Ecopetrol S.A.

Good morning. My name is Natalia and I will be your operator today. Welcome to Ecopetrol's earnings conference call, in which we will discuss the main financial and operating results in 2024. There will be a questions and answers session at the end of the presentation. Before we begin, it is important to mention that the comments in this call by Ecopetrol's senior management include projections of the company's future performance. These projections do not constitute any commitment as to future results, nor do they take into account risks or uncertainties that you materialize. As a result, Ecopetrol assumes no responsibility in the event that future results are different from the projections shared on this conference call. The call will be led by Mr. Ricardo Roa, CEO of Ecopetrol, Rafael Guzman, Executive Vice President of Hydrocarbons, Camilo Barco, CFO, and David Rianio, Executive Vice President of Transition Energies. Thank you for your attention. Mr. Roa, you may begin your conference.

Welcome to the Operational and Financial Results Call of the Ecopetrol Group. We met our operational and financial targets, consolidating a growth path which set the foundations for a solid beginning for 2025 and enabled new possibilities to progress in the energy transition. I want to highlight our resource replacement results. The reserve replacement ratio was 104% with the addition of 260 million barrels of oil equivalent of proven reserves, maintaining an average reserve life of 7.6 years. This doubles the addition of proven reserves when compared to 2023, which reflects our commitment to the country's energy security. Around 99% of these results respond to organic management and was complemented by the acquisition of Repsol's 45% stake in the CPO 9 block, which added 32 million barrels of oil equivalent to our reserves. We renewed the agreement with OPSI to extend the development plan in the Permian Basin with an estimated investment of $885 million in 2025, including the drilling of 91 development wells. we achieved an average production of 746,000 barrels of oil equivalent per day, exceeding our annual goal on the highest level of the last nine years. In exploration, we surpassed our 15 wells target by drilling 16 wells with a three-year exploratory success rate of 43%. where the Sirius II, while in the Colombian Caribbean offshore, stands out as it is a key to expand the country's gas potential. In this trend, we exceeded our annual goal by transporting an average of 1,119,000 barrels per day. This achievement proves our resilience and operational flexibility, ensuring the supply of crude to the refineries and products to our customers. Regarding downstreams, we faced electrical reliability challenges while successfully completing the annual plan of shutdowns and major maintenance, achieving an average operational availability of 94.5% and reaching an average throughput of 414,000 barrels per day. In the commercial front, our trading subsidiaries in Singapore and Houston continued their support in markets and customers diversification, improving the crude margins when compared to 2023. Let's move to the next slide, please. We accomplished a year of strong economic performance that generates value for our shareholders, despite external factors such as chain rates and inflation, which affect us recurrently. In 2024, we record total revenues of 133.3 trillion pesos, an EBITDA of 54.1 trillion pesos with an EBITDA margin of 41%, and a net income of 14.9 trillion pesos. Excluding external factors, net income would be 21 trillion pesos, an increase of nearly 10% compared to 2023. We invested over $6 billion of CAPEX, including the acquisition of CPO9 in line with our annual plan. Additionally, we collected the entire account receivable from the Fuel Stabilization Price Fund of 2023 and celebrate the 63% reduction of the 2024 balance. Efficiencies, which have been important to mitigate cost increase, reached 5.3 trillion pesos, surpassing in 43% the year's ambition. Meanwhile, consolidate payments to all our shareholders, Richard. 42 trillion pesos. In line with the above, we just announced the proposal for a dividend distribution of 214 pesos per chair, which will be submitted for approval in the coming general shareholders meeting on March 28th. Let's move to the next slide. In terms of TESG, Ecopetrol obtained the second best global rating on the oil and gas industry in the Dow Jones Sustainability Index. On the environmental front, I would like to highlight three achievements. First, the reduction of greenhouse gas emissions by more than 462,000 tons of CO2 equivalent since 2020 which represents the CO2 emitted by over 840,000 cars. Second, an 81% of water reuse in our operations, increasing 7% in terms of volume when compared to 2023. And third, in biodiversity, the stored and avoided emission through natural climate solutions projects. On the social side, we invested over 606 billion pesos in the sustainable transformation of the territories, our leadership in the national allocation of works in lieu of taxes with a 45% share, and the various projects we promote to the benefit of hundreds of Colombians. In innovation and technology, we became the first Latin American country to join the International Energy Agency's Greenhouse Gas Research and Development Program, which we boost through the Colombian Petroleum and Energy Transition Institute. In governance, we were recognized as the best company in Colombia for attracting and retaining talent by Merck. We also transformed our organizational structure to become more agile and efficient according to the needs of each business line. Finally, I would like to highlight Ecopetrol's contribution to the regional GDP within Colombia of over 1.3 trillion pesos, proving that sustainability investments generate financial benefits and promote economic development. I now hand over to Rafael Guzman, who will talk about the results in the hydrocarbons business line.

