Van Oord nv Schaardijk 211 NL-3063 NH PRESS RELEASE Rotterdam, the , 16 March 2021 PO Box 8574 NL-3009 AN Rotterdam The Netherlands

Solid results in a challenging year T +31 88 8260000 F +31 88 8265010 - Revenue: EUR 1.7 billion (2019: EUR 1.6 billion) E [email protected] I www.vanoord.com - EBITDA: EUR 226 million (2019: EUR 254 million)

- Net profit: EUR 33 million (2019: EUR 46 million) Page 1 of 6 - Operational cash flow EUR 476 million (2019: EUR 30 million)

- Order book: EUR 3.6 billion (2019: EUR 3.6 billion) - Net debt: EUR -24 million (2019: EUR 307 million) - Solvency ratio: 41.3% (2019: 41.8%)

The year 2020 has been a challenging year. The COVID-19 pandemic has impacted our daily lives, affected our families, changed our way of working, and created many business challenges. For Van Oord, this has been an extraordinary year as well. Our first priority is and has been the health and safety of our employees. We have been able to adapt to new circumstances and value the flexibility of our employees and the agility of our organisation. As a result of adapting quickly, focus on our clients and projects and restructuring our cost base, we were able to achieve a higher revenue, strong operational results, a relatively stable EBITDA, and a very strong cash performance. We have carried out a reorganisation affecting all our employees. We successfully adapted ourselves, and created a solid financial basis for future growth.

Key financial performance With the excellent work of our people, we have realised a solid financial performance. Van Oord recorded EUR 1,677 million in revenue (2019: EUR 1,644 million) and despite the impact of restructuring costs and incidentals, EBITDA remained relatively stable EUR 226 million (2019: EUR 254 million).

Cash performance was very strong, resulting in a positive net cash position at year-end of EUR 24 million (2019: net debt EUR 307 million). Our order book remained stable at EUR 3,553 million (2019: EUR 3,610 million).

The revenue build-up in 2020 varied compared with 2019. The Dredging business unit saw a further revenue decrease to EUR 598 million (2019: EUR 690 million) due to ongoing market pressure, enhanced by COVID-19. The revenue of Offshore Wind picked up (2020: EUR 632 million, 2019: EUR 571 million) due to a high execution level on various projects. The Offshore business unit kept its revenue level stable, at EUR 211 million (2019: EUR 210 million). The Netherlands increased to EUR 236 million (2019: EUR 173 million) driven by the large projects in execution (including Afsluitdijk, A16 Rotterdam).

Our EBITDA level remained relatively stable at EUR 226 million. A solid performance considering the difficult circumstances and one-off costs. COVID-19 related measures and restructuring our organisation have resulted in incidental costs, running into tens of

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Page 2 of 6 millions. Our 2020 result was supported by strong project execution and (relatively) good project results, combined with significant cost savings.

Our order book amounted to EUR 3,553 million at the end of 2020 which is stable compared with 2019 (EUR 3,610 million). Our underlying markets remain attractive and our order book is expected to grow. In 2020, Van Oord was for example selected by RWE as the preferred EPCI-contractor for the Sofia Offshore Wind Farm. This project is not included in our orderbook year end 2020. Van Oord will be responsible for the engineering, procurement, construction and installation (EPCI) of the monopile foundations and array cables of the 1.4 GW Sofia offshore wind project.

Our financial position remained strong in 2020 with equity amounting to EUR 1,015 million (2019: EUR 1,008 million) and solvency at 41.3% (2019: 41.8%). We realised a positive net cash position of EUR 24 million, compared with a net debt position of EUR 307 million per year-end 2019 and are well within the terms and conditions of our credit facilities.

The positive change in our net debt position was mainly related to the very strong operational cash flow performance (2020: EUR 476 million, 2019: EUR 30 million) driven by favourable working capital developments and by EBITDA.

We temporised our investment cash flow (EUR 2020: EUR 120 million, 2019: EUR 222 million). From 2021 onwards our investments will increase again to capitalise on the opportunities in our markets.

Pieter van Oord, CEO: ‘It goes without saying that 2020 has been a disruptive year. COVID-19 is above all a global health crisis. The pandemic has impacted the global economy, our markets, clients, projects, and employees. The oil and gas market in particular was hit hard. The oil price fell from almost 60 dollars at the start of 2020 to 20 dollars in April, only to recover gradually over the course of 2020. Most oil and gas companies severely cut their investments, by an average of 35% in 2020. Global maritime trade plunged and port investment projects were postponed and slowed down. Consequently, the tender volume in a number of our activities fell sharply.’

‘Our company had one of the most challenging years in our more than 150 years history. I am proud how we have worked together to navigate through turbulent times. Our first priority is and has been the health and safety of our employees. We have swiftly taken the necessary actions to safeguard the well-being of our employees and to ensure our business continuity. We had to let go of a considerable number of employees. A difficult decision. On the operational side we have proven our adaptability. All projects have continued despite logistical, personal and financial challenges. A great achievement resulting in a solid performance.’

