Q1 2024 Ecopetrol SA Earnings Call
Acting C of O.
Mr. Robb: Thank you for your attention Mr. Robb you may begin your conference.
Robb: Good morning, everyone. Welcome to the first quarter of 2024 earnings call a quarter in which we are moving forward on the path of growth. Thanks to the collective work on import of all our employees and partners. The results show that we are still much.
Robb: <unk> seen the opportunities in our traditional business. We continued to achieve excellent operational figures. We closed the first quarter with a production of 700 party won some borrowings of oil equivalent per day transported volume of 1 million 118.
Robb: <unk> thousand barrels per day, and refining loads of 428000 barrels per day, when and high operational availability of our refineries in 96% reaching levels comparable with the best refineries in Latin America during the quarter.
Robb: We have announced the commercial viability of the <unk> gas field in the Cordova Department, adding approximately $6 7 million.
Robb: Of the gas and the signing of a gas exploration agreement in peer the Montana pit with Paris, This milestone as trade and our commitment to the country's energy securities.
Robb: These achievements are complemented by the outstanding commercial strategy, highlighting our subsidiary in Houston, Ecopetrol U S trading which started operations in October 2023, we start commercialization of 16 7 million barrels of crude.
Robb: <unk> generating an EBITDA of 37 $1 million and a net profit of $28 5 million in the first quarter of 2020 for 108, 5% above the plan for the period, we were able to phase that in.
Robb: Nino phenomenon with resilience implementing planning optimization and sleepiness strategy throughout the operations and the processes. Examples include we accelerated and maintenance at Copia, what diesel timely delivery to the power plants.
Robb: 80% water reuse rate in our operations, while moving to the next slide.
Robb: Our growing programs translate into solid financial figures with competitive profitability showing on EBITDA margins in line with the average of the last eight years in this way.
Robb: Revenues of 31.3 trillion versus EBITDA of 14.2 trillion pesos net profit of 4.0 Trillium presses on road sheet of 11% in line with our annual.
Robb: Target there.
Robb: The main impacts under results compared to the first quarter of 2023, <unk>, mainly due to exogenous variables over the past year. The exchange rate dropped by 845 basis affecting their exploration of variables in pesos.
Robb: <unk> a percent of the variation in EBITDA when analyzing the figures in dollars for the quarter, we observed financial results at similar levels compared to the first quarter of 2023 audited by the variables affecting the results our increased cost due to the <unk>.
Robb: New phenomenon inflationary pressures and the fall in product differentials as a result of the market oversupply.
Robb: Efficient management of the accounts receivable with the fuel prices stabilization pump a companion by adjustment to gasoline prices to lowest us to reduce the accumulation by 72% compared to the first quarter of 2023, ensuring lower working capital.
Robb: El pressures product company. Additionally, on April 1st we received the transfer of 780 trillion pesos corresponding to the economy for the first quarter of 2023, highlighting the nations commitment to pick back pain minutes I want to highlight the suits.
Robb: This full closure of the legal process of the arbitration award of the Cartagena refinery after seven years of product on a part in which we protect the interest and reputation of the company.
Robb: We have already received the corresponding compensation I want to give a special recognition to the Cartagena refinery and its.
Robb: The entire team for their constant work and commitment to successfully completing this process with <unk>.
Robb: Maintain competitiveness in returns for our shareholders at the general shareholders meeting.
Robb: <unk> distribution of 67% of the appropriate for 2023 was approved correspondent to 312 peso expenditure to be paid in two installments in 2021, which has already been paid to minority shareholders in April. Additionally.
Robb: Highlights the annual dividend yield of 14%, which continues to be highly competitive in the industry moving to the next slide.
Robb: Operational achievements, Joan go along with environmental social and governance milestone that support the godfather of four months of traditional business on the path towards energy.
Robb: Energy transition in Denver on my INTL field on in line with our ambition to achieve net zero emissions by 2050 and Decarbonize our operations in the first quarter of the year, we achieved a reduction of 50000 tons of field <unk> volumes of direct emissions.
Robb: Scopes, one and two accumulating a reduction of one point.
Robb: 4 million tons of Cotwo equivalent from our operation we used to give you an idea is equivalent to the annual electricity consumption of 8 million Colombian coal haulage.
Robb: We also manage responsibly and efficiently awarded that we use for our operations in the quarter. We achieved the use of $59 6 million cubic meters is value is equivalent to the quarterly domestic demand up 5.4.
Robb: Million Colombians inline with Diebold, we highlight the launch of the new seat Cola economic model, we have a production and construction system that promotes efficient and sustainable management throughout the product life cycle in our value chain.
Robb: And we focus our effort on GB and climate change water biodiversity and loan other calls on the renewable energy incorporation from we announced the inauguration of the Cartagena solar firm, making each third the purchase refinery in Latin.
Robb: America with a solar power plant in the social Pete during their fixed quarter of the year 65, 8 billion pesos or executives in social environmental emulation cheap investments.
Robb: We produce or develop through the.
Robb: Total works mechanisms for a value of 451 6 billion pesos signs the beginning of the mechanism.
Robb: Through the social gas line, we achieved the connection of $80. Some 52 harms to gas fueled net towards accumulating a total of 43971 connection since 2019, thus contributing to the expansion of access to extend shelf poorly.
Robb: Service for the people living in the communities, where we operate additionally, and in line with our commitment with these communities will generate more than 73000 jobs through our contractor companies hiring our own 85% of local labor.
Robb: And generating 23% inclusive jumps.
Robb: Date update by loans reflect our commitment to gender diversity and adequate preparations.
Robb: <unk> of our leaders ensuring that at least 30% of the board of directors are women and requiring more than 12 years of experience for members of these governing body, ensuring the presence of experts from diverse diverse.
Robb: The recent change in the composition of Ecopetrol boards of directors do not imply modifications or change in the implementation of the Ecopetrol group 2040, <unk> strategy by eight cell like.
Robb: <unk> the corporate governance model remains valid.
Robb: To date no chain proposals have been present by Ecopetrol administration.
Robb: Finally at the end of March we observed the normal change in senior management, among which I want to highlight that 73% of the new Vice presidents come from internal talent in the Ecopetrol group in this back to the line of cessation, reflecting our commitment to.
Robb: Development and recognition of talent and high performance within our organization.
Robb: Finally on the science technology, and innovation front I highlight that within the framework of Ecopetrol Colombian Navy agreement the participation in the tent Antarctic desperation conclude where measurements of gases and sampling of a particular date.
Robb: <unk>, where carryout the data of which will serve in the reserves offshore energy generation from renewable sources now I give the floor to Alberto who will.
Alberto: Talk to us about the hydrocarbons line not without first thanking him for his valuable management during more than seven years in the Ecopetrol group his contribution to the achievements race were fundamental for the consolidation of the strategy Ecopetrol, which is here.
Alberto: <unk> much success in his new challenges.
Robb: File Guzman current precedent of hopeful we'll take cover as executive Vice President of May 11, 2020, we will come to Rafael has been precedent of the subsidiary for more than five years.
Robb: Costs were around 14 years of experience in the Ecopetrol group.
Robb: I'll bet.
Speaker Change: Thank you Ricardo.
Speaker Change: Highlight the advances in the exploratory campaign, allowing us to progress discovered resources into contingent resources and reserves.
Rafael: I would like to mention that following the commerciality of that Vascepa gas field, 100% operated by Alcoa located in the department of corridor, consisting of the producing wells are a separate one sidetrack a receptor three our shipper north of one and probably in the one that showed that initial production between five to 10 million cube.
Rafael: Per day already available in the local market and is expected to reach a production between 20 and 30 million cubic feet per day by 2026, we continue pursuing the commerciality of the exploratory success of that eight well drilled in 2023 and the channels Fort Hills.
Robb: By our partner products with a 50% participation the well confirmed the presence of light crude of 32 API degrees in the catch up that formation and condensate gas in the ordinary formation with a gross production of approximately 4573.
Robb: <unk> barrels of oil per day, and seven 5 million cubic feet per day of gas as of the end of April. Additionally, I would highlight the agreement with our partner products resources to explore new sources of domestic gas on light crude in the Montana architectural appeal the agreement in <unk>.
Robb: <unk> the <unk> for one general 16, one Janice 121, and CDB blocks with a 50% participation for each party as well as the option to jointly participate in two additional blocks with this alliance both companies expand their exploratory portfolio.
Robb: Work together to reactivate exploratory aaas expecting to increase gas supply in the medium term regarding offshore exploration activity progress has been made in the maturation of the <unk> two appraisal well, which is expected to start drilling by the end of this month in partnership with Petrobras.
Robb: As operator.
Robb: We also continue to make progress in our structure and the business case for the development of the Gorgon and clouds cause discoveries, let's move on to the next slide pace.
Robb: During the first quarter of 2020 for their capital group achieved a production of 741000 barrels of oil equivalent per day, increasing by 22000 barrels of oil equivalent per day compared to the same period of the previous year, maintaining outstanding results even on their security issues on blockades.
Robb: In some territories, which impacted production by 7500 barrels of oil equivalent per day. These results were leveraged by the increasing production from our subsidiaries, mainly Permian as well as positive results in CPO nine and the contribution of secondary <unk>.
Robb: Tertiary recovery through water injection, we highlight the successful execution of the scheduled turnaround of their copy our plant in January which improved reliability and integrity. The plant maintenance was executed in a shorter time with less production losses, and more flaring reduction compared to the plan.
Robb: Thanks to operational discipline and the use of equipment with a state of the art technologies, the higher production level during the first quarter triggers that our projections for the year increases to a range between 730 735000 barrels of oil equivalent per day.
Robb: In line with our ESG strategy. It is important to highlight that 93% of the whatever required to operate in the upstream segment came from the reuse of production water, thus reducing dependence on water resources, let's go to the next slide please.
