Mach Natural Resources LP (MNR) 2024 Q4 法說會逐字稿

Greetings, and welcome to the Mach Natural Resources fourth quarter and full year 2024 earnings results conference call. (Operator instructions) As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Chief Executive Officer and Director, Tom Ward. Please go ahead, sir.

大家好，歡迎參加 Mach Natural Resources 2024 年第四季和全年收益業績電話會議。（操作員指示）提醒一下，本次會議正在錄音。現在我很高興將電話轉給執行長兼董事湯姆沃德。先生，請繼續。

Thank you, Kevin. Welcome to Mach Natural Resources fourth quarter earnings update. Each quarter, it's important to reiterate the company's four strategic pillars. These are: number one, maintain financial strength. Our goal is to have a long-term debt-to-EBITDA ratio of 1 times or less. By maintaining a low leverage profile, we give ourselves opportunities when markets experience high volatility.

謝謝你，凱文。歡迎閱讀 Mach Natural Resources 第四季財報更新。每個季度，重申公司的四大策略支柱非常重要。這些是：第一，保持財務實力。我們的目標是長期債務與 EBITDA 比率為 1 倍或更低。透過維持低槓桿率，我們在市場波動較大時為自己提供了機會。

Two, this line execution. We acquire only cash flowing assets at a discount to PDP 10 that are accretive to attribution; three, disciplined reinvestment rate. We maintain a reinvestment rate of less than 50% of our operating cash flow. By keeping our reinvestment rate low, we optimized our distribution to unitholders. And four, maximizing cash distributions. We target peer-leading variable distributions. This pillar drives all decisions.

二、此行執行。我們僅以低於 PDP 10 的價格收購可增值的現金流資產；三、嚴格控制再投資率。我們將再投資率維持在低於營運現金流50%的水準。透過維持較低的再投資率，我們優化了對基金份額持有人的分配。第四，最大化現金分配。我們的目標是同業領先的變數分佈。這支柱推動著一切決策。

I'd like to add additional color to each of these four pillars. Disciplined execution. Our strategy since the founding of the company in 2017 has been to purchasing assets at bargain prices while paying nothing for associated acreage and future drilling and very little to nothing for the associated infrastructure and midstream assets. Our company was built during a time of distress in our industry.

我想為這四大支柱分別添加一些色彩。嚴格執行。自 2017 年公司成立以來，我們的策略一直是以低價購買資產，同時不為相關土地和未來鑽探支付任何費用，而為相關基礎設施和中游資產支付極少的費用。我們的公司是在行業困難時期成立的。

We made our first acquisition in early 2018 and have followed that with 19 additional acquisitions. We accumulated over one million acres of land that is held by production. We have ownership in four midstream gathering and processing facilities and significant other infrastructure. We purchased these facilities for $65 million, and these assets contributed $78 million of EBITDA in 2024 alone.

我們於 2018 年初進行了首次收購，隨後又進行了 19 項收購。我們累計擁有超過一百萬英畝的生產用地。我們擁有四個中游收集和加工設施以及其他重要基礎設施。我們以 6,500 萬美元的價格購買了這些設施，僅在 2024 年這些資產就貢獻了 7,800 萬美元的 EBITDA。

$17 million of that came from third parties and the remainder from higher realized wellhead prices for our own production. And finally, in every single one of our acquisitions, our best-in-class operating team has reduced LOE by 25% to 35% from the previous owner's cost. Disciplined reinvestment rate. We now have the distinct advantage of choosing where to drill from hundreds of potential locations on the previously mentioned.

其中 1700 萬美元來自第三方，其餘則來自我們自身生產的更高的實際井口價格。最後，在我們的每一次收購中，我們一流的營運團隊都將 LOE 比之前所有者的成本降低了 25％ 到 35％。嚴謹的再投資率。現在，我們在從前面提到的數百個潛在位置中選擇鑽探地點方面具有明顯的優勢。

We look for opportunities to invest in projects with the potential to have at least 50% IRRs. In our presentation posted today on our website, we list all of the locations drilled in these formations during 2024. In short, even during a year with exceptionally low natural gas prices, we achieved our goal. Natural gas prices have recently moved up and that will result in more operating cash flow during 2025.

我們尋找投資具有至少 50% IRR 潛力的項目的機會。在我們今天在網站上發布的簡報中，我們列出了 2024 年在這些地層中鑽探的所有位置。簡而言之，即使在天然氣價格異常低的一年裡，我們也實現了我們的目標。天然氣價格最近有所上漲，這將帶來 2025 年更多的營運現金流。

We plan to move in an additional rig in 2025 and still stay below our 50% reinvestment rate while adding high rate of return wells to our production. In 2025, we anticipate three rigs running, continuing to drill the Oswego formation of Kingfisher County, where we've drilled more than 225 wells since 2021, and the Mississippian and Woodford formations in the condensate window of the STACK and Ardmore Basin, where we incorporate locations from the last three acquisitions made and the deep Mississippian formation in the Anadarko Basin.

我們計劃在 2025 年遷移一個額外的鑽機，並且仍將再投資率保持在 50% 以下，同時為我們的生產增加高回報率的油井。2025 年，我們預計將有三座鑽井平台投入運營，繼續鑽探金魚郡的奧斯威戈地層（自 2021 年以來我們已在該地層鑽探了 225 多口井），以及 STACK 和阿德莫爾盆地凝析油窗口的密西西比地層和伍德福德地層（我們將最近三次收購的盆地

It is worth highlighting that out of the 45 wells drilled in our Oswego and Woodford drilling program that greater than 35% achieved more than 100% rates of return. These were all drilled on lands when we paid 0 for. We drill wells that are highly efficient. For example, our Oswego D&C cost in 2024 averaged only $2.6 million or $202 per lateral foot.

