Deep Value Driller AS

Quarterly Report • Nov 1, 2024

Deep Value Driller AS Q3 2024

OVERVIEW CONTENT

• Comments from the Board of directors

• Financial statement

• Notes

• Disclaimer

Comments from the Board of directors

Main events

Early 2023, the company signed a bareboat charter for the Drillship "Deep Value Driller" with Saipem as Charterer. The Charterer will utilize the Drillship for operations on the Ivory Coast under a drilling contract with Eni Côte d'Ivoire Ltd. The bareboat charter term is for 11 wells firm with 6 wells options. Estimated firm revenue is USD 160 million to the Group (excluding the rate payable for any optional extensions of the Contract).

Deep Value Driller commenced operation on full day rate November 1stcharterer and.

The rig is performing to the satisfaction of the charterer and has since the beginning of contract delivered exceptional operational performance.

The work is progressing according to plan. We have now entered a new phase of operational execution, including drilling and completion work.

Currently technical utilization remains high; above 98%. This again demonstrates the capabilities and the excellent performance of DVD Gusto design with her unique features as a purpose-built drilling vessel.

Main events going forward

The company will continue to distribute all excess cash to shareholders and aims to make monthly distributions as from November 2024. November distribution will be 0,25 NOK per share.

Financial statement Q3 2024

Interim Consolidated Profit and Loss (P&L) Statement
Unaudited Amounts in USD
Operating income and operating expenses	Note	Q3 - 2024	Q3 - 2023	YTD 2024	YTD 2023
Daily rate		13 800 000		41 100 000
Other income		624 434	1 544 850	1 886 553	1 544 850
Total Income		14 424 434	1 544 850	42 986 553	1 544 850
Operational cost		(1 515 534)	(10 862 290)	(4 455 305)	(16 778 961)
Employee benefits expense		(51 469)	(166 695)	(195 192)	(802 380)
Depreciation and amortisation expenses	2	(4 056 847)	(723 118)	(12 027 780)	(2 166 679)
Other expenses		(68 576)	(1 415 037)	(223 452)	(2 634 001)
Total expenses		(5 692 427)	(13 167 140)	(16 901 729)	(22 382 021)
Operating profit (loss)		8 732 008	(11 622 290)	26 084 824	(20 837 171)
Operating profit (loss) before depreciation (EBITDA)		12 788 855	(10 899 172)	38 112 604	(18 670 492)
Financial income and expenses
Financial income		252 249	395 356	1 198 011	1676819
Financial expenses		(3 163 349)	(2 541 650)	(9 763 886)	(7 309 207)
Net financial items	3	(2 911 100)	(2 146 294)	(8 565 876)	(5 632 388)
Net profit (loss) before tax		5 820 908	(13 768 584)	17 518 948	(26 469 560)
Income tax for the period		(333 400)	(239 695)	(763 744)	(291 448)
Profit (loss) for the period		5 487 508	(14 008 279)	16 755 204	(26 761 008)
Transferred to retained earnings		5 487 508	(14 008 279)	16 755 204	(26 761 008)

Financial statement Q3 2024

Interim Consolidated statement of Financial Position
Unaudited Amounts in USD
Assets	Note	30 September 2024	30 September 2023	31 December 2023
Non-current assets
Intangible assets
Concessions, patents, licences	2	2 938	4 712	4 270
Total intangible assets		2 938	4 712	4 270
Property, plant and equipment
Ships	2	58 516 848	61 399 525	60 678 856
Reactivation project cost	2	53 396 730	57 972 784	60 425 188
Equipment and other movables	2	362	641	1 305
Total property, plant and equipment	2	111 913 940	119 372 950	121 105 349
Non-current financial assets
Total non-current financial assets				-
Total fixed assets		111 916 877	119 377 662	121 109 618
Current assets
Inventories		1 095 089	1 753 877	1 514 200
Debtors
Other short-term receivables		11 987 861	10 895 346	7 008 116
Total receivables		11 987 861	10 895 346	7 008 116
Cash and cash equivalents		19 478 607	12 030 270	11 931 255
Total current assets		32 561 557	24 679 493	20 453 570
Total assets		144 478 435	144 057 155	141 563 188

Interim Consolidated statement of Financial Position
Unaudited Amounts in USD
Equity and liabilities	Note	30 September 2024	30 September 2023	31 December 2023
Equity
Paid-in capital
Share capital	4,5	1 019 177	1 019 177	1 019 177
Treasury stock	বা	(3 519)	(3 519)	(3 519)
Share premium reserve	4	45 761 771	82 209 233	82 209 233
Other paid-up equity	4	383 146	323 830	383 146
Total paid-up equity		47 160 575	83 548 722	83 608 037
Retained earnings
Other equity		3 519	3 519	3519
Uncovered loss	4	(34 633 587)	(53 847 132)	(51 388 791)
Total retained earnings		(34 630 068)	(53 843 613)	(51 385 272)
Total equity		12 530 507	29 705 109	32 222 766
Liabilities
Long-term liabilities
Deferred tax liabilities		2 365 486	1 833 972	2 365 486
Liabilities to financial institutions	3	122 222 000	75 000 000	75 000 000
Total Long-term liabilities		124 587 486	76 833 972	77 365 486
Current liabilities
Payable tax		763 744	291 448	403 970
Trade payables		811 821	23 783 509	16 409 420
Other current liabilities		5 784 877	13 443 117	15 161 547
Total current liabilities		7 360 442	37 518 075	31 974 936
Total liabilities		131 947 928	114 352 047	109 340 422
Total equity and liabilities		144 478 435	144 057 156	141 563 188

