Deep Value Driller AS

Quarterly Report • Nov 16, 2021

Deep Value Driller AS Q3 2021

Q3 2021

Prepared by: Svend Anton Maier, CEO

OVERVIEW CONTENT

• Disclaimer

• Comments from the chairman

• Status rig

• Malta

• Market outlook

• Project Progress

• Financial statement

• Notes

Disclaimer

DISCLAIMER AND IMPORTANT INFORMATION

This Presentation and its appendices (the "Presentation") has been produced by Deep Value Driller AS, a Norwegian private limited company with its shares admitted to trading on Euronext Growth (Oslo) under the ticker code "DVD" (the "Company"). References to the "Company", "Group", "we", "our", "us" or similar terms refer to Deep Value Driller AS and its consolidated subsidiaries, except where context otherwise requires.

This Presentation, and the information contained herein, has been prepared solely for information purposes and does not constitute or form part of, and is not prepared or made in connection with, an offer or invitation to sell, or a recommendation regarding, any Shares and nothing contained herein shall form the basis of any contract or commitment whatsoever. This Presentation do not purport to contain a complete description of the Company or its prospects. Any analysis contained in this Presentation is not, and does not purport to be, appraisals of the assets, Shares or business of the Company or any other person. The Presentation is intended to present background information on the Company, its business and the industry in which it operates and is not intended to provide complete disclosure upon which an investment decision could be made.

No representation, warranty or undertaking, express or implied, is made by the Company or any of its affiliates or representatives as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained herein, for any purpose whatsoever. The Company or any of its affiliates or representatives shall not have any responsibility or liability whatsoever (for negligence or otherwise) for any loss whatsoever and howsoever arising from any use of this Presentation or its contents or otherwise arising in connection with this Presentation. Unless otherwise stated, the Company is the source for information included in this Presentation. Information provided on the market environment, developments, trends and on the competitive situation is based on data and reports prepared by third parties and/or the Company based on its own information and information derived from such third party sources. Third party industry publications, studies and surveys generally state that the data contained therein have been obtained from sources believed to be reliable, but that there is no guarantee of the accuracy or completeness of such data. This Presentation speaks as of the date hereof. Neither the delivery of this Presentation nor any further discussions of the Company with any of the recipients shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date. The information contained in this Presentation should be considered in the context of the circumstances prevailing at the time and has not been, and will not be, updated to reflect developments that may occur after the date of this Presentation.

This Presentation contains forward-looking information and statements relating to the business, financial performance and results of the Company and/or industry and markets in which it intends to operate. Such forward-looking statements are based on current expectations, estimates and projections, reflect current views with respect to future events, and are subject to risks, uncertainties and assumptions. Forward-looking statements are not guarantees of future performance and risks, uncertainties and other important factors could cause the actual results of operations, financial condition and liquidity of the Company or the industry to differ materially from the results expressed or implied in this Presentation by such forward-looking statements. Neither this Presentation nor the information contained herein is being issued, nor may this Presentation nor the information contained herein be distributed, directly or indirectly, to or into any jurisdiction in which such issuance and/or distribution would be unlawful.

Comments from the Chairman

The Chairman of the Board, Einar J. Greve commented:

Since we reported H1 we continue to see increased utilization and higher rates in the deepwater market.

And 7th generation drilling rigs are now aclose to 100% utilization

It strengthens the believe of the board of directors that this will continue.

The rig activation project is now established, and we are ready to execute when the opportunity arise on short notice.

There is a constant dialogue and interaction and tendering activity with clients needing modern units to execute safe and efficient operations in challenging areas around the world.

The board has an increased believe that our vessel with its capabilities and quality will be very attractive in the current markets as we see it develop positivily.

Status rig

P r e m i u m 7 th G e n e r ati o n D r i l l s h i p

Current Vessel Status

• The vessel is warm stacked with a crew of 15 persons

• All the main systems onboard are being operated on a regular basis

• Main vendors have conducted a condition assessment and scope of activation has been establised

Reactivation Key Parameters

• Activation scope has been established, class status, work packs have been identified and scheduled.

• Critical spares with long lead time has been identified and avalible on short notice for activation of the vessel.

