Q4 2020 CorEnergy Infrastructure Trust Inc Earnings Call

Yes.

Hello, and welcome to CT Energy's conference call to discuss the fourth quarter and full year 'twenty 'twenty results. At this time all participants are in a listen only mode. A question and answer session will follow the final presentation. If anyone should require operator assistance. During the conference. Please press star zero on your telephone keypad. Please note. This conference is being.

Accordingly.

I would now like to turn the call over to Matt Kreps Investor Relations require energy. Please go ahead.

Yeah.

Thank you everyone for joining today's core energy infrastructure Trust Conference call with me today are Dave Schulte CEO John Greer.

Robert Walker.

For those of you joining by telephone yesterday after the market close we published a press release announcing the year end results and our outlook for Q on Q1, following the acquisition on countries next year.

So how was the slide deck to accompany today's call, which is available online at the Investor Relations section of core energy stocks free.

You can also access a webcast replay on site typically have to within a couple of hours on the wife calls and I'd like to remind everyone that the statements made during the course of this presentation. The loss share with historical may be forward looking statements and are subject to the safe Harbor protection available under the applicable securities laws.

Important factors that could cause actual results to differ materially from those in the forward looking statements are discussed in our filings with the SEC.

These documents are available on the Investor Relations section of our website, we do not update our forward looking statements.

During this call we will make reference to certain forward looking non-GAAP metrics, which we reconcile the subsequent frontlines as part of our results reported.

We will make additional disclosures on filings with the SEC, including but not limited to 8-K file perspective, the Crimson transaction and a proxy statement.

We encourage all of you to review our complete disclosure risk factors GAAP numbers and those non-GAAP metrics with the related reconciliation.

With that I would like to now turn the call over to Dave Schulte. Please go ahead, hey, thanks, everyone for participating today, while our prepared remarks will briefly review aspects of the 2020 financial year. We believe the past is no longer an appropriate indicator of our opportunities going forward.

Following the strategic transactions with Crimson, we now have a much more stable cash flow model from our infrastructure assets.

Having stabilized our dividend with more reliable earnings we believe the execution of our business plan will generate long term growth opportunities for our stockholders.

And during 2020, the global COVID-19, pandemic, creating an unprecedented disruption energy demand simultaneously with a global supply glut.

Our company suffered greatly in two of our four legacy tenants stopped honoring their leases.

<unk> had survived prior disruptions in 2016.

We subsequently exited both of those negatively impacted assets.

I should note that through that disruption, our Mo gas at Omega assets performed steadily reflecting the regulated nature and more diverse customer base.

The sustained consistent performance on those assets characterizes our goal in owning infrastructure assets to begin with.

Long useful lives stable cash flows limited commodity price sensitivity at least on a direct basis and reasonable growth opportunities.

Well no asset is completely immune to major economic shifts such as we experienced it became increasingly clear that certain characteristics of our assets.

For more sustainable and predictable returns in both up and down cycles.

These challenges were only navigable due to of course liquidity profile coming into 2020, our strategy of relatively low leverage manageable debt maturities.

On the cash on our balance sheet gave us time to focus on how to best deploy capital into new and better assets with multiple credit worthy customers and more than one possible use.

I wanted to pay particular, thanks to the dedicated team at core to work through these challenging circumstances, including many days and weeks of negative news, while maintaining the conviction there.

We would not just manage through the difficulties, but emerge stronger and better for it the.

The Crimson team also worked hard in 2020, completing our spin off of California to us and expressing their belief in our combination by rolling over equity into core securities.

I believe very much that their hard work has paid off and together we have a bright future ahead.

Moving to slide five the resiliency and dedication to enable us to spend the most of the second half of 2020 heavily engaged in the acquisition diligence, culminating in the strategic transactions with Crimson Midstream announced on February 4th.

The Crimson, California acquisition also created the first real estate investment trust capable of conducting both energy infrastructure operations or leasing through the use of our private letter ruling.

We believe the Crimson provides attractive benefits toward our goal of stable dividends with growth opportunities. There are approximately 2000 miles of pipeline, serving a diverse group of well known credit worthy shippers. The pipelines can be used in many ways and to transport a range of products.

Can be run in either direction expanding.