W&T Offshore Inc (WTI) 2025 Q1 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to the W&T Offshore first quarter 2025 conference call.

女士們、先生們，感謝你們的支持。歡迎參加 W&T Offshore 2025 年第一季電話會議。

(Operator Instructions)

（操作員指示）

I would now like to turn the conference over to Al Petrie, investor relations coordinator.

現在我想將會議交給投資人關係協調員 Al Petrie。

Thank you, Cindy. And on behalf of the management team, I'd like to welcome all of you to today's conference call to review W&T Offshore's first quarter 2025 financial and operational results.

謝謝你，辛蒂。我謹代表管理團隊歡迎大家參加今天的電話會議，回顧 W&T Offshore 2025 年第一季的財務和營運表現。

Before we begin, I'd like to remind you that our comments may include forward-looking statements. It should be noted that a variety of factors could cause W&T's actual results to differ materially from the anticipated results or expectations expressed in these forward-looking statements.

在我們開始之前，我想提醒您，我們的評論可能包含前瞻性陳述。需要注意的是，多種因素可能導致 W&T 的實際結果與這些前瞻性陳述中表達的預期結果或期望有重大差異。

Today's call may also contain certain non-gap financial measures. Please refer to the earnings release that we issued yesterday for disclosures on forward-looking statements and reconciliations of non-gap measures. With that, I'd like to turn the call over to Tracy Krohn, our Chairman and CEO.

今天的電話會議可能還包含某些非差距財務措施。請參閱我們昨天發布的收益報告，以了解前瞻性聲明和非差距指標對帳的揭露。說到這裡，我想把電話轉給我們的董事長兼執行長 Tracy Krohn。

Thank you, Al. Good morning, everyone, and welcome to our first quarter conference call for 2025. With me today are William Williford, our executive VP and Chief Operating Officer, Samir Perassas, our executive VP and Chief Financial Officer, and Trey Hartmann, our Vice President and Chief Accounting Officer. They're all available to answer questions later during the call.

謝謝你，艾爾。大家早安，歡迎參加我們 2025 年第一季電話會議。今天與我一起出席的有我們的執行副總裁兼營運長 William Williford、我們的執行副總裁兼財務長 Samir Perassas 以及我們的副總裁兼首席會計官 Trey Hartmann。他們稍後都可以在通話中回答問題。

So with strong operational and financial results, we started 2025 on a positive note, meeting or exceeding guidance in multiple metrics.

因此，憑藉著強勁的營運和財務業績，我們以積極的姿態開啟了 2025 年，多項指標達到或超越了預期。

We built W&T using a proven and successful strategy that is committed to profitability, operational execution.

我們採用經過驗證的成功策略建立了 W&T，致力於獲利能力和營運執行。

Returning value to our stakeholders and ensuring the safety of our employees and contractors.

為我們的利害關係人帶來價值並確保我們的員工和承包商的安全。

Our ability to deliver low decline production, meaningful even EBITDA, and seamlessly integrate accretive producing property acquisitions has helped W&T grow during our 40 plus year history.

我們能夠實現低產量遞減、有意義的平均 EBITDA，並無縫整合增值生產資產收購，這些幫助 W&T 在 40 多年的歷史中不斷發展。

Now, before I talk about our first quarter highlights, I'd like to address an important regulatory development.

現在，在我談論第一季的亮點之前，我想談談一項重要的監管發展。

In early 20 in early April 2025, pursuant to directives from the Trump administration, the Department of Interior indicated that it will not seek supplemental financial assurance in the Gulf of America, except in the case of sole liability properties.

2025年4月初，根據川普政府的指示，內政部表示不會在美國灣尋求補充財務擔保，除非是單一責任財產的情況。

And certain non-sol liability properties that do not have a financially strong co-owner or predecessor in entitled and meet other conditions. This is a very positive development for W&T.

