Q2 2025 Ecopetrol SA Earnings Call

Speaker #1: Good Good morning, my name is Natalia and I will be your operator today. Welcome to Ecopetrol's earnings conference call. In which we will discuss the main financial and operating results of the second quarter of 2025.

Natalia: Good morning. My name is Natalia, and I will be your operator today. Welcome to Ecopetrol's earnings conference call, in which we will discuss the main financial and operating results of the second quarter of 2025. There will be a questions and answers session at the end of the presentation. Before we begin, it is important to mention that the comments in this call by Ecopetrol's senior management include projections of the company's future performance. These projections do not constitute any commitment as to future results, nor do they take into account risks or uncertainties that could materialize. As a result, Ecopetrol assumes no responsibility in the event that future results are different from the projections shared on this conference call. The call will be led by Mr.

Speaker #1: There will be a questions and answers session at the end of the presentation. Before we begin, it is important to mention that the comments in this call by Ecopetrol's senior management include projections of the company's future performance.

Speaker #1: These projections do not constitute any commitment as to future results, nor do they take into account risks or uncertainties that could materialize. As a result, Ecopetrol assumes no responsibility in the event that future results are different from the projections shared on this conference call.

Speaker #1: The call will be led by Mr. Ricardo Roa, CEO of Ecopetrol. Rafael Guzman, Executive Vice President of Hydrocarbons. Camilo Barragan, CFO, and Byron Triana, Executive Vice President of Transition Energies.

Natalia: Ricardo Roa, CEO of Ecopetrol; Rafael Guzman, Executive Vice President of Hydrocarbons; Camilo Barco, CFO; and Byron Triana, Executive Vice President of Transition Energies. Thank you for your attention. Mr. Roa, you may begin your conference.

Speaker #1: Thank you for your attention. Mr. Roa, you may begin your conference.

Speaker #2: Welcome to Ecopetrol Group's second quarter of 2025 earnings call. During the quarter, we maintained solid operations with improvements in upstream recovery and downstream, and resilient results in the midstream segment, despite a challenging environment marked by highly volatility and declining crude prices due to geopolitical tensions and third-party disruptions to the transportation system infrastructure.

Ricardo ROA: Welcome to Ecopetrol Group's second quarter of 2025 earnings call. During the quarter, we maintained solid operations with improvements in upstream, recovery in downstream, and resilient results in the midstream segment. Despite a challenging market environment, we highlighted volatility and declining crude prices due to geopolitical tensions and third-party disruptions to the transportation system infrastructure. We reached a semester production of 751,000 barrels of oil equivalent per day, the highest level in a decade. It was driven by fields in Colombia, such as Caño Sur and CPO-09, which contributed to the highest national crude production in four years, as well as strong performance in the Permian Basin in the United States. We declared the commercial viability of the Loreto methane discovery, the most significant in the past 10 years, following the recent acquisition of 45% of the CPO-09 block.

Speaker #2: We reached a semester production of 751 thousand barrels of equivalent per day. We reached a semester production of 751 thousand barrels of oil equivalent per day.

Speaker #2: The highest level in a decade. This was driven by field in Colombia such as Cañon Sur and CPO 09, which contributed to the highest national crude production in four years, as well as strong performance in the Permian Basin in the United States.

Speaker #2: We declared the commercial viability of the Lorito Discovery in metan, the most significant in the past ten years, following in the recent acquisition of 45 percent of the CPO 09 block.

Speaker #2: Additionally, we began drilling the Papayola ware in the Caribbean offshore, aimed at expanding the country's gas potential. In the midstream, volumes exceeded one million barrels per day, supported by operational solutions that mitigate the impact of external events.

Ricardo ROA: Additionally, we began drilling the Papayola Ware in the Caribbean offshore, aimed at expanding the country's gas potential. In the midstream volumes, we exceeded 1 million barrels per day, supported by operational solutions that mitigate the impact of external events. We highlighted the expansion of the Pozos Colorados terminal, including the completion of the country's largest tank with a capacity of 320,000 barrels, and the unloading capacity increased to 550,000 barrels, enabling the reception of large vessels. In downstream, we reached 405,000 barrels per day in throughput, with full operational recovery after completing major maintenance activities. We expect to capitalize on this with improved margins in the second half of the year. In the gas segment, we completed the first long-term commercialization of imported natural gas in Colombia, securing national supply through five-year contracts.

Speaker #2: We highlight the expansion of the Postos Colorados terminals, including the completion of the country's largest tank with a capacity of 320 thousand barrels and the unloading capacity increased to 550 thousand barrels enabling the reception of larger vessels.

Speaker #2: In downstream, we reached 450 thousand barrels per day in throughput with full operational recovery after completing measure maintenance activities. We expect to capitalize on this with improved margins in the second half of the year.

Speaker #2: In the gas segment, we completed the first long-term commercialization of imported natural gas in Colombia, securing national supply through five-year contracts. Finally, we signed the agreement to acquire Winpechi, Ecopetrol's first wind project, developed by us, located in La Guajira.

Ricardo ROA: Finally, we signed the agreement to acquire WILPECHI, Ecopetrol's first wind project developed by our own, located in La Guajira. This is a key step toward advancing decarbonization and reducing energy costs in our operations. In summary, Ecopetrol's operations have adapted swiftly to the environment, maintaining the positive trend seen in recent quarters. Let's move on to the next slide, please. The solid operational progress during the quarter was partially offset by the decline of crude prices. Rent fell by 22% compared to the second quarter of 2024, impacting both revenue and profits. On the commercial front, we achieved the best quarterly crude differential in the past four years, thanks to a diversified basket and an active marketing strategy that allowed us to capture value even in a low-price environment.

Speaker #2: This is a key step toward advancing decarbonization and reducing energy costs in our operations. In summary, Ecopetrol's operations have adapted swiftly to the environment, maintaining a positive trend seen in recent quarters.

Speaker #2: Let's move on to the next slide, please. The solid operational progress during the quarter was partially offset by the decline of the crude price, REM fell by 22 percent compared to the second quarter of 2024 impacting both revenue and profits.

Speaker #2: On the commercial front, we achieved the best quarterly crude differential in the past four years, thanks to a diversified basket and an active marketing strategy that allowed us to capture value even in a low price environment.

Speaker #2: We achieved efficiencies totaling 2.2 trillion Colombian pesos, exceeding the semester's target by 27 percent, helping to mitigate the impact of lower prices. In terms of investments, we have committed our two billion five hundred million USA dollars, so far this year aligned with our long-term strategy.

Ricardo ROA: We achieved efficiencies totaling 2.2 trillion Colombian pesos, exceeding the semester's target by 27%, helping to mitigate the impact of lower prices. In terms of investments, we have committed our US$2,500 million so far this year, aligned with our long-term strategy. It is worth noting that we are maintaining our production target for 2025. During the quarter, we completed the full payment of dividends to our shareholders, delivering a 10% return, reaffirming our commitment to generating value and competitive returns. Regarding the optimization plan announced last quarter, we have made 80% progress in reducing costs and expenses, strengthening our financial and cash position for the year. In conclusion, this was a quarter marked by strong operations underpinned by competitive commercial decisions and by efficiencies that support the group's financial performance. Let's move on to the next slide, please. We continue to make steady progress on our TESG agenda.

Speaker #2: It is worth noting that we are maintaining our production target for 2025. During the quarter, we completed the whole payment of dividends to our shareholders, delivering a 10 percent return, reaffirming our commitment to generating value and competitive returns.

Speaker #2: Regarding the optimization plan, announced last quarter, we had made 80 percent progress in reducing costs and expenses strengthening our financial and cash position for the year.

Speaker #2: In conclusion, this was a quarter marked by strong operations, underpinned by competitive commercial decisions and by efficiencies that support the group's financial performance. Let's move on to the next slide, please.

Speaker #2: We continue to make steady progress on our TESG agenda. We expect to exceed the goal of 900 megawatts in renewable energy for cell generation by 2025, thanks to acquisitions made during the quarter, which will be detailed later in the presentation.

Ricardo ROA: We expect to exceed the goal of 900 megawatts in renewable energy for cell generation by 2025, thanks to acquisitions made during the quarter, which will be detailed later in the presentation. In the decarbonization, we continue to surpass our greenhouse gas emission reduction target with a reduction of 242,000 tons of CO2 equivalent, comparable to average annual energy consumption emissions of 190,000 Colombian households. On the social front, through the leeway of tax mechanisms, we completed six initiatives representing an investment of 43 billion Colombian pesos, benefiting approximately 350,000 people across various regions of the country. Additionally, we allocated more than 180 billion Colombian pesos to our sustainable territorial development portfolio, which includes social, environmental, and community engagement investments. In water resource management, we used over 44 billion cubic meters of ET in our direct operations.

Speaker #2: In the decarbonization, we continue to surprise our greenhouse gas emission reduction target with a reduction of 242 thousand tons of CO2 equivalent, comparable to average annual energy consumption emissions of 190 thousand Colombian households.

Speaker #2: On the social front, through the new taxes mechanisms, we completed six initiatives representing an investment of 43 billion Colombian pesos, benefiting approximately 350 thousand people across various regions of the country.

Speaker #2: Additionally, we allocated more than 180 billion Colombian pesos to our sustainable territorial development portfolio, which includes social, environmental, and community engagement investments. We were resource management, where we used over 44 billion cubic meters of heat in our direct operations.

Speaker #2: This is equivalent to nearly twice the annual domestic consumption of approximately 500 thousand residents of the entire Casanare department. In job creation, we facilitated over 66 thousand labor engagements in the first semester.

Ricardo ROA: This is equivalent to nearly twice the annual domestic consumption of approximately 500,000 residents of the entire Casanare department. In job creation, we facilitated over 66,000 labor engagements in the first semester through our contractor companies, reaffirming our commitment to economic development in the regions where we operate. With these achievements, we continue to strengthen our contribution to regional well-being and the country's sustainable development. I now hand over to Rafael Guzman, who will present the results of the Hydrocarbons business line.

Speaker #2: Through our contractor companies, reaffirming our commitment to economic development in the regions where we operate. With these achievements, we continue to strengthen our contribution to regional well-being and the country's sustainable development.

Speaker #2: I now hand over to Rafael Guzman, who will present the results of the hydrocarbons business line.

Speaker #3: Thank you, Ricardo. During the first half of 2025, we achieved significant progress in the upstream segment, driving forward key discoveries towards their development phase.

Rafael Guzman: Thank you, Ricardo. During the first half of 2025, we achieved significant progress in the upstream segment, driving forward key discoveries towards their development phase. To highlight the following milestones: the Commerciality Declaration of the Loreto discovery in June, to be covered in more detail in the next slide; the recognition by the Brazilian National Agency of Petroleum and Biofuels of the Commerciality Declaration for the development areas of Gato do Mato, now named Orca and South Orca, on May 20, 2025. This fulfilled a key milestone, enabling the start of proven research incorporation in 2025. In parallel, detailed engineering began for the floating production unit and processing facilities, along with safety analysis and the consolidation of project teams. The Sirius project progressed towards its development phase. Work is currently underway on the contract model for the design, construction, and operation of the necessary surface facilities for gas treatment.

Speaker #3: To highlight the following milestones: the commerciality declaration of the Lorito Discovery in June, to be covered in more detail in the next slide. The recognition by the Brazilian National Agency of Petroleum and Biofuels of the commerciality declaration for the development areas of Gato do Mato, now named Orca and South Orca.

Speaker #3: On May 20th, 2025, this fulfilled a key milestone, enabling the start of proven research in cooperation in 2025 in parallel detailed engineering began for the floating production unit and processing facilities.

Speaker #3: Along with safety analysis and the consolidation of project teams, the serious project progressed towards its development phase. Work is currently underway on the contract model for the design, construction, and operation of the necessary surface facilities for gas treatment.

Speaker #3: Moreover, ethnic, social, and environmental feasibility activities are being carried out. After obtaining the provenance certificate for the beach crossing, granted by the National Authority for Prior Consultation, regarding the southern Caribbean offshore assets, on June 9th, 2025, we submitted a request to the ANH to assign shells 50 percent interest in the block in favor of Ecopetrol.

Rafael Guzman: Moreover, ethnic, social, and environmental feasibility activities are being carried out after obtaining the provenance certificate for the beach crossing, granted by the National Authority for prior consultation. Regarding the Southern Caribbean offshore assets, on June 9, 2025, we submitted a request to the ANH to assign shares of 50% interest in the block in favor of Ecopetrol. We continue advancing on the evaluation of alternatives for executing the development. By the end of the semester, six out of ten planned exploratory wells had been drilled, with $156 million of investment already executed. This includes the exploratory success of the Kurubutu I well, operated by Geopark in partnership with HOCOLD, in block Janus 143. This well is located in the same eastern Janus basin as the Tolitos discovery, which reduces technical uncertainty in the block and expands its production potential to the north.

Speaker #3: We continue advancing on the evaluation of alternatives for executing the development. By the end of the semester, six out of ten planned exploratory wells had been drilled, with 156 million dollars of investment already executed.

Speaker #3: This includes the exploratory success of the Curucutuan well, operated by Geopark in partnership with Ocol, in block Janos 123. This well is located in the same eastern Janos Basin as the Toritos Discovery, which reduces technical uncertainty in the block and expands its production potential to the north.

Speaker #3: The exploration campaign in block Gua of Zero continued with the drilling of Buena Suerte I well, such well did not show commercial hydrocarbon accumulations.

Rafael Guzman: The exploration campaign in block Guo of Zero continued with the drilling of the Buenas Suertes I well. Such wells did not show commercial hydrocarbon accumulation. However, the well provided valuable geological insights into a plate different from the one of Sirius, with additional prospectivity to be matured based on the data obtained. Drilling began in the Papayola I well, targeting a plate similar to that of Sirius. Let's move on to the next slide. The declaration of commerciality for the Loreto discovery, located in the municipality of Guamal, Meta, marks the culmination of a successful exploration process and reflects the strategic value of acquiring the 45% interest in block CPO-09 from Repsol. It represents the most significant discovery in terms of resource potential over the past decade, with approximately 250 million barrels of oil in recoverable resources, including 109 million barrels classified as certified contingent resources.

Speaker #3: However, the well provided valuable geological insight into a plate different from the one of Sirius, with additional prospectivity to be matured based on the data obtained.

Speaker #3: Drilling began in Papayola I well, targeting a plate similar to that of Sirius. Let's move on to the next slide. The declaration of commerciality for the Lorito Discovery located in the municipality of Huamal, Meta, marks the culmination of successful exploration process and reflects the strategic value of acquiring the 45 percent interest in block CPO 9 from Repsol.

Speaker #3: It represents the most significant discovery in terms of resource potential over the past decade, with approximately 250 million barrels of oil in recoverable resources, including 109 million barrels classified as certified contingent resources.

Speaker #3: This commercial milestone enables the development of 13 thousand 584 acres of area, a size comparable to the Chichimena field, and incorporates into the production two wells, the Juan 1 and Huamal Profundo 1, located near the Acacia field, with a combined production potential of 1450 barrels per day.

