Q1 2023 Africa Oil Corp Earnings Call
The.
Hello everyone, my name is Nadia and I will be your conference operator today. At this time, I would like to welcome everyone to the Africa Oil First Quarter 2023 results call and webcast.
All lines have been placed on mute to prevent any background noise. After the speakers remarks, there will be the question and answer session.
If you would like to ask a question during this time, simply press star 1 1 on your telephone keypad. If you would like to withdraw your question, please press star 1 1 again.
Please note that at any time participants on the webcast can submit their questions using the Q&A box on the webcast interface.
Please note that this event is being recorded. The recording will be available for playback on the company's website.
I would now like to pass the meeting to Mr Shaheen Amini, Africa Oil's investor relations and commercial manager. Please go ahead, Mr Amini.
Thank you operator. On behalf of management, I thank you for joining us today for our first quarter 2023 results call. I'm joined today with our President and Chief Executive Officer Mr Keith Hill and our Chief Financial Officer Mr Pascal Nikader.
Kit and Pascal will present the course's highlights and the business output before we go into the Q&A session.
I would like to remind everyone that remarks made during this session are subject to overlooking statements which involve significant risk factors and assumptions and have been fully described in the company's continuous disclosure reports.
The information discussed is made as of today's date and time and Africa Oil assumes no obligation to update or revise this information to reflect new events or circumstances except as required by law.
The company's complete financial statements and related MDMA are available on the company's website and on CEDAW.
Keep the range for you, please go ahead.
Thanks everyone for dialing in. It's been another good quarter for us. We start these things out saying good news and bad news. Fortunately, we haven't seen any bad news yet. It's been mostly good news. I think the most exciting thing is that we are about drilling in both Namibia and Nigeria.
So, we don't have a lot of results from that drilling to report yet, but the fact that it's taken us some time to get off from drilling, and we are now drilling, I think is a very good achievement.
Obviously, Venus well is not only being watched by our shareholders, but by the whole world. And I think it's probably one of the top wells being drilled in the world this year. So I think that's getting a lot of buzz around it. If people are calling in to try to find if we are going to give any updates on it that isn't in public.
It took us about a year longer than we wanted, but it's now up and going and we're hoping to see by the end of the next quarter, see some results of that campaign. you
From a financial standpoint, we did declare and pay our dividend last quarter. So this means in just over a year, we've returned more than $80 million to shareholders through dividends and share buybacks.
And we will be looking to continue that share of our back going forward. Blackout periods from Venus drilling permitted.
As far as the where our balance sheet is, again we're almost zero debt, consolidated net debt of only $3.5 million. When you look at the cash we have in the bank of $158 million versus the net debt position we've got at prime of $161 million. Again, very good standing on the balance sheet.
And then we are, of course, the main difference between our money in the bank last quarter and this quarter is we have invested another $31 million in the Impact Drilling Program. We're going to be paying that in two trenches and we'll ultimately increase our interest slightly to 31.1%.
Again, Venus is probably the most exciting well I've ever drilled. I think if you read all of the things coming in from Upstream Magazine, Orange Basin probably stands just behind Guyana as probably the hottest exploration play on Earth. Again, I will leave it to the operator.
I think everybody's very excited about this block. I think you don't find prospects this size very often. So we are drilling an appraisal well 12 kilometers to the north, and we hope to see the results of that within the next 30 to 60 days. That's being drilled by the Tungsten Explorer. We've got a second raid coming, the Deep Sea Mirror Well.
It should be in Namibia in the next few days and it will undertake a testing program. I think it's still to be determined whether that test would be on the original well or this appraisal well, the 1A. But I think that's one of the critical missing pieces is a test rate. You may have seen in Upstream Magazine there's some reports from the nearby Shell Graph Well that...
drilling program and that is the large westerly extension of Venus which I think will also be a very big catalyst and a very important well for us to understand how this accumulation is developing.
