Baytex Energy Corp (BTE) 2025 Q1 法說會逐字稿

Thank you for standing by. This is the conference operator. Welcome to the Baytex Energy Corp., first-quarter 2025 financial and operating results conference call. As a reminder, all participants are in a listen-only mode and the conference is being recorded. (Operator Instructions)

感謝您的支持。我是會議主持人。歡迎參加 Baytex Energy Corp. 2025 年第一季財務與經營業績電話會議。提醒一下，所有參與者都處於只聽模式，會議正在錄音。（操作員指示）

I would now like to turn the conference over to Brian Ector, Senior Vice President, Capital Markets and Investor Relations. Please go ahead.

現在，我想將會議交給資本市場和投資者關係高級副總裁 Brian Ector。請繼續。

Thank you, Dave. Good morning, ladies and gentlemen, and thank you for joining us to discuss our first-quarter 2025 financial and operating results. Today, I am joined by Eric Greager, our President and Chief Executive Officer; Chad Kalmakoff, our Chief Financial Officer; and Chad Lundberg, our Chief Operating Officer.

謝謝你，戴夫。女士們、先生們，早安，感謝你們加入我們討論 2025 年第一季的財務和營運業績。今天，與我一起出席的還有我們的總裁兼執行長 Eric Greager、我們的財務長 Chad Kalmakoff 和我們的營運長 Chad Lundberg。

While listening, please keep in mind that some of our remarks will contain forward-looking statements within the meaning of applicable securities laws. I refer you to the advisories regarding forward-looking statements, oil and gas information, and non-GAAP financial and capital management measures in yesterday's press release.

在聆聽時，請記住我們的一些言論將包含適用證券法含義內的前瞻性陳述。我請您參閱昨天新聞稿中有關前瞻性聲明、石油和天然氣資訊以及非公認會計準則財務和資本管理措施的建議。

All dollar amounts referenced in our remarks are in Canadian dollars unless otherwise specified. And following our prepared remarks, we will be taking questions from analysts. In addition, if you are listening in today via the webcast, you'll have the opportunity to submit an online question and time permitting, we will strive to answer your question.

除非另有說明，我們備註中提到的所有美元金額均為加幣。在我們準備好的發言之後，我們將回答分析師的問題。此外，如果您今天透過網路廣播收聽，您將有機會提交線上問題，如果時間允許，我們將盡力回答您的問題。

With that, I would now like to turn the call over to Eric.

說完這些，我現在想把電話轉給 Eric。

Thanks, Brian, and good morning, everyone. Welcome to our first-quarter 2025 conference call. In the first quarter, we efficiently executed our exploration and development program, delivering results consistent with our full-year plan. Despite a challenging macroeconomic environment, we continue to generate free cash flow and deliver returns to shareholders.

謝謝，布萊恩，大家早安。歡迎參加我們的 2025 年第一季電話會議。第一季度，我們有效率地執行了勘探開發計劃，並取得了與全年計劃一致的成果。儘管宏觀經濟環境充滿挑戰，我們仍繼續產生自由現金流並為股東帶來回報。

The broader operating landscape remains complex as global crude oil markets face macroeconomic uncertainty, concerns over tariffs, global trade tensions and OPEC's recent decisions to increase supply. Benchmark WTI prices have also softened recently trading in the US $55 to $60 per barrel range, down from a high of $80 in early January. In response to these headwinds, we are focused on managing what's in our control. This includes focusing on safe and efficient operations and a disciplined approach to capital allocation.

由於全球原油市場面臨宏觀經濟不確定性、關稅擔憂、全球貿易緊張局勢以及歐佩克近期增加供應的決定，整體營運情況依然複雜。基準 WTI 價格近期也有所走軟，交易價格在每桶 55 至 60 美元之間，低於 1 月初 80 美元的高點。為了應對這些不利因素，我們專注於管理我們能夠控制的事情。這包括注重安全且有效率的營運和嚴謹的資本配置方法。

Yesterday, we outlined adjustments to our 2025 plan to enhance free cash flow and strengthen our balance sheet. Our 2025 E&D capital budget is set at $1.2 billion to $1.3 billion and supports annual production of 148,000 to 152,000 boe per day.

昨天，我們概述了 2025 年計畫的調整，以增強自由現金流並加強我們的資產負債表。我們的 2025 年 E&D 資本預算設定為 12 億至 13 億美元，支持年產量達到 148,000 至 152,000 桶油當量。

In light of the current commodity price environment, we anticipate full-year CapEx and production to trend toward the low end of these ranges. With these ranges, we expect to generate approximately $200 million of free cash flow in 2025, assuming $60 per barrel WTI for the balance of the year. This represents an improvement over our original plan and highlights the resiliency of our business in this lower price environment.

鑑於目前的商品價格環境，我們預計全年資本支出和產量將趨向於這些範圍的低端。依照這些範圍，我們預計 2025 年將產生約 2 億美元的自由現金流，假設當年 WTI 價格為每桶 60 美元。這比我們最初的計劃有所改進，並凸顯了我們的業務在低價環境下的彈性。

In addition, we are refining our shareholder return framework to prioritize the balance sheet. In the near term, we plan to allocate 100% of our free cash flow to debt repayment after funding our quarterly dividend. Given the volatile pricing environment, we will maintain a prudent approach to shareholder returns, which has historically comprised a mix of share buybacks and quarterly dividends.

此外，我們正在完善股東回報框架，以優先考慮資產負債表。短期內，我們計劃在支付季度股息後，將 100% 的自由現金流用於償還債務。鑑於價格環境波動，我們將採取審慎的股東回報方式，歷來包括股票回購和季度股息等多種方式。

With that, I'll turn the call over to Chad Kalmakoff to discuss our financial results.

說完這些，我將把電話轉給 Chad Kalmakoff 來討論我們的財務表現。

Thanks, Eric. In the first quarter, 84% of our production was weighted toward crude oil and liquids, reaffirming our position as one of the most oil levered companies in North American energy sector. This leverage is evident in our sensitivity to WTI prices, where every $5 per barrel change impacts our annual adjusted funds flow by approximately $225 million on an unhedged basis.