值得強調的是，在我們奧斯威戈和伍德福德鑽井計劃中鑽探的 45 口井中，超過 35％ 的井實現了超過 100％ 的回報率。這些都是在我們未付任何費用的土地上鑽探的。我們鑽的井非常有效率。例如，我們 2024 年的奧斯威戈 D&C 成本平均僅為 260 萬美元或每英尺 202 美元。

By keeping our costs low, we achieved median payout periods of 15 months, assuming a flat $70 WTI and $350 Henry Hub. According to Invest, this compares to 14 months in the Delaware and 15 months in the Midland Basins where purchasing locations can cost more than $10 million each.

透過保持低成本，我們實現了 15 個月的平均回報期，假設 WTI 價格持平於 70 美元，亨利港價格持平於 350 美元。據 Invest 稱，相比之下，特拉華州的購買時間為 14 個月，米德蘭盆地的購買時間為 15 個月，這兩個地區的每個購買地點的成本超過 1000 萬美元。

All of these statistics add up to an unmatched -- to unmatched cash returns, for our unitholders over the last five years and the next five years. We anticipate spending between $225 million to $240 million on drilling and completion plus workovers in 2025. With this expenditure, we anticipate holding our production basically flat, either up or down a few percentage points on a BOE basis.

所有這些統計數據加起來，為我們的基金單位持有者在過去五年和未來五年帶來了無可比擬的現金回報。我們預計 2025 年鑽井、完井和修井支出將在 2.25 億至 2.4 億美元之間。透過這筆支出，我們預計我們的產量將基本保持平穩，以桶油當量為基礎上升或下降幾個百分點。

Maintained financial strength. We also watch our leverage very closely. During the downturn, starting in 2019, we adjusted our development CapEx from $101 million to only $28 million in 2021, $61 million in 2021 then $291 million in 2022 as prices rose. All the while, our EBITDA grew from $119 million to $719 million over the same period.

保持財務實力。我們也密切關注我們的槓桿率。在 2019 年開始的經濟低迷期間，隨著價格上漲，我們將開發資本支出從 1.01 億美元調整為 2021 年的 2,800 萬美元，再調整為 2021 年的 6,100 萬美元，然後調整為 2022 年的 2.91 億美元。同時，我們的 EBITDA 在同一時期從 1.19 億美元成長到 7.19 億美元。

We achieved this exceptional performance by being able to acquire cash producing properties in a distressed environment due to our strong balance sheet. Mach also has peer-leading PDP decline in reinvestment rates. Our next 12-month PDP decline is projected to be 20%, while our reinvestment rate in 2024 was only 47%.

由於我們資產負債表強勁，我們能夠在困難環境下收購能產生現金的資產，從而取得如此卓越的業績。Mach 的再投資率也低於同業 PDP 的下降幅度。我們預計未來 12 個月的 PDP 下降率為 20%，而 2024 年的再投資率僅為 47%。

Both these statistics are number one in a group of 16 peer companies. We have exceptionally strong asset coverage with total proved acreage -- total proved coverage of 3.9 times. Net debt to enterprise value of 21% and PDP PV total debt of 3.3 times. Our LOE averaged $6.17 per BOE in the fourth quarter of 2024, and our 2024 free cash flow was $8.43 per BOE.

這兩項統計數據在16家同業公司中均位居第一。我們的資產覆蓋率異常高，總探明面積已達 3.9 倍。淨債務佔企業價值的21%，佔PDP PV總債務的3.3倍。2024 年第四季度，我們的 LOE 平均為每桶油當量 6.17 美元，2024 年的自由現金流量為每桶油當量 8.43 美元。

We're also starting 2025, with a net debt-to-EBITDA at 0.8 times pro forma for our recent offering. Maximizing distributions. Management tries to understand risk and mitigate that risk where possible. We hedge 50% of our oil and natural gas on a rolling one-year basis and 25% during the second year.

我們也將於 2025 年開始，將淨債務與 EBITDA 比率定為我們最近發行股票的 0.8 倍。最大化分佈。管理層試圖了解風險並儘可能降低風險。我們將 50% 的石油和天然氣在一年滾動基礎上進行避險，並對 25% 在第二年進行避險。

We also have a variable distribution that rises and falls with the changes in pricing. Each quarter, we were methodical to reinvest 50% of our operating cash flow then receive our calculated cash available for distribution and send it home to unitholders.

我們還有一個隨著價格變化而上升或下降的可變分佈。每個季度，我們都會按部就班地將 50% 的營運現金流進行再投資，然後收到計算出的可供分配的現金，並將其發送給單位持有人。

We've done this since our inception and do not plan to change our approach. During this time, we have distributed back to our owners over $1 billion. When we hold our production flat by spending less than 50% of our our operating cash flow, we're allowed to send back distributions to our unitholders.

自成立以來，我們一直這樣做，並且不打算改變我們的方法。在此期間，我們已向我們的業主返還了超過10億美元。當我們花費不到 50% 的營運現金流來維持生產穩定時，我們就可以將分配回饋給我們的單位持有人。

The best way to describe what we do is consistency. In oil price environments, we maximize our distributions while maintaining a clean balance sheet. In times of lower pricing, we lower our CapEx and thus not having long-term contracts on capital expenditures. In doing so, we continue to have excellent cash returns on capital invested. Our coke 2020 to 2024, this was achieved through several commodity cycle fluctuations.

