Chord Energy Corp (CHRD) 2022 Q1 法說會逐字稿

Good day, and welcome to the Oasis Petroleum First Quarter Earnings Results Conference Call.

大家好，歡迎參加 Oasis Petroleum 第一季財報電話會議。

(Operator Instructions)

（操作員指示）

Please note this event is being recorded. I would now like to turn the conference over to Michael Lou, Chief Financial Officer. Please go ahead, sir.

請注意，此事件正在被記錄。現在我想將會議交給財務長 Michael Lou。先生，請繼續。

Thank you, Matt. Good morning, everyone. Today, we are reporting our first quarter 2022 financial and operational results. (technical difficulty) have you on our call. I'm joined today by Danny Brown and Taylor Reid as well as members of the team.

謝謝你，馬特。大家早安。今天，我們報告 2022 年第一季的財務和營運表現。 （技術困難）請您接聽我們的電話。今天和我一起參加的還有丹尼·布朗、泰勒·里德以及團隊成員。

Please be advised that our remarks, including the answers to your statements that we believe to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act. These forward-looking statements are subject to risks and uncertainties that could cause actual results to be materially different from those currently disclosed in our earnings releases and conference calls. Those risks include, among others, matters that we have described in our earnings releases as well as in our filings with the Securities and Exchange Commission including our annual report on Form 10-K and our quarterly reports on Form 10-Q. We disclaim any obligation to update these forward-looking statements.

請注意，我們認為我們的評​​論（包括對您的陳述的答复）屬於《私人證券訴訟改革法案》所定義的前瞻性陳述。這些前瞻性陳述受風險和不確定性的影響，可能導致實際結果與我們目前在收益報告和電話會議中揭露的結果有重大差異。這些風險包括我們在收益報告以及提交給美國證券交易委員會的文件中所述的事項，包括我們的 10-K 表年度報告和 10-Q 表季度報告。我們不承擔更新這些前瞻性聲明的任何義務。

During this conference call, we will make reference to non-GAAP measures and reconciliations to the applicable GAAP measures can be found in our earnings releases and on our website. We may also reference our current investor presentation, which you can also find on our website.

在本次電話會議中，我們將參考非公認會計準則 (non-GAAP) 指標，適用的公認會計準則 (GAAP) 指標的對帳可在我們的收益報告和網站上找到。我們也可以參考我們目前的投資者介紹，您也可以在我們的網站上找到。

With that, I'll turn the call over to Danny.

說完這些，我就把電話轉給丹尼。

Good morning, everyone, and thanks for joining our call. Today, we'll discuss our first quarter 2022 operating and financial results and give an update on our pending merger with Whiting Petroleum. But first, I'd like to take a moment to address and acknowledge our employees and also those of Whiting for their hard work and dedication. I've had the opportunity to visit with many of you over the course of the past 2 months and have been impressed across the board. We've got 2 strong organizations with talented people that will be stronger together. All the employees for both companies should be proud of their organization and accomplishments, which have made this merger possible. Your efforts are very much appreciated and have put the future combined company in an excellent position for continued success moving forward.

大家早安，感謝大家參加我們的電話會議。今天，我們將討論 2022 年第一季的營運和財務業績，並介紹我們與 Whiting Petroleum 即將進行的合併的最新情況。但首先，我想花點時間向我們的員工以及惠廷的員工致辭並表示感謝，感謝他們的辛勤工作和奉獻精神。在過去的兩個月裡，我有機會拜訪了你們中的許多人，並且對你們的一切都印象深刻。我們擁有兩個強大的組織，它們都擁有才華橫溢的人才，強強聯手將使組織更強大。兩家公司的所有員工都應該為他們的組織和成就感到自豪，這使得這次合併成為可能。我們非常感謝您所做的努力，這將為未來合併後的公司繼續取得成功奠定良好的基礎。

With that, turning back to the quarter. I'm pleased to report that the first quarter exhibited strong operational performance from both a volume and cost perspective. Volumes exceeded the high end of guidance by around 3%, reflecting good uptime as we've lowered the number of wells offline and strong performance from a group of Indian Hills wells that were brought online late last year. Simultaneously, price differentials were strong and most costs trended better than we modeled on both an absolute and per unit basis. As a result, we generated approximately $222 million of organic free cash flow over the first quarter. From a development standpoint, we completed 2 wells at the tail end of the first quarter, with 7 additional wells completed and expected to be cleaned out shortly.