某些非 SOL 責任財產沒有財力雄厚的共同所有人或前任擁有所有權並滿足其他條件。這對於 W&T 來說是一個非常積極的發展。

Now, we'll go into more details later in the call, but this should alleviate some of the uncertainty that has pushed down our stock price despite some positive results.

現在，我們將在稍後的電話會議中討論更多細節，但這應該可以減輕一些不確定性，儘管取得了一些積極成果，但這種不確定性仍然壓低了我們的股價。

Some of our first quarter highlights include the following. We delivered production of 30,500 barrels of oil equivalent per day, near the top end of our guidance range, despite freezing weather in January, that temporarily drove some unplanned downtime.

我們第一季的一些亮點包括：儘管 1 月的寒冷天氣導致暫時出現一些計劃外的停工，但我們每天的產量仍達到 30,500 桶石油當量，接近我們預期範圍的最高值。

Also, lease operating expenses came in below the low end of guidance of $71 million.

此外，租賃營運費用低於指導值的低端 7,100 萬美元。

We generated $32.2 million and adjusted EBITDA, an increase of 2% compared to the fourth quarter of 2024.

我們創造了 3,220 萬美元的調整後 EBITDA，與 2024 年第四季相比成長了 2%。

We also produced $10.5 million in free cash flow.

我們也產生了1050萬美元的自由現金流。

So we accomplished all of this while also returning value to our shareholders through our quarterly dividend. We've paid 6 quarterly cash dividends since initiating the dividend policy in late 2023 and announced the second quarter 2025 payment that will occur later this month.

因此，我們完成了所有這些工作，同時也透過季度股利為股東帶來了價值回報。自 2023 年底啟動股息政策以來，我們已支付了 6 次季度現金股息，並宣布將於本月稍後支付 2025 年第二季的股息。

Additionally, in the first quarter of this year, we had several transactions that strengthened and simplified our balance sheet, adding material cash to the bottom line and improving our credit ratings from S&P and Moody's.

此外，今年第一季度，我們進行了數筆交易，加強並簡化了我們的資產負債表，為盈利增加了大量現金，並提高了標準普爾和穆迪的信用評級。

So in January, we successfully closed an offering of $350 million in new second lien notes due 2029 that decreased our interest rate on second lien notes by 100 basis points and allowed us to redeem our outstanding $275 million of second lien notes and pay off the $114 million outstanding under the term loan provided by Munich Re.

因此，今年 1 月，我們成功完成了 3.5 億美元 2029 年到期的新第二留置權票據的發行，這使我們的第二留置權票據利率降低了 100 個基點，並使我們能夠贖回未償還的 2.75 億美元第二留置權票據，並償還慕尼黑再提供的定期貸款中未償還的 1.4 億美元保險公司。

This transaction reduced our total debt by $39 million. Now this meaningfully enhanced 2025 and future year liquidity by eliminating principal payments under the Munich Re term loan of $28 million in 2025 $25 million in 2026 $23 million in 2027, and $38 million in 2028.

這筆交易使我們的總債務減少了 3900 萬美元。現在，透過取消慕尼黑再保險公司定期貸款的本金支付，這顯著增強了 2025 年及未來的流動性，2025 年為 2,800 萬美元，2026 年為 2,500 萬美元，2027 年為 2,300 萬美元，2028 年為 3,800 萬美元。

We also entered into a new $50 million dollar revolving credit facility which matures in July 2028, that is undrawn and replaces the previous $50 million credit facility provided by Calculus lending.

我們還簽訂了一項新的 5,000 萬美元循環信貸協議，該協議將於 2028 年 7 月到期，尚未提取，將取代 Calculus 貸款公司先前提供的 5,000 萬美元信貸協議。

Additionally, in January 2025, we sold a non-core interest in Garden Banks blocks 385 and 386, which was about 200 barrels of oil equivalent per day for $12 million or over $60,000 per flowing barrel.

