North Energy ASA — Earnings Release 2021

May 6, 2021

North Energy ASA - Results for the first quarter 2021

North Energy ASA - Results for the first quarter 2021

6.5.2021 07:30:00 CEST | North Energy ASA | Half yearly financial reports and

audit reports / limited reviews

North Energy ASA ("North Energy" or "Company") recorded a comprehensive loss of

NOK 30.7 million in the first quarter of 2021 compared to a comprehensive loss

of NOK 55.0 million in the same quarter last year. The loss reported this

quarter is mostly driven by a decrease in the market value of the investment in

Touchstone Exploration Inc. ("Touchstone Exploration").

In March 2021, Touchstone Exploration announced preliminary results from

formation testing of the Chinook-1 well in the Ortoire license. Although logging

from the exploration well had indicated a significant natural gas discovery, the

preliminary test results were disappointing compared to pre-test expectations.

The Chinook-1 well is now believed to be a possible oil discovery and is

currently on an extended production test to determine commerciality.

Touchstone Exploration is currently working on developing the other discoveries

in the Ortoire license. Production from the Coho-1 well is expected to start in

the second quarter of 2021. Further, the company is planning to bring two

Cascadura wells into production towards the end of 2021. The Royston well, which

is the last well in phase 1 of the company's Ortoire exploration program, is

planned for drilling in the second quarter of 2021.

The Company's main industrial investment, Reach Subsea, reported a comprehensive

income of NOK 11.4 million in the first quarter of 2021, which is the best first

quarter result in the company's history. High utilization and successful project

execution are the main drivers behind the strong results. North Energy

consolidates NOK 3.7 million of the result in its financial figures.

At the end of the first quarter 2021, North Energy's total investment portfolio

had a market value NOK 304.0 million, up from NOK 302.8 million last quarter.

The portfolio consists of industrial holdings, listed financial investments and

other financial investments. The industrial holdings include the Company's

shares in Reach Subsea where North Energy is the major shareholder. During the

quarter, North Energy, together with Ferd AS, exercised an option to invest an

additional NOK 10 million each in Wind Catching Systems AS which is developing

an innovative technology for floating offshore wind systems. The listed

financial investments consist of shares in Touchstone Exploration amongst

others.

The Company's cash position as per end of first quarter 2021 is reported at NOK

119.1 million. In April, the General Assembly of North Energy approved a

dividend of NOK 0.45 per share, in total NOK 52.8 million. The dividend was paid

to shareholders later in April.

The report for the first quarter 2021 is available on the Company's website,

www.northenergy.no - http://www.northenergy.no.

DISCLOSURE REGULATION

This information is subject to the disclosure requirements pursuant to Section

5-12 the Norwegian Securities Trading Act

CONTACTS

* Knut Sæberg, CEO, +47 918 00 720, knut.saeberg@northenergy.no

ATTACHMENTS

NE Interim report Q1 2021.pdf -

https://kommunikasjon.ntb.no/ir-files/17847319/530/678/NE%20Interim%20report%20Q

1%202021.pdf