Jacktel As · OSL:JACK
Jacktel As — Investor Presentation (August 2023)
36 slides from Jacktel As's investor presentation, Aug 29, 2023
Slide 1: Jacktel AS Company Update
Jacktel AS Company Update August 2023
Slide 2: Jacktel Investment Summary
Jacktel Investment Summary ▪ Jacktel AS is generating significant cash flow from $183 firm backlog and $67m in options with Total, Equinor and Strong cash Aker BP1) flow from existing ▪ Key focus is to maximize cash flow and return capital to shareholders through debt repayment and dividends backlog
Slide 3: Agenda
Agenda Investment Case Refinancing Update Jacktel AS - Background Market Fundamentals August 29, 2023 | 3
Slide 4: Executing on goals – shifting focus towards creating shareholder value
Executing on goals – shifting focus towards creating shareholder value 2021 – July 2023 August 2023 and onwards Operations – Secure backlog, and Financials – Refinance debt maturing Current focus – Unlock shareholder strengthen financial position in December 2023 value Secured significant backlog ▪
Slide 5: Overview of current backlog: Firm backlog of USD 183m to strong counterparts
Overview of current backlog: Firm backlog of USD 183m to strong counterparts Backlog overview and contract details 2023 2024 2025 2026 2027 Firm contract Tyra Field – 18 months Firm contract Option Draupner – 10 months 6 months Firm contract Option Fenris Project – 15 months 6 months2) Tyra Field Dr
Slide 6: Jacktel AS have generated $36m in average annual EBITDA through cycles
Jacktel AS have generated $36m in average annual EBITDA through cycles Jacktel historical EBITDA and future projections Comments Figures in MUSD ▪ Haven has generated $36m in 108.3 average annual EBITDA from 2012-2022 ▪ Jacktel’s cost structure is transparent and competitive to peers Projected EBITD
Slide 7: EV is covered by EBITDA backlog with Tier 1 counterparties
EV is covered by EBITDA backlog with Tier 1 counterparties Jacktel EV vs. current EBITDA backlog Comments Figures in MUSD ▪ Enterprise value of Jacktel AS is $124m, based on last traded price on NOTC NOK 2.25 per share 1.16x EV ~144m ▪ Assuming options are being exercised, the EBITDA backlog is 1.16
Slide 8: Return of Capital – Rapid deleveraging and dividend capacity
Return of Capital – Rapid deleveraging and dividend capacity Projected leverage and cash position assuming options are exercised Comment Figures in USDm ▪ Based on current backlog the Company is GIBD NIBD generating significant cash flow ▪ Company's key focus will be on maximizing 80.0m the cash flo
Slide 9: Limited residual risk – de-risking through contracted cashflow
Limited residual risk – de-risking through contracted cashflow Residual value sensitivity Comment Figures in USDm ▪ Assuming options are exercised, the Company 2027 NIBD (assuming options are exercised) Residual value will have a negative NIBD of ~$34m at completion of charter contracts 284 ▪ Provid
Slide 10: Haven has a unique market position within offshore accommodation
Haven has a unique market position within offshore accommodation as the only harsh environment, NCS capable, jack-up accommodation rig Lower CO2 ▪ Oil companies have an increased focus on footprint their CO2 footprint across their supply chain ▪ Contributes to a reduction of >60t per day in CO2 emis
Slide 11: Strong demand drivers post 2027
Strong demand drivers post 2027 Strong demand from both Offshore Wind and Oil & Gas post 2027 Offshore Wind Brazil – FPSO growth NCS – Aging infrastructure Offshore wind capacity additions excl. China Number of FPSO installations in Brazil ~ 55% Capacity in Gigawatt 80 xx Remaining reserves 45 (as s
Slide 12: Steps towards unlocking value – strong toolbox
Steps towards unlocking value – strong toolbox Key ways to unlock shareholder value Commercial and Return of capital Share Liquidity M&A operational execution ▪ Work diligently on day-to-day ▪ Key to provide a clear pathway ▪ Explore publicly listing of shares ▪ Explore M&A opportunities that basis
