Andfjord Salmon Group As · OSL:ANDF
Andfjord Salmon Group As — Investor Presentation (June 2023)
17 slides from Andfjord Salmon Group As's investor presentation, Jun 26, 2023
Slide 1: Company Presentation
COMPANY PRESENTATION 26 JUNE 2023
Slide 2: Disclaimer
JUNE 2023 DISCLAIMER IMPORTANT INFORMATION This presentation (the "Presentation") has been produced by Andfjord Salmon AS (the "Company") solely for information purposes. By reading the Presentation slides or by otherwise receiving this Presentation or the information contained herein, you agree to
Slide 3: Investment Highlights
JUNE 2023 INVESTMENT HIGHLIGHTS Land-based salmon Optimally positioned to First year of operations Ready to grow Secured commitment farming using flow- capitalize on the highly show excellent production to 19,000 for up to NOK 825m in through technology attractive salmon biological results with tons
Slide 4: Endless Access to Fresh Seawater
JUNE 2023 ENDLESS ACCESS TO FRESH SEAWATER Gulf Stream 3 Fiskenes 2 Breivik 1 Kvalnes ANDØYA • Three sites located at Andøya, Norway • Andfjord’s flow-through system • Flow of seawater into the pools allows combines the best of two Atlantic salmon to thrive in its • Kvalnes site already in operation
Slide 5: Production Potential of 90,000 Tons
JUNE 2023 PRODUCTION POTENTIAL OF 90,000 TONS 25,000 tons 90,000 tons Planned Planned total expansion capacity, all sites Gulf Stream 25,000 tons Planned 3 expansion 3 Fiskenes 28,000 tons 12,000 tons 40,000 tons 25,000t 19,000 HOG Planned Planned total capacity (today’s license) + expansion 2 at Kv
Slide 6: Land-Based Farming Needed to Bridge the Gap Between Supply and Demand
JUNE 2023 LAND-BASED FARMING NEEDED TO BRIDGE THE GAP BETWEEN SUPPLY AND DEMAND Land- based necessary Strong underlying megatrends Global market supply (million tons LW) to meet demand 200 • The global Atlantic salmon market adds up to USD 24bn p.a., with strong macro trends driving Capture Aquacult
Slide 7: Steep Growth Rates from Current Production Cycle
JUNE 2023 STEEP GROWTH RATES FROM CURRENT PRODUCTION CYCLE 40% ahead of expectations based on Average weight per fish (grams) benchmarking against conventional farming • Fish displays healthy appetite and natural behaviour, 12 June 2023 4,0001 with growth 40% ahead of original schedule based Average
Slide 8: Outstanding Biological Performance
JUNE 2023 OUTSTANDING BIOLOGICAL PERFORMANCE Salmon survival rate by county Excellent biology proven with very high survival rate in Andfjord’s first pool1 (conventional farming, 2022) Survival rate (%) 99.8 99.7 99.5 99.3 98.9 98.7 98.4 98.3 98.2 98.1 98.0 97.92 97.82 100 80 Andfjord has an industr
Slide 9: Secured Commitment for Loan to Finance Debt Portion of Next Step at Kvalnes
JUNE 2023 SECURED COMMITMENT FOR LOAN TO FINANCE DEBT PORTION OF NEXT STEP AT KVALNES Debt funding plan for next expansion step at Kvalnes Bank facility in place for next expansion step at Kvalnes Key terms of the bank facility • Andfjord Salmon has secured commitment for a construction loan of up •
Slide 10: Scale-Up Tailored for Capital Efficiency
JUNE 2023 SCALE-UP TAILORED FOR CAPITAL EFFICIENCY Kvalnes build-out plan Split of capex for next stage at Kvalnes Expected production profile split by stages Technical Tons HOG Added Accum. Stage, Capex1 infrastructure Pilot production production 40,000 40,000 40,000 Kvalnes (NOK, est.) (8,000t) (H
Slide 11: Low Production Costs and Strong Cash Flow Generation
JUNE 2023 LOW PRODUCTION COSTS AND STRONG CASH FLOW GENERATION Production costs vs. industry average Comment and illustrative feed cost comparison Illustrative EBIT2 sensitivity to salmon price NOK/kg HOG ✓ Low mortality NOKm 19,000t HOG 40,000t HOG NOK 53.4/kg ✓ Industry leading FCR 2,800 ✓ Low ene
Slide 12: Highly Competitive Economics Example Calculations
JUNE 2023 HIGHLY COMPETITIVE ECONOMICS EXAMPLE CALCULATIONS Conventional farming (Norway) Land-based RAS (Norway) Value per kg Value per kg Value per kg Value per kg Value per kg Item Comment Comment Comment (NOK) (NOK) (NOK) (NOK) (NOK) Capex less tax deduction, plus Capex1 1162 250 Observed RAS sy
Slide 13: ESG Is a Key Focus for Andfjord Salmon
JUNE 2023 ESG IS A KEY FOCUS FOR ANDFJORD SALMON Annual Strong focus on sustainability and environment in all activities ESG Committed to the UN Sustainable Development Goals reporting Low carbon footprint • Health and safety of our employees and • Andfjord Salmon’s technology avoids sea lice, elimi
Slide 14: Located in a Seafood Cluster with Unparalleled Expertise
JUNE 2023 LOCATED IN A SEAFOOD CLUSTER WITH UNPARALLELLED EXPERTISE Map of commercial farming sites close to Andfjord Salmon • Kvalnes is located on the east side of Andøya with no other Commercial sea based farming sites for on growing of salmon / trout traditional farming site within close proximi
Slide 15: Supportive Shareholder Group
JUNE 2023 SUPPORTIVE SHAREHOLDER GROUP Shareholders as of 20 June 20231 Jerónimo Martins and Eidsfjord Sjøfarm committed to increasing ownership Top 20 investors Number of shares % Andfjord Holding AS 5,114,525 12.46% Sustainability-focused food retailer Jerónimo Martins has signalled to increase Je
Slide 16: Total production potential at Kvalnes: 40,000t HOG
Build-out plan utilises existing infrastructure to keep capex down Construction start in 2023-2025: Construction start in 2027: while enabling increased production +18,000 tons +12,000 tons 5 volumes +4,000 tons license expansion (exact location to be decided) • Examples of shared infrastructure inc
Slide 17: Our Vision and Mission
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