Anaergia Inc.

Hello everyone and welcome to the second quarter Anarjia conference call and webcast 2022. My name is Victoria and I will be calling into your call today. If you'd like to ask a question during the presentation, please press star 1 on your telephone keypad. If you have joined us online, please press the red flag icon. When preparing to ask your question, please ensure that your line is unmuted locally. I'll now pass over to your host, Darlene Webb, Investor Relations for Anarjia to begin. Please go ahead.

Thank you very much, Victoria, and good morning, everyone. We thank you for joining us for our second quarter 2022 earnings call for the period end of June 30, 2022. If you're following along with our slides, my comments, as usual, are directed at slides one through to three. For our call today, I'm joined by Dr. Andrew Benedek, Energia's founder, board chairman, and CEO, Dr. Yaniv Sherson, Energia's chief operating officer, and Mr. Hanny Casey, Energy's Chief Financial Officer. Before beginning our formal remarks, we would like to refer listeners to slide two of the presentation, which contains a caution on forward-looking information and a note on the use of non-IFRS measures. Listeners are reminded that today's discussion may contain forward-looking statements that reflect current views with respect to future events. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated in these forward-looking statements. Energia does not undertake to update any forward-looking statements except as may be required by applicable laws. Listeners are urged to review the full discussion of risk factors in the company's perspectives, which is filed with the Canadian securities regulators. And lastly, while this conference call is open to the public, For the sake of brevity, questions will be prioritized for analysts. And with that, I turn our call over to Andrew.

Thank you, Darlene. Slide four summarizes the events of the past quarter. First and foremost, we announced some significant capital sales in Canada, Japan, and Singapore. Each of these plans are a model that we expect to follow in the various spheres. The Canadian one is on a wastewater plan that we think we can expand substantially in the country. Japan is having a major transition to renewable gas. This is our second project, and we look forward to building many more. And in Singapore, we're building a model for Asia that will be repeated across the different capitals of Asia. In terms of our build-on-operate, we continue to progress with construction and the ramp-ups. Most significantly, the second of our Italian booths has now been commissioned and is expected to start producing gas very soon. The other one is already producing that we talked about last quarter, which is easy energy. And interestingly, one after the other, there have been major incentive programs announced as we come up to this conference. I'll speak to them a little later. The background to all of this is that natural gas prices have been very significantly spiking and are continuing to stay high, in particular in Europe, but everywhere else it also has gone up substantially. We issued during this quarter a sustainability report that showed a significant contribution toward fighting climate change. And as you can see, we are continuing growth both quote by quarter and year-to-date I'm moving on to slide five that gives you a little more detail so you can see here that the gas prices the future pricing in Europe is an all-time high and is expected to stay high even next year these are all good things for your company because we have the assets coming online in Europe that will be producing renewable gas and they'll benefit from this high price but we're not counting that in the backlog which remains pretty much as it was in the quarter before in spite of the accounting changes. In terms of recent programs announced that are supportive of what we are doing. Italy first extended its current incentive program deadline until the end of next year and this will be not necessary for us but very helpful because a couple of our projects were pushing up against that deadline and regardless we will be turning these on but we don't have to rush them so much toward the end of the year. Also, interestingly, just yesterday, the EU approved the next Italian program, which is going to be very beneficial to us since we are very strong in that country and there are lots of other opportunities remaining that we can exploit with this new program. We didn't want to start new projects until we had the incentive scheme extended. And now we should be in position to start again. U.S. Congress passed an Inflation Reduction Act, as everybody knows, and this will be beneficial in the American market, both to our current projects, we hope, and also the new ones that we intend to start. The voluntary market, as we said last quarter, is continuing to grow. people wanting to decarbonize. And Canada has now got a program similar to the California LCFS for RNG use and we expect that will benefit us as well. At this point, I'll hand it over to Honey to talk about the financials.