Financial statement Q3 2024

Interim Consolidated Indirect cash flow
Unaudited Amounts in USD
NRS Indirect method	YTD 2024	YTD 2023
Amount in USD
Cash Flow from operating activities
Profit/Loss before tax	17 518 948	(26 469 560)
Ordinary depreciation	12 027 780	2 166 679
Profit/Loss sale of fixed assets
Changes in inventories	419 111	(888 347)
Changes other short term receivable	(4 979 746)	(10 152 093)
Changes in accounts payable	(15 597 600)	22 949 002
Change in other accrual items	(9 780 639)	13 289 235
Net cash flows from operating activities	(392 146)	894 917
Cash flow from investment activities
Acquisition of intangible assets
Acquisition of tangible assets	(2 835 040)	(57 972 784)
Share investment
Net cash flow from investment activities	(2 835 040)	(57 972 784)
Cash flow from financing activities
Proceeds from equity
Capital increase costs
Dividends	(36 447 463)
Debt financing	50 000 000	75 000 000
Loan repayment	(2 778 000)	(6 000 000)
Net cash flow from financing activities	10 774 537	69 000 000
Net change in cash and cash equivalents	7 547 352	11 922 132
Cash and cash equivalents at the end of period	19 478 607	12 030 270

NOTES to the Financial statements Q3 2024

Notes to the Financial statements

Note 1: Summary of Significant Accounting Policies

Company overview

Deep Value Driller AS is a company which 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 NRS 11 and generally accepted accounting principles in Norway.

Note 2: Fixed assets	Intangible assets	Fixtures and		Rig Reactivation project	Total
		fittings		costs
Acquisition at 31 December 2023	8 835	8 031	68 663 387	63 521 499	132 201 752
Additions in 2024				2 835 040	2 835 040
Acquisition cost at 30 September 2024	8 832	8 031	68 663 387	66 356 239	135 036 792
Opening book value 2024	4 270	1 305	60 678 856	60 425 188	121 109 618
Depreciation & amortisation 2024	(1 332)	943)	(2 162 008)	(9 863 497)	(12 027 780)
Accumulated depreciation & amortisation	(5 897)	(7 669)	(10 146 539)	(12 959 809)	(23 119 914)
Closing Book Value 30 September 2024	2 938	362	58 516 848	53 396 730	111 916 877

NOTES to the Financial statements Q3 2024

Note 4: Shareholders' equity	Share capital	Own Stock	Share premium Other paid-up		Other equity	Uncovered loss	Total
				equity
Opening balance 1 January 2024	1 019 177	(3 519)	82 209 233	383 146	3 519	(51 388 791)	32 222 765
Dividends			(36 447 463)				(36 447 463)
Share-based payment
Profit for the period						16 920 064	16 920 064
Closing balance 30 September 2024	1 019 177	(3 ટ્રીને)	45 761 771	383 146	3 ਵੈਡਰ	(34 468 727)	12 695 366

NOTES to the Financial statements Q3 2024

Note 5: Shareholders above 1% as of 30 September 2024
Shareholders	Ordinary	Share of votes
UTHALDEN AS	8 330 654	9,61 %
SOLAN CAPITAL AS	7 000 000	8,07 %
Goldman Sachs & Co. LLC	6 446 028	7,44 %
TVENGE	3 800 000	4,38 %
ALDEN AS	3 121 475	3,60 %
HORTULAN AS	3 104 790	3,58 %
SCAN CHEMICALS AS	2 500 000	2,88 %
CAMACA AS	2 000 000	2,31 %
HUSHOVD	1857311	2,14 %
BNP Paribas Securities Corp.	1 803 245	2,08 %
CACEIS Bank Spain SA	1 605 000	1,85 %
CIPRIANO AS	1 500 000	1,73 %
NORDNET LIVSFORSIKRING AS	1 483 496	1,71 %
Masira Inversion SIL	1 438 224	1,66 %
A HOLDINGS AS	1 369 494	1,58 %
GLAAMENE INDUSTRIER AS	1 270 790	1,47 %
SONGA CAPITAL AS	1 269 131	1,46 %
HØGSET HOLDING AS	1 200 000	1,38 %
MELESIO INVEST AS	1 030 591	1,19 %
ARVO INVEST AS	1 000 398	1,15 %
TTC INVEST AS	1 000 000	1,15 %
PORTIA AS	1 000 000	1,15 %
THABO ENERGY AS	1 000 000	1,15 %
Merrill Lynch International	980 320	1,13 %
CACEIS Bank	906 429	1,05 %
Total	58 017 376	66,9 %
Others (interest < 1 %)	28 679 291	33,1 %
Total	86 696 667	100 %

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.