描述我們所做工作的最好方式就是一致性。在油價環境下，我們在保持清晰資產負債表的同時實現分配最大化。在價格較低的時候，我們會降低資本支出，因此不會簽訂長期資本支出合約。這樣一來，我們的投資資本就能繼續獲得豐厚的現金回報。我們的焦炭2020年到2024年，這是經過幾次商品週期波動才實現的。

During 2024, we delivered total net production of 86.7 MBOE a day and reported net income and adjusted EBITDA of $185 million and $601 million, respectively. We also distributed $310 million or three unit and obtained a cash return on capital invested metric of 25%. Recently, we closed a bolt-on acquisition in the Ardmore Basin of approximately $30 million that will provide additional location drilled this year.

2024 年，我們的日淨產量總計達到 86.7 MBOE，報告的淨收入和調整後 EBITDA 分別為 1.85 億美元和 6.01 億美元。我們還分配了 3.1 億美元或三個單位，並獲得了 25% 的投資資本現金回報率。最近，我們完成了對阿德莫爾盆地約 3000 萬美元的附加收購，這將為今年的鑽探提供更多地點。

We repaid the company's term loan and lowered our net debt to EBITDA to 0.8 times from 1.0 times. We then entered into a new revolving credit facility with an initial borrowing base of $750 million. We continue to have success buying assets in the Mid-Continent. Our latest success to have been in the $100 range.

我們償還了公司的定期貸款，並將淨債務與 EBITDA 的比率從 1.0 倍降低至 0.8 倍。然後，我們簽訂了一項新的循環信貸協議，初始借款基數為 7.5 億美元。我們持續成功收購中部地區的資產。我們最近的成功案例是 100 美元左右。

In fact, we've made 20 acquisitions in average just less than $100 million on H1. This approach is important as we can stay away from large, well-capitalized competitors to buy assets that are less expensive. We focus these acquisitions on not only acquiring PDP at less than PV-10, but also acquiring land that one day will be drilled by us at no cost and no time frame operation due to being held by production.

事實上，我們上半年進行了 20 次收購，平均收購金額接近 1 億美元。這種方法很重要，因為我們可以避開大型、資本雄厚的競爭對手，購買更便宜的資產。我們的收購重點不僅在於以低於 PV-10 的價格收購 PDP，還在於收購有朝一日我們可以免費鑽探的土地，並且由於這些土地由生產部門持有，因此不受時間限制。

This formula served us well. We also like buying crude oil anytime we move into the 60s or less and have a backwardated curve. We see the crude market moving through the inevitable one to two standard deviations, both up and down and want to be ready with a strong balance sheet during times when pricing is at the bottom of a cycle. We do not envision a longer-term down cycle in the vein of 2015 to 2020 and feel like it's a good time to lean in on a crude acquisition if we can find the right deal that fits our criteria for investing.

這個公式對我們很有用。我們也喜歡在價格進入 60 或更低水平且出現現貨曲線時購買原油。我們看到原油市場不可避免地會經歷一到兩個標準差，有漲有跌，我們希望在價格處於週期底部時準備好強勁的資產負債表。我們預計不會出現像 2015 年至 2020 年那樣的長期下行週期，並且覺得如果我們能找到符合我們投資標準的交易，現在是進行原油收購的好時機。

However, we also do not stray away from our basic philosophy of needing an acquisition to be accretive to our distribution. We also will trade in that trade in natural gas if the opportunity arises at the correct price. In order for us to make a larger acquisition, say, something north of $500 million, we need to find a partner who will be willing to take equity alongside of us.

然而，我們也沒有偏離我們的基本理念：需要透過收購來增加我們的分銷。如果有機會以合適的價格進行天然氣交易，我們也將進行該交易。為了進行更大規模的收購，比如說超過 5 億美元的收購，我們需要找到一個願意與我們一起持有股權的合作夥伴。

We believe it's coming when PE firms and a small public company, we'll find our formula for cash returns attractive and want to be a part of larger mark -- of a larger Mach. We welcome these opportunities as a way to grow our business, getting larger cash returns to our unitholders and having more float so that institutional investors can participate on a larger scale in our business.

我們相信，當私募股權投資公司和小型上市公司發現我們的現金回報公式具有吸引力並希望成為更大目標的一部分——更大的 Mach 時，這種情況就會發生。我們歡迎這些機會，以此來發展我們的業務，為我們的基金份額持有人帶來更大的現金回報，並擁有更多的流通股，以便機構投資者可以更大規模地參與我們的業務。

I feel that we will accomplish at least one of these types of transactions in 2025. Even if we do not make a meaningful acquisition, we will continue to our production through our drilling program and small acquisitions and deliver excellent returns to our unitholders. In 2024, we ranked first out of all public upstream energy companies and distribution yield.

我覺得我們將在 2025 年完成至少一筆此類交易。即使我們沒有進行有意義的收購，我們也將透過鑽探計劃和小規模收購繼續生產，並為我們的股東帶來豐厚的回報。2024年，我們在所有上市上游能源公司中，分銷收益率排名第一。

We also ranked tenth in the total of shareholder returns. We achieved these returns at a time of very low natural gas prices. In fact, 2024 had the lowest natural gas prices since the early 1990s. Our commodity mix on a rent basis was weighted 59% oil, 21% natural gas and 20% NGLs by revenue in 2024.

我們的股東報酬率總額也排名第十。我們在天然氣價格非常低的時候實現了這些回報。事實上，2024年的天然氣價格是自1990年代初以來的最低水準。以租金計算，我們的商品結構在 2024 年的收入權重為 59% 的石油、21% 的天然氣和 20% 的天然氣液。

However, as we've move into 2025, we can see what happens in a higher natural gas environment with our volume by product being 54% natural gas, 23% NGLs and 23% oil. Therefore, in a $4-plus environment for natural gas, we're leaving all of our liquids in the gas stream and producing 77% of our production is natural gas.

