Andfjord Salmon – Q2 Presentation

Q22022 STATUS AND PROGRESS

15 SEPTEMBER 2022

Q2 2022

Q2 PRESENTATION 2022

AGENDA

Martin Rasmussen CEO

Introduction

Quarterly highlights and subsequent events

Operational update

Key financial figures

Bjarne Martinsen CFO

Summary and outlook

Q2 2022

ANDFJORD SALMON AT A GLANCE

FOUNDED: 2014 LOCATION: ANDØYA, NORWAY EURONEXT GROWTH: ANDF

FIRST LOCATION

FLOW-THROUGH – NATURAL FLOW

Andfjord Salmon has been granted a licence for 10,000 tonnes MAB with potential production volume of 19,000 tonnes HOG at Kvalnes, Andøya.

Uses a closed flow-through system, which combines the benefits of both traditional and land based aquaculture while solving a number of traditional farming issues.

GULF STREAM

~90,000 TONNES IN TOTAL

Strategically located at Andøya – with unique access to oxygen-rich seawater at stable temperatures. The unit is situated at a depth of 30 to 160 metres, depending on the season.

Andfjord Salmon has acquired three locations, with a clear roadmap towards achieving a total capacity of ~90,000 tonnes (HOG).

FISH-FRIENDLY & SUSTAINABLE

LOW ENERGY USE

Andfjord Salmon aims to build the world’s most fish-friendly and environmentally friendly facility for salmon, with the lowest possible energy consumption and cost.

No need to lift the water above the surface. No need to heat or cool the seawater, or other costly operations.

Q2 2022

EXPANSION POTENTIAL TO A TOTAL CAPACITY OF ~90,000T (HOG)

• Andfjord Salmon has secured , by purchase or purchase options, land on Andøya enabling an increase in total annual production volume to ~90,000t (HOG)

• License for Kvalnes I secured , licensing process for the expansion initiated

21 KT

• Support from local authorities for project and expansion plans

25 KT

90 KT

PHASE 1

PHASE 2 & 3

25 KT

18 KT * Indicative*

1 KT

*) Management base case assuming WFE/MAB=2.25 and HOG/WFE=0.84. 19 kt = 19 000t HOG based on existing licence of MAB 10 000t on the regulated production area of Kvalnes I.

TOTAL POTENTIAL

KVALNES I

FISKENES

BREIVIK

KVALNES II

Q2 2022

AGENDA

1 QUARTERLY HIGHLIGHTS AND SUBSEQUENT EVENTS

2

3

4

OPERATIONAL UPDATE

KEY FINANCIALS

SUMMARY AND OUTLOOK

Q2 2022

HIGHLIGHTS Q2

JEROMINO MARTINS INVESTS MNOK 173.9

LAUNCH OF CALANUS ® PLUS BY ANDFJORD SALMON

APPROVAL OF BREIVIK ZONING PLAN

SUCCESSFUL SMOLT RELEASE AT KVALNES

Andøy municipal council approved the zoning plan application from Andfjord Salmon for the development of a land- based fish farming facility at Breivik, Andøya, Norway.

Andfjord Salmon, Skretting Norway and Sortland-based Zooca® signed a letter of intent to facilitate the provision of a specially designed salmon feed for Andfjord Salmon.

In June Andfjord Salmon successfully released 200,000 smolt in the company’s first land-based pool at Kvalnes, Andøya.

Jerónimo Martins, a Portugal- based international food industry group agrees to invest NOK 173.9 million in Andfjord Salmon through a direct private placement.

Q2 2022

AGENDA

1

2

3

4

OPERATIONAL UPDATE

QUARTERLY HIGHLIGHTS AND SUBSEQUENT EVENTS

KEY FINANCIALS

SUMMARY AND OUTLOOK

Q2 2022

KVALNES PHASE 1: SUCCESSFUL SMOLT RELEASE

SMOLT RELEASE 25 JUNE

• •

~200,000 smolt

Average weight 120 grams

ADAPTED QUICKLY TO NEW SURROUNDINGS

• Close to full survival rate in high-stress event for fish • Adapted quickly to new surroundings

Q2 2022

SUCCESSFULLY RECREATING THE SALMON’S HABITAT ON LAND

POOL FUNCTIONS

• Pool functions and technology work exactly as expected • Laminar water flow proving highly reliable • Pool water changed ~15 times per 24 hours

BIOLOGICAL CONDITIONS

• Creating the salmon’s natural habitat on land • Handling of organic materials functioning as expected • Efficient removal of fish faeces from pool • Feed waste close to zero

Q2 2022

CURRENT STATUS: FISH THRIVING IN POOL

FISH GROWING WELL

INDUSTRY-LEADING SURVIVAL RATE

Average weight per fish (grams)

Survival rate of released smolt (%)

99.8

450

100

99.4

402

99

400

98

350

97

300

96

250

95

200

94

150

120

93

100

92

50

91

0

90

30 June

15 Sept.

30 June

15 Sept.

Q2 2022

EXCAVATION OF TWO NEXT POOLS COMPLETE

AREA

• Scraping of entire area complete • Currently finalising plan for optimal layout and development of expansion

NEXTTWO POOLS

• Blasting and excavation work complete

EXCAVATION

• Pools closest to first pool to be excavated first, then moving sequentially further away from first pool

Q2 2022

BREIVIK ZONINGPLAN APPROVED

BREIVIK ZONING PLAN APPROVED 13 JUNE 2022

BREIVIK Approved

• Plan to build land-based fish farming facility, targeting production volume of 25,000 tonnes HOG