Thank you, Ricardo. In the hydrocarbon business, we are focused on profitability and sustainable cash generation. This is demonstrated by the Ecopetrol Group's successful incorporation of proven reserves in 2024. achieving a reserve replacement ratio of 104% and maintaining an average reserve life of 7.6 years. We added 260 million barrels of oil equivalent in proven reserves, doubling the 2023 addition. In this regard, I would like to highlight the following. Improved reserves revisions, the contributions of Rubiales and Cañosur Fields stands out, thanks to the outstanding results of the drilling campaign and the maturation of new projects. Management efforts were focused on economic factors, mitigating the impact of a lower price of Brent, which decreased by $3 per barrel compared to 2023. This was possible thanks to the implementation of initiatives such as cost optimization measures, the strengthening of the crude oil basket, and agreements reached with the ANH regarding their economic rights. These actions not only mitigated the impact, but also resulted in the incorporation of over 6 million barrels of oil equivalent in reserves. Now, the primary contribution derives from the expansion of improved recovery projects in Colombia, amounting to 97 million barrels of oil equivalent. representing 37% of the total incorporation. Extensions and discoveries include the commercialization of Arrecife, Saltador, and Toritos. On inorganic incorporation, the main contribution relates to the acquisition of Repsol's 45% stake in the CP09 block, located in the Department of Meta. This purchase added 32 million barrels of oil equivalent to 1P reserves and enabled nearly 8 million barrels of oil equivalent of organic incorporation through synergies with the Chichime field. Additionally, we executed divestments, resulting in a net addition of 29 million barrels of oil equivalent. It is noteworthy that 89% of the total proven reserves are from fields in Colombia, where we achieved a 109% reserve replacement ratio. Lastly, on the gas front, in 2024, we incorporated 15 million barrels of oil equivalent, following two years without adding proven reserves of this hydrocarbon. In addition, as part of our effort to strengthen the CAST portfolio, we increased contingent resources by 1.3 trillion cubic feet, mainly from the Sirius discovery. Let's move to the next slide, please. As part of our active and efficient portfolio management, we successfully completed important deals in 2024. to ensure the profitable sustainability of the hydrocarbon business. Regarding acquisition, and as previously mentioned, the purchase of Repsol's stake in the CP09 block, this transaction strengthens Ecopetrol's position in the Llanos Orientalis basin, providing benefits in reserves, production, and potential volumes to be developed of over 250 million barrels of oil. This also enhances decision-making agility and creates synergies in the development and operational cost, as Ecopetrol now holds 100% interest in the cluster that includes the Chichimene, Castilla, and CP09 assets. Furthermore, we extended the joint venture between Ecopetrol and Oxy in the Midland area of the Permian Basin until June 2026. with the possibility of signing a new extension of the development plan in the future. The contract for the development of the Delaware sub-basin will remain in force until 2027. Likewise, we implemented a dilution strategy, resulting in the signing of 10 agreements with TAREX, aimed at reactivating areas with high exploration and development potential. Under these agreements, PADEX plans to carry out investment exploration activities in Piedemonte and Farallones. Likewise, in Putumayo, PADEX will invest $350 million as carried in exploration and development, with the expectation that both companies will incorporate resources in 2025 as projects mature. Simultaneously, we continue to advance our agenda with the National Hydrocarbons Agency and the Ministry of Mines and Energy to maximize activities within the areas of existing contracts and agreements. This effort has resulted in the extension of 15 exploration contracts across various regions of Colombia, as illustrated on the map. All these milestones will serve as future sources for reserves incorporation. Let's move to the next slide, please. In exploration, we progressed with the drilling of 16 wells compared to the 15 initially planned, with an investment of $454 million. As a result, seven wells were successful, including Caripeto I, which confirmed the presence of hydrocarbons during the initial test in January 2025. Two wells are currently under evaluation, and seven wells had no commercial hydrocarbon balance. In addition, we highlight the progression of resources to proven reserves with the commerciality of Arecife, which contributed to a total of 6.8 million barrels of oil equivalent. Lastly, in 2024, Ecopetrol acquired interest in four additional blocks in the Santos Sur project in Brazil, with a 30% stake for a total of 11 blocks. Let's move to the next slide, please. In 2024, the Ecopetrol Group achieved a production of 746,000 barrels of oil equivalent per day, exceeding the target for the year. These results were primarily supported by the performance of the Permian and Cañosur fields. Additionally, the continuous contribution of assets in Colombia, such as Castilla, Rubiales, Chichimene, and Piedemonte, which generated 42% of the Ecopetrol Group's production. Fields with improved recovery technology contributed with nearly 41% of Ecopetrol Group's total production. Regarding the production levels in the fourth quarter of 2024, it is important to note that the lower levels were anticipated within the projections and are mainly attributed to the anticipation of permanent activity in the first nine months of the year, environmental events due to the rainy season causing electrical disruptions mainly in Rubiales, Yarguí, Chichimene and Castilla. hurricanes affecting Ecuador, America, regular low-well gas sales during the end of the year. In 2025, we estimate a production between 740 and 750,000 barrels of oil equivalent per day, which incorporates production from the acquisition of 45% of CPO9, but also consider social unrest risks. Let's move to the next slide, please. In 2024, transported volumes increased by more than 5,800 barrels per day compared to the previous year, primarily driven by graded deliveries of Castilla Norte crude oil from the Barranca Bermeja Refinery and the implementation of commercial strategies that facilitated the addition of barrels outside the transportation network. Thanks to mitigation strategies, enhanced operational control, and coordination with government entities, more than 7 million barrels were evacuated from the Caño Limón field through the Bicentenario pipeline, following the suspension of the Banadilla-Ayacucho section of the Caño Limón-Coveñas pipeline. In 2024, this segment achieved the highest net income amounting to 5.2 trillion pesos and recorded the second highest EBITDA reaching 11 trillion pesos and contributing to 20% of the total EBITDA of the Ecopetrol Group. Let's move to the next slide. In 2024, the refineries achieved a throughput of 414,000 barrels per day with an average annual operational availability of 94.5%, despite a challenging market and operational environment. The gross refining margin decreased by $7.7 per barrel compared to 2023. In 2024, it stands at $9.9 per barrel. 78% of this impact is due to the decline in international fuel prices, mainly affecting diesel, gasoline, and jet fuel. 11% primarily due to the effect of the lower availability of segregated light crude oil at the Barranca Bermeja refinery as a result of the attacks on the Caño Limón-Coveñas pipeline. And the remaining 11% was the result of operational events such as the limitation of the coke compressor and the power shutdown at the Cartagena refinery. Regarding the latter, we continue advancing in the comprehensive plan to restore refinery's electrical reliability, having completed four of the 16 planned milestones. By 2025, we aim to advance 10 milestones. As a result of the aforementioned factors, the segment's EBITDA stood at 2.2 trillion pesos in 2024. 69% less than previous year. When normalizing for exogenous factors, the EBITDA would have been 6.9 trillion pesos with an EBITDA margin of 9.9%. In 2025, the segment's efforts are concentrated on levers to enhance business profitability and mitigate exogenous effects such as cost and expenses optimization, focus on operational and logistical efficiency. initiatives to maximize business profitability to the production of higher value products including petrochemical asphalt and chemical recycling and the execution of energy transition projects aimed at sustainability and diversification of refining products into new markets such as renewable jet and diesel production automatic petrochemistry low emissions hydrogen production and improvements in air quality Let's go to the next slide. In 2024, the Ecopetrol Group continued materializing its efficiencies strategy with a contribution of 5.3 trillion pesos, exceeding the target proposed for the year. As shown in the lower left figure, the efficiencies were able to offset the increase in total unit cost by $0.97 per barrel. resulting in a total unit cost of $47.71 per barrel in 2024. Lifting, transportation and refining costs were impacted by exogenous factors such as exchange rate, inflation and gas prices. This year, we will continue to execute our efficiencies program with new initiatives aimed at increasing the profitability of our operations and investments. maximizing asset value, enhancing synergies within the integrated hydrocarbon chain, and identifying optimizations in our supply chain. The program aims to achieve efficiencies by 4.6 trillion pesos. Now, I'll turn it over to David, who will discuss the main milestones of the energies for the transition business line.