然而，隨著進入 2025 年，我們可以看到在更高的天然氣環境中會發生什麼情況，我們的產品量為 54% 的天然氣、23% 的 NGL 和 23% 的石油。因此，在天然氣價格超過 4 美元的環境下，我們將所有液體留在氣流中，並且 77% 的產量是天然氣。

This increase in EBITDA allows us to have more operating cash flow, which enables us to add another rig in 2025 to have three rigs running versus the two we had in 2024. We remain focused on the price for our products and our reinvestment rate. The reinvestment rate drives our budget, not the IRR of the wells we drill. We feel confident we can continue to achieve high return drilling results, but we will not move away from our core tenets of keeping the reinvestment rate low to maximize cash returns to unitholders.

EBITDA 的增加讓我們擁有了更多的營運現金流，這使我們能夠在 2025 年增加另一座鑽井平台，從而讓運行的鑽井平台數量達到 3 座，而 2024 年我們只有 2 座。我們仍然關注我們的產品價格和再投資率。決定我們預算的是再投資率，而不是我們鑽井的 IRR。我們有信心繼續實現高回報的鑽探結果，但我們不會偏離我們的核心原則，即保持較低的再投資率，以最大限度地為基金持有人帶來現金回報。

If we are fortunate enough to add larger acquisitions, we'll be able to then monetize more of the hundreds of high in total rate of return projects, we are waiting to be drilled on our 1.1 million acres of HBP link. This is why our focus remains on free cash flowing assets to acquire prices that are accretive to our distribution.

如果我們夠幸運，能夠進行更大規模的收購，那麼我們將能夠將數百個總回報率較高的項目中的更多項目貨幣化，我們正在等待在 110 萬英畝的 HBP 鏈路上進行鑽探。這就是為什麼我們仍然關注自由現金流資產以獲取有利於我們分銷的價格。

In closing, I want to reemphasize that we are an acquisition company. Our industry cash returns have been made through opportunistic acquisitions. This is our primary lever of growth. Our expectation is to continue making acquisitions that are accretive to our distribution in 2025, just as we have over the last seven years in 20 deals.

最後，我想再次強調，我們是一家收購公司。我們的產業現金回報是透過機會性收購獲得的。這是我們主要的成長槓桿。我們期望在 2025 年繼續進行能夠增加我們分銷管道的收購，就像我們過去七年進行的 20 筆交易一樣。

I'll now turn the call over to Kevin to discuss our financial results.

現在我將把電話轉給凱文來討論我們的財務表現。

Thanks Tom. For the fourth quarter, our production 86,700 BOE per day was 24% oil, 52% natural gas and 24% NGLs. Our average realized prices were $70.06 per barrel of oil, $2.31 per Mcf of gas and $25.82 per barrel of NGLs. Our G&A stayed flat during the quarter at $8 million per BOE. We ended the quarter with $106 million in cash in our first lean term principal was $763 million.

謝謝湯姆。第四季度，我們的日產量為 86,700 桶油當量，其中石油為 24%，天然氣為 52%，天然氣液體為 24%。我們的平均實現價格為每桶石油 70.06 美元、每千立方英尺天然氣 2.31 美元和每桶天然氣液體 25.82 美元。本季我們的 G&A 保持平穩，為每桶油當量 800 萬美元。截至本季末，我們的第一季現金餘額為 1.06 億美元，其中短期本金為 7.63 億美元。

During the quarter, total revenues, including our hedges and midstream activities totaled $235 million an EBITDA of $162 million and $134 million of operating cash flow. After CapEx of $60.5 million, we generated $81 million of free cash, which we used to pay our final principal amortization of roughly $20.6 million on the first lien term loan and the remainder results in the $60 million or $0.50 per unit distribution for this quarter and was paid earlier this week.

本季度，包括對沖和中游活動在內的總收入為 2.35 億美元，EBITDA 為 1.62 億美元，營運現金流為 1.34 億美元。在支付了 6050 萬美元的資本支出後，我們產生了 8100 萬美元的自由現金，我們用這筆錢支付了第一筆留置權定期貸款的最終本金攤銷約 2060 萬美元，剩餘部分則產生了本季度 6000 萬美元或每單位 0.50 美元的分配，並於本週早些時候支付。

As Tom mentioned, we've closed on a new $750 million RBL made up of the syndicate of 10 banks were currently drawn around $500 million.

正如湯姆所提到的，我們已經完成了一筆新的 7.5 億美元 RBL，由 10 家銀行組成的財團目前已提取約 5 億美元。

And with that, Kevin, I'll turn it back to you to open up the call for questions.

凱文，接下來我將把時間交還給你，開始提問。

(Operator Instructions) Neil Dingmann, Truist Securities.

（操作員指示） Neil Dingmann，Truist Securities。

Monell, thanks for the time. Tom, I'm pretty optimistic still on just seeing the environment. I'd love to hear gas oil kind of still in the mid-con kind of where kind of your expectations on for this year?

莫奈爾，感謝您抽出時間。湯姆，我對目前的環境仍然非常樂觀。我很想聽聽柴油是否仍處於中等水平，您對今年的預期是什麼？

My expectation is on gas and oil.

我的預期是關於天然氣和石油。

Just where you're seeing sort of the better you think you might see some of the better deals this year.