此外，2025 年 1 月，我們以 1,200 萬美元的價格出售了 Garden Banks 385 和 386 區塊的非核心權益，相當於每天約 200 桶油當量，或每桶流動價格超過 60,000 美元。

Now in early 2025, we also received $58.5 million in cash for an insurance settlement related to the Mobile Bay 78-1 well.

現在到了 2025 年初，我們也收到了 5,850 萬美元現金，用於支付與莫比爾灣 78-1 油井相關的保險賠償金。

All of these actions have allowed us to enhance liquidity and improve our financial flexibility.

所有這些行動使我們增強了流動性並提高了財務靈活性。

Lastly, to take advantage of the strengthening we saw in natural gas prices, we added cost of scholars for 50,000 MBTUs per day for March 2025 and 70,000 million BTUs per day from April to December of this year. This helps us lock in a favorable price range for our natural gas for the remainder of 2025.

最後，為了利用我們看到的天然氣價格走強的優勢，我們增加了2025年3月每天50,000百萬英熱單位的學者成本，以及今年4月至12月每天70,000百萬英熱單位的學者成本。這有助於我們鎖定 2025 年剩餘時間內天然氣的有利價格範圍。

So our ability to execute our strategy has delivered very positive results to start off 2025, including an improved balance sheet, enhanced liquidity, and has positioned us for success in 2025 and beyond. At year-end 2024, the company had total debt of $393 million and net debt of $284 million.

因此，我們執行策略的能力在 2025 年初取得了非常積極的成果，包括改善的資產負債表、增強的流動性，並為我們在 2025 年及以後取得成功奠定了基礎。截至 2024 年底，該公司的總負債為 3.93 億美元，淨負債為 2.84 億美元。

At the end of the first quarter of 2025, our total debt and net debt were significantly reduced to $350 million and $244 million respectively. Our liquidity on March 31 was approximately $156 million.

2025年第一季末，我們的總債務和淨債務分別大幅減少至3.5億美元和2.44億美元。截至 3 月 31 日，我們的流動資金約為 1.56 億美元。

Capital expenditures in the first quarter of 2025 were $8.5 million and asset retirement costs totalled $3.8 million. We continue to expect our full year capital expenditures to be between $34 million and $42 million which does not include potential acquisition opportunities.

2025 年第一季的資本支出為 850 萬美元，資產退役成本總計 380 萬美元。我們仍預期全年資本支出將在 3,400 萬美元至 4,200 萬美元之間，其中不包括潛在的收購機會。

We will remain focused on accretive low risk acquisitions of producing properties rather than higher risk drilling in the current uncertain commodity price environment.

在目前不確定的商品價格環境下，我們將繼續專注於增值的低風險生產資產收購，而不是高風險的鑽探。

These acquisitions must meet our stringent criteria of generating free cash flow, providing a solid base of proved reserves with upside potential, and offer the ability for our experienced team to reduce costs.

這些收購必須符合我們嚴格的標準，即產生自由現金流，提供具有上行潛力的堅實已探明儲量基礎，並為我們經驗豐富的團隊提供降低成本的能力。

Now, over the years, we have consistently created significant value by methodically integrating producing property acquisitions. The assets we acquired last year added meaningful reserves and an attractive price. We are now seeing additional production uplift from two fields that were previously shut in the West Delta 73 and Maine Pass 108/98 fields were placed in into production towards the end of March and into early April.

多年來，我們透過有條不紊地整合生產性房地產收購，持續創造了巨大的價值。我們去年收購的資產增加了可觀的儲備，而且價格也很有吸引力。我們現在看到，先前關閉的西三角洲 73 號油田和緬因州通道 108/98 號油田的兩個油田的產量進一步提升，這兩個油田已於 3 月底和 4 月初投入生產。

We are ramping up production over the course of the 2nd quarter of 2025 and expect it to make a sizable impact to our production overall, which is indicated in our second quarter guidance.

