Odfjell Drilling Ltd. · OSL:ODL

Odfjell Drilling — Q1 2022 Earnings Presentation

19 slides from Odfjell Drilling's earnings presentation, May 31, 2022

  1. Slide 1: Q1 2022 Presentation

    Q1 2022 Presentation 31 May 2022

  2. Slide 2: Important information

    Important information By reading this company presentation dated 31 May 2022 (the “Presentation”), or attending any meeting or presentation held in relation thereto, you (the “Recipient”) agree to be bound by the following terms, conditions and limitations. The Presentation has been prepared by Odfj

  3. Slide 3: Agenda

    • Introduction to ODL • Q1 2022 - key summary Agenda • Operational update • Financial information • Summary 30.05.2022

  4. Slide 4: At a glance

    INTRODUCTION At a glance Own fleet 4 rigs External fleet 4 rigs 50 years of drilling industry experience, delivering operational  6th generation high specification, efficient and harsh environment rigs with deepwater capabilities  6th generation semi-submersible drilling rigs on management contrac

  5. Slide 5: Three new rigs recently added on management contracts

    INTRODUCTION Three new rigs recently added on management contracts Deepsea Bollsta Deepsea Mira Hercules Delivery year: 2019 Delivery year: 2019 Delivery year: 2008 • Agreement announced in December 2021 • Agreement announced in December 2021 • Agreement announced in May 2022 • Managed on behalf of

  6. Slide 6: High-end rig fleet for harsh and deepwater conditions

    High-end rig fleet for harsh and deepwater conditions Deepsea Deepsea Deepsea Deepsea Stavanger Aberdeen Bollsta Mira GVA 7500 MM CS 60 Deepsea Deepsea Deepsea Atlantic Hercules Nordkapp Yantai GM 4D

  7. Slide 7: Competence and capacity for increased activity

    INTRODUCTION Competence and capacity for increased activity - 1,200 dedicated employees with the competence to deliver industry-leading performance 7

  8. Slide 8: Chosen for experience and expertise in harsh environments

    INTRODUCTION Chosen for experience and expertise in harsh environments Modern rigs are dominating the Norwegian market Odfjell Drilling is preferred by the oil companies Contracted semisubmersibles in Norway Rig years awarded in Norway last three years2 20 Odfjell Drilling 8,5 18 16 Peer 1 Seadrill

  9. Slide 9: Q1 2022 – key summary

    KEY SUMMARY Q1 2022 – key summary • Successful spin-off of Odfjell Technology Ltd • Commencement of marketing and management services agreement for 6th gen units Mira and Bollsta • Deepsea Nordkapp securing firm operation into Q1 2024 for Aker BP • Management agreement entered with SFL for Hercules

  10. Slide 10: Continued strong operations

    OPERATIONAL UPDATE Continued strong operations Financial utilization1 Own Fleet Q1 2022 Q1 2021 FY 2021 Deepsea Atlantic 97.1% 85.9% 95.5% Deepsea Stavanger 96.2% n/a 99.0% Deepsea Aberdeen 97.8% 97.2% 98.8% Deepsea Nordkapp 99.4% 98.5% 98.9% External Fleet Q1 2022 Q1 2021 FY 2021 Deepsea Yantai 93.

  11. Slide 11: Contract status

    OPERATIONAL UPDATE Contract status Own Fleet Year built Location/Operator Deepsea Atlantic Norway 2009 (6G, UDW, HE) Equinor Deepsea Stavanger Norway 2010 (6G, UDW, HE) AkerBP/Lundin/Equinor Deepsea Aberdeen Norway 2014 (6G, UDW, HE) BP/Wintershall/Equinor Deepsea Nordkapp Norway 2019 (6G, DW, HE) A

  12. Slide 12: Earnings visibility through USD 1.1 billion order backlog

    OPERATIONAL UPDATE Earnings visibility through USD 1.1 billion order backlog Total revenue backlog per year1 – Own Fleet Firm contracts USD 0.8 billion Priced options USD 0.3 billion Firm Options 500 Total backlog USD 1.1 billion 450 400 339 348 350 57 300 250 200 187 339 150 291 63 126 100 51 123 1

  13. Slide 13: Market outlook

    OPERATIONAL UPDATE Market outlook General • High oil prices resulting in increased demand for the Odfjell Drilling fleet • Need for continued exploration and production of oil and gas to bridge the increasing energy demand as new energy sources take time to implement • Europe’s target to obtain a mo

  14. Slide 14: Financial information

    Financial information 14

  15. Slide 15: Group summary financials

    FINANCIAL INFORMATION Group summary financials Condensed consolidated income statement Key financials (USDm) P&L - (USDm) Q1 22 Q1 21 FY 21 Revenues 572 Continuing operations Operating revenue 155 115 572 Other gains and losses - - 7 Personnel expenses -54 -47 -200 Other operating expenses -33 -32 -

  16. Slide 16: Summary statement of financial position

    FINANCIAL INFORMATION Summary statement of financial position Group statement of financial position Assets (USDm) 31.03.2022 31.03.2021 31.12.2021 Equity and liabilities (USDm) 31.03.2022 31.03.2021 31.12.2021 Property, plant and equipment 1 996 2 185 2 109 Paid-in capital 445 565 565 Intangible ass

  17. Slide 17: Summary statement of cash flow

    FINANCIAL INFORMATION Summary statement of cash flow Group statement of cash flow Cash Flow - (USDm) Q1 22 Q1 21 FY 21 Cash Flow - (USDm) Q1 22 Q1 21 FY 21 Profit/(loss) before tax from continuing operations 22 -12 66 Cash flows from financing activities: Profit before tax from discontinued operatio

  18. Slide 18: Summary Q1 2022

    SUMMARY Summary Q1 2022 • Completed strategic move to spin off Odfjell Technology Ltd as a separately listed group • Increased tendering activity in harsh environment and deepwater markets • More work added with Equinor and Aker BP • Commencement of management contracts for Deepsea Mira and Deepsea

  19. Slide 19: Thank you for the attention!

    Thank you for the attention! For further information, please contact: Gillian Basson, gbas@odfjelldrilling.com Next event: Q2 2022 results scheduled to be published 29 August 2022 For more information see: www.odfjelldrilling.com

Odfjell Drilling — Q1 2022 Earnings Presentation on 6ix