XPLR Infrastructure

Hello and welcome to the XPLR Infrastructure Q2 2026 earnings webcast call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by number one on your telephone keypad. If you would like to withdraw your question, simply press star one again. I'll now turn the conference over to Kanghee Jeon, Director of Investor Relations. Please go ahead.

Good morning, everyone. and thank you for joining our second quarter 2026 Financial Results Conference call for Explore Infrastructure. With me this morning are Alan Liu, President and Chief Executive Officer of Explore Infrastructure and Jessica Geoffroy, Chief Financial Officer of Explore Infrastructure. Alan will walk through our business highlights and Jessica will provide an overview of our financial results. After that, our executive team will be available to answer your questions. On this call, we'll be making forward-looking statements based on current expectations and assumptions which are subject to risks and uncertainties. Actual results could differ materially from our forward-looking statements if any of our key assumptions are incorrect or because of other factors discussed in today's earnings news release, in the comments made during this conference call, in the risk factors section of the accompanying presentation, or in our latest reports and filings with the Securities and Exchange Commission. each of which can be found on our website, www.xplrinfrastructure.com. We do not undertake any duty to update any forward-looking statements. Today's presentation also includes references to non-GAAP financial measures. You should refer to the information contained in the slides accompanying today's presentation for definitional information and reconciliations of historical non-GAAP measures to the closest GAAP financial measure. With that, I'll turn the call over to Alan.

Thank you, Kanghee. Good morning, everyone. During the second quarter, the Explore team continued to execute well and achieved key financial and operational objectives. On the financial front, Explore completed the first minimum buyout of SEPA 5 for approximately $150 million and fully repaid $500 million of convertible notes with available cash. These actions serve to further simplify our capital structure and through the SEPA 5 buyout, increase our equity ownership and assets within the existing portfolio, all while maintaining balance sheet strength. The team also continued to make steady progress on the existing capital plan, starting with repowering. Execution remains on track. To date, we have completed approximately 50% of our planned repowerings for 2026. The remaining program is progressing as planned and is expected to enhance the long-term value of our portfolio. We are also advancing the previously announced battery storage and co-investment agreement with NextEra Energy Resources. In July, we formed the Mammoth Planes Energy Storage and Carousel Energy Storage joint ventures and completed the associated sales of interconnection assets and rights. We believe these battery storage investments, enabled by our existing surplus interconnections and by NextEra Energy Resources' development expertise, will generate attractive returns and incremental long-term contracted cash flows. With improvements in power market fundamentals, we continue to believe recontracting could be a key driver of value enhancement for Explorers portfolio over time. While we believe the majority of opportunities will come in the 2030s and beyond, as legacy contracts expire, we are actively evaluating contract optimization opportunities where market conditions support value-enhancing outcomes. In summary, We remain focused on strong execution and disciplined capital allocation to enhance financial and strategic flexibility as we seek to maximize the value of our portfolio. With that, let me turn it over to Jessica.