2010 Second Quarter N Half Yr Results

BG Group plc
2010 SECOND QUARTER & HALF YEAR RESULTS
Second Quarter Business Performance Highlights

Earnings per share of 26.6 cents, up 19% year-on-year
Cash generated by operations of $2 323 million, up 57% year-on-year
Interim dividend of 9.82 cents per share (6.35 pence per share)
Tupi Alto, seventh consecutive successful well on the Tupi accumulation
QCLNG received state environmental approval, federal approval expected later this year
Total US shale gas net reserves and resources increased to over 1.3 billion boe
BG Group’s Chief Executive, Frank Chapman said:

“These are good results, accompanied by continued progress with the delivery of our growth plans.
We had further appraisal success in the Santos Basin, offshore Brazil, and production from our first
permanent production facility on Tupi is expected later this year. In Australia, our total reserves
and resources are now 2.9 billion boe, and we remain on track to sanction the QCLNG project
later this year. We have substantially increased our total US shale gas reserves and resources to
over 1.3 billion boe.”
Second Quarter Half Year

2010 2009(b) (a) 2010 2009(b)
$m $m Business Performance $m $m
Total operating profit including share of pre-tax

1 532 1 448 +6% operating results from joint ventures and associates 3 527 3 272 +8%
899 754 +19% Earnings for the period 2 019 1 742 +16%
26.6c 22.4c +19% Earnings per share 59.8c 51.9c +15%
9.82c 9.20c +7% Interim dividend per share 9.82c 9.20c +7%
Total results for the period (including disposals,

re-measurements and impairments)
Operating profit before share of results from joint
914 1 341 -32% ventures and associates 2 541 3 080 -18%
Total operating profit including share of pre-tax
1 048 1 468 -29% operating results from joint ventures and associates 2 806 3 336 -16%
602 761 -21% Earnings for the period 1 562 1 769 -12%
17.8c 22.7c -22% Earnings per share 46.2c 52.7c -12%
a) ‘Business Performance’ excludes disposals, certain re-measurements and impairments as exclusion of these items provides a clear and consistent
presentation of the underlying operating performance of the Group’s ongoing business. During the second quarter, total results included a net
pre-tax charge of $41 million on the disposal/impairment of certain assets (pre-tax charge of $418 million for the half year). Total results for the
second quarter also included a pre-tax charge of $443 million in relation to mark-to-market movements on long-term commodity contracts and
economic hedges (pre-tax charge of $303 million for the half year). For further information see Presentation of Non-GAAP measures (page 13)
and notes 1 to 3 (pages 21 to 25). Unless otherwise stated, the results discussed in this release relate to BG Group's Business Performance.
b) 2009 results have been restated from Pounds Sterling to US Dollars (see note 1, page 21).
BG Group plc – 2010 Second Quarter & Half Year Results 1

BG Group plc
Business Review – Group

2010 2009 2010 2009
(a)
4 127 3 489 +18% Revenue and other operating income 8 774 7 939 +11%
Total operating profit including share of pre-tax results

from joint ventures and associates
746 728 +2% Exploration and Production 1 938 1 562 +24%
540 465 +16% Liquefied Natural Gas 1 173 1 292 -9%
174 189 -8% Transmission and Distribution 299 304 -2%
42 74 -43% Power Generation 97 109 -11%
30 (8) – Other activities 20 5 +300%
1 532 1 448 +6% 3 527 3 272 +8%
19 (60) – Net finance income/(costs) 1 (127) –

(616) (591) +4% Taxation for the period (1 447) (1 337) +8%
899 754 +19% Earnings for the period 2 019 1 742 +16%
26.6c 22.4c +19% Earnings per share (cents) 59.8c 51.9c +15%
2 770 1 761 +57% Capital investment 4 671 3 633 +29%

a) 2009 comparatives have been restated on the application of IFRIC 12. See note 1 (page 21).
Second quarter
Revenue and other operating income increased by 18% to $4 127 million, principally reflecting higher commodity prices
in the E&P and LNG segments.
Total operating profit increased by 6% to $1 532 million, reflecting the growth in revenue and other operating income,
partially offset by a higher exploration charge in the quarter.
Cash generated by operations increased by 57% to $2 323 million reflecting the increase in operating profit and lower
levels of working capital.
Net finance income of $19 million for the quarter (2009 $60 million costs) included foreign exchange gains of
$71 million (2009 $8 million gain). As at 30 June 2010, net debt was $5 047 million and the gearing ratio of the
Group was 17%.
Capital investment (including acquisitions of $1 233 million) in the quarter was $2 770 million and comprised investment
in E&P ($2 433 million), LNG ($254 million), T&D ($57 million) and Power ($26 million).
Half year
Revenue and other operating income of $8 774 million was 11% higher, reflecting generally higher commodity prices.
Total operating profit of $3 527 million was 8% higher as a result of the increase in revenue and other operating
income, partially offset by lower realisations in the LNG segment.
Cash generated by operations increased by 39% to $4 831 million.
Net finance income of $1 million (2009 $127 million costs) included foreign exchange gains of $122 million
(2009 $2 million loss).
The Group’s effective tax rate (including BG Group’s share of joint venture and associates’ tax) for the full year is
expected to be 41%. The current quarter’s tax charge includes an adjustment to reflect this tax rate for the first six
months of the year.
Capital investment in the half year (including acquisitions of $1 233 million) was $4 671 million and comprised
investment in E&P ($3 463 million), LNG ($1 053 million), T&D ($109 million) and Power ($46 million).
BG Group plc
The Board has approved the payment of an interim dividend of 9.82 cents per share. This is half of the 2009 total
dividend, in accordance with the Board’s usual policy. Following the change of reporting currency with effect from the
first quarter of this year, this interim dividend for 2010 has been based on 19.63 cents as the US Dollar equivalent of
the 2009 total Sterling dividend. The interim dividend has been converted to Sterling at the average of the closing
exchange rate for the three business days preceding this announcement and will be paid on 10 September 2010 as
6.35 pence per share to shareholders on the register as at 6 August 2010.
Disposals, re-measurements and impairments

A post-tax charge of $297 million was recorded in the quarter in respect of disposals, re-measurements and
impairments. For further information, see note 2 (page 22).

BG Group plc
Exploration and Production (E&P)

2010 2009 2010 2009
57.3 58.5 -2% Production volumes (mmboe) 118.6 116.4 +2%
2 059 1 732 +19% Revenue and other operating income 4 353 3 562 +22%
1 112 928 +20% Total operating profit before exploration charge 2 408 2 014 +20%
(366) (200) +83% Exploration charge (470) (452) +4%
746 728 +2% Total operating profit 1 938 1 562 +24%
2 433 1 347 +81% Capital investment 3 463 3 023 +15%

Additional operating and financial data is given on page 30.
Second quarter
Revenue and other operating income of $2 059 million was 19% higher, reflecting higher realised oil, liquids and
international gas prices, partially offset by lower realised gas prices in the UK and a 2% fall in production volumes.
Total operating profit increased by 2% to $746 million as a result of the increase in revenue and other operating
income, partially offset by a higher exploration charge, including the write-off of the Mandarin well in Norway
($255 million).
Lower production volumes in the quarter reflect the extent and phasing of planned work-over and maintenance activity,
partially offset by higher production from the USA and from Hasdrubal in Tunisia. BG Group continues to expect slight
production growth for the full year.
International gas realisations were 35% higher at 33.35 cents per produced therm, reflecting gas prices linked to higher
oil and Henry Hub market prices. The average realised gas price in the UK fell by 17% to 29.97 pence per produced
therm as a result of lower contract prices.
The exploration charge of $366 million is $166 million higher as a result of higher well write-off costs.
Unit operating expenditure increased to $7.77 per barrel of oil equivalent, reflecting the impact of higher commodity
prices and the phasing of maintenance activity.
Capital investment of $2 433 million in the quarter comprised investment in the Americas ($1 669 million, including
$1 233 million on acquisitions in the USA as part of our alliance with EXCO Resources, Inc.), Africa, Middle East and
Asia ($297 million), Europe and Central Asia ($293 million) and Australia ($174 million).
Half year
Revenue and other operating income increased by 22% to $4 353 million as a result of a 2% increase in production
volumes and higher oil, liquids and international gas prices, partially offset by lower realised UK gas prices. Total
operating profit increased by 24% to $1 938 million, reflecting the increase in revenue and other operating income.
The average realised international gas price increased by 9% to 32.99 cents per produced therm as a result of gas
prices linked to higher oil and Henry Hub market prices. The average realised gas price in the UK fell by 28% to
36.15 pence per produced therm as a result of lower contract prices.
Unit operating expenditure increased to $7.35 per barrel of oil equivalent, reflecting the phasing of maintenance activity,
the impact of higher commodity prices and changes in the production mix.
Capital investment of $3 463 million in the half year comprised investment in the Americas ($2 070 million, including
$1 233 million on acquisitions in the USA as part of our alliance with EXCO Resources, Inc.), Europe and Central Asia
($564 million), Africa, Middle East and Asia ($540 million) and Australia ($289 million).

