Eidesvik Offshore — Investor Presentation 2021

Nov 17, 2021

Presentation 3rd Quarter 2021

November 17, 2021

Disclaimer

This presentation has been produced by Eidesvik Offshore ASA (the "Company") based on information which is publicly available. This presentation is for information purposes only. Further to the aforementioned, this presentation is the result of an effort of the Company to present certain information which the Company has deemed relevant in an accessible format. The presentation is not intended to contain an exhaustive overview of the Company's present or future financial condition and there are several other facts and circumstances relevant to the Company and its present and future financial condition that has not been included in the this presentation. No representation or warranty (express or implied) is made or intended to be made as to the accuracy or completeness of any or all of the information contained herein and it should not be relied upon as such. The recipient of this presentation acknowledges that it will be solely responsible for its own assessment of the information.

This presentation contains forward-looking statements. Such forward-looking statements give the Company's current expectations and projections relating to its financial condition, the market in which it operates and the future performance of the Company. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company's control that could cause the Company's actual results, performance or achievements to be materially different from the expected results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company's present and future business strategies and the environment in which it will operate in the future.

Neither the Company's nor any of its affiliates (nor any department in any of those entities), nor any such person's directors, officers, employees, advisors or representatives (collectively the "Representatives"), in any capacity, shall have any liability whatsoever arising directly or indirectly from the use of this presentation, including (but not limited to) as a result of any liability for errors, inaccuracies, omissions or misleading statements in this presentation.

Highlights in 3rd Quarter 2021

Eidesvik was awarded a contract with Havfram AS for the CSV Viking Neptun. The contract will commence early January 2022 with a firm period towards the end of 3rd Quarter 2022. In addition, Havfram AS has been

granted options for further extension.

Highlights in 3rd Quarter 2021

Eidesvik was awarded a 3-year time charter contract with Aker BP for the PSV Viking Lady.

The contract was awarded in direct continuation of the current charter under the companies' frame agreement. The contract will commence in January 2022, and Aker BP was granted options for further extension.

On August 27, 2021, Eidesvik announced that it had agreed on a term sheet with its financial institutions for refinancing of its debt. With a combination of extension of debt maturities and reduced amortization payments, the agreed terms significantly strengthen the Group's financial position. On September 10, 2021, the final agreements and documentation were in place and the new terms for the Group's financing became effective.

The agreed terms provide mechanisms for extension of final maturities of debt facilities from the end of 2022 to the end of 2023, and there will be no final maturities until year end 2023. The extension is subject to Eidesvik meeting certain financial and operational triggers.

Fixed amortization payments have been significantly reduced. On the date of agreeing and signing final documentation, debt repayments of approximately NOK 309 million were made. There will be no further fixed debt amortization in 2021. Scheduled fixed amortization for 2022 is reduced from approximately NOK 320 million to approximately NOK 112 million. For 2023, the fixed amortization is approximately NOK 80 million. No changes to interest margins have been made, and interest will be paid as normal during the period.

In addition to fixed amortization, a cash sweep mechanism has been agreed. The cash sweep will be used for additional debt repayment if cash levels are above agreed thresholds, on ^a facility-by-facility basis. The new facility cash sweep mechanism replaces the previous corporate cash sweep mechanism.

Subsequent events

Wintershall Dea declared options to extend the contract for the supply vessel Viking Princess from January 2022 in direct continuation of the current contract, extending the firm period to January 2023.

• Eidesvik and the technology group Wärtsilä signed a landmark cooperation agreement aimed at converting an offshore supply vessel ("OSV") to operate with an ammoniafuelled combustion engine with required fuel supply and safety system. The "Apollo" project will be the first of its kind ever in the world, and has a provisional completion target of late 2023.
• After more than 16 years as CEO and President of Eidesvik, Jan Fredrik Meling will retire from his position on December 31, 2021. The Group's CCO Gitte Gard Talmo was appointed to replace Meling.
• Eidesvik entered into a Memorandum of Understanding with Aker BP and Alma, a venture under establishment by Clara Venture Labs (under name change from Prototech AS) to explore opportunities for retrofit installation of Alma's ammonia fuel cell technology on two offshore support vessels, Eidesvik's "Viking Lady" and Aker BP-owned "NS Frayja" (currently under Eidesvik's management).