我們將在 2025 年第二季提高產量，預計這將對我們的整體生產產生相當大的影響，這在我們的第二季指引中有所體現。

Yesterday we provided our detailed guidance for 2nd quarter 2025 and reiterated our full year guidance. In the second quarter of 2025, with the new fields ramping up, we are predicting the midpoint of Q2 2025 production to be around 34,500 barrels of oil equivalent per day. This is an increase of 13% compared to the first quarter of 2025.

昨天，我們提供了 2025 年第二季的詳細指導，並重申了全年指導。2025 年第二季度，隨著新油田的持續增產，我們預測 2025 年第二季的中位數產量將達到每天 34,500 桶油當量左右。與 2025 年第一季相比，成長了 13%。

So turning to our costs, our guidance for 2nd quarter 2025 LOE, gathering, transportation and production taxes costs are slightly higher than the first quarter of 2025. We see some additions to LOE due to the higher production, but believe that overall we can offset some of those increases and on a per BOE basis, we should see decreases.

因此，談到我們的成本，我們對 2025 年第二季 LOE、收集、運輸和生產稅成本的指引略高於 2025 年第一季。由於產量增加，我們看到 LOE 有所增加，但我們相信總體而言我們可以抵消其中的一些增加，並且按每桶油當量計算，我們應該會看到減少。

We also believe that there are more opportunities to reduce our operating costs and find synergies to drive costs lower in the long term. We're always working hard to reduce costs without impacting safety or deferring asset integrity work.

我們也相信，有更多機會降低營運成本，並找到綜效以長期降低成本。我們始終致力於降低成本，同時不影響安全或延後資產完整性工作。

Now, before closing, I'd like to discuss some regulatory updates in more detail. The change of Presidential administration has provided promising developments in the oil and natural gas regulatory environment.

現在，在結束之前，我想更詳細地討論一些監管更新。總統政府的更迭為石油和天然氣監管環境帶來了令人鼓舞的發展。

Since his inauguration, President Trump has issued two energy-related executive orders, the first of which directed heads of agencies to review existing regulations to identify agency actions that impose an undue burden on the identification, development, or use of domestic energy resources. The second executive order stated that the United States insufficient energy production.

自就職以來，川普總統已發布了兩項與能源相關的行政命令，第一項命令指示各機構負責人審查現有法規，以確定哪些機構行為對國內能源資源的識別、開發或使用造成不當負擔。第二項行政命令指出，美國能源生產不足。

Transportation, refining, and generation constituted an unusual and extraordinary threat to the nation's economy, national security and foreign policy. In early February, Secretary Burgum issued a secretarial order that directed agency officials to prepare an action plan that will include steps to suspend, revise, or rescind certain regulations.

運輸、煉油和發電對國家經濟、國家安全和外交政策構成了一個不尋常的巨大威脅。2 月初，伯格姆部長發布了一項部長令，指示機構官員制定一項行動計劃，其中包括暫停、修改或撤銷某些法規的步驟。

In addition, the Trump administration has issued a number of executive orders aimed at streamlining regulations and reducing the regulatory burden on oil and natural gas companies, increasing federal oil and natural gas leasing, including in the Gulf of Mexico, excuse me, America, and expect and expediting US natural resource development. We are very pleased with these actions that we expect will positively impact W&T and the offshore energy industry.

此外，川普政府還發布了一系列行政命令，旨在精簡法規，減少石油和天然氣公司的監管負擔，增加聯邦石油和天然氣租賃，包括在墨西哥灣，對不起，美國，並期望加快美國自然資源開發。我們對這些行動感到非常高興，我們預計這些行動將對 W&T 和海上能源產業產生正面影響。

So in closing, I'd like to thank our team at W&T as we're well positioned to add value in 2025. We have a solid cash position and good liquidity that enables us to continue to evaluate growth opportunities, both organically and inorganically. We have a long track record of successfully integrating assets into our portfolio, and we continue to believe that the Gulf of America is a world-class basin that supports value creation. We will maintain our focus on operational excellence and maximizing the cash flow potential of our asset base.