Rafael Guzman: This commercial milestone enables the development of 13,584 acres of area at size comparable to the Chichimena field and incorporates into the production two wells, the Juan I and Guamal Profundo I, located near the Acacias field, with a combined production potential of 1,450 barrels per day. As shown on the map, its proximity to existing production and transportation infrastructure, as well as the potential continuity of the reservoir with nearby fields such as Acacias and Chichimena, facilitates commercial production, technical delineation, and enables capturing of operational synergies. The development plan will be submitted to the ANH in the fourth quarter of the year. This plan will include the proposed activities, licensing requirements, and necessary investment for the future progression to reserves. Let's move on to the next slide.

Speaker #3: As shown on the map, its proximity to existing production and transportation infrastructure, as well as the potential continuity of the reservoir with nearby fields such as Acacia, and Chichimene, facilitates commercial production technical delineation and enables capturing of operational synergies.

Speaker #3: The development plan will be submitted to the ANH in the fourth quarter of the year. This plan will include the proposed activities, licensing requirements, and necessary investment for the future progression to research.

Speaker #3: Let's move on to the next slide. During the first half of 2025, we reached total production of 751 thousand barrels of oil equivalent per day, the highest level recorded since 2015.

Rafael Guzman: During the first half of 2025, we reached a total production of 751,000 barrels of oil equivalent per day, the highest level recorded since 2015, driven by the following facts: first, the contribution from domestic crude oil production that reached 517,000 barrels of oil per day, the highest level since 2021, driven primarily by Caño Sur, which added 10,000 barrels per day compared to the same period last year, and the acquisition of 45% interest in block CPO-09, which contributed an additional 11,000 barrels per day. Second, the drilling campaign in the Permian Basin reached a production of 106,000 barrels of oil equivalent per day for the semester, an increase of 14,000 barrels compared to the same period last year. This result reflects the optimization of completion designs, the efficiency in bringing new wells online, and an accelerated schedule, enabled by operational efficiencies in drilling and completions.

Speaker #3: Driven by the following factors. First, the contribution from domestic crude oil production reached 517,000 barrels of oil per day, the highest level since 2021.

Speaker #3: During primarily by Cañon Sur, which added 10 thousand barrels per day, compared to the same period last year, and the acquisition of 45 percent interest in block CPO 9, which contributed an additional 11 thousand barrels per day.

Speaker #3: Second, the drilling campaign in the Permian Basin reached a production of 106,000 barrels of oil equivalent per day for the semester, an increase of 14,000 barrels compared to the same period last year.

Speaker #3: This result reflects the optimization of completion designs and efficiency in bringing new wells online and an accelerated schedule, enabled by operational efficiencies in drilling and completions.

Speaker #3: As shown in the top right graph, in June we were able to recover national crude oil production that had been affected by external events and related to Ecopetrol's operations, mainly concentrated in April.

Rafael Guzman: As shown in the top right graph, in June, we were able to recover natural crude oil production that had been affected by external events unrelated to Ecopetrol S.A.'s operations, mainly concentrated in April. This recovery was possible thanks to our experience in effective incident management and minimization of operational disruptions. During the semester, $1.4 billion were invested, highlighting the expansion of water treatment capacity in Rubiales and Caño Sur, and the gradual commissioning of crude treatment capacity at the Orotoy Station, which by July had increased to 35,000 barrels. These facilities enabled the operational continuity of the fields and supported production growth. Additionally, we executed 180 work covers, a 59% increase over the same period last year, and 220 development wells, reaching levels close to those of 2024.

Speaker #3: This recovery was possible thanks to our experience in effective incident management and the minimization of operational disruptions. During the semester, $1.4 billion was invested, highlighting the expansion of water treatment capacity in Rubiales and Cañon Sur, and the gradual commissioning of crude treatment capacity at the Orotor station, which by July had increased to 35,000 barrels.

Speaker #3: These facilities enable the operational continuity of the fields and support production growth. Additionally, we executed 180 work covers, a 59 percent increase over the same period last year, and 220 development wells, reaching levels close to those of 2024.

Speaker #3: As part of the efficiency strategy and investment prioritization based on brand price, total projected investment is 3.6 billion dollars for production and 400 million dollars for exploration.

Rafael Guzman: As part of the efficiency strategy and investment prioritization based on brand price, total projected investment is $3.6 billion for production and $400 million for exploration, for a total of $4 billion in the upstream segment. These optimizations do not impact reserve incorporation or production levels. We maintain our established target of 740,000 to 750,000 barrels of oil equivalent per day for 2025. Let's move on to the next slide, please. The midstream segment delivered solid financial results with a 9% increase in EBITDA in the first half of the year compared to the same period in 2024. This demonstrates the operation's resilience in a challenging environment. In volumetric terms, transported volumes decreased by 6% compared to the second quarter of 2024 and by 4% compared to the first half of the previous year, as shown in the top left graph.

Speaker #3: For a total of $4 billion in the upstream segment. This optimization does not impact reserve incorporation or production levels. We maintain our established target of 740,000 to 750,000 barrels of oil equivalent per day for 2025.

Speaker #3: Let's move on to the next slide, please. The midstream segment delivered solid financial results, with a 9 percent increase in EBITDA in the first half of the year, compared to the same period in 2024.

Speaker #3: This demonstrates the operation's resilience in a challenging environment. In volumetric terms, transported volumes decreased by 6 percent compared to the second quarter of 2024, and by 4 percent compared to the first half of the previous year.

Speaker #3: As shown in the top left graph, this was mainly due to an increase in external events such as blockades, attacks on transportation infrastructure, hydrocarbon theft, and lower crude oil production from third parties in the country.

Rafael Guzman: This was mainly due to an increase in external events such as blockades, attacks on transportation infrastructure, hydrocarbon theft, and lower crude oil production from third parties in the country. Additionally, the scheduled maintenance at the Barranca Vermeja refinery impacted volumes of both crude and refined products. In response to third-party impacts on transportation infrastructure, we have implemented strategies such as stronger operational control, leveraging technology for rapid detection, repair, and evacuation at affected points. These efforts were coordinated with government agencies and included the implementation of alternative evacuation routes, enabling transportation of more than 7 million barrels from the Janus Norte fields via the Bicentenario Oil Pipeline and the segregation of this crude from Araguaney to the Barranca Vermeja refinery, preserving its quality and properties. At the same time, the segment made decisive progress that enhanced the resilience of the midstream systems, with some milestones as follows.

Speaker #3: Additionally, the scheduled maintenance at the Barrancabermeja refinery impacted volumes of both crude and refined products. In response to third-party impacts on transportation infrastructure, we have implemented a strategy that includes stronger operational control, leveraging technology for rapid detection, repair, and evacuation at affected points.

Speaker #3: This effort was coordinated with government agencies and included the implementation of alternative evacuation routes, enabling transportation of more than 7 million barrels from the Janos Norte fields via the Bicentenario Oil Pipeline and the segregation of this crude from Araguane to the Barrancabermeja refinery, preserving its quality and properties.

Speaker #3: At the same time, the segment made decisive progress that enhanced the resilience of the midstream systems, with some milestones as follows. In refined products, a highlight includes the storage expansion at the Postos Colorados terminal, reaching 1.5 million barrels of storage capacity and the capacity to receive refined product vessels of up to 550,000 barrels. Additionally, oil pipeline capacity was increased in several systems.

Rafael Guzman: In refined products, a highlight included storage expansion at the Pozos Colorados terminal, reaching 1.5 million barrels of the storage capacity and the capacity to receive refined product vessels of up to 550,000 barrels. Crude oil pipeline capacity was increased in several systems. The Vasconia to Barranca Vermeja line capacity was increased by 7%, enabling greater availability of domestic crude oil to the refinery. The Araguaney to Cusiana evacuation capacity was increased from 50,000 to 80,000 barrels per day, allowing faster inventory reduction from Janus Norte fields and lowering the risk of production deferrals. The stabilized operation of the Caño Sur to Odell pipeline, with evacuation flows exceeding 50,000 barrels per day, helped mitigate production deferrals and capture savings of 77 billion Colombian pesos.

Speaker #3: There was corner to Barrancabermeja line capacity was increased by 7 percent, enabling graded availability of domestic crude oil to the refinery. The Araguane to Cusena evacuation capacity was increased from 50 to 80 thousand barrels per day, allowing faster inventory reduction from Janos Norte fields and lowering risk of production deferrals.

Speaker #3: The stabilized operation of the Cañon Sur to Odeyende pipeline with evacuation flows exceeding 50 thousand barrels per day, which helped mitigate production deferrals and capture savings of 77 billion Colombian pesos.

Speaker #3: This set of achievements demonstrates how, in a challenging context, the segment continues to execute strategic projects that reinforce the capacity and efficiency of Colombia's hydrocarbon transportation system.

Rafael Guzman: This set of achievements demonstrates how, in a challenging context, the segment continues to execute strategic projects that reinforce the capacity and efficiency of Colombia's hydrocarbon transportation system. Let's move to the next slide. In the second quarter of 2025, the downstream segment showed a recovery in its financial results, with a 53% increase in EBITDA compared to the same period in 2024. This was supported by an improvement in operational availability, which reached 95.8%, up from 91.2% in the first quarter of 2025. These results reflect continuous improvement in performance and operational stability at the refineries, driven by progress in the major maintenance cycle, with eight out of ten scheduled works completed, including those of cracking UOP-2, polyethylene-1, and Prime-G units.

Speaker #3: Let's move to the next slide. In the second quarter of 2025, the downstream segment showed a recovery in its financial results, with a 53 percent increase in EBITDA compared to the same period in 2024.

Speaker #3: This was supported by an improvement in operational availability, which reached 95 point 8 percent, up from 91 point 2 percent in the first quarter of 2025.

Speaker #3: This result reflects continuous improvement in performance and operational stability at the refineries, driven by progress in the major maintenance cycle, with 8 out of 10 scheduled works completed, including those of cracking UOP 2 polyethylene 1 and Prime G units.

Speaker #3: As a result, consolidated throughputs reached 413 thousand barrels per day, in the second quarter of the year, showing a 4 percent recovery compared to the first quarter of 2025.

Rafael Guzman: As a result, consolidated throughputs reached 413,000 barrels per day in the second quarter of the year, showing a 4% recovery compared to the first quarter of 2025, as shown in the top left graph. On a semester basis, the throughput reflected the impact of increased maintenance activity in the first quarter, showing a 5% decrease versus the same period of the previous year. In terms of integrated gross refining margin, the segment reached $12.5 per barrel, mainly driven by operational improvements that boosted availability and by better international gasoline and diesel differential. This represents an increase of 37% compared to the second quarter of 2024 and 15% versus the first quarter of 2025, as illustrated in the top right charts. For the first half of 2025, the integrated gross refining margin was $11.7 per barrel, slightly below the figure for the same period in 2024, a decrease of 2%.

Speaker #3: As shown in the top left graph, on a semester basis, the throughput reflected the impact of increased maintenance activity in the first quarter, showing a 5 percent decrease versus the same period of the previous year.

Speaker #3: In terms of integrated gross refining margin, the segment reached 12.5 dollars per barrel, mainly driven by operational improvements that boosted availability and by better international gasoline and diesel differential.

Speaker #3: This represents an increase of 37 percent compared to the second quarter of 2024 and 15 percent versus the first quarter of 2025. As illustrated in the top right charts, for the first half of 2025, the integrated gross refining margin was 11.7 dollars per barrel, slightly below the figure for the same period in 2024.

Speaker #3: A decrease of 2 percent. This was due to maintenance cycle and the unexpected power outage at the Cartagena refinery, lower availability of light crude due to external events, and other market-related factors.

Rafael Guzman: This was due to the maintenance cycle and the unexpected power outage at the Cartagena refinery, lower availability of light crude due to external events, and other market-related factors. As shown in the bottom left graph, the segment's EBITDA grew 38% compared to the first quarter of 2025 and 53% compared to the second quarter of 2024, reflecting efficient management, lower fixed stock costs, and better product differentials. However, on a semester basis, this indicator was impacted by external events and the scheduled maintenance plan. Looking ahead, Ecopetrol projects to maintain its competitiveness through an integrated strategy based on four pillars: maximization of high-value products, portfolio diversification, operational efficiency, and reliability and sustainability. During the second quarter, the following key milestones were achieved in support of this sustainability plan.

Speaker #3: As shown in the bottom left graph, the segment's EBITDA grew 38% compared to the first quarter of 2025 and 53% compared to the second quarter of 2024, reflecting efficient management, lower fixed stock costs, and better product differentials.

Speaker #3: However, on a semester basis, decay indicator was impacted by external events and the scheduled maintenance plan. Looking ahead, Ecopetrol projects to maintain its competitiveness through an integrated strategy based on four pillars: maximization of high-value products, portfolio diversification, operational efficiency, and reliability, and sustainability.

Speaker #3: During the second quarter, the following key milestones were achieved in support of this sustainability plan: contributing to operational reliability, progress was made on the Cartagena refinery's electrical reliability plan, with 9 out of 16 planned milestones completed by June 2025.

Rafael Guzman: Contributing to operational reliability, progress was made on the Cartagena refinery's electrical reliability plan, with nine out of 16 planned milestones completed by June 2025. In the maximization of high-value products, progress in transforming low-value bottoms supported the export of higher-quality refined products with better margins, such as the first export of IFO-380 marine fuel to the United States and a record in liquid asphalt exports from the Barranca Vermeja refinery. Likewise, on July 15, the first direct export of liquid paraffin to Brazil was completed, with expansion projected into other Latin America markets. Finally, on July 10, an alliance with the Civil Aviation Authority of Colombia was formalized to promote the development of sustainable aviation fuels, SAF, in Colombia. Let's move on to the next slide, please.

Speaker #3: In the maximization of high-value products, progress in transforming low-value bottoms supported the export of higher quality refined products with better margins, such as the first export of IFO 380 marine fuel to the United States, and a record in liquid asphalt exports from the Barrancabermeja refinery.

Speaker #3: Likewise, on July 15th, the first direct export of liquid paraffin to Brazil was completed, with expansion projected into other Latin America markets. Finally, on July 10th, an alliance with the Civil Aviation Authority of Colombia was formalized to promote the development of sustainable aviation fuels, SAF, in Colombia.

Speaker #3: Let's move on to the next slide, please. In 2025, the hydrocarbons business line continues to deliver on its integrated efficiency and competitiveness strategy, contributing trillion pesos by the end of the second quarter of 2025.

Rafael Guzman: In 2025, the Hydrocarbons business line continues to deliver on its integrated efficiency and competitiveness strategy, contributing trillion pesos by the end of the second quarter of 2025, 12% higher than the same period in 2024, as shown in the top left chart. 64% of these efficiencies had a direct impact on EBITDA through initiatives that reduced and optimized operating costs, with 684 billion pesos in open savings and generated additional income of 668 billion pesos. Among the implemented initiatives, the following stand out: tariff optimizations in new service contracts, energy efficiency projects in operations, lower crude evacuation costs due to the startup of the Caño Sur-Odelle pipeline, synergies captured in transportation systems and producing assets to integrated operations, production and commercialization of higher-quality, higher-margin products, improved margins in refined product purchases and imports, and include exports, among others.