‘As a result of all measures, we achieved a higher revenue in 2020 than in 2019. Cyclical movements in one market have been compensated with strong growth in others, while long-term growth drivers remain positive. In particular, the revenue of the Netherlands and the Offshore Wind business units increased considerably, while the revenue of our dredging activities remains under pressure. Our EBITDA level remained relatively stable

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Page 3 of 6 despite COVID-related incidental costs. Our order book is stable and is expected to grow. Our operating cash flow was rock solid, enabling us to turn our net debt at the end of 2019 into a net cash position end of 2020. We are ending this difficult year with a very strong balance sheet.’

‘In this challenging year, our people and their agility made the difference. We are confident about our strategic direction, portfolio of businesses and competitiveness of our fleet. Population growth, maritime trade growth, the energy transition and the rising energy demand combined with the impact of climate change will fuel all our business activities for the coming decades. We are committed to further investments in our leading market positions and are ready to step up when the global economy recovers.’

Business unit highlights

Dredging Dredging is one of the cornerstones of Van Oord’s business and fuelled by long-term drivers such as climate change, population growth, maritime trade, and energy demand. Structural market changes and the outbreak of the global pandemic gave cause for short-term market pressure. The widespread uncertainty led public and private clients to cut back on spending and postpone tenders. As a result, our award volume declined in 2020. The utilisation rate of the hoppers and cutters was relatively low. However, the operational performance and the results were better than anticipated.

Some project highlights in 2020 were the deepening of a 62-kilometre-long channel from Świnoujście to Szczecin in Poland and the completion of the contract for associated with the PEMEX oil refinery in Dos Bocas . The project involved reclaiming 12 million cubic metres of sand to create 600 hectares of new land.

Our Reinventing Dredging 2030 strategy is getting traction. In 2020, we introduced a programme of interventions to safeguard our performance and build new growth engines by launching innovative concepts around our core activities, for example climate adaptation.

Offshore Wind Offshore wind is the other cornerstone in our marine portfolio and is a strong driver of the global energy transition. Having entered the offshore wind sector in 2002, Van Oord is a leading player. In 2020, we worked on and completed offshore wind farm projects that deliver renewable energy to more than 2.5 million households.

The Offshore Wind business unit concluded a strong year. Revenue was EUR 632 million versus EUR 571 million in 2019. The operational results increased sharply. Large projects such as Borssele III & IV and Kriegers Flak were successfully completed. The utilisation rates of the wind vessels such as the Aeolus and the Nexus were high.

Offshore Wind started work on Van Oord’s first cable project in Taiwan. The contract, awarded by Ørsted, involves a cable installation contract for the 900 MW Greater Changua. In 2020, Van Oord’s offshore installation vessel Aeolus installed the last of the 77 monopiles and all turbines for the Borssele III & IV offshore wind farm for the Blauwwind consortium (Partners Group, Shell, Eneco, DGE and Van Oord). Cable-laying

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Page 4 of 6 vessel Nexus was tasked with installing the cables. The wind farm will have a total installed capacity of 731.5 MW, delivering sufficient power for approximately 825,000 Dutch households.

Within Offshore Wind the order book is solid, with tenders in the pipeline for projects in , and the US. The potential of our offshore wind activities is strong. Our orderbook is expected to grow with for example our preferred contractor position on both Sofia and Baltic Hub. The Sofia offshore wind project for RWE is sited on Dogger Bank, in the North Sea. The construction of the 1.4 GW project is due to start in 2023. Sofia will be one of the largest offshore wind farms in the and is likely to generate enough power to provide almost 1.2 million UK homes. Last year we also passed a milestone with our share in the development of the Saaremaa offshore wind farm in Estonia. The area could facilitate an offshore wind farm of over 1 GW. Offshore wind projects have grown in size and complexity which will further professionalise the entire supply chain.

Offshore The year 2020 was a mixed year for the Offshore business unit. The Subsea Rock Installation (SRI) unit had a good year, which accounted for solid financial results. Van Oord’s flexible fallpipe vessels had a busy year. Stornes set a record of 1.5 million tonnes of rock installed in only ten months’ time. Bravenes even broke its personal record, placing 1.5 million tonnes of rock in a single project. The Offshore Pipeline Installation (OPI) market was affected by the sudden and pandemic-driven collapse in investments by gas and oil companies. In 2020 we started the preparation for the execution of the Mozambique LNG project (operated by Total). We worked on numerous offshore wind projects providing cable- and seabed protection.

Our overall Offshore portfolio is steadily shifting towards offshore renewables, cables and new marine energy. And while we work to drive the energy transition in various places around , Van Oord will continue to work with our clients and trusted partners to install, stabilise and protect a broad range of offshore energy infrastructure and marine health innovations.