Robb: Guardian, our activities in the Permian Basin 25, new wells were drilled during the first quarter of 2020 for reaching a production of 84600 barrels of oil equivalent per day for Ecopetrol before royalties, which represent 11% of the group's production.
Robb: We also highlight the strong financial results of Ecopetrol Permian in the first quarter of 2024, we achieved an EBITDA of $229 million and an EBITDA margin of 80% next.
Robb: Next slide please.
Robb: Oxford segment contributed 54% of the group's EBITDA been a profitable.
Robb: <unk> and sustainable segment that Leverages, the energy transition the EBITDA per barrel increased by 4%, reaching $29 $2 per barrel, mainly due to higher production levels, better crude basket prices and cost efficiencies, which partially offset the exogenous effects such as inflation.
Robb: Higher exchange rate and the El Nino phenomenon on the other hand, the lifting cost was $12 $1 per barrel, if normalized for general factors, which represent about $345 per barrel. The lifting cost would be at levels similar to those of the first quarter of 2002.
Robb: Three we also achieved deficiencies of <unk> III $8 per barrel driven by the execution of strategy is focused on electric power reliability, and subsurface maintenance, which contributed to mitigating the impact on the lifting cost let's go to the next slide please.
Robb: Transported volumes increased by approximately 28000 barrels per day, mainly driven by the increasing crude oil production in the yen, Australia and higher deliveries of <unk> not accrued at the Barrancabermeja refinery during the first quarter five reversal cycles were carried out through the center.
Robb: Mario pipeline with more than one 2 million barrels transported in response to a preventive intervention at kilometer 153 of the <unk> pipeline, which affected operations and the primary yet coaches section in March after successful completion of the repair work the pipeline resumed.
Robb: Operations on April seven as part of the strategy against crude oil theft, beginning in November 2023, the Ecopetrol group implemented an operational adjustments to transport crude oil production from the southern region of the country through Ecuador's pipelines during the first quarter the transcendental system.
Robb: As remaining contingency mode being available for use as needed. This measure will be reviewed over the year. Lastly, we highlight the segment's financial results generating revenues of nearly three six trillion pesos and an EBITDA of $2 eight trillion pesos.
Robb: Contributing with 20% of the group's EBITDA next slide please in the first quarter of 2020 for the combined refinery throughput reached 428000 barrels per day and leveraged on more than 96% operational availability the rigorous execution of our scheduled major.
Robb: Maintenance activities and the maximization of domestic crude loads. The integrated refining gross margin was 14 $8 per barrel, mainly affected by weaker diesel jet and gasoline spreads. This resulted in an EBITDA of one four trillion pesos for the quarter.
Robb: In this quarter, we accomplished multiple milestones of which we titled ideas. The commissioning of the mechanical recycling plant at <unk> currently on their stabilization with a production capacity of 12000 tons per year.
Robb: <unk> top of the third chemical recycling reactor to increase the production of pyrolysis oil for processing at the Barrancabermeja refinery the completion of the construction phase of the solar park at the Cartagena refinery elaborated on April 12, with a self generation capacity of up to 22 point.
Robb: One megawatts the commissioning of the new wastewater treatment plant that there aren't government refinery in February of this year lastly, the solid cash generation of the segment, resulting from strong operational results and the repayment of debt <unk> to the Cartagena refinery on April one 2024.
Robb: Corresponding to the balance of the first quarter of 2023, now I will turn it over to Ricardo who will discuss the main milestones of the low emission solutions business line.
Ricardo: Thank you Albert and.
Ricardo: In the first quarter of 2020 for gas.
Ricardo: Lucian reached 172000 barrels equivalent per day, representing 23% of the group's total production, 65% of Colombians Marketshare, and an EBITDA of 753 billion basis.
Ricardo: Imports in our commitment to continue the path of the carbonization and diversification of our energy metrics during the first quarter of 2020 Paul.
Ricardo: Scenario market.
Ricardo: Nino predominant the Ecopetrol group intensified it supports in energy efficiency, achieving a cumulative optimization of its internal confusion of Cedar point, Paul but that yields for this quarter with an impact of approximately 56000 tonnes oxy.
Ricardo: To accrete volumes on saving up 11.6 billion pesos. These efforts combined with timely increasing commercial action are lowered us to decrease the energy cost per barrel from 3.3 dollars per barrel with a 23%.
Ricardo: In the overall proves soon lifting costs in the last quarter of 2023 to <unk> $5 per barrel and 21% share in the first quarter of 'twenty 'twenty four and addition to really tightened energy security progress was made on two fronts first in there.
Ricardo: Planning of their supply chain and the maintains a backup inventories to guarantee an eventual requirement of diesel for thermal generation second in the optimization in times of major maintenance of <unk> to guarantee the reliability and availability of one of the main sources.
Ricardo: <unk> gas in the country in terms of renewable energies, we completed the construction of the solar firm up the Cartagena refinery, which has a capacity of 22 megawatts equivalent to the consumption of 18200, Colombian comms being the <unk> solar farm built inside our print.
Ricardo: In Latin America, with an expectation of reaching 524 megawatts in operation and construction on the execution by the end of 2020, Poland Restaging of our goals in the short medium and long term within the framework of our strategy to incorporate 900 Mega.
Ricardo: By 2020 pie growing with sustainability and generate value for our shareholders on the social front, we highlight two important initiatives with a positive impact on the sustainable development of the communities in which we operate in the shale gas crude on the complete.
Ricardo: June of the pilot project in minority in the department of La Guajira, Italians with recall with shallow declination.
Ricardo: Declination of more than 500 families to their natural gas service and the beginning of phase II that will allow the extension of the benefit to 250, more primarily and the consolidation of energy communities input to Barbara Gordon Currie demand isn't in there.
Ricardo: Our north that Alka and took a renewal with China in Alliance with July Conservation Society, leveraging this spring.
Ricardo: Oil projects. These projects not only allow us to improve population access to renewable energy, but also to guarantee the conservation of key ecosystems and species in the country I will pass the floor to Maria Catalina, who will talk to you about our retransmission on toll roads.
Mara Paula Camacho Rozo: And on the main financial milestones. Thank you read therapy in the first quarter of the year the transmission in boats business maintain good financial results. Despite the strong impact of the Colombian peso devaluation against currencies, such as the dollar Chilean peso and the Brazilian real.
Mara Paula Camacho Rozo: During the period.
Mara Paula Camacho Rozo: EBITDA decreased by around 16% standing at two three trillion. However.
Mara Paula Camacho Rozo: However, when eliminating the exchange rate effect on EBITDA that results are at similar levels to those of 2020. Furthermore, committed to our strategic objective of diversifying our operations and transmission and girls business continues its sustained growth in ecopetrol groups, we sold.
Mara Paula Camacho Rozo: Speaking of 16% share of EBITDA for the first quarter of 2024.
Mara Paula Camacho Rozo: Some of the most relevant milestones for the first quarter of 2024 include in Panama <unk> was awarded the tender to rehabilitate improve and maintain 246 kilometers of the east Pan-american height.
Mara Paula Camacho Rozo: Indian Ministry of power networks awarded this project to <unk>, Chile in January with an estimated investment of one one trillion base.
Mara Paula Camacho Rozo: In Colombia is that.
Mara Paula Camacho Rozo: At Wassa awarded the contract for the design construction and operation and maintenance of the second transformer project at <unk> to the patient and therefore transfer project at the Silicon more self service station. Additionally, it signed a private connection contract for the execution of the Y J Paul.
Mara Paula Camacho Rozo: Three projects for the expansion of the southern Nevada substation, Yes, Florida projects amount are referenced Capex of 136 billion pesos with a significant award with total committed investments up to 2030 amount around $29 four trillion pesos.
Mara Paula Camacho Rozo: Consolidated the growth trajectory.
Mara Paula Camacho Rozo: CBRE in different geographies finally on April 1st.
Mara Paula Camacho Rozo: Our next stop asking was closed with a final estimated price of $2 1 billion pesos equivalent.
Mara Paula Camacho Rozo: Please move on to the next slide to detail the group's financial performance in.
Mara Paula Camacho Rozo: In the first quarter of 2024, we maintain competitive levels of profitability supported by excellent operational results and efficiencies captured worthy over 600 billion, we achieved an EBITDA of $14 two trillion pesos and an EBITDA margin of 45 person.
Mara Paula Camacho Rozo: And keeping us within the average of the last eight years for this period.
Mara Paula Camacho Rozo: Competitive levels compared to the industry.
Mara Paula Camacho Rozo: Additionally, the return on average capital employed Belchy, we maintain double digits recording 11% and above our annual target of around 9% on the path to diversifying our business lines in the first quarter of 2020 for the contribution to the total EBITDA from the exploration.
Mara Paula Camacho Rozo: And production business.
Mara Paula Camacho Rozo: 54%, followed by transportation with 20% transmission in roads with 16% and finally refining with 10%.
Mara Paula Camacho Rozo: We maintained healthy debt metrics with a gross debt to EBITDA ratio of one nine times at the end of March. This is in line with our long term guideline, where we aim to maintain a level below four five times for these indicators.
Mara Paula Camacho Rozo: Regarding debt maturity management, we maintain a dynamic of anticipating refinancing needs.
Mara Paula Camacho Rozo: Ecopetrol has successfully issued bonds in the international market in January of this year.
Mara Paula Camacho Rozo: 1800, $50 million and obtain approval from the Ministry of Finance and public credit to Carryout that management operations for $1 $2 billion. In March. These resources are needed by banking entities and I expect it to be disbursed in the second quarter I'll. Thank you with this.
Mara Paula Camacho Rozo: Operations Ecopetrol addresses its debt maturities for 2024 and 2025.
Mara Paula Camacho Rozo: In addition to demonstrating its commitment to refinancing strategy through the capital markets and access to different credit out there and it takes to win with local and international banks.