謝謝，埃里克。第一季度，我們 84% 的產量來自原油和液體燃料，這再次證明了我們作為北美能源領域最依賴石油的公司之一的地位。這種槓桿作用體現在我們對 WTI 價格的敏感性上，每桶 5 美元的波動都會在未對沖的基礎上影響我們年度調整後資金流約 2.25 億美元。

In the current pricing environment, our hedging program is proving effective in mitigating revenue volatility caused by fluctuations in commodity prices. For the balance of 2025, we have hedged approximately 45% of our net crude oil exposure using two way collars with an average floor price of $60 per barrel.

在當前的定價環境下，我們的對沖計劃被證明能夠有效緩解商品價格波動造成的收入波動。截至 2025 年底，我們已採用雙向避險策略對沖了約 45% 的原油淨敞口，平均底價為每桶 60 美元。

Due to the timing of capital expenditures, our free cash flow is typically weighted to the second half of the year. We were pleased to generate $53 million in free cash flow in the first quarter. Of this, we returned $30 million to shareholders through the repurchase of 3.7 million common shares and the payment of our quarterly cash dividend of $0.0225 per share. By comparison, we generated no free cash flow in the first quarter of last year.

由於資本支出的時間安排，我們的自由現金流通常集中在下半年。我們很高興在第一季產生了 5300 萬美元的自由現金流。其中，我們透過回購 370 萬股普通股和支付每股 0.0225 美元的季度現金股利向股東返還了 3,000 萬美元。相較之下，去年第一季我們沒有產生自由現金流。

Over the past seven quarters, we have returned a total of $580 million to shareholders. We repurchased approximately 11% of our outstanding -- our shares outstanding and pay total dividends of $127 million. Strengthening our balance sheet remains a top priority.

過去七個季度，我們向股東返還了總計5.8億美元。我們回購了約 11% 的流通股——我們的流通股，並支付了總計 1.27 億美元的股息。強化我們的資產負債表仍然是我們的首要任務。

Our pace of debt repayment reflects both the free cash flow generation and the impact of the Canadian US dollar exchange rate fluctuations, which affect the translation of US dollar-denominated debt. As of March 31, 2025, our net debt was $2.4 billion, representing a 10% reduction over the last 12 months. On a US dollar basis, our net debt decreased by approximately 15%.

我們的債務償還速度既反映了自由現金流的產生，也反映了加元匯率波動的影響，這影響了以美元計價的債務的轉換。截至 2025 年 3 月 31 日，我們的淨債務為 24 億美元，比過去 12 個月減少了 10%。以美元計算，我們的淨債務減少了約15%。

We have significant financial flexibility supported by both substantial credit capacity and strong long-term note maturity schedule. Our credit facilities totaled USD1.1 billion, approximately CAD1.5 billion and are less than 20% drawn and mature in May of 2028. Importantly, these are not borrowing base facilities that do not require annual or semi-annual reviews. Additionally, our earliest note maturity is not until April 2030.

我們擁有強大的財務靈活性，這得益於強大的信貸能力和強大的長期票據到期計劃。我們的信貸額度總計 11 億美元，約 15 億加元，其中已提取的不到 20%，將於 2028 年 5 月到期。重要的是，這些不是不需要年度或半年審查的借貸基地設施。此外，我們最早的票據到期日是 2030 年 4 月。

Let me now turn the call over to Chad Lundberg to discuss our operating results.

現在，讓我將電話轉給 Chad Lundberg，討論我們的經營績效。

Thanks, Chad. We're pleased with the results of our first-quarter program delivering production of 144,200 boe a day, which is a 2% increase in production per share compared to Q1 2024. While first-quarter production was slightly lower year over year due to weather-related disruptions and the Kerrobert Thermal disposition, we remain on track with our full-year plan.

謝謝，乍得。我們對第一季計畫的結果感到滿意，日產量達到 144,200 桶油當量，與 2024 年第一季相比，每股產量增加了 2%。儘管由於天氣原因和 Kerrobert Thermal 處置，第一季的產量同比略有下降，但我們的全年計劃仍在按計劃進行。

Exploration and development expenditures totaled $405 million, consistent with guidance, and we brought 96 wells on stream. In the Eagle Ford, our development program largely focused on the black oil to condensate windows of our acreage, where we brought 16 wells on stream, including 12 operated. For 2025, we are targeting a 7% improvement in operated drilling and completion costs per completed lateral foot compared to 2024.

勘探和開發支出總計 4.05 億美元，與預期一致，我們已投產 96 口油井。在鷹福特，我們的開發計劃主要集中於我們油田的黑油到凝析油窗，我們在那裡投產了 16 口井，其中 12 口已投入運作。到 2025 年，我們的目標是將每完成水平井的鑽井和完井成本較 2024 年降低 7%。

In our Canadian light oil business unit, we are excited about our Pembina Duvernay development. Two of the three pads have been drilled, totaling 6 wells, including our longest wells in the play at more than 24,000 feet total measured depth and 13,500 feet of lateral lengths. Completion operations commenced mid-April, and we expect to bring these wells on stream during the second and third quarters. In the Viking, 42 wells were brought on stream in the first quarter.

在我們的加拿大輕質油業務部門，我們對 Pembina Duvernay 的發展感到非常興奮。三個平台中的兩個已經鑽探，總共 6 口井，包括我們在該區塊最長的井，總測量深度超過 24,000 英尺，水平長度為 13,500 英尺。完井作業於四月中旬開始，我們預計這些油井將在第二季和第三季投產。在維京地區，第一季有 42 口油井投產。

In our heavy oil business unit, Peavine continued to deliver top well results. We brought on stream 12 Clearwater wells at Peavine, 4 wells at Peace River, and 12 wells across the broader Mannville Group in Lloydminster. As we progress through the year, our operating teams will continue to focus on safe and efficient development across our portfolio.

在我們的重油業務部門，Peavine 繼續取得最佳的油井表現。我們在 Peavine 投產了 12 口 Clearwater 井，在 Peace River 投產了 4 口井，並在 Lloydminster 的 Mannville Group 投產了 12 口井。隨著今年的進展，我們的營運團隊將繼續專注於整個投資組合的安全和高效開發。

With that, I will turn the call back to Eric for his closing remarks.