• Execution Yard:

  • Location: Activation will take place at a shipyard in Norway.

  • Timeline and workscope established

Deep Value Driller LTD is now established in Malta

New companies in group

Deep Value Driller Holding Ltd (registered 10 May 2021)

Registered office: 10 Poltua, G. Debono Square, Msida MSD 1250, Malta

Deep Value Driller Ltd (registered 10 May 2021)

Registered office: 10 Poltua, G. Debono Square, Msida MSD 1250, Malta

• The shipowning company Deep Value Driller Ltd is now established in Malta.

• All company activities and support are managed and operated from the office in Malta.

• Office phonenumber +356 7905 7057

K e y f i g u r e s
R i g p u r c h a s e	E q u i p m e n t p u r c h a s e
\$65,000,000	\$3,663,387
L a y u p c o s t	M o b i l i s a t i o n c o s t s p e r S e p t e m b e r 3 0
\$18,001/day	\$1,933,930

Financial statement Q1-Q3

Operating income and expenses	Notes	4 January - 30 September 2021
Stacking costs	5	3 420 128
Salaries		117 805
Other operating expenses		2 617 872
Operating profit/loss before depreciation (EBITDA)		-6 155 804
Depreciation of assets	2	1 499 379
Financial income and expenses		-180 792
Net income/loss		-7 474 391

Financial statement Apply

Interim Consolidated statement of Financial Position

Unaudited amounts in USD

Assets		30.sep.21
Fixed assets
Intangible assets	2	6 851
Ships	2	67 164 879
Equipment and other movables	2	4 512
Total fixed assets		67 176 242
Current assets
Debtors
Other short-term receivables		254 035
Total receivables		254 035
Cash and bank deposits		8 353 558
Total current assets		8 789 522
Total assets		75 965 764

Interim Consolidated statement of Financial Position

Unaudited amounts in USD

Notes	30.sep.2:
3	1 015 261
3	-3 519
3	81 880 257
	82 891 999
	-7 470 871
	-7 470 871
	75 421 128
	417 399
	127 237
	544 636
	544 636
	75 965 764

Financial statement Q1-Q3

NRS Indirect method	Notes	4 January - 30 September 2021
Cash flow from operating activities
Profit loss before tax		-7 474 391
Ordinary depreciation		1 499 379
Change in accounts payable		235 471
Change in other accrual items		-133 650
Net cash flows from operating activities		-5 87 3 191
Cash flow from investment activities
Payments for the purchase of fixed assets	2	68 668 769
Net cash flows from investment activities		-68 668 769
Cash flows from financing activities
Proceeds from equity	3	82 895 518
Net cash flows from financing activities		82 895 518
Net change in cash and cash equivalents		8 353 558
Cash and cash equivalents at the end of the period		8 353 558

NOTES to the Financial statements Q1-Q3

Notes to the Financial statements

Note 1: Summary of Significant Accounting Policies

Company overview

Deep Value Driller AS is a company whos purpose is contracting, managing and owning drilling rigs.

Basis for preparation

The interim report which has not been audited by the Company's independent auditor, has been prepared in compliance with the provisions laid down in the Norwegian Accounting Act and generally accepted accounting principles in Norway.

Note 2: Assets	Intangible assets	Equipment etc.	Rig		Total
Acquisition of fixed assets	7 118	5 116		68 663 387	68 675 621
Acquisition cost 30 September 2021	7 118	5 116		68 663 387	68 675 621
Depreciation for the period	267	604		1 498 508	1 499 379
Book Value 30 September 2021	6 851	4 512		67 164 879	67 176 242
Economic life	5 years	3 years		5-20 years

NOTES to the Financial statements Q1-Q3

Note 3: Equity	Share capital	Own Stocks	Share Premium	Equity/loss	Total
Founded 4 January 2021	3 532				3 532
Capital increase	1 011 729		83 997 035		85 008 764
Capital raise cost			-2 116 778		-2 116 778
Own shares		-3 519		3 519	0
Loss for the period				-7 474 391	-7 474 391
Book Value 30 September 2021	1 015 261	-3 519	81 880 257		-7 470 872

NOTES to the Financial statements Q1-Q3