In Nigeria, again, it took us about a year longer than we were hoping to get our rig on station, but we've got it on there now, and they're doing a drilling program of up to nine wells on Agena and Akko. It's a combination of production wells and injection wells, and by next quarter, we should be able to report where we are on the drilling of those as well as...
what the results of those are in the daily production.
So we're also shooting a 4D seismic program over at DINA to get a better idea of how we've been draining the reservoir so far to guide us in future production miles.
But so far the guidance looks good. We're within the upper part of the guidance range and we are quite confident that if the wells that were drilling at Edgina come in as expected that we'll be able to stay within that guidance or possibly on the upper edge of that guidance.
We still are working on pre-OA. I think people have seen questions already about people asking about the license extension. I think pre-OA, it's important to get the license extension, but we are moving forward on that as we speak. So, you may have seen reports in the press that the license extension is not a legal license.
Most of the issues surrounding the extension have been agreed, which appears to be the case. But I think obviously, working in Africa or as I say, working anywhere in the oil industry, until we have everything buttoned up, we're not in a position to say where we are on that license extension. I think we're confident that there's a very high chance that's gonna be done. Now we're pretty confident in the sense that its going to be aut Galileans who can be burned to death after they have not signed theavid. The number in big case that isGabriel is mcgonough bed that
possibly even before the end of this month.
Again, on guidance, we're in the first quarter in the upper end of that range and I think we're feeling pretty comfortable that both on the working interest and entitlement production we will be able to stay there. It will require some of the wells that we're drilling in Ndina to help us stay in that upper end of the range.
Particularly Agbomley is performing very well this year, so I think we're fairly confident that we're going to be able to deliver it as we stated.
So I'll turn over to Pascal now and let him go through our oil sales. I think we've had a fairly revolutionary change since we...
put our trading mechanism in place, so I'll turn over to you Pascal. Thank you, Keith. No, indeed I think it's been another good quarter in terms of average sale prices. So this quarter we sold on average 3.5 dollars a barrel.
which is almost equal to the point I've actually got for the quarter. And as he said, in the last three quarters we've seen significant improvement in the sales price we are getting thanks to the new marketing strategy. And before Q2 2022 we were basically selling all our oil forward a few months before the actual carbon date, so when the oil price was increasing of course.
So, for the first period we also sold two car roads at $89 a barrel on average.
And one more cargo is due to the tools for Q2 and going forward in the second half of the year we have six carbo plan for update which are not sold yet and but they have this average trigger price of $66 about so unless
the actual spot price goes below the trigger, these garbos will be sold at the spot. So next slide is on the capital expenditures, we've ensured 10 million dollars of capital expenditures, our share mainly at the prime level of course.
And we have a guidance between 80 to 100 million dollars for 2023, which reflects the activity we are incurring in crime at the moment in this aging and aging campaign. And this is to be compared to 24 million dollars last year, so a pretty busy year in terms of capital expenditures, which is good news.
So in terms of financials, of course you will see this red bar in Q4 2022 which was the actual impairment we took on Kenya. We had one impairment of 170 a year on our Kenya asset. PRIME has also focused on the Convenience Act 2011 frowning on
an impairment due to the edge in our reserve downgrade of 40 million dollars per share. So our whole quarter is positive, we have a 22 million dollar net income, which is comparable to the other quarters without impairments. And of course the main contributor for this quarter profit.
various lower production and we're all quite secure but we still have very stronger EBITDAX and cash flow EBITDAX at 113 million dollars for the quarter and almost 60 million dollars of cash flow from operations.
Prime has ended up the quarter with almost 200 million dollars of cash on the balance sheet net worth and 360 million dollars of debt in that tool as well.
So translating this into net debt position, I think it's important to see how this has improved over the past three years. We have completed the acquisition of Prime in June 2021, where at that time you will remember that we had a 250 million dollar debt at the African level plus the Prime RDL.