Thank you, Rafael. In Ecopetrol, we acknowledge the importance of natural gas as the transition mechanism to cleaner energies. For this reason, we remain committed to the incorporation of a portfolio of options that allow us to contribute to the reliable supply of national demand in the coming years. To achieve this, we are implementing all actions and investments necessary to support the country's energy security. In 2024, we successfully delivered the gas committed under contracts with third parties, with an average of 506 gigabit per day of natural gas and 15,000 barrels of oil equivalent per day of LPG. This led to a production of 170.2 thousand barrels of oil equivalent per day of natural gas and LPG, with an EBITDA generation of nearly 2.9 trillion pesos. This EBITDA is 70% lower than in 2023, mainly due to a lower availability of domestic natural gas and LPG and exchange rate variations. However, we continue our efforts to ensure that this business line makes a significant contribution to the achievement of our long-term goals. Throughout most of 2024, we assessed various alternatives for importing natural gas through market information requests and internal analysis. These evaluations, both technical and financial, explored options that could support gas demand until offshore projects come alive. In this context, we highlight progress in two important areas. The start-up of the Ballena LNG project, which allowed to identify its benefits from the technical and commercial point of view for meeting medium-term natural gas demand, and the approval to continue the studies during 2025. The binding process for regasification services, the first of its kind, that seeks private companies to offer regasification service to Ecopetrol. In regulatory matters, we highlight the company's efforts to promote the updating of gas marketing rules in key areas such as commercialization mechanism for the volumes coming for new gas projects, endorsement to develop the transportation infrastructure required to connect new projects with users, and the need for regulatory certainty related to the development of new gas projects and the possibility of developing natural gas imports. In this line, relevant advances have materialized for the market, such as the correct resolutions that structurally modify and make more flexible periods for natural gas commercialization and promote the use of all the volumes available in the market, the Act 1467 of 2024 that makes imports and offshore natural gas sources viable, and finally, the Supply Plan that includes strategic transportation infrastructures for the development of new supply. Let's move on to the next slide. In terms of energy efficiency, between 2018 and 2024, We reached a cumulative energy optimization of 19.9 petajoules, equivalent to the annual gas and power consumption of more than 1 million homes, contributing to decarbonize close to 1.2 million tons of CO2 equivalent and generating savings of 389 billion pesos. These results have a major impact on the goals of Colombia's Rational and Efficient Energy Program, which promote an efficient use of energy in different sectors and activities of the economy, representing 72% of the national goal for the oil and gas sector. Regarding the integration of renewable energies into our energy matrix, by the end of 2024, the Ecopetrol Group accumulated 611 MW of capacity from non-conventional renewable energy sources in operation, execution, and construction. With a potential contribution of 1.6 TWh per year, which corresponds to a 19% share in the Group's energy matrix, and 52% lower tariff when compared to non-regulated energy purchases. The combined effect of these efforts in transition energies, including the final investment decision and the start of construction of the coral project at the Cartagena Refinery, a plan for green hydrogen production using PEM technology with an electrolysis capacity of 5 MW, leverage our position to achieve our goals. In summary, 2024 ends with 68% progress towards our goal of incorporating 900 megawatts of non-conventional renewable energy sources by 2025, 80% progress towards our target of 25 petajoules in energy efficiency by 2030, and a clear path in 2025 to escalate up green hydrogen production at an industrial level. As part of our commitment to promote a fair energy transition and contribute to sustainable territorial transformation, by the end of 2024, the Ecopetrol Group impacted more than 13,000 people with renewable energy solutions, supporting the consolidation of the largest energy community in the country, located in Manaure, La Guajira, and connecting communities with renewable energy solutions for biodiversity and peace. Additionally, we connected more than 25,000 families to natural gas service for a total amount of 69,000 since 2019. In 2025, we aim to execute 16 additional projects, connecting 30,000 new families in more than 10 departments around the country. I will now pass the floor to Camilo, who will present our transmission and road business line and the main financial milestones.

Thank you, David. In 2024, ISA achieved the highest net profit of its history, driven by the entry into operation of new projects and by the recognition of the periodic tariff review for transmission companies in Brazil during the third quarter of the year. The 12% increase in revenues, 8% rise in EBITDA, and 43% growth in net income compared to 2023 highlight our strong performance. Net income results were partly due to impairment figures of the year compared to 2023. In line with our strategic diversification goals, by the year end, ESA's individual results enhance its contribution to the co-patrol group, accounting for 12% of consolidated revenues, 18% of EBITDA, and 6% of net income. Consequently, the average return on equity measured by the ROAE indicator reached 16.9% in 2024, up from 14.4% in 2023. ISA accelerated its investment execution in 2024, reaching 4.8 trillion pesos, with a robust investment plan committed to achieve 2030's target of 26.1 trillion pesos. The year's execution included the launch of 15 projects across various regions, such as the Minoano project in Brazil, connection service to the substation Ecopay in Colombia, and Ruta del Loa project in Chile. By 2030, 5,600 kilometers of circuit to the grid and 296 kilometers of toll roads will be added through the development of 38 projects that are currently under construction. With investments of 3.8 trillion pesos, ESA secured 10 tenders in power transmission, including notable projects such as the Ruta Orbital Sur in Chile and the East Pan American Road in Panama. Finally, we will launch our ESA 2040 investment strategy on March 12, which will continue to strengthen our regional growth. Let's go to the next slide to detail the financial performance of the group. The strong financial results for 2024 were driven by our sustained efforts to achieve structural efficiencies, maintain profitability, uphold a strong cash position, exercise continued capital discipline, and mitigate external impacts. Key financial achievements for 2024 include growth of 10.2%, and EBITDA margin of 41% above annual targets and with a significant contribution coming from the transmission and toll road segment. Optimization of our debt structure through strategic financing operations for around 22 trillion pesos, pursuing an early refinancing plan and lowering interest expenses. In addition, the company kept its gross debt to EBITDA ratio under control in 2.2 times and extended the average life of debt from 8.5 years in 2023 to 9.3 years in 2024. The highest free cash flow of our history underpinned by a strong operational performance and the collection of the account receivable from the Fuel Price Stabilization Fund, FEPEC, accrued in 2023. Given these positive results, we propose an attractive dividend payout of 58.9%, with a dividend per share of 214 pesos. This proposal is aligned to our dividend policy and will be coordinated with our majority shareholder to achieve a parallel payment of the FEPEC balance accumulated in 2024. Let's now look at our cash position and results. In 2024, the significant decline of the FEPEC receivable favored our cash position, which was adversely affected in 2023 in terms of working capital. The FEPEC balance closed at 7.6 trillion pesos, the lowest level since 2021, thanks to the collection of 20.5 trillion pesos during 2024, in addition to the increase of gasoline prices and a slight rise in diesel prices. For 2025, we anticipate the PEG balance to range between 4 and 6 trillion pesos, assuming current price scenario remains unchanged. The robust 18.2 trillion pesos cash position for the year end on a consolidated basis will be primarily allocated to the 2025 investment plan, as well as to operational and financial applications. Our EBITDA reached 54.1 trillion pesos in 2024, with an EBITDA margin of 41%, setting out one of the highest profitability levels of our history. It's important to mention that our EBITDA decreased in approximately 6.6 trillion pesos compared to the previous year, mainly due to the external factors impacting 7.8 trillion pesos, including a 45% impact from price decreases consolidating the Brent reference price and product and crude oil differentials, a 37% impact from the lower average FX rate of the year, and an 18% of effect from inflation. Excluding these externalities, the adjusted EBITDA would have been approximately 62 trillion pesos, representing 43% EBITDA mark. Please go to the next slide. In 2024, we executed an ambitious and challenging investment plan, achieving $6.1 billion in both organic and inorganic investments. Investments were primarily allocated in Colombia, 65%, and internationally, 35%, mainly in the U.S., Permian Basin, and Brazil. Organic investments in the hydrocarbon segments accounted for 68% of the group's total investments, with significant projects in Caño Sur, Chichimene, Acacias, and the Permian drilling campaign. 20% of the investments were allocated to ESA, which enhanced progress made in 38 projects under construction by itself and its subsidiaries. Additionally, commercial operations commands in 15 power transmission projects, Improvements were made to the ISA energy grid in Brazil, and the Ruta Lua project in Chile was initiated. The energy transition business segment executed 13% of the group's total investments, focusing on the gas supply chain in basins such as Permian, offshore Tairona Block, and Piemonte, as well as renewable energy projects like the Iwana Solar Eco Park and the Kifa Solar Farm. Finally, $239 million were allocated to inorganic investments to acquire 45% of Repsol's estate in the CPO09 block and for the acquisition of Oladipo Colombian's non-controllable interest, BioSense. Now, let's comment our 2025 investment plan. For 2025, the investment plan aims at sustained growth, control costs, and ensure profitability for our shareholders while strengthening our traditional business. We plan to invest between 24 and 28 trillion pesos, with 60% allocated to energy security. This includes enhancing our crude oil production, securing refining throughput, and meeting domestic fuel demand with our own products. The remainder, 40% of our investments, will be allocated towards the energy transition, including sustainability, innovation, and electricity transmission and toll ropes. The investment plan is based on an average rent price scenario of 73 US dollars per barrel. It aims to preserve competitive returns with 39% EBITDA margin and achieve efficiencies exceeding 4 trillion pesos. Such plan does not account for the export taxes and stamp tax introduced by Colombia's internal promotion decree in February 2025. Nevertheless, we do not anticipate significant impacts on its execution. Finally, I would like to discuss the main challenges we identified for this year and outline how our finance team plans to address them. Like our peers, we will remain focused on reversing the trend at costs. For this, we set a lifting cost target ranging from $12 to $13 per barrel for the whole year, aiming to reach the lower end of the range. Additionally, our debt management strategy will focus on addressing cash needs that may arise from inorganic opportunities and continuing to reduce financial costs. To optimize our return on capital employee, and profitability, we will focus on managing our assets and the turnover of our portfolio. Finally, we continue taking action to support the dynamism of our stock and create value for our shareholders. Recently, we announced two key initiatives, a temporary decrease in ADR conversion cost and the appointment of a market maker for our local stock. I now turn the floor over to the President for his closing remarks.