Slide 13: Agenda
Agenda Investment Case Refinancing Update Jacktel AS - Background Market Fundamentals August 29, 2023 | 13
Slide 14: Summary of new debt financing
Summary of new debt financing Summary of debt Debt financing overview Deal Summary ▪ Jacktel repaid outstanding debt under Senior Secured Facility 8th of August 2023 (ISIN: NO0010836778) Amount $80m ▪ Debt is replaced with $80m Senior Secured loan provided by subsidiary of Maritime Asset Partners (“
Slide 15: Substantial deleveraging over contract period
Substantial deleveraging over contract period Debt profile Debt financing overview Outstanding debt in USDm ▪ Company is able to substantially deleverage Debt profile Debt profile with voluntary prepayment over contract period ▪ Amortization is tailored to the firm contract 80.0m 80.0m backlog 77.6m
Slide 16: Attractive financing – getting credit for strong backlog
Attractive financing – getting credit for strong backlog Recent debt transactions Coupon % YTM 13.50% 13.46% 11.25% 11.11% 5.80%2) + SOFR 10.38%1) 10.1% 9.64% 9.62% 9.50% 9.25% 9.34% 9.11% Jacktel Odfjell Vantage Drilling Borr Drilling Tidewater Normand Maximus Floatel PGS USD 80m USD 390m USD 200m
Slide 17: Agenda
Agenda Investment Case Refinancing Update Jacktel AS - Background Market Fundamentals August 29, 2023 | 17
Slide 18: Jacktel AS – Summary of background
Jacktel AS – Summary of background ▪ Jacktel AS owns 100% of Haven, a harsh environment jack-up accommodation rig Jacktel AS owns ▪ 5-year special survey and yard upgrade was concluded in 2021 the offshore accommodation ▪ Haven is on contract with TotalEnergies Denmark until June 2024, with subseque
Slide 19: Company timeline
Company timeline 2011 2014 2015 2018 2019 2020 2021 2022 2023 Q3-2011 Q3-2014 Q3-2015 Q2-2018 Q2-2019 Q1-2021 Q1-2022 Q1-2023 Delivery of Haven and JACKT01 bond issue Completion of Commenced contract Announcement of Signed contract with Jacktel is restructured Awarded contract with commencement of o
Slide 20: Successful deployment of Haven since delivery
Successful deployment of Haven since delivery Contract timeline 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Ext. Draupner Fenris Project Dan F Johan Lay-up Tyra field Ekofisk/Eldfisk fields $53m – $58 – $87m – $78k/ Sverdrup $35m – €208k/day $49k/ 10mont
Slide 21: Haven – Rig specifications
Haven – Rig specifications Rig Specifications Water depth capacity Up to 106 meters Year built 2011 Bed capacity 444 Overall length x width 118m x 50m Free deck area 450 m2 Additional deck load 4,500 tons capacity Crane capacity 75 tons @ 16m Bridge length 30m+ Offices and meeting 64 for client use
Slide 22: Jacktel AS – New Board of Directors
Jacktel AS – New Board of Directors Experienced Board Board of Directors ▪ Inclusion of two new board members adding a Harald L. Thorstein Alf Ragnar Løvdal combined 30+ years of capital market Chairman of the Board Board Member experience, with a focus on oil services and the Nordic market • Founde
Slide 23: Macro Offshore Management – Commercial and technical Manager
Macro Offshore Management – Commercial and technical Manager About Macro Offshore Management Management Team Bjørn Henriksen CEO • 25 years of offshore industry experience • Previously held the position as CEO of Prosafe Production, President of Prosafe’s Accommodation Business and CFO and COO of Pr
Slide 24: Agenda
Agenda Investment Case Refinancing Update Jacktel AS - Background Market Fundamentals August 29, 2023 | 24
Slide 25: Providing accommodation capacity for engineering and construction services during offshore project work
Providing accommodation capacity for engineering and construction services during offshore project work 1 2 3 Hook-up & Commissioning of new Maintenance and Modification on Decommissioning at end of life fields existing fields Present during the installation, construction, Present during repair, upg
Slide 26: Jack-ups standing firmly on seabed has proven to be an attractive solution for operators