說完這些，我會把電話轉回給 Eric，請他作最後發言。

Thanks, Chad. Despite ongoing market volatility and uncertainty, our business remains resilient. We have a strong portfolio of assets in the Eagle Ford and in Western Canada, supported by robust financial flexibility and a well-structured debt maturity profile. At yesterday's Annual General Meeting, we were encouraged by the strong shareholder support. However, despite solid operating performance, we recognize that this is not reflected in the value of our stock.

謝謝，乍得。儘管市場持續波動且不確定，我們的業務仍保持彈性。我們在鷹福特和加拿大西部擁有強大的資產組合，並由強大的財務靈活性和結構良好的債務到期狀況提供支持。在昨天的年度股東大會上，我們受到了股東大力支持的鼓舞。然而，儘管經營業績穩健，我們意識到這並沒有反映在我們的股票價值上。

We are not satisfied and addressing this fact remains a key priority. The steps outlined today reducing capital spending, enhancing free cash flow, and accelerating debt repayment help demonstrate our commitment to creating long-term value. Looking ahead, we remain focused on disciplined execution and ensuring that Baytex is well positioned to navigate current challenges while delivering sustainable returns over the long term.

我們並不滿足，解決這個問題仍然是我們的首要任務。今天概述的減少資本支出、增強自由現金流和加速債務償還的措施有助於表明我們致力於創造長期價值。展望未來，我們將繼續專注於嚴謹的執行，確保 Baytex 能夠很好地應對當前的挑戰，同時實現長期可持續的回報。

Dave, we're ready to open the call for analyst questions.

戴夫，我們準備好開始分析師提問環節了。

(Operator Instructions) Menno Hulshof, TD Cowen.

（操作員指示）Menno Hulshof，TD Cowen。

Good morning, everyone, and thanks for taking my question. I'll start with the obvious one related to CapEx. If oil were to fall to $50, how much could you realistically pull from the $1.2 billion budget before production declines start to set in and which assets would be that the first half capital pulled? And I suppose on a related note, what is your current corporate decline rate? Thank you.

大家早安，感謝您回答我的問題。我將從與資本支出相關的明顯問題開始。如果油價跌至每桶 50 美元，那麼在產量開始下降之前，您實際上可以從 12 億美元的預算中撤出多少錢，而上半年撤出的資本又會是哪些資產？我想就相關問題來說，您目前的企業衰退率是多少？謝謝。

Okay. So Menno, I'm going to take the CapEx question first. In light of WTI trading in this kind of mid-50s range recently, we flexed our capital program to low, low, and it's all very fresh. Like this is -- this oil price war along with some of the macroeconomic tensions are all pretty fresh. And so we're monitoring the situation, but we have lots of flex in our capital. Some of which we have exercised with this kind of move to the low end of capital guidance, which will result in a move to the low end of production guidance, but much of which we still have a lot of flexibility.

好的。所以 Menno，我首先要回答資本支出問題。鑑於 WTI 近期在 50 年代中期的交易價格，我們將資本計畫調整至低位，這一切都非常新鮮。就像這樣——這場石油價格戰以及一些宏觀經濟緊張局勢都是相當新鮮的。因此，我們正在監視局勢，但我們的資本具有很大的靈活性。其中一些我們已經採取了這種向資本指導低端轉變的舉措，這將導致向生產指導低端轉變，但其中許多我們仍然有很大的靈活性。

Let me give you an example, and this is purely an example because it's not in our plan. But we're in the process now of drilling our third three-well pad in Duvernay, and we're in the process of completing the first pad in Duvernay. And as an example of the kind of flex, we could duck those Duvernay wells and carry them out later into the year or even out of the year as ducked inventory for a future opportunity. That's the nature of it. But those sorts of things exist across our Eagle Ford as well.

我給你舉個例子，這純粹只是一個例子，因為它不在我們的計畫中。但我們目前正在迪韋奈鑽探第三個三井平台，並且正在完成迪韋奈的第一個平台。作為這種靈活性的一個例子，我們可以避開那些杜韋奈井，並將它們留到今年晚些時候，甚至在年外進行，作為未來機會的躲避庫存。這就是它的本質。但類似的事情也存在於我們的 Eagle Ford 地區。

And so I think the flex in the CapEx remains. We've talked about this in the past. The strong hedge book through 2025 also continues to support the business. And I would say just as a corollary to this particular line, I would point out that the CapEx we've removed so far from the program has come primarily out of the Eagle Ford, a couple of pads out of the Eagle Ford and then five wells out of the Viking.

因此我認為資本支出的靈活性仍然存在。我們過去曾討論過這個問題。到 2025 年，強勁的對沖帳簿也將繼續支持該業務。我想說，作為這一特定路線的必然結果，我想指出的是，我們迄今為止從該計劃中移除的資本支出主要來自 Eagle Ford、Eagle Ford 的幾個平台以及 Viking 的五口井。

Let me kick it back to you, Menno, to see if that closes out the question. I think you had a question around decline rate as well, corporate decline rate.

讓我把它踢回給你，門諾，看看這是否能解答這個問題。我認為您也對下降率、企業下降率有疑問。

Yeah. Last we chatted, I think it was in the low-30s. Does that sound about right still?

是的。上次我們聊天時，我想溫度是在 30 度出頭。這聽起來還正確嗎？

Yeah, the corporate decline rate sits right at about 35%.

是的，企業衰退率大約是 35%。

Okay. Terrific. And then since you touched on the Duvernay, maybe I'll take my next question there. It sounds like everything is moving in the right direction in terms of drilling activity, well results. As you indicated, there's quite a bit of flex in that program.

好的。了不起。既然您提到了杜韋奈，也許我會就此提出我的下一個問題。就鑽井活動和油井結果而言，一切似乎都朝著正確的方向發展。正如您所指出的，該計劃具有相當大的靈活性。

But can you maybe just speak to where things generally stand in terms of the build-out of infrastructure egress, water licensing, all of those sorts of things to support your growth plan? I mean, it's a volatile market, as you talked about, Eric, maybe we're back to $65 next week, who knows. But maybe you could just kind of walk us through the broader plan there. Thank you.

