North Energy Asa · OSL:NORTH

North Energy Asa — Q3 2017 Earnings Presentation

18 slides from North Energy Asa's earnings presentation, Nov 9, 2017

  1. Slide 1: North Energy Q3 2017

    North Energy Q3 2017 High investment activity and a strong financial position 9 November 2017 CEO Knut Sæberg

  2. Slide 2: Important information

    Important information This presentation and its appendices (together the “Presentation”) have been prepared and delivered by North Energy ASA (“North Energy” or the “Company”). The Presentation is prepared for information purposes only, and is not to be used for any other purpose. The Presentation d

  3. Slide 3: Agenda

    Agenda  Q3 highlights and subsequent events  Operational update  Financial update  Summary and outlook North Energy ASA · post@northenergy.no · (+47) 22 01 79 50 · www.northenergy.no

  4. Slide 4: Q3 highlights and subsequent events

    Q3 highlights and subsequent events  Liquidation of North E&P on track  Decision in July 2017 to discontinue the petroleum activities on NCS  Tax return and request for early settlement submitted according to plan  Continued high investment activity  Acquisition of shares in Touchstone Explorat

  5. Slide 5: Agenda

    Agenda  Q2 highlights and subsequent events  Operational update  Financial update  Summary and outlook North Energy ASA · post@northenergy.no · (+47) 22 01 79 50 · www.northenergy.no

  6. Slide 6: Liquidation of North E&P on track

    Liquidation of North E&P on track  North Energy to seize petroleum activities and liquidate North E&P  Decision made by the Board of Directors 7 July 2017  Sale of last licence (PL 805) approved by authorities and transaction completed  Tax return from North E&P filed according to plan  Seeking

  7. Slide 7: Estimated cash from liquidation of North E&P

    Estimated cash from liquidation of North E&P  2016 tax refund received North E&P net cash position (MNOK)  In line with estimates  Fully utilised for downpayment of borrowings  Final proceeds from Estimated cash from liquidation of North E&P MNOK liquidation of North E&P depending on Tax loss ca

  8. Slide 8: Continued high investment activity

    Continued high investment activity  Investment in Touchstone Exploration  Listed on TSX and AIM  Onshore E&P activities in Trinidad  Seabird Exploration (SBX) bonds OPPDATERES partly converted to shares  Conversion shares sold in August  New shares acquired through private placement in Septemb

  9. Slide 9: Sale of PGR shares confirms NOK 45 million gain from Interoil bonds

    Sale of PGR shares confirms NOK 45 million gain recorded from sale of Interoil-bonds  Original investment of NOK 18 million in IOX bonds  March 2016  Consideration in cash and shares in Andes Energia (AEN) from sale of IOX bonds  USD 2 million cash, 7.5 million shares in AEN  NOK 45 million gai

  10. Slide 10: Steady growth in Reach Subsea

    Steady growth in Reach Subsea  Executing on growth plan  Expanded to a 6 vessel operation  Good utilisation to be North’s position MNOK expected in Q3, according Book value as per 30.06.17 76.6 to company Impairment reversal in Q3 18.1  Reach will announce its Investment in Q3 0.5 Q3 report on T

  11. Slide 11: Agenda

    Agenda  Q2 highlights and subsequent events  Operational update  Financial update  Summary and outlook North Energy ASA · post@northenergy.no · (+47) 22 01 79 50 · www.northenergy.no

  12. Slide 12: Profit & Loss Q3 2017

    Profit & Loss Q3 2017 (North Energy group consolidated) NOK Million Q3 2017 Q3 2016 YTD 2017 YTD 2016 2016 Sales of services 1.1 1.1 3rd party Gain/loss from licence sale - - - 9.5 14.0 Exploration expenses (4.4) (7.2) (1.9) (17.5) (29.1) Adjustment previously owned licences Payroll (1.3) (8.0) (17.

  13. Slide 13: Balance Sheet 30 September 2017

    Balance Sheet 30 September 2017 (North Energy group consolidated) NOK Million 30.09.2017 30.06.2017 31.12.2016 Comments on 30.09.2017 Assets Fixed assets 0.1 0.2 1.3 Deferred tax asset 10.4 213.7 207.3 Mainly deferred tax on LCF ex. E&P Investments 123.3 148.5 51.3 Shares, bonds, assoc. comp. Long t

  14. Slide 14: A comfortable cash position

    A comfortable cash position  Consolidated net cash position of NOK 71 million North Energy consolidated net cash position (MNOK)  Increase of NOK 25 million 62 from Q2  Borrowings includes draw on DNB/SEB exploration facility and Pareto Bank overdraft  Estimated net cash from E&P liquidation not

  15. Slide 15: A solid financial position

    A solid financial position  Net cash position as per 30 Sept NOK 71 million  Investment portfolio as per 30 Sept NOK 134 million  Tax losses carried forward from North E&P* NOK 201 million * The final proceeds received from North Energy financial position (MNOK) the liquidation of North E&P will

  16. Slide 16: Agenda

    Agenda  Q2 highlights and subsequent events  Operational update  Financial update  Summary and outlook North Energy ASA · post@northenergy.no · (+47) 22 01 79 50 · www.northenergy.no

  17. Slide 17: Summary and outlook

    Summary and outlook  A comfortable financial position  Significant increase in cash during Q3  Cash burn reduced further  Liquidation of North E&P on track  Tax return filed  Request for early tax settlement submitted  Actively pursuing new market opportunities  A more focused company follow

  18. Slide 18: Q&A

    Q&A North Energy ASA · post@northenergy.no · (+47) 22 01 79 50 · www.northenergy.no

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