Since we've booked $300 billion base at that prime level, we are continuing to repay the consistency of the LBS activity. We are now, since Q2 2022, at an almost zero consolidated net position, i.e. 50% of prime press.
AfricaO's cash on the balance sheet. So that's very good news and of course we are waiting for this license to be extended in Nigeria in order to complete the refund in both the prime RPS facility and BXF and also the corporate facility we have at AfricaO's level which is still on the road at the moment.
Yeah, I think in combination with this, I think we're quite proud of the significant decrease in flaring we've had. I think if you look at this chart, maybe concentrate a little bit on the dark blue bars for a moment, but I think the dark grey on this is fine.
That's the egg bombing field. You can see before we bought it, it was firing almost 100 million cubic feet a day. Since we bought it, we've actually been very vocal with the operator trying to bring this down. I think we're finally seeing the results of that. You can see between 21 and 22, there was a significant increase in the number of eggs
off-take requirements and associated with some of the drilling that we've been doing. So we don't expect either ACBO or DINA to have recurring flaring. So the one that's always been our troublesome one was a bombing. I think the operator, Chevron, has that under control now.
So I think again we are a catalyst risk company. The biggest catalyst we've got is Venus. We will be putting results out alongside the operator. I think the timing of those and the amount of release is still to be determined. I think we see a very catalyst-rich drilling environment.
which has a chance to really increase the volume significantly if it's successful.
We are still looking at doing strategic assets, acquiring production assets, very specific in what we're looking for. We're looking for producing assets that have current cash flow and we'll take advantage of what we still think of as a very buoyant oil market for the next 3 to 5 years.
There still are a number of producing assets that are for sale and we've been participating in some of these processes, but we will be careful about making sure we pay the right price for those, but also that we compare these acquisitions with returning money to our shareholders primarily in the form of buybacks.
Again, OML 130, I think we're all feeling quite much more comfortable than we did, say, a quarter ago that we've got all the things resolved.
Having been in this business for some years until we actually have everything finished, I think I don't make any promises. But I think we're getting more and more confident that we'll have something done, hopefully, by the end of this month.
And when that happens, then we'll be able to refinance the RBL and PXF facilities both at the prime level and at the African corporate level.
We still are working on the farm model block 3B4B. You also can follow me, we picked up two new blocks in Equatorial Guinea. We're out looking for partners on those as well. So I think our goal is to have a partner secured on both of those blocks by the end of the year with 3B4B possibly coming first because there's obviously a lot of...
industry interest of everything that's been going on in the Orange Basin.
So, with that, I will leave you to carefully read the reader advisory and the forward-looking statements.
And so say thank you again for dialing in to express interest in the company and you know I do feel we're in a very good spot right now And I think it's going to be very interesting summer as we work through not only the Venus drilling the farmhouse But also hopefully get license extension which will free up a lot of cash at the prime level
Okay, thank you, Keith. Now I'll give a reminder to participants and we'll be ready for the Q&A session. Thank you so much. Dear participants, as a reminder, if you wish to ask a question over the phone, please press star 11 on your telephone and wait for your name to be announced. To withdraw your question, please press star 11 again. Alternatively, you can submit your questions via the webcast.
Please, then, Bobo, we'll compile the Q&A. We'll take a few moments.
Now we're going to take our first question.
And the question comes from the land of James Hosea from Barclays. Your line is open, please ask your question.
Hi there, I'm thanks to the call. I guess let's start with Namibia and I was wondering what would you consider to be a high flow rate for venous and just what are the capacity constraints in the rig that will limit your testing capacity for that?
James, I was always happy to talk to you. You always seem to be the first one on the line, so I appreciate your eagerness. Yeah, I think I'm getting into that realm of I think that's something the operator should be talking about as opposed to myself. I mean, I think obviously the higher the flow rate the better. You'll see that –
The descriptive thing of flowing like a freight train in an upstream magazine on the graph well, I think we haven't seen any hard numbers out of that. The flow rates will be very instrumental in the economics. But again, I think I would defer to the operator to talk about the upcoming program and the rates. Okay. I can't even comment on what the testing capacity limits are.
campaign continuing in Libya.