BG Group plc
Second quarter business highlights

Brazil
In June, BG Group confirmed the success of a new well known as Tupi Alto in BM-S-11 (BG Group 25%) in the
Santos Basin, offshore Brazil. This is the seventh consecutive successful well on the Tupi accumulation and confirms
the extended presence of light oil.
Oman
In June, BG Group informed the government of the Sultanate of Oman of its decision to relinquish its 100% interest
in Block 60, onshore Oman. Although BG Group maintained a highly collaborative relationship with the Omani
government and delivered a successful appraisal programme on Abu Butabul, the decision to end its activity in
Oman was based upon the desire to focus on other commercial priorities within the Group’s global portfolio.
Tanzania
In June, BG Group completed a farm-in to blocks 1, 3 and 4, offshore southern Tanzania, a prospective new
hydrocarbon play with significant resource potential. BG Group acquired 60% of Ophir Energy plc’s interests in each of
the offshore blocks. The three blocks cover more than 27 000 square kilometres of the Mafia Deep Offshore Basin and
the northern portion of the Ruvuma Basin. Exploration drilling is planned to commence before the end of 2010.
UK/Norway
In June, the Plan for Development and Operation for the Gaupe field (formerly Pi) was approved. Gaupe is an oil
and gas field situated south of the Varg field and close to the Norway and UK median line in the North Sea. Gaupe
will be a two-well subsea tie-back to the Armada field on the UK Continental Shelf. Gross recoverable reserves on
Gaupe are estimated at around 30 mmboe. Gaupe will be the first BG Group field to come onstream in the
Norwegian Continental Shelf and is due onstream by 2012.
USA
In May, BG Group announced that it had entered into further joint venture agreements with EXCO Resources, Inc.
(EXCO) focused on assets in the Appalachian Basin, located primarily in Pennsylvania and West Virginia. In June,
BG Group closed this transaction acquiring a 50% interest in a total of 654 000 net acres in the Appalachian Basin,
including approximately 5 900 producing wells and 2 100 miles of supporting infrastructure. BG Group paid a total
consideration of $835 million, plus $150 million drilling carry, equating to an estimated unit resource cost of $0.40 per
thousand cubic feet. The new joint venture extends the Group’s successful alliance with EXCO and further strengthens
BG Group’s unconventional gas portfolio, adding substantial resources adjacent to the premium gas markets of the US
eastern seaboard.
In June, BG Group acquired additional properties prospective for the Haynesville and Bossier shales via its alliance
with EXCO for a consideration of approximately $178 million. The properties include producing assets, gathering lines
and acreage in Shelby, San Augustine and Nacogdoches Counties, Texas. Much of the interest acquired is
incremental to the producing assets, gathering lines and acreage acquired by BG Group and EXCO through the
acquisition of Common Resources, L.L.C., which closed in May.
These transactions provide critical mass to BG Group’s US upstream gas business, with total reserves and resources
presently estimated at over 1.3 billion boe.

BG Group plc
Liquefied Natural Gas (LNG)

2010 2009 2010 2009
1 472 1 130 +30% Revenue and other operating income 3 155 3 173 -1%
Total operating profit

478 412 +16% Shipping and marketing 1 063 1 187 -10%
81 80 +1% Liquefaction 164 168 -2%
(19) (27) -30% Business development and other (54) (63) -14%
540 465 +16% 1 173 1 292 -9%
254 349 -27% Capital investment 1 053 498 +111%

Additional operating and financial data is given on page 30.
Second quarter
LNG total operating profit for the quarter increased by 16% to $540 million.
Shipping and marketing total operating profit of $478 million was 16% higher, reflecting higher realised prices.
BG Group’s share of operating profit from liquefaction activities of $81 million was in line with 2009.
Capital investment of $254 million in the quarter included $143 million in Australia and $90 million relating to LNG ships.
Half year
LNG total operating profit was 9% lower at $1 173 million. Shipping and marketing total operating profit was 10% lower
at $1 063 million, reflecting lower realisations.
The Group’s share of total operating profit from liquefaction activities of $164 million was in line with 2009.
Capital investment of $1 053 million in the half year included $492 million arising on recognition of a finance lease
under IAS 17, following the commissioning of a natural gas liquids-stripping facility at Lake Charles in the USA,
$276 million relating to LNG ships and $257 million in Australia.

Australia
In June, BG Group received environmental approval from the Queensland state government for the Queensland
Curtis LNG project. The approval follows review of the project’s Environmental Impact Statement by the Queensland
Coordinator-General. The Federal environmental approval process is ongoing. The project is making good progress
and remains on track for sanction later this year.

BG Group plc
Transmission and Distribution (T&D)

2010 2009 2010 2009
(a)
Revenue and other operating income
561 482 +16% Comgás 1 080 905 +19%
97 74 +31% Other 192 140 +37%
658 556 +18% 1 272 1 045 +22%

144 171 -16% Comgás 244 271 -10%
30 18 +67% Other 55 33 +67%
174 189 -8% 299 304 -2%
57 53 +8% Capital investment 109 95 +15%

a) 2009 comparatives have been restated on the application of IFRIC 12. See note 1 (page 21).
Second quarter
Revenue and other operating income increased by 18% to $658 million as a result of higher volumes at Comgás in
Brazil, following a recovery in demand within the industrial and power segments, and at Gujarat Gas in India.
T&D total operating profit for the quarter of $174 million was 8% lower, reflecting the timing effect of gas cost recovery
at Comgás, partially offset by higher volumes.
The net recovery of gas costs at Comgás in the quarter was $28 million compared with $89 million in 2009. At the end
of the quarter, $19 million of net benefit is due to be passed back to customers in future periods. Excluding the timing
effect of gas cost recovery, operating profit at Comgás increased by 41%, reflecting higher volumes and favourable
Brazilian Real foreign exchange movements.
Half year
Revenue and other operating income increased by 22% to $1 272 million, reflecting higher volumes at Comgás and
Gujarat Gas.
T&D total operating profit was $299 million for the half year.
The net recovery of gas costs at Comgás in the half year was $39 million compared with $122 million in 2009.
Excluding the timing effect of gas cost recovery, operating profit at Comgás increased by 38% as a result of higher
volumes and favourable Brazilian Real foreign exchange movements, partially offset by lower unit margins.
Other T&D activities operating profit increased by $22 million to $55 million, reflecting higher volumes and prices at
Gujarat Gas.
Capital investment mainly represents the development of the Comgás pipeline network.

BG Group plc
Power Generation
2010 2009 2010 2009
156 179 -13% Revenue and other operating income 396 383 +3%

45 76 -41% Power Generation 106 115 -8%
(3) (2) +50% Business development and other (9) (6) +50%
42 74 -43% 97 109 -11%
26 12 +117% Capital investment 46 17 +171%
Second quarter and half year

Total operating profit fell by $32 million to $42 million in the quarter and by $12 million to $97 million in the half year.
This reflected the disposal during the quarter of the Group’s interest in Seabank Power Limited in the UK and the
Group’s power plants in the USA, together with the phasing of gas costs at BG Italia Power.

UK
In July, BG Group signed a Share Sale Agreement for the sale of Premier Power Limited, a wholly owned subsidiary of
BG Group, for a total consideration of £99 million (approximately $150 million). Closing of the transaction is subject to
receiving the customary regulatory approvals and is expected in second half 2010.