Thank you, Camilo. The satisfactory results of 2024 allow us to continue generating value and profitability in 2025 based on strict capital discipline and cash protection criteria. For this year, the operational and financial goals we had set respond to the need to keep enhancing organic production of hydrocarbons, Preserve integrity, availability and reliability across our infrastructure. Increase our efforts related to efficiencies and decarbonization while consolidating the energy transition business line. Maintain our leadership in energy transmission in the region. We recognize the challenges ahead, so our efforts will focus mainly on enhancing flexible operations to address contingencies and preserve continuity, enabling cost-efficiency alternatives that allow us to maintain our competitiveness. I thank all the employees of the Co-Petrol Group for their hard work in 2024 and encourage them to keep moving forward in 2025. Thank you all for participating in this conference call. I now open the floor to the question and answer session.

We will now start the question and answer session. We ask you to please have a maximum of three questions to give time for all the participants. Please select in the interpretation icon the language of your question. Otherwise, we will not be able to listen to you. Thank you. has a question. Mr. Tish, you can ask.

Good morning, everybody. Can you hear me? Good morning.

Thank you for the opportunity. Very quickly, three questions. The first is I'd like to understand a little bit of the impairment in terms of the refining segment, because one of the reasons to do that reversal is that the difference between prices and margins were adjusted to the upper side. So I'd like to understand those assumptions that you're using so that you could have that value of these operations. The first question is that. The second has to do with the profitability that you're estimating an EBITDA margin for 2025 or 39%. Does that mean that you're expecting a reduction in the margin because this year we have 2024, it should be decreasing. I'd like to understand a little bit why do you see that reduction in the profits? And that should be a margin that we should hope to be stable in the medium term. And I'm surprised because this year we do have lower, because we have lower prices in terms of the price of oil and rate of exchange. So I'd like to understand why they are still expecting an impairment in this margin. And lastly, the third question has to do with, well, recently at the end of last year, you enabled the subject, the self-report generation through a regulation. I'd like to know whether that is real and how likely is it that the payment of the balance will be made using the assets from URRA? And in addition, whether it is true that they made an offer for the project where the CapEx that you are mentioning are also including these purchases in the case of Unipish.

Those would be my three questions. Good morning, Catherine. This is Camilo Vargo.