正如您所看到的，您認為今年可能會出現一些更好的交易。

Oh yeah, Either gas or oil on better deals. That's a good question. We kind of take what is delivered to us. So if we can make a deal on gas or oil that fits our criteria, we try to do it. I mentioned the I love buying oil in the 60s. So we've made a lot of money over the past several years, buying low-priced oil, especially in a backwardated curve and letting that come to us over time.

哦是的，無論是天然氣還是石油，價格都比較便宜。這是個好問題。我們接受別人給我們的東西。因此，如果我們能夠就符合我們標準的天然氣或石油達成交易，我們就會盡力去做。我提到我喜歡在 60 年代購買石油。因此，過去幾年我們透過購買低價石油（尤其是現貨石油）賺了很多錢，並讓這些錢隨著時間的推移而歸還給我們。

I just don't believe we're in a type of market over the next five or ten years is going to consistently be down at these levels. And so I do buying crude oil at these prices. And we look at those deals, but we also look at natural gas. And if we can make a good natural gas acquisition that's accretive to our distribution, we'll do so. But I guess if I had to pick one of the two right now, I think we would lean in on a crude oil deal.

我只是不相信未來五年或十年內我們所處的市場將持續處於這種水平。因此我確實以這些價格購買原油。我們關注這些交易，但我們也關注天然氣。如果我們能夠進行良好的天然氣收購，從而增加我們的分銷管道，我們就會這樣做。但我想，如果我現在必須從兩者中選擇一個，我想我們會傾向於原油協議。

Got it. And then secondly, as you pointed out, and I think just so you've got pretty notable infrastructure now that you've put together now over the years. Is there -- would we consider monetizing? Or is that just too valuable now to the development of your properties? I did maybe just any comment you can make on the infrastructure and the value that you see behind that.

知道了。其次，正如您所指出的，我認為經過多年的努力，您現在已經擁有了相當可觀的基礎設施。我們會考慮將其貨幣化嗎？或者這對於您房產的開發來說現在是否太有價值了？我可能只是對基礎設施以及背後的價值發表了一些評論。

Yes, Lakewood would we sell some of our infrastructure Yes. I think the -- yes, they're pretty critical to our operations. I don't see any reason for us to be trying to get rid of them. As we mentioned, every year that goes by, we produce more EBITDA than we paid for the whole system. So it's just they are valuable, but they're also valuable to us, and we'd have to pay somebody else if we were to pass them on to them. So I don't think so. I think we'll plan to keep them.

是的，萊克伍德我們會出售部分基礎設施嗎？我認為——是的，它們對我們的營運至關重要。我看不出我們有任何理由要擺脫它們。正如我們所提到的，每一年我們產生的 EBITDA 都比我們為整個系統支付的費用要多。所以它們很有價值，但對我們來說也很有價值，如果我們要把它們傳給他們，我們就必須付錢給別人。所以我不這麼認為。我想我們計劃保留它們。

Yeah, great value there thanks Tom.

是的，非常有價值，謝謝湯姆。

Thank you.

謝謝。

Charles Meade, Johnson.

查爾斯米德、約翰遜。

Good morning, Tom and Kevin.

早上好，湯姆和凱文。

Good morning.

早安.

Tom, I wanted to, I guess, about the third rig. And can you tell us when it's going to come? I imagine how investment cap, but when is it going to come? And is that going to be focused on this the Anadarko Deep Mississippian that you talked about?

湯姆，我想，我想了解第三個鑽孔機。您能告訴我們它什麼時候到達嗎？我想像投資上限是多少，但是什麼時候才會到來呢？這是否會集中在您談到的阿納達科深層密西西比河？

Yes. So the third rig is coming just any day four well program in the Oswego, and then that rig will leave and we'll pick up another rig that starts a deep Mississippian project in Western -- in the Anadarko and Western Oklahoma. So it's really driven by reinvestment rate as prices have moved up, our operating cash flow has moved up.

是的。因此，第三台鑽機將在奧斯威戈的任何四口井計劃的當天到達，然後該鑽機將離開，我們將接另一台鑽機，在西部——阿納達科和俄克拉荷馬州西部——啟動一個深層密西西比項目。因此，這實際上是由再投資率推動的，因為價格上漲，我們的營運現金流也增加了。

So we're able to bring in a rig in the Oswego that allows us to stay closer to 50% reinvestment rate. But that's going to be a short term while we bring in a larger rig to drill the Deep Mississippian in Custer County.

因此，我們能夠在奧斯威戈引入鑽機，使我們能夠保持更接近 50% 的再投資率。但這只是短期的，我們將引進一台更大的鑽孔機來鑽探卡斯特縣的深層密西西比河。

Got it. Yes, it would make sense. You need a bigger rig for Custer County than the Oswego and Kingfish. But second question, Tom. I really appreciate on oil, but I'm wondering if you could do the same for gas.

知道了。是的，這很有道理。對於卡斯特縣來說，你需要一輛比奧斯威戈號和金魚號更大的鑽孔機。但第二個問題是，湯姆。我真的很欣賞石油，但我想知道你是否可以對天然氣做同樣的事情。

I mean, it's not new this week or this month or maybe this month, we're looking at a backwardation in the gas curve for the first time in a long time with this big run we've had in natural gas prices. And I wonder if you could tell us what you think is there. And perhaps as a way of doing that, you said you'd like to buy oil assets and when oil is in the 60s, where do you like to buy gas assets?

我的意思是，這並不是本週、本月甚至可能是本月的新鮮事，隨著天然氣價格大幅上漲，我們首次看到了天然氣曲線的現貨溢價。我想知道您是否可以告訴我們您的想法。也許是為了實現這一點，您說您想購買石油資產，那麼當油價達到 60 美元時，您想在哪裡購買天然氣資產？

I always like to buy gas assets. So there's -- I think long term, I'm no different than basically anyone else now that believes that natural gas is the fuel of the next 10 years that's going to have endless demand. So yes, maybe in 2028 or so, you get the Qatar LNG coming on that might dampen natural gas prices some for a time.