Mara Paula Camacho Rozo: As for our investment plan by the end of the first quarter of 2024, the Ecopetrol group invested around 1280 $9 million equivalent to five P. M pesos with dollar investments being the highest recorded since 2016 further investments.
Mara Paula Camacho Rozo: Investments were mainly made in Colombia, with a 57% share.
Mara Paula Camacho Rozo: The remaining 43% with ebay international level, mainly in the United States in Brazil in <unk>.
Mara Paula Camacho Rozo: <unk> seen the hydrocarbons line accounted for 67% of the total lean backwards grouping the exploration and production transportation and refining businesses for exploration and production activities in Colombia investments were concentrated in that room.
Mara Paula Camacho Rozo: S T yet.
Mara Paula Camacho Rozo: So they pay Allstate unwary NTT many fields.
Mara Paula Camacho Rozo: Meanwhile, internationally exploration investments focused on the Permian basin in the United States.
Mara Paula Camacho Rozo: Refining and transportation activities focus on operational continuity and maintain an sop refineries and pipeline systems.
Mara Paula Camacho Rozo: In the low emission business line projects associated with gas and energy transition represent 13% of the total investments in the quarter resources were mainly allocated to the growth of the gas chain and supply in fields, such as <unk> <unk> and in the Tayrona block in the offshore.
Mara Paula Camacho Rozo: Caribbean in Cologne investments in the transmission and well sign accounted for 20% of the total and were mainly allocated to the development of energy projects in Brazil.
Mara Paula Camacho Rozo: And kind of my.
Mara Paula Camacho Rozo: By the end of 2024, we expect to make investments between 2020 seven trillion basis after announcing our financial and investment please.
Mara Paula Camacho Rozo: Let's move on to the next slide regarding net income in the first quarter of 2024, we recorded four trillion pesos with the following highlights compared to the same period in 2023 first and outstanding operational performance reflected in our EBITDA through a positive volumetric effect of <unk>.
Mara Paula Camacho Rozo: Eight trillion basis these costs associated with increased production and greater operational availability in both <unk> as well as lower purchases of crude and perhaps second an impact of two nine trillion pesos due to a lower average exchange rate a higher level of costs.
Mara Paula Camacho Rozo: And expenses by <unk>, eight trillion pesos, and a lower weighted average selling price of crude and products with an impact of <unk> seven trillion basis. This resulted in a total decrease in EBITDA of three six trillion pesos in the period. Likewise, there was an increase of <unk> seven trillion pesos in.
Mara Paula Camacho Rozo: The recognition of depreciation and amortization as a result of higher investment levels and increase production.
Mara Paula Camacho Rozo: On the other hand, there was a lower tax provision.
Mara Paula Camacho Rozo: <unk> in a positive effect on net income of $2 seven trillion pesos derived from the decrease in results.
Mara Paula Camacho Rozo: Active tax rate for the first quarter of 2024, 36, 5%, assuming the deductibility of royalties and a windfall tax of 10%.
Mara Paula Camacho Rozo: Tax regulation.
Mara Paula Camacho Rozo: I know ruling on the prohibition of deducting royalties will be issued soon by the constitutional court and the XL such decision on the copper cobalt will be analyzed based on this decision for the corresponding period about the liquidity position. We finished the quarter with a robust cash balance I think off the top.
Mara Paula Camacho Rozo: <unk> group of $17 three trillion pesos. The primary source of liquidity. During this period, what the operating cash flow of six trillion pesos, followed by net debt and interest inflows of one Chilean banks. There is an improvement in working capital associated with the lower accumulate.
Mara Paula Camacho Rozo: <unk> of the fuel price stabilization fund and regarding cash outflows. The main disbursements were allocated to our corporate trust Capex and its subsidiary totaling about four three trillion pesos.
Mara Paula Camacho Rozo: Additionally in the early days of April the first installment of dividend was paid to minority shareholders totaling approximately 738 billion pesos.
Mara Paula Camacho Rozo: Long with a payment to the nation for the same concept are mounting four trillion patients regarding the fuel price stabilization fund, we continue to make progress towards reducing the accounts receivable that by the end of the first quarter of the year. It stood at $22 seven trillion supported.
Mara Paula Camacho Rozo: Supported by the positive differential between the local gasoline price in the international reference price.
Mara Paula Camacho Rozo: Partially offset the accumulation of the T cell related accounts, even the current price levels in the country. There is a notable and sustained decrease in the pace of accumulation of the accounts receivable with a 72% decrease in its value in the first quarter of 2024 compared to the same period in 2023.
Mara Paula Camacho Rozo: Furthermore, the government's commitment to reduce the balance what's clear in April of this year with the payment of seven eight trillion pesos from the accumulation corresponding to the first quarter of 2023.
Mara Paula Camacho Rozo: In 2024, we expect to continue receiving quarterly payments from the state bank and collect the entire outstanding balance for 2023 totaling $12 seven trillion pesos.
Mara Paula Camacho Rozo: End of the year with an average Brent price close to $83 per barrel, we estimate an accumulation of the account receivable of the phone between eight to 10 trillion base subject to fluctuations in the international crude oil market price and the exchange rate primary this estimate is.
Mara Paula Camacho Rozo: Maybe can be lower than the amount accumulated in 2023 of 25.
Mara Paula Camacho Rozo: Five trillion pesos and in 2022 of $36 eight trillion pesos.
Recalibrate: Now I'll hand over to recalibrate for the closing remarks, Thank you Maria Catalina and thanks to all who have made these results possible for the first quarter of 2020 in conclusion, the capital discipline regarding the financial evaluation of polar process, our LOE was to create a challenging them.
Mara Paula Camacho Rozo: <unk> market by the revaluation of the peso the increase in energy cost inflationary pressures the price.
Recalibrate: Our differential produce on our approved commitment to our bond seem Gaza supply to the country like rise things to the technical and operational strength, we have been able to capture opportunities.
Recalibrate: The Brent price situation exceeding our expectation maximizing our excellent operational performance and diversifying into new markets to maintain a profitable and competitive business.
Recalibrate: On the production front the good operational management of the last few months, we highlight the performance of the drilling campaign in the Permian will be Allison can you soon.
Recalibrate: In the scheduled maintenance the assurance of reliability levels and the entry of the new ones are low was to move forward on the growth, but we expect to be below the target range by 2020 pool, placing us between 737.
Recalibrate: 55000 barrels of oil equivalent per day, we will continue to execute our plan for 2020 with technical and financial strength on advertising in our strategy.
Recalibrate: 2014, our operation remains solid our complaint by a rigorous plan efficiencies and cost country I. Thank everyone for today's participation with these will begin the question and answer session.
Speaker Change: Oh sure.
Speaker Change: Well have a question from Spanish.
Recalibrate: So we still have a space, where there's a question in English.
Speaker Change: Please make maximum three questions to give enough room for the rest of the participants on NIM.
Recalibrate: The order from the SEC.
Recalibrate: That plant will be online with a question Mr. Wang you May proceed.
Wang: Morning, I have a couple of questions. The first one on production.
Wang: To understand in a better way.
Mr. Wang: And if you could give me some details.
Recalibrate: The reduction of Enzo.
Recalibrate: Production we saw.
Recalibrate: Cologuard versus quarter four I think.
Recalibrate: Permian and Hollywood.
Speaker Change: Sure to be doing there.
Speaker Change: Rest of the year and online with production looking at.
Recalibrate: New.
Recalibrate: Production KFC accomplished this means that will have an average production for the next nine months between 727 30.
Recalibrate: Million barrels per day, what are the risks you're seeing.
Recalibrate: Emulation production during the next nine months with Paul and 14000 barrels per day versus what you had in the first quarter of 2024, and lastly, a very quick one could you give us details about the details on perhaps two questions for the second quarter of 2024.
Speaker Change: So yeah.
Recalibrate: The enrollment.
Recalibrate: The decision of the constitutional court in 'twenty or 'twenty, one those would be my question.
Speaker Change: Good morning, Danielle.
Speaker Change: To conserve.
Danielle: To give you my greeting, let's talk about reduction when you look at the last quarter of them.
Speaker Change: Last year, we have to take into account the Permian.
Speaker Change: Great.
Speaker Change: So that's that.
Speaker Change: <unk> and <unk>.
Speaker Change: Please signal well campaign, so production increased during the last quarter, reaching 158000 barrels per day equivalent barrels per day, what happened during this first quarter or the first thing is that we see.
Speaker Change: <unk>.
Speaker Change: Okay.
Speaker Change: The declination of the basic <unk>.
Speaker Change: The Permian this means that production goes down from 100000 to 840, something which was the average in the first quarter and the materialization of risks that have to first of all with we had a campaign.
Speaker Change: Maintenance and yeah.
Speaker Change: But that affected the production of gas.
Speaker Change:
Speaker Change: I'll talk about the forward looking later for the rest of the year. The second thing was the material inflation risks associated to the blockade.
Speaker Change: And problems.
Speaker Change: Third party.
Speaker Change: Actions.
Speaker Change: That put us in 2000 17000 barrels per day, which affected us in Congress, who truly Edison.
Speaker Change: The third impact has to do with the closing.
Speaker Change: The.
Speaker Change: Good afternoon.
Speaker Change: There's been no new phenomenon that changes the production of 70.
Speaker Change: 757 to what we had enough, which what happens with the rest of the year.
Speaker Change: Everything has to do with managing risks.
Speaker Change: One of the things that we were seeing was.
Speaker Change: The possibility of an expansion of the Nino phenomenon to April and May that is not occurring with the intensity. We were expecting so production is behaving in a better way that allows us to increase the range from 725 to 70.
Speaker Change: 30.
Speaker Change: 735.
Speaker Change: Yeah.
Speaker Change: The subject of blockages.
Speaker Change: Electrical material, especially in the half.
Speaker Change: Uh huh.
Speaker Change: Oh well areas.
Speaker Change: And it could also have an incidence or the rest of the year.
Speaker Change: This is the subject of Hussein.