Well, we believe so we're just coming out of our, obviously our quarterly blackout. We've been in blackout for the release of our financials, but we anticipate that we'll be going back into blackout as we start getting results out of meanness. We believe there will be breaks in that blackout because the, you know, as well results are announced, as test results are announced.
I think there will be the ability to cleanse the market. And we do look at taking advantage of that and trying to recommence the live acts. We bought about half of the shares back that we can under the 10% program. And we still have significant budget to continue that. But I think we're being selective of when we do that. And we're being constrained by it.
when we can restart the process with the blackout conditions.
can restart the process with the blackout conditions.
Thank you. Please press star 11 on your telephone keypad.
Now we're going to take our next question. And the question comes from the land of Theodor Sven Nielsen from SB1 Markets. Your line is open, please ask a question.
Good afternoon gentlemen, thanks for taking my questions. I have a few questions. The first one is just on the 3B, 4B farm down process. Did you say that you expected to conclude that during the year and what kind of structure will that be? I should expect the farm down to be only carrier.
And my last question, that is on potentially new investments in Africa energy and eco-Atlantic. When do you expect to inject more equity into those entities? Thanks. The last question is, do you expect to filter more into the Bookangled
Okay, well maybe taking them...
In reverse order, I would say the equity requirements of both African Energy and Echo Atlantic are fairly small this year. So I think we will be standing in a corner in both of those companies to make sure that they continue on. Obviously patience has been required in African Energy but we really like the asset we think.
as well, which I think won't be addressed until we actually find a way to monetize the existing discoveries. But you know we do like to block a lot. So of course Eko you know has not only a nice portfolio that's with us and 3B4B, they also have some blocks in northern Namibia which seems to be heating up. There's a good chance NNP will be drilling a weld up there shortly, which could change the dynamic up there. And of course they've got blocks on either side of the golden trend in Guyana.
So I think we're quite happy to support those companies and move forward with them.
As far as the dividend from Prime, I think a lot of that is tied into the license extension. As you can see from Pascal's presentation, it's throwing off a lot of cash, and the real question is, do we use that cash to pay dividends or do we use that cash to pay down debt? Neither one of those is a bad thing, but I think getting dividends is our preference.
I think once license extension is obtained and we refinance the RDL at the prime level, we'll have a lot more cash to free up in dividends. But I think right now we're kind of keeping cash close to our best to make sure that we can meet our obligations for our debt repayment in the event we don't get license extension right now. The first one was it was on the street before we found that. That's one of them. Yeah, I think.
Again, the reason I say that may happen faster than the Equatorial Guinea farmhouse is just because of all the catalysts that are coming up. So I think you know with the shell results kind of partially coming up, it's hopefully coming up in more detail, not only in the graph but the junk room now.
With our results coming out on Venus, you may have seen the press that our friends at GALP have contracted a rig to come drill to the north of us. I think this is becoming the hottest basin besides probably Guyana on Earth. I think from the activity we've had in the data room, I think there's a lot of...
super majors and mid-sized companies that don't want to be shut out of that process. So I believe we will have a deal to be done in 3B4B. I think we're...
We're fairly confident. We can close that by the middle, but by the end of the summer You also have an extension of that question whether it's going to be carrying little Chinese cash for the series Will be con comments on that well I will take the best deal we can get but what we've asked partners is to achieve essentially pay back our back costs
in cash, but more importantly to carry us forward on one to two exploration wells.
Okay thanks, just on 3B, 4B again, how much do you expect from download? Do you also want to give away the operatorship?
