Verbrec Evolution Engineered

Acquisition of EIM EIM (now re-branded OSD) is a full-service engineering, construction and operations management company with capabilities across engineering, project execution and operations and maintenance of pipelines and associated infrastructure OPERATIONS & MAINTENANCE STUDIES & ANALYTICS fit EPC Project Execution ENGINEERING & DESIGN PROCUREMENT CONSTRUCTION COMMISSIONING BROWNFIELDS INTEGRATION ASSET INTEGRITY FIELD SERVICES DUE DILIGENCE MANAGEMENT EIM Transaction overview and details ➤ Acquisition completed on 31 December 2020 Paid $3.2M (net of cash received) from existing cash reserves Arrow Energy agreed to extend existing O&M agreement by a further three years Expected to generate c.$4M in revenue uplift in H2FY21 Will be earning accretive in FY22 with cost synergies of at least $0.75 million per annum to be realised on track to deliver this target $3.2M in franking credits, available when Verbrec restores dividends Strategic rationale Adds scale (capability, systems, footprint) to Verbrec's Asset Services and Pipelines Engineering capability and cements Verbrec as a leading mid-tier engineering and operations service provider servicing the Oil & Gas industry Provides revenue diversification with long dated operations and maintenance contracts with tier 1 clients, strategically increasing non-project based revenues Fully integrated management and operating systems which is being rolled out across the OSD Pipelines business verbrec evolution engineered 12

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