Speaker #3: 12 percent higher than the same period in 2024, as shown in the top left chart. 64 percent of this efficiencies had a direct impact on EBITDA through initiatives that reduced and optimized operating costs, with 684 billion pesos in office savings and generated additional income of 668 billion pesos.

Speaker #3: Among the implemented initiatives, the following stand out: tariff optimizations in new service contracts, energy efficiency projects in operations, lower crude evacuation costs due to the startup of the Cañon Sur, Odeyende pipeline, synergies captured in transportation systems, and producing assets to inter-integrated operations, production and commercialization of higher quality higher margin products, improved margins in refined product purchases, and imports and include exports.

Speaker #3: Among others. In addition, new investment cost optimizations were incorporated, accounting for 30 percent of total efficiencies, along with working capital improvements which had a positive cash flow impact of 108 billion pesos, achieved through inventory management and savings in financial expenses.

Rafael Guzman: In addition, new investment cost optimizations were incorporated, accounting for 30% of total efficiencies, along with working capital improvements, which had a positive cash flow impact of 108 billion pesos, achieved through inventory management and savings in financial expenses. Regarding lifting costs, it stood at $11.59 per barrel in the first half of the year, reflecting a decrease of $0.45 per barrel compared to the same period in the previous year, thus maintaining the target announced to the market, as shown in the top right chart.

Speaker #3: Regarding lifting costs, it stood out 11.59 dollars per barrel. In the first half of the year, reflecting a decrease of 0.45 dollars per barrel compared to the same period in the previous year, thus maintaining the target announced to the market as shown in the top right chart.

Speaker #3: This result was supported by a favorable exchange rate effect and capture efficiencies primarily in optimization of the operation and maintenance model in non-industrial areas, reuse of materials in subsurface operations, improved maintenance contract rates, efficient energy management with a gradual and structural decrease in energy intensity per barrel, despite a significant increase in the total volume of fluids produced as shown in the bottom right slide.

Rafael Guzman: This result was supported by a favorable exchange rate effect and capture efficiencies, primarily in optimization of the operation and maintenance model in non-industrial areas, reuse of materials in subsurface operations, improved maintenance contract rates, efficient energy management, with a gradual and structural decrease in energy intensity per barrel, despite a significant increase in the total volume of fluids produced, as shown in the bottom right slide. The efficiency plan allowed to double this contribution to lifting costs compared to 2024, partially mitigating the impact of inflation, higher costs associated with labor reform, accelerated scheduling of subsurface and surface maintenance activities, and increased treatment costs due to higher total production volumes. Meanwhile, the cost per barrel transported and the refining cash cost increased by 2% and 3%, respectively, due to lower transported volumes and reduced refining throughputs, as previously explained.

Speaker #3: The efficiency plan allowed to double this contribution to lifting costs compared to 2024. Partially mitigating the impact of inflation and higher costs associated with labor reform, accelerated scheduling of subsurface and surface maintenance activities, and increased treatment costs due to higher total production volumes.

Speaker #3: Meanwhile, the cost per barrel transported and the refining cash cost increased by 2 percent and 3 percent, respectively, due to lower transported volumes and reduced refining throughputs, as previously explained.

Speaker #3: This increase was partially offset by efficiencies captured in each of the segments. Now, I will turn it over to Byron, who will share the main milestones from the energy transition business line.

Rafael Guzman: These increases were partially offset by efficiencies captured in each of the segments. Now, I will turn it over to Byron Triana, who will share the main milestones from the energy transition business line.

Speaker #4: Thank you, Rafael. It is a privilege to address you in the first earnings call as executives vice president of transition energies. I thank the Ecopetrol Group for the trust placed in me to lead this business line and to continue driving its growth.

Byron Triana: Thank you, Rafael. It is a privilege to address you in my first earnings call as Executive Vice President of Transition Energies. I thank the Ecopetrol Group for the trust placed in me to lead this business line and to continue driving its growth. By the end of the second quarter of 2025, we are pleased to report the successful execution of the commercialization process for major gas fields and reactified natural gas in the Colombian Pacific region. Through this process, we secured the sale of 58 GWT per day on average of gas from major fields over the next four years, with full allocation of the offered volume, prioritizing essential demand. Moreover, for the first time in our history, we assigned 60 GWT per day of imported gas via the Colombian Pacific Coast under a five-year long-term contract subject to pre-sale conditions.

Speaker #4: By the end of the second quarter of 2025, we are pleased to report the successful execution of the commercialization process for major gas fields and rectified natural gas in the Colombian Pacific region.

Speaker #4: Through this process, we secured the sale of 58 Geocap BTU per day on average of gas from major fields over the next four years.

Speaker #4: With full allocation of the offered volume prioritizing essential demand, moreover, for the first time in our history, we assigned 60 Giga BTU per day of imported gas via the Colombian Pacific coast.

Speaker #4: Under a five-year long-term contract, subject to precedent conditions, this is our volume was allocated among 18 market agents, with deliveries scheduled to begin in the second semester of 2026.

Byron Triana: This entire volume was allocated among 18 market agents, with deliveries scheduled to begin in the second semester of 2026. These achievements reaffirm our commitment to strengthening the country's energy security and position Ecopetrol as a key player in supplying the fuel for the energy transition. In parallel, we continue to explore alternatives to use Ecopetrol Group's existing infrastructure in the Caribbean region. Our objective is to develop facilities for the reception, storage, and reactification of liquefied natural gas, with operations projected to be between 2026 and 2027, subject to technical and contractual requirements. Let's move on to the next slide, please. In the energy segment, the Ecopetrol Group consumed 23.3 gigawatts-hour per day of electricity, equivalent to 11% of the demand of the national interconnected system. This demand was met 58% through cell generation and 42% through purchases from the home-sell energy market.

Speaker #4: This achievement reaffirms our commitment to strengthening the country's energy security and position Ecopetrol as a key player in supplying the fuel for the energy transition.

Speaker #4: In parallel, we continue to store alternatives for using the Ecopetrol group's existing infrastructure in the Caribbean region. Our objective is to develop facilities for the reception, storage, and rectification of liquefied natural gas, with operations projected to be between 2026 and 2027, subject to technical and contractual requirements.

Speaker #4: Let's move on to the next slide, please. In the energy segment, the Ecopetrol Group consumed 23.3 GWh per day of electricity, equivalent to 11 percent of the demand of the national interconnected system.

Speaker #4: This demand was met 58 percent through surge generation, and 42 through purchase from the wholesale energy market. Of this purchase, 70 percent were made under contracts, meaning that nearly 88 percent of our demand was protected against market price volatility.

Byron Triana: Of these purchases, 70% were made under contracts, meaning that nearly 88% of our demand was protected against market price volatility. This coverage represents an improvement compared to the same period in 2024, when coverage stood at 81%. The result created stability in the unit cost of electricity supply. Regarding self-generation from renewable sources, during the second half of the year, this accounted for 5.6% of the group's electricity demand, compared to just 0.6% five years ago. This means we are using nine times more renewable energy. By the end of the semester, the Ecopetrol Group accumulated 630 megawatts in its renewable energy portfolio, of which 208 are operational, 228 correspond to purchase in the wholesale energy market, 95 are under construction, and 99 are in execution. We are on track to meet the goal of 900 megawatts by year's end.

Speaker #4: This coverage represents an improvement compared to the same period in 2024. When coverage stood at 81 percent, the result greater stability in the unit cost of electricity supply.

Speaker #4: Regarding surge generation from renewable sources, during the second half of the year, this accounted for 5.6 percent of the group's electricity demand. Compared to just 0.6 percent five years ago, this means we are using nine times more renewable energy.

Speaker #4: By the end of the semester, the Ecopetrol Group accumulated 630 megawatts in renewable energy portfolio, which 208 are operational, 228 corresponds to purchase in the wholesale energy market, 95 are under construction, and 99 are in execution.

Speaker #4: And we are on track to meet the goal of 900 megawatts by year end. In this way, we continue to strengthen the diversification of the group's energy matrix and reduce supply costs.

Byron Triana: In this way, we continue to strengthen the diversification of the group's energy matrix and reduce supply costs. By the end of the semester, we had accumulated savings of over 70 billion Colombian pesos, reflecting the impact of our renewable energy shortage. Additionally, we signed the framework investment agreement with AES, the Power Purchase Agreement with StatCraft, and acquired 100% of the WILPECHI project, all of which will further support the integration of renewable sources in the coming months. Next slide, please. Of equal importance, we continue to deliver positive results in energy efficiency. In the first half of 2025, we achieved a cumulative optimization of 2.42 TJ, driven by initiatives such as the replacement of turbocompressors in the Piedmont region, optimization of gas injection systems, and enhanced operational control in energy-intensive assets.

Speaker #4: By the end of the semester, we had accumulated savings of over $70 billion Colombian pesos, reflecting the impact of our renewable energy strategy. Additionally, we signed the framework investment agreement with AES, the power purchase agreement with Statkraft, and acquired 100 percent of the Winpechi project.

Speaker #4: Additionally, we signed the framework investment agreement with AES. The power purchase agreement with Statcraft and acquired 100 percent of the Winpechi project. All of which will further support the integration of renewable sources in the coming months.

Speaker #4: Next slide, please. Equally important, we continue to deliver positive results in energy efficiency. In the first half of 2025, we achieved a cumulative optimization of 2.42 petajoules, driven by initiatives such as the replacement of turbocompressors in the Piedmont region, optimization of gas injection systems, and enhanced operational comfort in energy-intensive assets.

Speaker #4: The energy reduction achieved because of this efficiency measures is equivalent to the electricity and natural gas consumption of more than 1.1 million households in Colombia.

Byron Triana: The energy reduction achieved because of these efficiency measures is equivalent to the electricity and natural gas consumption of more than 1.1 million households in Colombia. In addition, we resulted in savings of over 53 billion Colombian pesos and a reduction of approximately 171,000 tons of CO2 equivalent. In terms of social gas initiatives, we connected more than 19,000 new low-income households, reaffirming our commitment to universal energy access and improving the quality of life for Colombian families. Finally, we closed the semester with the production of 161,000 barrels of oil equivalent per day of gas and LPG, and an EBITDA of 1.5 trillion Colombian pesos, 4.5% higher than the same period last year.

Speaker #4: In addition, we resulted in savings of over 53 billion Colombian pesos and a reduction of approximately 171 thousand tons of CO2 equivalent. In terms of social gas initiatives, in terms of social gas initiatives, we connected more than 19 thousand new low-income households, reaffirming our commitment to universal energy access and improving the quality of life for Colombian families.

Speaker #4: Finally, we closed the semester with a production of 161 thousand barrels of oil equivalent per day, of gas and LPG, and an EBITDA of 1.5 trillion Colombian pesos.

Speaker #4: 4.5% higher than the same period last year. With this result, we continue to demonstrate that the Ecopetrol Group's energy transition is not only possible, but also profitable, sustainable, and socially inclusive.

Byron Triana: With these results, we continue to demonstrate that the Ecopetrol Group's energy transition is not only possible, but also profitable, sustainable, and socially inclusive. I will now pass the floor to Camilo, who will present results of the transmission and road infrastructure line and the key financial milestones.

Speaker #4: I'll now pass the floor to Camilo. Who will present results of the transmission and road infrastructure line and the key financial milestones.

Speaker #5: Thank you, Byron. During the first half of the year, the transmission and roads business maintained solid operational performance. The company made firm progress toward its strategic objectives and strengthened its management through the awarding and commissioning of the following projects: ESA Energía Brasil, which was awarded seven reinforcements and improvement projects with a reference CAPEX of approximately $187 billion; seven reinforcements and improvements in the ESA Energía Brasil network entered operation with an estimated investment of $232 billion.

Camilo Barco: Thank you, Byron. During the first half of the year, the transmission and roads business maintained solid operational performance. The company made firm progress toward its strategic objectives and strengthened its management through the awarding and commissioning of the following projects: ISA Energia Brasil, which was awarded seven reinforcements and improvement projects with a reference CapEx of approximately 187 billion pesos. Seven reinforcements and improvements in ISA Energia Brasil network entered operation with an estimated investment of 232 billion. The Agua Vermelha IV project began commercial operation with an investment of 70 billion Colombian pesos, facilitating the integration of a new solar project in São Paulo and the Triângulo Mineiro. In Colombia, ISA completed the renewal of the Bolívar-San Analara and Bolívar-Termo Cartagena transmission line with an investment of 16 billion pesos. On the financial front, two events partially impacted the results for the period.

Speaker #5: The Agua Vermelha IV project began commercial operation with an investment of 70 billion Colombian pesos, facilitating the integration of a new solar project in São Paulo and the Triângulo Mineiro.

Speaker #5: In Colombia, ESA completed the renewal of the Bolívar-Sabana Larga and Bolívar-Termo Cartagena transmission line with an investment of $16 billion pesos. On the financial front, two events partially impacted the results for the period.

Speaker #5: The first was related to the adjustments made in June to the formula for calculating the financial components of assets in Brazil's existing system basic network, known as RBSE. This decision responded to the market request and had a wide industry impact.

Camilo Barco: The first was related to the adjustments made in June to the formula for calculating the financial components of assets in Brazil's existing system basic network, known as RBSE. This decision responded to the market request and had a wide industry impact. This one-time effect had the following impacts on ISA and the group's financial results: a reduction in EBITDA of approximately 0.6 trillion pesos, a decrease in net income of around 0.1 trillion pesos, and a lower cash collection between July 2025 and July 2028. The second event to mention regards to the provision for outstanding receivables from AIRE in ISA Intercolombia and Transelca, which resulted in a 0.2 trillion pesos impact on EBITDA and 0.1 trillion on net income. ISA closes the semester with solid operating results, making progress on its investment plan and remaining committed to meeting its 2025 financial targets.

Speaker #5: This one-time effect had the following impacts on ESA and the group's financial results: a reduction in EBITDA of approximately $0.6 trillion pesos, a decrease in net income of around $0.1 trillion pesos, and lower cash collections between July 2025 and July 2028.

Speaker #5: The second event to mention regards the provision for outstanding receivables from IDE in ESA Intercolombia and Transelca, which resulted in a $0.2 trillion impact on EBITDA and $0.1 trillion on net income.

Speaker #5: ESA closes the semester with solid operating results, making progress on its investment plan and remaining committed to meeting its 2025 financial target. In addition, it continues to execute the ESA 2040 strategy with discipline, focusing on strengthening its presence across Latin America.

Camilo Barco: In addition, it continues to execute the ISA 2040 strategy with discipline, focusing on strengthening its presence across Latin America. Moreover, it continues to be a key pillar within the group's diversification strategy, contributing about 17% to consolidated EBITDA. Let's move on to the next slide to review the group's financial performance in detail. The results during the first half of the year reflected the group's ongoing commitment to capturing structural efficiencies across revenues, costs, expenses, and CapEx. This has enabled us to maintain competitive profitability within the industry and safeguard the financial and investment targets for the year. As of June 2025, Ecopetrol S.A.

Speaker #5: Moreover, it continues to be a key pillar within the group's diversification strategy contributing about 17 percent to consolidated EBITDA. Let's move on to the next slide to review the group's financial performance in detail.