說到這裡，我們回到本季。我很高興地報告，第一季從銷售和成本角度都表現出強勁的營運表現。產量超出預期上限約 3%，反映出良好的正常運行時間（因為我們減少了離線油井的數量）以及去年年底上線的一組 Indian Hills 油井的強勁表現。同時，價格差異很大，大多數成本趨勢都比我們在絕對成本和單位成本基礎上建模的要好。因此，我們在第一季產生了約 2.22 億美元的有機自由現金流。從開發角度來看，我們在第一季末完成了 2 口井，另外 7 口井也已完成，預計很快就會清理完畢。

These wells were in the South Nesson area between Wild Basin and South Antelope, and early performance is encouraging. As expected, our completion crew has departed, but is scheduled to return in June and work through the year-end to complete the remainder of our program, which is about 30 additional wells.

這些油井位於 Wild Basin 和 South Antelope 之間的 South Nesson 地區，早期表現令人鼓舞。正如預期的那樣，我們的完井隊已經出發，但計劃於 6 月返回，並工作到年底完成我們計劃的剩餘部分，即大約 30 口額外的井。

Turning our attention to the second quarter. I want to spend a moment discussing the severe winter storms, which have affected so many in North Dakota in mid- to late April. This truly was an extraordinary event. And unfortunately, along with the heavy snow and winds came significant damage to power infrastructure, which has hampered the recovery effort. As a result, we are adjusting our second quarter guidance to reflect this impact. but are not adjusting the full year as we believe our previous guidance appropriately reflects our expectations on a standalone basis. We're still in the process of bringing production back online and currently have about 65% of pre-storm volumes back up with the remainder of volumes expected to be online by the end of the month.

將注意力轉向第二季。我想花點時間討論一下 4 月中下旬影響北達科他州許多居民的嚴重冬季風暴。這確實是一件非同尋常的事件。不幸的是，大雪和強風也對電力基礎設施造成了嚴重破壞，阻礙了復原工作。因此，我們正在調整第二季的業績指引以反映這一影響。但不會調整全年業績，因為我們認為先前的指引能夠適當地反映我們的獨立預期。我們仍在恢復生產，目前產量已恢復到風暴前的 65% 左右，其餘產量預計將在本月底恢復。

Again, our second half 2022 outlook is essentially unchanged from February. And excluding the impact of the storm, we have generally been trending at or better than planned. As we look forward, service pricing and availability do remain challenged. Fortunately, Oasis has been running a steady 2-rig program and proactively worked with our providers to secure equipment and consumables required to execute our plan. As a reminder, Oasis budgeted for 15% inflation from the first quarter to the fourth quarter of 2022.

再次，我們對 2022 年下半年的展望與 2 月相比基本沒有變化。排除風暴的影響，我們的整體趨勢與計劃一致或更好。展望未來，服務定價和可用性仍面臨挑戰。幸運的是，Oasis 一直在運行穩定的 2 鑽機計劃，並積極與我們的供應商合作，以確保執行我們計劃所需的設備和消耗品。提醒一下，Oasis 預算 2022 年第一季至第四季的通貨膨脹率為 15%。

Frankly, at the time, we believed this was likely a conservative estimate, but as you heard from other E&Ps, inflation is pervasive across most items putting upward pressure on budgets and pricing. Based on our current outlook, we are still confident in our full year capital guidance on a standalone basis, while recognizing subsequent quarters, we'll see increased capital spending due to our development plan being weighted toward the second half of the year. I look forward to discussing combined Oasis and Whiting guidance after the deal closes.

坦白說，當時我們認為這可能是保守的估計，但正如您從其他 E&P 那裡聽到的那樣，通貨膨脹普遍存在於大多數項目中，對預算和定價造成上行壓力。根據我們目前的展望，我們仍然對全年資本指導充滿信心，同時認識到接下來的幾個季度，由於我們的發展計劃側重於下半年，我們將看到資本支出的增加。我期待在交易結束後討論 Oasis 和 Whiting 的合併指導。

And speaking of Oasis and Whiting, work on the pending merger is going as expected, and we remain excited at the strategic, operational and financial benefits of the merger. We believe the combination will result in a company with enhanced scale, better operating efficiency and significant financial strength, which will deliver value across commodity cycles. Over the past couple of months, we've been on the road meeting with many of our shareholders and we're very appreciative of the support we've heard.