但是，您能否談談基礎設施出口建設、水許可等方面的整體情況，以及所有這些支持您的成長計畫的事項？我的意思是，正如你所說的，這是一個動蕩的市場，埃里克，也許我們下週會回到 65 美元，誰知道呢。但也許您可以向我們介紹更廣泛的計劃。謝謝。

Sure. Thanks, Menno. We are building the required infrastructure as we go. And we're using a central production facility approach. So kind of think hub-and-spoke approach. So the central production facilities will be built out through the development program early on.

當然。謝謝，門諾。我們正在逐步建造所需的基礎設施。我們採用的是中央生產設施的方法。所以可以考慮採用中心輻射式法。因此，中央生產設施將在早期透過開發計畫建成。

And then as we continue to develop around those CPFs, they'll just -- those incremental paths will be tied into the central production facilities. So the later wells will benefit from taking advantage of available capacity in the CPS as that capacity comes.

然後，隨著我們繼續圍繞這些 CPF 進行開發，這些增量路徑將與中央生產設施緊密相連。因此，隨著 CPS 產能的增加，後期油井將受益於利用 CPS 的可用產能。

In 2025, in particular, we are in the process of building out modest facilities in conjunction with the three-well pads. It's all built in at the facility -- the incremental facilities capital is all built into the current plan. And it's really the kind of pace that allows us to invest in the facilities capital tie-ins and additional infrastructure along the way, together with our new partnership with Gibson, which we announced a quarter or so ago.

特別是在 2025 年，我們正在建造與三井平台結合的小型設施。所有這些都是在設施內建立的——增量設施資本都已納入當前計劃。正是這種步伐使我們能夠投資於設施資本搭配和額外的基礎設施，以及我們大約一個季度前宣布的與 Gibson 的新合作夥伴關係。

Terrific. Thanks, Eric. I'll turn it back.

了不起。謝謝，埃里克。我會把它轉回去。

Thanks, Menno.

謝謝，門諾。

Dennis Fong, CIBC World Markets.

加拿大帝國商業銀行全球市場部 (CIBC World Markets) 的 Dennis Fong。

Hi, good morning and thanks for taking my questions. My first one, maybe draws off of a little bit of that discussion around the hedging program. I understand that you're about 45% hedged at least for kind of portions or the majority of 2025.

大家好，早安，感謝您回答我的問題。我的第一個問題可能與對沖計劃相關的討論有關。我了解到，您至少對 2025 年的部分或大部分時間進行了約 45% 的對沖。

Can you talk towards some of your end goals around your commodity risk management program? What are you specifically targeting around sustainability? Would you be interested in hedging more? Do you feel comfortable about today's level? And I've got a second question as well.

您能談談商品風險管理計畫的一些最終目標嗎？您在永續發展方面的具體目標是什麼？您是否有興趣進行更多對沖？您對今天的水平感到滿意嗎？我還有第二個問題。

Okay. Yeah, let me take that one first, so I don't cut off your opportunity. That's the second, Dennis. The hedging has always been structured to be anchored to the balance sheet and the asset base of the portfolio.

好的。是的，讓我先拿下這個，這樣我就不會切斷你的機會。這是第二個，丹尼斯。對沖始終以資產負債表和投資組合的資產基礎為基礎。

And what I mean when I say that is the $60 floor that we put in a simple two-way collar structure is meant to kick in and begin contributing hedge benefits when we begin to consider cutting capital from the projects that would have been funded at a higher price. So really, to do exactly what we're demonstrating now in this price environment in the 50s, we have hedged revenues and those give us time and blunt or mitigate the sharpest impacts of the falling price file -- give us time to make the CapEx changes necessary while the portfolio is still strong.

我的意思是，當我們開始考慮削減那些本來可以以更高價格獲得資助的項目的資本時，我們在簡單的雙向領圈結構中設置的 60 美元的底線就會開始發揮作用並開始提供對沖收益。因此，實際上，為了在 50 年代的價格環境中做到我們現在所展示的事情，我們已經對沖了收入，這給了我們時間並減輕或緩解價格下跌帶來的最嚴重影響 - 給我們時間在投資組合仍然強勁時進行必要的資本支出變更。

And so the 45% is anchored to the balance sheet. Essentially, what we said was, as long as leverage remains above one turn, we will maintain kind of 40% to 50% leverage on -- or sorry, 40% to 50% hedging on our net crude -- total net crude production.

因此，45% 與資產負債表掛鉤。本質上，我們所說的是，只要槓桿率保持在一倍以上，我們就會保持 40% 到 50% 的槓桿率 - 或者抱歉，40% 到 50% 的淨原油對沖 - 總淨原油產量。

We also have gas hedges and basis hedges and things like that, that are available for review. But for the sake of illustration, the point is we stay at 45% through 2025, and that protects us at 60%. So it's both anchored to the balance sheet and anchored to the quality of the assets.

我們還有天然氣對沖和基差對沖等可供審查。但為了方便說明，關鍵是到 2025 年我們將維持在 45% 的水平，這樣就能保證我們達到 60% 的水平。因此，它既與資產負債表掛鉤，也與資產品質掛鉤。

In terms going out in 2026 or hedging at higher floors, we would like to do both. The difficulty is always when you take a higher floor, you have to accept a lower ceiling in this two-way collar structure. That's fundamental, of course.

就 2026 年退出或在更高層級進行對沖而言，我們希望兩者兼顧。困難在於，在這個雙向領圈結構中，當你達到更高的下限時，你必須接受更低的上限。當然，這是最基本的。

The other problem is because TI has been drifting down into the right for a period of time, and a lot of the price action when it hasn't been drifting down has been in the very short-dated contracts, there hasn't been a very good opportunity for us to extend this $60 floor out into 2026. If we get an opportunity, we'll absolutely take it according to our hedge structure.