Speaker #5: The results during the first half of the year reflected the group's ongoing commitment to capturing structural efficiencies across revenues, cost expenses, and capex. This, as enabled us to maintain competitive profitability within the industry and safeguard the financial and investment targets for the year.

Speaker #5: As of June 2025, we recorded a net income of 4.9 trillion pesos, representing a year-over-year decline of 2.5 trillion pesos, attributed mainly to the following external factors: market factors accounted for approximately 78 percent of the impact, or $2.1 trillion, including the net effect of a $12 drop in brand prices compared to the first half of 2024, partially offset by improved negotiated differentials and a positive impact from a higher exchange rate compared to the same period last year.

Camilo Barco: recorded a net income of 4.9 trillion pesos, representing a year-over-year decline of 2.5 trillion, represented mainly by the following external factors: market factors accounted for approximately 78% of the impact, or 2.1 trillion, including the net effect of a $12 drop in Brent crude prices compared to the first half of 2024, partially offset by improved negotiated differentials and a positive impact from a higher exchange rate compared to the same period last year. Local environment included increases of blockades in fields and disruptions to transportation infrastructure, resulting in a negative impact of 0.3 trillion pesos. New taxes related to the state of emergency decree and non-deductible value-added tax on fuel imports, totaling an impact of 0.2 trillion. Adjustment to ISA's remuneration, previously discussed, with an impact of 0.1 trillion pesos.

Speaker #5: Local environment, included increases of blockades in fields and disruptions to transportation infrastructure, resulting in a negative impact of 0.3 trillion pesos. New taxes, related to the state of emergency decree and non-deductible value-added tax, on fuel imports, totaling an impact of 0.2 trillion.

Speaker #5: Adjustment to ESA's remuneration, previously discussed with an impact of 0.1 trillion pesos. Other net positive events, contributed 0.2 trillion pesos including benefits from higher crude production increases, services at ESA, lower income surtex, and higher depreciation.

Camilo Barco: Other net positive events contributed 0.2 trillion pesos, including benefits from higher crude production, increases services at ISA, lower income surplus, and higher depreciation. During the same period, EBITDA reached 24.4 trillion pesos, reflecting a variation of 3.9 trillion compared to the first half of 2024. This variation is explained by 72% due to the previously mentioned market factors, followed by 15% attributed to the RBSE adjustment effect and 10% from the environment events. EBITDA margin remains strong at 40%, exceeding the annual target of 39%. In terms of EBITDA by segment, the exploration and production business line continued to lead it, contributing 54% of total EBITDA. Including the transportation and refining segments, the contribution rises to 83%. The remaining 17% corresponds to ISA's contribution, reaffirming its relevance to the group's diversification strategy. On another front, and thanks to the group's financial flexibility, Ecopetrol S.A.

Speaker #5: During the same period, EBITDA reached 24.4 trillion pesos, reflecting a variation of 3.9 trillion compared to the first half of the 2024. This variation is explained by 72 percent due to the previously mentioned market factors, followed by 15 percent attributed to the RBSE adjustment effect, and 10 percent from the environment events.

Speaker #5: EBITDA margin remained strong at 40 percent, exceeding the annual target of 39 percent. In terms of EBITDA by segment, the exploration and production business line continued to lead, contributing 54 percent of total EBITDA. Including the transportation and refining segments, the contribution rises to 83 percent; the remaining 17 percent corresponds to ESA's contribution, reaffirming its relevance to the group's diversification strategy.

Speaker #5: On another front, and thanks to the group's financial flexibility, we promptly activated the cash management committee to ensure liquidity and support operational and financial targets without incurring incremental long-term debt, even in an accrued price environment below the levels projected in the plan.

Camilo Barco: promptly activated the cash management committee to ensure liquidity and support operational and financial targets without incurring an incremental long-term debt, even in a crude price environment below the levels projected in the plan. As of June, Ecopetrol S.A. achieved 80% progress in the cost and expense reduction actions announced in Q1 and defined it within the committee framework, with positive effects on EBITDA, cash flow, debt, and CAPEX. Aligned with this focus on efficiency, we reached 2.2 trillion in savings in the first half of 2025, of which 66% directly benefited OpEx and revenues. In the hydrocarbon segment, we achieved 1.5 trillion pesos in optimizations, reflected in improvements such as reduced lifting costs, energy consumption per barrel, and cost per foot drill, as detailed by Rafael Guzman.

Speaker #5: As of June, we achieved 80 percent progress in the cost and expense reduction actions announced in the first quarter, and defined it within the committee framework with positive effects on EBITDA cash flow debt and capex.

Speaker #5: Aligned with this focus on efficiency, we reached $2.2 trillion in savings in the first half of 2025, of which 66 percent directly benefited OPEX and revenues.

Speaker #5: In the hydrocarbon segment, we achieved 1.5 trillion pesos in optimizations, reflected in improvements such as reduced lifting costs, energy consumption per barrel, and cost per foot drilled as detailed by Rafael Guzman.

Speaker #5: We will maintain our target to reduce lifting costs this year, with a special focus on energy maintenance and contracted services expenses. Aiming to consistently stay below $12 per barrel, at the corporate level, we achieved 0.4 trillion pesos in efficiencies through digitalization initiatives and demand controlling operations, while commercial management contributed 0.2 trillion pesos in optimizations.

Camilo Barco: We will maintain our target to reduce lifting costs this year, with a special focus on energy maintenance and contracted services expenses, aiming to consistently stay below $12 per barrel. At the corporate level, we achieved 0.4 trillion pesos in efficiencies through digitalization initiatives and demand control in operations, while commercial management contributed 0.2 trillion pesos in optimizations. For the remainder of the year, we will continue advancing cost and expense reduction measures to reach the 1 trillion Colombian pesos target, while also pursuing efficiencies exceeding 5 trillion pesos to mitigate the impact of external barrel. It is worth noting that the efforts we are implementing this year will be reflected in the 2026 planning, which is projected in a challenging price environment.

Speaker #5: For the remainder of the year, we will continue advancing cost and expense reduction measures to reach the 1 trillion Colombian pesos target, while also pursuing efficiencies exceeding 5 trillion pesos to mitigate the impact of external barrel.

Speaker #5: It is worth noting that the efforts we are implementing this year will be reflected in the 2026 planning, which is projected in a challenging price environment.

Speaker #5: Regarding performance versus peers, the Ecopetrol Group remains in quartile two, standing out in two key areas: profitability and successfully mitigating the effects of the external environment on key indicators such as ROACE and EBITDA margin, with results that have performed well against its peers.

Camilo Barco: Regarding performance versus peers, the Ecopetrol Group remains in quartile two, standing out in two key areas: profitability, successfully mitigating the effects of the external environment on key indicators such as ROSI and EBITDA margin, with results that outperform its peers; and OpEx competitiveness, showing a strength in indicators such as lifting costs, cost of sales per barrel, and operating expense per barrel. Let's move on to the next slide. In terms of cash flow, we remain focused on protecting liquidity and optimizing working capital, while maintaining disciplined financial management. As of the end of June, the Ecopetrol Group's cash position stood at 13.1 trillion pesos, with a positive free cash flow of 3.1 trillion pesos, composed of a strong operational cash flow driven by the early collection of the FEPEC, totaling 7.6 trillion Colombian pesos. Investment activities amounting to 13.1 trillion Colombian pesos.

Speaker #5: And OPEX competitiveness, showing a strength in indicators such as lifting costs, cost of sales per barrel, el, and operating expense per barrel. Let's move on the next slide.

Speaker #5: In terms of cash flow, we remain focused on protecting liquidity and optimizing working capital, while maintaining disciplined financial management. As of the end of June, Ecopetrol Group cash position stood at 13.1 trillion pesos, with a positive pre-cash flow of 3.1 trillion pesos, composed of a strong operational cash flow driven by the early collection of the FEPEC, totaling 7.6 trillion Colombian pesos.

Speaker #5: Investment activities amounting to 13.1 trillion Colombian pesos. Additionally, during the semester, Ecopetrol completed the full payment of dividends to both majority and minority shareholders, totaling 8.8 trillion Colombian pesos, reaffirming our commitment to generating value for our shareholders.

Camilo Barco: Additionally, during the semester, Ecopetrol completed the full payment of dividends to both majority and minority shareholders, totaling 8.8 trillion Colombian pesos, reaffirming our commitment to generating value for our shareholders. Regarding working capital optimization efforts, we achieved 51% progress toward the 2 trillion Colombian pesos target announced in the first quarter. Key measures included early collections of the 2024 FEPEC, tax credit compensation totaling 3.2 trillion, and trade finance operations in subsidiaries amounting to $100 million. We also implemented additional measures that strengthened cash flow, such as foreign exchange hedging operations totaling $935 million, helping to mitigate the impact on export-related collections. In the short term, we will continue executing foreign exchange hedging operations, as well as rent and differential hedges, with the objective of protecting the cash flow projected in the financial plan.

Speaker #5: Regarding working capital optimization efforts, we achieved 51% progress toward the 2 trillion Colombian pesos target announced in the first quarter. Key measures included early collections of the 2024 FEPEC, tax credit compensation totaling $3.2 trillion, and trade finance operations in subsidiaries amounting to $100 million.

Speaker #5: We also implemented additional measures that strengthen cash flows, such as foreign exchange hedging operations totaling $935 million, helping to mitigate the impact on export-related collections.

Speaker #5: In the short term, we will continue executing foreign exchange hedging operations, as well as brand and differential hedges, with the objective of protecting the cash flow projected in the financial plan.

Speaker #5: In line with these efforts, the FEPEC balance was reduced to 2.5 trillion Colombian pesos as of June, the lowest level since the second quarter of 2021.

Camilo Barco: In line with these efforts, the FEPEC balance was reduced to 2.5 trillion Colombian pesos as of June, the lowest level since the second quarter of 2021. This improvement, along with a monthly accrual below 500 billion, represents a turning point in the management of this account receivable, with a positive impact on the projected operational cash flow for the year. In the coming months, we will continue advancing in working capital optimization measures to reach the annual target of 2 trillion pesos, while also strengthening the group's internal liquidity levers. Let's move on to the next slide. In line with our comprehensive debt management strategy, Ecopetrol maintains a healthy level of indebtedness and a maturity profile with low refinancing risk, primarily concentrated in the medium and long term. 2025 maturities include simultaneous operations and treasury loans totaling approximately $1.2 billion, with a temporary effect on short-term debt levels.

Speaker #5: This improvement, along with a monthly accrual below 500 billion, represents a turning point in the management of this account receivable, with a positive impact on the projected operational cash flow for the year.

Speaker #5: In the coming months, we will continue advancing in working capital optimization measures, to reach the annual target of 2 trillion pesos, while also strengthening the group's internal liquidity levers.

Speaker #5: Let's move on the next slide. In line with our comprehensive debt management strategy, Ecopetrol maintains a healthy level of indebtedness and a maturity profile with lower financing risk primarily concentrated in the medium and long term.

Speaker #5: 2025 maturities include simultaneous operation and treasury loans totaling approximately 1.2 billion dollars, with a temporary effect on short-term debt levels. It is worth noting that simultaneous operations are backed by TES, holding in the portfolio, which will be progressively liquidated over the coming months.

Camilo Barco: It is worth noting that simultaneous operations are backed by TES holding in the portfolio, which will be progressively liquidated over the coming months. The next significant maturities are scheduled for 2029. As of June, the gross debt-to-EBITDA ratio stood at 2.4 times, within the long-term target range of below 2.5 times. Excluding ISA, this ratio stands at 1.7 times. Including the cash balance, net debt-to-EBITDA ratio decreases to 2.2 times and to 1.6 times, excluding ISA. For 2025, no increase in debt levels is expected related to the organic portfolio activities, thanks to the group's strong liquidity position. We remain focused on optimizing financial costs, both locally and internationally. Currently, a rate reduction for a local loan is being processed with the Ministry of Finance, and negotiations are underway with international counterparties to achieve further reductions during the second half of the year.

Speaker #5: The next significant maturities are scheduled for 2029. As of June, the growth debt to EBITDA ratio stood at 2.4 times, within the long-term target range of below 2.5 times.

Speaker #5: Excluding ESA, this ratio stands at 1.7 times. Including the cash balance, net debt to EBITDA ratio decreases to 2.2 times, and to 1.6 times excluding ESA.

Speaker #5: For 2025, no increase in debt levels, is expected, related to the organic portfolio activities, thanks to the group's strong liquidity position. We remain focused on optimizing financial costs, both locally and internationally.

Speaker #5: Currently, a rate reduction for local loans is being processed with the Ministry of Finance, and negotiations are underway with the International Counterparties to achieve further reductions during the second half of the year.

Speaker #5: Regarding trade ratings, during the second quarter of 2025, Moody's maintained a global and standalone ratings at BA1 and B1 respectively, Standard and Poor's Global adjusted the global rating to double B and the standalone rating to double B plus.

Camilo Barco: Regarding trade ratings, during the second quarter of 2025, Moody's maintained the global and standalone ratings at BA1 and B1, respectively. Standard & Poor's Global adjusted the global rating to BB and the standalone rating to BB+. Both agencies highlighted Ecopetrol's strategic importance to the country, the portfolio diversification driven by ISA, and the improvement in FEPEC management. In the first half of the year, investments maintained a strong momentum, aligned with historical levels and the targets of the annual plan, reaching $2,582 million. Most of the investments executed in Colombia, with 62%, followed by Brazil with 17%, and the United States and other countries reaching 21%. 59% of investments were allocated to strengthening energy security, including profitable crude oil production, refinery operations, and domestic supply. The remaining 41% was directed towards initiatives in natural gas, energy transition, sustainability, innovation, electric transmission, and road infrastructure.

Speaker #5: Both agencies, highlighted Ecopetrol's strategic importance to the country, the portfolio diversification driven by ESA, and the improvement in FEPEC management. In the first half of the year, investments maintained a strong momentum, aligned with historical levels and the targets of the annual plan, reaching 2,582 million dollars, most of the investments executed in Colombia with 62 percent, followed by Brazil with 17 percent, and the United States another country reaching 21 percent.

Speaker #5: 59 percent of investments were allocated to strengthen energy security, including profitable crude oil production refinery operations and domestic supply. The remaining 41 percent was directed towards initiatives in natural gas, energy transition, sustainability innovation, electric transmission, and road infrastructure.

Speaker #5: In exploration and production, $1.29 billion were invested, mainly in the Meta region, in assets such as Cañon Sur, Rubiales, Castilla, CPO 09, and Chichimene.

Camilo Barco: In exploration and production, $1,290 million were invested, mainly in the Meta region, in assets such as Caño Sur, Rubiales, Castilla, CPO-09, and Chichimene. In Brazil, resources were focused on the development of the Orca project, formerly known as Gato do Mato. In refining, $171 million were allocated to ensure operational availability, while transportation saw $100 million in investments to support operational continuity. The investment portfolio remains focused on growth and future value generation, representing 86% of the total investment, while 14% was directed toward ensuring operational continuity. On the capital discipline front, we advance in executing measures that allow us to capture full CapEx flexibility, with a target of $500 million to protect production for the remainder of the year. As of June, we achieved 56% progress, ensuring profitability and meeting operational targets.

