Calfrac Well Services Ltd.

Good day, ladies and gentlemen, and thank you for standing by. Welcome to the Calfrack Wells Services Limited second quarter 2023 earnings release and conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1-1 on your telephone keypad. At this time, I would like to turn the conference over to Mr. Michael Olenek, Chief Financial Officer. Sir, please begin.

Thank you, Howard. Good morning and welcome to our discussion of CALFRAC Wealth Services' second quarter 2023 results. Joining me on the call today is Pat Powell, CALFRAC's Chief Executive Officer. This morning's conference call will be conducted as follows. Pat will provide some opening commentary after which I will summarize the financial position and performance of the company. Pat will then provide an outlook for CALFRAC's business and some closing remarks. After the completion of our prepared remarks, we will open the call to questions. In a release issued earlier today, CALFRAC reported its second quarter 2023 results. Please note that all financial figures are in Canadian dollars unless otherwise indicated. Some of our comments today will refer to non-IFRS measures. Please see our news release for additional disclosure on these financial measures. Our comments today will also include forward-looking statements regarding CALFRAC's future results and prospects. We caution you that these forward-looking statements are subject to a number of known and unknown risks and uncertainties that could cause our results to differ materially from our expectations. Please see this morning's news release and CALFRAC CEDAR filings including our 2022 Annual Information Form for more information on forward-looking statements and these risk factors. Lastly, as we have disclosed previously, the company is committed to a plan to sell its Russian division and has designated these assets, liabilities and operations in Russia as held for sale and discontinued operations in the financial statements. CALFRAC is seeking to complete this transaction as soon as possible while complying with all applicable laws and sanctions. The focus on the remainder of this call will be on CALFRAC's continuing operations unless otherwise specified. Now I will pass the call over to Pat.

Thanks, Mike. Good morning and thank you everybody for joining our call today. Before Mike provides the financial highlights of the second quarter, I will offer some opening remarks. First, I want to commend my operating teams in North America and Argentina for delivering on our brand promise and maintaining our stellar safety record, which translated into record second quarter EBITDA from continuing operations of $87.8 million, or 18.8% of revenue. I would like to also thank our long-term customers and new customers who continue to choose Calfrac to assist in bringing their weld into production, also our suppliers that enable us to provide our services in a safe and efficient manner. Calfrac is now showing significant financial improvement for the fourth consecutive quarter. The performance during the second quarter is especially impressive. as the company achieved these results during a period of seasonal breakup in Western Canada and North Dakota, as well as through an extremely challenging wildfire season in Canada. Despite these strong operating and financial results, CalFRAC remains focused on driving continued improvement on its return to shareholders through effective cost management and maximizing our fracturing fleet utilization. We continually analyze all aspects of our service offerings to create a best-in-class oilfield service company. I believe that we have made steady progress toward that objective during the first six months of the year. I will now provide an update on Calfrack's capital program. Thus far in 23, we have deployed the initial nine Tier 4 DGB programs. pumping units into our North American division. The performance of this new pumping equipment has met our expectations with diesel displacement rates that have exceeded 80% in their initial usage in the field. Overall, the announced fleet investment plan remains on schedule, as we expect to deploy another four pumps in the next couple of weeks, and the balance of the 50 Tier IV units into North America by the end of the first quarter of 24. This refurbishment will continue into the future as finances and the markets dictate. This program will play a significant role in CALFRAC's ability to strengthen our balance sheet as we migrate our operating fleet to next generation pumping equipment to help meet our customers' expectations and our ESG commitments. I am very impressed with the strong execution of our operating teams at CalFrag during the first half of the year. And as the largest Canadian headquartered pressure pumping company, we expect to leverage on our geographical footprint and build on that performance through the remainder of 23 by capitalizing on the strong markets that we are currently enjoying. Moving forward, we remain focused on our three strategic objectives. We do it safely, right, and profitably, not only for CALFRAC, but for our shareholders, employees, customers, and suppliers. With that said, I'll now pass the call over to Mike, who will present an overview of our quarterly financial performance.