M agseis ASA Pareto Oil & Offshore Conference 12 th September 2018 Tightening Market
Disclaimer This presentation (the “ Presentation ") has been prepared by M agseis ASA (the The Company makes no representation or warranty, expressed or implied, as to the “ Company ” or “ M agseis ” ). accuracy, reliability or completeness of the Presentation, and neither the Company nor any of its directors, officers or employees shall be liable to you or to any other party for The Presentation contains forward-looking information and statements relating to the any losses incurred as a result of your or their use of, or reliance on, any information business, financial performance and results of the Company and/or industry and contained in the Presentation. markets in which it operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, This Presentation does not constitute or form part of, and is not prepared or made in sometimes identified by the words “aims”, “anticipates”, “believes”, “estimates”, connection with, an offer or invitation to sell, or any solicitation of any offer to “expects”, “foresees”, “ intends”, “plans”, “ predicts”, “projects”, “targets”, and similar subscribe for or purchase any securities, and nothing contained herein shall form the expressions. Any forward-looking statements and other information contained in this basis of any contract or commitment whatsoever. No reliance may be placed for any Presentation, including assumptions, opinions and views of the Company or cited from purpose whatsoever on the information contained in this Presentation or on its third party sources are solely opinions and forecasts based on the current completeness, accuracy or fairness. The information in this Presentation is subject to expectations, estimates and projections of the Company or assumptions based on verification, completion and change. The contents of this Presentation have not been information currently available to the Company, which are subject to risks, independently verified. The Company’s securities have not been and will not be uncertainties and other factors that may cause actual events to differ materially from registered under the United States Securities Act of 1933, as amended (the “ US any anticipated development. Securities Act ” ), and are offered and sold only outside the United States in accordance with an exemption from registration provided by Regulation S under the US Securities Important factors may lead to actual profits, results and developments deviating Act. This Presentation should not form the basis of any investment decision. substantially from what has been expressed or implied in such statements. Although the Company believes that its expectations and the Presentation are based upon The Presentation speaks and reflects prevailing conditions and views as of the date of reasonable assumptions, it can give no assurance that those expectations will be this presentation. It may be subject to corrections and change at any time without achieved or that the actual results will be as set out in the Presentation. The Company notice except as required by law. The delivery of this Presentation or any further assumes no obligation, except as required by law, to update any forward-looking discussions of the Company with any recipient shall not, under any circumstances, statements or to conform these forward-looking statements to its actual results. create any implication that the Company assumes any obligation to update or correct the information herein, nor any implication that there has been no change in the affairs of the Company since such date. 2 Source: M agseis
Corporate snapshot M ake ocean bottom seismic cost Geophysical company founded in effective and the preferred method 2009 with first operation in 2013 of marine seismic Headquarter in Oslo, Norway with $ offices in Stockholm, Singapore and OSE:M SEIS Houston M CAP USD~150 million 168 employees of which ~45% Transferred to main list in JUN 18 offshore 3 Source: M agseis
ONE core technology – multiple applications M arine A utonomous Cable ROV deployment S eismic S ystem Reservoir Node deployer Transition deployment Infill around M onitoring for zone for large installations and IOR ultradeep waters coverage large coverage Water Depth 4 0 – 50… . … … 70 - 800 … … 3 000
