Fjord Defence Group Asa · OSL:DFENS
Fjord Defence Group Asa — Carbon Transition — Q4 2021 Earnings Presentation
19 slides from Fjord Defence Group Asa's earnings presentation, Feb 24, 2022
Slide 1: Carbon Transition Q4 2021 presentation
23.02.2022 Carbon Transition Q4 2021 presentation 24 February 2022
Slide 2: Disclaimer
Disclaimer • The information in this presentation has been prepared by Carbon Transition ASA (the “Company”). By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations and provisions: • This presentation has be
Slide 3: Strategy
Strategy Investing in companies and technologies which contribute to significant reduction of carbon emissions • Listed investment company - a unique vehicle to take part in the ongoing energy transition from an early stage • Multiple sectors facing large and lasting changes, creating opportunities
Slide 4: Value proposition
Value proposition • Unlock value through investing in companies which are: o Through seed and venture phase o Currently looking for growth capital in pre-IPO phase o Targeting an IPO in the short to medium term CARBN investment phase focus* • Attractive investor as we provide a combination of: o Siz
Slide 5: Q4 2021 highlights
Q4 2021 highlights Balance sheet significantly strengthened and investment portfolio delivering solid returns • Revenues of USD 5.6 million; primarily multi-client late sales • Net increase in fair value of investments of USD 8.4 million • EBITDA of USD 12.0 million • Financial indebtedness reduced
Slide 6: Carbon Transition investments is the way forward
Carbon Transition investments is the way forward Maximizing value of legacy seismic business Legacy segments 173 nm Energy transition investments Multi-Client Ocean Bottom Node Investment # 1 Investment # 2 Investment # 3 ▪ Holds significant ▪ Global experience ownership of high- with multi-vessel r
Slide 7: First investment | Arbaflame
First investment | Arbaflame Producer of green coal-replacement fuel and bio chemicals. Completed construction of commercial plant following 10 years of technology development and verification. Plans to utilize patented technology to construct and operate large number of facilities to accommodate si
Slide 8: Second investment | Britishvolt
Second investment | Britishvolt Developer and future manufacturer of lithium-ion cell batteries for electric cars. Aims to meet rapidly accelerating electric vehicle demand. Looking to deliver sustainable battery solutions for the automotive and wider transportation sectors. CARBN investment positio
Slide 9: Third investment | CO2 Capsol
Third investment | CO2 Capsol Patented carbon capture solution based on the hot potassium carbonate technology (“HPC technology”). Avoids use of amine-based solutions in carbon capture process which is attractive for HSE reasons. Offers an estimated 40% cost advantage relative to alternative process
Slide 10: Current investments tick the boxes
Current investments tick the boxes Unique & proven technology ✓ ✓ ✓ Scalable business model ✓ ✓ ✓ High barriers to entry ✓ ✓ ✓ Global potential ✓ ✓ ✓ Pre-IPO funding round ✓ ✓ ✓ 10
Slide 11: Fourth quarter income statement
Fourth quarter income statement USD million • Revenues of USD 5.6 million; USD 5.5 million from Utsira late sales • Increase in fair value of investments from USD 9.9 million to USD 18.3 million; gain of USD 8.4 million 8.8 • Cost of sales includes USD 0.4 million related to seismic node operations;
Slide 12: Fourth quarter financial position
Fourth quarter financial position USD millions Observations ASSETS 31.12.2021 • Multi-client library reduced by standard amortization despite significant Q4 late sales Multi client library 28.9 • Investments at USD 18.3 million; up from initially invested Property, plant & equipment 3.4 USD 9.9 mill
Slide 13: Investment portfolio
Investment portfolio Valuation as of 31 December 2021 USD 18.3 million total investments 13
Slide 14: Multi-client portfolio
Multi-client portfolio Expect to generate significant late sales and cash flow without additional cash cost Utsira survey in the North Sea • Book value of USD 18.3 million • Approximately 2,000 square kilometers near-field survey backed by AkerBP, Equinor and TGS • Several important producing filed
Slide 15: Multi-client portfolio
Multi-client portfolio Norwegian North Sea - Utsira • Three late sales of data licenses from Utsira seismic node survey for a total of USD 5.5 million in Q4 2021 • Survey is located to the west of the Utsira high in the Norwegian North Sea • Covers approximately 2,000 square kilometers of highly pro
Slide 16: Multi-client portfolio
Multi-client portfolio Egypt – Gulf of Suez • Final processed data is expected to be available during the first quarter of 2022 o Amortization of the library will commence at completion of final processing • The Gulf of Suez has been in production since the 1980s; regarded as a prolific petroleum ba
Slide 17: Outlook
Outlook Green-technology sector expanding rapidly • Continued international focus on reduction of carbon emissions and development of new energy technologies • Government policies forcing transition o EU ETS carbon prices at Euro 90 per tonne; up from Euro 5 per tonne in 2017 • As a result, we are e
Slide 18: Shareholders
Shareholders Largest shareholders per 31 December 2021 Largest shareholders per 31 December 2021: Number of Ownership Name shares share 1 INVESTERINGSFONDET VIKING AS 28 000 000 11,68 % 2 MIDDELBORG INVEST AS 14 538 461 6,06 % 3 TIGERSTADEN AS 13 760 459 5,74 % 4 ALDEN AS 11 265 384 4,70 % 5 SPAREBA
Slide 19: Investing in a sustainable future
Investing in a Askekroken 11 carbn.no sustainable future. 0277 Oslo Copyright © 2021 Norway Carbon Transition