Yeah, again, we're talking with several different companies that have different objectives. Obviously, super majors love to operate and for the right price and the right deal, we would be willing to give up operatorship. I think as far as giving up interest, I think it's pretty much proportional. We're not that interested in giving up too much interest. We only have 20%, so I don't think we would go below 15%.
I think our two partners have other criteria, particularly the recurcure, the largest interest holder, I think, you know, we're going to give up a bigger number. So I think if we end up as a group giving up closer to minus 50%, we're personally between us, I think that's kind of the goal.
Okay, understood. Thanks.
Okay, understood. Thanks. Thank you.
There are no further questions at this moment over the phone and I would like now to hand the conference over to Mr Amini for any written questions. Thank you very much Nadia. Yes, we do have a number of questions from the webcast facility. I think it's time to turn the attention to Pascal.
One question is actually kind of a general, a lot of banks are pulling out of oil and gas space.
What are your views and what are the indications for PRIME and the current syndicates? Well it's clear that a surer defendant has announced that they were reducing their exposure to a land gas to be focused on the inherent condition.
use what are the indications for PRIME and the current syndicates? Well it's clear that a few of the vendors have announced that they were reducing their exposure to the land gas to be focused on the energy transition. The fact is that PRIME has...
successfully refinanced their anything that is subject to license renewal of course and we did the same and Most banks have stayed in the syndicate Even some banks were announced that they would reduce their exposure. So I think It's an endorsement on the credit of the asset of prime and the business model
And equally for us, we managed to double the size of our corporate facility, which at the moment is still unknown. And all our banks, except one, have decided to increase the exposure to the company. So I think it's a matter of selecting the right banks going forward, but there is still very strong appetite, especially from South Africa today.
African failures for something like it.
And I think just as a general comment we should highlight that Pascal you were a reserve based lender, thank you yourself, for many years. Which has been good people. Yes, right people. That's extremely successful for us. You have the BGGs on your part. I was very good to have that. Know how and network.
Just following on from the RBL, there's also one about if we do get the license for the OMB 130, can you make any comments about what the refinancing could look like in terms of a console or any particular features? Yeah, the refinancing would simply refinance the existing RBL facility and the bank app.
So in total it took around 1 billion dollars at crime level so 500 million dollars net worth that will be a simple RDR, refinancing and operation you know to be everything one except of course that the maternity date would be going back for years again.
Okay, and there's one question on impact which I'm going to put to you as well Pascal as your director I know you can't answer this question, but perhaps you can use it Thank you for asking me I want to use that as a launchpad into getting your views about the recent impact fundraising
So the question is that the article will obviously slightly increase interest. So some shareholders didn't participate. The question is who didn't participate. Now, I don't know if you can answer that. Of course, I can't in any shareholder, but you can imagine that the impact on the shareholders is made of large institutions like...
any comments on the success of the fundraising and the support from the major shareholders? Yeah, all the major shareholders in that regard. So it's probably very well. Excellent.
Keep it compact to your some technical questions. There's a number on 1 of 1 30 in filtering which you've already touched on and And I suppose people go into a lot of detail and as you said so this we've got a defensive to the operations or sound
But in terms of I mean we can talk about when the 130 any comments on the 127 But then we have that gone in fields. Yeah, I've actually been producing quite well It's been above expectations and again, what I'm really happy about is the reliability of the facilities has gone up from my mid 80s to
mid 90s. So I think Chevron has done a very good job of kind of turning around some operational issues they had with it and turning around the flaring. The flaring, like last week, there was almost no flaring. So I think there's been a few initiatives that they've done to help that. But again, at Gombe we look to be drilling some infill wells. We need to shoot some 40 seismic again.
see where the oil is being drained before we position those wells. But I think it was, it's being considered on the budget for late 24, early 25, but we really need to shoot and get the results of that 40 seismic first. Right now I think we're quite happy with the agnome and the way it's performing.