Speaker Change: You too.
Speaker Change: Okay.
Speaker Change: How we approach the territory.
Speaker Change: We create relationships with the communities and the authorities in order for us to manage those risks in a better way. So it would be seeing a better perspective on production and that the car and the third thing is that we'll be able to develop the activities and the time planned behalf too.
Speaker Change: Handle God.
Speaker Change: The nation of the field and natural tongue myself and make sure that that happens in the right time for example in CPO nine right now we have it.
Speaker Change: Yeah.
Speaker Change: Idea all having to learn these ties between June and September and those.
Speaker Change: So that piece, but that depends on PFS.
Speaker Change: Instruction once if we don't do it that would just mean a lag in production that we will see a positive impact only in the last quarters. So this has to do with the risk management issues. We are fairly optimistic we think that we're going to be able to have a production above the initial target.
Speaker Change: Set, but we have to assist and say that this has to do with the opportune happening after risks we see in the operations.
Speaker Change: Yeah.
Speaker Change: This is Marty I cut that.
Speaker Change: Thank you for your question.
Marty: First thing with E S.
Marty: To say.
Marty: We understand that.
Marty: CT notify them.
Marty: The Ministry of finance on though.
Marty: The suspension.
Speaker Change: Fishing, so right now the effect.
Speaker Change: And then suspended.
Speaker Change: However, it is important to mention that in the cockpit.
Speaker Change: Some days Oh was the decision was still in effect and royalties royalty talk to Paul.
Speaker Change: We presented our income tax returns according to what was in effect at that time.
Speaker Change: Relation to the impact that we.
Speaker Change: Might be seeing in the second quarter of 'twenty 'twenty four.
Speaker Change: It's very difficult to say exactly what the impact will be because that will depend a little bit on how the court.
Speaker Change: Module <unk>.
Speaker Change: Decision or the ruling the final ruling after they.
Speaker Change: Oh the fiscal incident. However, let me tell you about some prospective scenarios the first and the first one would be too.
Speaker Change: Keep on as we are with the basketball royalties, which with the consequent on online with what we have now it's at the end of the year.
Speaker Change: Or what we announced at the closing of the first quarter of 2020 for let's say.
Speaker Change: The moderate scenario.
Speaker Change: That could be brought about by the court is that guy that adjustment.
Speaker Change: The income tax in Turkey 23.
Speaker Change: We'd be able to cross it with future years, and that prepayment and let's say it.
Speaker Change: That moderation off of.
Speaker Change: Crossing.
Speaker Change: If theres no impact on the GDP with White House.
Speaker Change: And that's in our cash flow be one scenario.
Speaker Change: Asset scenario would be one where.
Speaker Change: Goodbye.
Speaker Change:
Speaker Change: Uh huh.
Speaker Change: The.
Speaker Change: What else might be deductible in 2023 that would impact us in month, five trillion pesos, which we would have to adjust.
Speaker Change: Ah so low.
Speaker Change: Balancing factor or highest tax.
Speaker Change: That's what we reported on the first quarter of that impact.
Speaker Change: Not making royalties he comfortable would be more or less 500.
Speaker Change: Lillian.
Speaker Change: When the court comes out with a ruling.
Speaker Change: You would have to see how much we would have been up crude in the second quarter of the year, but the impact would be more or less.
Speaker Change: Around two to 3 million.
Speaker Change: Million pesos approximately <unk> trillion.
Speaker Change: I would reiterate that this is just scenarios it will depend of course on the decision taken by the court.
Speaker Change: Respectful.
Speaker Change: The decision they make and we will act according to that smooth them. Thank you.
Speaker Change: Thank you Maria Catalina tobacco.
Speaker Change: The next question comes from because they'll send a lot of Bancolombia. Mr. Sandell. All you can ask now please.
Bancolombia: Good morning, everybody and thank you for the talk.
Sandell: Uh-huh about emulation to.
Sandell: Your interests related to gas I'd like to hear that Olympic cargo talk about.
Sandell: Oh to tell me if you have studied the assets.
Sandell: That kind of a house and the production of gas it represents more or less 20% of the demand of the country. So undoubtedly.
Sandell: The country needs the gas produced by that company, which might have which might be going through a difficult financial situations I'd like to know about those assets and if you can.
Speaker Change: Interested in the acquisition process or if you think that it's probable that yeah.
Speaker Change: But you might improve the production of gas in those fields what are your thoughts about this.
Speaker Change: Good morning, Rick Kathleen. Thank you for your question. This is Ricardo speaking.
Ricardo: That we have no.
Ricardo: The communication media.
Ricardo: Oh possibility off.
Speaker Change: Having come off.
Speaker Change: Yes.
Speaker Change: Okay.
Speaker Change: And going to a sale of its shares.
Speaker Change: <unk> in the country that of course, yes.
Speaker Change: Probably.
Speaker Change: Oh gosh appraisal.
Speaker Change: Opportunities that Ecopetrol das on its portfolio and understanding that.
Speaker Change: No.
Speaker Change: Yeah.
Speaker Change: There.
Speaker Change: Eh shouldn't deficits of.
Speaker Change: <unk> gas in the country for the next five years this asset will be observed in the internal protocol analysis of the opportunity something investment.
Speaker Change: Within the Ecopetrol group, not only clinical but any asset.
Speaker Change: But we might be thinking of incorporating and.
Speaker Change: I'll put myself on showing or guaranteeing to the country.
Speaker Change: Our supply of gas.
Speaker Change: In a permanent way those are being evaluated.
Speaker Change: The procedures that I already mentioned and which are part.
Speaker Change: The record.
Speaker Change: Rafe.
Speaker Change: Any decision that could be taken of course if.
Speaker Change: We take a decision you would be advising to market in a timely manner or should that level of production too.
Speaker Change: The levels, we had in the fourth quarter of 2023 that sounds like that the investment plan, we have right now.
Speaker Change: Trying to maintain.
Speaker Change: The level of production, we reached in 2023, the pet looks bright.
Speaker Change: In the first quarter was 738 million barrels per day I can't announce the number of April yet, but I think it's even and even better number and it shows.
Speaker Change: We are.
Speaker Change: On the past call.
Speaker Change: Making all of our fields are ready and reach the excellent production levels can be obtained at the end of last year.
Speaker Change: And I'll give the floor to all that.
Speaker Change: Though.
Speaker Change: If he wants to go in depth on the subject of production and gas assets you've got exactly.
al: Thank you. Thank you for your question that I have the following we are neighbors.
al: And many of the different blocks of kind of cool and then lower well yeah. So yeah. So what we do.
Speaker Change: An analogy with what's happening in our own fields to understand the adjustments we have to do in their development plan.
Speaker Change: Our plans of our production fields for example, the one we announced recently.
Speaker Change: LSC for Alex if a case, but also to adjust the profile so.
Speaker Change: What are the objectives.
Speaker Change: Nations objectives or targets in those blocks of fields with continuously.
Speaker Change: Looking back over and.
Speaker Change: Looking at kind of economy at least have more certainty on what we have to do in our own fields.
Speaker Change: Thank you very much.
Speaker Change: No.
Speaker Change: No we have Andres Duarte from coffee Columbian now Mr talk to you may ask.
Speaker Change: No.
Speaker Change: Yes.
Andres Duarte: Morning, and thank you very much.
Andres Duarte: I have three questions.
Andres Duarte: Thanks, Bob.
Andres Duarte: If you could answer them all great, but at least the first I. Appreciate if you can answer it.
Andres Duarte: Asia to the production of Ecopetrol SA.
Speaker Change: Without America, and Permian equal coordinates and without Hong Kong.
Speaker Change: Okay.
Speaker Change: Only four field CPL see online.
Speaker Change: Kind of as soon as all Francisco lighting I know soon what shows increases in production.
Speaker Change: Surely reduction or annual and most of them quarterly I'd like to know within your expectations, you'll have the recovery of some of those fields that have had a reduction.
Speaker Change: And what would support that expectation and the other question is related to gas specifically with the possibility of importing gas from Venezuela.
Speaker Change: It would be feasible in the restrictions.
Speaker Change: That sometimes exist, sometimes don't exist with the in place I'd like to know that I've got gas oil pipe company with now 100% after investments related to the recovery of that oil line gas line would be done by play with all of you are foreseeing that party.
Speaker Change: Dissipation of Ecopetrol for the recovery of that gas a five night and a question about the mid stream there is.
Speaker Change: A reduction in the quarterly cost.
Speaker Change: And versus the fourth quarter of last year.
Speaker Change: The prior year and the cost of the palace transported.
Speaker Change: 22.8% I'd like to go ahead.
Speaker Change: An explanation of that is a reduction in dollars. So I'd love to hear you.
Speaker Change: Your explanation about that reduction and if you can remind us.
Speaker Change: What part of the transport.
Speaker Change: <unk> seen what part is in dollars.
Speaker Change: So gas oil pipelines or the oil pipelines with all the pipelines the ones that are indexed into dollars. Thank you very much and good luck for the rest of the year.
Speaker Change: Well in relation to.
Speaker Change: So chip production.
Speaker Change: I would like to clarify the following usually.
Speaker Change: Yes, the production until we had a stunning seizure fall during the first quarter.
Speaker Change: And its more pronounced simply because of that.
Speaker Change: Closing Oh.
Speaker Change: Lifting into that occurs during the summer time, so what would we like to see an increase in the production of who we are this low cost feature in addition to the field to mention but you must remember that the play there till the national production isn't those assets into reality.
Speaker Change: He got to Humana.
Speaker Change: Zero nine adding kind of scrutiny that's N. It doesn't.
Speaker Change: A big portion of our production and we have to keep on increasing production there to come to arrest the natural destination, especially in the Piedmont Appeals, where there was a reduction of declination in gas at the end of the year, we would be expecting.
Speaker Change: The slight increase in Gafisa tissue madness, and who your Atlas and that together with the fact that the demand will keep them out of production between 81 and 83000 barrels for the year.
