Canacol Energy Ltd.

Good morning and welcome to the CannaCall Energy second quarter 2023 financial results conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your touchtone phone. Please note this event is being recorded. I would like now to turn the conference over to Carolina Orozco, Vice President of Investor Relations. Please go ahead.

Good morning and welcome to CannaCall's second quarter 2023 financial results conference call. This is Carolina Orozco, Vice President of Investor Relations. I am with Mr. Charles Gamba, President and Chief Executive Officer, and Mr. Jason Bednard, Chief Financial Officer. Before we begin, it is important to mention that the comments on this call by Canacol Senior Management can include projections of the corporation's future performance. These projections neither constitute any commitment as to future results, nor take into account risks or uncertainties that could materialize. As a result, Canacol assumes no responsibility in the event that future results are different from the projections shared on this conference call. Please note that all finance figures on this call are denominated in U.S. dollars. We will begin the presentation with Mr. Charles Gamba, President and CEO, who will summarize highlights for our second quarter results. Mr. Jason Bednar, our CFO, will then discuss financial highlights, and Mr. Charles Gamba will close with a discussion of the corporation's outlook for the remainder of 2023. At the end, we will have a Q&A session. I will now turn the call over to Mr. Charles Gamba, President and CEO of Canacal Energy.

Thanks, Carolina, and welcome everyone to Canaco's second quarter 2023 conference call. In the second quarter of this year, we realized natural gas sales of 185 million standard cubic feet per day, just above the midpoint of our annual guidance of 160 to 206 million standard cubic feet per day. We continue to report strong and stable financials, which allow us to continue to return capital to shareholders via our quarterly dividend program. Our relatively stable production and operating conditions allowed us to report a quarter with high sales prices, net backs and operating margins, EBITDA acts of $61 million, and a relatively high return on capital employed on an annual basis of 16%. Last week, we announced our July sales averaged $197 million standard QVP per day, which is the highest monthly average so far this year. On the drilling front, we announced a successful test of the Chimela oil discovery in the mid-mag that we had previously announced in January, with an average rate of 353 barrels of oil per day from the base of Lisama. With this test data now in hand, we're progressing development plans for this discovery. This is in addition to the testing of the saxophone and DVD gas discoveries, which was also announced in early May and which was discussed in our last conference call. With respect to our drilling activity for 2023, we've been primarily focused on exploration of the Cienaga de Oro prospects, situated close to our hobo gas processing facility, which can be commercialized very quickly. We announced the discovery of LULO-1, located on our 100% operated VIM-21 E&P contract, which encountered 207 feet of net gas pay within the primary Cienaga de Oro sandstone reservoir and tested 17 million standard cubic feet per day. We followed this up by drilling the Lulo 2 appraisal well, which encountered 230 feet of net pay and tested 24 million standard cubic feet per day. Both Lulo wells have been tied into our facilities and are currently on production. Last week, we announced that we had plugged and abandoned the Pina Norte 1 exploration well located on our 100% VM21 EMP contract after encountering an overpressured zone in a very shallow reservoir. Fortunately, we were able to move very quickly to drill a twin offset well, which we are now completing and preparing to bring on production next week. With a total of three drilling rigs, we are planning to continue our drilling activity with the Malfadine and Ceres exploration wells and the Aguas IV development well, all located on the VIM 21 E&P contract. The Malfadine Exploration Well is situated approximately 1.5 kilometers to the northwest of our hobo production facility, and the Cereza Exploration Well, which spud two days ago, is located approximately 500 meters to the north of Hobo. I anticipate we will be providing results from our drone activity in our regular monthly updates. Here at Canacol, we understand the crucial role of natural gas in addressing climate change and global challenges and remain committed to supporting Colombia's objective of achieving a 51% reduction in emissions by 2030. In line with this, we have published our 2022 ESG report and long-term decarbonization goals, whereby we aim to achieve zero methane emissions by 2026, and reduced Scope 1 and 2 emissions by 50% in 2035 and achieved carbon neutrality by 2050. For 2022, we reported Scope 1 and 2 GHG emission intensities that are an average 80% lower than our oil-producing peers and 50% lower than our gas-producing peers in North and South America. Our emissions intensity is lower than the average for many broad equity indices, including some with constituents selected for having low carbon emissions. Our progress has driven us to the top 10th percentile of upstream oil and gas companies in the CSA S&P assessment, and we have received an A rating from MSCI, affirming Canaco's leadership in ESG. I invite all of those interested about our ESG achievements during 2022 to read our report, which is now available on our website. I'll now turn the presentation over to Jason Bednar, our CFO, who will discuss our second quarter financial results in more detail.