說到 Oasis 和 Whiting，即將進行的合併工作正在按預期進行，我們對合併帶來的策略、營運和財務效益感到興奮。我們相信，此次合併將使公司規模擴大、營運效率提高、財務實力增強，並在整個商品週期中創造價值。在過去的幾個月裡，我們一直在與許多股東會面，我們非常感謝他們給予的支持。

We're confident the combined company is stronger than either standalone entity and will deliver superior long-term value for our shareholders. As many of you are aware, the HSR waiting period ended April 18, and the S-4 was filed on April 28. Once the S-4 is effective, the companies will mail proxies and set dates for special meetings to approve the transaction. We currently expect to close sometime in the third quarter and look forward to announcing our new company name and ticker at that time.

我們相信，合併後的公司將比任何獨立實體更強大，並將為我們的股東帶來卓越的長期價值。你們很多人都知道，HSR 等待期於 4 月 18 日結束，S-4 於 4 月 28 日提交。一旦 S-4 生效，公司將郵寄代理並設定特別會議日期以批准交易。我們目前預計將在第三季的某個時候完成交易，並期待屆時宣布我們新的公司名稱和股票代碼。

In summary, it was a great quarter. I'm very pleased with our operating results and the progress we've made on transforming our organization. We remain committed to our core strategy, which revolves around return on and of capital, balance sheet strength and being a sustainable operator. In short, we strive to be responsible stewards and strong capital allocators through the cycle. I'll now turn it over to Michael for some financial updates.

總而言之，這是一個偉大的季度。我對我們的經營業績以及我們在組織轉型方面取得的進展感到非常滿意。我們始終致力於我們的核心策略，即圍繞資本回報率、資產負債表實力和永續發展。簡而言之，我們努力成為整個週期中負責任的管家和強大的資本配置者。現在我將把一些財務更新資訊交給麥可。

Thanks, Danny. As Danny mentioned, we're expecting to close the merger with Whiting sometime in the third quarter. We're providing guidance for the second quarter of '22 for Oasis on a standalone basis, which reflects the impact of the winter storms. As a reminder, we do plan to move to 3-stream reporting for the combined company upon closing to make our operational and financial metrics more comparable to peers. The team at Oasis continues to do a great job managing LOE and minimizing downtime. E&P LOE averaged $10.07 per BOE in the first quarter, below the low end of our guidance. We expect per unit LOE to increase a bit over the course of the year as workover expenses pick up. Second quarter LOE will be a little above normal levels as we get -- as we work to get wells back online from the storm.

謝謝，丹尼。正如丹尼所提到的，我們預計將在第三季某個時候完成與惠廷的合併。我們正在為 Oasis 提供 22 年第二季的獨立指導，這反映了冬季風暴的影響。提醒一下，我們確實計劃在合併後的公司轉向三流報告，以使我們的營運和財務指標與同行更具可比性。 Oasis 團隊繼續在管理 LOE 和最大限度地減少停機時間方面做得非常出色。第一季 E&P LOE 平均為每桶油當量 10.07 美元，低於我們預期的低端。我們預計，隨著修井費用的增加，今年單位油井成本將略有增加。隨著我們努力讓油井從風暴中恢復正常生產，第二季的 LOE 將略高於正常水平。

E&P cash G&A expense was $15.7 million in the first quarter, but excluding transaction-related items, the E&P cash G&A was $11.6 million. Both crude and gas realizations were strong in the quarter as markets are fairly tight around the Williston. E&P CapEx was $62.9 million in the first quarter, below initial expectations. The delta largely relates to timing, and we still expect Oasis' standalone capital to be in line with original projections or approximately $295 million over the course of the year. Currently, Oasis has 0 drawn on its borrowing base with elected commitments of $450 million. Cash was approximately $410 million as of March 31, exceeding our long-term debt of $400 million. We're working with our lenders to accommodate an updated credit facility post close, and we expect our borrowing base to be $2 billion, with elected commitments of $800 million.

