Usd Partners Lp

Ladies and gentlemen, thank you for standing by, and welcome to the USD Partners LP Third Quarter 2022 Results Conference Call. At this time, all participants have been placed in a listen-only mode. The floor will be open for your questions following the prepared remarks. If you would like to ask a question at that time, please press star 1. If at any point your question has been answered, you may remove yourself from the queue by pressing the pound key. When asking a question, we ask that you please pick up your handset to allow optimal sound quality. Lastly, if you should require operator assistance, please press star zero. It is now my pleasure to turn the call over to Jennifer Waller, Senior Director of Financial Reporting and Investor Relations, for opening remarks. Please go ahead.

Thank you, Shelby. Good morning and thank you for joining us. Welcome to our third quarter 2022 earnings call. With me today are Dan Borgen, our Chief Executive Officer, Adam Altshuler, our Chief Financial Officer, Brad Sanders, our Chief Commercial Officer, Josh Ruppel, our Chief Operating Officer, as well as several other members of our senior management team. Yesterday evening, we issued a press release announcing results for the three and nine months ended September 30th, 2022. If you would like a copy of the press release, you can find one on our website at usdpartners.com. Before we proceed, please note that the safe harbor disclosure statement regarding forward-looking statements in last night's press release applies to the statements of management on this call. Also, please note that information presented on today's call speaks only as of today, November 2nd, 2022. Any time-sensitive information may no longer be accurate at the time of any webcast replay or reading of the transcript. Finally, today's call will include discussion of non-GAAP financial measures. Please see last night's press release for reconciliations to the most comparable GAAP financial measures. And with that, I'll turn the call over to Dan Borgen.

Thank you, Jennifer. Good morning, and thank you for joining us on the call today and for your continued support of the partnership. Obviously, we are seeing a fair amount of volatility in the global crude markets, and as always, we are constantly updating our market point of view on where crude oil markets are today, but also where markets are headed in the future. We do our best to rely on facts and observable market indicators. As we monitor the Western Canadian macro, we continue to see future heavy crude oil production exceeding the availability of existing egress alternatives, and we believe that the partnership's strategically located assets will be well positioned to offer long-term solutions to address that imbalance. We did have some contracts reach maturity in June of this year, but as Brad will discuss in greater detail later on the call, we are fully engaged with our existing customers and potential new customers to renew, extend, or replace those agreements. We are highly confident in the coming market demand events that will drive highest value for our renew and extend contracts. As a reminder, we have historical experience with similar market conditions that led to historical renewals at existing or premium rates. We believe that the Western Canadian crude oil markets will be in what we call rail parity when incentives support the use of rail egress solutions at some point in the first half of 2023. which should benefit our existing Drewbit by rail network, which of course includes the partnership's Hardesty terminal. In addition, we continue to have detailed discussions regarding our Drewbit by rail network with our existing Drewbit customer, ConocoPhillips, as well as new customers to provide safer and economically beneficial Canadian crude transportation options. During the third quarter, our terminals performed safely and reliably and we are very pleased with our performance at both the sponsor's DRU and Port Arthur terminals. We've given out the performance and continue to exceed expectations at both facilities. We are delivering significant value to our DrewBit customer. As always, we look forward to sharing future announcements with the market about the next phase of growth at the DRU and our USD Clean Fuels initiatives before the end of this year. We continue to be confident that our assets are strategically located to benefit our customers as certain market signals begin to reveal the potential for increased demand for our services. Next, Adam is going to give an update on the partnership's latest financial results and our liquidity position. Then we'll jump back into the recent market and commercial developments. Adam, please go ahead.