And there's another question on the book what we actually get this question on every cool course record about our current thinking on the portfolio companies and you've covered address that through the question of a children's
But in terms of looking at the African Oil Organization in the past you mentioned that we may be looking at options for streamline. Do you have any comment? At the last quarterly call we talked about the option of maybe spinning out some of the exploration assets into a separate vehicle. We have other options that we're considering now so I don't think anything has been decided.
But I think we do realize that most people have a difficult time trying to value our investment in these portfolio companies. So I think I can say a couple of things. We're not going to be doing portfolio company investment again. I think anything we do on exploration going forward will be a direct investment. I think it was a thing that we did at the time because it was the only quick way we could get into some plays. We thought we're pretty hot. So I want to take a quick break and call back in just a few minutes. Thanks very much. 2017km sitting down. Masking change somewhere around P Pr Pro come in the creative room. This isistani really?
I think that it actually worked pretty well. We were able to get ourselves into the Venus Project. We were able to get ourselves in the 3B, 4B project through ECHO. We were able to get into Guyana. We drilled five wells in Guyana. We found two nice accumulations. They turned out to be a little heavier out than we might.
We still think there's a lot of potential in Ghana. You can't be right next to 15 billion barrels of oil in such a way that same petroleum system and not have cost activity. So we are working with our partners and with the operators to try to come up with a plan to rejuvenate those two blocks. So the point is taken and I think you know I would say by the end of next quarter.
We hope to have a resolution to that but nothing has been decided yet. Yes, thank you. Now here's a question for you Keith. This is very close to your heart. Your views on short-term and long-term, well medium-term oil price. Short-term is hard because it's driven by market sentiment. You can see, you know, when...
two US banks fell, you know, the market gets into panic and what if the price suffers? You know, when you look at inflation rates and people get nervous about demand, it suffers. But those are both little short-term blips in my opinion. You look at the long-term supply-demand function and you look at how long this transition is going to take us.
We are going to be at or around 100 million barrels a day of demand in 2040. There's just physically no way around it. And right now, it's very hard to envision that we've got this so far to meet that demand. The shale industry in the United States is really falling off. The big boys are still playing in the Permian, but a lot of the production of the littler guys is...
you can't finance it anymore. I mean some of these patients are cutting old and tired. So I am still the ultimate oil bull. I think in the next five to ten years we're in a good, very good runway. I think in the next three to five years there's zero chance we can't be a hundred dollar oil for significant amounts of time. So that's why we're, you know, we're still looking at producing assets. We actually see this little downturn right now as kind of an opportunity.
Okay, well that's the geologist's perspective. We have the bank's perspective on that scale. I think we need to prepare of course for difficult scenarios. I think we are ready to go forward. So whatever the actual realization of the old life is, we will be in a good position. I'm also concerned about the future of the bank.
Very good. One question back to Linas. Do you still expect to...
some impacts after this current campaign in 2023? Well, I think that's an impact question, but I think impact's been very forthcoming with the market that they are keen to move forward with those fatal ones, at some point when they think they realize enough value.
think the timing and the process I will lead to impact the comment that you know we do we do see that you know keeping up with a multi-billion dollar deep water development might be hard for people as well as the path of coral and impact.
We've had good examples in the past. I think Kenya was one example where we maybe stayed a little longer than we should have. I think if a good offer comes up, I think we would be supportive of, in fact, selling sooner than later. Have fun with that.
I don't know if you have any comments on that question or not. That's good. Very good.
There are a bunch of questions on Kenya. Anything you can say? No, I mean we're still working hard to get a partner. We had a little setback which one of the two partners we thought we were pretty close with was pulled out, but you know the operator Tullow is very actively engaged in replacing that. We still think it's a great project. We still think it's going to...
Solve a lot of energy supply problems for Kenya and East Africa. So I think you know, it's a challenging prospect Project, you know, we've been here for 13 years and you know, we we still think it's a good project So I can tell you our role here CEO of Tullow is very focused on getting a solution to this project to bring into monetization
it's really all about getting a strategic partner. Until we have a strategic partner we really can't move forward. So that's the real focus. We aren't doing things in the background. We've done a lot of work on the land, water, fiscal regimes, all of those things I think we're making progress on.
