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CORPORATE PRESENTATIONFY2013 ANALYST BRIEFING

This presentation may contain forward looking statements which are subject to risks and uncertainties that could

cause actual results, performance or achievements to differ materially from such statements. Such risks and

uncertainties include industry and economic conditions, competition, and legal, governmental and regulatory changes.

The forward looking statements reflect the current views of Management on future trends and developments as at

the date of this presentation.

The Group makes no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness

of the information in this presentation, and neither the Group nor any of its directors, officers or employees shall have

any liability to you or any other persons resulting from your use of the information in this presentation.

The Group undertakes no obligation to publicly update or revise any forward looking statements in this presentation.

Disclaimer

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Kim Heng is An Established Integrated Offshore& Marine Value Chain ServicesProvider

COMPANY OVERVIEW

FINANCIAL HIGHLIGHTS

INDUSTRY OVERVIEW

FUTURE PLANS

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PRESENTATION OUTLINE

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COMPANY PRESENTATION

An established integrated offshore and marine value chain services provider

Offshore Rig Services & Supply Chain Management

•Offshore Rig Services•Supply Chain Management

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Introducing Kim Heng…

Vessel Sales & Newbuild

Offshore Rig Services

Construction and fabrication works of sections or components of

drilling rigs & drillships

Installation of offshore production modules and systems

Afloat repairs, maintenance and refurbishment of offshore rigs,

platforms & vessels

Supply of offshore drilling and production equipment

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Reactivation, commissioning & refurbishment of drillship and drilling rig

Reactivation of Drillship and Jackup Rig

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Drillship component removal & installation

Thruster Removal and Installation for DrillshipProviding a 10 years old drillship a further 5years of operational integrity, replaceexisting 6 unit of azimuth thrusters with 6fully rebuilt thrusters

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Fabrication of offshore oil rig structures

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Fabrication of offshore oil rig structures

Fabrication of Drill Floor for Jackup Rig

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Subsea equipment (Risers, BOP, LRMP stack) maintenance & refurbishment

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Assembly of Subsea equipment

Receipt of Riser Spider and Gimbal

Setting of Gimbal on Load Plate

Completion of Installation and Assembly

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Removal, installation and servicing of offshore oil rig components

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Removal, installation and servicing of offshore oil rig components

Mobilization of Crane Barge and Equipments along the Rig

Lifting of Thruster Unit

Removal of Barnacles and Marine Growth from Thruster Unit.

Thrusters Removal

Supply Chain Management

Provision of offshore supply vessels and heavy-lift equipment

Provision of logistics, general shipping and crew management

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Warehousing and Inventory Control

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Logistic and Transportation Services and Support

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Vessel Sales & Newbuild

Purchase and refurbishment of vessels for onselling

Newbuilding of vessels

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Construction of McDermott LB32 pipelay barge Retrofitting of Jascon 25 pipelay barge

Construction of APC Aussie 1 pipelay bargePower Barge Conversion for KPS Alican Bey

Experienced Management Team

Mr. Thomas TanExecutive Chairman and CEO

Responsible for overall operations, sales and marketing activities, customer service, securing new projects and negotiating contracts for the Group. Has more than 35 years of experience in the offshore oil & gas industry

Ms. Yeo Seh Hong Executive Director and COO

Responsible for overall operations, sales and marketing of products and services, product development and review, tenders and proposals and overseeing of the Group’s activities to ensure compliance with safety requirements and ISO standards. Has more than 25 years of experience in the offshore oil & gas industry

Mr. Tan Keng Hoe Melvin General Manager –Supply Chain Management

Responsible for supervising and managing of materials & logistics of the Group. Has more than 26 years of experience in the offshore oil & gas industry

Ms. Chen BiqingGeneral Manager –Marine and Support Services

Responsible for the marketing and operations for vessel movements, rental, sale and purchase of maritime and offshore equipments and assisting in marine and logistics operations within the Group. Has experience and exposure both locally and in Australia’s offshore oil & gas industry

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Mr. Tan Kah Seng CFO

Oversees the finance and accounting function of our Group, which includes the review and evaluation of the Group’s business performance, cash flow management , and budgeting

Supporting Infrastructure – Our Yards

With a combined waterfront of 205 metres, our shipyards at 9 Pandan Crescent and 48 Penjuru Road enable us to carryout afloat repairs, fabrication, newbuild, painting and blasting works