最後，我要感謝 W&T 團隊，我們已準備好在 2025 年實現增值。我們擁有穩固的現金狀況和良好的流動性，這使我們能夠繼續評估有機和無機的成長機會。我們在將資產成功整合到我們的投資組合方面有著悠久的歷史，我們仍然相信美國灣是一個支持價值創造的世界級盆地。我們將繼續專注於卓越營運並最大限度地發揮我們資產基礎的現金流潛力。

With that operator, we can now open the lines for questions.

有了這個接線員，我們現在就可以開通問答熱線了。

We will now begin the question-and-answer session.

我們現在開始問答環節。

(Operator Instructions)

（操作員指示）

Our first question comes from John White of Roth Capital. Go ahead, please.

我們的第一個問題來自羅斯資本的約翰懷特。請繼續。

Hey, good morning and congratulations on getting the Cox assets fully online has a nice impact on your production guides.

嘿，早安，恭喜您將 Cox 資產完全上線，這對您的生產指南產生了良好的影響。

Well, good morning and thanks John.

早上好，謝謝約翰。

Yeah, sure from, reading the press release, it looks like you're going to continue to focus on recompletions and workovers and there's no plans to drill a new, grassroots wells.

是的，從新聞稿來看，您似乎將繼續專注於重新完井和修井，並且沒有計劃鑽探新的基層油井。

Can you confirm that?

你能證實嗎？

Yeah, that's our current strategy, a little bit of, just a little bit too much volatility to us, with regard to oil and gas prices, but oil is the more critical factor for us. We are still, not hedged on oil.

是的，這是我們目前的策略，對我們來說，石油和天然氣價格的波動有點太大，但石油對我們來說是更關鍵的因素。我們仍然沒有對石油進行對沖。

Sounds like a good approach. I'll pass it back to the operator.

聽起來是個不錯的方法。我會將其轉交回給操作員。

Thank you.

謝謝。

Thanks John.

謝謝約翰。

Our next question comes from Derrick Whitfield, a staple. Go ahead please.

我們的下一個問題來自德里克惠特菲爾德 (Derrick Whitfield)。請繼續。

Good morning on great update today.

早上好，今天的更新很棒。

Thanks, Derek.

謝謝，德里克。

With the April 8th announcement from the Department of Interior, I wanted to ask if you could elaborate on the financial impact of this announcement to W&T.

鑑於內政部於 4 月 8 日發布的公告，我想問您是否可以詳細說明該公告對 W&T 的財務影響。

Yeah, I can. Clearly it means we'll have less cost for financial assurance, and of course less cost and having to manage around that. We don't have any sole liability properties at this point in time, so we're looking for a pretty dramatic reduction in those FA costs.

是的，我可以。顯然，這意味著我們在財務擔保方面的成本將會減少，當然，管理成本也會減少。我們目前還沒有任何單一責任財產，因此我們希望大幅降低 FA 成本。

If you will. So that, that'll have an impact on us, plus the aggravation and overhang on our credit facilities. That should be a positive for them as well.

如果你願意的話。因此，這會對我們產生影響，也會加劇和加劇我們的信貸狀況。這對他們來說也是一件好事。

Great, that makes sense. And then regarding your full year 2025 guidance.

太好了，這很有道理。然後是關於您 2025 年全年的指導。

On production, the midpoint of your guidance implies an average second half oil production of 15,400 barrels. Could you offer some color on the production cadence across the quarters? We've got your Q2 but just wanted to see kind of where things pick out Q for your Q4.

在產量方面，您的指導中點意味著下半年平均石油產量為 15,400 桶。能否介紹一下各季度的生產節奏？我們已經得到了您的 Q2，但只是想看看您的 Q4 的 Q 選出情況如何。

Yeah, surely, I can do that, Derek. Well, in the first quarter we had some weather incidents and things like that, and West Delta 73 and Maine Pass 108 were not back online as a result of some of the actions promulgated by the bankruptcy of that entity.