另一個問題是，由於 TI 價格在一段時間內一直在向右下方波動，而當價格沒有向下波動時，許多價格行為都出現在非常短期的合約中，因此，我們沒有很好的機會將 60 美元的底線延續到 2026 年。如果我們有機會，我們絕對會根據我們的對沖結構來抓住它。

Great. Appreciate that color and context there. My second question is just really around -- I guess, around the balance sheet. And from your prepared remarks, we frankly agree on not really having any concerns around debt maturity.

偉大的。欣賞那裡的色彩和背景。我的第二個問題其實是關於──我想，是關於資產負債表的。從您準備好的發言中，我們坦率地同意，我們對債務到期並沒有任何擔憂。

But can you talk to like -- and understanding that one of the inputs is obviously commodity price, but can you talk towards the inputs around your decision to shift 100% of excess free cash flow after the dividend towards debt repayment? Is this purely commodity driven? Is there like a debt level that you're focused on before you kind of really kind of think about shifting back towards share buybacks and repurchases?

但是您能否談談——並且理解其中一個投入顯然是商品價格，但是您能否談談您決定將股息後的 100% 超額自由現金流轉用於償還債務的投入？這純粹是由商品驅動的嗎？在您真正考慮轉向股票回購和回購之前，您是否關注過債務水平？

Yeah. Thank you. One of the things that we consider important in the discussion around the dividend is we recognize how important the dividend is to our shareholders, and we remain committed to maintaining the quarterly dividend.

是的。謝謝。在有關股息的討論中，我們認為重要的一件事是，我們認識到股息對股東的重要性，並且我們仍然致力於維持季度股息。

We consider the share repurchasing plan more of a discretionary plan. And when prices fall and appear to be weak in the near-term forward price structure, it seems like that discretionary shift away from share buybacks and in favor of continued debt reduction and of course, funding the dividend seemed like the prudent thing for us to do. So while debt repayment is our near-term priority, our shareholder return framework continues to include the dividends and when it's appropriate share buybacks. We just thought at this moment in time, it was more appropriate to focus on funding the dividend and focusing on debt reduction.

我們認為股票回購計畫更像是一項自由裁量計畫。當價格下跌並在短期遠期價格結構中顯得疲軟時，似乎我們應該謹慎地放棄股票回購，轉而繼續削減債務，當然，還要為股息提供資金。因此，雖然償還債務是我們近期的首要任務，但我們的股東回報框架仍包括股息和適當時的股票回購。我們只是認為，在目前這個時刻，集中資金支付股息和減少債務更為合適。

So we'll continue to carefully monitor the market conditions and provide updates along the way. But we wanted to focus on delevering for long-term shareholder value creation, staying disciplined on how we allocate capital, which I've talked about a little bit earlier.

因此，我們將繼續密切關注市場狀況並提供最新資訊。但我們希望專注於去槓桿，為股東創造長期價值，嚴格控制資本配置，我之前已經談到這一點。

We do point out in parts of our investor deck that we're sort of differentiating between kind of near term and long term. In the long-term plan, we absolutely believe that share buybacks have place. In the short run, the near term, we think this is the most prudent use.

我們確實在投資者簡報的部分內容中指出，我們正在區分短期和長期。在長期計劃中，我們絕對相信股票回購是必要的。從短期來看，我們認為這是最謹慎的做法。

Thanks, Eric. I really appreciate that color as well. I'll turn it back.

謝謝，埃里克。我也非常欣賞那個顏色。我會把它轉回去。

Appreciate it, Dennis. Thank you.

非常感謝，丹尼斯。謝謝。

Greg Pardy, RBC Capital Markets.

格雷格·帕迪（Greg Pardy），加拿大皇家銀行資本市場部。

Yeah, thanks. Good morning. Maybe to build off that a little bit, Eric, could you speak to just what the quarterly cadence looks like in terms of CapEx and maybe equivalent production over the year -- over the balance of the year?

是的，謝謝。早安.艾瑞克，為了進一步說明這一點，您能否談談就資本支出和全年等效產量而言的季度節奏是怎樣的？

Yeah, good morning, Greg. We're looking at -- so let's just anchor on Q1. It's in the rearview mirror, but let's start with that on CapEx, $405 million. Q2, we're looking at about $375 million in Q2. Q3 is a little lighter at $275 million. And then the balance comes in at Q4.

是的，早上好，格雷格。我們正在關注——所以讓我們先關注 Q1。這是我們回顧的，但我們先從資本支出開始，4.05億美元。第二季度，我們預計第二季的營收約為 3.75 億美元。第三季略有下降，為 2.75 億美元。然後餘額在第四季出現。

And that should result in a production profile that's about [147,000 in Q2 -- 1,000] boe a day. Q3 would be up from there around 151,000 boe a day, and then Q4 drifting down just a little bit to 150,000 boe a day. Of course, there are error bars on all of these, Greg. But that's kind of the way we're thinking about the current CapEx and production profiles.

如此一來，產量將達到每天約 [第二季為 147,000 桶油當量 -- 1,000] 桶油當量。第三季的產量將上升至每天 151,000 桶油當量，而第四季的產量將略微下降至每天 150,000 桶油當量。當然，所有這些都存在誤差，格雷格。但這就是我們對當前資本支出和生產概況的看法。

Okay. Thanks. And maybe related, I know the thinking is second half is where more of the deleveraging occurs. Perhaps a question for Chad. But what is -- what are your expectations maybe if you run at futures now or whatever your internal best estimates are in terms of where you think your net debt level would land towards the end of the year, like just roughly?

好的。謝謝。也許相關的是，我知道人們的想法是下半年將會出現更多的去槓桿化。這可能是對查德的一個問題。但是，如果您現在運行期貨，或以您內部的最佳估計來衡量，您對年底淨債務水準的預期大概是多少？

Yeah. Thanks, Greg. I think you said $60 for the rest of the year, that's around $200 million of free cash total. Obviously, we have $50 million in the rearview mirror. That will be taking roughly $100 million of the debt. Now the other fact is you actually run forward on the FX, which the Canadian dollar strengthened relative to the US dollar.

