Electromagnetic Geoservices Asa · OSL:EMGS
Electromagnetic Geoservices Asa — Q3 2021 Earnings Presentation
15 slides from Electromagnetic Geoservices Asa's earnings presentation, Nov 11, 2021
Slide 1: Q3 2021 Results
Q3 2021 RESULTS Oslo, 11th November 2021 Bjørn Petter Lindhom, CEO Anders Eimstad, CFO
Slide 2: Disclaimer
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
Slide 3: Q3 2021 Operational and financial highlights
Q3 2021 Operational highlights • Completed proprietary survey in Southeast Asia • Completed mobilisation to the North Sea and commenced acquisition of a fully prefunded multi-client survey Financial highlights • Revenues of USD 12.7 million • EBITDA of USD 9.7 million • Adjusted EBITDA of USD 7.6 mi
Slide 4: Operations, Market and Outlook
Operations, Market and Outlook
Slide 5: Operational Update
Operational Update Southeast Asia project completed (18th August) • 220 receivers deployed • 930 km towed with Deep Blue source • Exploration and appraisal objectives • Revenue USD 7.3 million Utsira Multi-Client survey commenced (24th September) • Survey completed (2nd November) • 348 receivers • 1
Slide 6: Marine Minerals
Marine Minerals • Marine minerals are needed in the energy transition • Metallic minerals are electric and magnetic by nature • EM methods can measure these properties in the rocks • EMGS has the technology and experience needed to play a vital role in the emerging marine minerals industry • Advanta
Slide 7: EM will be used to map marine mineral deposits
EM will be used to map marine mineral deposits “Using … the bathymetric, seismic and EM data, we can “..mineralogical analyses of regional sediments and make estimates for the volumes and tonnages of sulphide in electromagnetic surveys are capable of determining the the eSMS1 mounds...” thickness of
Slide 8: EM will be used to map marine mineral deposits
EM will be used to map marine mineral deposits “Towed electromagnetic instruments have been developed and successfully tested not only to detect eSMS, but also to provide first estimates on the thickness of the conductive layer.“ “The new geophysical tools and geological mapping and sampling will al
Slide 9: EM methods crucial to map marine minerals
EM methods crucial to map marine minerals Exploration Challenge Cost-efficient exploration • Only eSMS with sufficient valuable mineral content are of • Identification of areas with potential eSMS using EM and acoustic methods (e.g. multibeam, seismic etc.) commercial interest • Estimating type and
Slide 10: Financial review
Financial review auemegs
Slide 11: Third quarter 2021 performance: Development in revenues and EBITDA
Third quarter 2021 performance I Development in revenues and EBITDA Key financial metrics Quarterly development (USD million) • Revenues Revenues 15 13 • USD 12.7 million total revenue 9 10 • USD 7.4 million in contract revenue 4 5 2 • USD 4.0 million in multi-client revenue 2 0 • Vessel utilisation
Slide 12: Operational costs
Operational costs Quarterly operational cost base* development (USD million) Comments • Operational costs base in Q3 21 of USD 5.2 million 4.8 • USD 0.3 million higher than Q2 21 0.1 5 • Other operational expenses and employee expenses remain consistently 1.7 low • Vessel and office lease expense hi
Slide 13: Increase in free cash in Q3 2021
Increase in free cash in Q3 2021 Quarterly free cash development (USD million) Comments • Net increase in free cash of USD 1.5 million to USD 14.7 million • Positive change in cash a result of USD 9.7 million EBITDA, with an adjusted EBITDA of USD 7.6 million • USD 3.0 million bond buy-back • Impair
Slide 14: Summary
Summary
Slide 15: Q&A
Q&A Please e-mail questions to: emgs@emgs.com
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