Yards and fabrication workshops are well-equipped with crawler, gantry and overhead travelling cranes, forklifts, primemovers, CNC cutting, welding and drilling machines

Land Area: 19,512m2 Waterfront: 68mLand Area: 19,512m2 Waterfront: 68m

Penjuru Shipyard Pandan Shipyard

Land Area: 34,125m2 Waterfront: 137mLand Area: 34,125m2 Waterfront: 137m

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Supporting Infrastructure –Vessels & Equipment

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Wide range of heavy-lift equipment

16 cranes ranging from 70 tonnes to 550 tonnes

15 trailers

6 prime movers

Forklifts, specialist tools, welding and testing equipment and low beds

Fleet of barges including flat top deck cargo barges, flat top ballastable deck cargo barges and crane barges fitted with side

walls or stanchions

8 tugs / passenger launches ranging from 240 bhp to 3,200 bhp

28 barges ranging from 80ft to 300ft

Corporate MilestonesStarting Up

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1968 –Founding of Kim Heng Tugboat

Company

1982 –Expansion into repair

and maintenance

in the offshore and

marine industry

1988 –Venture into repair and

maintenance activities for offshore oil

rigs

2009 –Constructed and delivered

first accomodation

and pipelaybarge

2013 –Completed first

re-activation and

refurbishment of a jack-up rig

TODAY – An established integrated offshore &

marine value chain services

provider

A Worldwide Customer Base

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Kim Heng currently caters to world renowned customers from over 25 countries in the

regions of Southeast Asia, USA, Latin America, Australasia, Middle East and Europe.

Our prominent customers include:

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A Worldwide Customer Base

Transocean Ltd Seadrill Limited Noble Corporation McDermott International, Inc Saipem S.p.A

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FINANCIAL HIGHLIGHTS

Financials

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Profit and Loss

*Computed based on the pre-Invitation share capital of 550,000,000 shares

S$’000 Audited FY2012

Unaudited FY2013

FY2013 Y-o-Y PerformanceComments

Revenue 86,728 84,813Revenue fell 2%• Mainly due to reduced contribution from Vessel Sales and Newbuild segment

Gross Profit 37,177 36,454 • In line with lower revenue recorded

Gross Profit Margin (%) 42.9% 43.0% • Maintained healthy GPM on robust core business

Profit/(Loss) before taxation 21,102 20,346Profit before tax fell 4%• Mainly due to incurrence of S$1.4 mil in listing related expenses

Profit/(Loss) for the year 17,285 17,093Core profit increased • Excluding the one-off listing expenses, the Group would have recorded 6~7% gain in net profit

Net Profit Margin (%) 19.9% 20.2% • Improved NPM despite listing costs

EPS (cents)* 3.1 3.1 -

Financials

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86.7

37.2

21.117.3

84.8

36.5

20.3 17.1

0102030405060708090100

Turnover Gross Profit Net profitBefore Tax

Net profit AfterTax

FY2012 FY2013S$’ mil

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Balance Sheet

*Computed based on the pre-Invitation share capital of 550,000,000 shares**Computed based on ratio of Net Debt Less Cash & Total Equity