是的。謝謝，格雷格。我想您說的是今年剩餘時間的 60 美元，那就是總計約 2 億美元的自由現金。顯然，我們已經損失了 5000 萬美元。這將需要承擔約 1 億美元的債務。現在的另一個事實是，外匯實際上正在向前發展，加元相對於美元走強。

On a Canadian dollar basis, that will impact kind of the net debt at the end of the year, but that's a tough one to predict. But $50 million of free cash, Q1 another [$150 million at $60 million], we'll fund the dividend after that, which is kind of the $50 million. So about $100 million off the debt prediction for the balance of the year.

以加元計算，這將影響年底的淨債務，但這很難預測。但第一季的 5,000 萬美元自由現金 [1.5 億美元，即 6,000 萬美元]，之後我們將支付股息，也就是 5,000 萬美元。因此，今年的債務預計減少約 1 億美元。

Understood. Thanks very much.

明白了。非常感謝。

This concludes the question-and-answer session from the phone lines. I'd like to turn the conference back to Brian Ector for any questions received online.

電話問答環節到此結束。我想將會議交還給 Brian Ector，以回答在線收到的任何問題。

All right. Thanks, Dave. I have had a number of questions come in. A number are related to the shareholder return framework, the debt reduction plan and a couple of comments on just share price performance. I'm going to summarize a few for the team here.

好的。謝謝，戴夫。我收到了許多問題。其中一些與股東回報框架、債務削減計劃以及一些有關股價表現的評論有關。我將在這裡為團隊總結一些。

And Chad Kalmakoff, our CFO, I'm going to ask you this first question. As part of the debt reduction plan. A couple of people here on the webcast have noted that where our bonds are trading in the open market, maybe even provide in context of where they are trading? And would purchasing the bonds be part of a debt reduction strategy?

我們的財務長 Chad Kalmakoff，我想問您第一個問題。作為減債計劃的一部分。網路廣播中有幾個人注意到我們的債券在公開市場上交易，甚至可能提供它們交易的背景？購買債券是否是減債策略的一部分？

Yeah. Thanks, Brian. I think I don't know where the bonds are trading today, I think they definitely have traded down here below par over the last few weeks here with the commodity price weakness. As we talked about in the prepared remarks, we have ample liquidity on the credit facility over $1 billion here at quarter end.

是的。謝謝，布萊恩。我想我不知道今天債券的交易價格是多少，我認為由於大宗商品價格疲軟，過去幾週債券的交易價格肯定已經低於票面價值。正如我們在準備好的發言中談到的，截至本季末，我們的信貸額度擁有超過 10 億美元的充足流動性。

So I think we always want to try to balance between prepayable debt and fixed term debt. I think the prepayable debt is, for sure, at a lower point in the cycle here. So I think repurchasing the bonds over time was always part of the plan. I think it is -- today, it might present more of an opportunity than it had in the past as well. So definitely something we're considering.

所以我認為我們總是想在預付債務和固定期限債務之間取得平衡。我認為，可提前償還的債務肯定處於週期的較低點。所以我認為隨著時間的推移回購債券一直是計劃的一部分。我認為是的——今天，它可能比過去提供了更多的機會。所以我們肯定正在考慮這件事。

Okay. Thanks, Chad. Eric, the -- we touched a little bit on this with the prepared remarks and with the analysts. But with the current weakness in WTI, and we've noted where it's trading, what are the additional levers that Baytex can pull?

好的。謝謝，乍得。艾瑞克，我們在準備好的發言中和分析師們討論過這個問題。但鑑於目前 WTI 的疲軟，並且我們已經注意到它的交易情況，Baytex 可以採取哪些額外的措施？

Thanks, Brian. The business is designed to weather periods of low oil prices. We talked about the hedge book. We talked about the liquidity and the strong duration of both the term notes but also the 2028 facility in excess of $1 billion of liquidity. And we're designed to stay resilient even when the macroeconomic environment is challenging as it is today.

謝謝，布萊恩。此項業務旨在協助企業渡過低油價時期。我們討論了對沖帳簿。我們討論了定期票據的流動性和強勁的久期，以及超過 10 億美元流動性的 2028 年融資。即使在當今宏觀經濟環境充滿挑戰的情況下，我們也將繼續保持韌性。

And so we remain committed to maintaining shareholder returns. We're focused on balancing capital allocation, which we've discussed. And we're focused on long-term sustainability. The levers, enhancing operational flexibility and focusing on things we control I mentioned before. This is key to operators -- maintaining capital discipline, prioritizing our highest returning projects across our portfolio. And we've demonstrated -- I mentioned where the $50 million came out between the midpoint of our prior guidance and the current bottom end guidance.

因此，我們仍然致力於維持股東回報。我們專注於平衡資本配置，這一點我們已經討論過了。我們注重長期可持續發展。我之前提到過，槓桿可以增強營運靈活性，並專注於我們控制的事情。這對營運商來說至關重要——保持資本紀律，優先考​​慮我們投資組合中回報率最高的項目。我們已經證明——我提到了 5000 萬美元是我們之前指導的中點和當前指導的底端之間的數字。

Given the current commodity price environment, we expect full-year capital expenditures to come in at the low end, and that reflects the disciplined capital allocation and where we're pulling them out. Suspending the buyback to preserve cash and prioritize debt repayment, again, a lever and the hedge program, which now with the backwardation taken out of the forward structure, hopefully, price improvements may give us an opportunity to extend that. We'll be watching. And I described our thinking. We want to be reasonably transparent about that thinking and what we want to do to continue to extend that floor forward in time.

鑑於當前的大宗商品價格環境，我們預計全年資本支出將處於低端​​，這反映了嚴格的資本配置以及我們將資本撤出到何處。暫停回購以保留現金並優先償還債務，再次，這是一種槓桿和對沖計劃，現在隨著現貨溢價從遠期結構中消失，希望價格上漲可以給我們一個機會來延長這一期限。我們會關注的。我描述了我們的想法。我們希望對這一想法以及我們想採取哪些措施來繼續延長這一期限保持合理透明。

So the hedge book and the long duration liquidity in the credit facility, those give us a lot of defensiveness and a lot of opportunity over time. We have a lot of flexibility in our plans in both sides of the border and in all plays. And we are not at all ready to exercise that flexibility when the adjustments become necessary. And we'll tell you as soon as we're prepared to make those changes.

