Par Pacific Holdings, Inc.

Good day and welcome to the PAR-Pacific first quarter 2023 earnings conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Please note today's event is being recorded. I would now like to turn the conference over to Shami Patel, Director of Investor Relations. Please go ahead.

Thank you, Rocco. Welcome to Power Pacific's first quarter earnings conference call. Joining me today are William Pate, Chief Executive Officer, Will Monteleone, President, Sean Flores, SVP and Chief Financial Officer, and Richard Kramer, EVP of Refining and Logistics. Before we begin, note that our comments today may include forward-looking statements. Any forward-looking statements are subject to change and are not guarantees of future performance or events. They are subject to risks and uncertainties, and actual results may differ materially from these forward-looking statements. Accordingly, investors should not place undue reliance on forward-looking statements, and we disclaim any obligation to update or revise them. I refer you to our investor presentation on our website and to our filings with the SEC for non-GAAP reconciliations and additional information. I'll now turn the call over to our Chief Executive Officer, William Pate.

Thank you, Ashimi. We are pleased this morning to discuss another quarter of strong performance. Our first quarter adjusted EBITDA was $168 million, and adjusted net income was $2.25 per share. These results bring our last 12-month adjusted net income to $10.62 per share. With this quarter's robust earnings, we continue to improve our balance sheet. Sean will go into our liquidity in more detail, but we ended the quarter with more than $660 million of cash on hand, which exceeds our funded debt for the first time. Our balance sheet leaves us well-positioned to close the acquisition of ExxonMobil's Billings Refinery on June 1st. During the next few months, our team will be focused on a successful integration of the Billings assets, including bringing on board the experienced operating team. The refinery has been operating well this year, and conditions in the Rockies remain profitable entering the summer season. This transaction will also significantly expand our logistics network in the Rocky Mountain region. Global product inventories are presently low to well balanced, with little sign of significant inventory builds. Asian demand is increasing due to the reopening of the Chinese economy and increased movement within China, and global air travel continues to increase. Despite these positive factors, global market cracks declined in April due to rising concerns over an economic slowdown, as well as reduced refinery costs related to falling natural gas prices in Europe. With cracks approaching mid-cycle levels, our refineries remain profitable, and we're focused on small de-bottlenecking projects. We see no change in our local demand profiles, and these de-bottlenecks generate significant profitability due to the amount of imported products supplying our markets. We continue to advance our renewable fuel initiatives and are working diligently on small-scale projects that provide maximum flexibility given uncertainty surrounding feedstock sourcing, government credit pricing, and market dynamics. All our projects are designed near our existing locations, allowing us to leverage our people, technology, and infrastructure. This lowers the cost of these projects and also affords us an ability to flex production in response to changing market conditions. Last week, we announced further details on our Hawaii sustainable aviation fuel project, which is expected to be commissioned in conjunction with the refinery's 2025 turnaround. This 60 million gallon per year project is forecast to be completed for less than $1.50 per gallon of annual production capacity, including a feedstock pretreatment unit. This is well below cost metrics implied by recent industry renewable fuel projects. The Hawaii project costs are low due to the availability of an underutilized hydrogen unit and established logistics. This unit will also produce low-carbon naphtha and LPGs to supply local power plants and other customers seeking to decarbonize the Hawaii energy sector. We're also working with Hawaii agricultural entities to develop locally grown oilseed crops. In addition, we've received permission to import tariff-free vegetable oils into the foreign trade zone in which our Hawaii refinery is located. I will now turn the call over to Will to discuss our commercial and operating performance.