Archer Limited · OSL:ARCH
Archer — Investor Presentation (September 2025)
40 slides from Archer's investor presentation, September 2025
Slide 1: Investor Presentation
The Well Company Investor Presentation September 2025
Slide 2: Disclaimer and important information
Disclaimer and important information This presentation (the "Presentation") has been produced by Archer Limited (the "Company", and together with its subsidiaries the "Group" or "Archer") with assistance from Arctic Securities AS, DNB Carnegie, a part of DNB Bank ASA, Pareto Securities AS and SpareB
Slide 3: Summary of risk factors
Summary of risk factors An investment in Archer Limited (the "Company" and, together with its subsidiaries, the "Group") involves inherent risk. Set out below is a non-exhaustive summary of certain of the risks described in this Presentation. No investor should make any investment decision without h
Slide 4: Continued growth to above $1.3bn in revenue
Revenue EBITDA $m $m I Continued growth to above $1.3bn in revenue CAGR +11% CAGR +21% 1,3011,300-1,350 145-155 1,169 135 970 117 86 II Annual EBITDA growth of about 20% ’22 ’23 ’24 ’25G ’22 ’23 ’24 ’25G III Annual growth in cash contribution of 20% Cash contribution Leverage ratio $m CAGR +20% 5.3x
Slide 5: Global drilling and well services business
Global drilling and well services business Divisions Share of ‘25E EBITDA EBITDA development ~40% $m ▪ Broad well intervention portfolio, including 48 52 P&A solutions 31 32 Continued growth and Well Services ▪ Strong EBITDA growth of ~25% 22 CAGR since ‘17 including bolt-on acquisition margin expan
Slide 6: Archer's EBITDA remains robust throughout the market cycles
Archer’s EBITDA remains robust throughout the market cycles Consistent growth in EBITDA and cash contribution ($m) Strong YoY-growth relative to peers1 EBITDA Margin EBITDA - capex 145-155 EBITDA Q2 135 (Q2 ’25 vs. Q2 ’24) 11% 11% 117 10% -13% Peers 10% 9% 9% 94 9% +16% 8% 85 86 90-110 76 72 EBITDA
Slide 7: Archer has launched shareholder return program
Archer has launched shareholder return program Shareholder cash distributions Archer with attractive direct yield At current rate Shareholder program yields in industry2 Share buybacks ~10% Dividends ~10% $22,0m ~9% ~8% $5,5m Quarterly Annualized ~5% Per share1 NOK 0.62 NOK 2.48 ~4% ~3% ✓ Archer’s s
Slide 8: Acquiring a complimentary well services business in the GoA
Acquiring a complimentary well services business in the GoA Premium Oilfield Services description • Well service company focused on fishing services in the Gulf of America • Solid reputation and long customer relations with major operators, Midland (TX) complimentary to Archer client base operating
Slide 9: Material P&A spending expected by Archer and Premium clients in the GoA
Material P&A spending expected by Archer and Premium clients in the GoA GoA deepwater decom expenditures ($bn)1 $GoA deepwater decom commitments by operator1 $’20-’39E ‘25E-’39E Archer or Premium client >3x Others 5.0 1% 3% 4% 5% 22% 2% 3.5 7% ~$15bn 2.6 8% commitment ’25-’39 21% 1.5 12% 15% ’20-24
Slide 10: Accretive transaction in line with prior acquisitions
Accretive transaction in line with prior acquisitions Successful track record of Acquisition to contribute strongly Archer maintain focus on accretive acquisitions for further value creation value-creative M&A initiatives Acquisitions since start of 20231 Premium acquisition M&A focus areas ~3.0x ~2
Slide 11: Meaningful cost and capex synergies with Archer
Meaningful cost and capex synergies with Archer Estimated impact on Archer EBITDA and cash contribution1 ($m) Comments • Clear action plan to deliver $3-4m in annual cost synergies ~9 • The majority of the cost synergies are from rental ~8 ~1 savings for Archer’s business by utilizing Premium’s tool
Slide 12: Accretive acquisition strengthening Archer's EBITDA and cash flow
Accretive acquisition strengthening Archer’s EBITDA and cash flow Key investment attributes1 Impact on pro forma key metrics1 EBITDA PF ‘25E EBITDA and cash contribution to increase by about I 5% and 8-10% respectively +5% II Accretive acquisition of ~2.5x EV/EBITDA Archer ‘as-is’ With Premium III P
Slide 13: Archer's capital allocation strategy