是的，我當然可以做到，德瑞克。嗯，在第一季度，我們遇到了一些天氣事件之類的事情，而由於該實體破產後採取的一些行動，西三角洲 73 號公路和緬因州通道 108 號公路尚未恢復上線。

We see the production coming up at West Delta at 73 and Main Pass 108, and we continue to work to optimize that we think there's more, track room, left in that endeavour as well.

我們看到西三角洲 73 號和主通道 108 號的產量正在上升，我們將繼續努力進行優化，我們認為在這項工作中還有更多軌道空間。

And we've got some ongoing, work over and, acidizing and. And workovers and things that we intend to get done, during the better weather part of the year, which really is about now. So, through now and the end of the summer, we'll be working out, with equipment offshore to help enhance that. So, we're fairly confident that we'll see good results in that, leading into, 3rd quarter and early 4th quarter.

我們正在進行一些工作，包括酸化等。我們計劃在一年中天氣較好的時候（也就是現在）進行修井和其他工作。因此，從現在到夏季末，我們將利用海外的設備進行鍛煉，以增強此能力。因此，我們非常有信心，我們將在第三季和第四季初看到良好的結果。

Great. Last one if I could, regarding the non-core interest in Garden Banks blocks 385 and 386 that you guys sold earlier this year. The sales price on that was quite a great your evaluation, I guess, bigger picture, are there other opportunities across your portfolio that you could pursue?

偉大的。如果可以的話，最後一個問題是關於你們今年早些時候出售的 Garden Banks 385 和 386 區塊的非核心權益。我想，這個銷售價格對您的評價相當高，從更大的角度來看，您的投資組合中還有其他可以追求的機會嗎？

Well, that's a really good question. Yeah, clearly there are, it just becomes a matter of price on that aspect of it. That was a royalty interest and, we do have other royalty interests that are kind of free floating out there that we could sell. It's not a necessarily a focal point, but it does raise the awareness on that as well.

嗯，這是一個非常好的問題。是的，顯然有，這只是價格的問題。那是特許權使用費權益，我們確實還有其他可以自由流通的特許權使用費權益可以出售。它不一定是一個焦點，但它也確實提高了對此的認識。

Perfect, I'll turn it back to the operator.

太好了，我會把它轉回給操作員。

Thank you.

謝謝。

The next question comes from Jeff Robertson of Water Tower Research. Go ahead please.

下一個問題來自 Water Tower Research 的 Jeff Robertson。請繼續。

Thank you, Tracy. You've had the 4 producing fields from cox on for roughly a year or so now, and with the 2 new ones, can you talk a little bit about how the performance on those fields is tracking versus your expectations before you made the acquisition?

謝謝你，特蕾西。大約一年左右的時間裡，你們從考克斯手中收購了 4 個生產油田，現在又收購了 2 個新油田，能否談談這些油田的表現與你們收購之前的預期相比如何？

You know what I'm going to do, I'm going to turn that over to our William Williford because he's more intimately familiar with that. Yeah.

你知道我要做什麼，我要把這個交給我們的威廉威利福德，因為他對此更熟悉。是的。

Good morning, Jeff. That's a great question. And they are definitely performing actually. We're looking at op, we've seen opportunities to increase production in some of those fields, but as when you're going in and buying stuff out of bankruptcy, there's still some operational things that we have to look at to make sure we're Able to operate as efficiently as possible. So yeah, to answer your question directly, yes, we are seeing what we expect to see plus we see an uplift potential as well.

早安，傑夫。這是一個很好的問題。他們確實在表演。我們正在考慮運營，我們已經看到了在某些領域增加產量的機會，但是當你進入並從破產中購買東西時，仍然有一些運營方面的事情我們必須考慮，以確保我們能夠盡可能高效地運營。是的，直接回答你的問題，是的，我們看到了我們期望看到的，我們也看到了提升的潛力。

Well, you are, most of the cost that you would have taken on to bring those assets up to W&T standards behind you at this point?