Until we get a strategic partner lined up, I'm not sure that we can move forward on it.
Okay, thank you for that. Right, here's a question I, with all due respect to the person who put it to us, the question is when are you going to get more producing assets taking a long time? I actually think that question should be changed.
competition, but there is competition. There is people, you know, we are focused pretty much on West Africa and pretty much offshore. I think there are other people out there that are focusing on the same thing. So I think our opportunities will come. I think we've come very close on a couple of opportunities, but we're not going to overpay.
when I said before, we are always going to look and see if buying our own shares is a better bargain than buying and producing asset.
what I said before, we are always going to look and see if buying our own shares is a better bargain than buying a producing asset. So-
Trust me, this is laser focused. I think it's in our information circuit on how much of our compensation is focused on getting going out and getting back into asset and buying things. So the board and management are very focused on this, but we're not going to go out and just buy the wrong thing just to grow production models for its own sake.
Pascal, there's a question on the genome-at-gore differentials and what is this, what was it before? And I think it's not right to kind of give numbers out because that's, there hasn't been a lot of movements, right? I don't think you have any views on that. My understanding is that genes are still doing well. It's kind of...
as a premium and ask for in-line with brands. Do you think in terms of long-term those are the right functions if people are looking to update the models? Yeah, I think we've seen a significant improvement in the premium for ADina. There's a lot of appetite in the market for ADina, which is good. So I think we can expect the improvements on the space table.
going forward and yeah, probably historically it's been around for a long time. But yeah, I'm expecting the age of that preamble to 20 years in a long time. Yeah, I think we have also recorded last year that was phenomenal. Yes, it was what, about 10, 11,000 people right? Yes. But that was kind of, you shouldn't see that as a norm. We've seen a big range on the Zina.
grantees because of the age of brain loss. On a much harder note there's one comment that it would be good to have a video of it for the Q&A session and my response, personal response is I'm cleaning the hallways, I'm losing her. It will not be a video of the presentation but bear that in mind maybe for future events we can have this have a video of the...
Pascale and Keith as well.
This is a good question. Would AOI consider acquiring all of the impacts? ?
this is a good question, would AY consider acquiring all of impacts? No comment.
Here's a question about shared structure saying well your number of issues and sanctions has actually gone up. Is this because insiders are increasing?
The holdings and I suppose with the PSU Most I bought all the directors again. That's a minus and an executive team have decided to Basically take stock. So, you know, you have the option of taking casual stock, but everyone's wants the equity upside, right? Yeah, I would say in general the appetite for equity upside is much greater.
and think over it. But if you look at my holdings over the last three years, you'll see a pretty market increase.
Very good. I know there's other questions I'm seeing here and there's quite a few of them are just repetitions of others and so I think this is a good time, good point to wrap this up. I'm going to keep a few of any final comments. Pascal?
Obviously, it was going to be a very exciting summer. These are some of the best wells we've ever drilled in Venus. I'm feeling pretty good that we're going to get some farmhouse done and we're going to get license extension and that's going to free up a lot of cash to pay dividends to us and hopefully ultimately end up in the shareholders pockets through either.
buyback or increased dividends due to other projects we may get into. So I think we're in very good shape and I do think I'm still bullish about our market. And I realize the transition is moving forward, but we are part of that. If you look at our metrics, we are one of the best performing oil companies in terms of transition metrics, but we're also very dedicated to
net zero and a carbon neutral strategy moving forward.
What's going nothing? I just think that's a thing out 2023 is very looking forward to Well, thank you both and Nadia over to you to wrap this session up
Thank you so much. That does conclude our conference for today. Thank you for participating. You might now all disconnect the speakers please stand by.
You
I'll see you next time.