Canacol Energy Ltd.

Good day and welcome to the CannaCall Energy first quarter 2024 financial results. All participants will be in listen-only mode. To receive assistance, all participants may signal a conference specialist by pressing the start key followed by zero. You may submit questions throughout the event by connecting to the webcast. When in the webcast, place your question in the Ask a Question field. Questions will be addressed after the formal presentation has ended. Please note this event is being recorded. And now, I would like to turn the program over to Carolina Orozco, the Vice President of Investor Relations. Please, go ahead, Carolina.

Good morning and welcome to Canacol's first quarter 2024 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, CanaCall 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 our President and CEO, Mr. Charles Gamba, who will summarize highlights from our first quarter 2024 results. Mr. Jason Bednar, our CFO, will then discuss financial highlights. Mr. Gamba will close with a discussion of the corporation's outlook for the remainder of 2024. At the end, management will be responding to written questions received through the webcast. I will now turn the call over to Mr. Chal Gamba, President and CEO of Canacol Inc.

Thanks, Carolina, and welcome everyone to Canacol's first quarter 2024 conference call. During the first quarter of 2024, we achieved historic record natural gas sales prices and netbacks. Caneco's gas sales prices have consistently increased quarter over quarter since mid-2021. In the first quarter of 2024, we realized prices 29% higher than the same period in 2023 and 9% higher than the previous quarter. This is due mainly to tighter supply and demand conditions in Columbia, coming from declining rates in the country's main producing fields, exacerbated by the recent El Nino phenomenon, which has led to increased demand from thermal generators, influencing prices in the interruptible market. Additionally, we reported a record quarterly netback of $4.90 per MCF, with an EBITDA of $61 million. Realized natural gas sales averaged 150 million standard cubic feet per day, marking an 11% decrease from the previous quarter. Our production capacity has, however, been recovering thanks to successful drilling and work over activities during this year. As a result, our sales gas at the end of April were approximately 169 million standard cubic feet per day, and our current productive capacity stands at 177 million standard cubic feet per day. Regarding drilling activity, we have drilled two successful Siena de Oro exploration wells, Pamello 1 and Champadoura 1, which are located close to our hobo gas processing facilities and have been rapidly placed into permanent production. We also had success in infill drilling with the Clarinete 10 development well and the Chantaduro 2 appraisal well, the latter of which tested at a rate of 12 million standard cubic feet per day and is also being tied into permanent production. With respect to capital expenditures, our accrued capex during the first quarter of 2024 was $36 million, 50% lower than the previous quarter and almost 25% lower than the same period in 2023. as we focus on enhancing efficiencies to reduce operational costs and capital expenditures. With these improved efficiencies, we're anticipating finishing the year with capital expenditure within the lower range of our initial guidance and even below it. This underscores our commitment to maintaining financial discipline while ensuring operational performance. I'll now turn the presentation over to Jason Bednar, our CFO, who will discuss our first quarter financials in more detail.