Speaker #5: In Brazil, resources were focused on the development of the Orca Discovery, formerly known as Gato do Mato. In refining, $171 million were allocated to ensure operational availability, while transportation saw $100 million in investments to support operational continuity.

Speaker #5: The investment portfolio remains focused on growth and future value generation, representing 86% of the total investment, while 14% was directed toward ensuring operational continuity.

Speaker #5: On the capital discipline front, we advance in executing measures that allow us to capture full capex flexibility, with a target of $500 million to protect production for the remainder of the year.

Speaker #5: As of June, we achieved 56 percent progress ensuring profitability and meeting operational targets. Our investment plan is designed around a price range that enables us to adapt to different scenarios, maintaining capital discipline and ensuring competitive returns.

Camilo Barco: Our investment plan is designed around a price range that enables us to adapt to different scenarios, maintaining capital discipline and ensuring competitive returns. Let's move on to the next slide. Regarding the value-added taxes charges on gasoline and diesel imports by the National Tax and Customs Directorate, DIAN, a difference in interpretation between the agency and Ecopetrol Group remains. In compliance with DIAN's interpretation, Ecopetrol and Reficar S.A. have assumed the payment of value-added tax on these imports since January 2025, while simultaneously pursuing legal defense in the appropriate forums regarding charges applied for the 2022 and 2024 period. A comprehensive response has been provided to all requests and appeals submitted by the authority. These claims, including estimated interests, amount to approximately 11 trillion pesos for gasoline and diesel. Additionally, there is a potential claim related to diesel imports. To date, Ecopetrol and Reficar S.A.

Speaker #5: Let's move on the next slide. Regarding the value-added taxes, charges on gasoline and diesel imports by the national tax and customs directory, DIAN, a difference in interpretation between the agency and Ecopetrol Group remains.

Speaker #5: In compliance with DIAN's interpretation, Ecopetrol and Reficar have assumed the payment of value-added tax on this import since January 2025, while simultaneously pursuing legal defense in the appropriate forums regarding charges applied for the 2022 and 2024 periods.

Speaker #5: A comprehensive response has been provided to all requests and appeals submitted by the authority. Whose claims included estimated interest amount to approximately 11 trillion pesos for gasoline and diesel.

Speaker #5: Additionally, there is a potential claim related to diesel imports. To date, Ecopetrol and Reficar do not recognize any payment obligations related to the value-added tax from previous fiscal years and continue to defend their position to safeguard their interest.

Camilo Barco: do not recognize any payment obligations related to the value-added tax from previous fiscal years and continue to defend their position to safeguard their interest. For 2025, the total estimated value-added tax payments across the group amount to 3.6 trillion pesos, of which approximately 3.3 trillion is expected to be recovered through refund and deduction mechanisms. In parallel, a technical working group has been established between Ecopetrol and government entities, while the administrative process for the claims and assessments is underway, with an estimated duration of six months. The next stage involving the legal challenge of official assessments could extend up to five years. DIAN may continue with the collection process in accordance with current regulations. However, based on the analysis from external advisors, the company considers that no provision is required at this time that could impact the financial results. Finally, Ecopetrol and Reficar S.A.

Speaker #5: For 2025, the total estimated value-added tax payments across the group amount to ?3.6 trillion, of which approximately ?3.3 trillion is expected to be recovered through refund and deduction mechanisms.

Speaker #5: In parallel, a technical working group has been established between Ecopetrol and government entities, while the administrative process for the claims and assessments is underway, with an estimated duration of six months.

Speaker #5: The next stage involving the legal challenge of official assessments could extend up to five years. DIAN may continue with the collection process in accordance with current regulations.

Speaker #5: However, based on the analysis from external advisors, the company considers that no provision is required at this time that could impact the financial results.

Speaker #5: Finally, Ecopetrol and Reficar reaffirm their commitment to comply with the tax and customs regulations, as well as respecting decisions made within the framework of applicable law.

Camilo Barco: reaffirm their commitment to complying with the tax and customs regulations, as well as respecting decisions made within the framework of applicable law. I now hand over to the President, who will present the closing remarks. Thank you very much.

Speaker #5: I now hand over to the president, who will present the closing remarks.

Speaker #6: Thank you very much.

Speaker #7: Thank you, Camilo. I would like to close by highlighting that Ecopetrol Group continues to execute key investments and strategies aligned with its long-term vision aimed at strengthening operations and ensuring sustainability over time.

Rafael Guzman: Thank you, Camilo. I would like to close by highlighting that the Ecopetrol Group continues to execute key investments and strategies aligned with its long-term vision aimed at strengthening operations and ensuring sustainability over time. This quarter's results show improvements across our main business lines compared to previous periods, given the context of high volatility on prices and security challenges in our operations. Efficiency management has exceeded expectations, particularly in initiatives to reduce energy consumption and expand cell generation from renewable sources, in line with our strategy to diversify the energy matrix. Operational results, efficiencies, and commercial management help mitigate part of the impact of the price environment on revenues. We also maintain a clear strategy for cash management and sustainable debt levels. The group will continue to enhance its operational and strategic flexibility with constant monitoring of prices, markets, and international developments, allowing us to adapt swiftly when needed.

Speaker #7: This quarter's results show improvement across our main business lines compared to previous periods, given the context of high volatility on prices and security challenges in our operation.

Speaker #7: Efficiency management has exceeded expectations, particularly in initiatives to reduce energy consumption and expand self-generation from renewable sources, in line with our strategy to diversify the energy matrix.

Speaker #7: Operational resource efficiencies and commercial management help mitigate part of the impact of the price and environmental revenues. We also maintain a clear strategy for cash management and sustainable debt levels.

Speaker #7: The group will continue to enhance its operational and strategic flexibility with constant monitoring of prices and markets. The group will continue to enhance its operational and strategic flexibility with constant monitoring of prices and markets and international developments, allowing us to adapt swiftly when needed.

Speaker #7: We will keep working hand in hand with the regions, advancing our social and environmental commitments and contributing to the development of the territories where we operate.

Rafael Guzman: We will keep working hand in hand with the regions, advancing our social and environmental commitments, and contributing to the development of the territories where we operate. We remain firmly committed to protecting our cash position, maintaining capital discipline, and ensuring financial resilience and flexibility, as announced during our first quarter's earnings calls. We continue to closely monitor market conditions to activate the necessary protocols to preserve the company's strength and to keep generating sustainable value for our shareholders and for the country. With that, we now open the floor for questions.

Speaker #7: We remain firmly committed to protecting our cash position, maintaining capital discipline, and ensuring financial resilience and flexibility, as announced during our first-quarter earnings call.

Speaker #7: We continue to closely monitor market conditions to activate the necessary protocols to preserve the company's strength and to keep generating sustainable value for our shareholders and for the country.

Speaker #7: With that, we now open the floor for questions.

Speaker #8: Muchas gracias. Comenzamos. We will begin now the Q&A session. Les recomendamos hacer. We recommend asking two questions at the most, so others can ask questions.

Byron Triana: Muchas gracias.

Camilo Barco: Thank you. We will begin now the Q&A session. We recommend asking two questions at the most so others can ask questions. Let's begin with three questions in Spanish, and then we will have three others in English. Please remember to choose on the interpretation the language that you will use for your question; otherwise, we cannot hear you. Andrés Duarte from Corp Colombian is online with a question. Mr. Duarte.

Speaker #8: Let's begin with three questions in Spanish, and then we will have three others in English. Please remember, to choose on the interpretation, the language that you will use for your question.

Speaker #8: Otherwise, we cannot hear you. Andrés Duarte from Corpi Colombia is online with a question. Mr. Duarte, good morning, and thank you for receiving my two short questions.

Andres Duarte: Good morning, and thank you for receiving my two short questions. One is on production, and the other has to do with the nation. The one of production, could you please explain a bit how you reached that peak of production and your expectations for the rest of the year? The second question has to do with the nation. This morning, I heard the presentation made for journalists, and you spoke about the milestones in terms of dividends and royalties of the company. Could you please repeat here these figures showing the dividends and royalties? When it comes to taxes, specifying how much is income and the others, I refer to last year and the expectation you have for this year. Thank you.

Speaker #8: One is related to production, while the other pertains to the nation. The one focused on production—could you please explain a bit? How did you reach that peak of production, and what are your expectations?

Speaker #8: For the rest of the year, and the second question, has to do with the nation. This morning I heard the presentation made for journalists, and you spoke about the milestones in terms of dividends and royalties of the company.

Speaker #8: So could you please repeat here the figures showing the dividends and royalties? And when it comes to taxes, specify how much is incoming and the other amounts?

Speaker #8: I refer to last year and the expectation you have for this year. Thank you.

Speaker #9: Buenos Buenos días, Juan.

Speaker #8: Good morning, Juan Carlos. Cortado, I am the acting VP of Hydrocarbons. When it comes to your question about premium, this is related to an anticipation of the activity and the better performance of the drills.

Juan Carlos Hurtado: Good morning, Juan Carlos. I am the acting Vice President of Hydrocarbons. When it comes to your question of premium, this has to do with an anticipation of the activity and the better performance of the drills regarding processes and their designs. This managed us to have a peak in the semester of 165 barrels per day, and this is based on the performance of these types of fields, and that shows a high peak. That is why our expectation by the end of the year, with the activities that we made so far, we expect an average production of 90 to 190 barrels a day. Andrés, good morning. I am Camilo Barco, the CFO, and let me take your second question about the milestones. Thank you, sir. Indeed, yesterday with the journalists, we spoke about the transfer made to the transfer known as government takes.

Speaker #8: Regarding processes and their designs, this managed us to have a peak this semester of 165 barrels per day, and this is based on the performance of these types of fields.

Speaker #8: And that shows a high peak. That's why our expectation by the end of the year, with the activities that we have made so far, is an average production of 90 to 190 barrels a day.

Speaker #8: Andres, good morning. I am Camilo Marco, the CFO. Let me take your second question about the milestones. Thank you, sir. Indeed, yesterday, in the conversation with the journalists, we spoke about the transfer made to what is known as government takes.

Speaker #8: And fundamentally, these consist of the three items that you mentioned, which are dividends, taxes, and royalties. Of these three items, the most important is taxes, which represents 50% of these transfers.

Juan Carlos Hurtado: Fundamentally, these consist of the three items that you have mentioned, which are dividends, taxes, and royalties. Of these three items, the most important is taxes, which represents 50% of these transfers. Approximately, of course, every year has its particularities. The royalties are 25% and dividends are 25%. Let me take the figure of 2024 to give you figures for this particular case. In dividends, we paid 11 billion, in royalties a bit more than 9 billion, and in taxes about 20 billion pesos. This is for a total of 40.4 billion pesos transferred to the nation last year. This year, we expect to have the same proportion, 50% in taxes, which we can say as of June 2025, we have paid about 6 billion pesos in tax, income tax specifically, 3 billion in self-owned withholdings, and 3 in income.

Speaker #8: Approximately, of course, every year has its particularities. The royalties are 25 percent, and dividends are 25 percent. So, let me take the figure of 2024. To give you figures for this particular case, in dividends, we paid $11 billion; in royalties, a bit more than $9 billion; and in taxes, about $20 billion pesos.

Speaker #8: This is a total of 40.4 billion pesos transferred to the nation last year. This year, we expect to maintain the same proportion, with 50 percent in taxes. As of June 2025, we've paid about 6 billion pesos.

Speaker #8: In tax, specifically income tax, there are $3 billion in self-withholdings and $3 billion in income. As of June, in terms of transfers to the nation, we have a total of $23 billion pesos. Our estimate for the rest of the year is between $35 billion and $40 billion, closer to the mean of that range, which is $38 billion pesos.

Juan Carlos Hurtado: As of June, in terms of transfers to the nation, we have a total of 23 billion pesos, and what we estimate for the rest of the year is a total amount of 35 to 40 billion, closer to the mean of that range of the 38 billion pesos. I am sorry. What is the income tax there, keeping in mind the expected rate? The income tax expected this year is about 3 billion pesos, which is what we have paid so far as of June. Thank you so much. We are talking about balances of taxes in favor. Next question from Catherine Ortiz from David Vienda. The floor is yours. Good morning for all of you, and thank you for this space. I would like to ask you, yesterday we saw in the media that you spoke about the disinvestment of assets.

Speaker #8: I'm sorry, what's the income tax there? Keeping in mind the expected rate? The income tax expected this year is about $3 billion pesos, which is what we have paid so far as of June.

Speaker #8: Thank you so much. We're talking about balances of taxes in favor. La siguiente pregunta. Next question. From Catherine Ortiz from Davivienda. The floor is yours.

Speaker #10: Buenos días.

Speaker #8: Good

Speaker #8: Good morning to all of you, and thank you for this space. I'd like to ask you, yesterday we saw in the media that you spoke about the disinvestment of assets.

Speaker #8: Could you please expand on this topic and if it relates also to what President Petro said that Ecopetrol should sell its assets in the US?

Juan Carlos Hurtado: Could you please expand on this topic and if it relates also to what President Petro said that Ecopetrol should sell its assets in the U.S., and if these assets are part of the disinvestments that you plan, and if not, could you please expand this topic and the strategy of the disinvestments that Ecopetrol has? Thank you. Catherine, good morning. I am the Vice President of New Businesses. Let me begin by saying that yesterday our CEO talked about assets in Colombia, but also our company constantly and periodically evaluates all of its portfolios when it comes to assets and affiliates, and it evaluates the performance and the strategic reserves it has. Given the case that we will make a disinvestment, we will be specifically mentioning these to the market.

Speaker #8: And if these assets are part of the disinvestments that you plan, and if not, could you please expand on this topic and the strategy of the disinvestments that Ecopetrol has?

Speaker #8: Thank you. Catherine, good morning. I am the Vice President of New Businesses. Let me begin by saying that yesterday our CEO talked about assets in Colombia, but also our company constantly and periodically evaluates all of its portfolios when it comes to assets and affiliates, and it evaluates the performance and the strategic reserves it has.

Speaker #8: Given the case that we will make a disinvestment, we will be specifically mentioning these to the market. When it comes to your question in Colombia, what we are seeing partly is how Reficar how we can replicate positive experience like the one of Barracks of last year, so seeing different assets in the fields of Colombia and the country side of Colombia to increase investments and the activity in hydrocarbon sectors.

Juan Carlos Hurtado: When it comes to your question in Colombia, what we are seeing partly is how we can replicate positive experiences like the one of Barracks of last year. Seeing different assets in the fields of Colombia and the countryside of Colombia to increase investments and the activity in hydrocarbon sectors, in some assets which do not compete in our portfolio. Because of confidentiality, I cannot mention to you the assets that we're evaluating now, but I can say that we are looking at processes underway, and we have private companies in Colombia, and once the processes of approval within Ecopetrol take place, we will be sharing the information with you. Thank you for your answer. We have Juan Diaz from BTG Pactual. The floor is yours. Thank you, Ricardo Camilo, for your presentation. I have two questions.

Speaker #8: In some assets, which do not compete in our portfolio, because of confidentiality, I cannot mention to you the assets that we're evaluating now. However, I can say that we are looking at processes underway and we have private companies in Colombia. Once the processes of approval within Ecopetrol take place, we will be sharing the information with you.