Speaker Change: Okay.
Speaker Change: Okay.
Speaker Change: Ricardo draw on the subject of gas and the des and good morning.
Ricardo: The ability of I'm quoting from Venezuela.
Ricardo: From a three point of view. The first is to have an April the platform the legal enormous chip platform to do it.
Speaker Change: And so.
Speaker Change: Holding discussions with O clock.
Speaker Change: Uh huh.
Speaker Change: Permanent supply of information in relation to the request was made in November of 2022.
Speaker Change: Fox to consider it.
Speaker Change:
Speaker Change:
Speaker Change: Decrease.
Speaker Change: Yes.
Speaker Change: Restrictions without Venezuela, lithium battery of the U S and Colombia.
Speaker Change: But they'll be feeling the subject in seconds.
Speaker Change: To remind you that we have an agreement.
Speaker Change: From.
Speaker Change: 2017 two.
Speaker Change: 2027, but we have enabled between 300 and 340000.
Speaker Change: Cubic feet per day to be transported connections related to the quality of gas.
Speaker Change: The price is.
Speaker Change: Established.
Speaker Change: And this agreement is in effect.
Speaker Change: And that is the mechanism or the legal vehicles to be able to.
Speaker Change: And once the restrictions are.
Speaker Change: Hum.
Speaker Change: Taken away the one we'd be using and now in relation to play with and their news that be able to deliver 50 to Allison.
Speaker Change:
Speaker Change: Maybe there's some gas.
Speaker Change: That's the information they've given us and we've been working with them on the activity yourself inspecting the gas oil line. We send it went through it and we have one estimated budget of between 35 and $40 billion too.
Speaker Change: Yeah.
Speaker Change: Blake this acid operation of the asset is owned by <unk>.
Speaker Change: That's us.
Speaker Change: And any activity or any investment that.
Speaker Change: Would be needed is to be borne by them. We've had some manifestations of interests from the cats.
Speaker Change: Supporters of Columbia to our participation in the repairs and obviously in the possibility of receiving.
Speaker Change: The.
Speaker Change: Charge.
Speaker Change: From the use of that system is enabled within the country. So we think that there be no restriction.
Speaker Change: And for one of them to be in charge of.
Speaker Change: Repairs and.
Speaker Change: Reading, all fact that gas pipeline.
Speaker Change: Intermodal side, while the pressing to phase I.
Speaker Change: I'd like to.
Speaker Change: Talk about the cost of transportation the average cost of transportation for 2023 was more or less $3 per barrel.
Speaker Change: And for the last quarter of 2023, 8%.
Speaker Change: 375, mainly associated to the higher opex.
Speaker Change: Right.
Speaker Change: Tore the repairing.
Speaker Change: Oh the system, either because of technical reasons for mechanical reasons for the third quarter of 2024, the cost it's a twin to 99 I'm sorry.
Speaker Change: Associated to two main components, one the exchange rate and two.
Speaker Change: Our opex costs because of lower needs of repairs.
Speaker Change: In comparison to the last quarter of last year.
Speaker Change: Asian to the fees go to Chad This is Ben.
Speaker Change: Oh.
Speaker Change: Oil pipelines are denominated in dollars the ones with all the talks are denominated in pesos.
Speaker Change: 80% of the revenues.
Speaker Change: And nominated in dollars for this segment and 20% in pesos, but in terms of costs, 84% of the costs are.
Speaker Change: Executed and paces and 16% in dollars.
Speaker Change: Thank you.
Speaker Change: Perfect.
Speaker Change: Thank you.
Speaker Change: Let me know.
Speaker Change: Okay.
Speaker Change: Yeah.
Speaker Change: I mean are pieces in line with a question you May proceed.
Speaker Change: Yes.
Speaker Change: Yes.
Speaker Change: Thank you good morning.
Speaker Change: I have two questions. The first one is related to.
Speaker Change: The costs are.
Speaker Change: Amazing.
Speaker Change: So that cost was impacted.
Speaker Change: With by the exchange rate and a significant amount I'd love to know if at that level, if we exclude the effect.
Speaker Change: See forward and the exchange rate, we would reach a stability level all of that cost or if on the contrary, we might still see additional effects.
Speaker Change:
Speaker Change: Inflationary or any other type in that sense that would be my first question.
Speaker Change: And the second question yes.
Speaker Change: Connected to that.
Speaker Change: Actually just given about the importance of gas from Venezuela.
Speaker Change: I'd like to know or have clarity.
Speaker Change: Yeah.
Speaker Change: Our corporate and onward.
Speaker Change: That's an intermediary in any aspect and the process that we want to be completely done to external parties and ecopetrol would not intervene.
Speaker Change: But they didn't.
Speaker Change: Good morning, and thank you for your question.
Speaker Change: I'm going to defer about costs, though.
Speaker Change: Oh the survey, we look at the monetary mass and specifically look at the outcome of the last quarter of last year.
Speaker Change: The the cost of a nice thing it was $20. This first quarter, that's a better result of $12 per barrel and.
Speaker Change: That's sort of it and what does that do.
Speaker Change: Due to its because we have an important level of protection and also because we've been able to achieve certain efficiency because I think the level of the accumulated inflation with lean you to contract and there was an element that's extremely important is the stock.
Speaker Change: Exchange price of energy.
Speaker Change: And.
Speaker Change: It's.
Speaker Change: Let's say, 25% of the cost of the survey of the Nino phenomenon decreases the prices in the energy stock exchange will reflect a better view for the rest of the year, So that price, Indiana 90 stock exchange will be.
Speaker Change: Extremely significant we're trying to do is to maintain that monetary my slide and through efficiencies and of course, managing the risks but.
Speaker Change: On our target we have a guidance of between 12 and $13.
Speaker Change: Errol.
Speaker Change: What's the idea that it will be very close to it.
Speaker Change: The range of $12 per barrel, and Kathryn and I like to compliment by saying.
Speaker Change: Yeah.
Speaker Change: To complement Alberto to try to illustrate the importance of a program of efficiencies in the control costs, we have them broken Martha deficiencies in the different areas of the company.
Speaker Change: And we're trying to find.
Speaker Change: Fishing season, 3 billion pesos in 2024 during the first quarter of the year, we had efficiencies around 650.
Speaker Change: Bowel syndrome patients when you translate that specifically.
Speaker Change: Enter the indicator of the survey cost.
Speaker Change: Southern Cross up 12.1.
Speaker Change: What we're seeing.
Speaker Change: Oh.
Speaker Change: During the first quarter would be a cost off more or less 12.4 or 12.5 dollars per barrel if.
Speaker Change: If we had not implemented that efficiency plan or saying it in a different way if we were able to avoid more or less between 30 and 40 cents.
Speaker Change: Are you a sense and the cost of the survey so I'd like you to keep that timeline.
Speaker Change: An example is all about efficiency, but it's really setting or trying to establish life the cost trend.
Speaker Change: Yes.
Speaker Change: Okay.
Speaker Change: Is it kind of goes all Kathryn good morning to clarify the subject of the eventual imported gas from Venezuela.
Speaker Change: It probably would be the one who.
Speaker Change: Yes.
Speaker Change: Uh huh entered into that commercial vehicle for some time already and we might eventually do the import of the important true Anthony called the guest buying.
Speaker Change: And that's why mentioned yellow moves.
Speaker Change: I said before that we have to have no restriction in order to file the life.
Speaker Change: The flows of Ghastful, Venezuela into Columbia, but the intermediary role would be an eventual scenario with a capital would you talk a rise of that agreement to an operator.
Speaker Change: Sign them to a commercialized it works either.
Speaker Change: But that would be something that.
Speaker Change: I would also need a political willingness of the.
Speaker Change: Got it.
Speaker Change: Counterparty in this case will fade away. So it's something we have not evaluated yet and we're not considering yet.
Speaker Change: It does incorporate all of that has sort of cultural is Tokyo in the supply of gas into the country. One of the gas pipeline exist and if Theres a route map.
Speaker Change: Hum.
Speaker Change: And Oh gas.
Speaker Change: Gas pipeline already.
Speaker Change: Yeah.
Speaker Change: Already and that's something we've been analyzed and taking into account what we said before provided that the.
Speaker Change: The conditions the legal conditions and.
Speaker Change: Restrictions or for Fox would allow us to develop that.
Speaker Change: Thank you very much.
Speaker Change: The next question is from I know wesker from Corona salary and unless Lascar you may ask.
Speaker Change: Yeah.
Wesker: Good morning.
Wesker: My question refers to the changes.
Speaker Change: Ooh published recently from the senior management I would like to know what.
Speaker Change: That process is like if you have a date.
Speaker Change: Maybe you can tell us about.
Speaker Change: The process Oh, a selection given the conditions in the country.
Speaker Change: Uh Huh good morning, I can think alcohol.
Speaker Change: First I'd like to remind you that there is a policy.
Speaker Change: Succession, and a carpet throne.
Speaker Change: That we are complying with there's also policies.
Speaker Change: Deputies position.
Speaker Change: Physicians and they are in effect for those highly relevant positions either changes that occur because of several reasons beginning with the one off executive supervision.
Speaker Change: That they.
Speaker Change: Have to close there.
Speaker Change: Joining in the company, others related to health leases or others, because its priorities and their own personal lives that make them.
Speaker Change: The site too.
Speaker Change: Okay.
Speaker Change: Their positions and we have to understand them and then debt.
Speaker Change: That's a company that has 7553 employees.
Speaker Change: That's exposed to those dynamics, but in the succession policy.
Speaker Change: We are.
Speaker Change: Uh huh.
Speaker Change: Having people, who fill 100% of the requirements of the profile.
Speaker Change: To become to a piece of Dallas precision.
Speaker Change: 72% of the positions that have been.
Speaker Change: Replace or substitute it during this year.