BG Group plc
Principal Risks and Uncertainties

BG Group’s business, results and financial condition could be affected by a broad range of risks and uncertainties. The principal risks
and uncertainties for the remaining six months of the financial year are unchanged from those stated on pages 31 to 33 of the
BG Group 2009 Annual Report and Accounts (ARA), a summary description of which is provided below. This summary description
is not intended, and should not be used, as a substitute for reading the appropriate pages of the ARA. This section forms part of the
interim management review for the purposes of the Disclosure and Transparency Rules made by the UK Financial Services Authority.
Commodity prices
BG Group’s cash flows and profitability are sensitive to natural gas, crude oil and LNG prices (and related price spreads) which
are dependent on a number of factors that impact world supply and demand. Group exposure to commodity prices also varies
according to a number of other factors, including the mix of production and sales.
Operational performance
BG Group’s production volumes (and therefore revenues) are dependent on the continued operational performance of
its producing assets which are subject to a number of operational risks including: reduced availability of those assets;
asset integrity and health, safety, security and environment (HSSE) incidents; adverse reserves recovery from the field;
the performance of our contractors or JV partners; and exposure to natural hazards, such as extreme weather events.
Reserves development and project delivery
Delivery of production growth from the portfolio will depend to a significant extent upon successful discovery, appraisal and
development of reserves and successful planning and execution of various development and expansion projects. The Group’s
move into unconventional gas (such as shale and coal seam gas) presents further challenges to successful project delivery.
The Group’s ability to deliver production growth could be affected by a number of factors, including reservoir quality, unexpected
drilling conditions or costs, rig availability or by inadequate human or technical resources. Principal risks prior to sanction include
failure to fully appreciate sub-surface, project schedule and cost uncertainties, possibly leading to poor investment decisions.
Subsequent delivery of projects may be subject to cost and time overruns; HSSE risks; technical, commercial, legal or regulatory
compliance failures; equipment shortages; the availability, competence and capability of human resources and contractors;
unscheduled outages; mechanical and technical difficulties; gas pipeline system constraints; and political factors.
Political context and stakeholder relationships
BG Group needs to work together with governments and national oil companies in order to secure access to new resources
and ensure successful monetisation of both new and existing resources. The Group faces a range of political risks, including
governments altering fiscal terms or taking decisions which have a negative impact on project schedules or costs. The Group will
also be exposed to risk if it does not recognise, and take account of, the interests of the communities in the areas where it operates.
Interest rate and liquidity risk
Financing costs may be affected by interest rate volatility. The Group is also exposed to liquidity risks, including risks associated
with refinancing borrowings as they mature, the availability of borrowing facilities to meet cash requirements and the risk that
financial assets cannot readily be converted to cash without loss of value. Financing risks could have a material impact on the
Group’s cash flow, balance sheet and financial position.
Fluctuations in exchange rates
Group financial results will be affected by exchange rate fluctuations. The Group’s presentation currency, US Dollars, is the
currency in which a significant majority of the Group’s business activity is conducted and in which a substantial proportion of assets
and liabilities are held. The Group also conducts business and holds asset and liability positions in a number of other currencies.
Credit
BG Group’s exposure to credit risk takes the form of a loss that would be recognised if counterparties (including sovereign entities)
failed, or were unable, to meet their payment or performance obligations. These risks may arise in all forms of commercial
agreements and in relation to amounts owed for physical product sales, the use of derivative instruments, and the investment of
surplus cash balances. The Group is also exposed to political and economic risk events that exacerbate country risk, which may
cause non-payment of foreign currency obligations by government or government-owned entities or otherwise impact successful
project delivery.
Health, Safety, Security and Environment (HSSE)
The Group often operates in harsh, remote, environmentally sensitive areas. Producing and managing hydrocarbons presents an
inherent potential for major accidents or incidents and a number of other HSSE risks, including asset integrity failure, leading to a
loss of containment of hydrocarbons and other hazardous materials; natural disasters and pandemics; and breaches of security.
Risks could result in injury or loss of life, damage to the environment or loss of certain facilities, with an associated loss or
deferment of production and revenues.
Climate change
Policies and initiatives at national and international level to address climate change are likely to affect business conditions and
demand for various types of energy in the medium to long term. Worldwide policy and regulatory actions are driving targeted
reductions in greenhouse gas emissions which will in turn influence the future of the energy industry. Policy approaches which
promote the usage of alternative energy sources (such as renewables, biofuels, hydroelectric power and nuclear power) may
have an impact on the Group’s ability to maintain its position in key markets.

BG Group plc
First Quarter Business Highlights

This results announcement also represents BG Group’s half-yearly financial report for the purposes of the Disclosure
and Transparency Rules (DTR) made by the UK Financial Services Authority. In order to comply with the requirements
of the DTR, included in this section (which forms part of the interim management report for the purpose of the DTR) are
the first half business highlights which are not included earlier in this results announcement.
Exploration and Production – first quarter business highlights

Brazil
In March, BG Group announced the completion of a drill stem test on the Tupi North-East well in BM-S-11
(BG Group 25%) in the Santos Basin, offshore Brazil. Potential production from the well is estimated at around
30 000 bopd. BG Group and partners also completed a further successful Tupi appraisal well, situated
12.5 kilometres north of the Tupi discovery well. Further evaluation of the well data is ongoing and work on optimising
field development options continues to advance.
UK/Norway
In the North Sea, BG Group and its partner approved submission of the Field Development Plan for the Gaupe
(formerly Pi) project to the Norwegian Ministry. The Gaupe project will be developed via a tie-back to BG Group’s
existing Armada infrastructure in the UK. Production is due to begin by 2012.
BG Group and partners continue to progress towards first production from the Jasmine field in 2012. In the first four
months of 2010, five of the nine major contracts related to this significant development were awarded, including the
drilling rig and fabrication of the jacket and topsides.
USA
In April, BG Group signed an agreement to purchase Common Resources, L.L.C. (Common) jointly with EXCO
Resources, Inc. (EXCO) for approximately $446 million ($223 million net to BG Group). Common owns producing
assets, gathering lines and acreage in potentially highly productive areas in Shelby, San Augustine and Nacogdoches
Counties, Texas. The assets acquired include seven producing wells and approximately 29 200 net acres prospective
for the Haynesville and Bossier shales. BG Group and EXCO will each acquire 50% of Common, and development of
these assets will be governed by the existing joint venture. The acquisition completed in May. On completion of the
acquisition, BG Group’s total estimated net reserves and resources in the USA amounted to around 5 tcf.

BG Group plc
Liquefied Natural Gas – first quarter business highlights

Australia
In February, BG Group announced it had signed the plant Engineering, Procurement and Construction contracts with
Bechtel companies for the Queensland Curtis LNG (QCLNG) liquefaction plant in Queensland. Under the contracts,
Bechtel has been issued interim notices to proceed with engineering works and the procurement of plant long-lead
items, including compressors and storage tanks. QGC has begun to commit to contracts under plans to procure long-
lead items during first half 2010, valued at more than US$3 billion.
In February, BG Group and Australia Pacific LNG (APLNG) agreed a framework for the development of jointly owned
coal seam gas tenements ATP 648P and ATP 620P. BG Group also entered into conditional gas purchase agreements
with APLNG under which BG Group expects to buy around 190 petajoules (PJ) of gas over an initial period of around
two years from APLNG, reducing thereafter to an average of 25 PJ per annum.
In March, BG Group signed a LNG sales contract with the China National Offshore Oil Corporation (CNOOC)
concluding negotiations announced in May 2009 for the supply of 3.6 mtpa of LNG over a 20-year period. CNOOC will
be supplied with LNG manufactured at the QCLNG facility which is planned to come onstream by 2014. BG Group may
also supply CNOOC from the Group's global LNG portfolio. Additionally, CNOOC will acquire a 5% equity interest in
the reserves and resources of certain BG Group tenements in the Walloons Fairway of the Surat Basin in Queensland.
CNOOC will also become a 10% equity investor in the first of two liquefaction trains which will form the first phase of
the QCLNG development. In addition, BG Group and CNOOC have agreed to participate jointly in a consortium to
construct two LNG ships in China that will be owned by the consortium.
All of these agreements are conditional on relevant approvals and on BG Group making a final investment decision on
QCLNG, expected later this year.
In March, BG Group announced it had signed Heads of Agreement with Tokyo Gas Co., Ltd. (Tokyo Gas), for the
supply of LNG from the Group’s QCLNG project. Tokyo Gas will buy 1.2 mtpa from 2015 which will be supplied from
the QCLNG facility and also from the Group’s global LNG portfolio. Additionally, Tokyo Gas will acquire a 1.25%
interest in the reserves and resources of certain BG Group tenements in the Walloons Fairway of the Surat Basin in
Queensland. Tokyo Gas will also become a 2.5% equity investor in the second of the two liquefaction trains. BG Group
and Tokyo Gas intend to execute fully termed agreements by the end of 2010. These agreements will represent the
first purchase by a Japanese company of LNG from coal seam gas.
Singapore
In March, the Group announced it had agreed long-term contracts for the sale of a total of 1.5 mtpa of regasified
LNG to six power generating companies in Singapore. This is the first tranche of contracts to be confirmed under the
LNG aggregator agreement entered into by BG Group and the Energy Market Authority of Singapore in June 2009.
BG Group has the sole right to supply up to 3 mtpa to the Singaporean market under gas sales agreements with a term
of up to 20 years.
In total, BG Group has now secured up to 9.5 mtpa of long-term LNG sales in Chile, China, Japan and Singapore.
Power Generation – first quarter business highlights

In March, BG Group signed a sale and purchase agreement for the sale of its power plants in the USA for a total
consideration of $450 million. The transaction completed in second quarter 2010.
In April, BG Group signed a sale and purchase agreement for the sale of its 50% interest in Seabank Power Limited
in the UK for a total consideration of £211.7 million (approximately $320 million). The transaction completed in second
quarter 2010.

BG Group plc
Statement of Directors’ responsibilities

The Directors confirm that this condensed set of financial statements for the six months ended 30 June 2010 has
been prepared in accordance with IAS 34 ‘Interim Financial Reporting’, as adopted by the European Union, and
that the interim management report herein includes a fair review of the information required by the Disclosure and
Transparency Rules 4.2.7 and 4.2.8.
The Directors of BG Group plc are listed in the 2009 Annual Report and Accounts.
By order of the Board
_________________
Frank Chapman
Chief Executive
_________________
Ashley Almanza
Chief Financial Officer
Legal Notice
Certain statements included in these results contain forward-looking information concerning BG Group’s strategy,
operations, financial performance or condition, outlook, growth opportunities or circumstances in the countries,
sectors or markets in which BG Group operates. By their nature, forward-looking statements involve uncertainty
because they depend on future circumstances, and relate to events, not all of which are within BG Group’s control or
can be predicted by BG Group. Although BG Group believes that the expectations reflected in such forward-looking
statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Actual
results could differ materially from those set out in the forward-looking statements. For a detailed analysis of the
factors that may affect our business, financial performance or results of operations, we urge you to look at the ‘Risk
Factors’ included in BG Group plc’s Annual Report and Accounts 2009. No part of these results constitutes, or shall
be taken to constitute, an invitation or inducement to invest in BG Group plc or any other entity, and must not be
relied upon in any way in connection with any investment decision. BG Group undertakes no obligation to update any
forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent
legally required.