Speaker #8: Thank you for your answer. Nos acompaña también. We have Juan José Muñoz from BTG Pactual. The floor is yours. Thank you, Ricardo Camilo, for your presentation.

Speaker #8: I have two questions. One, keeping in mind the decrease of the Brent price and the initiatives of efficiencies that you have adopted, where do you expect the cash and the break-even EBITDA will be?

Juan Carlos Hurtado: One, keeping in mind the decrease of the Brent crude price and the initiatives of efficiencies that you have adopted, where do you expect the cash and the break-even EBITDA will be for the upstream business? That's my first question. Second, relates to the minimums of gas productions in the past 10 years. Is this due to the natural decline of fields or lower explorations made? Juan Diaz, good morning, and thank you for your questions. To talk about the break-even, overall, we refer to two major elements in this analysis, and then we can provide real answers to your questions. Firstly, today Ecopetrol is a group of integrated energy in which we have, as we said in the presentation, we have ISA playing a major role. It's a business regulated, a business that's very stable in its flows and EBITDAs.

Speaker #8: For the upstream business, that's my first question. Second, relates to the minimums of gas production in the past 10 years, is this due to the natural decline of fields?

Speaker #8: Or lower explorations made? Juan José, good morning, and thank you for your questions.

Speaker #9: Para hablar de.

Speaker #8: To talk about the break-even overall, we refer to two major elements in this analysis. And then, we can provide real questions here. Answers to your questions.

Speaker #8: Firstly, today Ecopetrol is a group of integrated energy in which we have as we said in the presentation, we have ESA playing a major role; it's a business regulated.

Speaker #8: A business that's very stable in its flows and EBITDAs. In addition to ESA, we have sent which stands out in its period because of its financial results, which are very positive.

Juan Carlos Hurtado: In addition to ISA, we have SENT, which stands out in its period because of its financial results, which are very positive, and good EBITDA margins, which also, because it is regulated, allow us to generate certain independence from the volatility of the market prices. So when we talk about the break-even of the group, there are particularities. The break-even.

Speaker #8: And good EBITDA margins, which, because it's regulated, allow us to generate certain dependence on the volatility of the market prices. So when we talk about the break-even of the group, there are particularities.

Speaker #8: The break-evens, as you said in your question, refer specifically or typically more to the activity of oil and gas, and specifically to the operation and production. So I wanted to give you that first disclaimer.

Natalia: As you said in your question, refer specifically or typically more to the activity of oil and gas and specifically to the operation and production. I wanted to give you that first disclaimer. The second refers to something that we mentioned in the previous call, and it is 99% of our fields have break-evens below $50 per barrel. That is the second important factor when it comes to evaluating the chance of making decisions with a CapEx or investments that can hurt production and reserves. This would only happen in an event in which the prices of crude oil are below $50. For now, we are looking at all of the investments that allow us to guarantee the production of these.

Speaker #8: The second refers to something that we mentioned in the previous call, and it's 99 percent of our fields have break-evens below $50 per barrel.

Speaker #8: So that's the second important factor when it comes to evaluating the chance of making decisions with a capex or investments that can hurt production and reserves.

Natalia: Keeping in mind these two ideas, let me talk about the break-even that we have announced and disclosed to the market by Ecopetrol. It is a break-even of about $50 per barrel. That is more of net profit. The break-evens of the cash flow are directly related or defined or determined by the investment made for each. Ricardo Roa. Hello, Juan José. Let me give you a brief introduction of the reality of what is happening in oil and gas in the market. Our production continues having the highest declining rates. That is a big reality. A second reality, we have been reducing significantly our gas consumption in our processes, substituting this with clean energy in the wholesale market. That is important to keep in mind that reduced consumption is close to 50 KGBs.

Natalia: Also, there are gas manufacturers that have had problems to reach their nominal productions, and this is why we have lower nomination of gas. Still, we are looking at the development of infrastructure for the imports and exports that we have mentioned, especially with the Buenaventura project. We are still evaluating the projects of NG Badena and NG Cobenas for imports and exports. Also, we are evaluating with our allies like Fulcor, the possibility to quickly connect more volumes of gas in the Arecifas field. There are other projects in which we are looking at productions, but they are not connected to the system. This is important. Now let us give the floor to Juan Carlos, who can give us an explanation of which are the additional reasons why we are reporting lower levels of production of gas. Thank you, President. Good morning, Juan José.

Ricardo ROA: En relación a tu pregunta.

Natalia: With regards to your question, there is a natural decline of the fields of gas. It is not throughout the entire territory because, as we have said, there are volumes that we are expecting of six tera. There we will have more supplies of gas for the country. In parallel to develop activities for mitigation, we have made several initiatives. There is a project that stands out to reduce the Copiagua. This began last year. We increased the production of gas there by 14%. There is another initiative in fields where we can apply. In addition, we are carrying out explorations and developing the Florena and BID 18, which we will reach the goal in the last quarter of this year. Another activity that we have been developing is, for instance, Oribaya Suria, which has the possibility to produce gas and seek alternatives.

Natalia: Lastly, given the performance, especially in fields like Chuyupa, we plan to make an intervention to control water there. We have a robust plan within our daily activities to mitigate the topics of production, declination, and to develop all the explorations that we are planning.

Ricardo ROA: Muchas gracias.

Natalia: Thank you. The next questions are in English. We remind you all, please, to choose in the interpretation globe the language in which you will ask your questions. Otherwise, we cannot hear you. Bruno Montanari from Morgan's?

Rafael Guzman: Señor Montanari, puede preguntar.

Ricardo ROA: Hello. Thanks for taking my questions. Two questions on my side. I understand you mentioned your break-even level is around $50 per barrel. So, if we start to see oil prices going to that level, what would be management's plan? Would you adjust the CapEx? What would you do with the dividends? In that case, would you lower the payout closer to the 40% level, or would Ecopetrol S.A. consider changing the range of the dividend distribution? On downstream, looking at the chart you presented, do you expect the exogenous external and operating factors that pressured EBITDA in the first half of the year to be fully resolved now in the second half of 2025? Thank you very much. Bruno, buenos días.

And what would you do with the dividends in that case would you lowered the day out closer to the 40% level or would the company consider changing the range of the dividend distributions.

And then on downstream.

Looking at the chart to present do you expect.

<unk> external when operating factors that pressured EBITDA in the first half of the year to be fully resolved now in the second half of 2025. Thank you very much.

Bruno Windows, Yes, we're doing a good morning. This is camilo vertical the CFO and thank you for your two questions.

Natalia: Bruno, good morning. This is Camilo Barco, the CFO, and thank you for your two questions. Let me begin by answering your question related to the measures that we plan to take if there is a situation in which the prices of crude oil are below the break-even levels. As I said before, what is important here is that the premise of Ecopetrol S.A. is to preserve the production and reserves. That way, the additional measures taken, we will try to affect them as least as possible, especially production and reserves. As it is natural, it is true that if we have a lower price range, we will have to take additional measures when it comes to flexibilizing our investments. Most importantly, our focus is on managing higher efficiencies.

Let me begin by answering.

Your question related to.

Two the measures.

That week.

<unk> to take.

If there is a situation in which the prices of crude oil.

Our below the break even levels.

As I said before.

What's important here is that the premise of Ecopetrol is to preserve their production and reserves and that way.

Okay.

The additional measures are taken.

We will try.

To affect them.

As least as possible.

Especially production reserves, but as it is natural.

It is true that.

And if we have a lower price range.

We will have to take additional measures when it comes to flexibly rising our investments.

But most importantly, our focus is on managing higher efficiencies and with this I'd like to announce that we have not expected.

Natalia: With this, I would like to announce that we have not expected, and even we have announced, that our protection measure is to manage our cash flow. Major measures have been taken for our efficiencies. This year, our purpose is to go beyond 5 trillion pesos in efficiencies. In this first half of the year, we have managed already more than 2.2. We are on the right path. We trust that we will meet the goals set forth. With these efficiencies, we expect to have a better break-even and a better management. With regards to the CapEx, we will also announce the flexibilization of $500 million. As of June, we are at more than 56% of the goals that we set forth. We had pending to identify $250 million for the second semester. I can say that we are on the right path. We will surely meet the goal established.

And even we have announced.

That our protection measure is to manage our cash flow and major metros.

Measures have been checking for our efficiencies. This year. Our purpose is to go beyond five trillion peso said inefficiencies and in this first half of the year. We have managed already more than two point to where you're on the right path and we trust that we will meet the goals.

So with these efficiencies we expect to have.

Better breakeven.

And a better management and with regards to the Capex. We will also announce the flexibilisation a $500 million and as of June we are more at more than 56% of the goals that we set forth.

We had pending to identify $250 million.

For the second semester and I can say that we are on the right path we will meet.

Surely the goal established and if necessary.

Natalia: If necessary, if the break-evens are below, we will have to sit down and analyze additional measures to take, prioritizing, of course, the production and reserves of the company. With regards to dividends, we have also announced that one of the major milestones of the year is this. Thanks to the support of our majority shareholder, we have been able to provide dividends to the ranges of the policy established. Our policy is to have a payout ratio or a distribution of dividends of 40% to 60% of what is available. This year, we are at 59%. We do not expect changes, but we do have the firm purpose to remain within this policy. Now, if any extreme situations, complicated situations take place in terms of marketplace or others that can seriously hurt the results or the position of the group, we will review and make proposals on the distribution.

That if the breakeven or below we will have to sit down and analyze additional measures to take prioritizing of course, the production and reserves of the company.

Yeah.

With regards to dividends.

We've also announced that.

That one of the major milestones of the year is is this and thanks to the support of our majority shareholder we have been able to provide dividends to the ranges of the policy established our policy is to have.

Our payout ratio or a distribution of dividends of 40% to 60%.

Of what's available this year, we are at 59%, we do not expect changes, but we do have the FERC purpose too.

We remain within this policy.

And now.

If any situations extreme situations complicated situations take place in terms of marketplace or others that can seriously hurt the results are at the position of the group.

We will review and.

And make proposals under distribution and I'd like to say with this regard that there are several elements that have an influence on the Davidson.

Natalia: I would like to say with this regard that there are several elements that have an influence on the dividend to be paid. In addition to the profit available, of course, we have the investments plan proposed for next year, the availability of cash of the group, and of course, also the level of indebtedness. We will make the analysis of these three elements. Based on that, we will make a proposal to our shareholders' assembly to reach levels other than those that are proposed now.

For them to be paid in addition to the profit available of course, we have the investments play out proposed for next year the availability of cash at the group and of course also the level of in depth that nets.

We will make the analysis of these three elements and based on that we will make a proposal to our shareholders' assembly.

To reach.

Levels other than those that are proposed now.

Ricardo ROA: Buenos días, Bruno. Felipe Trujillo, Vicepresidente de Refinación y Procesos Industriales.

Wouldn't it be a little more.

Yeah.

Yeah.

Okay.

Natalia: Good morning, Bruno. With regard to your question on the expectations that we have of the refineries, the major overhauls were already made late April, early May. This shows the EBITDA that we have in those months and in July. We do not see major interventions for the second half of the year. Especially in Cartagena, we have 18 movements that we have discussed before to take the refinery from a high risk to high, and in September, to reach a moderate risk level because of the interventions made in this refinery. External risks are related to the supply of light crude oil. Major overhauls were made successfully in the first half of the year.

Good morning, Bruno with regard to your question on the expectations that we have.

The refineries.

Major overhauls.

We're already made early may early.

Late April early May.

And this shows the EBITDA that we have in that.

And that those months and in July we don't see major interventions for the second half of the year, but especially in the hand that we have 18 movements that we have discussed before to take their refinery from a high risk to high.

And in September to reach a moderate risk level.

<unk> of the interventions made in this refinery.

And external risks.

Related to the supply of light oil, but crude oil but.

Major overhauls were made successfully in the first half of the year.

Yeah.

Ricardo ROA: Super clear. Thank you very much.

Super clear thank you very much.

Yeah.

Let's begin to present. The next question is from Ann Neale from Bank of America.

Natalia: Next question is from Anil from Bank of America.

Byron Triana: Good morning. Thank you very much. My first question, I think, was answered before, which was on plans and incentives to stimulate natural gas, either imports or production in Colombia. My second question is regarding the current situation of gasoline and diesel prices in Colombia at the moment and how this is expected to affect the FPEP balance going forward. Are there any changes expected? Thank you.

Good morning. Thank you very much my first question I think Mike answered before.

Before which was on our plans and incentives to stimuli natural gas.

In part from our production in Colombia, and second question is regarding the current situation of gasoline and diesel prices in Colombia at the moment and how this is expected to affect the balance going forward and are there any changes expected.

Thank you.

Yeah.

Ricardo ROA: Buenos días, Anil. Es un gusto. Julio César.

One of the SMU.

Drew so closely good morning Ann.

Natalia: Good morning, Anil. Thank you for your question. For the rest of the year, we do not expect adjustments in prices of gasoline and diesel. So far this year, we have made actions. The production price here we saw an increase of gasoline of 132 pesos per gallon and gas as well. In addition, remember, these are regulated prices. Adjustments have been made by wholesalers, specifically industrial burners. This elevated the price. At the end of the day, what this has done is to decrease our EBITDA balances because of those adjustments. Today, there are discussions to increase diesel for high-end vehicles. We are looking at this, but remember, we are talking about regulated prices, and probably these actions will take place early 2026.

Yeah.

Thank you for your question well for the rest of them here, we do not expect adjustments in prices of gasoline and diesel.

So far this year, we have made actions the apex the production price basis.

Here, we saw an increase of gasoline and 132 passes pesos per gallon and gas as well in addition.

Remember these are regulated prices.

And adjustments have been made by wholesalers suspects typically.

That's real burgers.

So this elevated the price and then at the end of the day. What this has done is to decrease if OPEC balances because of those adjustments today.

There are discussions to increase diesel.

Sure Hi, and vehicles.

And we're looking at this but remember we're talking about regulated prices and probably these actions will take place early 2026.

Byron Triana: Okay. Thank you. One more question, I think.

Okay. Thank you and one more question on India.

Ricardo ROA: Buen día. La segunda parte de su pregunta es nuestra expectativa.

So we don't participate when times and stuff like that.

Byron Triana: Sí.

Natalia: Our expectation when it comes to the stabilization of the fields by the end of the first semester, we are at $2.5 billion. Please remember that the nation has the IPPEC payments 100% of the company and that the expectation at the end of the year, as our CFO says, is $5 billion pesos of PEPEC.

Our expectation.

When it comes to a stabilization of the field by the end of the first semester. We're at $2 5 billion. Please remember that the nation.

Has that if a pack payments, 100% of the company and that the expectation at the end.

Of the year as our CFO say is $5 billion.

Okay.

Vessels of payback.

Byron Triana: Thank you very much.

Thank you very much.

Lafayette. This today's next three questions will be made in Spanish that's why we'd like to remind all the analysts to choose on the very bottom. The language you will be talking to otherwise we can't hear you.

Natalia: Next three questions will be made in Spanish. That is why we would like to remind all of the analysts to choose on the very bottom the language you will be talking to. Otherwise, we cannot hear you.

Byron Triana: La siguiente pregunta.

Natalia: Next question is from Ricardo Sandoval from Bancolombia. The floor is yours.