第一季 E&P 現金 G&A 費用為 1,570 萬美元，但不包括交易相關項目，E&P 現金 G&A 費用為 1,160 萬美元。由於威利斯頓週邊市場相當緊張，本季原油和天然氣的實現情況均表現強勁。第一季的 E&P 資本支出為 6,290 萬美元，低於最初的預期。該差額主要與時間有關，我們仍然預計 Oasis 的獨立資本將與最初的預測一致，即全年約為 2.95 億美元。目前，Oasis 的借款基礎為 0，選定的承諾金額為 4.5 億美元。截至 3 月 31 日，現金約為 4.1 億美元，超過我們的 4 億美元長期債務。我們正在與貸款方合作，以在交易結束後提供更新的信貸安排，我們預計借款基數為 20 億美元，其中選定承諾金額為 8 億美元。

Terms and conditions on the facility are expected to be in line with other companies of similar size and credit quality. Separately, consistent with the previously announced plan to return $70 million per quarter to shareholders, Oasis declared a base dividend of $0.585 per share payable June 1 to shareholders of record on May 20.

該貸款的條款和條件預計將與其他類似規模和信用品質的公司一致。另外，根據先前宣布的每季向股東返還 7,000 萬美元的計劃，Oasis 宣布將於 6 月 1 日向 5 月 20 日登記在冊的股東派發每股 0.585 美元的基本股息。

Additionally, Oasis declared a $2.94 per share variable dividend payable June 15 to shareholders of record as of June 1. Also consistent with what we said in -- with the merger announcement, Oasis still plans to declare a special dividend of $15 per share shortly before close. The record date for this special dividend will be prior to the merger closing. Also during the quarter, we closed the merger between OMP and Crestwood on February 1, resulting in a $160 million cash payment to Oasis and Oasis continues to retain 21 million shares of Crestwood units.

此外，Oasis 宣布將於 6 月 15 日向 6 月 1 日登記在冊的股東派發每股 2.94 美元的浮動股息。此外，與我們在合併公告中所說的一致，Oasis 仍計劃在收盤前不久宣布派發每股 15 美元的特別股息。此次特別股息的記錄日期將在合併結束之前。此外，在本季度，我們於 2 月 1 日完成了 OMP 與 Crestwood 的合併，向 Oasis 支付了 1.6 億美元現金，而 Oasis 繼續保留 2,100 萬股 Crestwood 股份。

In closing, the team at Oasis is executing well from an operational standpoint, which puts us in a enviable position on the financial side to generate substantial and sustainable free cash flow.

最後，從營運的角度來看，Oasis 團隊表現良好，這使我們在財務方面處於令人羨慕的地位，能夠產生大量且可持續的自由現金流。

With that, I'll hand the call over -- back over to Matt for questions.

說完這些，我會把電話轉回給馬特，讓他回答問題。

(Operator Instructions)

（操作員指示）

Our first question will come from Derrick Whitfield with Stifel.

我們的第一個問題來自 Stifel 的 Derrick Whitfield。

Congrats on your quarter. With my first question, I wanted to focus on the capital plan for 2022. As the majority of the sector has announced CapEx increases or is firmly messaging inflationary pressures, in some cases, greater than 15%. I wanted to ask you guys if you could speak to the self-help or operational initiatives that you are pursuing to offset some of those pressures.

恭喜您取得本季的優異成績。我的第一個問題想重點談談 2022 年的資本計畫。由於該行業大多數企業已宣布增加資本支出或明確傳遞通膨壓力，在某些情況下甚至超過 15%。我想問你們是否可以談談你們正在採取的自助或營運舉措，以抵消其中的一些壓力。

Yes, it's a great question, Derrick. I appreciate it, and I'll probably ask Taylor to weigh in as well on the operational side. What I can tell you is -- as we looked -- as we set our budget earlier this year, we really looked and tried to use a crystal ball as best we could to figure out where inflation was going. We thought we were being pretty conservative in that with the numbers we put in and 15%, of course, is the aggregate number. You've got certain line items that are higher than that, some that are trending lower than that, but on balance from 1Q to 4Q, what we're seeing and the projections we're getting in the -- and the bids we're getting back in are generally in line with our expectations.

