Electromagnetic Geoservices ASA

Investor Presentation • Feb 4, 2021

Q4 2020 RESULTS

Oslo, 4th February 2021

Bjørn Petter Lindhom, CEO Anders Eimstad, CFO

Disclaimer

This quarterly presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forward-looking information and statements are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Electromagnetic Geoservices ASA (EMGS) and its subsidiaries. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for the EMGS' businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time. Although Electromagnetic Geoservices ASA believes that its expectations and the information in this Report were based upon reasonable assumptions at the time when they were made, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in this Report. Electromagnetic Geoservices ASA nor any other company within the EMGS Group is making any representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the information in the Report, and neither Electromagnetic Geoservices ASA, any other company within the EMGS Group nor any of their directors, officers or employees will have any liability to you or any other persons resulting from your use of the information in the Report. Electromagnetic Geoservices ASA undertakes no obligation to publicly update or revise any forward-looking information or statements in the Report.

Q4 2020

Operational highlights

• Atlantic Guardian cold stacked for the entire quarter
• Contract for multi-client survey in the Gulf of Mexico

Financial highlights

• Revenues of USD 4.0 million
• EBITDA of USD 1.5 million
• Adjusted EBITDA of USD 0.6 million

Subsequent events

• APA awards with firm EM commitment
• USD 7.3 million pledge account released
• USD 3.9 million of USD 5.0 million significantly past due receivables received

Operations, Market and Outlook

EMGS CSEM Multi-Client Survey – Utsira High North Sea

• EMGS has secured prefunding of a CSEM Multi-Client program that covers PL1096 and open area available for the APA 2021 license round
• PL1096 (Vår, Petoro, Neptune, Sval and Concedo) awarded in the APA 2020 license round with CSEM commitment
• Program will be acquired with the Atlantic Guardian upon return from Mexico during the North Sea summer acquisition season
• Approximately 1,000 km2
• 2x2x2km receiver and source grid
• ShelfXpress source

Reprocessing of Legacy Library CSEM data

• State of the art reprocessing and inversion with the 3D Gauss-Newton often reveals hidden information in legacy data
• EMGS is continuously "mining" the multi-client library for new project ideas
• Example 1: Reprocessing of legacy 2006 data revealed that CSEM is sensitive to the Martin Linge reservoir and led to the Martin Linge and Liatårnet Multi-Client project
• Example 2: Reprocessing of legacy 2003 data revealed that CSEM is sensitive to the Grane field and this led to the Utsira High Multi-Client project
• The erroneous conclusion in 2003 that CSEM was not sensitive to the Grane field led to industry perception that CSEM was only a deep-water technology

Grane Field – as seen by CSEM

Fourth quarter 2020 performance I Development in revenues and EBITDA

• Revenues • USD 4.0 million total revenue • USD 0.4 million contract sales

• USD 2.3 million late sales
• Vessel utilisation of 0%
• Atlantic Guardian stacked for the entire quarter
• EBITDA
• USD 1.5 million
• Adjusted EBITDA* of USD 0.6 million

*Adjusted EBITDA includes capitalised multi-client expenses and vessel and office lease expenses

Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 1

-2

-1

Adjusted EBITDA

Key financial metrics Quarterly development (USD million)

-1 1

-5

0

5

10

15

20

25

21

Operational costs

Quarterly operational cost base* development (USD million)

Comments

• Operational costs base in Q4 20 of USD 3.4 million
• USD 145 thousand higher than Q3 20
  • Vessel and office lease expense remains low due to lower layup rate for the Atlantic Guardian while cold stacked
  • Increase in charter hire, fuel and crew expense in the fourth quarter is due to impairment of spare parts
  • Employee expenses lower than Q3 due in part to SkatteFUNN funds received

*Cost base is defined as operational costs (charter hire etc, employee expenses, other operating expenses) plus MC investments and vessel and office lease payments presented as financial leases from 1 January 2019, restructuring charges and other extraordinary items

Decrease in free cash in Q4 2020

Quarterly free cash development (USD million) Comments

• Net decrease in free cash of USD 0.1 million to USD 4.2 million
• Trade payables increased by USD 0.4 million to USD 1.5 million
• Continued payment delays under the completed Pemex contract
• Adjusted EBITDA of USD 0.6 million

Summary

• Significantly improved cash position
• 2.3 MUSD in Q4 late sales
• Payment of significantly past due invoices (Q4/Q1)
• Release of cash from pledge account (Q1)
• Backlog for Atlantic Guardian for first half of 2021
• Mexico multi-client project
• Utsira High multi-client
• Positive Adjusted EBITDA in Q4
• Well positioned for market recovery

Please e-mail questions to: emgs@emgs.com