Next question it sounds like that does have the wild from Bancolombia the floor is yours.

Ricardo ROA: Hola, buenos días a todos.

Natalia: Hello. Good morning. Thank you for your presentation. I have two questions. The first is on the EBITDA margin because in the last two semesters, it has dropped 38.5%. We are going to 39% for 2025. I would like to ask, do you see a second semester 2025 that is more profitable compared to the first semester of 2024 to keep this guide of 39%, or have you considered to decrease the guide of the EBITDA margin this year? I would also like to know if you could shed some light on the profitabilities that you are showing for 2026. That is my first question. My second question is, could you please simplify what you told us about discoveries in Rica y Goica?

Hello, Good morning, and thank you for your presentation I have two questions. The first.

Maybe U S and the EBITDA margin.

Because in the last two semesters it has dropped 38, 5%.

Yeah.

And.

We're going to 39% for 2025, so I'd like to ask do you see a second semester 2025, that's more profitable.

Compared to the first semester of 2020 for it to keep this guide of 39% or have you considered to decrease that guide of the EBITDA margin. This year I'd also like to know if you could give some light shed some light.

And the profitability is that you were showing for 2026. That's my first question second question.

Okay.

Is could you. Please simplify what you told us about Discovery's Endorheic America could you. Please specifically tell us if these two just discoveries.

Natalia: Could you please specifically tell us if these two discoveries would have or not an effect on the reserves of 2025 reported in February 2026? I would like to know if these two concepts will affect this report or if these are contingent resources. Could you share with us a figure if the reserves will be affected in the report of 2026, how many barrels? It would be great. Thank you. Ricardo, good morning. This is Camilo Barco, CFO. Thank you for your questions. Let us look at your question related to the EBITDA margin 2025, specifically the last periods or the last days of this quarter. Indeed, we have a strong impact on the EBITDA margin, especially compared to the historicals displayed close to 6.7%, as you said, 39%.

I would have are not in effect.

Reserves are 2025 reported in February 2026, I'd like to know if these two concepts will affect this report or if these are contingent resources could you share with us a figure.

The reserves will be affected and the reported <unk> of.

2026, how many barrels it would be great. Thank you.

Got it.

Good morning.

This is coming in Nevada cool I'd CFO. Thank you for your questions.

Let's look at your question related to the better margin 2025, specifically.

Most of the last periods or the last days of this quarter Indeed.

We have an impact strong impact on the EBITDA margin, especially compared to the historical <unk> displayed a close to six 7% as you said, 39%.

Natalia: What we should say on this matter is that in the presentation, we saw how there are several elements that have an influence on the performance of that EBITDA margin. One, which seems to stay in time, especially with what we are projecting for the rest of the year, and it is the most important related to prices. A decrease of price that we saw of 22%, of course, hurts significantly the EBITDA margin. Possibly, this is something that will penalize us in the second semester. The second element has to do with surroundings, especially in the first semester. In this second semester, the group of Ecopetrol S.A. has been making significant measures to preserve its infrastructure and its operation. It has developed a high resiliency to respond to these types of situations.

And.

What we should say on this matter is that in the presentation. We saw how there are several elements that have an influence on the performance of that a bit the margin one.

Which seems to stay in time, especially with what we're projecting for the rest of the year and it's the most important related to prices. So a decrease of price that we saw a 22%.

Of course hurt significantly the EBITDA margin.

And possibly this is something that will penalize us in the second semester the second element.

Has to do with surroundings, especially in the first semester and the second semester. The group of Ecopetrol has been making significant measures to preserve it.

Restructure and its operation and has developed a high resiliency to respond to these types of situations today, we are responding.

Natalia: Today, we are responding in very short terms to the situations that take place, but we have to include the protests that we have seen from communities. The third element is also important with the EBITDA margin and the net profit because of our participation and direct participation with ISA. This is the adjustment made of the RBSE, which is the basic network of the existing grid. Here, we have a one-off or a situation that relates to the anticipated termination of a contract in 2014. Here, the origin of compensations were made. Of these compensations, there was an adjustment requested to recognize financially the capital cost. We hope this is just a one-off event. It will have an impact of 600 billion pesos. That is a total impact. We also saw in the cash flow, it will have a more extensive impact.

In very short terms to the situations that take place, but we have to include there.

Protests and protests that we've seen from communities.

Third element.

Uh huh.

It's also important.

With the a bit on the margin and the net profit because of higher participation indirect participation.

He says he topic is the adjustment made of the RBS E.

Which is the basic was network of the existing grid.

And here, we have a one off.

Situation.

Yes.

That relates to the kind of the.

Anticipated termination of a contract in 2014 and here.

The origin of compensations were made.

And are these compensations there was an adjustment request said.

To recognize financially the capital cost.

So.

We hope that this is just a one off event and it will have the impact of <unk> 600 billion pesos. That's a total impact and we also saw.

And the cash flow it will have a more extensive.

Impact but.

Natalia: On the EBITDA, we can talk about these three elements. On the net profit, of course, the impact is lower of 6 billion pesos. In addition to these factors, it is worth mentioning that there is a topic related to taxes. The tax of Catatumbo, the special contribution made to Catatumbo, has an effect of 300 billion pesos for the stamp tax. This could add to 600 billion pesos. With this said, our biggest effort, again, or what we can do is to deepen and accelerate with more efficiencies to compensate somehow the negative effect of these external issues. We trust that we will have a good effect on compensation, and we will take our EBITDA margins to levels closer to the ones we have seen historically. For 2026, of course, it all will depend on the performance of the market.

The better we can talk about these three elements and the net profit of course the impact is lower.

6 billion pets.

In addition to these factors.

It's worth mentioning that there is a topic related to taxes, the tax cut that tube or the special contribution made to cut the doorbell has an effect of 300 300 billion passes.

Where the stamp tax.

And this could add up to 600 billion pesos. So with this said Oh my goodness.

Our biggest effort again.

What we can do is to deepen and accelerate.

With more efficiencies.

Oh to compensate somehow.

The negative effect of these external issues.

We trust that we will have a good effect on compensation.

And we will take our EBITDA margins to levels closer.

Two the ones we've seen historically for 2026 of course.

It all will depend on the performance or the market.

Natalia: When it comes to the financial plan that we have, we will make major efforts to have under control and to maintain the inflection that we see in the performance of prices, especially for the lifting cost.

But when it comes to the financial plan that we have we will make major efforts to have under control and to maintain the inflection that we see in the performance of price, especially where the lifting cost.

Ricardo ROA: Buenos días, Ricardo.

Natalia: Good morning, Ricardo. This is Juan Carlos Hurtado. When it comes to your question and to have more details with the Loreto and Orca projects, Orca is a project that was sanctioned in Q1 by the company. Later, we carried out the milestone of the approval of the Brazilian authorities for the commercial component. It gave the commercial strength or drive to this. This allowed us to make a progression to reach the reserves we need. With the specifications that we will receive at the end of the year, that is something that we have to keep in mind, the Orca project. When it comes to the Loreto project, we began the plan, the development plan in this area, which goes hand in hand with the assets that we have, like IKCS, HMN. That synergy will help us to carry out certain activities of the project.

Good morning, Thank God, though this is Carlos.

Okay.

When it comes to your question and to have more details with salary or projects.

Sure.

Is a project that was sanctioned.

And the first quarter.

Yes.

The company and Lat later.

We.

We carried out the milestone of the approval of the.

The Brazilian authorities for the commercial component.

And it gave the commercial.

Strength or drive to this so this allowed us to make a progression to reach the reserves, we need and with the specific patients that we will receive at the end of the year, that's something that we have to keep in mind that got the armada or kind of project when it comes.

Too early to project, we began the plan the development plan.

And this area.

Okay.

Which goes hand in hand with the assets that we have like I can see us at Ya man and that synergy will help us to carry out certain activities of the project what have we been doing we have made environmental impact studies, we've made development study.

Natalia: What have we been doing? We have made environmental impact studies. We have made development studies. With that, we can ask for the licenses. The progression of the volumes initially estimated of 250, which is the opportunity we see with the progression that we need. We will carry out these analyses that I told you. At the end of this quarter, the last quarter of this year, we will be requesting or applying for the licenses. By 2026, 2030, we could carry out this project. It all depends on these licenses. Thank you so much for your answers.

And with that we can ask for the license says the progression of that volumes are initially estimated at 215.

Which is the opportunity we see.

With the progression that we need.

We will carry out this analysis that I told you and at the end of this quarter the last quarter.

This year, we will be requesting we're applying for the license says so by 'twenty 'twenty six 'twenty 30, we could carry out this project. It all depends of these licenses. Thank you so much for your answers.

Rafael Guzman: Continuamos.

Natalia: We continue with Alejandro Andrade from JP Morgan. Thank you. I have two questions. One, I see a reimbursement of tax on your cash flow in the second quarter. Could you please explain if this is a reimbursement that you are waiting for or what happened there? My second question, I understand that you are comfortable with the leverage of Ecopetrol S.A., but looking at the consolidated, you are at the ceiling. How do you see acquisitions, or how do you plan to handle investments and dividends again since you are at the leverage limit of your consolidated level?

We continue with Atlanta, and Raleigh Alejandro.

Alejandro <unk> from J P. Morgan.

Thank you.

I have two questions one.

I see a reimbursement of tax and your cash flow in the second quarter could you. Please explain if this is a reimbursement. That's your you are waiting for or what happened there and second question I understand that you are comfortable with a leverage of <unk>.

I got it wrong, but looking at the consolidated you are at the ceiling.

So how do you see.

Acquisitions, or how do you plan to handle investments a debit dance again since you are at the leverage limit of your consolidated level.

Ricardo ROA: Alejandra, buenos días.

Alejandro.

Natalia: Alejandra, good morning.

Good morning.

Ricardo ROA: Camille Lobargo.

Natalia: This is Camilo Barco, CFO. On your question of taxes, indeed, in Q2, we have a compensation from taxes of about $2.2 billion. We have said that for this year, 2025, the total balance of taxes in favor between VAT income and others is 9.5 billion pesos total. What we see reflected here is the compensation and return of several sums of these taxes that exceed the capability of compensation. For this year, what we foresee is to obtain an amount of 6.7 billion pesos. Specifically, with the VAT that we have been paying since January, we are talking about 3.6 billion that we will be paying in the period of which we can compensate or receive returns of 93%. That is 3.3 billion pesos. That is why we have that return. The expectation is to keep increasing these until we reach the 6.6 billion.

This is coming in Nevada CFO.

On your question of taxes, indeed in the second quarter.

We have a compensation from taxes of about $2 2 billion.

We've said that for this year.

2025.

The total balance of taxes in favor between bad income and others.

Is nine 5 billion pesos total.

So.

What we see reflected here is the compensation.

And return of several sums of these taxes that exceed that capability of compensation.

Compensation for this year, what we foresee is to obtain a an amount of $6 7 billion pesos.

And specifically.

With the VAT that we've been paying since January we're talking about $3 6 billion that we will be paying in the period of which we were can compensate or.

Receive returns of 93%.

That is $3 3 billion peso.

So that's why we have that return.

And the expectation is to keep increasing these are.

Until we reach the $6 6 billion.

Natalia: With regards to the leverages, let me mention several things. Firstly, the operational cash flow, thanks to the timely payments of FinTech this year, we collected a total from April and May and an available cash flow that is healthy, and it allows us to properly cover our operations and our organic investments. With this, again, as we stated in our investments plan of 2025, organic investments did not require increases or finances in addition. This has been taking place strictly. As to inorganic investments or acquisitions, we also mentioned that we had the authorization from the Board of Directors to increase financing up to $680 million, of which we have dispersed for the first operations $500 million. With this, we believe that we have covered enough our investments plan and organic investments plan, especially for the CPO-09 project.

With regards to the Leverages, let me mention several things firstly.

The cat the operational cash flow.

On this too.

Chip the timely payment of attack this year, we collected a total from April.

And me.

And available importantly, cash flow debt, that's healthy and it allows us to properly cover our operations and our organic investments. So with this again and as we stated in our investment plan of 2025.

Investments organic investments.

Did not require.

Increases our finances in addition.

This has been taken place strictly <unk>.

As to inorganic investments or acquisitions. We also mentioned that we had the authorization from the board of directors to increase financing up to $680 million of which.

We have dispersed.

For the first the operations 500 million and with this we believe that we have covered enough our investments planned inorganic investments plan, especially for the C. P. L. A C. P O all zero nine project.

Natalia: When it comes to the assets of renewable energy recently announced, it is important to mention, firstly, the value of these transactions this year, which incorporates the value of the tickets, and this value fundamentally can be covered with the internal generation of cash flow by Ecopetrol S.A. However, for the following acquisitions or to finance the CapEx of those projects, we are structuring alternatives for financing, like project finance. We already have, and this is quite ahead. When it comes to the dividends, we can say that these will depend on the price context. It really has to do with what we determine in this cycle of planning for 2026. The idea is, as we have said, Ecopetrol S.A. has set out to maintain its depth within the limits below 2.5 times its EBITDA. This is a level and indicator that we have been meeting.

And when it comes to the assets are renewable energy recently announced its important to mention firstly.

The value of these transactions this year.

Which incorporates the value of the tickets and this value fundamentally can be covered.

With the internal generation of cash flow by Ecopetrol. However for the following acquisitions or to finance the capex of those projects, we are structuring alternatives for our financing.

Like project Finance.

We already have and this is it's quite ahead when it comes to the dividend.

We can say that these will depend on the price context. It really has to do with what we determine and this cycle of planning for 2026 and the idea is as we've said Ecopetrol has set out to.

Maintaining it stepped within the limits below two five times its a bit tough.

This is a level an indicator that we have been meeting.

Natalia: We would also like to underscore that although when it comes to gross debt versus EBITDA, this indicator is close, it is important to say that today, the position of the cash flow is sound and stable and allows us to have an indicator of net debt EBITDA quite below. We are talking about less than 2.2 times the total EBITDA. If we make the analysis excluding ISA, this will leave us to levels of debt of 1.5 to 1.6 times the EBITDA, which was way below the range of the industry. I hope this answers all of your questions. Thank you. Next question from Andres Cardona from Citibank. The floor is yours. Thank you. Good morning. I have three questions. First, is top management and the board of directors considering that the assets of Permian Basin continue being strategic because you have said this before?

And we'd also like to underscore that although when it comes to gross debt versus EBITDA.

This indicator is close it's important to say that today the position of the cash flow is sound and stable and allows us to have an indicator.

Net debt.

I beat that quite below we're talking about.

It was less than 2.2 times, the total bad debt and if we make the analysis. Excluding Isa this will leave us to levels of depth of 1.51 0.6.

I see EBITDA, which was way below the range of the industry I hope this answers all of your questions.

Thank you.

Next question from Andres Cardona from Citibank. The floor is yours. Thank you. Good morning, I have three questions first.

It.

His top management and the board of directors, considering that the assets of Permian continue big strategic because Ive said this before it second question do you worry about the production of oil in Colombia, excluding the incremental <unk>.