25,000

TONNES HOG IN TOTAL POTENTIAL PRODUCTION VOLUME

o 25,000 T HOG

FISKENES ZONING PLAN APPLICATION:

o 25,000 T HOG

• Decision expected in H2 2022

FISKENES

25,000

TONNES HOG IN TOTAL POTENTIAL PRODUCTION VOLUME

o 39,000 T HOG

Q2 2022

AGENDA

1

2

3

4

OPERATIONAL UPDATE

QUARTERLY HIGHLIGHTS AND SUBSEQUENT EVENTS

KEY FINANCIALS

SUMMARY AND OUTLOOK

69°N ANDØYA VESTERÅLEN NORWAY

INVEST WITH A CLEAR CONSCIENCE

Q2 2022

INCOME STATEMENT

ANDFJORD SALMON AS All amountsin NOK

Q2 2022 1.4 – 30.6 Unaudited

Q2 2021 1.4 – 30.6 Unaudited

YTD 2022 1.1 – 30.6 Unaudited

YTD 2021 1.1 – 30.6 Unaudited

2021 1.1 – 31.12

Operating income and expenses Other income Total operating income

0 0

0 0

31 500 31 500

0 0

0 0

2 953 441 549 989 4 856 739 8 360 169 -8 360 169

3 357 717 122 661 3 380 866 6 861 244 -6 861 244

8 017 918 1 182 237 9 129 985

7 682 888 245 322 6 184 992

17 402 069 1 229 217 15 829 035 34 460 322 -34 460 322

Salary and personnel expenses Depreciation of tangible and intangible fixed assets

Other operating expenses Total operating expenses Operating profit/loss

18 330 140 -18 298 640

14 113 202 -14 113 202

Financial income and expenses Other financial income Other financial expenses Net financial income/expenses Profit/loss before tax

74 962 1 023 325 -948 363 -9 308 532

52 126 216 854 -164 728 -7 025 972

129 998 1 743 698 -1 613 700 -19 912 340

184 805 288 125 -103 320 -14 216 522

282 983 1 358 912 -1 075 929 -35 536 250

-9 308 532

-7 025 972

-19 912 340

-14 216 522

-35 536 250

Net profit/loss for the period

Q2 2022

BALANCE SHEET

ANDFJORD SALMON AS All amounts in NOK

30.6.2022 Unaudited

31.12.2021

30.6.2021 Unaudited

Assets

Total intangible assets

3 598 802

2 664 757

1 457 561

Total property, plant & equipment

492 081 626

428 987 851

330 237 220

Total long-term fixed assets

106 260

123 970

141 680

Total fixed assets

495 786 688

431 776 578

331 836 461

Biomass

6 673 112

0

0

Total current receivables

24 064 451

33 673 118

23 551 926

Cash and deposits

191 191 207

14 918 370

61 861 709

Total current assets

221 928 770

48 591 488

85 413 635

Total assets

717 715 458

480 368 067

417 250 096

Figures do not include remaining loan facility of NOK 5 million from Sparebank 1 Nord Norge and a NOK 20 million undrawn credit facility with Sparebank 1 Nord Norge. In addition the Company has NOK 5 million in unpaid grants from Innovation Norway.

Q2 2022

BALANCE SHEET

ANDFJORD SALMON AS All amounts in NOK

30.6.2022 Unaudited

31.12.2021

30.6.2021 Unaudited

Total equity

514 905 320

323 273 127

342 714 856

Liabilities

Non-current liabilities Liabilities to financialinstitutions Other non-current liabilities Total non-current liabilities

85 426 178 59 941 527 145 367 705

39 478 187 59 191 509 98 669 696

30 000 000 4 078 176 34 078 176

Current liabilities Trade payables Current tax liabilities Other current liabilities Total current liabilities

56 023 520 649 727 769 187 57 442 433

49 689 856 1 246 151 7 489 236 58 425 243

38 666 346 648 376 1 142 343 40 457 065

Total liabilities

202 810 138

157 094 939

74 535 241

Total equity and liabilities

717 715 458

480 368 067

417 250 096

Q2 2022

CASH FLOW STATEMENT

ANDFJORD SALMON AS All amountsin NOK

Q2 2022 1.4 – 30.6 Unaudited

Q2 2021 1.4 – 30.6 Unaudited

YTD 2022 1.1 – 30.6 Unaudited

YTD 2021 1.1 – 30.6 Unaudited

2021 1.1 – 31.12

10 985 750

-13 137 544

-13 196

-16 759 647

-20 620 952

Net cash flow from operating activities

-47 807 496

-52 660 942

-65 210 057

-106 640 987

-207 820 439

Net cash flow from investing activities

220 139 713

14 741 649

258 242 542

32 794 173

94 513 693

Net cash flow from financing activities

172 319 022

176 272 838

-133 927 697

-26 933 543

-86 984 358

Net change in cash and cash equivalents

Q2 2022

AGENDA

1

2

3

4

OPERATIONAL UPDATE

QUARTERLY HIGHLIGHTS AND SUBSEQUENT EVENTS

KEY FINANCIALS

SUMMARY AND OUTLOOK

Q2 2022

SUMMARY & OUTLOOK

FISH

FINANCE

BIZ DEVELOPMENT

FIRST HARVEST

• •

Successful smolt release

Strengthened financial position: •

ApprovalofBreivik zoning plan Fiskenes decision expected in H2 2022

Targeting first harvest in mid-2023

Desired biological conditions

NOK 50 million bank loan NOK 173.9 million from Jerónimo Martins

Excellent survival rate

Q 2 2022

69°N ANDØYA VESTERÅLEN NORWAY

ON TRACK TO BUILD THE

THE WORLD’S MOST FISH-FRIENDLY AND SUSTAINABLE FACILITY

Q2 2022

Q & A

ANDFJORD SALMON KVALNES, ANDØYA, NORWAY

ANDFJORDSALMON.COM ANDFJORD.NO POST@ANDFJORD.NO

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