions

• Different storage characteristics

• Pipeline linkage

Arbitrage potential

Physical portfolio optimization

Security of supply

Integrated sales products for target customer

existingplanned/under construction

With planned expansion to 6.4 billion m³ storage volume WINGAS # 3 in NW Europe

Natural Gas Trading Competitive storage portfolio

* Capacity 50% WINGAS, 50% Gazprom** Capacity 5/6 WINGAS, 1/6 VNG*** Capacity 1/3 WINGAS, 1/3 RAG,

1/3 Gazprom28

Jemgum**(2012: 1.2 bn m³)

Haidach***(2007: 1.2 bn m³) (2011: 2.4 bn m³)

Saltfleetby*(>2012: 0.8 bn m³)

Rehden (1993: 4.2 bn m³)

2929

1 | Oil & Gas in the BASF portfolio

2 | Exploration and Production

3 | Natural Gas Trading

4 | Outlook

30

Oil & Gas Pursuing ambitious growth targets

2009 2010

Crude oil and natural gas production of 136 million barrel oil equivalent

Slightly lower crude oil and natural gas production with appr. 133 million barrel oil equivalent expected

Natural gas sales of 39 billion cubic meters

Increase of natural gas salesto 40 billion cubic meters expected

Net income Oil & Gas: €712 million*

Net income Oil & Gas: Increase compared to previous year expected

2004 – 2009 2010 – 2015

Investments 2004-2009: €4 billion**

Investments 2010-2015:Gas trading capex: ~€3 billion***E&P capex: >€3 billionE&P exploration expenses: >€1 bn

*** incl. Nord Stream Offshore* Brent average 2009 of $/bbl 61.67, $/€ 1.39** Excl. asset swap with Gazprom;

incl. acquisition of REVUS Energy ASA

31

Forward-looking statements

This presentation includes forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realized from the proposals described herein. This presentation contains a number of forward-looking statements including, in particular, statements about future events, future financial performance, plans, strategies, expectations, prospects, competitive environment, regulation and supply and demand. BASF has based these forward-looking statements on its views with respect to future events and financial performance. Actual financial performance of the entities described herein could differ materially from that projected in the forward-looking statements due to the inherent uncertainty of estimates, forecasts and projections, and financial performance may be better or worse than anticipated. Given these uncertainties, readers should not put undue reliance on any forward-looking statements.

Forward-looking statements represent estimates and assumptions only as of the date that they were made. The information contained in this presentation is subject to change without notice and BASF does not undertake any duty to update the forward-looking statements, and the estimates and assumptions associated with them, except to the extent required by applicable laws and regulations.

3232

33

-49% of after tax income

50%

15.5%

100% 100%

LibyaConcession

96 & 97Achimgaz WINGAS Nord Stream

offshore

100%

Projects with Gazprom Impact on BASF’s P&L structure

Dividends

Oil & Gas EBIT

Financial results (equity method)

= Income before taxes and minority interests

./. Income taxes (incl. n.c. taxes in Libya)

= Income before minority interests

./. Minority interests

= Net income

Yuzhno RusskoyeSNG Gas Mktg C.

-50% of after tax income

34

• BBL Balgzand Bacton Line

• E&P Exploration and Production

• EOR Enhanced Oil Recovery (technology)

• ERM Erdölraffinerie Mannheim-Pipeline

• F&D costs Finding and Development costs

• Frontier exploration Exploration activities in unknown basins, structures

• Greenfield exploration Exploration activities in known basins with proven hydrocarbons in unexplored / undeveloped structures

• GUP Gas Utilization Plant

• HSE Health Safety Environment

• IOC International Oil Company

• JAGAL Jamal-Gas-Anbindungs-Leitung

• LNG Liquified Natural Gas

• LPG Liquified Petroleum Gas

• MIDAL Mitte-Deutschland-Anbindungs-Leitung

Glossary (A-M)

35

Glossary (N-R)

• NBP National Balancing Point

• Nearfield exploration Exploration activities within the vicinity of developed oil /gas fields

• NEGP North European Gas Pipeline, former project name of Nord Stream

• NEL Nordeuropäische Erdgas-Leitung

• NOC National Oil Company / Corporation

• OPAL Ostsee-Pipeline-Anbindungs-Leitung

• OPCO Operating Company

• OPEC Organization of the Petroleum Exporting Countries

• OPEX Operating Expenditures

• PEG Point d’ Echange de Gaz

• PSA Production Sharing Agreement

• RAG Rohöl-Aufsuchungs Aktiengesellschaft (Austria)

• RHG Rehden-Hamburg-Gasleitung

• R/P Proven reserves divided by annual production (years)

36

Glossary (S-Z)

• SEC Securities and Exchange Commission

• SEL Süddeutsche-Erdgas-Leitung

• SNG Severneftegazprom

• SPEAD Special Professional Experts Accelerated Development Program

• STEGAL Sachsen-Thüringen-ErdGas-Leitung

• TTF Title Transfer Facility

• VNG Verbundnetz Gas AG

• WEDAL West-Deutschland-Anbindungs-Leitung

• WIAG Wintershall Aktiengesellschaft

• WIAR Wintershall Argentina

• WIEE Wintershall Erdgas Handelshaus Zug AG

• WIEH Wintershall Erdgas Handelshaus

• WINO Wintershall Norway

• ZBH Zeebrugge Bunde Hub

37

Measuring units & Conversion factors

• bbl barrel

• bcm billion cubic meter

• boe barrel oil equivalent

• kWh kilo Watt hours

• bscf billion standard cubic feet

• toe tons oil equivalent

• Btu British thermal unit

• 1 bbl = 159 liter

• 1 bscf = about 0.17 million boe

• 1 m³ at 0°C (nomal cubic meter) = 37.3 scf (at 60°F) at 20°C (Russian standard) = 34.8 scf (at 60°F)

• 1 toe = about 7.6 boe

• 1 therm = 29.3 kWh

• 1 Btu = 100,000 therms

• 1 mBtu = about 1.07 scf