Altius Renewable Royalties Corp.

Good morning. My name is Julianne, and I will be your conference operator today. At this time, I would like to welcome everyone to ARR's Q2 2022 Financial Results Conference Call. All participants will be on listen-only mode until the formal question and answer portion of the call. After the speaker's presentation, there will be a question and answer session. To ask a question, you'll need to press star followed by the number one on your telephone keypad. If you require operator assistance, please press star zero. I would now like to introduce Flora Wood, Investor Relations. Please go ahead.

Thank you, Julianne. Good morning, everyone, and welcome to our Q2 2022 conference call. Our press release and filings were released yesterday after the close and are available on our website. This event is being webcast live, and you'll be able to access a replay along with the presentation slides that have been added to our website. Today, we're all together in person in the room, which is quite an achievement for our American visitor. Brian Dalton, CEO of ARR, Frank Gatman, CEO of GBR, and Ben Lewis, CFO of ARR, are all here together. In the Q&A, we're happy to have you direct questions to anyone. The forward-looking statement on slide two applies to everything we say in our formal remarks and during Q&A, and with that, I'll turn over to Brian for his opening remarks.

Thank you, Flora, and thank you, everyone, for joining. It's been an encouraging first half of the year on many fronts, with continued growth of awareness and adoption of royalty financing across the renewable sector particularly evident. Frank and the team in New Hampshire are experiencing significant interest both from project developers and from construction and operating stage players. Some of this obviously stems from reputational growth and awareness of the strong deployment pace GBR has been setting, but some can also be attributed to changes that are occurring quickly in the sector to preferred pricing mechanisms and project leverage ratios. For the first element, our existing investee partners continue to be our best salespeople. which is resulting in strong inbound interest in our royalty financing. The fact that the GBR team has its own history of project development experience and awareness of the dynamic nature of the sector is being well appreciated by those leads as the renewable space continues its rapid evolution. The Blue Star and Hudson deals announced thus far this year stand as clear evidence of this. The team has also been very busy putting together indicative proposals that are tailored to specific needs. with a continuing emphasis on becoming true project and corporate-level partners. As simple as it sounds, this continues to be our competitive differentiator, or secret sauce, if you will. To support the increasing level of interest being experienced, GBR has been busy on the recruitment front and is in the process of adding more analytical, due diligence, and deal-making depth to its roster. To the second element, we are continuing to note an increasing shift away from below-market purchase price agreement structures and various hedging mechanisms to support project finance initiatives, and a concurrent increase in appetite for more market-based price exposures. The fact that power prices have been steadily increasing throughout the year, reversing several years of decline trends, is no doubt helping drive this shift, and we are well positioned as competitive beneficiaries. Increasing market-based exposure demand is having the direct result of reducing the appetite of locked return type investors and lowering project leverage ratios. This in turn means that more equity and other types of permanent capital are becoming needed as part of the project finance capital stack, and our royalty financing is becoming increasingly noted as a potential attractive source of it. As a result, we continue to expect to participate in additional advanced stage project financings and to support the refinancing of existing capital structures that are seeking to unwind fixed price exposures and hedge mechanisms in the months and quarters ahead. I've said it before and will say it again. The renewable sector is anything but a staid utility-like sector, and it is now coming out as the natural resources-type industry that it really is, with all of the typical challenges and opportunities that make long-term royalty financing so appropriate. Exciting times indeed. And with that, I'll turn it over to Frank for a more detailed update.