我一直喜歡購買天然氣資產。所以，我認為從長遠來看，我和其他人一樣，都認為天然氣是未來 10 年需求無限的燃料。所以是的，也許在 2028 年左右，卡達液化天然氣的投產可能會在一段時間內抑制天然氣價格。

But I think demand overall just is increasing. And any time you buy something in Amico, you're going to get about 50% natural gas and another 25% or so in natural gas liquids along with crude oil being basically 25%. And so any deal we make is just by its very nature in the Mid-Con and natural gas asset.

但我認為整體需求正在增加。任何時候你在阿米科購買東西，你都會得到大約 50% 的天然氣和另外 25% 左右的天然氣液體，以及基本上佔 25% 的原油。因此，我們達成的任何交易本質上都與 Mid-Con 和天然氣資產有關。

So we've done extremely well in cheap natural gas. My belief is that we still could look towards a $5 curve this summer as we need to do refills as we're going into refill season and need to be back at 3.8 Tcf or so by the end of October. So I don't know. We'll have plenty of times of moving up and down and around with gas prices. But I still think there could be a dollar move here in the summer strip. Thank you.

因此我們在廉價天然氣方面做得非常好。我相信，今年夏天我們仍然可以期待 5 美元的曲線，因為我們需要進行補充，因為我們即將進入補充季節，並且需要在 10 月底之前回到 3.8 萬億立方英尺左右。所以我不知道。我們會有很多次看到油價上下波動。但我仍然認為夏季美元可能會有所波動。謝謝。

Thank you for the thought, SAM.

謝謝你的想法，SAM。

Michael Scialla, Stephen.

邁克爾·西亞拉，史蒂芬。

Good morning guys. Tom, I wanted to see if you could talk a little bit more about the recent bolt-on you did. You mentioned the nine PUDs. Any probable locations with that? And I'm curious, you bought typically from distressed sellers, it looks like you paid well below PV-10 value here. Could you characterize the seller situation here why they were willing to let it go for the price that they did?

大家早安。湯姆，我想看看你是否可以再多談你最近所做的附加工作。您提到了九個 PUD。有那些可能的地點嗎？我很好奇，你通常是從困境中的賣家那裡購買的，看起來你在這裡支付的價格遠低於 PV-10 的價值。你能描述一下賣家的狀況嗎，為什麼他們願意以這個價格出售？

Yes, the word is distressed as most of the sellers we've had over time because they were just individuals who went out and drilled a few wells and we're able then to sell those at basically PDP, PV10 to us and made a lot of money. And so they drilled good wells. They sold us the wells that they drilled and then we paid a fair price for those -- and then we inherited the PUDs that they had proven.

是的，這個詞很令人苦惱，因為我們長期以來遇到的大多數賣家都是個人，他們出去鑽了幾口井，然後我們能夠以 PDP、PV10 的價格將這些井賣給我們，賺了很多錢。所以他們鑽出了好井。他們將自己鑽探的油井賣給我們，我們支付了合理的價格，然後繼承了他們已探明的可鑽探油井。

There aren't any probable locations because it was drilled in an area and their drilling and others have proved it. So will the nine locations we drill throughout the rest of this year into next year for going to be PUD already. That's -- it's a good area to drill in. with good rates of return. And in fact, by -- just by the very nature of being in our drilling program, we expect to have 50% rates of return.

沒有任何可能的地點，因為它是在某個區域進行的鑽探，而且他們的鑽探和其他人的鑽探已經證明了這一點。因此，我們今年剩餘時間在九個地點進行鑽探，到明年為止都將成為 PUD。那是一個適合鑽探的好地方，回報率也很高。事實上，根據我們的鑽探計劃的本質，我們預期回報率為 50%。

Sounds good. I wanted to ask on the fourth quarter contribution, it was a little bit below on a percentage of cash available for distribution in the third quarter. Can you talk about the factors that went into that decision?

聽起來不錯。我想問一下第四季的貢獻，它比第三季可供分配的現金百分比略低。您能談談做出該決定的因素嗎？

Yes, Michael, if you're looking at the table itself, the cash available for distribution came in at a little above $80 million. But we -- and that's after interest expense but before we made our principal amortization. So the principal amortization took a little over $20 million away from that $81 million.

是的，邁克爾，如果你看一下表格本身，可供分配的現金略高於 8000 萬美元。但是我們 - 這是在扣除利息支出之後但在本金攤銷之前。因此，本金攤銷從這 8,100 萬美元中減少了 2,000 多萬美元。

And so net after the principal payment, we did send out all the cash that we generated for the quarter. The per unit number was a little bit lower because it was the per unit distribution was shared with the equity purchasers that occurred in February.

因此，在支付本金後，我們確實發送了本季產生的所有現金。每單位數量略低，因為這是 2 月與股權購買者分享的每單位分配。

So our cash available for distribution, when we send that out, it's fairly mechanical and keeps basically everyone happy, both equity and our debt holders.

因此，當我們將可供分配的現金發出去時，它是相當機械化的，基本上可以讓所有人（包括股東和債權人）都滿意。

So it's really all due to the recapitalization of the balance sheet during the quarter?

那麼這真的都是由於本季資產負債表的資本重組嗎？

Yes, if you were looking at the per unit number.

是的，如果你看的是每個單位的數字。

Yes.

是的。

Perfect thank you.