Jack-ups standing firmly on seabed has proven to be an attractive solution for operators, resulting in a reduced environmental footprint ▪ Safe, comfortable and reliable accommodation services ▪ No disconnection of gangway during severe winter storms ▪ Haven with proven track record of running on po
Slide 27: Accommodation Jack-ups have a superior emissions profile
Accommodation Jack-ups have a superior emissions profile CO2 emissions per day CO2 emissions per bed Tonnes CO2 emissions per day for various asset types Kg CO2 emissions per bed per day for various asset types 90 240 180 60 Haven 120 Haven 30 60 0 0 Haven with Accommodation Moored DP Haven with Acc
Slide 28: Growth in project sanctioning expected from 2020 lows
Growth in project sanctioning expected from 2020 lows Global offshore sanctioning status and outlook Key observations Offshore project sanctioning status by commitment year in bUSD1) ▪ So far in 2023 approx. $50bn Offshore sanctioned Offshore to-go in offshore commitments have been sanctioned and an
Slide 29: Continued growth in MMO spend globally expected going forward
Continued growth in MMO spend globally expected going forward Global MMO spending and oil price development Key observations Figures in bUSD1) and USD/bbl Brent price WTI price MMO Spend ▪ Ageing assets and maintenance lag is expected to drive Forecast continued MMO spending growth +7% -4% 116 +3% 1
Slide 30: Ageing infrastructure on the NCS is a key demand driver
Ageing infrastructure on the NCS is a key demand driver Share of remaining reserves and number of fields by field age Key observations ~55% of remaining reserves on the NCS come from fields that are 20 ▪ A substantial portion of the Remaining reserves years old or more remaining oil reserves are fro
Slide 31: Offshore wind additions to grow by 33% annually to 2030
Offshore wind additions to grow by 33% annually to 2030 – Europe continues to be the key region Offshore wind capacity additions excl. China Cumulative offshore capacity by country/region excl. China Capacity in Gigawatt Capacity in Gigawatt 45 240 Other Americas Other Europe Denmark US Netherlands
Slide 32: Demand for accommodation vessels for the offshore wind market could potentially become material
Demand for accommodation vessels for the offshore wind market could potentially become material Offshore wind projects by completion year and distance from shore Potential demand from offshore wind Offshore wind projects with water depth above 50 meters and below 100 meters1), by completion year and
Slide 33: Current contract backlog for key competitors
Current contract backlog for key competitors Contract backlog per Q2-23 for selected competitors Key observations Figures in mUSD Options Firm contracts ▪ Prosafe’s firm backlog per rig is $42m, and $48m including options ▪ Floatel’s firm backlog per rig is $48m, and $75m 381 374 including options 3
Slide 34: Overview of harsh environment accommodation rigs
Overview of harsh environment accommodation rigs Bed capacity Vessel Owner NCS UKCS/ Harsh DP3 Current status Built Location Type Build yard (max) Drydocks Haven Jacktel X X 444 Contracted 2011 Denmark Jack-up World/Numo/Lamprell Crossway Eagle Macro Offshore X 354 Contracted 2016 Denmark Jack-up DS
Slide 35: Haven has achieved higher dayrates relative to duration compared to competitors
Haven has achieved higher dayrates relative to duration compared to competitors for contracts signed post January 2021 – in line with the company’s strategy Global dayrate development Average firm operating days per region Dayrate in USD/day observed at time of contract signing For contracts signed
Slide 36: Disclaimer
Disclaimer This presentation contains certain forward looking statements which reflect Jacktel’s current views and estimates. The forward looking statements involve certain risks and uncertainties that may cause actual results to differ materially from those contained in the forward looking statemen