Fjord Defence Group Asa · OSL:DFENS
Fjord Defence Group Asa — Carbon Transition — Q1 2022 Earnings Presentation
19 slides from Fjord Defence Group Asa's earnings presentation, May 11, 2022
Slide 1: Carbon Transition Q1 2022
09.05.2022 Carbon Transition Q1 2022 11 May 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: Quarterly highlights
Quarterly highlights Debt free and NAV of NOK 1.86 per share • Revenues from multi-client late sales of USD 1.4 million • Net decrease in fair value of investments of USD 1.3 million • Gain on reversal of impairment for Utsira multi-client survey USD 5.6 million • Net gain on sale of seismic node bu
Slide 4: High-value legacy business
High-value legacy business Maximizing value of seismic operations Multi-client library Ocean bottom node operations • Q1 2022 book value USD 33.9 million • Ocean bottom node operations sold to Magseis Fairfield in • Late sales to generate significant revenues and cash flow March 2022 • Book value of
Slide 5: 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 23.4 million • Several important producing filed covered by survey area • Near-field survey backed by AkerBP, Equinor and TGS Gulf of Suez •
Slide 6: Multi-client portfolio: Norwegian North Sea - Utsira
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; one survey sale for USD 1.4 million in Q1 2022 • Survey is located to the west of the Utsira high in the Norwegian North Sea • Covers app
Slide 7: Multi-client portfolio: Egypt – Gulf of Suez
Multi-client portfolio Egypt – Gulf of Suez • Final processed data and related report almost finalized o Amortization commencing Q2 2022 • The Gulf of Suez has been in production since the 1980s; regarded as a prolific petroleum basin where exploration has been impeded by complex geology and presenc
Slide 8: Strategy going forward
Strategy going forward 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
Slide 9: 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 10: Carbon Transition investments is the way forward
Carbon Transition investments is the way forward Helping market-leading technologies position for IPO Energy transition investments Investment # 1 Investment # 2 Investment # 3 Investments # 4, 5, 6… ▪ Investments in the energy transition space ▪ Focus on investments in companies and technologies wh
Slide 11: 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 12: 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 13: 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 14: 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 ✓ ✓ ✓ 14
Slide 15: Comprehensive income
Comprehensive income Observations USD millions • Multi-client late sales USD 1.4 million Comprehensive income Q1 2022 • Reduction net carrying value of investments USD 1.3 million • Other gain net of USD 0.7 million from node business sale Revenue 1.4 and NPV for future contracts Changes in fair val
Slide 16: Financial position
Financial position Observations • Utsira USD 23.4 million, Gulf of Suez USD 10.6 USD millions million ASSETS 31.3.2022 • NPV earnout - financial assets of USD 3.0 million Multi client library 34.0 • Other current asset - USD 0.5 million due from Investments 17.0 multi-client late sale Financial asse
Slide 17: Investment portfolio
Investment portfolio Summary valuation USD 9.9 million invested capital USD 17.0 million market value Q1 2022 17
Slide 18: Outlook
Outlook Legacy business showing significant upside and green-technology sector expanding rapidly • Expect material cash flow from legacy oil services business o Attractive multi-client library targeting oil-producing fields in Norway and Egypt; no additional costs to generate late sales o Earn-out p
Slide 19: Investing in a sustainable future
Investing in a Askekroken 11 carbn.no sustainable future. 0277 Oslo Copyright © 2021 Norway Carbon Transition