非常感謝。

Derek Winfield, Texas Capital.

德里克·溫菲爾德，德克薩斯首府。

Good morning all. Thanks for your time. Wanted to focus on your 2024 drilling program results with my first question. As you guys look back on the 2024 program, are you seeing opportunities for the Woodford to close the gap versus the Oswego and returns from a D&C efficiency or optimization perspective?

大家早安。感謝您的時間。我的第一個問題想重點關注您 2024 年鑽探計劃的結果。當你們回顧 2024 年計畫時，你是否看到伍德福德有機會縮小與奧斯威戈的差距並從 D&C 效率或優化的角度獲得回報？

We've been pretty efficient. I think both of those zones are basically doing what we've asked them to do. The Oswego program is just much more mature and to me, it's an easier program to hit our rates to return just because it's fairly simple to drill and -- or I guess, not as complex to drill as some of the deeper Woodford.

我們的效率一直很高。我認為這兩個區域基本上都在按照我們的要求去做。奧斯威戈計畫更加成熟，對我來說，它是一個更容易達到回報率的項目，因為它的鑽探相當簡單，或者我猜，鑽探不像伍德福德的一些更深的鑽探那麼複雜。

And just the amount of communication that we have in between wells, it tends to be a little less. So I don't think it really necessarily closes the gap. We've already cut the drilling cost by nearly $2 million a well from when the prior operator had it. So I do -- we'll never say never about our team and their efficiencies, but it kind of looks like it I wouldn't expect a different outcome in 2025 versus 2024.

而我們在油井之間的溝通量往往比較少。所以我不認為這必然會縮小差距。與先前的營運商相比，我們已經將每口井的鑽井成本降低了近 200 萬美元。所以我確實如此——我們永遠不會對我們的團隊和他們的效率說永遠不會，但看起來我不會預期 2025 年和 2024 年的結果會有所不同。

Therefore, I mean, what can happen is that an Ardmore Basin well or a deep Mississippian well can have our rates return then to condensate well in the condensate window. So therefore, after the next couple of wells that are drilled in the condensate window, we'll be moving that rig to the Ardmore Basin.

因此，我的意思是，可能發生的情況是，阿德莫爾盆地油井或密西西比河深油井的產量可能會回到凝析油窗口中的凝析油井。因此，在凝析油窗口鑽完接下來的幾口井後，我們會將鑽孔機移至阿德莫爾盆地。

Yes, that makes sense. And maybe regarding M&A, could you more broadly speak to the competitive landscape in the Mid-Con as it appears the privates like Validus are most responsible for the competitive environment we're seeing today and then also just maybe leaning in on where you were just now on the organic leasing opportunities you're seeing is the big mess?

是的，這很有道理。也許關於併購，您能否更廣泛地談談 Mid-Con 的競爭格局，因為看起來像 Validus 這樣的私營企業對我們今天看到的競爭環境負有最大責任，然後也許可以談談您剛才所說的有機租賃機會，您認為這是一個大混亂？

Yes. The Mid-Con has become a very popular place and our rig count has gone up over the last year. The amount of interest in buying assets has gone up and well-capitalized companies are moving in to purchase assets. So that is -- we have never really been great at buying very large packages other than the Paloma one was the one exception for us.

是的。Mid-Con 已經成為一個非常受歡迎的地方，我們的鑽機數量在過去一年裡有所增加。購買資產的興趣增加，資本雄厚的公司正在紛紛購買資產。所以也就是說——我們從來都不擅長購買非常大的包裹，除了 Paloma 包裹之外，那是一個例外。

But the amount of competition for those types of assets continues to be fairly strong. So I see us having the niche still of buying $100 million type assets where others are really looking and continue to look for free cash flowing assets that have as much of the drilling upside, but we really don't need that because we have so many opportunities ourselves inside of our existing acreage.

但這類資產的競爭仍然相當激烈。因此，我認為我們仍然擁有購買價值 1 億美元資產的利基市場，而其他人則在尋找並繼續尋找具有盡可能多的鑽探優勢的自由現金流資產，但我們真的不需要這樣做，因為我們現有的土地範圍內有很多機會。

So I mean, what we're really focusing on is trying to grow our operating can and using 50% of that to increase our drilling budget into high rate of return drilling that we already have captured inside our existing acreage.

所以我的意思是，我們真正關注的是嘗試擴大我們的營運能力，並利用其中的 50% 將我們的鑽井預算增加到我們現有土地範圍內已經實現的高回報率鑽井中。

And Tom, just on the organic leasing opportunities you guys are seeing across the page. Maybe could you elaborate on that?

湯姆，我只是談論一下你們在頁面上看到的有機租賃機會。能詳細解釋一下嗎？

Yes. I mean, most of the -- we already have so much acreage that's held by production. I mean across the deep Anadarko and the deeper condensate window, we have over 65,000 acreage currently. So I just -- we don't have to lease very much. I think our total budget for leasing this year is around $30 million for 2025.

是的。我的意思是，大部分——我們已經有大量土地用於生產。我的意思是，穿過深層阿納達科和更深的凝析油窗口，我們目前擁有超過 65,000 英畝的土地。所以我只是——我們不需要租賃太多。我認為我們今年的租賃總預算為 2025 年約 3000 萬美元。

So it's -- that is focused more in the deeper areas, as you mentioned. The Cherokee also both Turkey shale and the Red Fort sands have been areas we've been watching. And whenever we -- most of our leasing budget is places that we already own acreage. We propose a well, and then we buy the rest of the unit as is being put together.