是的，這是一個很好的問題，德瑞克。我對此表示感謝，我可能還會請泰勒在營運方面發表意見。我可以告訴你們的是——正如我們在今年早些時候制定預算時所做的那樣，我們確實進行了觀察，並盡力使用水晶球來預測通貨膨脹的走向。我們認為，就我們輸入的數字而言，我們還是比較保守的，當然 15% 是總數。有些項目的價格高於這個數字，有些則低於這個數字，但總體而言，從第一季到第四季度，我們看到的以及我們得到的預測——以及我們得到的出價總體上都符合我們的預期。

Which again, we thought were probably conservative, but now seem pretty realistic relative to where we were at in February. To your point, as an organization, continuous improvement is a big focus for us. We are always trying to get better at both from an operational side for our expenses and from a capital perspective. And so I'll ask Taylor maybe to talk about some of those efforts we've got going on out in the field.

再次，我們認為這可能是保守的，但現在相對於我們二月的水平來說似乎相當現實。正如您所說，作為一個組織，持續改進是我們的重點。我們始終致力於從營運方面和資本角度改善我們的支出。因此，我想請泰勒談談我們在該領域進行的一些努力。

Yes. Danny, just to add to what you said. A couple of things I think about. One, when you look on the supply chain side, seeing puts and takes, but we were able to lock in portions of our program, which has given us some protection from some of the run-up. But one example is on the tubular and caping side of the business, able to lock in a good bit of that pricing for the program for the year. So very helpful in an area where you're seeing really a ton of inflation.

是的。丹尼，我只是想補充你所說的內容。我想到了幾件事。首先，當你從供應鏈角度看時，你會看到投入和產出，但我們能夠鎖定部分計劃，這為我們提供了一定的保護，避免了一些上漲的影響。但有一個例子是在管狀和封蓋業務方面，能夠鎖定該項目全年的相當一部分價格。因此，在通貨膨脹嚴重的地區，這非常有幫助。

And then the teams just worked really hard to find alternatives in some cases where we're seeing some products or services kind of take off. And so we've done a good job on that front. And then to what Danny said as well from an efficiency standpoint, a lot of good work last year through the downturn on really getting our efficiencies in a good place. And I think that work is paying off to really help make sure it can deliver on this 15% that we projected earlier in the year. So we feel like we're in good shape.

當我們看到某些產品或服務開始起飛時，團隊就會非常努力地尋找替代方案。因此，我們在這方面做得很好。然後，正如丹尼從效率的角度所說的，去年在經濟低迷時期我們做了很多出色的工作，確實使我們的效率達到了良好的水平。我認為這項工作正在取得成效，確實有助於確保我們今年稍早預測的 15% 的目標。所以我們感覺我們的狀態很好。

That's great. And then as my follow-up, I wanted to focus on ops. So staying with you Taylor. One of your Bakken peers this morning noted the exceptional economics associated with workovers at present. I wanted to ask if you could comment on the amount of those that you have scheduled for this year and if it's differentially higher than years past.

那太棒了。然後作為我的後續行動，我想專注於操作。所以泰勒，我們繼續在一起。今天上午，您的一位巴肯同行指出，目前修井作業具有極高的經濟效益。我想問您是否可以評論今年安排的活動數量，以及是否與過去幾年相比有所增加。

You're talking about workovers?

您說的是修井嗎？

Correct.

正確的。

Yes. We've got -- we talked about -- yes. So coming into the year, having more wells offline than we would normally have offline, and that was due to both a combination of weather and the availability of crews late in the year, as Danny talked about in his remarks, we've been able to really start to work that backlog down and the economics in all those projects are just tremendous. They're pretty low cost to get those wells back on in that production impact at a very low cost, just as you would expect, fantastic economics.

是的。我們已經——我們討論過了——是的。因此，進入今年以來，離線油井的數量比正常情況下要多，這是由於天氣和年底工作人員的可用性共同作用的結果，正如丹尼在講話中談到的那樣，我們已經能夠真正開始減少積壓的工作，所有這些項目的經濟效益都是巨大的。以非常低的成本恢復這些油井的生產影響，正如您所期望的那樣，具有極高的經濟效益。

(Operator Instructions)

（操作員指示）

Our next question will come from Neal Dingmann with Truist Securities.

我們的下一個問題來自 Truist Securities 的 Neal Dingmann。

It's Jordan Levy on for Neal Dingmann. First, I just wanted to ask on 3-mile laterals you all have been working on. I'm just curious, first, if we should still anticipate those first 3-mile laterals turn to sales this summer. If there's been any timing changes there?

