Hess Midstream LP

for today. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's conference is being recorded for replay purposes. I would now like to turn the conference over to Jennifer Gordon, Vice President of Investor Relations. Please proceed.

Thank you, Gigi. Good afternoon, everyone, and thank you for participating in our first quarter earnings conference call. Our earnings release was issued this morning and appears on our website, www.hessmidstream.com. Today's conference call contains projections and other forward-looking statements within the meaning of the federal securities laws. These statements are subject to known and unknown risks and uncertainties that may cause actual results to differ from those expressed or implied in such statements. These risks include those set forth in the risk factor section of HES Midstream's filings with the SEC. Also on today's conference call, we may discuss certain non-GAAP financial measures. A reconciliation of the differences between these non-GAAP financial measures and the most directly comparable GAAP financial measures can be found in the earnings release. With me today are John Gatling, President and Chief Operating Officer, and Jonathan Stein, Chief Financial Officer. I'll now turn the call over to John Gatling.

Thanks, Jennifer. Good afternoon, everyone, and welcome to HESS Midstream's first quarter 2024 conference call. Today, I'll discuss our first quarter performance, which demonstrates a continued focus on the safe delivery of our strategy. I'll also review HESS Corporation's results and outlook for the Bakken. Jonathan will then review our financial results and guidance. In the first quarter, we continue to progress our 2024 business objectives in a safe and efficient manner. Throughput volumes averaged 393 million cubic feet per day for gas processing, 117,000 barrels of oil per day for crude terminaling, and 116,000 barrels of water per day for water gathering. In line with our guidance, overall volumes were broadly flat compared to the fourth quarter, reflecting severe winter weather experienced in January, resulting in slightly lower oil volumes offset by strong gas capture performance. We continue to support HESS's commitment to achieving zero routine flaring by the end of 2025. Now turning to HESS upstream highlights. Earlier today, HESS reported Bakken net production for the first quarter averaged 190,000 barrels of oil equipment per day, which included 19,000 barrels per day of volumes received from percent of post-seeds contracts, which do not impact HESS midstream's throughputs. First quarter net production was broadly flat compared to the fourth quarter 2023. Again, reflecting the severe winter weather experience in January, followed by a strong recovery in February and March. HESS also reiterated their plans to continue running a four-rig drilling program in 2024 and expects Bakken net production to average between 195 and 200,000 barrels of oil equivalent per day in the second quarter. Turning to HESS midstream guidance, we're reaffirming our previously announced 2024 throughput guidance, which was included in our earnings release. For full year 2024, we're forecasting gas processing volumes to average between 395 and 405 million cubic foot per day, crude terminaling volumes to average between 120 and 130,000 barrels of oil per day, and water gathering volumes to average between 105 and 115,000 barrels of water per day. This represents an approximate 10% increase across our oil and gas systems compared to 2023, primarily driven by HESA's development activity. Now focusing on the second quarter. We expect volume growth from the first quarter across our oil and gas systems, mainly driven by HES's planned production growth and continued focus on gas capture. In the second quarter, we're planning to conduct routine maintenance at the Tioga gas plant, which is in addition to our normally higher seasonal maintenance activity. Now turning to HES Midstream's 2024 capital program. We continue to make excellent progress on our 2024 capital plans, and are focused on supporting HESS and third-party development in the basin. The multi-year projects we announced in January are progressing to schedule. They include the construction of green-filled, high-pressure gas gathering pipelines and two compressor stations, which are expected to initially provide, in aggregate, an additional 85 million cubic foot per day of gas compression capacity when brought online in 2025, and are expandable to 140 million cubic foot per day. Full year 2024 capital expenditures remain unchanged and are expected to total between $250 and $275 million. In summary, we remain focused on executing our operational priorities and safely delivering our growth strategy, which will continue to drive sustainable cash flow generation and the potential to return additional capital to our shareholders. I'll now turn the call over to Jonathan to review our financial results and guidance.