Canacol Energy Ltd. · BVC:CNEC
Canacol Energy — Q2 2024 Earnings Presentation
14 slides from Canacol Energy's earnings presentation, August 2024
Slide 1: 2Q 2024 Results Conference Call Presentation
2Q 2024 Results Conference Call Presentation August 2024 Uso Publico
Slide 2: 2Q 2024 Highlights: Record Pricing & Netbacks
2Q 2024 Highlights Record Pricing & Netbacks (US$/MCF) 1, 2 6.84 6.60 6.04 5.40 5.13 5.13 4.81 5.34 4.90 4.39 4.01 4.14 3.94 3.73 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Realized Price Operating Netback In 2Q 2024, we achieved record natural gas prices and netbacks, which were 33% and 36% higher c
Slide 3: 2Q 2024 Highlights: Gas Sales and Drilling
2Q 2024 Highlights Realized Natural Gas Sales (MMcf/d): Growing production capacity & gas sales with successful drilling results • 2024 Sales Guidance: 160 - 177 mmscfd • 1Q Realized Sales: 150 mmscfd • 2Q Realized Sales: 159 mmscfd Operational & Drilling Activities: • 100% success rate year to date
Slide 4: Supporting Colombia's Energy Transition
Supporting Colombia’s Energy Transition 2023: GHG emissions at least 75% & 45% lower than O&G peers, respectively(1) • Scope 1 & 2 Emissions intensity: 9.58 kg CO2eq/boe Climate • Energy Matrix: 95% Natural Gas Change • Scope 1, 2 & 3 emissions verified by a third party & external auditor Canacol Be
Slide 5: High Prices + Low Cost = High Netbacks
High Prices + Low Cost = High Netbacks2 Gas Operating Netbacks (US$/MCF)1, 2 6.84 6.60 6.04 1.09 1.25 5.40 1.04 0.41 5.13 5.13 4.76 4.81 0.45 4.61 4.66 4.73 0.90 4.43 0.87 0.84 0.61 4.09 0.72 0.76 0.75 0.78 0.36 0.67 0.69 0.25 0.35 0.35 0.36 0.31 0.28 0.30 0.71 0.25 0.24 5.34 4.90 4.14 4.39 4.01 3.9
Slide 6: Commitment to Operational Efficiency
Commitment to Operational Efficiency $ 0.62 $72.2 $ 0.61 $ 0.57 $ 0.47 $ 0.45 $ 0.41 $35.9 $33.9 Operating Expenses/Mcf General and Administrative Expenses/Mcf Capital Expenditures 4Q'23 1Q'24 2Q'24 Reducing costs and capital expenditures while maintaining strong operational and financial performanc
Slide 7: Growing Revenues and EBITDAX
Growing Revenues and EBITDAX +18% 90 $88.3 +22% $74.6 $73.8 70 +70% $60.7 -35% $57.1 $52.0 50 $40.1 $33.7 $34.0 30 10 -10 -$21.3 -30 Net Revenues FFO EBITDAX Net Income Capex 2Q'23 2Q'24 (1) Net revenues are defined as Natural gas, LNG and Crude Oil Revenues, Net of Royalties and Transportation Expe
Slide 8: Profitability and Efficiency of Capital Utilization
Profitability and Efficiency of Capital Utilization 20% Return on Capital Employed (ROCE) 19% 17% 16% 15% 14% 11% 10% 5% 4% 3% 0% Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 ROCE 12-month ROCE ROCE has shown a significant upward trend, reflecting our strategic investments and operational efficiencies.
Slide 9: Liquidity Overview 2Q 2024
Liquidity Overview 2Q 20241 Debt Profile: Ample liquidity to meet obligations • Senior Notes: $500 million • Paid $14.375M semi-annual interest on Maturity: Nov 2028, Interest Rate: 5.75% November 2028 Senior Notes. • Compliant with all debt covenants. • Revolving Credit Facility: $200 million $200
Slide 10: Drilling new exploration areas in the Lower Magdalena
Drilling new exploration areas in the Lower Magdalena New Portfolio of Exploration Prospects • Identified 24 new prospects and leads • Macao 3D seismic program data analysis and interpretation in progress 1H 2024 Drilling Activity • Focused on nearfield, low-risk opportunities • 100% success rate (P
Slide 11: Cardamomo-1 Exploration Well
Cardamomo-1 Exploration Well TOP CDO DEPTH STRUCTURE MAP A Cardamomo-1 Exploration Well C • Located in VIM-5 Block • Spud date: August 8, 2024 • Well defined structure targeting CDO Sandstone CARDAMOMO-1 CARDAMOMO-West/Central CARDAMOMO-2 • AVO attribute CARDAMOMO-3 • 3-4 weeks to drill CARDAMOMO-Ea
Slide 12: In Summary
In Summary In summary, for 2024 we remain focused on the following objectives: 1. Continue executing a comprehensive development and exploration program in our core assets in the Lower Magdalena Valley Basin to maintain growing Canacol’s natural gas reserves and production. 2. Maintain a low cost of
Slide 13: Q&A
CANACOL —— ENERGY ————
Slide 14: Advisories
Advisories This presentation is provided for informational purposes only during the 4Q 2023 Financial Results Conference Call held on the 22nd of March 2024, is not complete and may not contain certain material information about Canacol Energy Ltd. (“Canacol" or the "Company"), including important d