喬丹萊維 (Jordan Levy) 取代尼爾丁曼 (Neal Dingmann)。首先，我只想問一下你們一直在努力完成的 3 英里橫向路線。我只是好奇，首先，我們是否仍應該預期今年夏天第一批 3 英里長的橫向管道將開始銷售。那裡的時間是否有任何變化？

And second, I think last quarter, you spoke to a ratio of sort of 25% to 35% -- 30% incremental cost increase for a 3-mile and then versus a 50% increase in reserves. And I'm just wondering if that still holds true as we move through the year and if you still see that dynamic at play?

其次，我認為上個季度您談到的比例是 25% 到 35%——3 英里的增量成本增加 30%，而儲備增加 50%。我只是想知道，隨著時間的推移，這種情況是否仍然成立，您是否仍然看到這種動態正在發揮作用？

So thanks for the question, this is Danny. I'll maybe start off, and Taylor may add some comments on the back end. I think the 3-mile laterals we're anticipating seeing those, maybe not quite, some are more like fall where we'll see those come online, and so we're excited about seeing the production performance of those. To your point, we have modeled about a 40% uplift. And so if you just look at the increased lateral length, you'd expect 50%. We've been a little conservative on this. And so we've modeled a 50 -- or a 40% uplift in production and ultimate EOR from those wells for about a 25% increase in CapEx.

感謝您的提問，我是丹尼。我可能會開始，然後泰勒可能會在後端添加一些評論。我認為我們預計將看到 3 英里長的水平井，也許不完全是，有些更像是在秋天，我們將看到它們上線，因此我們很高興看到它們的生產性能。對於您的觀點，我們已經模擬了大約 40% 的提升。因此，如果您只看增加的橫向長度，您預計會增加 50%。我們對此持有點保守的態度。因此，我們模擬了這些油井的產量和最終 EOR 提升 50% 或 40%，而資本支出將增加約 25%。

So for the capital efficiency for that program is obviously going to be much better for us, and we're looking forward to seeing the results. I'll say the drilling performance has been -- on those has been good to date, and so we look forward to getting those online.

因此，該計劃的資本效率對我們來說顯然會好得多，我們期待看到結果。我想說的是，到目前為止，鑽探表現一直很好，因此我們期待將它們投入使用。

Taylor, I don't know if you've got anything else to add.

泰勒，我不知道您是否還有其他要補充的。

No, I think you caught it, Danny, all those things are accurate.

不，我想你明白了，丹尼，所有這些都是準確的。

Our next question will come from Noel Parks with Tuohy Brothers.

我們的下一個問題來自 Tuohy Brothers 的 Noel Parks。

I wonder if you could touch on a little bit as you look ahead to the acquisition and the integration, could you talk a bit about maybe what some of the lowest-hanging fruit operationally might be that you expect to benefit from the transaction?

我想知道您是否可以稍微談談對收購和整合的展望，您能否談談您預計從交易中獲益的營運方面最容易實現的目標是什麼？

I think there's -- thanks for the question, Noel. Clearly, after we get -- after we close the deal, we'll really be able to get the teams together and dig in with both hands on how we may reshape the development plan, reshape timing around what we drill and where and as well really work through in a very systematic fashion, picking up best practices from both organizations to employ those moving forward.

我認為——謝謝你的提問，諾埃爾。顯然，在我們達成交易之後，我們將能夠真正將團隊聚集在一起，共同努力，研究如何重塑開發計劃，重塑鑽探內容和地點的時間安排，並以非常系統的方式開展工作，從兩個組織中汲取最佳實踐，以便在未來加以運用。

In early days, we have noted a few notable differences in how we operate, which we'll need to -- which we'll need to come together on as we move forward, but I think it's some exciting opportunities for us. If we looked at the [raw] failure rates between the 2 organizations, there's a notable difference there, which has pretty significant implications on long-term LOE and workover expense. And so that's a pretty exciting thing to think that the combined company can benefit from that and those best practices. The -- Whiting has got some practices around how they look at stimulating wells, particularly in more densely drilled areas, which is pretty exciting and seems to bear good results. And so I think there are a number of these things across the board on both an expense and capital side that once we close the transaction, we're going to be able to really dig in and sort of extract these best practices and make sure they are the standard practice for the new organization.

