Galp Energia SGPS SA

Good afternoon, ladies and gentlemen. Welcome to GALP's first quarter 2023 results presentation. I will now pass the floor to Artelio Ruizu, Head of Investor Relations.

Hello, everyone, and welcome to the Results Analyst Q&A session to review GALP's first quarter 2023 results. Early this morning, the team released and distributed to you all these materials, all the materials related with the results. together with a short video where Felipe covered the key highlights for the content. Therefore, this session will follow the format used over our last earnings publications, going straight to Q&A after just some initial words. Today in the room, we have Felipe, our CEO, Yorgos, who continues to lead renewables at the Exco, and Rodrigo, who was just appointed to our executive team as responsible for energy management activities. We also have with us some of our leadership team members, namely Cristina, responsible for our Sinas refinery, and Daniel, our upstream country manager in Brazil. We are all happy to take your questions. Now, the usual disclaimer. We would like to remind you that we may make forward-looking statements that refer to our estimates, and actual results may differ due to a number of different factors as per indicated in the cautionary statement included in our materials, which we advise you to read. Felipe, do you want to say a few words before we start the Q&A?

Yeah, thank you, Otelo. Hi, everyone. Yeah, I'd just like to say first how thrilled I am with this new team and how well aligned we are with our growth and success. decarbonization strategy. So strategy-wise, we are making progress according to plan. The upstream projects, the ramping up of our renewable power generation capacity, and transforming our commercial footprint. The industrial activities, i.e. refinings, successfully captured the stronger international refining environments, even with we had very significant planned maintenance during the quarter. And midstream's contribution returned to positive contribution in Q1, as expected. And as a firm, you'll see that OCF is a lot less concentrated in upstream. So we now start to see a healthier balance of OCF distribution across the business units, be it renewables, midstream, refining, and these typically command higher multiples. CapEx in the quarter was pretty light, as first quarters often are, but cash taxes were very high. and both capex and cash taxes that are phasing issues here. So you should not extrapolate this for the rest of the year. So the full year guidance remains unchanged from what we have guided you to only a couple months ago. Okay, with that, happy to take your questions.