EMGS reports fourth quarter 2017 results

Electromagnetic Geoservices ASA ("EMGS" or the "Company") recorded revenues of USD 11.3 million in the fourth quarter 2017, down from USD 12.0 million in the fourth quarter 2016 and up from USD 10.0 million in the third quarter 2017. Contract and other sales totalled USD 1.6 million, while multi-client sales amounted to USD 9.7 million in the fourth quarter 2017. EMGS has reduced its quarterly cost base, consisting of all operational costs including multi-client investments, from USD 14.3 million in the fourth quarter last year to USD 11.6 million this quarter. The Company recorded EBITDA of USD 0.4 million, up from negative USD 2.1 million in the fourth quarter 2016. Free cash decreased with USD 6.4 million from the previous quarter mainly due to negative cash flow from operating and investing activities.

During the quarter, the Atlantic Guardian acquired data on a pre-funded multi-client survey in Canada and multi-client surveys in the Barents Sea. The BOA Thalassa was idle until late November, after which she mobilised for two pre-funded multi-client surveys offshore Indonesia.

"We are pleased to have seen several opportunities mature outside of Norway and yet another quarter with a positive EBITDA as a result of a relatively healthy amount of revenues and low operational costs.", says CEO of EMGS, Christiaan Vermeijden.

Please find the full report for the fourth quarter 2017 and the presentation enclosed. The results will be presented at 10:00 CET today. The presentation will be held by CEO Christiaan Vermeijden and CFO Hege A. Veiseth and will be broadcasted live over the Internet. The webcast can be accessed on www.emgs.com  It will be possible to post questions through the webcast.

Contact
Hege Veiseth, CFO, +47 99 21 67 43

About EMGS
EMGS, the marine EM market leader, uses its proprietary electromagnetic (EM) technology to support oil and gas companies in their search for offshore hydrocarbons. EMGS supports each stage in the workflow, from survey design and data acquisition to processing and interpretation. The Company's services enable the integration of EM data with seismic and other geophysical and geological information to give explorationists a clearer and more complete understanding of the subsurface. This improves exploration efficiency and reduces risks and the finding costs per barrel.

EMGS operates on a worldwide basis with offices in Trondheim, Oslo, Houston, Villahermosa, Rio de Janeiro and Kuala Lumpur.

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.