Africa Oil Corp.

Hello, everyone. My name is Sharon and I will be your conference operator today. At this time, I would like to welcome everyone to the Africa Oil Corp Q2 24 Results Management presentation. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there'll be a question and answer session. If you'd like to ask a question during this time, simply press star one and one on your telephone keypad. If you would like to withdraw your question, please press star one and one again Please note that any time participants on the webcast can submit questions using the Q&A box on the webcast interface. Please note that this event is being recorded. The recording will be available for playback on the company's website. I would now like to pass the meeting to Mr. Shaheen Amani, Africa Oils Investor Relations Manager. Please go ahead, Mr. Amini.

Thank you, operator. On behalf of management, I thank you for joining us today for our second quarter 2024 results presentation. On the call today, we have President and CEO Roger Tucker, our CFO Pascal Nicodem, and our Chief Commercial Officer Oliver Cui. There will be a presentation for around 20 minutes before we go into the Q&A session. But first, I would like to remind everyone that remarks made during this session are subject to forward-looking statements which involve significant risk factors and assumptions and these have been fully described in the company's continuous disclosure reports. The information discussed is made as of today's date and time, and Africa Oil assumes no obligation to update or revise this information to reflect new events or circumstances, except as required by law. The company's complete financial statements and related MDMA are available on our website and on CDAR. I will now pass you over to Pascal for the highlight of the second quarter. Pascal, over to you. Go ahead, please.

Thank you, Shane. Can you please move to the next slide? I will present the financial statements for the second quarter of 2024 and the first half of 2024. First, I would like to start this presentation by showing how we've used our resources and how we've maintained the strength of our balance sheet in the first half of this year. So we started the year with $232 million of cash on the balance sheet. We are ending the second quarter with $185 million. And the main use of this cash for the first half of the year has been the return to the shareholders to a magnitude of about $51 million, both in dividend and share buyback. I will come back onto that. Minimal exploration expenditures, mainly on EG, about $6 million. And the negative $11 million that you can see on this chart, the fourth bar, named as operating activities, is mainly GNAs, actually. And you will see in this $11 million that a significant portion of this $11, about $5 million, is GNAs. one-off cost in relation to the signing of the amalgamation agreement with BTG. We've received another dividend from Prime, the first of the year, $25 million net to Africa in April, which is the only source of cash that we received this first half. which explains our end of quarter balance, cash balance of $185 million. So if we aggregate this cash balance with prime net debt of at the moment of $222 million, it means that we have a combined net debt of $36 million. which once we have completed the deal with Prime is what you will see actually on the balance sheet as we are going to consolidate 100% of Prime going forward after the completion of the transaction with BTG. Next slide, please. Thanks, Shane. So, yeah, in terms of buyback and dividends, I think it has been the main use of our cash in the first half. We want to continue to manage the company and the balance sheet and continue to return some of these positive resources to our shareholders. In the first half, we basically bought back some shares for an amount of $39 million plus $11 million of first half dividend paid in March. And so in total, since we have started the dividend return program in March 2022, we've returned a total of $143 million to our shareholders. And the board has also decided to reconduct the existing semi-annual dividend, so we are going to pay another 2.5 cents, US cents per share, to our shareholders end of September. Next slide, please, Shane.