Speaker Change: Come from the organizational administrative structure with people who have been in the company for many years.
Speaker Change: And who have assumed those decisions there isn't an agreement with the board of directors.
Speaker Change: Uh huh.
Speaker Change: Understanding that some of their duties are among their duties as the possibility of assessing and evaluating that those positions at level one.
Speaker Change: Okay.
Speaker Change: And then we decided to to do screening processes and next placement where pricing.
Speaker Change: Our relatives, who have the experience and the profiles and the skills and they can participate in the screening process through a hat.
Speaker Change: That's what we've been doing respecting the times before.
Speaker Change: Those physicians and the succession line that exists within our policies associated to that process inside of Copel.
Speaker Change: Okay.
Speaker Change: We will continue.
Speaker Change: With a question and answer session in English.
Speaker Change: They go out and Meda from Banca Sunday is online.
Meda: Hi, good morning, everyone. So I have two questions from my side first I wanted to discuss how that'll be the capital allocation strategy of the company and I guess, particularly related to the hydrocarbons and reserves grow from organic perspective.
Meda: It seems like the companies are getting good perspectives in Colombia, So most of the guests focus right.
Meda: I wanted to think about outside of Colombia, and what's the strategy there.
Meda: I think this comes into the perspective that we've seen a lot of low carbon profile discoveries across the world I think the last one that we spoke about me you'd go with golf.
Meda: Talking about Venezuela also but I wanted to go to international perspective here.
Speaker Change: Could drink to us what's your priority.
Speaker Change: On the international side of Venezuela U S unconventional Brazil before.
Meda: Offshore in other countries I think it would be great to understand and if you could give us a quick update on the exploration efforts in Brazil offshore also regarding Barbara and got to muscle if I'm not mistaken you might have just started drilling in Marlborough view and got to the amount that was under review a couple of years ago. So wanted to see where it stands.
Meda: Awesome.
Meda: Leverage is quite low referred just for fed back from starting to understand.
Meda: If you see space for inorganic growth, there, especially outside of Colombia, and then the second point I wanted to ask you is I mean, we talked a little bit about the lifting cost wanted just to check on the dilution costs.
Meda: It went up a little bit so now the receipt prediction boring.
Meda: Okay.
Meda: Second quarter.
Meda: How can we boundless.
Meda: Production with probably lower naphtha prices that could potentially benefit.
Speaker Change #106: Of course, there are also so that's that's what I have from my side. Thank you.
Meda: Yes.
Speaker Change: Regal, a Wednesday afternoon Eagle with wanting this isn't my dad Catalina Escobar. Thank you very much for your questions.
Speaker Change: I am going to answer.
Speaker Change: Got it.
Catalina Escobar: One part of the first question and then I'll give the floor to <unk>.
Speaker Change: There's still a need.
Speaker Change: So they can continue.
Speaker Change: Oh, giving more details in relation to the.
Meda: Uh huh.
Meda: Allocation of capital strategy specific Michael.
Meda: With the business of high to car.
Meda: I'd like to highlight two topics number one we announced to the market that we have no investment plan or the following three years 'twenty to 'twenty four 'twenty five.
Meda: 96, that's more or less a week is $20 2 million.
Meda: The others.
Meda: Our idea is to maintain annual memberships between five and seven.
Meda: In dollars.
Meda: And on line with the strategy that we have up to 2024, no idea that between 60 and 65% of that Capex would.
Meda: It would be executed on the hydrocarbons.
Meda: On the line, Ohio Congress prior I think or giving a lot of relevance to the sub kicked off.
Meda: The growth of the resource.
Meda: I mean as a company on making sure that those investments are done.
Meda: And in a profitable way and.
Meda: Business group I'm looking for a return between eight and 10% absolutely have a mouse.
Meda: Pursuant to what we have in now specifically on the plan of 2024, but we are considering in relation to investments in the U S and Brazil of the $6 $5000.
Meda: The total for 2024, more or less 1 billion to round up the figures will be invested in the U S and $51 million as that capital is allocated for investments in Greenville. The plan does not incorporate any.
Meda: Resource.
Meda: Up to date for assets in Venezuela.
Meda: Yeah.
Meda: We evaluate where we have opportunities to do so even if the conditions would enable a potential or a prospective investment. We would then do the appraisement. According to our process of capital allocation if it's a.
Speaker Change #117: If we could or not allocate those resources, while I've got you have the floor or illegal. Thank you for your question and then I'll talk about Brazil, what are we doing in Brazil, so far.
Speaker Change: Now we have three types of activities. The one was that the first one.
Speaker Change: Related to completing the Sysmex studies on the field so how Michelle.
Speaker Change: On the South basin with Santosh myself that assists make work was already completed and now we're doing the evaluation process to determine the exploratory up Jeff.
Speaker Change: The second thing has to do with Balder field, we're ready to do so well in fall.
Speaker Change: We're waiting for.
Speaker Change: The resolution of an environmental GM strike in Brazil.
Speaker Change: Affecting her.
Speaker Change: Hum.
Speaker Change: Specifically hours and the second one has to do with it got the Mako. The idea is to have their fun.
Speaker Change: The assumption of the process either in the last quarter of this year early next year.
Speaker Change #121: Could I just make a follow up on this when discretion.
Speaker Change #120: Uh huh.
Speaker Change #120: Regarding the mine.
Speaker Change #123: Oh, that's been Flynn I sound English celanese.
Speaker Change #123: Do you include any inorganic growth or if we do see M&A or anything related to that how do we how can we connect that to be the investment plan.
Speaker Change: Yeah.
Speaker Change: Okay.
Speaker Change #124: Well the Eagle Windows, the us how long the quality. The good morning. This is Nicholas S. Quintin Lai Vice President of strategy and new business in relation to your inorganic opportunities outside of Colombia in effect as part of a systematic process of the review of the portfolio and I don't know.
Speaker Change: <unk> options and all the different areas, where we present right now there's nothing concrete and if something could materialize and reached the maturity point required would be informing the market. Thank you.
Speaker Change: Boiler anthem inability go in relation to the cost of the surveys the perspective of what we're seeing is that we're going to maintain the guidance of 12 to $13 per barrel.
Boiler: But with the interventions that we're doing from bell.
Boiler: A view introducing efficiencies.
Boiler: And the renegotiation of contracts related to maintenance activities, both on the surface mine and a subset of work.
Boiler: Being able to see certain stability and inadequate management person.
Speaker Change: Oh trying to combat the high inflation, we saw in former years. This allows us to see that we're going to live through a period of certain stability and we're going to try to maintain.
Speaker Change: The low range of 12 to $13 for there or that's what we're trying to maintain.
Speaker Change: Regarding dilution from what they were.
Speaker Change: Yeah.
Speaker Change: Yeah.
Speaker Change: Mhm 54.
Speaker Change: Yeah.
Speaker Change: Hi, Thanks for thanks for taking my questions. So my first would be regarding.
Speaker Change: Regarding lifting cost.
Speaker Change: I'm down this quarter sequentially has been kind of erratic.
Speaker Change: And I would be interested to understand how we can think of it going forward.
Speaker Change: Throughout this year.
Speaker Change: Also I would like to hear your comments about any progress to extend the Permian deal with oxy.
Speaker Change: And also in the another question would be in the downstream our refining segment, we have been seeing solid margins. If you have any comments on that.
Speaker Change: Now this could continue to behave for the remainder of the year.
Speaker Change: Yeah.
Speaker Change: Okay.
Speaker Change: But those will not be as good as you thought there was good morning, and thank you for your question our relation to the lifting.
Speaker Change: Let's say the following in relation to the behavior. It varies of course, because something exogenous effect.
Speaker Change: Related to the exchange rate the monetary mass.
Speaker Change: Located to the energy cost.
Speaker Change: Maintenance on the surface and stops well labor costs and.
Speaker Change: And cost allocated that monetary mass is table remains stable.
Speaker Change: And as much as we don't have any unexciting this effect.
Speaker Change: Mainly of the exchange rate and that's what you can control the levels of inflation. That's what we are doing right now we'll see.
Speaker Change: Lifting costs, that's more stable and that's why I mentioned that we're going to maintain that range between 12 and 13.
Speaker Change: And the goal is to be closer to the 12.
Speaker Change: Barrel boy.
Speaker Change: Two of the margin center Dallas highs.
Speaker Change: I'm going to the third question and then I'll give the floor to recant onto Nicola.
Speaker Change: The downstream.
Speaker Change: The margins are so that we have to recognize that they're lower than the ones. We had last year and this is related to a reduction in the prices of gasoline and diesel at the international level and that of course has an incidence and a result, ophthalmologists, but we're seeing margins between 14.
Speaker Change: Strip out, although we expect that that perspective.
Speaker Change: Being maintained throughout the year.
Speaker Change: My first one of them.
Speaker Change: Good morning. This is niko lots of scoring that guy in relation to the opportunity yourself.
Speaker Change: Fending off presence since my mom would all be following.
Speaker Change: My earlier answer we analyze the portfolio not only with oxy, but also with other opportunities that could.
Speaker Change: Come up in that area and in other areas and have the opportunity matures, we would communicated in a timely manner to the market. Thank you.
Speaker Change: Thank you all.
Speaker Change: And as a company of them being a meal that not only have I know from the bank of America. Mrs. Mouse you may.
Speaker Change: Oh seat.
Speaker Change: No.
Speaker Change: And we also have bother from Berkeley, shipboard, who you can.
Speaker Change: Ask your question now for taking my question.
Berkeley: Can you hear me.
Speaker Change: So.
Speaker Change: Some of my questions have already been answered before so my my final one would be about your cash balance if we kind of have a bit. So if we can.
Berkeley: Based on your <unk> earnings your cash balance under the round 4 billion daughters, and you also suggested that you get between one $5 billion to $2 billion of the fed back payments from from a handle on the earlier side of April so pushing the cash balance to five 5% to $6 billion.
