NOL: Strategic alliance agreement and contract award

26 Sep 2024 19:14 CEST

26 September 2024 – Hamilton, Bermuda

Northern Ocean Ltd. (“NOL” or the “Company”) is pleased to announce that it has
signed a strategic alliance agreement in Ghana and a contract with the
Springfield Group of Companies (“Springfield”) for the use of the Deepsea
Bollsta on a well test of the Afina 1x well, amongst other activities. The
strategic alliance includes a mutual exclusivity to explore a long-term field
development program in Ghana. The firm contract duration is for one well test
estimated to be 30-35 days and will commence early in the fourth quarter this
year.

The Ghana program will precede the contract with a subsidiary of a major
operator which was announced on 26 July 2024. The agreed clean dayrate is
$440,000, excluding mobilisation and demobilisation. With this new contract
award for Deepsea Bollsta, the Company has an estimated aggregate revenue
backlog between $85 million and $105 million, excluding bonuses, reimbursables
and undeclared options.

Arne Jacobsen, Chief Executive Officer of NOL, commented: “We are excited to
announce this strategic alliance agreement with Springfield, which is an
important step in the company’s plan to build a solid order backlog. In
addition, this alliance creates the foundation for NOL and Springfield to build
a long-term relationship in Ghana where Springfield is an important operator.

The short-term work in advance of the already announced drilling contract proves
that it is possible to backfill idle periods in direct discussions with oil
companies. Although it is short-term work it brings the Deepsea Bollsta back in
operation earlier than anticipated, and NOL adds an important oil company in
West Africa to its list of clients. This demonstrate that NOL’s superior assets
combined with Odfjell Drilling`s operation is a very attractive solution for our
clients.”

Kevin Okyere, Chief Executive Officer of Springfield, commented: “The appraisal
of Afina 1x through a well test helps finalize the unitisation between
Springfield- ENI/ Vitol and will bring significant value to the government of
Ghana and all stakeholders involved in this unitisation

Together with GNPC and GNPC Explorco, our partners, we are really excited to be
working with NOL in this historic drilling campaign as the first independent
African company to operate in deep waters. The success of this campaign will
result in us being the first independent African producer in deep waters as
well. NOL’s impressive track record, efficiency and expertise make them an ideal
partner for Springfield as together we have managed to plan and we will execute
this drilling campaign in a safe efficient manner. Together in our partnership,
we look forward to building a mutually beneficial long-term relationship that
brings significant value to all our stakeholders.”

Both parties are committed to spending the time during this exclusivity period
until 01.01.2025 to enter into a firm agreement for long term field development
drilling starting mid- 2025.

For more information, please contact:

Arne Jacobsen, Chief Executive Officer: + 47 992 26 222
Jonas Ytreland, Chief Financial Officer, +47 994 65 550

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