所以 — — 正如您所說，這更側重於更深層的領域。切諾基、土耳其頁岩和紅堡砂岩都是我們一直在關注的區域。無論何時，我們的大部分租賃預算都用於我們已經擁有的土地。我們建議建造一口井，然後購買正在組裝的其餘部分。

Very helpful, thanks for your time.

非常有幫助，感謝您的時間。

John, Raymond James.

約翰，雷蒙詹姆斯。

Hey, John. Just.

嘿，約翰。只是。

Just following up on that last comment, Tom, because it looks like on a year-over-year basis, the midstream and land expenditures as a percentage of the total budget is doubling, both like on a percentage of the total land amount. Did you just say that the $30 million of that midstream and land that you all lumped together, the $35 million to $40 million range again for the year, did you say $30 million of that is for land?

湯姆，我只是想跟進最後一條評論，因為看起來與去年同期相比，中游和土地支出佔總預算的百分比翻了一番，都佔土地總金額的百分比。您剛才說了，你們把中游和土地的 3000 萬美元加在一起，今年的總價值在 3500 萬到 4000 萬美元之間，您說其中的 3000 萬美元是用於土地嗎？

Yes. I think that's our budget for land at $30 million.

是的。我認為我們的土地預算是 3000 萬美元。

Yes, land and midstream.

是的，陸地和中游。

Okay. So that includes both. I'm sorry, John.

好的。因此，這包括兩者。對不起，約翰。

But the midstream is virtually the same, I think, as in prior year. So the biggest change -- the biggest part of the change is for leasing activity. But again, as Tom mentioned again, the majority of that just comes as a byproduct of a larger drilling program.

但我認為，中游的情況與去年基本相同。因此最大的變化——變化最大的部分是租賃活動。但是，正如湯姆再次提到的那樣，其中大部分只是更大規模鑽探計劃的副產品。

And John, as you think to that as you move into another rig running that does have just more locations than we had acreage on.

約翰，當您想到這一點時，您會進入另一個正在運行的鑽孔機，其位置比我們的面積要多。

Okay. Yes, that makes sense. And then you also talked about just the increased activity that we're seeing in the Anadarko and just Oklahoma overall has seen the biggest increase in drilling activity of any region in the country in the last several months and just sits behind only the Permian at this point. What sort of impact, if any, does sort of a non-op portion of your budget this year versus last year's budget?

好的。是的，這很有道理。然後您也談到了我們在阿納達科看到的活動增加，而整個俄克拉荷馬州的鑽井活動在過去幾個月中是全國各地區中增幅最大的，目前僅次於二疊紀。與去年的預算相比，今年預算中的非營運部分會產生什麼樣的影響（如果有的話）？

Our budget is usually fairly small. We elect out of most of the nonops that are proposed to us. We are participating in a couple of deep gas wells that are being drilled now by Continental. But in general, I think our non-op budget stays fairly consistently low.

我們的預算通常很少。我們選出了向我們提出的大多數非操作性提案。我們正在參與大陸石油公司鑽探的幾個深層氣井。但總體而言，我認為我們的非營運預算一直保持在較低水準。

Got it thanks nice quarter guys.

明白了，感謝你們這些好心人。

Thank you.

謝謝。

Selman Akyol, Stifel.

塞爾曼·阿克約爾（Selman Akyol），Stifel。

Hi, good morning, guys. This is Tim on for Selman. I just wanted to touch on in the prepared comments, you mentioned kind of leaving more liquids in the gas stream given where natural gas prices are. Just curious, are you guys able to make that election across your footprint? Or is it only where you guys kind of have the infrastructure?

大家早安。這是提姆，代替塞爾曼。我只是想在準備好的評論中談一談，您提到考慮到天然氣價格，在氣流中留下更多的液體。只是好奇，你們能在自己的足跡範圍內做出選舉嗎？還是只是你們有基礎建設的地方才有？

No, we can make that election basically across our production

不，我們基本上可以在整個製作過程中做出選擇

Okay. Got it. And would you expect that to have natural gas production guidance to trend towards the high end and NGLs maybe trend a little lower? Or any kind of comments you can provide on that?

好的。知道了。您是否預期天然氣產量指引將趨向高端，而 NGL 產量指引將略微下降？或者您能對此提出什麼評論？

It stays in the range. Yes. So sorry, the answer stays in our --

它保持在範圍內。是的。很抱歉，答案在我們--

Okay. Got it. And then last one for me. BOE expense has kind of been ticking up in 2024, and I believe that was probably due to the Paloma wells. But just curious on kind of the cadence we should look for in 2025, whether it's kind of a flattening or kind of a continuous kind of uptick?

好的。知道了。對我來說這是最後一個。2024 年，BOE 支出有所上升，我認為這可能是由於 Paloma 油井的影響。但我只是好奇我們應該在 2025 年尋找什麼樣的節奏，是趨於平穩還是持續上升？

Yeah, I think it's basically flat.

是的，我認為它基本上是平的。

Okay perfect thank you guys for the time.

好的，非常感謝你們抽出時間。

We've reached of our question-and-answer session. I'd like to turn the floor back over for any further or closing comments.

我們的問答環節已經結束。我想將發言權轉回給大家，以便大家可以發表進一步的評論或結束語。

Kevin, thank you. Thanks to everyone for joining. We look forward to our next call in the quarter. Thanks.

凱文，謝謝你。感謝大家的加入。我們期待本季的下一次電話會議。謝謝。

Thank you. That does conclude today's teleconference and webcast. You may disconnect your line at this time, and have a wonderful day. We thank you for your participation today.

謝謝。今天的電話會議和網路直播到此結束。此時您可以斷開您的線路，並享受美好的一天。我們感謝您今天的參與。