在早期，我們已經注意到我們的運作方式存在一些顯著的差異，我們需要——我們需要在前進的過程中共同解決這些差異，但我認為這對我們來說是一些令人興奮的機會。如果我們看一下這兩個組織之間的[原始]失敗率，就會發現有一個顯著的差異，這對長期的 LOE 和修井費用有相當顯著的影響。因此，想到合併後的公司可以從這些最佳實踐中受益，真是一件令人興奮的事情。懷廷在如何刺激油井方面已經進行了一些實踐，特別是在鑽井較為密集的地區，這非常令人興奮，而且似乎取得了良好的效果。因此，我認為在費用和資本方面都存在許多這樣的事情，一旦我們完成交易，我們將能夠真正深入研究並提取這些最佳實踐，並確保它們成為新組織的標準實踐。

Great. And also if you could -- and this also might be a little early to have a real detailed handle on. But just on the infrastructure side, if any thoughts or obvious priorities that they're going to be post deal? Just thinking, of course, that combined now the addition of Sanish to the mix compared to Oasis further west is going to represent a new combined footprint.

偉大的。而且如果可以的話——現在可能還為時過早，無法真正詳細地了解情況。但僅在基礎設施方面，他們在達成協議後有什麼想法或明顯的優先事項嗎？當然，想想看，現在加上 Sanish，與更西邊的 Oasis 相比，將代表一個新的綜合足跡。

Yes. Look, on the marketing side, obviously, the combined entity covers the whole basin. We've got a lot of long-term contracts on the gathering side that will we'll be looking at once we are closed and fully integrated. But there's certainly great opportunities overall to just as a larger player we'll look at that a little bit more as we get more fully integrated at post closing.

是的。從行銷方面來看，合併後的實體顯然涵蓋了整個盆地。我們在收集方面有很多長期合同，一旦我們完成並完全整合，我們就會考慮這些合約。但總體而言，對於一個更大的參與者來說，這肯定是一個巨大的機會，隨著我們在交易完成後更加全面地整合，我們會更專注於這一點。

Great. And just to clarify, are there any -- do you have a sense of the time horizon of -- I don't know, anything that might be rolling off as you might be in a position to revisit.

偉大的。只是為了澄清一下，有沒有——您是否對時間範圍有什麼感覺——我不知道，有什麼事情可能會在您可以重新審視的時候發生。

Yes. No, that's a good question. I mean, if you think about the basin as a whole, a lot of contracts that were entered into and when the basin kind of first started to bloom in kind of 2008 timeframe, we're on kind of 15-year contracts and in some instances, maybe a little bit longer than that or signed up just a little bit later than that in 2009, 2010. So as you think about a 15-year contract from that timeframe, you are seeing quite a bit kind of throughout the basin coming up and being renegotiated. So I think there are going to be some opportunities on that side. Once again, we'll certainly talk a lot more about that once we close and can fully integrate the companies together on that front.

是的。不，這是個好問題。我的意思是，如果你把整個流域看作一個整體，你會發現很多合約都是在 2008 年流域開始繁榮的時候簽訂的，當時的合約期限是 15 年，而有些合約的期限可能比這更長一點，或者在 2009 年或 2010 年簽訂的合約期限稍晚一些。所以，當你從那個時間段考慮 15 年期合約時，你會看到整個流域都在進行很多重新談判。所以我認為這方面會有一些機會。再次強調，一旦我們完成交易並能在這方面將兩家公司完全整合在一起，我們肯定會就此進行更多討論。

This concludes our question-and-answer session. I would like to turn the conference back over to Danny Brown, Chief Executive Officer, for any closing remarks.

我們的問答環節到此結束。我想將會議交還給執行長丹尼布朗 (Danny Brown)，請他作最後發言。

Well, thank you, Matt. And I'd also like to thank everyone on the call for their time today. I'm proud of the accomplishments we've made and look forward to leading the new company later this year. We're excited about the future opportunities for our shareholders, employees, communities and other stakeholders. Thank you for joining our call.

好吧，謝謝你，馬特。我還要感謝今天參加電話會議的每個人的時間。我為我們所取得的成就感到自豪，並期待今年稍後領導新公司。我們對股東、員工、社區和其他利害關係人的未來機會感到興奮。感謝您參加我們的電話會議。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。