PGS ASA

Investor Presentation • Oct 21, 2021

Third Quarter 2021 Earnings Presentation

Oslo, October 21, 2021

• This presentation contains forward looking information
• Forward looking information is based on management assumptions and analyses
• Actual experience may differ, and those differences may be material
• Forward looking information is subject to significant uncertainties and risks as they relate to events and/or circumstances in the future
• This presentation must be read in conjunction with the Q3 2021 earnings release and the disclosures therein

Agenda Q3 2021 Presentation

Rune Olav Pedersen, President & CEO

• Q3 takeaways
• Financial summary
• Order book

Gottfred Langseth, EVP & CFO

– Financial review

Rune Olav Pedersen, President & CEO

• Operational update and market outlook
• Guidance
• Summary and Q&A

Q3 2021 Takeaways: Further Contract Market Improvement – Muted Late Sales

• High contract allocation and improving rates
• MultiClient
  • Attractive MultiClient acquisition programs
  • Continued low spending impacts late sales
  • Expect seasonal late sales increase in Q4
• Strong cash flow
• 50% increase in order book Y-o-Y – Seasonal lower activity currently
• First significant CCS MultiClient sale
• Expect higher 2021 Segment revenues vs. 2020

-5-

Financial Summary

-16 -14 -4 -40 -50 -30 -10 USD million

84 84 USD million

*EBITDA, when used by the Company, means EBIT excluding Other charges, impairment and loss/gain on sale of long-term assets and depreciation and amortization as defined in Note 14 of the Q3 2021 earnings release published on October 21, 2021 **Excluding impairments and Other charges.

Increasing Order Book

• Order book of \$241 million on September 30, 2021
  • \$51 million relating to MultiClient
• Vessel booking*
  • Q4 21: 13 vessel months
  • Q1 22: 7 vessel months
  • Q2 22: 6 vessel months
• Two vessels with still unsold Q4 capacity
  • In detailed discussions for programs starting in Q4 for both

Financials

Unaudited Third Quarter 2021 Results

This presentation must be read in conjunction with the Q3 2021 Earnings Release and the disclosures therein.

Consolidated Key Financial Figures

	Q3	Q3	YTD	YTD	Full year
(In millions of US dollars share data) , except per	2021	2020	2021	2020	2020
Profit Segment Reporting and loss numbers
Segment Other and Income revenues	131 7	116 1	415 7	423 1	595 9
Segment EBITDA	55 6	88 4	224 2	268 1	397 7
Segment EBIT Impairment and other charges , net ex.	(39 5)	0 5	(57 6)	(8 3)	12 2
Profit and loss numbers As Reported
Revenues and Other Income	141 7	85 1	493 3	304 3	512 0
EBIT	(29 9)	(4 3)	(39 6)	(166 6)	(188 0)	▪ High amortization
Net financial items	(29 5)	(24 3)	(79 2)	(87 1)	(118 4)	relative to MultiClient
(loss) before Income income tax expense	(59 4)	(28 6)	(118 8)	(253 7)	(306 4)
Income tax expense	(1 3)	(4 0)	(7 1)	(7 6)	(15 1)	sales significantly
Net income (loss) equity holders to	(60 7)	(32 6)	(125 9)	(261 3)	(321 5)	impacts Q3 2021
(\$ Basic earnings share share) per per	(\$0 15)	(\$0 08)	(\$0 32)	(\$0 69)	(\$0 85)	EBIT
Other key numbers
Net cash provided by operating activities	114 5	65 9	284 5	309 3	366 5
Cash MultiClient Investment in library	35 0	56 8	103 9	189 2	222 3
Capital expenditures (whether paid not) or	6 2	8 4	23 7	24 7	36 1
Total assets	1 843 0 ,	2 137 8 ,	1 843 0 ,	2 137 8 ,	2 093 8 ,
Cash and cash equivalents	193 0	193 7	193 0	193 7	156 7
Net interest bearing debt	917 9	919 7	917 9	919 7	937 6
following IFRS Net interest bearing debt including lease liabilities 16 ,	1 046 1 ,	1 078 8 ,	1 046 1 ,	1 078 8 ,	1 096 2 ,

The accompanying unaudited financial information has been prepared under IFRS. This information should be read in conjunction with the Q3 2021 Earnings Release issued October 21, 2021. -8-

Q3 2021 Operational Highlights

• Contract revenues of \$66.4 million
  • 59% of active time used for contract acquisition
  • ~40% sequential increase of revenue per 3D vessel day
• Total Segment MultiClient revenues of \$60.1 million
  • Pre-funding revenues of \$35.3 million
  • Pre-funding level of 101%

Total Segment MultiClient Revenues by Region

Europe Africa Middle East N. America S. America Asia Pacific

Seismic Vessel Allocation* and Utilization

• 68% active vessel time in Q3 2021
  • Six active 3D vessels
• Indicative Q4 vessel allocation
  • Overweight of contract work
  • Some vessel relocations
  • Some standby time relating to unsold capacity

Cost* Focus Delivers Results

• Cost substantially down from pre Covid levels
  • Cost remains a key priority and develops in line with plan
• Y-o-Y cost increase due to
  • More vessel capacity
  • Higher project costs, including node and source vessel operations
  • Higher fuel prices
  • Appreciation of NOK and other currencies vs. USD
• Full year gross cash cost estimate in the range of \$400-420 million

