1Q 2021 Presentation

Lars Peder Solstad, CEO and Kjetil Ramstad, CFO

Disclaimer

Important information

Cautionary note regarding forward-looking statements

This presentation, prepared by Solstad Offshore ASA (the "Company"), may include forward-looking statements relating to the business, financial performance and results of the Solstad Offshore Group and/or the industry in which it operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. Any forward-looking statements contained in this presentation, including assumptions, opinions and views of the Company or cited from third party sources, reflect the current views with respect to future events and are subject to material risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. None of the Company or any of its subsidiary undertakings or any such person's officers or employees provide any assurance as to the correctness of such forward-looking information and statements.

The Company assumes no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.

1Q 2021 Financial Highlights

1	Revenue	NOK 1,337M (NOK 1,203M)	NOK 4,500M backlog (NOK 7,700M)
2	EBITDA Adj.	NOK 432M (NOK 284M)	32% Ebitda margin (23,6%)
3	EBIT	NOK 47M (NOK -136M)	3,5% Ebit margin (-11%)
4	Assets	NOK 21,790M Fixed Assets (NOK 27,121M)	NOK 2,129M Cash (NOK 987M)
5	Equity & Liabilities	NOK 19,536M NIBD (NOK 33,955M)	NOK 3,899M Equity (NOK – 6,370M)
*1Q2020 in brackets

Business Update

First full quarter after restructuring of the Company, focus shifted from "fixing the house" to operational and commercial excellence.

Company owns and operates one of the largest high-end offshore fleet in the World. In the quarter, in average, 75 vessels was operational with an average utilization of 79%

The overall utilization for the quarter was in line with previous year however with a lower average rate level.

CSV Normand Fortress, AHTS Normand Ranger and PSV Normand Sitella was reactivated in the quarter. All reactivations has been done based on new contracts.

COVID-19 pandemic continue to affect the operations and approximately MNOK 30 in additional Opex is booked in the quarter.

Normand Maximus

Reached an out-of-court settlement agreement with Saipem 20th May-21 on a termination-fee dispute from 4Q 2020.

The termination fee of MUSD 44,3 booked as revenue in 1Q 2021

The dialogue for a long-term solution for the financing arrangements for the Normand Maximus is ongoing.

The vessel is currently working in Gulf of Mexico.

Active bidding activity for new employment after Mexico.

Fleet update pr 1Q

The core-fleet of Solstad consist of around 90 vessels serving Clients within Oil & Gas and Offshore-wind, globally.

In addition, several vessels are in the process of being sold.

Vessels in lay-up: 15

Number of active vessels: 75

(5 of the lay-up vessels are being activated during 2Q 2021 due to awarded contracts)

6 vessels sold during 1Q 2021.
31 vessels held for sale.
(2 more vessels sold after quarter end.)

Market Update

Increased bidding activity within Oil & Gas and offshore wind bodes for improved market balance 1 going forward particularly for the CSV-fleet.

CSV segment to benefit from growth in offshore wind and subsea activity. In addition, the segment is not as oversupplied as other OSV segments.

Both in Oil & Gas and Offshore Wind and within all vessel segments and main geographical areas.

Still pressure on dayrates due to high number of bidders and available vessels

Backlog

0 500 1 000 1 500 2 000 2 500 2021 2022 2023 2024 2025 2026 MNOK Backlog per year per segment AHTS PSV CSV (WIND) CSV (O&G)

Oil & Gas segment expected to grow together with offshore wind

Backlog next 12 months per segment

Comfortable contract coverage short term

Relatively open contract structure gives opportunities in a growing marked

Income Statement

	2021	2020
Amounts in NOK million	1Q	1Q
Operating income	1 337	1 203
Vessel operating expenses	(810)	(860)
Administrative expenses	(104)	(104)
Total operating expenses	(914)	(964)
Operating result before depreciations	423	239
Ordinary depreciation	(320)	(375)
Impairment	(45)	-
Net gain/ loss on sale of assets	(11)	-
Operating result	47	(136)
Result Joint Ventures	(9)	9
Result associated companies	0	12
Total other items	(9)	20
Net financing	(346) -	(2 129) -
Ordinary result before taxes	(308)	(2 245)
Taxes ordinary result	(3)	(5)
RESULT	(310)	(2 250)
EBITDA adjusted	432	284

Balance Sheet

	2021 2021	2020 2020		2021 2021	2020 2020
Amounts in NOK million Amounts in NOK million	1Q 1Q	1Q 1Q		1Q 1Q	1Q 1Q
ASSETS ASSETS			EQUITY AND LIABILITIES EQUITY AND LIABILITIES
Fixed Assets Fixed Assets			Equity Equity
Intangible assets Intangible assets	10 10	46 46	Paid-in equity Paid-in equity	250 250	4 603 4 603
Tangible fixed assets Tangible fixed assets	19 143 19 143	22 332 22 332	Other equity Other equity	3 635 3 635	(10 981) (10 981)
Right-of-use assets Right-of-use assets	2 432 2 432	4 083 4 083	Non-controlling interests Non-controlling interests	14 14	9 9
Investment in assosiated companies and JV's Investment in assosiated companies and JV's	95 95	466 466	Total equity Total equity	3 899 3 899	(6 370) (6 370)
Financial fixed assets Financial fixed assets	111 111	194 194
Total fixed assets Total fixed assets	21 790 21 790	27 121 27 121	Liabilities Liabilities
			Long-term provisions Long-term provisions	28 28	83 83
Current Assets Current Assets			Other long-term debt Other long-term debt	12 12	12 12
Stocks Stocks	161 161	229 229	Debt to credit institutions Debt to credit institutions	17 227 17 227	4 738 4 738
Accounts receivables Accounts receivables	1 195 1 195	990 990	Total long-term debt Total long-term debt	17 268 17 268	4 833 4 833
Other receivables Other receivables	490 490	653 653
Market based shares Market based shares	16 16	4 4	Current liabilites Current liabilites
Deposits, cash, etc Deposits, cash, etc	2 129 2 129	987 987	Current portion of long-term debt Current portion of long-term debt	3 433 3 433	30 192 30 192
Total current assets Total current assets	3 991 3 991	2 864 2 864	Other current liabilities Other current liabilities	1 180 1 180	2 202 2 202
			Total current liabilities Total current liabilities	4 614 4 614	32 394 32 394
Assets held for sale Assets held for sale	- -	872 872	Total liabilities Total liabilities	21 882 21 882	37 227 37 227
	- -	- -
TOTAL ASSETS TOTAL ASSETS	25 781 25 781	30 857 30 857	TOTAL EQUITY AND LIABILITIES TOTAL EQUITY AND LIABILITIES	25 781 25 781	30 857 30 857
			Equity ratio Equity ratio	15,1 % 15,1 %	-20,6 % -20,6 %

Summary

Increasing bidding activity gives early signs of optimism.
Growth in Offshore Wind and Subsea activity would be beneficial for offshore vessels and particularly CSVs.
Still pressure on dayrates, despite higher activity level
Access to Global markets and compliance with local content requirements will continue to be a competitive advantage.

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Solstad Offshore ASA Investor Presentation 2021