那麼，您現在已經承擔了使這些資產達到 W&T 標準所需的大部分成本了嗎？

No, it's always ongoing, but majority of it is behind us. As when you're trying to buy an asset, some opportunities to enhance it up to our standards, it takes a little bit more time to really understand what you're dealing with. So, we're pretty much there, probably got a little bit more left to spend to get it all the way up to our standards, but it's going in the right direction.

不，它一直在進行，但大部分已經過去了。當您嘗試購買資產時，有一些機會可以將其提升到我們的標準，需要花費更多時間才能真正了解您正在處理的事情。所以，我們基本上已經達到了目標，可能還需要花費一點點才能達到我們的標準，但一切都朝著正確的方向發展。

I, I'll elaborate on that just a little bit. I, I'll be a little bit less political. The former owner didn't spend a whole lot of money on maintenance and didn't really, in my opinion, give a damn about his personnel.

我，我會稍微詳細說明一下。我，我不會太熱衷於政治。前業主並沒有花很多錢進行維護，而且在我看來，他並不真正關心他的員工。

Tracy, then following up on the question around the financial assurance, does that free up any liquidity on your balance sheet or how you.

特蕾西，接下來是關於財務保障的問題，這是否會釋放您資產負債表上的流動性，或者您如何。

Credit facilities work and what impact does that have on how you can think about acquisitions, if any?

信貸安排有效嗎？如果有的話，這對您考慮收購有何影響？

Yeah, I mean, the, for us, the question is always, gee, whether we whether we risk more in drilling it and anytime we have the opportunity to make acquisitions as opposed to drilling, it seems to always make more sense to acquire.

是的，我的意思是，對我們來說，問題始終是，我們是否在鑽探中承擔更大的風險，並且任何時候我們有機會進行收購而不是鑽探，收購似乎總是更有意義。

There's not just operational risk on drilling; there's reserve risk as well. So, those are always things that I get concerned about I mean, there's, it, it's more exciting to drill wells and make discoveries and bring new production online, but there's usually A lot less risk with just going ahead and finding something that makes sense and meets our criteria, and we've been doing that for decades now.

鑽探不僅存在操作風險，還存在儲量風險。所以，這些始終是令我擔心的事情，我的意思是，鑽井、發現油氣並實現新的產量上線確實更令人興奮，但通常情況下，繼續前進並找到有意義且符合我們標準的東西風險要小得多，我們已經這樣做了幾十年。

So, we know the formula works, and, having said that, we've also made some really good discoveries as well. So it's always a balance for us and, but most of the time, we would opt to acquire as opposed to drill.

所以，我們知道這個公式是有效的，而且，我們也取得了一些非常好的發現。因此，對我們來說，這始終是一個平衡問題，但大多數時候，我們會選擇獲取而不是鑽探。

Thank you.

謝謝。

Thank you, sir.

謝謝您，先生。

There are no additional questions at this time. This concludes our question-and-answer session. I would like to turn the conference back over to Tracy Krohn, Chairman and CEO, for any closing remarks.

目前沒有其他問題。我們的問答環節到此結束。我想將會議交還給董事長兼執行長 Tracy Krohn，請她做最後發言。

Thank you, operator. Things rolled along pretty well this quarter. We look forward to, the remainder of the year and hopefully, we'll find some more reserves to buy, in the not-too-distant future. Thanks so much and we'll talk to you again soon.

謝謝您，接線生。本季一切進展順利。我們期待今年剩餘的時間，並希望在不久的將來我們能找到更多的儲備來購買。非常感謝，我們很快會再與您聯繫。

The conference has now concluded.

會議現已結束。

Thank you for attending today's presentation. You may now disconnect.

感謝您參加今天的演講。您現在可以斷開連線。