Natalia: Second question, do you worry about the production of crude oil in Colombia excluding the incremental of CPO-09? For some months, we have seen some drop there. Do you expect these dynamics will continue towards the future? My third question, there seems to be more appetite for M&As. You have got a sale or with upstreams. Do you continue with that appetite? Today, with capital allocation, what is a bigger priority for you, dividends or the expansion, inorganic expansion? Thank you.

C P 009.

Because for some months we've seen some drop there do you expect these dynamics will continue.

Towards.

It appeared to have and my third question, there seems to be more a more appetite for maa's m&a's there you've got a sale.

Or with the upstream.

Do you continue with that appetite and today.

With capital allocation, what's a bigger priority for you dividends or the expansion inorganic expansion. Thank you.

Okay.

Okay.

Ricardo ROA: Buenos días, Andres.

Natalia: Good morning, Andres. This is Ricardo Roa. From many viewpoints, we have said, as top management, that the project, the assets in Permian Basin are important in terms of reserves, production, the incremental production seen in recent years, and of course, the generation of barrels with profitability. The board of directors has never discussed the valuation of this project. Of course, we are looking at all of our assets constantly. Julian, could you please give us more information about this? Thank you, President. I am Julian Lemosvi, Corporate Vice President of New Businesses. When it comes to Permian Basin, I would like to underscore that the diversification of the group, not only in businesses or acquisitions like ISA, but geographic, led us to increase our position in the U.S. And today, we have that premise still valid with regards to assets.

Good morning, Andres the cyclical does roll off.

For married viewpoint, we've said Asmat top management that the project the assets.

And premium are important in terms of reserves.

Production.

The incremental production seen in recent years and of course, the generation of barrels with profitability the board of directors.

Has never.

<unk> discussed the valuation of this project of course.

We are looking at all of our assets constantly but houlihan could you could give us more information about this.

Thank you president.

I am clearly must be corporate a b P. Abdou businesses when it comes to the Permian I'd like to underscore.

That the diversification of the group not only in businesses or acquisitions like Isa by geographic led us to increase our position in the U S and today, we have that premise still valid with regards to assets as I said before.

Natalia: As I said before, Andres, we are seeking to drive that sector, looking at favorable experiences like the one we had with PEREX that we had in Putumayo, which again allow us to maximize the activities that we make in those assets with lower capital allocation. Next question.

There is we are seeking to drive that sector looking at favorable experience says like the one we had with parex.

And that.

That we had in putumayo, which again allow us to maximize.

The activities that we make in those assets with lower capital allocation.

That location.

Next question.

Well.

Ricardo ROA: Buenos días, Andres.

Natalia: Good morning, Andres. This is Juan Carlos Hurtado, the Vice President of Hydrocarbons Acting. When it comes to the production of oil and crude oil, yesterday with the journalists, we said that if we compare the results of this semester with that of 2024, we have increases. We are showing 517 barrels of crude oil versus those of the first semester of 2024. When it comes to crude oil, we have been working strong to reach growth levels throughout the country to the point that the production we estimate is at 527,000 by the end of the year, depending on the production that we have today of 25,000 barrels, which we expect will reach 30,000 by the end of the year. The prior semester, if we compared Caño Sur, we spoke of 48,000 barrels, but today, we have peak productions of 57,000 barrels. That's for Caño Sur.

Good morning, and it is this is Juan Carlos.

The V P of hydrocarbons acting well.

When it comes to the production of oil and crude oil.

Yesterday in the with the journalists, we said that if we compare the results of this semester with that of 2024, we have increases.

We are showing 517 barrels of crude oil versus those of the first semester of 2024. So when it comes to crude oil we have been working strong.

To reach.

Gross levels throughout the country to the point that the production. We estimate is at 527000 by the end of the year depending.

On the production that we have today of 25000 barrels, which we expect that will reach 30000 by the end of the year.

The prior semester, if we compared can you should we spoke of 48000 barrels, but today, we have peak production of 57000 barrels.

And that's where kind of your suite.

Natalia: The idea is to increase our efficiencies in treatments and processing to ensure a higher peak with Caño Sur. In addition, we've been working also with Rubiales with the production peak. There, we're working to have an impact on the supplies of electrical energy. We've had recurrent failures, which have stopped us from having those higher production levels that we seek. In Castilla, Chichimeca, we have also injections of water. There, we will remain at levels with higher production levels of 97,000 barrels. 76,000, Chichimenes has synergies with Acacías and the next developments. When it comes to the structure of crude oil in the country, in the segment, we see increases related to the current fields and the possibilities, as we mentioned yesterday, when it comes to the commercial declaration of Aguamar, so we can in the future look at different projects. Andres, this is Julian Lemos.

And the idea is to increase our efficiencies and treatments.

So saying to ensure a higher peak with Canyon should in addition, we've been working.

Also.

With Ruby Atlas with the production peak and Theyre working tab huh.

Impact on the supplies of electrical energy, we've had recurrent failures, which have stopped us from the.

I'm happy to as higher production levels that we seek and.

In car T J to Jamaica, we have also injections of water and there we will remain.

At levels with higher production levels of 97000 barrels.

And 76000 teacher Madness.

Has synergies with our Kashi is and the next developments.

So when it comes to the structure of crude oil in the country.

And the segment, we see increases related to the current fields and the possibilities as we mentioned.

Yesterday.

When it comes to the commercial declaration.

I want my debt. So we can in the future look at different projects.

So this is truly anomalous let me talk about answer your third question when it comes to M&A.

Natalia: Let me answer your third question when it comes to M&As. I'd say that this activity is something that Ecopetrol has been doing recurrently for the past years, not only incorporating inorganic reserves, as we saw with Permian Basin and purchasing Chevron in La Guajira, but also with the diversification of the business for Ecopetrol, like the acquisition of ISA. I don't think it's contradictory that when we manage our portfolio, we can simultaneously buy and sell upstream assets because the portfolio management should lead us to disinvest in those assets where we have little growth opportunities and low materiality. We should complement this with assets instead that can improve our profitability and that's in the portfolio. Camilo, let's talk about dividends, please. Thank you, Julian. When it comes to capital allocation, let me mention that the aim is to have a reserves index of 3%.

I'd say that this activity is something that Ecopetrol has been doing we currently for the past years, not only incorporating reserve inorganic reserves as we saw with Permian and purchasing Chevron and what he does but also with the diversification of the biz.

And as for our capital like the acquisition of Isa.

I don't think it's contradictory.

That when we manage our portfolio we can simultaneous Lee.

Buy and sell upstream assets, because the portfolio management should lead us to.

Disinvest in those assets, where we have little.

Growth opportunities and the materiality and we should complement this with assets instead that can improve our profitability and that's.

In the portfolio, so Camino, let's talk about debit that's place.

Thank you Julien.

Yeah.

When it comes to capital allocation.

Let me you mentioned that.

Yeah.

And that.

The aim is to have our reserves.

And that's up 3% and this has to do with the dishes made up for capital allocation of course with a very rigorous discipline of our capital management with returns.

Natalia: This has to do with the decisions made for capital allocation. Of course, with a very rigorous discipline of capital management, with returns that are sufficient, not only to meet or cover capital costs, but also keeping in mind the risks related depending on projects and preserving, of course, the production and the reserves. Also, in financial terms, prioritizing those investments that can generate immediately or on a short-term basis, meaning those investments that are in operation or have the capability to contribute to the EBITDA and have short-cycle payback cycles. These are some of the criteria that we have in mind. Somehow, this goes with our dividends policy. The idea here is to remain within that policy, determined from 40% to 60% of the profit available. That is, capital allocation really shows our commitment to generate value, increase our free cash flow, and to create competitive returns.

There are sufficient not only to meet or cover capital costs, but also keeping in mind the risks related depending on projects and preserving of course, the production and the reserves, but also in financial terms prioritizing those investments that.

Can generate immediately or in a short term basis, meaning those investments that are in operation or have the capability to contribute to the EBITDA and have short cycle payback cycles.

So these are some of the criteria that we have in mind.

And somehow to this this goes with our dividend policy.

So the idea here is to remain within that policy determined from 40% to 60%.

The profit available.

So that is a capital allocation really shows our commitment to generate value increase our free cash flow.

And to create competitive returns.

Natalia: Thank you all for your answers. Thank you. There are no more questions. Now, let's read questions that arrived in writing. For this year, do you estimate any new investments in clean energies?

Thank you all for your answers thank you.

There are no more questions now, let's at live questions, let's read questions that arrived in writing.

For this year do you estimate any new investments in clean energies.

Yeah.

Ricardo ROA: Buenos días, Byron Triana.

Natalia: Good morning. This is Byron Triana, Acting VP of Energies. This year, as everybody knows, we have made an investment in TESG and made investments in wind farms in La Guajira as well and the WILPECHI wind project. We are estimating $300 million to $400 million invested in these clean energy projects.

Good morning. This is by country are not acting VP of energies.

This year as everybody knows.

We have.

That project and investment.

And test aircraft.

And made investments.

Yeah.

And wind farms.

In that way as well.

And the wind patchy and.

We're estimating $300 million to $400 million invested in these clean energy projects.

Yeah.

Okay.

Okay.

Thank you.

Ricardo ROA: Buenos días, Byron Triana.

One of the antibody.

Natalia: Good morning. I am Byron Triana, Acting VP of Energies. When it comes to investments in clean energies, we have different projects. We are talking about the WILPECHI wind farm, and we also have projects that we will begin with ISA as a partner. Overall, what you can see from these investments, plus others that we are analyzing according to the reserves that we have for Ecopetrol, we are talking about investments that are from $300 million to $400 million. Pablo Gonzalez from Energy News today asks, "Could you give us an estimate of the end supports necessary of gasoline and diesel necessary for the rest of the year? What is the calendar that you have scheduled for the second semester?" Good morning, Pablo. Thank you for your questions.

Turning.

I am by the three Anna acting VP of Energy's when it comes to investments in clean energy is that we have different projects, we're talking about the wind farm of Apache.

And well so have projects that we will begin with ice as a partner.

Overall, what you can see from these investments plus others that we're analyzing according to the reserves that we have for Ecopetrol. We're talking about investments that are up from $300 million to $400 million.

Bob.

Bob Evans childless from energy news today asks could you give us an estimate of the end sports necessary of gasoline and diesel necessary for the rest of the year. What's the calendars that you have scheduled for the second semester.

Okay.

Good morning Pablo.

<unk> for your questions.

Natalia: I would like to answer this question of the imports of gasoline and diesel, and I will ask my colleague to complement me. From January to this date, we have imported 74,000 barrels of gasoline, regular gasoline. We are talking about 7.5 million thousand barrels a day or $3.2 million. The expectation is that the idea is to reduce these imports to 43,000 barrels a day of regular gasoline and 8,000 barrels of diesel. As I said before, leaving behind the main overalls of Prime Day and the operational challenges, we can reach those levels. Felipe, could you give us a hand here? Thank you, Julio. With regards to the stoppages, the news given is that we have no further significant stops scheduled for the second half of the year. In our principal units, however, we have minor at the hydrogen and paraffin treatment plants and the refinery of Cartagena.

Yes.

I would like to answer this question of the imports of gasoline and diesel and I'll ask my colleague to complement me.

From January to this date, we've imported 74000.

Barrels of gasoline.

Their gasoline were check about $7 5 million.

Send barrels a day or $3 $2 million the expectation is that the.

The idea is to reduce these imports.

243000 barrels a day, a regular gasoline and 8000 barrels of diesel at.

As I said before.

Got it.

Leaving behind the main the overalls.

Our prime day and the operational challenges.

We can reach those levels Philippe could you give us a hand here. Thank you Julio.

With regards to the stoppages.

News given is that we have no further significant stops schedule for the second half of the year.

In our principal units however, we have minor.

At the hydrogen.

And paraffin treatment plants and the refinery I've got the here and now we have a plant that banks are phenolic water treatments will be stopping analysis for caustic water treatments, but major overhauls for the second semester are not scheduled that can hurt our our balance.

Natalia: We have a plant that makes phenolic water treatments, will be stopping, and also for caustic water treatments. But major overhauls for the second semester are not scheduled that can hurt our balance sheet, no. Next question from Mason Bocanegra from REBLED. He asks, "What does it mean for the Sirius project that the Buenas Suertes One project did not make any statements? Is there a change of expectation over Sirius in terms of time and size?

She now.

Okay.

Next question from Asl book, a negative framework.

He asks what does it mean for the serious project that the bonus where day one project did not make any statements is there is there a change of expectation over serious in terms of time and size.

Ricardo ROA: Buenos días.

Yeah.

Natalia: Good morning, Nelson. This is Ricardo Hurtado. With regards to the Buenas Suertes drill, there are no consequences regarding Sirius. Why? Because Buenas Suertes is something very different within this project, and it had other geological objectives. No hydrocarbon was really determined, which led us to have a better coverage and to advance with other exploratory drills. So right now, that's why we're more with the Papayuela. When it comes to Sirius, we have a schedule given to Sirius too. We made the tests, and we've advanced in the timeline with the prior consultations to advance within the timetable for 2029-2030. Thank you. There are no further questions. Now, let's listen to Camilo Barco, our CFO, for final remarks. Thank you, all of you that have joined us today and that have participated in this call.

Good morning, Nelson this is the kind of deal.

Hello.

With regards.

To the right and that's what the swing the drill there are no consequences regarding serious why because that's where it.

Is something very different within this project and <unk>.

It had other geological objectives.

No hydrocarbon was was really determined which led us to have a better coverage and to advance.

With other drills exploratory dwells so right now that's why we're more with the popular when it comes to serious we have a schedule and given to serious too we made the tests.

And we've advanced in the timeline with the prior consultations to advance.

Within the timetable.

For 2029 2030.

Okay. Thank.

Thank you.

There are no further questions now alissa tend to camilo vertical our CFO for final remarks.

Okay.

Thank you all of you.

That have joined us today.

And that participated in this call.

Natalia: Thank you for those that have been interested in joining us as you have and supporting Ecopetrol S.A. Here, we will continue working constantly to consolidate our fundamentals, the traditional business of hydrocarbons, and our purpose to move on to clean energies and efficient energies. We are committed to our promise to create value for all of our stakeholders, committed to our efficiencies so we can compensate up to where it's possible the challenging setting of market prices, and to be able to stabilize and counteract the costs, the lifting costs, and operation costs in terms of efficiency and competitiveness. Again, thank you. We will continue working and giving sustainability and continuity to what we've done so far. We wish you a great day. Thank you all. With this, we end our conference call of the second quarter of 2025. Thank you for your participation. You may hang up.

And thank you for those that have been interested.

And joining us as you have and supporting Ecopetrol.

Here, we will continue working constantly to consolidate the fundamentals that traditional business of hydrocarbons and our purpose.

To move on to clean energies and efficient energy as.

We are committed.

Now to our promise to create value for all of our stakeholders.

Committed to our efficiencies.

So we can compensate and up to where its possible, but challenging setting of market prices.

And to be able to stabilize and counteract.

The costs.

The lifting costs and operation costs.

In terms of efficiency and competitive and has so again. Thank you we will continue working.

And giving sustainability and continuity to what we've done so far and we wish you a great day.

Whichever.

Thank you all with us.

And our conference call of the second quarter of 2025. Thank you for your participation you may hang up.

[music].