BG Group plc
Presentation of Non-GAAP measures
Business Performance
‘Business Performance’ excludes disposals, certain re-measurements and impairments (see below) as exclusion
of these items provides a clear and consistent presentation of the underlying operating performance of the Group’s
ongoing business.
BG Group uses commodity instruments to manage price exposures associated with its marketing and optimisation
activity in the UK and USA. This activity enables the Group to take advantage of commodity price movements. It is
considered more appropriate to include both unrealised and realised gains and losses arising from the
mark-to-market of derivatives associated with this activity in ‘Business Performance’.
Disposals, certain re-measurements and impairments
BG Group’s commercial arrangements for marketing gas include the use of long-term gas sales contracts. Whilst
the activity surrounding these contracts involves the physical delivery of gas, certain UK gas sales contracts are
classified as derivatives under the rules of IAS 39 and are required to be measured at fair value at the balance sheet
date. Unrealised gains and losses on these contracts reflect the comparison between current market gas prices and
the actual prices to be realised under the gas sales contract and are disclosed separately as ‘disposals,
re-measurements and impairments’.
BG Group also uses commodity instruments to manage certain price exposures in respect of optimising the timing
and location of its physical gas and LNG sales commitments. These instruments are also required to be measured
at fair value at the balance sheet date under IAS 39 and where practical have been designated as formal hedges.
However, IAS 39 does not always allow the matching of fair values to the economically hedged value of the related
commodity, resulting in unrealised movements in fair value being recorded in the income statement. These
movements in fair value, together with any unrealised gains and losses associated with discontinued hedge
accounting relationships that continue to represent economic hedges, are disclosed separately as ‘disposals,
re-measurements and impairments’.
BG Group also uses financial instruments, including derivatives, to manage foreign exchange and interest rate
exposure. These instruments are required to be recognised at fair value or amortised cost on the balance sheet in
accordance with IAS 39. Most of these instruments have been designated either as hedges of foreign exchange
movements associated with the Group’s net investments in foreign operations, or as hedges of interest rate risk.
Where these instruments cannot be designated as hedges under IAS 39, unrealised movements in fair value are
recorded in the income statement and disclosed separately as ‘disposals, re-measurements and impairments’.
Realised gains and losses relating to the instruments referred to above are included in Business Performance. This
presentation best reflects the underlying performance of the business since it distinguishes between the temporary
timing differences associated with re-measurements under IAS 39 rules and actual realised gains and losses.
BG Group has also separately identified profits and losses associated with the disposal of non-current assets, and
impairments of non-current assets as they require separate disclosure in order to provide a clearer understanding
of the results for the period.
For a reconciliation between the overall results and Business Performance and details of disposals,
re-measurements and impairments, see the consolidated income statements (pages 15 and 16), note 2 (page 22)
and note 3 (page 23).
Joint ventures and associates
Under IFRS the results from jointly controlled entities (joint ventures) and associates, accounted for under the equity
method, are required to be presented net of finance costs and tax on the face of the income statement. Given the
relevance of these businesses within BG Group, the results of joint ventures and associates are presented before
interest and tax, and after tax. This approach provides additional information on the source of BG Group’s operating
profits. For a reconciliation between operating profit and earnings including and excluding the results of joint ventures
and associates, see note 3 (page 23).
Net borrowings/funds
BG Group provides a reconciliation of net borrowings/funds and an analysis of the amounts included within net
borrowings/funds as this is an important liquidity measure for the Group.

BG Group plc
Independent review report to BG Group plc

Introduction
We have been engaged by the company to review the condensed set of financial statements in the half-yearly
financial report for the six months ended 30 June 2010, which comprises the consolidated income statement,
consolidated statement of comprehensive income, consolidated balance sheet, consolidated statement of changes
in equity, consolidated cash flow statement and related notes. We have read the other information contained in
the half-yearly financial report and considered whether it contains any apparent misstatements or material
inconsistencies with the information in the condensed set of financial statements.
Directors’ responsibilities
The half-yearly financial report is the responsibility of, and has been approved by, the Directors. The Directors are
responsible for preparing the half-yearly financial report in accordance with the Disclosure and Transparency Rules
of the United Kingdom's Financial Services Authority.
As disclosed in note 1, the annual financial statements of the Group are prepared in accordance with IFRS as adopted
by the European Union. The condensed set of financial statements included in this half-yearly financial report has been
prepared in accordance with International Accounting Standard 34, ‘Interim Financial Reporting’, as adopted by the
European Union.
Our responsibility
Our responsibility is to express to the company a conclusion on the condensed set of financial statements in the
half-yearly financial report based on our review. This report, including the conclusion, has been prepared for and only
for the company for the purpose of the Disclosure and Transparency Rules of the Financial Services Authority and for
no other purpose. We do not, in producing this report, accept or assume responsibility for any other purpose or to
any other person to whom this report is shown or into whose hands it may come save where expressly agreed by
our prior consent in writing.
Scope of review
We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410,
‘Review of Interim Financial Information Performed by the Independent Auditor of the Entity’ issued by the Auditing
Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries,
primarily of persons responsible for financial and accounting matters, and applying analytical and other review
procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards
on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware
of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial
statements in the half-yearly financial report for the six months ended 30 June 2010 is not prepared, in all material
respects, in accordance with International Accounting Standard 34 as adopted by the European Union and the
Disclosure and Transparency Rules of the United Kingdom's Financial Services Authority.
PricewaterhouseCoopers LLP
Chartered Accountants
28 July 2010
London
(a) The maintenance and integrity of the BG Group plc web site is the responsibility of the directors; the work carried out by the auditors does not involve consideration of
these matters and, accordingly, the auditors accept no responsibility for any changes that may have occurred to the interim financial report since it was initially presented
on the web site.
(b) Legislation in the United Kingdom governing the preparation and dissemination of financial information may differ from legislation in other jurisdictions.

BG Group plc
Consolidated Income Statement
Second Quarter
(a)
2010 2009 Restated
Disposals, Disposals,
re-measure- re-measure-
Business ments and Business ments and
Perform- impairments Total Perform- impairments Total
(b) (b) (b) (b)
ance (Note 2) Result ance (Note 2) Result
Notes $m $m $m $m $m $m
Group revenue 4 160 – 4 160 3 478 – 3 478

Other operating income 2 (33) (443) (476) 11 20 31
Group revenue and other operating income 3 4 127 (443) 3 684 3 489 20 3 509
Operating costs (2 729) – (2 729) (2 168) – (2 168)
Profits and losses on disposal of non-current
assets and impairments 2 – (41) (41) – – –
(c)
Operating profit/(loss) 3 1 398 (484) 914 1 321 20 1 341
Finance income 2, 4 94 84 178 19 (5) 14
Finance costs 2, 4 (62) (94) (156) (62) (1) (63)
Share of post-tax results from joint ventures
and associates 3 92 – 92 77 – 77
Profit/(loss) before tax 1 522 (494) 1 028 1 355 14 1 369
Taxation 2, 5 (587) 197 (390) (558) (7) (565)
Profit/(loss) for the period 3 935 (297) 638 797 7 804
Attributable to:
BG Group shareholders (earnings) 899 (297) 602 754 7 761
Non-controlling interest 36 – 36 43 – 43
935 (297) 638 797 7 804
Earnings per share – basic 6 26.6c (8.8c) 17.8c 22.4c 0.3c 22.7c
Earnings per share – diluted 6 26.4c (8.7c) 17.7c 22.3c 0.2c 22.5c
Total operating profit/(loss) including share
of pre-tax operating results from joint
(d)
ventures and associates 3 1 532 (484) 1 048 1 448 20 1 468
a) See note 1 (page 21).
b) See Presentation of Non-GAAP measures (page 13) for an explanation of results excluding disposals, certain re-measurements and impairments and presentation of the
results of joint ventures and associates.
c) Operating profit/(loss) is before share of results from joint ventures and associates.
d) This measurement is shown by BG Group as it is used as a means of measuring the underlying performance of the business.
The notes on pages 21 to 29 form an integral part of these condensed financial statements.

BG Group plc
Consolidated Income Statement
Half Year
(a)
2010 2009 Restated
Disposals, Disposals,
re-measure- re-measure-
Business ments and Business ments and
Perform- impairments Total Perform- impairments Total
(b) (b) (b) (b)
ance (Note 2) Result ance (Note 2) Result
Notes $m $m $m $m $m $m
Group revenue 8 662 – 8 662 7 810 – 7 810

Other operating income 2 112 (303) (191) 129 64 193
Group revenue and other operating income 3 8 774 (303) 8 471 7 939 64 8 003
Operating costs (5 512) – (5 512) (4 923) – (4 923)
Profits and losses on disposal of non-current
assets and impairments 2 – (418) (418) – – –
(c)
Operating profit/(loss) 3 3 262 (721) 2 541 3 016 64 3 080
Finance income 2, 4 159 103 262 28 13 41
Finance costs 2, 4 (125) (94) (219) (122) (17) (139)
Share of post-tax results from joint ventures and
associates 3 171 – 171 169 – 169
Profit/(loss) before tax 3 467 (712) 2 755 3 091 60 3 151
Taxation 2, 5 (1 386) 255 (1 131) (1 283) (33) (1 316)
Profit/(loss) for the period 2 081 (457) 1 624 1 808 27 1 835
Attributable to:
BG Group shareholders (earnings) 2 019 (457) 1 562 1 742 27 1 769
Non-controlling interest 62 – 62 66 – 66
2 081 (457) 1 624 1 808 27 1 835
Earnings per share – basic 6 59.8c (13.6c) 46.2c 51.9c 0.8c 52.7c
Earnings per share – diluted 6 59.4c (13.5c) 45.9c 51.5c 0.7c 52.2c
Total operating profit/(loss) including share
of pre-tax operating results from joint
(d)
ventures and associates 3 3 527 (721) 2 806 3 272 64 3 336
b) See Presentation of Non-GAAP measures (page 13) for an explanation of results excluding disposals, certain re-measurements and impairments and presentation
of the results of joint ventures and associates.
c) Operating profit/(loss) is before share of results from joint ventures and associates.
d) This measurement is shown by BG Group as it is used as a means of measuring the underlying performance of the business.
For information on dividends paid in the period, see note 8 (page 28).