Thank you for your questions. My microphone was off, so you couldn't hear us. So I'd like to start by the question about the impairment, which is shown in the last quarter of 2024. And this is something that we do according to generally accepted methodology, which is fair market value, which is based on the valuation through this accounted cash flows for the short, medium, and long terms. In that respect, there's really perhaps three or four factors that affect this adjustment that we can, or this recovery that we can see in the statement of results for the previous year. First of all, I'd like to mention the curves that we use to project the prices. They are companies, international companies, long-standing companies that produce this type of information. And we use that information to do our impairment exercise, basically, with McKinsey and Platts and H.S., and these are curves scenarios and projections the ones that we use in our valuation uh in those curves we see that there will be a recovery of the price differential prices for the products which are used for the medium and the long term that would be one of the factors the second one has to do with the local crude availability for our refiners which allows us to optimize the cost of the input and the crews that are processed therein. Thirdly, there's a component that has to do with the discount rate. And the discount rates that were used had some small adjustments in terms of including some risk factors. And when we add the price projections the local group component, the adjustments for the rates, we have positive impairment, which reflects a recovery of approximately 0.9 billion in the last quarter for 2024. I hope that this has answered your question about impairment. The second question about the EBITDA margin we are projecting for the next year, and a bid margin of around 39%. That bid margin, as you can see, is the result of applying a price projection for this year, which was less than we had for 2024. This year, we're working with rent prices of $73 per barrel. It's lower than what we used for the previous year, which was around $80 per barrel. This is an important fact. However, it's a good time to repeat our firmest commitment to the efficiencies for this year. We have an efficiency plan, which is greater than $4 trillion, close to $4.5 trillion basis. which will enable us to offset a good measure of the behavior of external variables. This is the immediate margin predicted based on prices and the behavior of what we expect for the price of Brent and of refined products for this year, 2025. I give the floor now to the president to answer the issue about remote generation and the possible acquisition of renewable generation assets. Catherine, good morning. This is Ricardo. The third question has to do with whether we could, when you're speaking about the possibility of buying assets such as URA to compensate the they cross from the Eco Patrol to the government at the end of 2024. Those alternatives have been assessed in conversations with the Ministry of the Treasury. We have not the appropriate regulations to allow our Eco Patrol to acquire this type of assets. after an evaluation of the assets is not so relevant about the balance of the 7.6 trillion pesos that we ended at the balance at the end of 2025. However, looking at the regulations, if there were the appropriate measures to apply that remote generation, to a system like that, we will continue to assess them. Right now, in touch with the technical groups in the Ministry of Finance, we have an agenda for the repayment of the CPEC as we get the repayment of the dividends to the nation about the Ipeche project. the parties, that's Ecopetrol and ENEL, who have been working to perfect an agreement for this transaction, purchasing the bridges of the project in Guajira. If we make the agreement, under a confidential basis. We'll carry out the appropriate procedures and after we close the process, we would publish the details about your communication or through the communication channels.

We'll continue with the question in Spanish. Mr. Guardiola, you can ask it.

Thank you all, and good morning, everybody. I'd like to mention two issues, the operations of Echo Petroleum Permian in the U.S., and I don't know whether I can give more details about the extension agreement signed with OCIE in the Midland Basin, especially because a day after that, The day after that, President Petro asked to cancel that contract. Are you thinking about canceling the contract that has already been signed? First of all, the second thing is, what does extension include? How many acres and what is the potential that you see for these acres that are in the middle in terms of total locations for drilling to understand what is the additional potential that you might look at? in the midland especially. That would be about my opinion. And my second and last is to have your opinion about the potential of non-conventional oil and gas in Colombia. Is that an opportunity or is that something that you're not considering right now? And if you're not, I'd like to know what are the reasons why not go after these opportunities in Colombia?

These are my two questions. Thank you, Dani and Ricardo Roy.

First of all, I'd like to tell you that about the Appearance Project, I'll give the floor to Julia, the Vice President for New Business, tell you about the details of this extension of the agreement with Oxy for extending the exploitation of the assets in the Midland Basin. Let me then talk about the second part, which is after the day of the second, the day after the signature was signed, the President of the Republic told the Board of Directors, I asked the Board of Directors to make the technical and economic analysis required to get out of that. That's what we do constantly. We do evaluation and assessment of the assets, not only in the US, but also in our geographies around the world where we have IP image. So we are very respectful of the times, the terms, the times of the agreements that we signed with our allies. And in that respect, we continue to make our decisions with the capital discipline criteria that you know, according to which we decided to extend that agreement. The second question about the non-conventionals It is clear that in the country the current government policy is rigorous with respect to demanding that we stop for the time the activity of these explorations and the contracts that we had as pilots have been suspended or closed properly without leaving any environmental economic liability spending with the contractors that we're doing our isolations, as long as we still have regulations or law and legislation scenarios that prohibit this activity in the country. Very good, we'll be focusing his attention to exploring and looking for petroleum and gas with the contracts that we have, and in the areas where we also exploit these to be able place molecules and crudes in the system. That's what we are doing. And within that framework, we're carrying out these projects. And we're making significant investments. I'll give the floor to Julia to tell you about the details of the station of the joint venture for Oxfam. Thank you, President. Good morning to me and the Vice President of Strategy and New Business. We with Oxy, as Benjamin mentioned, we had an agreement to extend the activity plan. And I want to emphasize that, that point, because the ownership of the acreage doesn't change. The ownership of production doesn't change. Quad weeks and therefore the activity by Oxy as an operator within the contract of the joint venture. You must remember that with our entry in 2019, we purchased 49% of an area close to 95,000 acres in Midland, and then an area close to 20,000 acres in Delaware. And that area is, which is being under development right now. So this doesn't include the additional area. only includes an extension of the plan in which oxley agrees to develop around 90 wells during 2025 and similar figures what we had a for 2024. uh this is somewhat i can tell you about the agreement there are some which are confidential between the parties but uh this made it a beneficial scenario for auction and for ecobetrol in which both parties were able to extend that activity and leave the door open to future extensions if either of the parties believes it appropriate and we will discuss it as appropriate. I'd like to also add that as we have said we included our research last year, 22 million barrels that will enable us to, even though we have about hybrid, especially in the future investments, which is the agreement, we're going to be reviewing on this all the time,

and it is possible that we might have constant extensions to this agreement the next question is in english mr mcconnell I have been seeing that the shares performed very well and the expectations for next year. But my question is, what could be the next administration for the industry in Colombia? That is my first question. My second question is about prices.

Could you update me? ¿Cómo están los precios de los locales de los modelos comerciales importados?

¿Y cuál es la experiencia de la compañía para el corto plazo? Good morning. Let me talk to the first question.

Fortunately, I do not agree with the fact that the reason why our shares performance in the capital in the stock market are reacting due to the expectations of a new administration. The reality is that the figures, the numbers of the results that we've seen and been mentioning the close, the expansion of the contract with Oxy, in Permian, the acquisition of 45% of the expatriate group that we had in Repsol in CPO 09, the replacement of reserves that had 104%. Those are advancements or advances in the actual material advances of transition that we're going to have in the middle of next year. We have the largest and highest technology plant in Latin America for green hydrogen, and we actually included the incorporation of new energies for renewable uses. This is being read properly by the market and the stockholders, and that is the explanation for the improved performance of the shares in the stock market. About the expectations for the new administrations, this sector well we'll have to wait until the next administration i want to turn in this uh in this administration uh has been very deeply articulated with the uh understanding and the issue of standards of regulations that allow us to make our role more flexible in supplying the energy for fuels from the country in gas there's uh Flexibilization that allows us to commercialize volumes at any time. We can import a segment of gas and sell it to the market. We don't have that restriction. We're working on the rates for invention conversion to assets for transportation of crude or gas this uh these have been advances we've had in the crag with the administration and with the institution good morning donardo thank you for your question this is julio cesar a vice president of commercial and marketing insurance about the um Prices of gas and diesel, I can tell you with two statements. First of all, let me tell you that the prices are regulated and defined in Colombia by the national government. We have the responsibility of implementing them. About the prices with the parity, international prices, I can tell you that we are indexed to the international indicators, we maintain a strategy of diversifying origins and destinations. Specifically, I can tell you that right now the regulated price of the gasoline is higher than the import parity. This is below because that I can tell you at the end, we got $76 for the income and the parity price was

$99 per barrel. Thank you. Please select in the interpretation icon the language in which you're going to make your translation.

