Canacol Energy Ltd.

Good morning and welcome to the Canada Coal Energy second quarter 2024 financial results conference call. All participants will be in a listen only mode. Should you need assistance, please signal a conference specialist by pressing the star 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. I would now like to turn the conference over to Karolina Orozco, Vice President of Investor Relations. Please go ahead.

Good morning and welcome to Canacold's second 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 Bednar, Chief Financial Officer. Before we begin, it is important to mention that the comments on this call by Canacold 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 US dollars. We will begin the presentation with our president and CEO, Mr. Charles Gamba, who will summarize highlights for the second quarter of 2024. 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, we will have a Q&A session. We will now turn over the conference call to Mr. Charles Gamba, President and CEO of Canacol Energy.

Thanks, Carolina, and welcome everyone to Canacol's second quarter 2024 conference call. In the second quarter of 2024, we achieved record-breaking performance across multiple financial metrics. We realized record natural gas sales with prices of $6.84 per thousand standard cubic feet, which were 33% higher compared to the same period in 2023. Additionally, we generated record netbacks of $5.34 per thousand cubic standard feet, which were 36% higher compared to the second quarter of 2023. These factors... to a record quarterly EBITDA of $73 million. This outstanding performance highlights the strength of our business and ensures a robust near- and mid-term outlook. These strong results were driven by a high-priced gas market largely due to the El Nido phenomena that affected Colombia until the beginning of the second quarter. The resulting low reservoir levels led to increased electricity prices driving strong, interruptible natural gas prices. Furthermore, And currently, as the large material producing fields in Colombia operated by Ecopetrol continue to decline, the country has been showing consistent, robust gas market dynamics. Since mid-2021, we've seen gas sales prices consistently increasing quarter over quarter. Consequently, for the second consecutive quarter, we achieved historical record natural gas sales prices and netbacks, and we expect that to continue for the remainder of this year. Our commercial strategy adopted at the beginning of the year to enhance our exposure to the interruptible market proved successful under these conditions and has been a key factor in achieving our record performance. During the quarter, our realized natural gas sales averaged 159 million standard cubic feet per day, marking a 6% increase from the previous quarter. Our production capacity has been gradually increasing thanks to successful drilling, work over, and facilities activities throughout the year. to note that our exploration and development programs have experienced a 100% success rate so far this year. We continued our near-field low-risk drilling program with a successful Chantadouro 1 exploration well located on our VIM 21 block. Chantadouro 1 encountered 123 feet of net gas pay with an average per asset of 21% and tested up to 12 million standard cubic feet per day. Following this discovery, we drilled the Chantadouro 2 appraisal well which encountered 88 feet of natural gas pay, and also tested up to 12 million standard cubic feet per day. Both wells were tied into production and are produced into the Hobo gas facility. We've also completed the acquisition of the Metavel program, marking our third new 3D seismic survey since 2022. This allows the recently acquired Mayupa and Red Volante programs to significantly enhance our drilling portfolio with a range of large exploration prospects. Success in any of these areas could potentially unlock a new production area for Canacol, adding reserves and production capacity and supporting the growth of our gas business in the lower Magdalena Basin. During the quarter, we published our 2023 ESG Integrator Report, which reflects our commitment to meeting energy demand while protecting the environment and local communities. We firmly believe that focusing on natural gas ensures long-term sustainability while delivering enhanced value to our shareholders. Our ESG strategy is crafted to identify risks, implement solutions, and create long-term value. In 2023, we achieved scope one and two GHG emission intensities that were over 45% lower on average in our gas-focused peers and more than 75% lower on average in our oil-focused peers in North and South America. These accomplishments highlight our dedication to sustainability and our leadership in the industry. This commitment has been acknowledged by third-party ESG and sustainability rating agencies, where we retained an A rating in MSCI for the second consecutive year, and we're including the 2023 S&P Sustainability Yearbook. We also rank as the best company in corporate governance in the oil and gas upstream and integrated segment, and among the top 10% in our industry overall. We invite you to read our full 2023 ESG report and TCFD report, which are located on our website. I will now turn the presentation over to Jason Bedmeller, CFO, who will discuss our second quarter financials in more detail.