BG Group plc
Consolidated Statement of Comprehensive Income

2009 2009
(a) (a)
2010 Restated 2010 Restated
$m $m $m $m
638 804 Profit for the period 1 624 1 835
(b)
5 (236) Hedge adjustments net of tax (160) (505)
(c)
1 2 Fair value movements on ‘available-for-sale’ assets net of tax 1 9
(331) 1 382 Currency translation adjustments (401) 1 512
(325) 1 148 Other comprehensive (expense)/income, net of tax (560) 1 016
313 1 952 Total comprehensive income for the period 1 064 2 851
Attributable to:
284 1 882 BG Group shareholders 1 008 2 756
29 70 Non-controlling interest 56 95
313 1 952 1 064 2 851
b) Income tax relating to hedge adjustments is a $23 million charge for the quarter (2009 $84 million credit) and a $50 million credit for the half year (2009 $193 million
credit).
c) Income tax relating to fair value movements on ‘available-for-sale’ assets is a $1 million credit for the quarter (2009 $1 million charge) and a $1 million credit for the half
year (2009 $1 million charge).

BG Group plc
Consolidated Balance Sheet

As at As at As at
As at 31 Dec 30 Jun 31 Dec
30 Jun 2009 2009 2008
2010 Restated(a) Restated(a) Restated(a)
$m $m $m $m
Assets
Non-current assets
Goodwill 739 781 724 600
Other intangible assets 8 578 9 290 8 740 6 422
Property, plant and equipment 21 947 20 131 17 146 15 146
Investments 3 086 2 953 2 567 2 345
Deferred tax assets 204 137 136 110
Trade and other receivables 203 125 136 136
Commodity contracts and other derivative financial instruments 388 608 656 1 345
35 145 34 025 30 105 26 104
Current assets
Inventories 712 769 667 808
Trade and other receivables 4 335 4 721 4 470 5 199
Current tax receivable 371 173 228 131
Commodity contracts and other derivative financial instruments 997 1 635 2 027 2 211
Cash and cash equivalents 1 779 1 119 1 028 1 485
8 194 8 417 8 420 9 834
Assets classified as held for sale 228 – – –
Total assets 43 567 42 442 38 525 35 938
Liabilities
Current liabilities
Borrowings (1 907) (1 158) (841) (404)
Trade and other payables (3 607) (4 186) (3 410) (5 222)
Current tax liabilities (1 837) (1 579) (1 722) (1 614)
Commodity contracts and other derivative financial instruments (1 303) (1 390) (1 779) (2 088)
(8 654) (8 313) (7 752) (9 328)
Non-current liabilities
Borrowings (5 308) (5 024) (3 845) (2 727)
Trade and other payables (66) (63) (59) (55)
Commodity contracts and other derivative financial instruments (571) (849) (896) (760)
Deferred income tax liabilities (3 118) (3 147) (3 105) (2 955)
Retirement benefit obligations (282) (279) (312) (256)
Provisions for other liabilities and charges (1 523) (1 537) (1 458) (1 333)
(10 868) (10 899) (9 675) (8 086)
Liabilities associated with assets classified as held for sale (105) – – –
Total liabilities (19 627) (19 212) (17 427) (17 414)
Net assets 23 940 23 230 21 098 18 524
Equity
Total shareholders’ equity 23 653 22 909 20 843 18 343
Non-controlling interest in equity 287 321 255 181
Total equity 23 940 23 230 21 098 18 524

BG Group plc
Consolidated Statement of Changes in Equity

Called up Share Non-con-
share premium Hedging Translation Other Retained trolling
capital account reserve reserve reserves earnings Total interest Total
$m $m $m $m $m $m $m $m $m
Equity as at 31 December 2009
(a)
(restated ) 574 444 150 1 697 2 710 17 334 22 909 321 23 230
Total comprehensive income for
the period – – (115) (440) – 1 563 1 008 56 1 064
Issue of shares 1 52 – – – – 53 – 53
Purchase of own shares – – – – – (2) (2) – (2)
Adjustment in respect of
employee share schemes – – – – – 37 37 – 37
Dividends on ordinary shares – – – – – (352) (352) – (352)
Dividends to non-controlling
interest – – – – – – – (90) (90)
Equity as at 30 June 2010 575 496 35 1 257 2 710 18 580 23 653 287 23 940
Called up Share Non-con-

share premium Hedging Translation Other Retained trolling
capital account reserve reserve reserves earnings Total interest Total
$m $m $m $m $m $m $m $m $m
Equity as at 31 December 2008
(a)
(restated ) 571 348 889 (725) 2 710 14 550 18 343 181 18 524
Total comprehensive income for
the period – – (544) 1 522 – 1 778 2 756 95 2 851
Issue of shares 1 25 – – – – 26 – 26
Purchase of own shares – – – – – (4) (4) – (4)
Adjustment in respect of
employee share schemes – – – – – 45 45 – 45
Dividends on ordinary shares – – – – – (323) (323) – (323)
Dividends to non-controlling
interest – – – – – – – (21) (21)
Equity as at 30 June 2009
(a)
(restated ) 572 373 345 797 2 710 16 046 20 843 255 21 098

BG Group plc
Consolidated Cash Flow Statement

2009 2009
(a) (a)
2010 Restated 2010 Restated
$m $m $m $m
Cash flows from operating activities

1 028 1 369 Profit before tax 2 755 3 151
(92) (77) Share of post-tax results from joint ventures and associates (171) (169)
Depreciation of property, plant and equipment and amortisation of intangible
513 443 assets 1 039 849
496 (39) Fair value movements in commodity based contracts 375 (95)
41 – Profits and losses on disposal of non-current assets and impairments 418 –
274 107 Unsuccessful exploration expenditure written off 284 268
(23) (7) Decrease in provisions (19) (3)
(178) (14) Finance income (262) (41)
156 63 Finance costs 219 139
9 19 Share-based payments 25 29
99 (386) Decrease/(increase) in working capital 168 (658)
2 323 1 478 Cash generated by operations 4 831 3 470
(459) (449) Income taxes paid (1 009) (1 079)
1 864 1 029 Net cash inflow from operating activities 3 822 2 391
Cash flows from investing activities
26 85 Dividends received from joint ventures and associates 37 112
Proceeds from disposal of property, plant and equipment and intangible
486 3 assets 486 3
327 – Proceeds from the sale of investments 327 –
(2 726) (1 772) Purchase of property, plant and equipment and intangible assets (4 103) (2 943)
(6) (36) Loans to joint ventures and associates (4) (49)
(247) (75) Business combinations and investments (294) (775)
(2 140) (1 795) Net cash outflow from investing activities (3 551) (3 652)
Cash flows from financing activities
(b)
(42) (43) Net interest paid (89) (71)
(344) (323) Dividends paid (345) (323)
(31) (19) Dividends paid to non-controlling interest (32) (19)
1 675 1 118 Net proceeds from issue and repayment of borrowings 838 1 152
11 12 Issue of shares 53 26
– – Purchase of own shares (2) (4)
1 269 745 Net cash inflow from financing activities 423 761
993 (21) Net increase/(decrease) in cash and cash equivalents 694 (500)
811 1 004 Cash and cash equivalents at beginning of period 1 119 1 485
(25) 45 Effect of foreign exchange rate changes (34) 43
(c)
1 779 1 028 Cash and cash equivalents at end of period 1 779 1 028
b) Includes capitalised interest for the second quarter of $13 million (2009 $9 million) and for the half year of $27 million (2009 $15 million).
c) Cash and cash equivalents comprise cash and short-term liquid investments that are readily convertible to cash.

