Andfjord Salmon

Investor Presentation • Jun 3, 2022

Q1 2022 STATUS AND PROGRESS

3 JUNE 2022

BUILDING A STRONG IDENTITY AND BRAND

FISH FARMING WITH A CLEAR CONSCIENCE

SERVED WITH A CLEAR CONSCIENCE

Q1 PRESENTATION 2022

Martin Rasmussen CEO

AGENDA

Introduction

Quarterly highlights and subsequent events

Operational update

Feed management for sustainable fish farming

Key financial figures

Summary and outlook

Bjarne Martinsen CFO

Christian Torgersen Operations manager

FOUNDED: 2014 LOCATION: ANDØYA, NORWAY EURONEXT GROWTH: ANDF

FLOW-THROUGH – NATURAL FLOW

Uses a closed flow-through system, which combines the benefits of both traditional and land based aquaculture while solving a number of traditional farming issues.

FIRST LOCATION

Andfjord Salmon has been granted a licence for 10,000 tonnes MAB with potential production volume of 19,000 tonnes HOG at Kvalnes, Andøya

GULF STREAM

Strategically located at Andøya – with unique access to oxygen-rich seawater at stable temperatures. The unit is situated at a depth of 30 to 160 metres, depending on the season.

~90,000 TONNES IN TOTAL

Andfjord Salmon has acquired three locations, with a clear roadmap towards achieving a total capacity of ~90,000 tonnes (HOG).

LOW ENERGY USE

No need to lift the water above the surface. No need to heat or cool the seawater or other costly operations.

FISH-FRIENDLY & SUSTAINABLE

Andfjord Salmon aims to build the world's most fish-friendly and environmentally friendly facility for salmon, with the lowest possible energy consumption and cost.

ANDFJORD SALMON AT A GLANCE

• Andfjord Salmon has secured, by purchase or purchase options, land on Andøya enabling an increase in total annual production volume to ~90,000t (HOG)
• License for Kvalnes I secured, licensing process for the expansion initiated
• Support from local authorities for its project and expansion plans

EXPANSION POTENTIAL TO A TOTAL CAPACITY OF ~90,000T (HOG)

KEY FINANCIALS

3

FEED MANAGEMENT FOR SUSTAINABLE FISH FARMING

5

SUMMARY AND OUTLOOK

AGENDA

2

OPERATIONAL UPDATE

1

FURTHER TESTING AND FINE-TUNING OF LAMINAR WATER FLOW AND POOL FUNCTIONS

SUCCESSFUL PREPARATIONS FOR SMOLT RELEASE

HIGHLIGHTS Q1 AND SUBSEQUENT PERIOD

• Process administered by Andøy municipal council
• Zoning plan approved by the municipal executive committee in March 2021
• Second public consultation conducted in 2022
• Zoning plan process progressing well, decisions expected in H1/H2 2022

TONNES HOG IN TOTAL POTENTIAL PRODUCTION VOLUME BREIVIK 25,000

TONNES HOG IN TOTAL POTENTIAL PRODUCTION VOLUME FISKENES 25,000

UPDATE ZONING PLAN FOR FISKENES / BREIVIK

1

QUARTERLY HIGHLIGHTS AND SUBSEQUENT EVENTS 2

OPERATIONAL UPDATE

AGENDA

KEY FINANCIALS

3

FEED MANAGEMENT FOR SUSTAINABLE FISH FARMING

5

SUMMARY AND OUTLOOK

SCRAPING

• Scraping of area completed

NEXT POOLS

• Blasting and excavation work well advanced for the next pools

EXCAVATING

• Pools closest to first pool to be excavated first, then moving sequentially further away from first pool

KVALNES AREA DEVELOPMENT (PHASE 2) STATUS PHASE 2 – SCRAPING COMPLETED:

STATUS SMOLT RELEASE

24/7 OPERATIONS FOR SEVERAL MONTHS

• Pool fully operational, as if smolt were released
• Full technical and organisational simulation
• Avoid operational surprises

BIOLOGICAL SENSORS

• All sensors installed
• 24/7 monitoring of technical parameters
• Key to monitoring biological conditions

CLEANING ROBOTS

• Extensively tested and operated
• Functioning as planned

BACK-UP SYSTEMS AND SOLUTIONS IN PLACE

• Plan A, B and C in place for all types of events
• Comprehensive testing of emergency systems
• Trained for all different scenarios

FIRST POOL READY FOR SMOLT RELEASE

INFRASTRUCTURE IN PLACE AND TESTED

• Pipeline from wellboat to pool
• Onshore fish-friendly suction pump

NATURE'S OWN TIMING

• Smolt release in ultimo June coincides with the migration period of wild salmon
• Increasing amount of natural light and period with rising temperature = good for fish health and development

SMOLT RELEASE IN A CONTROLLED MANNER SMOLT RELEASE PLANNED FOR ULTIMO JUNE 2022

ASSESSMENT

• Constant assessment of biological indicators

FOLLOW-UP

• Physical proximity to fish enables close follow-up of fish welfare

SENSOR TECHNOLOGY

• Advanced sensors monitor what the human eye cannot see

MONITORING

• 24/7 monitoring of technical and biological conditions

PRIORITIES AFTER SMOLT RELEASE STATUS SMOLT RELEASE

AGENDA

3

FEED MANAGEMENT FOR SUSTAINABLE FISH FARMING

1

KEY FINANCIALS

5

SUMMARY AND OUTLOOK

2

OPERATIONAL UPDATE

STRATEGIC FEED SUPPLY AGREEMENT WITH SKRETTING

• SUSTAINABLE

Dedicated to driving the sustainability transformation within raw materials for fish feed