Result Summary

(in million NOK)

	Q3 2021	Q3 2020
Revenues	174,8	142,7
EBITDA	81,5	59,8
Operating result	1,0	11,2
Pre-tax result	-34,7	28,1

Cash Flow (in million NOK)

	Q3 2021	Q3 2020	1.1- 30.9.2021	1.1- 30.9.2020	2020
Net cash flow from operating activities	84,2	62,7	66,1	163,6	254,4
Net cash flow from investment activities Net cash flow from finance activities	(1,2) (335,3)	(7,2) (29,9)	277,2 (488,6)	(34,2) (137,6)	(77,5) (156,1)
Net changes in cash holdings	(252,3)	25,6	(145,3)	(8,2)	20,9
Cash at beginning of period Cash at end of period	536,2 283,9	374,5 400,1	429,2 283,9	408,3 400,1	408,3 429,2

Interest paid is categorized under financing activities, interest received is categorized under operating activities.

Cash flow from finance activities in 3rd Quarter 2021 is mainly related to the debt prepayment related to the closing of the refinancing in September 2021.

Balance (in million NOK)

Debt maturity profile 30.9.2021

Contract Backlog 30.9.2021

Consolidated total contract backlog Q3 2021 is MNOK 1,021 (incl. all new contracts per November 16, 2021)

Contract coverage incl. JV's 30.9.2021

Option Firm

Market

PSV

• Fewer fixtures in the North Sea market compared to the same quarter last year, but the contract durations were approx. 40% longer.
• The North Sea fleet utilization increased compared to the same period last year (above 70% for large PSV's), and rate levels improved during the quarter with long term fixtures at higher levels.
• We maintain our optimistic outlook for the market for large and modern PSVs in the North Sea fleet.

Subsea and Offshore Wind Markets

• The subsea market remained active this quarter with healthy rate and utilization levels.
• Subsea project sanctioning is increasing year on year with a strong growth outlook from mid 2023 and onwards. Our fleet availability sets us in a good position to leverage on this growth outlook.
• In offshore wind, SPS compliant vessels have been fully booked during the quarter, servicing both the commissioning- and operation and maintenance phases in the offshore windfarms lifecycle. The market continues to build momentum with several site developments announced during the quarter. This is expected to drive vessel demand in a long-term perspective.

Seismic

• The ocean bottom seismic companies continue to increase their backlog for the next year. We are positive that we will be able to secure new work in this segment in H1 2022.

Results 3rd Quarter 2021

(in million NOK)

Operating revenue Q3

EBITDA Q3 2021 vs. Q3 2020 (MNOK 21.7):

Seismic: Increase of freight income of MNOK 9.5, decrease in the total operating expenses of MNOK 0.5. Net increase in EBITDA of MNOK 10.1.

Subsea: Increase of freight income of MNOK 18.0, increase in the total operating expenses of MNOK 10.7. Net increase in EBITDA of MNOK 7.3.

Supply: Increase of freight income of MNOK 5.0, decrease of total operating expenses of MNOK 1.6. Net increase of MNOK 6.6.

Of other freight income and operating expenses is the change in EBITDA a decrease of MNOK 2.2.

* Termination fee, one-off effects in Profit from JVs and impairments are excluded (2021: MNOK 21.2, 2020: MNOK 0, 2019: MNOK 5.3)

Results per 30.9.2021

(in million NOK)

491 410 431 49 14 11 0 200 400 600 2019 2020 2021

Operating revenue YTD

EBITDA YTD 2021 vs. YTD 2020 (MNOK 27.3):

Seismic: Decrease of freight income of MNOK 17.4, decrease in the total operating expenses of MNOK 21.5. Net increase in EBITDA of MNOK 4.1.

Subsea: Increase of freight income of MNOK 44.6, increase in the total operating expenses of MNOK 10.4. Net increase in EBITDA of MNOK 34.3.

Supply: Decrease of freight income of MNOK 8.2, decrease of total operating expenses of MNOK 15.1. Net increase of MNOK 6.9.

Of other freight income and operating expenses is the change in EBITDA an decrease of MNOK 18.0 (positive actuarial effects in 2020 of MNOK 11.7).

EBIT YTD*

* Termination fee, one-off effects in Profit from JVs and impairments are excluded (2021: MNOK 51.3, 2020: MNOK -9.9, 2019: MNOK 48.7)

Segments

Incl. Share of Joint Ventures (in million NOK)

3rd Quarter 2021	Seismic	Subsea	Supply	Other
Revenue	12.3	103.7	68.0	4.9
EBITDA	9.5	53.8	24.3	-0.9
EBIT	0.6	-1.4	4.5	-2.3
EBITDA margin	77%	52%	36%	N/A
EBIT margin	5%	-1%	7%	N/A

3rd Quarter 2020	Seismic	Subsea	Supply	Other
Revenue	2.8	90.7	63.0	4.2
EBITDA	-0.6	51.8	17.7	1.2
EBIT	-12.4	24.6	-0.1	0.5
EBITDA margin	-21%	57%	28%	N/A
EBIT margin	-445%	27%	0%	N/A

Seismic Subsea Supply