BG Group plc
Notes
1. Basis of preparation
These primary statements are the condensed financial statements (‘the financial statements’) of BG Group plc for the
quarter ended and the half year ended 30 June 2010. The financial statements do not comprise statutory accounts
within the meaning of Section 434 of the Companies Act 2006, and should be read in conjunction with the Annual
Report and Accounts for the year ended 31 December 2009 which have been prepared in accordance with IFRS as
adopted by the EU, as they provide an update of previously reported information. The latest statutory accounts
delivered to the registrar were for the year ended 31 December 2009 which were audited by BG Group’s statutory
auditors PricewaterhouseCoopers LLP and on which the Auditors’ Report was unqualified and did not contain
statements under Sections 498(2) or 498(3) of the UK Companies Act 2006. These financial statements have been
prepared in accordance with IAS 34 ‘Interim Financial Reporting’ as adopted by the EU, the requirements of the
Disclosure and Transparency Rules issued by the Financial Services Authority and the accounting policies, methods of
computation and presentation as set out in the 2009 Annual Report and Accounts (except as disclosed below). These
financial statements have been reviewed, not audited, by PricewaterhouseCoopers LLP.
The preparation of the financial statements requires management to make estimates and assumptions that affect the
reported amount of revenues, expenses, assets and liabilities at the date of the financial statements. If in the future
such estimates and assumptions, which are based on management’s best judgement at the date of the financial
statements, deviate from the actual circumstances, the original estimates and assumptions will be modified as
appropriate in the year in which the circumstances change.
With effect from 1 January 2010, BG Group has presented its results in US Dollars. Accordingly, 2009 results have
been translated from Pounds Sterling to US Dollars using monthly average rates of exchange. Comparative assets and
liabilities have been translated from Pounds Sterling to US Dollars at closing rates of exchange. Further information on
the procedures used to restate comparative information into US Dollars can be found on page 114 of the 2009 Annual
Report and Accounts.
Presentation of results
The presentation of BG Group’s results separately identifies the effect of:
The re-measurement of certain financial instruments; and
Profits and losses on the disposal and impairment of non-current assets and businesses.
These items, which are detailed in note 2 to the financial statements (page 22) are excluded from Business
Performance in order to provide readers with a clear and consistent presentation of the underlying operating
performance of the Group’s ongoing businesses.
New accounting standards and interpretations

IFRIC 12 ‘Service Concession Arrangements’ is applicable to BG Group for the period beginning 1 January 2010.
This interpretation provides guidance on the accounting by operators for public-to-private service concession
arrangements and requires infrastructure considered to be under the control of a regulator rather than an operator to
be recognised as an intangible concession asset and amortised over the concession period. Prior to the adoption of
IFRIC 12 such infrastructure was recognised as property, plant and equipment of the operator and depreciated over
its useful economic life. The interpretation also requires additions to the infrastructure incurred by the operator to be
accounted for as a construction contract with the regulator, with revenues and associated costs recognised in the
income statement on a percentage of completion basis.
BG Group has concluded that the Comgás concession in Brazil falls within the scope of IFRIC 12 and has applied
the interpretation from 1 January 2010, restating comparative information as necessary. On 1 January 2010,
infrastructure associated with the transmission and distribution network operated by Comgás of approximately
$1.6 billion (30 June 2009 $1.4 billion; 1 January 2009 $1.1 billion) was recognised as intangible assets resulting in a
corresponding decrease to property, plant and equipment. The application of IFRIC 12 has resulted in an increase to
revenue and operating costs of $61 million in the 6 months to 30 June 2010 (2009 $43 million). There has been no
change to total operating profit or earnings for the Group.
A number of other amendments to accounting standards issued by the IASB are applicable from 1 January 2010. They
have not had a material impact on the Group’s financial statements for the half year ended 30 June 2010.

BG Group plc
2. Disposals, re-measurements and impairments

2010 2009 2010 2009
$m $m $m $m
Revenue and other operating income – re-measurements of commodity

(443) 20 based contracts (303) 64
(41) – Profits and losses on disposal of non-current assets and impairments (418) –
(10) (6) Net finance (costs)/income – re-measurements of financial instruments 9 (4)
197 (7) Taxation 255 (33)
(297) 7 Impact on earnings (457) 27
Second quarter and half year: Revenue and other operating income
Re-measurements included within revenue and other operating income amount to a charge of $443 million for the
quarter (2009 $20 million credit), of which a charge of $65 million (2009 $7 million credit) represents non-cash
mark-to-market movements on certain long-term UK gas contracts. For the half year, a charge of $303 million in
respect of re-measurements is included within revenue and other operating income (2009 $64 million credit), of
which a charge of $23 million represents non-cash mark-to-market movements on certain long-term UK gas contracts
(2009 $63 million credit). Whilst the activity surrounding these contracts involves the physical delivery of gas, the
contracts fall within the scope of IAS 39 and meet the definition of a derivative instrument. In addition,
re-measurements include a $378 million charge for the quarter (2009 $13 million credit) and a $280 million charge for
the half year (2009 $1 million credit) representing unrealised mark-to-market movements associated with economic
hedges.
Second quarter and half year: Disposals and impairments of non-current assets
During the second quarter, BG Group completed the disposal of its power plants in the USA and its Canadian E&P
assets. This resulted in a pre-tax profit on disposal of $16 million (post-tax $11 million) in the quarter. The Group also
completed the sale of its investment in the Seabank power plant in the UK, which resulted in a pre and post-tax credit
to the income statement of $142 million. Also during the second quarter, a pre-tax impairment charge of $191 million
(post-tax charge $138 million) was recognised against certain assets in the E&P segment. Other disposals and
impairments resulted in a pre-tax charge to the income statement of $8 million (post-tax $4 million) in the quarter.
In July 2010, BG Group signed a Share Sale Agreement for the sale of Premier Power Limited. Accordingly, as at
30 June 2010, this asset was classified as held for sale at its carrying value.
During the first quarter, BG Group signed a Sale and Purchase Agreement for the sale of its power plants in the USA
and also committed to sell its Canadian E&P assets and its investment in the Seabank power plant in the UK.
Accordingly, these assets were reclassified as held for sale and revalued to the lower of their carrying amount and fair
value less costs to sell. This resulted in a pre-tax impairment charge of $377 million (post-tax charge $263 million)
against the Group’s US power and Canadian E&P assets in the quarter.
Second quarter and half year: Net finance costs

Re-measurements presented in net finance costs include certain derivatives used to hedge foreign exchange and
interest rate risk, partly offset by foreign exchange movements on certain borrowings.

BG Group plc
3. Segmental analysis
Profit for the period Disposals,
Business re-measurements
Analysed by operating segment Performance and impairments Total Result
2010 2009 2010 2009 2010 2009
Second Quarter $m $m $m $m $m $m
Group revenue
Exploration and Production 2 072 1 748 – – 2 072 1 748
Liquefied Natural Gas 1 492 1 111 – – 1 492 1 111
Transmission and Distribution 658 556 – – 658 556
Power Generation 156 171 – – 156 171
Less: intra-group sales (218) (108) – – (218) (108)
Group revenue 4 160 3 478 – – 4 160 3 478
(a)
Other operating income (33) 11 (443) 20 (476) 31
Group revenue and other operating income 4 127 3 489 (443) 20 3 684 3 509
Operating profit/(loss) before share of results from joint ventures and associates
Exploration and Production 738 728 (247) 20 491 748
Liquefied Natural Gas 454 386 (383) – 71 386
Power Generation 16 35 146 – 162 35
Other activities 30 (8) – – 30 (8)
1 398 1 321 (484) 20 914 1 341
Pre-tax share of operating results of joint ventures and associates
Exploration and Production 8 – – – 8 –
Liquefied Natural Gas 86 79 – – 86 79
134 127 – – 134 127
Total operating profit/(loss)
1 532 1 448 (484) 20 1 048 1 468
Net finance income/(costs)
Finance income 94 19 84 (5) 178 14
Finance costs (62) (62) (94) (1) (156) (63)
Share of joint ventures and associates (13) (17) – – (13) (17)
19 (60) (10) (6) 9 (66)
Taxation
Taxation (587) (558) 197 (7) (390) (565)
(616) (591) 197 (7) (419) (598)
Profit for the period 935 797 (297) 7 638 804
a) Business Performance Other operating income is attributable to segments as follows: E&P $(13) million (2009 $(16) million), LNG $(20) million (2009 $19 million) and
Power $nil (2009 $8 million).

BG Group plc
3. Segmental analysis continued

Disposals,
Performance and impairments Total Result
2010 2009 2010 2009 2010 2009
Half Year $m $m $m $m $m $m
(a)
Group revenue
Exploration and Production 4 325 3 557 – – 4 325 3 557
Liquefied Natural Gas 3 071 3 064 – – 3 071 3 064
Transmission and Distribution 1 272 1 045 – – 1 272 1 045
Less: intra-group sales (402) (224) – – (402) (224)
Group revenue 8 662 7 810 – – 8 662 7 810
(b)
Other operating income 112 129 (303) 64 (191) 193
Group revenue and other operating income 8 774 7 939 (303) 64 8 471 8 003
Operating profit/(loss) before share of results from joint ventures and associates
Exploration and Production 1 931 1 562 (277) 65 1 654 1 627
Liquefied Natural Gas 998 1 127 (265) – 733 1 127
Transmission and Distribution 272 286 – (1) 272 285
Power Generation 41 36 (179) – (138) 36
Other activities 20 5 – – 20 5
3 262 3 016 (721) 64 2 541 3 080
Pre-tax share of operating results of joint ventures and associates
Exploration and Production 7 – – – 7 –
Liquefied Natural Gas 175 165 – – 175 165
265 256 – – 265 256
Liquefied Natural Gas 1 173 1 292 (265) – 908 1 292
3 527 3 272 (721) 64 2 806 3 336
Net finance income/(costs)
Finance income 159 28 103 13 262 41
Finance costs (125) (122) (94) (17) (219) (139)
1 (127) 9 (4) 10 (131)
Taxation
Taxation (1 386) (1 283) 255 (33) (1 131) (1 316)
(1 447) (1 337) 255 (33) (1 192) (1 370)
Profit for the period 2 081 1 808 (457) 27 1 624 1 835
a) External sales are attributable to segments as follows: E&P $3 968 million (2009 $3 367 million), LNG $3 026 million (2009 $3 030 million), T&D $1 272 million
(2009 $1 045 million) and Power $396 million (2009 $368 million). Intra-group sales are attributable to segments as follows: E&P $357 million (2009 $190 million) and
LNG $45 million (2009 $34 million).
b) Business Performance Other operating income is attributable to segments as follows: E&P $28 million (2009 $5 million), LNG $84 million (2009 $109 million) and Power
$nil (2009 $15 million).