Otherwise, we can't be able to listen to you. The next question comes from Victor Morales.

You can ask your question.

Good morning, Victor Modanesi from UBS. I have two questions on my side. lifting costs during 2024 remain above levels seen in previous years, despite the cost efficiencies achieved. What's your expectation for the company's lifting costs going forward beyond the $12 to $13 per barrel target for 2025?

Could long-term costs decrease back to low levels seen previously?

And second, on the topic of agri-petrols, natural gas and global capacity, Could you provide more details on potential volume and value of future projects under discussion?

Good morning. Thank you for your question.

For 2025, we are looking at the inflection point In terms of the out-of-world cost, you've seen an increase in the cost for 2025. We expect to be close to what we saw in 2024. We're working on the efficiencies to be able to, in the future, to be able to lower the costs. But for 2025 specifically, we do not expect any increases compared to 2024.

About regasification, I'll give the floor to David.

While David answers talking about the regasification gas projects, I'd like to add to the question about this you know as you mentioned in the presentation our one of our objectives was uh to contain the increase in the cost uh in that respect uh uh we for for this year we could have uh between 12 and 13 dollars per barrel and the other will uh with the implementation of the efficiency with more than 4.3 trillion pages in efficiencies. We hope that the total cost will be in the lower cost of $12, not only by controlling the cost, but also improving somewhat what we saw compared to 2024.

Good morning.

This is Davide Agnew, Vice President of transition energy during the past year we assessed several alternatives to import gas into the country both in the atlantic and the pacific coasts and as a result of that process we identified the best alternatives for the eco patrol group which meets the capital discipline criteria um which would allow us to put some cash into the market to meet the demand that we expect for the next few years specifically these are two projects that we've identified one in the pacific coast with a capacity of recastification of 60 million cubic feet per day this is a project in which projects that requires a gratification service and therefore the third party does all the investment makes all the logistics activities for receivables, storage, reclassification. We are processing a reclassification plan. And this is going to be through OPEX, and the competition doesn't need any CapEx investments. The other project is our own project in the north part of the country, in the Caribbean, individual platform which is an asset owned by the group using existing infrastructure that allows us to take in gas to the transportation system for lpg and the one that leads to the from the gas of the caribbean we can bring approximately 200 million cubic feet per day of regasified gas in this case echo patrol would make some uh facilities in the church of a platform the reclassification circuit would be through a floating uh reclassification so it would be carried out by a third party this is under analysis especially in terms of the environmental issues as soon as we have more information we'll be publishing it okay that's that's very helpful thanks

Andres Cardona from Citibank. Good morning, everybody.

Thank you for my time. Two questions. What can we expect after the acquisition of CP09 in terms of development? Now that you have 100% of the working interest, would we expect an acceleration in the development plan? or the field, and the second one is whether the payout that you defined for 2025 is somewhat limited by the M&A expectations for the company you mentioned, or you mentioned the assets there. So, I think it is rolled out, but are you considering any other options potential acquisitions, and could all they be in the generation sector?

Thank you.

The acquisition of the participation I had is one of the major landmarks for last year, because in addition to the reserves we have, they want to include

32 million with the acquisition, we already begin to see what we can with this additional block with the Chiquita and Castilla. So we're going to be able to have another 8 million barrels a day with these fields.

And I want to expand on this, the Acacias, which is at the main block field in 09, is a continuation of the TGNM field, where Ecopetrol has made major investments and developments. We're getting high recoveries, thanks to air and water injection. Those lessons that we learned will be used for the city of Guyton. In addition, we have

to production, wells in production, which are in addition to block CDO 09.

This is an extension of the Castilla's field, and all the investment made by the condition of in Castilla has moved, will be moved to this block. We have major cities in development and operation costs by having 100% interest in this entire field. An example is the development of Tina Moog, which is, we see that as a connection of these two worlds. They're going to connect to the Castillo through a flow line. This would be another increase in, decrease in development costs. This acquisition in the future, we have the potential to buy an additional 50 million barrels in this block

which represents a large number of barrels for egg patrol. Thank you. So the other question is to the payout that we've made for the distribution of dividends.

approved by yesterday's board. To talk about the panel, I'd like to talk to three different factors in which the proposed distribution that is put to the assembly. The first is a dividend policy that has been adopted by the board of directors, which we've declared that in the in document 20f and it says that the policy is part of the distribution between 20 between 40 and 60 percent of available profits for the share for the stock this is the first framework for conversation the second one has to do obviously with the availability of cash and the group's liquidity as we saw last year we had a solvent position close or rate than 18 billion pesos And a third has to do with the investment plan for 2025. As part of the three-year plan for investments is an ambitious plan, which is over $6.7 billion.

By combining these factors, we find that the dividend payout is,

framed within three elements. And for investments, 70% of the total will be used for hydrocarbons, including gas as a transition fuel, the 30% remaining for transitional energies, transmission and roads.

And in general, about the,

acquisitions or inorganic binds as part of our ongoing job we're constantly evaluating different business opportunities in different sectors and in addition to the opportunity that we mentioned and that the market is aware of in terms of renewable energy we'll also explore in a significant number of opportunities in different segments and lines of business one last question could we expect that the payment of the uh stimulus engine fund to payments will continue with the same dynamics that we saw in the 2024 which is a monetization over 12 months of the uh the balance uh remaining balance which is decreasing but it's a is that a reasonable assumption for our months yes andres yeah i'd like to point out the effort that that national government has made even in the midst of this uh the fiscal situation that we have the national government has been uh complying with the dates and the amounts that were established for uh paying the obligations we had some payments for over $20 billion and the balance for 2024 is $7.6 billion and to be included in your respective models this year we have forecast also regular payments every quarter four payments over the year these are being reviewed the way payments it might change according to some requests from the Ministry of of finance but working based on regular quarterly payments of similar amount maybe higher than the first quarter uh we're talking about 2.3 trillion pesos and in the second one would be a similar amount and for the second semester one or two additional payments for the remaining balance of 3.5 billion approximately so In some years, we can foresee that the payments will continue. The government has committed to making their payments on time, and we are reviewing and agreeing the manner of payments which best fits the Ministry of Treasury according to the

inflow casual inflows and our own requirements in ecopetrol mr duarte may i ask you a question thank you good morning i have three questions

the first one is about the gas facility breakers because gasifying in the pacific how are you going to transport that gas from the port to uh to the nearest uh gas line um at the lpg or some of those companies that are in the in the west also and is that through uh overlanders that uh do you have uh you or somebody else intended to the connection between the board and the guidelines in the interior the second question is uh can you tell us uh uh how much were the contributions or the payments uh control to the nation in 2024 what is expected for 2025 and please uh can you itemize the taxes, how much is for income tax, and what is the others. And the last question is what the president mentioned earlier about the green hydrogen plant. I'd like to know whether you have identified the sources of generation and water that you would use to produce that hydrogen, and whether that's 800,000 total per year, whether that... Or is that a production is all going to refinement or is it simply a surplus that are going to be sold somewhere else?