Archer’s capital allocation strategy Balance sheet Capex M&A Shareholder returns Strong balance sheet and Capex maintained at Selective accretive Shareholder healthy debt levels moderate levels bolt-on acquisitions returns • Target a long-term leverage • Targeting total capex of 3-4% of • Discipline
Slide 14: The Well Company
The Well Company I Resilient business model with ~90% of revenues from brownfield operations and P&A II Strong EBITDA growth throughout the market cycles III P&A and decom market set to double by 2050 IV Quarterly distributions to shareholders at around ~10% yield V Accretive transaction supporting
Slide 15: Appendix
1 Premium Oilfield Services 2 Archer Appendix 3 Market 4 Risk factors 16 ©Archer ‘24
Slide 16: Archer with clear operational benefits by acquiring Premium
Archer with clear operational benefits by acquiring Premium 1 Becoming the clear market leader in fishing in the GoA 2 Strong customer coverage with major operators, complimentary to Archer client base Strategic 3 Material cost and capex synergy savings rationale 4 Well-maintained excess fishing equ
Slide 17: Premium's financials have declined with the market, but earnings power is intact
Premium’s financials have declined with the market, but earnings power is intact Premium company financials 2019-2025E Comments Excluding discontinued operations Revenue ($m) Key figures • Lower activity and Covid-19 Normalized Capex margins in ‘24 and YTD 40 ~4% ‘25, in line with market of revenue
Slide 18: Appendix
1 Premium Oilfield Services 2 Archer Appendix 3 Market 4 Risk factors 19 ©Archer ‘24
Slide 19: The Well Company
Geothermal Platform Operations Well Services Drilling & Well Services Platform Drilling Services Well Construction Services The Well Company Land Drilling Engineering Services Well Intervention Drilling & Workover Services Integrated Project Management Brownfield & Late Life Services Well P&A Well I
Slide 20: Well Services: Strong organic growth combined with synergetic acquisitions
Well Services: Strong organic growth combined with synergetic acquisitions High-end well intervention services and technology Strong EBITDA growth over time • High-end solutions ensuring well performance to clients globally EBITDA ($m) • Leading offering within workover and P&A services EBITDA Recen
Slide 21: Platform Operations: Leading platform drilling service provider in the North Sea
Platform Operations: Leading platform drilling service provider in the North Sea Production and late life operation services Diverse service offering • North Sea and Brazil focused operation based on long-term contracts • North Sea and Brazil focused operation based on long-term contracts with opera
Slide 22: Land Drilling: Cash positive drilling and workover services
Land Drilling: Cash positive drilling and workover services A leading land drilling provider in Vaca Muerta Financial profile EBITDA ($m) 39 • A leading provider of land drilling and workover services 35 in Argentina • Self-sufficient and cash positive business 28 26 • Completed down-manning of ~550
Slide 23: Renewable Services: A broad offering with profitable and growing operations
Renewable Services: A broad offering with profitable and growing operations Renewable services offering ’25E key figures ▪ Service offering with geothermal energy, carbon storage, wind and hydropower, without taking EPCI risk Revenue above $100m ▪ Meaningful underlying demand growth for geothermal a
Slide 24: Positioned in the resilient brownfield and energy transition market segments
Positioned in the resilient brownfield and energy transition market segments Main market exposure: ~90% of Archer revenue Brownfield operations Energy transition Greenfield operations Renewables Late life production Well P&A and decommissioning Services for exploratory wells and ✓ Services to optimi
Slide 25: Archer financial guidance for 2025
Archer financial guidance for 2025 ‘25 Financial estimates1 Key takeaways 1,301 1,300-1,350 • Recent adjustments related to reduced activity in Argentina and slightly Revenue ($m) softer well services market in the US and the UK Low single digit growth • Revenue set to increase by low single digits,
Slide 26: Outlook backed by $4.2bn backlog
Outlook backed by $4.2bn backlog Revenue backlog | $bn Diverse service offering • Firm backlog of more than $2.3bn, with an additional $1.9bn in contract 1.5 options Firm Option • About half of backlog coming from long-term platform operation contracts with blue-chip E&P operators, with Equinor bein
