PBF Energy Inc.

Good day, everyone, and welcome to the PBS Energy second quarter 2023 earnings conference call and webcast. At this time, all participants have been placed on a listen-only mode, and the floor will be open to your questions following management's prepared remarks. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note this conference is being recorded. It is now my pleasure to turn the floor over to Colin Murray of Investor Relations. Sir, you may begin.

Thank you, Debbie. Good morning and welcome to today's call. With me today are Matt Lucey, our President and CEO, Tom Nimley, our Executive Chairman, Karen Davis, our CFO, and several other members of our management team. Copies of today's earnings release and our 10Q filing, including supplemental information, are available on our website. Before getting started, I'd like to direct your attention to the Safe Harbor Statement contained in today's press release. Statements in our press release and those made on this call that express the company's or management's expectations or predictions of the future are forward-looking statements intended to be covered by the Safe Harbor provisions under federal securities laws. There are many factors that could cause actual results to differ from our expectations, including those we describe in our filings with the SEC. Consistent with our prior periods, we'll discuss our results today, excluding special items. In today's press release, we describe the special items included in our quarterly results. The cumulative impact of these special items increased second quarter net income by an after-tax amount of approximately $729 million, or $5.59 per share. This relates primarily to the gain realized on the formation of the St. Bernard Renewables Equity Method investments. Also included in today's press release is further guidance related to our 2023 operations. For any questions on these items or follow-up questions, please contact Investor Relations after today's call. For reconciliations of any non-GAAP measures mentioned on today's call, please refer to the supplemental tables provided in today's press release. I'll now turn the call over to Tom Inland.

Thanks, Colin. Good morning, everyone, and thank you for joining our call. Refiners follow the markets and respond to consumer demands. We continue to hear calls for higher refining utilization and see a market supported by low inventories and sustained customer demand. Crude differentials narrowed over the quarter. It is common to have narrow crude deaths during peak summer runs. The narrowest is amplified by the production policies of OPEC Plus and, to a lesser degree, recent SPR restocking activity. We believe crude markets are near the peak of the narrowness and would expect crude deaths to relax post-summer as the industry heads into fall turnarounds that are forecasted to be higher than seasonal norms. PBF's refining system is well positioned to manage these market dynamics. We have a complex conversion, ample reforming capacity, short NAFTA, and a long octane. We like our yield profile, and that puts the company in an advantageous position. Refinery margins remain well above historical mid-cycle, and we have seen a recent rebound from the relative lows experienced during the second quarter. I say relative because those lows were still above mid-cycle. A key theme for 2023 is the recovery in the demand for jet fuel and gasoline, partially offset by a decline in distillate demand as industrial production has slowed. Diesel inventories are up, yet still remain below five-year averages. However, at this time of year, we expect to see distillate inventories building into the coming agricultural season and winter. The fact that we are not seeing this normal seasonal activity provides some support for potentially stronger distillate markets ahead. The markets will continue to be volatile. Predicting the timing of and the future moves in the commodity markets is challenging. At the same time, we are seeing stable-to-growing demand for our products at our refinery gates, thereby continuing the call for high utilization from our assets. With that, I will turn the call over to Matt.