David Villanueva, Executive Vice President of Transition Energies.

As far as the reclassification in the Pacific, as we mentioned earlier this is at which a commercial acquires the right to the service of regasification which is going to be provided by a third party and that third party is going to receive the the materials storage transport it over land through as their energy state and regasify it and deliver it to the national uh interpretation system in bugha this would be the gas line from malikita galley which is the lpg in fact the reservation plan in boga is next to current line for the transportation line about the second question about the contribution to the country to the nation

84 we had more than 40 million pieces of which from dividends we paid 11. price is about 10 billion for 2025 we expect to pay expectations of the price behavior and total revenue approximately 35 trillion pesos. We propose 7.8 trillion pesos for the nation in royalties and taxes more than 19 trillion pesos. I'm sorry, the microphone has an echo and it's coming and going.

David Galliano, Vice President of Energy Transition. About your third question about the green hydrogen plant that we are building in the Cartagena Refinery, we must say that that production that we expect at 800 tons per year of green hydrogen will be totally used by the refinery. So that amount of hydrogen is 1% of the total hydrogen needed by the refinement process right now. This is based on the natural, this gray hydrogen. So this green hydrogen will be part of the refinery. of meeting those requirements for the current refinery.

Therefore, we don't have any service. We have 15 liters per kilogram of .

Thank you very much.

renewable energy to meet the hydrogen plant. Thank you. One more question in Spanish and then in English. Mr. Sandoval, can I ask you a question? Thank you all for the call. I have some questions that first have to do with the EBITDA margins that are coming to 29% over 2025. You explained it very before. Well, I have a bad connection.

I'd like to know the main reason why we see a decrease in those margins.

because of the long-term margin that we usually been working with which always has been at least 40 percent the second question is has to do with what is the probability of distribution from the occasional reserves Could you have some idea of what part of the location of reserves can be distributed without the need to acquire any new debt? And the last question is about ESA and the Chile event. Recently, there was a blackout in Chile where ESA is part of that research processes and I'd like to know whether you can tell us a little bit about the possible fines or economic consequences of that blackout and whether can you see that as a need to make additional investments in Chile and even as an opportunity to improve transmission in this country.

Thank you very much.

This is Silvo. I'll start by the epitome origin. We mentioned that in answer to a previous question. It has to do

what we're looking at, basically, you have the hedge support department, which we work our financial plan for 2025. The major difference here is due to the $73 per barrel rent, which are projected for this year. And in addition to that, we see that there has been a significant increase in the prices of refined products. And for 2023, we're talking about $19,000 in margin. For 2024, we had in margins closer to $9 per barrel. So this difference and this increase, both in the good basket and the refined product differentials, lead us to project some lower prices for this 2025, which have a relative impact in terms of generating the EBITDA, which lead us to a margin of about 79 million, or EBITDA margin of 39% for this 2025.

About the distribution of the dividends from the Occursional Reserve,

as we saw in a previous question these are various factors that we evaluated to submit the subject to the board of directors the equality liquidity and availability of cash and the investment plans that we've seen from the 2025 it's a challenging time both because of the organic investments and due to the inorganic investments uh Completed this part of the year or we here see that would be completed in it in the near future I'd like to say that as this original reserve is an accounting reserve it doesn't have a Real cash support To make any sort of a distribution of the site would have to use Financing we are not posting any extraordinary dividends or distribution of occasional reserves for the available cash and the investment tax that we have been posting for 2025 that is already ambitious and which it will require some sort of financing associated to the inorganic component the financial plan for 2025 is organic component ended without additional debt for the new purchases we will be needing some additional or refinancing and that limits the possibility of the distributing more dividends

about the question about ESA. I am a delegate with ESA, and they can give us details about that. Can you hear me? Thank you for your question.

To give you some context, the ESA business in Chile, our platform,

or power transmission through E-Center Chile. This is 1,900 kilometers in Chile.

This is 4% of the EBITDA. Unfortunately, the EBITDA of the company, 2% of our brothers,

where the double-circuit transmission line came in upon the circuit. This is the ones that we have.

This is a line which is over 22,000 volts, and that we were transporting, for example, 1,200 megawatts in total when that line came out of the circuit. It was unavailable of the circuit. Now from the time, immediately we mobilized all the capabilities for coordination, all the teams to include the availability of that line, which was done at 4 p.m. That was about 44 minutes after the blackout, and it was also available to we instated a service we're still investigating the reasons for that it was the idea uh the protections went off unscheduled and that cut off several circuits. We've been investigating, we've been looking at the investigations, the authorities providing all the information required to uh complete this investigation successfully only when we complete the investigation we can define the level of responsibility and the consequences for we had uh with you know with respect to the fines right now it doesn't risk the financial viability of the company there was another comment about the well opportunities we have two projects under development the one with the connection project which was very energy transmission in that country and that situation is going to lead us to require more support and more permits so that those lines can start operating at Chile, unlike Colombia and Peru, which are very highly connected countries. Chile is very long and very radial. It needs more and more lines to install more lines.

um hi everyone good morning so i just have one question here for myself I just wanted to ask about the developments regarding the Gatsby to Mato exploration project with Shell. Do we expect any sort of final investment decision in the coming months? And if so, what can we expect in terms of sizing for the project and timing as well? Thank you.

We've been working with our partner Shell to complete this development. We expect to have a final decision of investment during the first quarter of this year. We'll give you some update on the expectations in the future. This is something that we see with very hopeful. Okay, thank you.

about is economy what are your growth expectations in organic for the company and i use happy with the uh participations uh would we have more investment more assets due to the uh the profits okay thank you for the question we have at isa a organic growth plan which is significant for the uh 2025, 2030, of approximately $7 billion in various countries where we have a presence in energy and roads, especially in energy, which is the most significant with 80%, 84% of these investments, which are 50% in Brazil, and the rest is in Colombia, Peru, and Chile. This enables us to keep our growth strategy for our business.