*Gross cash cost are defined as the sum of reported net operating expenses (excluding depreciation, amortization, impairments, deferred steaming and Other charges) and the cash operating costs capitalized as investments in the MultiClient library as well as capitalized development costs. -12-

Balance Sheet Key Numbers As Reported

	September 30	September 30	December 31
of US In millions dollars	2021	2020	2020
Total assets	1 843 0 ,	2 137 8 ,	2 093 8 ,
MultiClient Library	489 5	689 4	616 1
Shareholders' equity	297 5	452 6	396 4
Cash and cash equivalents (unrestricted)	193 0	193 7	156 7
Restricted cash	69 6	57 5	76 6
Gross interest bearing debt	1 180 5 ,	1 170 9 ,	1 170 9 ,
Gross following IFRS interest bearing debt including lease liabilities 16 ,	1 308 7 ,	1 330 0 ,	1 329 5 ,
Net interest bearing debt	917 9	919 7	937 6
Net interest bearing debt including lease liabilities following IFRS 16 ,	1 046 1 ,	1 078 8 ,	1 096 2 ,

• Cash and cash equivalents (unrestricted) of \$193.0 million, up \$36.3 million from start of year
• Net interest bearing debt (including lease liabilities) reduced by \$50.1 million YTD
• MultiClient library of \$489.5 million based on IFRS and \$481.6 million according to Segment Reporting

Improving Free Cash Flow Generation

Quarterly net cash flow* generation

• Returning to positive cash flow generation in a still challenging market
• Q3 net cash flow* of \$37.6 million
  • \$55.6 million YTD (excluding refinancing payments)
• Working capital reduced as DSO for accounts receivables and accrued revenues moves closer to long term average
  • Some receivables with extended credit terms still left by end Q3
• Interest payments on the export credit financing is generally covered from restricted cash through 2022

* Net cash flow used in this presentations is the same as Net increase in cash and cash equivalents as shown in the Consolidated Statement of Cash Flows. The amounts shown for Q1 2021 and YTD 2021 exclude the effect of net payment of refinancing cost of \$19.3 million.

Progressing Towards Managing 2022 Maturities and Refinancing

• Additional \$17 million of net cash flow needed over the next twelve months ("NTM") to meet September 2022 TLB maturity
• \$37.6 million of net cash flow in Q3 – \$55.6 million YTD (excluding refinancing payments)
• Expect 2021 Segment revenues to be higher than in 2020
• Expect market to improve further in 2022

Expect to generate sufficient cash flow to repay 2022 debt maturities and be in position to refinance

Operational Update and Market Outlook

Unaudited Third Quarter 2021 results

This presentation must be read in conjunction with the Q3 2021 Earnings Release and the disclosures therein.

Fleet Activity October 2021

Contract Market Continues to Improve

• Healthy bidding activity
• Significant volume of leads and tenders for 2022 summer season in the market
• Expect material increase in North Sea 4D activity in 2022

Production Seismic (4D) Will Increase Significantly in 2022

• More than 30 4D streamer projects planned for 2022 – Previous record is 24 surveys in 2012
• Project planning well advanced with 26 surveys as active bids, tendered bids or already awarded – Mostly in Europe and Africa
• Not unlikely to see further increase in 2022 4D volume

Recovering Contract Rates

.

Development of contract revenue per 3D vessel day*

• Significant contract rate increase YTD
• Winter rates holding up well
• Expected activity increase in 2022 should support further price recovery

*Adjusted for source vessel and node operations. Excludes revenues from the long-term support agreement in Japan. **Based on secured work in order book scheduled for Q4 acquisition.

Historically Low Supply

• Seasonal capacity reduction into Q4 2021
• We expect to operate 6 vessels through 2022

CCS Seismic Market and Future Potential

Emerging CCS seismic market

• Made significant data sale solely for the purpose of CCS
• Expect more CCS MultiClient data sales
• Three CCS baseline acquisition tenders scheduled for 2022 North Sea season

2050 CO² storage scenarios assessed by IPCC (Gtpa)

Scenarios assessed by IPCC have a median value of ~15 Gt CO² in 2050, approximately double the level in IEA's NZE 2050

CO² storage volumes can be used to estimate potential for vessel demand. Such estimates require several assumptions, including the number of and size of offshore storage projects, survey size and survey frequency

PGS builds significant market share in the CCS market IEA Net Zero 2050 scenario: 7.6 Gtpa in 2050 CCS has the potential to create a meaningful seismic market

Strategic Collaboration with MagSeis Fairfield

- Strategic collaboration to address the growing hybrid towed streamer and OBN seismic market – Untapped market opportunity

• Global scope with initial focus on North Sea
• One year agreement with options to extend

	Group cash cost	MultiClient cash investment	Active 3D vessel time allocated to MultiClient	Capital expenditures
Year-to-date Performance	\$303.9 million	\$103.9 million	~45%	\$23.7 million
2021 Guidance	In the range of \$400- 420 million	~\$125 million	~35%	~\$40 million

Summary

• Further contract market improvement
• Changing and challenging MultiClient market, but sales likely to improve going forward
  • Expect seasonal late sales increase in Q4
• Increasing demand for new acquisition surveys – Record high 4D activity expected for 2022
• Healthy order book
• Expect higher Segment revenues in 2021 vs. 2020
• Expect to generate sufficient cash flow to repay 2022 debt maturities and be in position to refinance

Questions?

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