Electromagnetic Geoservices ASA

EMGS to launch partial bond buy-back

The board of directors of Electromagnetic Geoservices ASA ("EMGS" or the

"Company") has resolved to initiate a voluntary, partial buy-back of bonds under

the Company's outstanding MUSD 32.5 convertible bond issue.

The Company intends to offer to buy-back outstanding bonds with an aggregate

principal amount of up to USD 4,000,000. EMGS will offer to buy back the bonds

at 75 per cent of par value. Bondholders representing the majority of the

outstanding bonds have already indicated that they support the buy-back and that

they intend to participate.

The offer price has been determined based on a fair market value assessment made

by an independent third-party.

The Company expects to formally launch the buy-back offer as soon as possible,

and complete the process within the end of July 2021.

Chairman of the board of directors of EMGS, Silje Augustson, comments:

"This voluntary bond buy-back marks an important milestone in the Company's and

the boards' efforts to improve the Company's balance sheet and strengthen its

financial position. Through this voluntary buy-back the Company will buy-back

bonds at a significant discount to par value, thereby reducing EMGS interest

expenses going forward and improving the equity position."

Contact

Anders Eimstad, CFO, +47 948 25 836

About EMGS

EMGS, the marine EM market leader, uses its proprietary electromagnetic (EM)

technology to support oil and gas companies in their search for offshore

hydrocarbons. EMGS supports each stage in the workflow, from survey design and

data acquisition to processing and interpretation. The Company's services enable

the integration of EM data with seismic and other geophysical and geological

information to give explorationists a clearer and more complete understanding of

the subsurface. This improves exploration efficiency and reduces risks and the

finding costs per barrel. CSEM technology can also be used to detect the

presence of marine mineral deposits (primarily Seabed Massive Sulphides) and

EMGS believes that the technology can also be used to estimate the mineral

content of such deposits. The Company is undertaking early-stage initiatives to

position itself in this future market.

This information is subject to the disclosure requirements pursuant to Section

5-12 the Norwegian Securities Trading Act

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