In terms of operations growth, Brazil,

we have not defined any operations in terms of uh of merging these two businesses we have uh uh come to share control with paisa of which they are excellent projects with the inappropriate profit levels and keep them they're they both have their growth paths with growth projects in both

Thank you for the time being. There are no more questions. We'll then read the questions from the chat. What metrics can you use to measure the downstream advances in 2025? We have a very structured plan for improve our downstream segment profitability. To make any high operating availability. We do some maintenance plans. We intend to put the throughput of the refinery with Colombian crude. And that was we. continue with our investments in the downstream another one of our purposes is to have a larger amount of fuel we have modifications in the sources in baranta for the future We also have to improve the quality and improve the margin in areas such as fuels and aromatics and petrochemicals. And another factor we're monitoring is also cost reduction. This is part of our efficiency program. and also reducing the cost of the refining box would be another target.

About the second question about the regasification project in the Pacific, as we said earlier, Eco Patrol purchases the regasification rights, and the third party makes the investments, the operation and maintenance of the infrastructure to provide the regasification service. That is why we don't have an investment or a CAPEX to be implemented by Eco Patrol. As far as the reclassification project in Guajira, in the Chichupa platform, in that case, Ecopetrol leads the project because it's going to be in its facilities. The investments that we would have to make would be in the pumping system of the CPRU. which is not very high with the information we have available. It should be between $50 and $100 million because the service provided by the GRU is a floating unit for storage and classification. It would be enough to pay back to the third party, which would buy the third party as is usually in this type of activity we pay that through uh a picture rate as far as times they get rectification in in pacific in the pacific would be uh expected to be operative in the second quarter of 2026 and recastification in the caribbean that you should buy the platform, depends on some clarifications that we're consulting with the environmental authorities, we optimistically will start operation in 2027.

What are the financing needs? And what do we need to enter the capital, international capital markets to get some debt in 2025? This goes to . Basically, there are several points.

First of all, we mentioned in a previous question the fact that our, the financing plan for organic financing will not require any additional financing.

We should also say that during the first part of the year, we're certain that for the rest of the year, we will accelerate our

inorganic investment plan about these inorganic investments we should clarify that it will be needed necessary to get some financing operations um for this year would have some need and some authorizations that we've been gotten from the board of directors for financing during 2025 which uh allows to have uh a billion dollars uh in structure and a temporary debt for another billion dollars in addition to the financing operations to support our inorganic investment plant you should keep in mind that we are constantly monitoring the market and as we see the volatility of this uh period we'll find better funding already financing conditions and we'll be able to use them uh when we find them so the capital market local capital market and the international capital market will always be a very interesting financing alternative for the group We might have a long more term maturities and at certain times, or we just get some advantages that are convenient for our financing costs. So both in the market, capital markets and the banks are alternatives. They are constantly evaluating and analyzing.

How big is the impact on the tax on crude exports?

And how much is the impact of the deterioration in the differential to the sale of crude?

and mentioned that our estimate is that we can have a total impact of approximately $50 million per month, which would be a total of six, no, he's making a mistake, 50,000 billion pesos a year per month for a total impact for the year of approximately of 6 billion pesos.

And we're also ahead with the tax, the stamp tax, which is also preceding the decree. about that tax, we have an estimate of about 500,000 million pesos, which is 1.2 billion pesos total impact on the result for 2025. well this is president of commercial and marketing in 2024 we had a reference for castillo of um 48 48 uh final nine four and that is uh i know it's 24. for the 2025 we started very uh strong uh the distributions were distributed and look at the figures yesterday and the compensation for april for our foods I can report that we have a strengthening or improvement of 35% in the differential for Castilla, 36% in Apial, and 19% for the . geopolitical issues and things in Venezuela and the U.S. We are seeing our best moment. We're seeing that in our they are going to be moving apparently i know that you might require i refer to the price of food in the fourth quarter of 2023 compared to 2024 you see that there is the partial weakness but uh part of what we see is that 2023 2024 where we improve by two dollars on the average the differential this is what i can tell you about it and the trend is totally the opposite thank you

And Eduardo is live with a question.

Hello. Thank you for taking my question. This is a follow-up on the explanation you gave with respect to impairment recovery on downstream. So what is the range of price differentials from the EBITDA margin you're expecting for this segment? Thank you.

The price outlook we've seen.

We have some differences for 25 to 26 are very similar to what we've seen in 2024. However, in the medium long term, we have some changes for examples.

We have a stable demand or slightly lower. make that combination which is less availability and consistent demand for the medium and long term and well in main stabilize the prices of diesel gasoline and others

it's a question that i got out of the reply from the previous in the pacific is if echo patrol is not going to is hiring a third party for into the development that third party must guarantee an appropriate return of its investment so i'd like to understand what sort of uh contract are you writing with the HECO Patrol especially because the uh outlook in terms of gas reserves for the country is not very positive for the short term but we are supposed to have uh the development of all the fields is very positive so understand a bit of what how can you make a contract that is going to be for a long term with the expectation that we're going to have uh a significant increase in the gas reserves after those fields are able to produce and make a contribution of the local reserves. Can you tell me about that? What is the rationale and the type of contract that we will be carrying out with the third party?

Thank you for the question.

the executive vice president of energy for transition the two initiatives for regasification that we've mentioned are part of a plan that we can alternatives options in which is uh make these uh sources of gas available to the common while we get the offshore at the commercial level all these initiatives pacific and the caribbean plus others that the group is analyzing are part of providing that gas while the offshore comes in based on that all the contracts in this case with the pacific for example for the classification service are set up so that it meets the time for the offshore gas entry. It's a regasification of the gas services. This means that Ecopetrol should buy the molecule that is coming from the international market, use term contracts, which ensure the quantity of your gas that you need to regasify. A recalcifier only provides the service. And we as a group have to put the molecule at the recalcification plant. And then after that is recalcified and placed in the transportation system. We commercialize it through the national customers. Wouldn't that be paying for availability only the or are you going to pay some fixed amount for the availability of the regasification plant? The regasification service here and in any other market where energy is imported is a fixed fee for the gasification service, which obviously has the obligation by the provider to guarantee some reliabilities and some quality of the reclassification service for the year which is on the part with the body sufficient for this type of then you have to bring the gas for reclassification those are the term contracts that the group has to make to buy the the molecule which is a different type of transaction we should mention that the highest cost of the imported gas is not the regular vacation service it's the molecule put at the recastification plant that is a material component in a transaction of this type the reconciliation services are don't have so much weight in the

as a total cost of Monica when it is placed into the national market no further questions now the president stood for a final message

Thank you all for your attendance. We hope that we have answered all your questions and concerns. about the economic, financial and technical performance for this year. We're committed to our country, our stakeholders and shareholders to continue to be the major company of all Colombians in the guarantee of the guarantee of fuel and security for the country.

Thank you very much. Thank you, everyone.

This ends our results for conference for the fourth quarter, 2024. Thank you for participation. You can disconnect now.