***Proposed dividend is subject to shareholders’ approval

Financials

S$’000 Audited as at 31 December 2012 Unaudited as at 31 December 2013

Current assets 26,142 34,174

Non-current assets 60,648 57,823

Current liabilities 31,431 24,634

Non-current liabilities 11,998 9,863

Total equity 43,361 57,500

Cash and cash equivalents** 1,114 3,504

NTA per share (cents)* 7.9 10.5

Net Gearing Ratio 0.41 0.08

Dividend (cents)*** N.A. 0.5

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INDUSTRY OVERVIEW

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Prospects

Month

Drillships Jackups Semisubs

Deployed Total Fleet UtilisationRate Deployed Total Fleet Utilisation

Rate Deployed Total Fleet UtilisationRate

January 2014 85 93 91.4% 369 426 86.6% 170 189 89.9%

December 2013 84 91 92.3% 360 424 84.9% 168 189 88.9%

November 2013 79 89 88.8% 355 416 85.3% 171 189 90.5%

October 2013 77 89 86.5% 355 412 86.2% 172 189 91.0%

September 2013 75 87 86.2% 359 409 87.8% 172 188 91.5%

August 2013 75 85 88.2% 354 406 87.2% 173 188 92.0%

WORLDWIDE OFFSHORE RIG UTILISATION

Source: Rigzone Rig Data Center

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Prospects

INTERNATIONAL RIG MARKET ANALYSIS BY REGION AS OF FEB 2014

Asia Pacific Africa Med/Mid East Latin America World Total

SS DS JU SS DS JU SS DS JU SS DS JU SS DS JU ALL

Working 30 17 119 15 19 22 4 1 132 47 26 45 164 84 384 632

Idle 16 6 16 11 3 4 6 0 32 4 2 25 54 14 129 197

UtilisationRate 65.2 73.9 88.1 57.7 86.4 84.6 40.0 100 80.5 92.2 92.9 64.3 75.2 85.7 74.9 76.2

Source: Petrodaily™ Rigs

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ProspectsAVERAGE DAY RATES V TOTAL CONTRACTED UTILISATION

Source: HIS Offshore Rig Day Rate Trends

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ProspectsAVERAGE DAY RATES V TOTAL CONTRACTED UTILISATION

Source: HIS Offshore Rig Day Rate Trends

Prospects

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Source: IHS Petrodata World Rig Forecast: Short Term Trends, December 2013

GLOBAL JACKUP RIG FORECAST FOR FY2014

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Global E&P spending to hit record high in 2014

According to Barclays’ Global 2014 E&P Spending Outlook report

1. Global E&P spending is poised to reach a new record of $723 billion in 2014, up 6.1% from

$682bn in 2013

2. High oil Prices is expected to be sustained into 2014 on increase in global capital

expenditure budgets forecast for 2014

3. Expected delivery of a large number of offshore rigs in both 2014 and 2015 to drive E&P

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Prospects

Asia Pacific E&P remains a bright spotAccording to Credit Suisse Singapore O&M report

1. Demand for rigs is expected to be supported by continued growth in Asia Pacific E&P

spending, which is expected to increase 22%YoY in 2014

2. Demand for high-spec jackups is likely to remain resilient, driven by rising dayrates and

replacement of older fleet, dayrates for jackups is expected to increase by another 5- 10%

in 2014

3. Malaysia is expected to see strong E&P activity as Petronas continues to award contracts as

part of its planned five-year RM300 billion capex programme. Number of wells drilled in

Malaysia in 2013-18 is expected to increase by 30% to 159 wells per year, with jack-up

market to grow 33% from an average of 15 contracted rigs in 2012 to 20 rigs in 2018

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Prospects

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FUTURE PLANS

Future Plans

Enhancement of yard facilities and expansion of fleetYard facilities enhancement

• 9 Pandan Crescent – Yard optimisation; construction of workers’ accommodation block; and

office block

• 48 Penjuru Road – Construction of CNC and subsea engineering workshop

Fleet Expansion

• Potential tender, repair and refurbishment of 8 vessels for operational usage;

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Future Plans – Growth Strategies

Expansion and diversification of our business and service

offerings in the offshore O&G industryPotential Business Opportunities*

• Turnkey Rig Refurbishment Project – Refurbishment and conversion of a Jack-up Rig

to Accommodation Rig.

• Turnkey Rig Refurbishment Project – Refurbishment and conversion of a Jack-up Rig

to Offshore Production Unit

Potential M&A Opportunities*

• Subsea equipment servicing & engineering company

• Subsea equipment servicing company with intellectual property in coupling design

*As at the date of this presentation, we have not entered into definitive agreements with any potential party to undertake such projects and/or opportunities. We will carefully consider and undertake extensive review and evaluation prior to entering into such transactions, and further announcements will be made by via SGXNET as and when there are any material developments regarding the above in compliance with the listing rules

Yard Enhancement: 9 Pandan Crescent

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Future Plans

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Future Plans Yard Enhancement: 9 Pandan Crescent

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Future Plans Yard Enhancement: 9 Pandan Crescent

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Future Plans Yard Enhancement: 48 Penjuru Rd

Investor Relations | Financial PR Pte LtdRomil SINGH, John TAN

T: +65 6438 2990 F: +65 6438 0064 staff@financialpr.com.sg

Thank You!

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