因此，對沖帳簿和信貸安排中的長期流動性為我們提供了很大的防禦能力和許多長期機會。我們在邊境兩側以及所有行動中的計劃都具有很大的靈活性。當需要進行調整時，我們還沒有準備好運用這種彈性。一旦我們準備好做出這些改變，我們就會通知您。

Eric, another question coming in around shareholder terms and that relates to the dividend. Some comments around would you increase the dividend to reward shareholders, others around in this pricing environment, would you consider cutting the dividend? What are your thoughts around the dividend?

艾瑞克，另一個問題是關於股東條款以及股利的。一些評論詢問您是否會增加股息以獎勵股東，其他人則詢問在這種定價環境下，您是否會考慮削減股息？您對股息有何看法？

Yeah, I mentioned earlier just how important the dividend is to our shareholders, and we remain committed to maintaining the quarterly dividend. That said, it's a complex and challenging environment. The Board and management, we talk all the time. We are continuously evaluating the options, and we are committed to making the right decisions for the long term.

是的，我之前提到過股息對我們的股東有多重要，我們仍然致力於維持季度股息。話雖如此，這是一個複雜且充滿挑戰的環境。董事會和管理階層之間我們一直在溝通。我們正在不斷評估各種選擇，並致力於做出長期正確的決策。

So debt repayment is the near-term priority. Buybacks have been suspended in the near term. The dividend is very important to us, and we remain focused on ensuring that it is funded. And our focus remains on delevering.

因此，償還債務是近期的首要任務。近期回購活動已暫停。股息對我們非常重要，我們將繼續致力於確保其資金充足。我們的重點仍然是去槓桿。

So I think that covers it. I might have repeated myself in that answer from an earlier commentary, but I think it's worth reiterating.

所以我想這就涵蓋了。我可能在之前的評論中重複了我的回答，但我認為值得重申。

Okay. Thanks, Eric. I want to shift a little bit. We have one operational-related question coming in on the webcast. And this would be for Chad Lundberg, our Chief Operating Officer. We had talked several quarters ago about some of our Clearwater discoveries that notably the Morinville, just north of Edmonton as well as what we're doing up in Peavine. And so Chad, maybe can you just provide an update on this development plan, what we've done to date and what we're seeing with the results?

好的。謝謝，埃里克。我想稍微改一下。我們在網路廣播中遇到了一個與操作相關的問題。這是我們營運長 Chad Lundberg 的致詞。幾個季度前，我們曾討論過我們在 Clearwater 的一些發現，特別是位於埃德蒙頓北部的 Morinville，以及我們在 Peavine 所做的工作。那麼 Chad，您能否提供有關該發展計劃的最新進展，我們迄今為止所做的工作以及我們看到的結果如何？

Sure. You bet, Brian. Thanks. We continue to capitalize the Peavine as we've talked and all know it's a world-class asset, one or two of these in your career paying out in certain oil price environments in weeks today in months. So we continue to run two rigs up in the Peavine.

當然。當然，布萊恩。謝謝。正如我們所說的，我們繼續利用 Peavine，眾所周知，它是一項世界級的資產，在您的職業生涯中，有一兩次這樣的資產會在幾週、幾個月的特定油價環境中產生回報。因此我們繼續在 Peavine 運行兩台鑽孔機。

As you know, late last year, we made a swap into incremental lens just on the north side of our position. So we're pretty excited about that and thinking about how we start to capitalize it. We also have the Wescott assets that we picked up last year. We developed another four wells in the play, are excited about the results we're seeing, but more particularly, we put program of strat wells into the property through Q1, and there's nothing really to say about it yet. They take time to really piece through and understand what they're telling us, but we really do see those as key along with the production results to unlocking the value there.

如您所知，去年年底，我們在位置的北側更換了增量鏡頭。因此，我們對此感到非常興奮，並思考如何開始利用它。我們也擁有去年收購的 Wescott 資產。我們在該油田開發了另外四口井，對看到的結果感到興奮，但更具體地說，我們透過 Q1 將戰略井計劃投入到該油田，但目前還沒有什麼可說的。他們需要時間來真正梳理和理解他們告訴我們的內容，但我們確實將這些與生產結果一起視為釋放其價值的關鍵。

And then I think, Brian, you asked about the REX or the PV down in the Morinville area. We brought another five wells on stream this year. Some of those were drilled in Q4, the good bulk of them were, continuing to see strong results there. As per the current capital plan, we don't go back until likely next year into 2026, of course, pending oil prices.

然後我想，布萊恩，你問的是莫林維爾地區的 REX 或 PV。今年我們又投產了五口井。其中一些是在第四季度進行的鑽探，其中大部分都是在第四季度進行的，並繼續取得強勁的業績。根據目前的資本計劃，我們可能要到明年或 2026 年才會恢復，當然，這取決於油價。

Based on the economics, though, if we were to catch a tailwind on oil, it's hard to think about that right now in the current environment, it would certainly be a spot that we could think about capitalizing sooner than next year. So Brian, I think the only other one I didn't touch on is the Waseca. I have to point out, we're continuing to develop some of the farm and acreage that we've entered into the last couple of years.

然而，從經濟角度來看，如果我們要抓住石油的順風，那麼在目前的環境下很難考慮，這肯定是我們可以考慮在明年之前利用的一個機會。所以布萊恩，我認為我唯一沒有提到的是 Waseca。我必須指出，我們正在繼續開發過去幾年進入的一些農場和土地。

And again, 2025 is more of a focused development program with '24 really setting the table for how we're developing up in that Northeast portion of Alberta right now.

再說一次，2025 年是一個更有重點的發展計劃，而 2024 年則為我們目前在阿爾伯塔省東北部的發展奠定了基礎。

Perfect. Thanks, Chad. And one more related question to the operations, and this ties back to the Eagle Ford. Can you comment or provide an update on the refrac initiatives and opportunities that we're seeing down in the Eagle Ford?

完美的。謝謝，乍得。還有一個與行動相關的問題，這與 Eagle Ford 有關。您能否評論一下或提供我們在 Eagle Ford 看到的再壓裂計劃和機會的最新消息？

Yeah. I mean, refracs, we're continuing to be excited about. As we've talked in the past, we've put two into the ground over the past two years now with strong results. Two more are being executed on now. Actually, we just finished fracking one through Q1. It's on stream, looking strong. Too early to really talk results. It's been a matter of days.