Speaker Change: I think that in the slides you only show that you have something around 1.5 to $1 $8 billion of maturities for the remainder of 2024 and part of that is gonna be covered with the revolver of $1 $2 billion that you will get.
Speaker Change: The funding from into Q. So my question is that why are you keeping that cash balance is so high at the moment is that you know are related to the previous questions for potentially you know some sort of M&A or.
Speaker Change #126: I have not.
Speaker Change #126: Seen cash balances vertical patrolling around five $5 million to $6 million in the past so.
Speaker Change: What are you planning to do it with that thank you so much.
Speaker Change: And Barrick Windows P S a.
Speaker Change: Aim right Anthony.
Speaker Change #127: Good morning. This is why they have got that in our school I E.
Speaker Change #128: Thank you for your question.
Speaker Change #128: Here.
Speaker Change #128: We have two important subjects in effect.
Speaker Change #128: It's about right.
Speaker Change: Cash bar of approximate.
Speaker Change: Well, what we have in dollars is what we reported for the business group.
Speaker Change: It's important to.
Speaker Change: I'd say that out of the $6 $5 million approximately one 7 billion.
Speaker Change: Is it a cash position of Isa.
Speaker Change: So and that as those resources from <unk> or the resources that Isa will be using during the year to guarantee their operation.
Speaker Change: So if an affiliate.
Speaker Change: And the different depending.
Speaker Change: Depending on the business manager every class high levels, though.
Speaker Change: Cash availability, especially in many of the U S.
Speaker Change: Businesses, it's doing well, it's carrying out in Chile. So that's important to mention on the second one.
Speaker Change: I think that's true.
Speaker Change: Is that the figure you mentioned reflects the cash position after receiving the payment of effect.
Speaker Change: Okay.
Speaker Change: From the beginning of April what it does not reflect is that we in the beginning of April made a payment.
Speaker Change: To the nation and to the shareholders and minority shareholder yourself, I cope with more or less.
Speaker Change: Keep it up.
Speaker Change: Clearly in pesos, that's a $1 billion more or less that's what we ended up.
Speaker Change: Drawing and dividends at the beginning of the here, who will also be making additional payments and dividends for those shareholders.
Speaker Change: Shareholders and the remainder of the year, starting in the second quarter of more or less.
Speaker Change: Too.
Speaker Change: There'll be the.
Speaker Change: Okay.
Speaker Change: Billions of dollars or eight trillion pesos approximately.
Speaker Change: So when we.
Speaker Change: Yeah.
Speaker Change: Talk about the.
Speaker Change: The fact that is that as part of that a big part of the cash and that we have to draw to pay dividends. During the rest of the year that we need resources to guarantee the operations of the company the investments of the year, which is quite considerable.
Speaker Change: Company is.
Speaker Change: Having.
Speaker Change: Of cash.
Speaker Change: Or is that even though it looks high right now and in addition to the receipt of the funds from perfect well harvest a seasonality that's normal throughout the year.
Speaker Change: Right now, we're not seeing it as a very high bar that would allow us to make possible mergers or acquisitions or maybe inorganic a.
Speaker Change: Higher capex that will be monitoring our cash balance as the year goes forward and also depending on the prices of crude oil.
Speaker Change: Thank you so much.
Speaker Change: Lastly in the bedroom that'd be admitted that and next question comes from that.
Fossil: Fossil ethical sellers from UBS you May proceed with your question Mr Basketball checks.
Speaker Change #129: Hi, Thanks for taking my question. It's on the and then John as you have seen and think of the advantage of the companies is taking neither I would like to get your updated view on the best way to balance investments in the core business hydrocarbons.
Mr Basketball: Investments in alternative sources of and abuse in your view water would be the best alternative to invest in other sources easy it organically inorganically.
Speaker Change: Other than in Colombia, what would be the top priorities in terms of regions and also are you seeing much difference in returns each one of the regions.
Speaker Change: This is my question. Thank you.
Speaker Change: Okay.
Speaker Change: Yes, that's a cute answer for your question. This is Ricardo law.
Ricardo: Speaking Isa.
Ricardo: The business model the original business model.
Ricardo: Has shown better performance economic performance.
Ricardo: In nature.
Isa: On the core of the essential business inside of the transmission.
Isa: Electricity today in Brazil that business is tied to an asset.
Isa: And in revenues under one Isa HUS in Colombia.
Speaker Change: And with its presence in seven countries.
Speaker Change: And developing.
Speaker Change: Intensive capex investments and assets.
Speaker Change: But it too to growth and.
Speaker Change: Also in the transmission assets.
Speaker Change: Is that has the possibility today.
Speaker Change: Developing this.
Speaker Change: No services to their core business stuff.
Speaker Change: Mission that we've been evaluating.
Speaker Change: For example, going into the business of generation or <unk>.
Speaker Change: And to this story just energy with batteries, so accumulator suite.
Speaker Change: I have thought that ease up because of that could grow and.
Speaker Change: Contribute to the results of the first quarter of 2024 at 16% of the EBITDA of the whole company on the whole ecopetrol.
Speaker Change: Would be like 2.3 Chilean pesos.
Speaker Change: Perfect Oh forbid pumps that would you know a very good performance.
Speaker Change: The possibility of having more business.
Speaker Change: Or more deals as part of that portfolio, we have of course restrictions related to.
Speaker Change: Uh huh.
Speaker Change: That relationship chip would there be a tie with ecopetrol.
Speaker Change: It beat our relationship I think those investment class, what's been working jointly with ease of administration of management to try to allocate capex and allocate resources, mainly focused on our continuing developing their traditional business.
Speaker Change: Energy transmission.
Speaker Change: There are options that were looking at.
Speaker Change: Either organically or inorganically outside of Colombia, obviously, an east coast portfolio. There are many but often centered but focused on transmission and locally and in the hydrocarbon sector. We've continued to evaluate opportunities.
Speaker Change: Oh business outside of the country.
Speaker Change: Provided that.
Speaker Change: It represents one of contribution.
Speaker Change:
Speaker Change: Growth in our economics.
Speaker Change: Indicators seem to a contribution of research.
Speaker Change: And the intention now.
Speaker Change: <unk> maintained.
Speaker Change: Maintaining.
Speaker Change: Uh huh.
Speaker Change: Sure reposition indicator because they push that with just talk to I guess.
Speaker Change: And on non life.
Speaker Change: Should generate.
Speaker Change: The adequate returns or value.
Speaker Change: Those assets should generate those returns and we're permanently evaluating them from the vice presidency up strategies.
Speaker Change: What do you have that.
Speaker Change: No.
Speaker Change #131: Well. Thank you very much right now we don't have any questions alive.
Speaker Change: Have questions from the Scott we don't know.
Speaker Change: That's the government has made a significant part of our box and accounts payable.
Speaker Change: Beck.
Speaker Change: No.
Speaker Change: What we do is the 23000 million pesos.
Speaker Change: 215 constant billing pay system, which the painful.
Speaker Change: Correct.
Speaker Change: Quarterly payments from the government in that case I'll quickly with a bolus alphabet should continue to see what the second one is given the free cash flow and the recent agreement this effect what the level of payments.
Speaker Change: Are you considering that for the next 12 months.
Speaker Change: The question is would you be able to remind us about the government.
Speaker Change: Between the prices of gasoline and diesel in Columbia with respect to the international prices.
Speaker Change: Your comment on the trends of prices, both gasoline and diesel in the country.
Speaker Change: Okay.
Speaker Change: Bruno.
Bruno: Not everybody knows.
Bruno: Yes, and polyethylene no. Good morning. This is why that got done in high school I. Thank you for your questions in relation to the first question.
Bruno: On the payments.
Speaker Change: We expect.
Speaker Change: No problem.
Speaker Change: <unk>.
Speaker Change: Oh that civilization run into fuels first I'd like to reiterate that ecopetrol.
Speaker Change: Yeah.
Speaker Change: Is that an outcome that very much.
Speaker Change: Fitted from payments, we continue to receive from the national government that have allowed us to reduce significantly the AR accumulation or.
Speaker Change: I know Scott Hickey.
Speaker Change: Of money into the fund to the almost 15 class in their own pieces, we had to date.
Speaker Change: Right I'll go.
Speaker Change: 15000, Asos, we have approximately 12.
Speaker Change: One seven trillion pesos that would correspond to that.
Speaker Change: I'll ask yourself with tech that were accumulated during the second and third and fourth quarter.
Speaker Change: 2023, and approximately $2 two trillion correspond to the accumulation with that.
Speaker Change: During the first quarter.
Speaker Change: 2024.
Speaker Change: Our expectation.
Speaker Change: We've been talking with the Ministry of Finance discussing.
Speaker Change: Discussing with the Ministry of Finance is that we could receive during 2024.
Speaker Change: Balances that are still pending payment of 2023 that is 12.7 thousand million pesos.
Speaker Change: I just mentioned.
Speaker Change: That's in relation to the first part of your question no what.
Speaker Change: What are we expecting in terms of Oh, so for Pic.
Speaker Change: And.
Speaker Change: What might bake it converge to zero right now at Corpus throne.
Speaker Change: Yes.
Speaker Change: Starting off from the basis that we would not all of them.
Speaker Change: I think it's doing 'twenty 'twenty four we would not potentially have an increase in the prices of diesel unless the government makes a decision.
Speaker Change:
Speaker Change: Besides otherwise in that.
Speaker Change: We would have to.
Speaker Change: Ah the Hyatt.
Speaker Change: Prices into account that they could.
Speaker Change: With that accumulation of prices are up work, we're seeing the accumulation of effect during the 'twenty 'twenty four time it will be.
Speaker Change: Between eight.
Speaker Change: And then.
Speaker Change: And then they pay so this is the range, but we will of course depend.
Speaker Change: On the behavior of.
Speaker Change: Those prices.
Speaker Change: In relation to.