Netherlands The Netherlands business unit’s revenue increased in 2020 compared with 2019, despite the COVID-19 crisis and the market uncertainty relating to PAS (integrated approach to nitrogen) and PFAS regulatory changes. Because we were able to act quickly and develop creative solutions, many projects went ahead. Our most important client – Rijkswaterstaat, the operational agency of the Dutch Ministry of Infrastructure and Water Management – also did everything in its power to avoid delays. The growth in revenue can be contributed to two large DBFM contracts (design, build, finance, maintain) in our order book. The anticipated start of the ViA15 project was delayed due to PAS related issues.

In 2020, we focused on the execution of the Afsluitdijk project. This contributed to a rise in revenue in 2020. Good progress was made on protecting the Waddenzee side of the Afsluitdijk with the innovative Levvel blocs. On the project, we faced a major modification request by the client. This change is related to the hydraulic conditions on the IJsselmeer. As a result, the new and existing discharge sluices had to be redesigned. This will also extend the construction period. We are engaged in a constructive dialogue with Rijkswaterstaat about how this modification will impact the schedule, as well as cost

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Page 5 of 6 levels. We also worked on the A16 Rotterdam project in 2020. Within the consortium, Van Oord is, for instance, responsible for delivering approximately 4 million cubic metres of sand. In total, 3 million cubic metres of sand has been delivered to date.

Further boosting and maintaining the infrastructure in the Netherlands will require continued investments. We are concerned that the PAS related issues will negatively impact future infrastructure projects in the Netherlands. We are awaiting a political decision to tackle the challenge in a balanced manner.

COVID-19 impact In 2020 we adapted to new market circumstances. We responded with a clear COVID- 19 policy, communicated frequently with our people, took short-term measures, and facilitated emergency response decision making. All together, we have been able to ensure business continuity in a safe and responsible manner and facilitated social cohesion.

These circumstances also required an adaption of our cost base through a reorganisation. This led to a reduction of more than 800 FTEs in our total workforce in 2020. A difficult process for the employees involved and for the company as a whole. Part of the reorganisation required collective redundancies in the Netherlands. A responsible social plan was agreed with the Works Council and trade unions. In 2020, the number of employees globally decreased from around 5,200 in 2019 to around 4,400 in 2020.

Investments Against the background of uncertain market expectations, we updated our corporate strategy. This strategy outlines our ambition to achieve sustainable growth in the coming decade.

Following our refreshed strategic direction and committed investments, we updated our five-year investment plan. In March 2020, our new trailing suction hopper dredger Vox Amalia was commissioned. This vessel will be leading in its asset class and replace the previous generation of ships. The construction of three new LNG hopper dredgers at Keppel was delayed for a few months due to the lockdown in Singapore. After the summer work resumed. The first hopper, the Vox Ariane, was launched in January 2021. It will be put into service at the end of 2021. The other two hopper dredgers will follow in 2022. With these three new state-of-the-art hopper dredgers, we are largely replacing the mid-class section of our dredging fleet.

We are also building two new water injection dredgers (WIDs) at the Kooiman shipyard in Zwijndrecht. These WIDs will replace the first generation of WIDs. We continue to uphold the company’s innovative spirit and are still the leader in this working method.

To underline our commitment to the energy transition, we invested in a large ‘green’ cable-laying vessel. The vessel will be built by VARD from Norway and will be equipped with the latest green technologies. The vessel will be operational in 2023. It concerns a hybrid vessel with engines that can run on biofuel, but which can also be powered by carbon neutral fuels. This design ensures low energy consumption and fewer carbon, NOx and SOx emissions. In addition, we have planned to further invest in the

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Page 6 of 6 sustainability of our offshore wind installation fleet. These investments are important steps in realising our ambition to become carbon neutral by 2050.

Outlook 2021 The world has started the new year with mixed feelings. Change is on the horizon after kicking off vaccination programmes globally. On the other hand, we are still in the middle of lockdowns and increasing COVID-19 cases. Nevertheless, we believe economic growth is likely to pick up in the second half year. The recovery will also have a positive effect on our markets. In particular, we expect a gradual recovery in the dredging and offshore oil and gas market. The impact of the recovery will most likely not be felt until 2022. While still facing challenging times in part of our portfolio, we are well-positioned to fully leverage our leading position in offshore wind in the coming years.

In this unique and challenging year 2020, we have adapted quickly and laid the foundations for building and investing in our updated strategy 2030: Building the Future Together.

About Van Oord Van Oord is a Dutch family-owned company with 150 years of experience as an international marine contractor. The focus is on dredging and marine construction, offshore wind, offshore infrastructure and infrastructure in the Netherlands. Its head office is in Rotterdam. Van Oord employs 4,400 staff, who worked in 2020 on 186 projects in 36 countries. The fleet consists of about 70 vessels and a large amount of special-purpose and auxiliary equipment. Marine ingenuity is characteristic of Van Oord. By using innovative, smart and sustainable solutions, it wishes to contribute to a better world for future generations.

More information: Please contact Mr Robert de Bruin, Director Markets & Communication, T +31 88 8268234, M +31 6 53440890, E [email protected]. This press release and copyright-free images are available at www.vanoord.com.

Attachment: Annual accounts 2020