BG Group plc
3. Segmental analysis continued

Disposals,
2010 2009 2010 2009 2010 2009
Second Quarter $m $m $m $m $m $m

1 502 1 456 (484) 20 1 018 1 476
1 532 1 448 (484) 20 1 048 1 468
Less: Pre-tax share of operating results
of joint ventures and associates (134) (127)
Add: Share of post-tax results from
joint ventures and associates 92 77
Net finance income/(costs) 22 (49)
Profit before tax 1 028 1 369
Taxation (390) (565)
Profit for the period 638 804
Disposals,
2010 2009 2010 2009 2010 2009
Half Year $m $m $m $m $m $m

Liquefied Natural Gas 1 173 1 292 (265) – 908 1 292
3 507 3 267 (721) 64 2 786 3 331
3 527 3 272 (721) 64 2 806 3 336
Less: Pre-tax share of operating results
of joint ventures and associates (265) (256)
Add: Share of post-tax results from
joint ventures and associates 171 169
Net finance income/(costs) 43 (98)
Profit before tax 2 755 3 151
Taxation (1 131) (1 316)
Profit for the period 1 624 1 835

BG Group plc
4. Net finance income

2010 2009 2010 2009
$m $m $m $m
(31) (33) Interest payable (65) (63)

(27) (20) Interest on obligations under finance leases (53) (39)
13 9 Interest capitalised 27 15
(a)
(17) (18) Unwinding of discount on provisions (34) (35)
(94) (1) Disposals, re-measurements and impairments (Note 2) (94) (17)
(156) (63) Finance costs (219) (139)
94 19 Interest receivable 159 28
84 (5) Disposals, re-measurements and impairments (Note 2) 103 13
178 14 Finance income 262 41
(b)
22 (49) Net finance income/(costs) 43 (98)
a) Relates to the unwinding of the discount on provisions and amounts in respect of pension obligations which represent the unwinding of discount on the plans’ liabilities
offset by the expected return on the plans’ assets.
b) Excludes Group share of net finance costs from joint ventures and associates for the quarter of $13 million (2009 $17 million), and for the half year of $33 million
(2009 $33 million).
5. Taxation
The taxation charge for the second quarter before disposals, re-measurements and impairments was $587 million
(2009 $558 million) and the taxation charge including disposals, re-measurements and impairments was $390 million
(2009 $565 million).
For the half year, the taxation charge before disposals, re-measurements and impairments was $1 386 million
(2009 $1 283 million) and the taxation charge including disposals, re-measurements and impairments was
$1 131 million (2009 $1 316 million).
The Group share of taxation from joint ventures and associates for the second quarter was $29 million
(2009 $33 million) and for the half year was $61 million (2009 $54 million).
The effective tax rate for the half year is based on the best estimate of the weighted average annual income tax rate
expected for the full year.
6. Earnings per ordinary share

2010 2009 2010 2009
cents per cents per cents per cents per
$m share $m share $m share $m share
602 17.8 761 22.7 Earnings 1 562 46.2 1 769 52.7

Disposals, re-measurements
and impairments (after tax and
297 8.8 (7) (0.3) non-controlling interest) 457 13.6 (27) (0.8)
Earnings – excluding disposals,
re-measurements and
899 26.6 754 22.4 impairments 2 019 59.8 1 742 51.9
Basic earnings per share calculations in 2010 are based on the weighted average number of shares in issue of
3 380 million for the quarter and 3 378 million for the half year.
The earnings figure used to calculate diluted earnings per ordinary share is the same as that used to calculate earnings
per ordinary share given above, divided by 3 400 million for the quarter and 3 400 million for the half year, being the
weighted average number of ordinary shares in issue during the period as adjusted for dilutive equity instruments.

BG Group plc
7. Reconciliation of net borrowings(a) – Half Year

$m
Net borrowings as at 31 December 2009 (4 775)

Net increase in cash and cash equivalents 694
Cash inflow from changes in borrowings (838)
Inception of finance lease liabilities/assets (362)
Foreign exchange and other re-measurements 227
Current borrowings classified as held for sale 7
(a)(b)
Net borrowings as at 30 June 2010 (5 047)
Net borrowings attributable to Comgás were $726 million (31 December 2009 $829 million).
As at 30 June 2010, BG Group's share of the net borrowings in joint ventures and associates amounted to
approximately $1.7 billion, including BG Group shareholder loans of approximately $1.4 billion. These net borrowings
are included in BG Group's share of the net assets in joint ventures and associates which are consolidated in
BG Group's accounts.
a) Net borrowings/funds are defined on page 32.
b) Net borrowings comprise:
As at As at
30 Jun 31 Dec
2010 2009
$m $m
Amounts receivable/(due) within one year

Cash and cash equivalents 1 779 1 119
Overdrafts, loans and finance leases (1 907) (1 158)
(c)
Derivative financial instruments 124 48
(4) 9
Amounts receivable/(due) after more than one year
(d)
Loans and finance leases (5 178) (5 024)
(c)
Derivative financial instruments 135 240
(5 043) (4 784)
Net borrowings (5 047) (4 775)
c) These items are included within commodity contracts and other derivative financial instrument balances on the balance sheet.
d) Includes finance lease receivable of $130 million included within non-current assets on the balance sheet.

BG Group plc
7. Reconciliation of net borrowings – Half Year continued

Liquidity and Capital Resources
All the information below is as at 30 June 2010
The Group’s principal borrowing entities are: BG Energy Holdings Limited (BGEH), including wholly owned subsidiary
undertakings, the majority of whose borrowings are guaranteed by BG Energy Holdings Limited (collectively BGEH),
and Comgás and Gujarat Gas which conduct their borrowing activities on a stand-alone basis.
BGEH had a $2.0 billion US Commercial Paper Programme, of which $570 million was unutilised, and a $2.0 billion
Eurocommercial Paper Programme, of which $1 749 million was unutilised. BGEH also had a $7.5 billion Euro Medium
Term Note Programme, of which $5.2 billion was unutilised. In July 2010, BG Group issued a €500 million bond due in
2019 under its Euro Medium Term Note Programme.
BGEH had aggregate committed multicurrency revolving borrowing facilities of $0.375 billion which expire in 2010,
$1.090 billion which expire in 2011 and $1.040 billion which expire in 2012. There are no restrictions on the application
of funds under these facilities, which were undrawn.
In addition, BGEH had uncommitted borrowing facilities including multicurrency lines, overdraft facilities of £45 million
and credit facilities of $20 million, all of which were unutilised.
Comgás had committed borrowing facilities of Brazilian Real (BRL) 1 857.9 million, of which BRL 438.7 million was
unutilised, and uncommitted borrowing facilities of BRL 140.8 million, of which BRL 70 million was unutilised.
8. Dividends
Half Year
2010 2009
cents cents
$m per share $m per share
Prior year final dividend, paid in the period 352 10.43 323 9.61
The final dividend of 10.43c ($352 million) in respect of the year ended 31 December 2009 was paid on 21 May 2010
to shareholders (28 May 2010 to ADR holders) on the register at the close of business on 16 April 2010. The interim
dividend of 9.82c ($332 million) in respect of the year ended 31 December 2010 is payable on 10 September 2010 to
shareholders on the register as at 6 August 2010.

BG Group plc
9. Capital investment: geographical analysis

2010 2009 2010 2009
$m $m $m $m
318 260 Europe and Central Asia 596 467

1 830 570 Americas and Global LNG 2 961 972
304 814 Africa, Middle East and Asia 554 1 332
318 117 Australia 560 862
2 770 1 761 4 671 3 633
10. Quarterly information: earnings and earnings per share

2010 2009 2010 2009
$m $m cents cents
First quarter
Total Result 960 1 008 28.4 30.0
Business Performance 1 120 988 33.2 29.4
Second quarter
Total Result 602 761 17.8 22.7
Business Performance 899 754 26.6 22.4
Third quarter
Total Result 796 23.7
Business Performance 782 23.3
Fourth quarter
Total Result 754 22.4
Business Performance 965 28.6
Full year
Total Result 3 319 98.7
Business Performance 3 489 103.8
11. Commitments and contingencies

Details of the Group’s commitments and contingent liabilities as at 31 December 2009 can be found in note 23,
page 104 of the 2009 Annual Report and Accounts.
The Group’s capital commitments have increased by $6.0 billion in the six month period to 30 June 2010 reflecting
the ongoing development of the Group’s major growth projects. There have been no material changes to the Group’s
other commitments and contingent liabilities in the six month period to 30 June 2010.
12. Related party transactions

The Group provides goods and services to, and receives goods and services from, its joint ventures and associates. In
addition, the Group provides financing to some of these parties by way of loans. Details of related party transactions for
the year ended 31 December 2009 can be found in note 24, page 106 of the 2009 Annual Report and Accounts. There
have been no material changes in these relationships in the period ending 30 June 2010. No related party transactions
have taken place in the first six months of the current financial year that have materially affected the financial position or
the performance of the Group during that period.