ALS 1H H 20 - KEY F Y FINANCIAL 2018 18 $ MILLION - 44.3 - - 40.5 - - REVENUE EBITDA - 44.3 15.6 - - - - 16.7 - $ MILLION $ MILLION - - - - - 15.6 - NET PROFIT CASH BALANCE - - 5.1 36.2 - - - - - - $ MILLION $ MILLION EBITDA REVENUE REVENUE EBITDA 1H 1H 1H 1H 2018 2017 2018 2017 5
Cash flow 1H 2018 Q2 2018 Q2 2017 FY 2017 In USD thousands YTD 2018 (unaudited) (unaudited) (audited) • Cash flow from operations Earnings before tax -314 4 151 6 114 9 895 • Overdue trade receivables end June paid in July 3 493 2 044 7 012 12 555 Depreciation, interest & tax 64 -15 677 -16 125 1 708 Net working capital adjustments • Cash flow used for investments Net cash flow from operating 3 244 -9 482 -3 000 24 157 • USD 26m in CAPEX for new nodes activities according to growth plan Net cash flow used in investing • Cash from financing -10 996 -8 827 -25 848 -44 557 activities • Equity issue in FEB 2018 sufficient to finalise CAPEX program for up to 10 000 Net cash flow from financing new nodes -676 -2 229 35 240 31 201 activities • Cash position Net change in cash and cash • R obust cash position of USD 36.2m equivalents -8 429 -20 538 6 392 10 801 Cash balance at the beginning of the period 44 597 54 195 29 776 18 974 Cash balance at period end 36 168 33 657 36 168 29 776 6 Source: M agseis
2018:Expanded from one to three operations M arine A utonomous M ASS M odular Crew 3 S eismic S ystem • Fully automated M ASS M odular Operation • Shallow water - Nodes on a Rope • Dual node deployment vessels M ASS M odular Crew 2 • End client - M ajor oil Company • Operating as a subcontractor • Fully automated M ASS M odular Operation • ROV & Source vessel chartered on project basis • Two M ajor Oilco’s and one National Oil Company • Four different surveys combined into one project • M agseis operating as prime contractor ATHENE Crew 1 Artemis Athene – Into her 24 th month in the Red Sea • • M ASS Cable operation – Very rugged seabed terrain • Zero to 1100 m water depth • Nodes on a rope in shallow water To date deployed/ retrieved more than • M ulti vessel operation • End client - National Oil Company 200 000 nodes • Operating as a subcontractor with highest data recovery rate 7 Source: M agseis
M agseis takes the next step in node development Current inventory Growth M ASS I Up to 65 days 14 000 M ASS I battery lifetime 6 000 M ASS I 14 000 M ASS I NEW M ASS III 10 000 M ASS III Extended battery life will transform the node Up to 150 days battery lifetime 40% reduction in cost operation model and improve cost efficiency from M ASS I 8 Source: M agseis
Efficient OBN System - driving substantial cost reduction � Small autonomous node, efficient logistics � Automated handling systems � Efficient deployment systems • Cable • ROV • “ Nodes on a Rope” � Source technology 9
Strong M arket Outlook – Undersupply in 2019 Node supply vs expected demand 120 000 100 000 80 000 60 000 40 000 Q3 2019 Q2 2020 Q1 2019 Q2 2019 Q4 2019 Q1 2020 10 Source: M agseis
M arket is tightening Visibility through tender offers/ pipeline Key comments # ITT`s Requests for 2019 season 350 7 increasing. Firm belief that we are entering a demand driven market 300 6 250 5 Availability of nodes seem to the 200 4 trigger for awards. 150 3 M iddle East, Brazil and North Sea 100 2 being hot spots, where ADNOC awarded largest seismic contract 50 1 ever of USD 1.6 billion (ADNOC award excluded from value of 0 0 Q3 Q4 Q4 Q1 Q2 Q1 Q2 Q3 Q2 Q3 tenders) 2016 2016 2016 2017 2017 2017 2018 2018 2018 2017 Value (M USD) 11 Source: M agseis
Growth strategy Key goal Business model By 2020 • • • Profitable growth and M odular handling systems Node pool of >30 000 backlog improvement nodes • M odular deployment • • Increase addressable systems – cable, ROV and & 4-6 containerised handling market, efficiencies & rope and deployment systems operational excellence • • Vessels @ opportunity Deliver leading source • Technology champion – technology nodes, handling systems and source Developing M agseis into the OBS market leader 12 Source: M agseis
Improving cost efficiency Shortage of supply in 2019 Sufficient funding for node growth plan 13
Appendix 14
Recommend
More recommend