• STRATEGIC AGREEMENT

Long-term running strategic feed supply agreement

• SEAFOOD INVESTOR

Feed tailored to fit Andfjord Salmon's flow-through technology. Ensures optimal water quality, fish welfare and growth conditions. Facilitates production of premium quality salmon

• TECHNICAL ADVISORY

Participation with Andfjord Salmon in technical advisory committee to continuously improve production protocols and conditions for fish

• LOI between Skretting, Andfjord Salmon and Zooca
• Ingredients with proven track record from land-based farming, but tailored to Andfjord Salmon's flow-through technology and location
• First Salmon farmer in the world that utilises a commercial feed with Calanus finmarchicus, provided by Zooca
• Calanus is nature's own starter: a natural prey biologically adapted to provide optimal nutrition for fish
• Locally harvested raw material, produced at local factory at Sortland, and using the entire animal, underlines sustainable approach

TAILORED FEED FOR ANDFJORD SALMON

CALANUS PLUS BY ANDFJORD SALMON

AGENDA

4

KEY FINANCIALS

2

OPERATIONAL UPDATE

1

5 SUMMARY AND OUTLOOK

3

FEED MANAGEMENT FOR SUSTAINABLE FISH FARMING

INVEST WITH A CLEAR CONSCIENCE

INCOME STATEMENT

Operating income and expenses Other income

Total operating income

Salary and personnel expenses Depreciation of tangible and intangible fixed assets Other operating expenses Total operating expenses Operating profit/loss

Financial income and expenses Other financial income Other financial expenses Net financial income/expenses Profit/loss before tax

Net profit/loss for the period

Q1 2022	Q1 2021	2021
1.1– 31.3	1.1 – 31.3	1.1 – 31.12
Unaudited	Unaudited
31 500	0	0
31 500	0	0
5 064 477	4 325 171	17 402 069
632 248	122 661	1 229 217
4 273 247	2 804 126	15 829 035
9 969 971	7 251 958	34 460 322
-9 938 471	-7 251 958	-34 460 322
55 036	132 679	282 983
720 373	71 271	1 358 912
-665 337	61 408	-1 075 929
-10 603 807	-7 190 550	-35 536 250
-10 603 807	-7 190 550	-35 536 250

ANDFJORD SALMON AS

All amounts in NOK

Assets Total intangible assets Total property, plant & equipment Total long-term fixed assets Total fixed assets Total current receivables Cash and deposits Total current assets Total assets

31.3.2022 Unaudited	31.12.2021	31.3.2021 Unaudited
2 750 557	2 664 757	1 327 457
445 672 364	428 987 851	277 698 939
115 115	123 970	150 535
448 538 036	431 776 578	279 176 932
27 784 799	33 673 118	20 291 276
18 872 186	14 918 370	88 795 252
46 656 984	48 591 488	109 086 528
495 195 021	480 368 067	388 263 459

BALANCE SHEET

ANDFJORD SALMON AS

All amounts in NOK

Figures do not include a new loan of NOK 50 million from Sparebank 1 Nord Norge and a NOK 20 million undrawn credit facility with Sparebank 1 Nord Norge. In addition the Company has NOK 5 million in unpaid grants from Innovation Norway.

Total equity

Liabilities

Non-current liabilities Liabilities to financial institutions Other non-current liabilities Total non-current liabilities

Current liabilities Trade payables Current tax liabilities Other current liabilities Total current liabilities

Total liabilities

Total equity and liabilities

31.3.2022 Unaudited	31.12.2021	31.3.2021 Unaudited
350 469 802	323 273 127	349 999 178
39 405 524 59 566 518	39 478 187 59 191 509	15 000 000 4 078 176
98 972 042	98 669 696	19 078 176
43 254 221	49 689 856	17 193 725
540 543	1 246 151	451 780
1 958 413 45 753 177	7 489 236 58 425 243	1 540 600 19 186 105
144 725 219	157 094 939	38 264 281
495 195 021	480 368 067	388 263 459

BALANCE SHEET

ANDFJORD SALMON AS

All amounts in NOK

CASH FLOW STATEMENT

Net cash flow from operating activities

Net cash flow from investing activities

Net cash flow from financing activities

Net change in cash and cash equivalents

Q1 2022 1.1 – 31.3 Unaudited	Q1 2021 1.1 – 31.3 Unaudited	Q1 2021 1.1 – 31.12
-16 746 452	-24 123 294	-20 620 952
-17 402 561	-53 980 045	-207 820 439
38 102 828	18 052 524	94 513 693
3 953 815	-60 050 815	-133 927 697

ANDFJORD SALMON AS

All amounts in NOK

AGENDA

5

SUMMARY AND OUTLOOK

3

FEED MANAGEMENT FOR SUSTAINABLE FISH FARMING

1

KEY FINANCIALS

2

OPERATIONAL UPDATE

KVALNES

• Phase 1: Successful preparations for smolt release
• Phase 2: Excavation of next pools progressing as planned

SUMMARY & OUTLOOK

FINANCE SMOLT RELEASE FISKENES - BREIVIK

• Strengthened financial position through NOK 50 million bank loan from Sparebank 1 Nord Norge

• All set for first smolt release ultimo June

• 2022

• Release date concides with migration period of wild salmon

• Zoning plan decisions for Breivik and Fiskenes expected in H1/H2 2022

ON TRACK TO BUILD THE THE WORLD'S MOST FISH -FRIENDLY AND SUSTAINABLE FACILITY