Electromagnetic Geoservices ASA

Share Issue/Capital Change • May 7, 2018

EMGS: Result of Rights Issue and Bond Issue

EMGS: Result of Rights Issue and Bond Issue

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR

INDIRECTLY, TO U.S. NEWS WIRE SERVICES, IN OR INTO THE UNITED STATES, AUSTRALIA,

CANADA, JAPAN, HONG KONG, SINGAPORE OR ANY OTHER JURISDICTION IN WHICH THE

DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL. THIS ANNOUNCEMENT DOES NOT CONSTITUTE

AN OFFER TO BUY, SELL OR SUBSCRIBE FOR ANY SECURITIES DESCRIBED HEREIN.

Reference is made to the stock exchange notifications published by

Electromagnetic Geoservices ASA ("EMGS" or the "Company") pertaining to the

Comprehensive Refinancing, including the stock exchange notifications published

on 16 April 2018 and 19 April 2018.

The subscription period in the Rights Issue and the Bond Issue ended on 4 May

2018, at 12:00 CET.

Result of Rights Issue

Under the Rights Issue, the Company will issue a maximum of 39,540,816 new

shares, each at a subscription price of NOK 2.45.

The Rights Issue was substantially oversubscribed, with over 48 million new

shares being subscribed for. Hence, the Company will issue the maximum number of

new shares (39,540,816).

Notifications of allocated new shares and the corresponding amount to be paid by

each subscriber will be sent to the subscribers today, 7 May 2018. Subscribers

having access to investor services through their VPS account will be able to

check the number of new shares allocated to them from 14:00 CET today. Payment

for the allocated new shares falls due on 9 May 2018.

The new shares may not be transferred or traded until they are fully paid by the

individual subscriber and the new shares have been registered with the Register

of Business Enterprises. Subject to payments being received when due, the new

shares are expected to be delivered to the respective subscribers' VPS account

on or about 15 May 2018.

The new shares are expected to commence trading on Oslo Børs on or about 15 May

Following the registration of the new share capital in the Norwegian Register of

Business Enterprises, the Company will have 130,969,690 shares outstanding, each

with a par value of NOK 1.00.

Result of Bond Issue

Under the Bond Issue, the Company will issue 325,000 convertible bonds, each

with a par value of USD 100, equal to a total issue amount of USD 32,500,000.

A total of 222,240 bonds, equal to USD 22,224,000, were subscribed for under the

Bond Issue. In accordance with the terms of the Underwriting Agreements, the

remaining 102,760 bonds, equal to USD 10,276,000, have been allocated to the

Underwriters. Based on the respective underwriting obligations of each of the

Underwriters, and the amounts already subscribed for by each of them under the

Bond Issue, 49,060 bonds were allocated to Siem Investments Inc. and 53,700

bonds were allocated to Perestroika AS.

As further described in the Prospectus and the Bond Issue subscription form,

payment for the bonds issued under the Bond Issue will need to have been made on

or before 9 May 2018.

For further information, please contact:

Hege Veiseth, CFO, +47 99 21 67 43

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.

EMGS operates on a worldwide basis with offices in Trondheim, Oslo, Houston,

Villahermosa, Rio de Janeiro and Kuala Lumpur.

For more information, visit www.emgs.com

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This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.