Atlantic Sapphire As

Hello, everyone, and welcome to Atlantic Sapphire's presentation of the 2023 half-year report and operational updates. I am Johan Andreasen, and with me to present today, as always, is our CFO, Carl Øyhag.

I will start with some highlights from the first half of the year.

The focus has been on heavy infrastructure upgrades and operational improvements. We had approximately 2,100 tons of gross biomass gain and harvest volume of 870 tons hog. We saw a decrease in revenue driven by lower volume, partly offset by higher sales prices. We had a consistent price achievement of approximately $12 per kilo hog on our premium fish. There was an increase in overall cost per kilo of biomass produced compared to the first half of last year. We did an internal reorganization of the company to streamline the organization and strengthen the operational resources. Our phase two construction is currently focused on design and optimizing quality and costs of the project, while limiting actual capex for the project to a minimum. and we successfully completed an extension of our debt facilities with dnb to april 25 and we did a 55 million dollars private placement here is a timeline of 2023 so far and an outlook for the rest of the year from january through april the focus was on the heavy infrastructure upgrades and operational improvements requiring production to be put on hold as we had biofilter and flow restrictions. This resulted in lower harvest rates. The upgrades done are setting the stage for a good and safe production environment going forward. The net production in this period was negatively impacted by higher than normal mortality rates. Following that, we had a good period in May and June, where we saw good conditions and productivity. During that time, we had stable conditions and low mortality, and we saw what our farm is capable of. We saw feeding capacities and growth rates in line with our expectations. Then, unfortunately, we started to experience temperature issues in the farm, which resulted in slower growth and restricted feeding once again. I will get into more details about the temperature issue on the next slide. This will result in lower harvest weights and potentially higher the percentage of downgrades in the second half of this year. This setback will also result in reduced harvest volume and revenue for the second half and a delay to achieve what we call steady state biomass and production.