是的。我的意思是，我們繼續對重複壓裂感到興奮。正如我們過去談到的，過去兩年來我們已經將兩項計畫付諸實施，並且取得了顯著的成果。目前另有兩人正在被處死。實際上，我們剛剛在第一季完成了一次水力壓裂。它已上線，看起來很強勁。現在談論結果還為時過早。這都是幾天的事了。

And then the second one, actually, right now, as we speak, is the frac pumps are just spooling up to start fracking it. They continue to be a strong part of we think the future opportunity. And then, of course, when we took over the property, it was something we committed to allocating capital to, to just really further delineate and understand it.

然後第二個，實際上，現在，正如我們所說的，壓裂泵正在啟動，開始進行壓裂。我們認為，他們將繼續成為未來機會的重要組成部分。然後，當然，當我們接管該財產時，我們承諾為其分配資金，以便進一步描述和了解它。

So I guess to wrap that up, hoping in the next quarter results to be able to maybe talk a little bit more about these two refracs we've put online.

所以我想總結一下，希望在下一季的結果中能夠更多地談論我們已經上線的這兩次壓裂。

Yeah. Thanks, Chad. Eric, we have time for a couple of more questions. One relates to asset sales. Would Baytex or asset sale -- let's put it this way, asset sales on the table as part of our strategy to delever or improve share price performance?

是的。謝謝，乍得。艾瑞克，我們還有時間回答幾個問題。一是涉及資產出售。Baytex 或資產出售－讓我們這樣說吧，資產出售是我們去槓桿或提高股價表現策略的一部分嗎？

Thanks, Brian. We regularly review the portfolio. We ensure in these reviews that we're focusing on the assets that deliver the most value. The reviews include evaluating our capital structure, optimizing capital allocation, efficiency opportunities that we may not have seen or may not have yet capitalized on.

謝謝，布萊恩。我們定期檢視投資組合。我們在這些審查中確保我們關注的是那些能夠帶來最大價值的資產。審查包括評估我們的資本結構、優化資本配置、以及我們可能尚未看到或尚未利用的效率機會。

So while we're not in a position to comment on the plans specifically, the decision will be guided by disciplined valuation, as I mentioned earlier. And all the options are intended to ensure alignment with strategic priorities. And we'll keep this conversation alive as it is focused on our long-term goals.

因此，雖然我們無法具體評論這些計劃，但正如我之前提到的，該決定將以嚴格的估值為指導。所有這些選擇都是為了確保與策略重點保持一致。我們將繼續進行這項對話，因為它關注的是我們的長期目標。

So continue to listen, continue to focus on long-term shareholder value creation. And any decisions that were made with regard to this will be focused on delivering sustainable long-term value to shareholders.

因此，請繼續傾聽，並繼續專注於長期股東價值創造。與此相關的任何決定都將專注於為股東提供可持續的長期價值。

Thanks, Eric. And the last question, there were a couple come in. Just around the share price performance, the market not recognizing the value that we believe the company has in the share price. Eric, what steps are you taking to address the underperformance of the shares, say, for over the -- what we've seen over the last year?

謝謝，埃里克。最後一個問題，有一對夫婦進來了。僅從股價表現來看，市場並沒有意識到我們認為該公司股價所具有的價值。艾瑞克，您採取了哪些措施來解決過去一年股價表現不佳的問題？

Yeah. Thanks, Brian. We share the frustration regarding the share price performance, and we don't think -- and I've said this before, but I'll just reiterate it, we do not believe it's an accurate reflection of the quality of the business. And we don't think it's an accurate reflection of the long-term value creation potential of the business.

是的。謝謝，布萊恩。我們對股價表現感到失望，我們不認為——我以前說過，但我只想重申一下，我們不認為它準確反映了業務品質。我們認為這並不能準確反映企業的長期價值創造潛力。

So we're taking thoughtful and proactive measures. I spoke about the evaluations earlier to address this, including guiding our capital program to the low end of the range. We think that's prudent. It's very early in this kind of ensuing price war, but we made that step and also made the return of capital step regarding spending in the near term our share buybacks.

因此，我們正在採取深思熟慮和積極主動的措施。我之前談到了解決這個問題的評估，包括將我們的資本計劃引導到範圍的低端。我們認為這是謹慎的做法。這種價格戰還處於初期階段，但我們已邁出了這一步，並在短期內透過股票回購支出實現了資本回報。

So we're focusing or prioritizing free cash flow. We're prioritizing debt repayment, and we're prioritizing strengthening the current financial position of the business, which in terms of liquidity and duration is already quite strong. We have a lot of flexibility in our capital plans. We've been structured to weather these, and we're ready to make further adjustments in capital allocation where appropriate. So we're focused on remaining focused on managing the remaining factors that we can control and delivering long-term value.

因此，我們關注或優先考慮自由現金流。我們優先考慮償還債務，並優先考慮加強當前的業務財務狀況，就流動性和持續時間而言，業務的財務狀況已經相當強勁。我們的資本計劃具有很大的靈活性。我們已經做好了應對這些挑戰的準備，並準備在適當的情況下進一步調整資本配置。因此，我們專注於繼續管理我們能夠控制的剩餘因素並實現長期價值。

That's great. Thank you, Eric. And that does, I think, wrap up the webcast portion of the Q&A today. So I think as we reach the end of today's call, I would like to thank everyone for participating. And with that, thank you, operator. Thanks to everyone for participating in the first quarter conference call. Have a great day.

那太棒了。謝謝你，埃里克。我想，今天的問答網路直播部分就到此結束了。因此，我想，當我們今天的電話會議結束時，我想感謝大家的參與。最後，謝謝您，接線生。感謝大家參加第一季電話會議。祝你有美好的一天。

This brings to a close today's conference call. You may disconnect your lines. Thank you for participating, and have a pleasant day.

今天的電話會議到此結束。您可以斷開線路。感謝您的參與，祝您有個愉快的一天。