BG Group plc
Supplementary information: Operating and financial data

First
Second Quarter Quarter Half Year
2010 2009 2010 2010 2009
Production volumes (mmboe)

7.1 8.0 7.9 – oil 15.0 16.1
8.8 9.4 9.0 – liquids 17.8 18.0
41.4 41.1 44.4 – gas 85.8 82.3
57.3 58.5 61.3 – total 118.6 116.4
Production volumes (boed in thousands)

78 88 88 – oil 83 89
97 103 100 – liquids 98 99
455 452 493 – gas 474 455
630 643 681 – total 655 643
$75.86 $59.27 $76.45 Average realised oil price per barrel $76.17 $51.19
$66.43 $47.82 $62.81 Average realised liquids price per barrel $64.52 $40.53
45.16c 54.04c 65.22c 56.38c 73.02c

Average realised UK gas price per produced therm
(29.97p) (36.23p) (41.00p) (36.15p) (50.28p)
33.35c 24.72c 32.64c Average realised International gas price per produced therm 32.99c 30.37c
34.80c 29.88c 37.37c Average realised gas price per produced therm 36.13c 37.39c
$4.91 $3.34 $4.48 Lifting costs per boe $4.69 $3.27
$7.77 $5.42 $6.95 Operating expenditure per boe $7.35 $5.44
1 006 933 607 Development expenditure (including acquisitions)($m) 1 613 1 507
Gross exploration expenditure ($m)

1 126 356 341 – capitalised expenditure (including acquisitions) 1 467 1 426
92 93 94 – other expenditure 186 184
1 218 449 435 – gross expenditure 1 653 1 610
Exploration expenditure charge ($m)

274 107 10 – capitalised expenditure written off 284 268
92 93 94 – other expenditure 186 184
366 200 104 – exploration charge 470 452
LNG cargoes
21 26 14 – delivered to US 35 35
32 30 41 – delivered to global markets 73 76
53 56 55 – total 108 111
159.0 164.4 173.6 LNG managed volumes (Tbtu) 332.6 344.6

BG Group plc
Supplementary information: Operating and financial data continued

BG Group’s exposure to the oil price varies according to a number of factors including the mix of production and sales.
Management estimates that, other factors being constant and assuming a constant relationship between commodity
prices, a $1.00 rise (or fall) in the Brent price would increase (or decrease) E&P business operating profit in 2010
by approximately $90 million to $110 million.
Management estimates that in 2010, other factors being constant, a 10 cent strengthening (or weakening) in the
US Dollar would increase (or decrease) operating profit by approximately $10 million to $30 million.

BG Group plc
Glossary
In BG Group’s results some or all of the following definitions are used:
bcf billion cubic feet
bcfd billion cubic feet per day
boe barrels of oil equivalent
boed barrels of oil equivalent per day
bopd barrels of oil per day
CAGR compound annual growth rate
Capital investment Comprises expenditure on property, plant and equipment, other intangible assets and
investments, including business combinations
E&P Exploration and Production
FPSO Floating Production Storage and Offloading system
Gearing ratio net borrowings as a percentage of total shareholders’ funds (excluding the re-measurement
of commodity financial instruments and associated deferred tax) plus net borrowings
IAS International Accounting Standard issued by the IASB
IASB International Accounting Standards Board
IFRIC International Financial Reporting Interpretations Committee
IFRS International Financial Reporting Standards
kboed thousand barrels of oil equivalent per day
LNG Liquefied Natural Gas
Managed Comprises all LNG volumes contracted for purchase and having related revenue and other
volumes operating income recognised in the applicable period
m million
mmboe million barrels of oil equivalent
mmbtu million british thermal units
mmcfd million cubic feet per day
mmcmd million cubic metres per day
mmscfd million standard cubic feet per day
mmscm million standard cubic metres
mmscmd million standard cubic metres per day
mtpa million tonnes per annum
Net borrowings/ Comprise cash, current asset investments, finance lease liabilities/assets, currency and interest
funds rate derivative financial instruments and short and long-term borrowings
PJ Petajoule (1 petajoule = 0.943 bcf)
PSC production sharing contract
SEC US Securities and Exchange Commission
T&D Transmission and Distribution
Tbtu trillion british thermal units
tcf trillion cubic feet
Total operating Group operating profit plus share of pre-tax operating results of joint ventures and associates
profit
UKCS United Kingdom Continental Shelf
Unit operating Production costs and royalties incurred over the period divided by the net production for the
expenditure period. This measure does not include the impact of depreciation and amortisation costs and
per boe exploration costs as they are not considered to be costs associated with the operation of
producing assets.
Unit lifting costs ‘Unit operating expenditure’ as defined above, excluding royalty, tariff and insurance costs
per boe incurred over the period divided by the net production for the period.

BG Group plc
Enquiries
Enquiries relating to BG Group's results, business General enquiries about shareholder matters
and financial position should be made to: should be made to:
Investor Relations Department Equiniti Limited

BG Group plc Aspect House
Thames Valley Park Drive Spencer Road
Reading Lancing
Berkshire West Sussex
RG6 1PT BN99 6DA
Tel: 0118 929 3025 Tel: 0871 384 2064
e-mail: invrel@bg-group.com e-mail: bg@equiniti.com
Media Enquiries:
Jo Thethi: 0118 929 3110
High resolution images are available at www.vismedia.co.uk
BG Group is listed on the US over-the-counter market known

as the International OTCQX. Enquiries should be made to:
Pink OTC Markets Inc.
304 Hudson Street
2nd Floor
New York, NY 10013
USA
e-mail: info@pinksheets.com
Financial Calendar
Ex-dividend for 2010 interim dividend 4 August 2010
Record date for 2010 interim dividend 6 August 2010
Payment of 2010 interim dividend 10 September 2010
Announcement of 2010 third quarter results 2 November 2010
BG Group plc website: www.bg-group.com
Registered office
100 Thames Valley Park Drive, Reading RG6 1PT
Registered in England No. 3690065

2010 Second Quarter N Half Yr Results

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2010 Second Quarter N Half Yr Results

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BG Group plc

2010 SECOND QUARTER & HALF YEAR RESULTS

Second Quarter Business Performance Highlights

BG Group’s Chief Executive, Frank Chapman said:

Second Quarter Half Year

Total operating profit including share of pre-tax

Total results for the period (including disposals,

BG Group plc – 2010 Second Quarter & Half Year Results 1

Business Review – Group

Total operating profit including share of pre-tax results

19 (60) – Net finance income/(costs) 1 (127) –

2 770 1 761 +57% Capital investment 4 671 3 633 +29%

Disposals, re-measurements and impairments

BG Group plc – 2010 Second Quarter & Half Year Results 3

Exploration and Production (E&P)

57.3 58.5 -2% Production volumes (mmboe) 118.6 116.4 +2%

2 433 1 347 +81% Capital investment 3 463 3 023 +15%

BG Group plc – 2010 Second Quarter & Half Year Results 4

Second quarter business highlights

BG Group plc – 2010 Second Quarter & Half Year Results 5

Liquefied Natural Gas (LNG)

Total operating profit

254 349 -27% Capital investment 1 053 498 +111%

Second quarter business highlights

BG Group plc – 2010 Second Quarter & Half Year Results 6

Transmission and Distribution (T&D)

Total operating profit

57 53 +8% Capital investment 109 95 +15%

BG Group plc – 2010 Second Quarter & Half Year Results 7

Total operating profit

26 12 +117% Capital investment 46 17 +171%

Second quarter and half year

Second quarter business highlights

BG Group plc – 2010 Second Quarter & Half Year Results 8

Principal Risks and Uncertainties

BG Group plc – 2010 Second Quarter & Half Year Results 9

First Quarter Business Highlights

Exploration and Production – first quarter business highlights

BG Group plc – 2010 Second Quarter & Half Year Results 10

Liquefied Natural Gas – first quarter business highlights

Power Generation – first quarter business highlights

BG Group plc – 2010 Second Quarter & Half Year Results 11

Statement of Directors’ responsibilities

By order of the Board

BG Group plc – 2010 Second Quarter & Half Year Results 12

Presentation of Non-GAAP measures

BG Group plc – 2010 Second Quarter & Half Year Results 13

Independent review report to BG Group plc

BG Group plc – 2010 Second Quarter & Half Year Results 14

Consolidated Income Statement

Group revenue 4 160 – 4 160 3 478 – 3 478

BG Group plc – 2010 Second Quarter & Half Year Results 15

Consolidated Income Statement

Group revenue 8 662 – 8 662 7 810 – 7 810

BG Group plc – 2010 Second Quarter & Half Year Results 16

Consolidated Statement of Comprehensive Income

638 804 Profit for the period 1 624 1 835

BG Group plc – 2010 Second Quarter & Half Year Results 17

Consolidated Balance Sheet

BG Group plc – 2010 Second Quarter & Half Year Results 18

Consolidated Statement of Changes in Equity

Called up Share Non-con-