Slide 27: Long-term support from shareholders led by Hemen
Long-term support from shareholders led by Hemen Archer has been part of the Hemen portfolio since inception Raised $150m in equity last 2 years '23 Oil Services Shipping Equity private placement in $100m connection with the previous refinancing '24 Equity private placement in $50m connection with a
Slide 28: Appendix
1 Premium Oilfield Services 2 Archer Appendix 3 Market 4 Risk factors 29 ©Archer ‘24
Slide 29: Positioned in the low-cyclical brownfield segment and emerging P&A market
Positioned in the low-cyclical brownfield segment and emerging P&A market Stable brownfield E&P market with increased spending forecast Archer positioned in key P&A regions $bn $bn, E&P abandonment costs ‘24-’50 Archer core market 317 50 306 309 314 295 280 $240bn Offshore decommissioning spend ‘24-
Slide 30: Solid spending outlook for Archer's brownfield services in core markets
Solid spending outlook for Archer’s brownfield services in core markets E&P brownfield spending in key Archer markets Comments $bn North Sea1 GoA Brazil offshore Main services within ‘25E-’30E: brownfield, which is less Shelf (<125m depth) sensitive to the oil price 20% ~$600bn 80% Deepwater (>125m
Slide 31: Appendix
1 Premium Oilfield Services 2 Archer Appendix 3 Market 4 Risk factors 32 ©Archer ‘24
Slide 32: Risk factors 1/9
Risk factors 1/9 RISK FACTORS An investment in Archer Limited (the "Company" and, together with its subsidiaries, the "Group") involves a high degree of risk. An investment in the Company's shares (the "Shares") is suitable only for investors who understand the risk factors associated with this type
Slide 33: Risk factors 2/9
Risk factors 2/9 The Group's industry is highly competitive The Group's industry is highly competitive. The Group's contracts are traditionally awarded on a competitive bid basis, with pricing often being the primary factor in determining which qualified contractor is awarded a job, although each co
Slide 34: Risk factors 3/9
Risk factors 3/9 The Group may pursue acquisitions that prove unsuccessful or divert its resources Acquisitions have historically been, and may continue to be, important for the growth of the Group’s business, and the Group may consider making strategic merger and acquisitions to support further gro
Slide 35: Risk factors 4/9
Risk factors 4/9 The Group's firm backlog estimated to USD 2.3 billion end of June 2025, could be changed by operators giving notice to change in work scope, or operators could terminate these contracts. Operators' changes to work scope on existing contracts or termination, could potentially impact
Slide 36: Risk factors 5/9
Risk factors 5/9 Risks relating to trade tariffs Archer operates in a global economic environment where trade policies, including the imposition of tariffs and other trade restrictions, can significantly impact financial markets and demand for services. Government actions affecting international tra
Slide 37: Risk factors 6/9
Risk factors 6/9 Failure by the Group to comply with anti-bribery laws may have a negative impact on its ongoing operations. The Group operates in countries, and may expand its operation into new countries, known to experience governmental corruption, as indicated by Transparency International's Cor
Slide 38: Risk factors 7/9
Risk factors 7/9 3. Risks related to financial matters The Group may be unable to access sufficient funding The Group is dependent on timely access to sufficient funding on acceptable terms, in order to execute the Group’s strategy and optimise the Group’s asset portfolio through acquisitions, which
Slide 39: Risk factors 8/9
Risk factors 8/9 The Group's results of operations may be adversely affected by currency fluctuations The Group's reporting currency is US Dollars, but the Group receives revenues and incur expenditures in other currencies due to its international operations, mainly Argentine Pesos, Norwegian kroner
Slide 40: Risk factors 9/9
Risk factors 9/9 The Group has recorded substantial values related to rigs and equipment, which values fluctuate over time and which are subject to periodic review of impairment The Group’s long-lived assets, primarily consisting of rigs and equipment used in its international drilling operations, h