Horizon56 A/S

Capital resources The Company has lost more than 50% of its contributed capital as of 31 December 2022 and is thereby covered by the rules on capital loss laid down in the Danish Companies Act. Action plans have therefore been prepared to ensure the re-establishment of the Company's capital base. The Parent Company has issued a letter of support stating its intention to provide necessary liquidity to ensure the Company's continued operations. Accordingly, the financial statements are presented on a going concern basis.

The Company was established 1 October 2021 and this annual report covers the first 15 months of the Company’s activity. In this period the Company has evolved and matured software products offerings for RigBridge and RigFlow, grown and scaling the Company’s products with deployments on +10 drilling rigs globally with different customers. The Company's income statement for the period 1 October 2021 - 31 December 2022 shows a loss of USD 7,116 thousand. Equity in the Company's balance sheet at 31 December 2022 stood at a negative of USD 2,054 thousand. The result for the year before tax and before impairment shows a loss of USD 309 thousands, which in line with management expectations.