Speaker Change: I think the precedent was shot something yes, I'd like to say or tell Bruno that during the last 18 months.
Speaker Change: We have.
Speaker Change: It's been the chin clean and because of the good attitude of the National government, we've been managing.
Speaker Change: Revenues in payment from the back of around 51 trillion pesos.
Speaker Change: And in addition to the possibility was kind of recovering those boxes monodic with man or there are other permanent Michigan's between the finance Ministry and the cockpit Troy.
Speaker Change: Uh Huh tunnel and to manage our debt payments and the times that we've been managing sort of agree of course, we must say that.
Speaker Change: Just part of the product of the policy of increasing the prices of gasoline in todays price conditions, we would have a small surplus that might offset the deficit being generated by the increase in the prices of diesel with the figures already mentioned by.
Speaker Change: But which would also reflect a behavior.
Speaker Change: That comes from the Mark the demand of those.
Speaker Change: The fuels.
Speaker Change: The increase of diesel as a tree.
Speaker Change: So you've got one 3.3 and he still has also increased considerably.
Speaker Change: And that's an increase of $6 three per cent that dynamics of demand are associated to.
Speaker Change: Uh huh.
Speaker Change: The final result of the subsidies to both diesel and gasoline being evaluated by the national government by the Ministry of mines by the Ministry of Finance.
Speaker Change: Yeah.
Speaker Change: So.
Speaker Change: Probably those balances would go back to the original conditions of the setback from 13 years and a.
Speaker Change: Emphasis per year would be two 3 billion pesos, we would go back to that condition, where that position if the conditions take place. The national government is thinking about enacting several decreased about the higher control of the pace of those fields.
Speaker Change: Segments of the market that require it.
Speaker Change: About a decree that.
Speaker Change: Would he.
Speaker Change: By not to eliminate the subsidies to the large consumers, we're talking about or would go towards the vision that would probably.
Speaker Change: Bring about a lower price of fuels to the market and with those the fishing and those actions. The expectation is that in at least a year would be returning to the normal.
Speaker Change: Patients of the bonds and felt that that would be at least two or 3 billion pesos three year trailing pieces for you.
Speaker Change: No.
Speaker Change #100: Thank you Bruno.
Speaker Change: <unk> two.
Speaker Change #101: The second question.
Speaker Change: On dividends.
Speaker Change: Dividends.
Speaker Change: Expecting.
Speaker Change: And.
Speaker Change: Next 12 months.
Speaker Change: That thing pursuant to what was approved.
Speaker Change: The general shareholders meeting the dividend up 300, and trough pesos per share.
Speaker Change: Over which.
Speaker Change: As I just said, we made our first payment to the minority shareholders and to the majority shareholder and we're pending those additional payments for $8 2 million during the year.
Speaker Change: And that distribution of dividends would correspond to an ordinary dividend payment of 60%, which is within our framework of policies of distributing between.
Speaker Change: 60, or 90% and an extraordinary dividend of approximately 7% and right now we don't have any additional anything additional to what I'm just telling you.
Speaker Change: Thank you.
Speaker Change #108: Got it.
Kt Corp: From Kt Corp.
Kt Corp: British gas what expectations do you have about a.
Kt Corp: The French Nelson the prices and what.
Kt Corp: We expect to expectations do you have on the tax rate for the second.
Kt Corp: Quarter.
Kt Corp: This is early but what can you do on the marketing and commercial vice president in relation to Brent spreads.
Kt Corp: We see a positive trend for the interests of Ecopetrol do we see spreads of one <unk>.
Speaker Change: So as of this quarter on the same quarter of last year, we had a recovery of that.
Speaker Change: That differential.
Speaker Change: Three point score docks in the first quarter of 2023, we had two digits first quarter work managing one visit and this is how we're forecasting it for the remaining quarters.
Speaker Change: Thank you Stephanie.
Stephanie: Yeah Neil.
Speaker Change #102: Thank you for your question this is Maria Catalina Escobar.
Speaker Change #104: Station to the expectation.
Speaker Change #103: The tax rate for the second.
Speaker Change #103: Older.
Speaker Change #103: 2024.
Speaker Change #113: Do you realize.
Speaker Change #103: Realized.
Speaker Change #103: Second our tax rate.
Speaker Change #103: I think I forgot.
Speaker Change: The first quarter of 2024 hours.
Speaker Change: 5%, it's important to mention that that right now.
Speaker Change: Fields.
Speaker Change: Because of the level of Brent that we had.
Speaker Change: During the quarter.
Speaker Change: A surcharge.
Speaker Change: And the income tax of 10%.
Speaker Change: What is the expectation that.
Speaker Change: Yes.
Speaker Change: For the second quarter of 2024, according to the behavior that we're seeing the prices Brent would be.
Speaker Change: 82.3 or 82.5.
Speaker Change: Dollars per barrel.
Speaker Change: Let me so that surcharge.
Speaker Change: When it come to be around 15% instead of 10.
Speaker Change: We had a solid.
Speaker Change: Definitely we would make.
Speaker Change: Yes activity our tax rate.
Speaker Change: To be higher in the second quarter than the one we saw in the first quarter up there.
Speaker Change: Alexandra centers.
Speaker Change #133: Andrew Antithrombotic Ansell alloys that stuff is there any more information about what kind of day one.
Speaker Change: The results are.
Speaker Change #134: So that there would be a viability of commercial liability of those finding thank you Alan.
Speaker Change #135: Oh. Good morning, this is not about slug, it out in relation to what kind of market.
Speaker Change #107: Continue to do the technical.
Speaker Change #107: Linda.
Speaker Change #136: I am having phone gotcha.
Speaker Change #136: I suppose.
Speaker Change #107: Ah the feels different from the kind of the.
Speaker Change #107: The initial discovery that is assessing whether or not that evaluation should be finalized when it got into the second quarter and we'll give you more information when we.
Speaker Change #107: Provided the results were that good.
Speaker Change #107: Second thing we have to highlight is that yeah. So it should be seen as a province or fallout.
Speaker Change #107: For large bases of one associated with the different skill set that we have with oxy tomorrow, well be April and the beginning of this year.
Speaker Change #107: Okay.
Speaker Change: And the end of this year at the beginning of next year anything related to the lower cost.
Speaker Change: Well and everything related to the northern area, which was a main well.
Speaker Change: This means that we will continue to drill there and trying to find other processed and then in the south Caribbean phasing we have.
Speaker Change: And we have to understand.
Speaker Change: We assign capital or allocate capital in the best way all of this analysis will probably need to have a better or clearer perspective, when we have the results from the different wells.
Speaker Change: Okay.
Speaker Change: Alejandro.
Speaker Change: Okay.
Speaker Change: <unk> indicated that our corporate goals might participate in that development.
Speaker Change: Renewables could you please indicate what our.
Speaker Change: Return parameters for that investment are.
Speaker Change: Okay.
Speaker Change: Alejandro Good morning, This is Chicago Tau.
Alejandro: Our portfolio and the map roadmap of 24 B.
Chicago: We're going to have 24, he would have to incorporate in our energy.
Alejandro: Well it gets with renewable energy is one of them with.
Alejandro: <unk> potential and that would be Oh.
Alejandro: Power offshore the government has taken.
Alejandro: Have fun a round of allocating area so the Caribbean Sea.
Alejandro: To develop those potential self E all that energy.
Alejandro: Power, which is one of the main supports for the eventual production no emission hydrogen and.
Alejandro: Yes.
Alejandro: We start off from that expectation of developing projects that type of technology, the parameter sound like yours.
Alejandro: Are we don't have them yet.
Speaker Change #137: We are trying to do.
Alejandro: We can allocate those levels of investment required in the off shore.
Alejandro: Our evaluation metrics.
Alejandro: It was a central priority to develop those types of projects and the territorial platform, but there are good factors and wind regimes compared to other factors.
Alejandro: It could be up around 50% to 60%.
Alejandro: Is the greatest benefit.
Alejandro: As shown by the wind regimes in the Caribbean Sea, if we look at it in that manner would be interested in participating in that development that according to the scheme.
Alejandro: Led by the government and this wrong so for allocating areas.
Alejandro: Potential extra.
Alejandro: Exploration of power.
Alejandro: To be awarded to a person.
Alejandro: Entity in the country jewelry per person and the country.
Alejandro: And we would have that possibility.
Alejandro: Exploiting all the power both in onshore and offshore.
Alejandro: Already made contact with large play yourself, the world, who have the capacity and the skills to develop those technologies in the offshore and that's why it's part of the portfolio of the projects will permanently evaluate.
Alejandro: No.
Speaker Change #118: There are no more questions. So I'll give the word to the precedent. He wants you can't be all fine.
Alejandro: Sure.
Alejandro: Yeah.
Precedent: Thinking uniquely of Kraft foods, all your questions.
Speaker Change #111: [noise] allowed us to clarify something from us.
Speaker Change #119: Oh really.
Speaker Change #119: Alrighty analysis, then to ready to eat that article.
Speaker Change #111: More than 120000 people, who work very hard.
Speaker Change #111: And every day to protect us shoulder knee.
Speaker Change #111: It's under a domain of control or a corporate goal to continue being the big or the great company of all Colombian seem to be able to generate in them and the evolution of our main indicators the possibility.
Speaker Change #111: Having available the resources required to move forward in a road map of energy transition.
Speaker Change #116: Very much.
Speaker Change #114: Thank you everybody went that way.
Speaker Change #115: To close the conference I'll always starts off the first quarter of 2024. Thank you for your participation you.
Speaker Change #122: Now disconnect.
Speaker Change #122: Okay.
Speaker Change #122: Okay.
Speaker Change #115: Okay.
Speaker Change #115: [music].
Speaker Change #115: Okay.
Speaker Change #115: [music].
Speaker Change #115: Okay.
Speaker Change #115: Okay.
Speaker Change #115: [music].
Speaker Change #115: Yeah.