International Petroleum Corporation (IPCO) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Okay, so welcome everybody to IPC's 2026 First Quarter Results Update Presentation. I'm William Lundeen, the President and CEO, and joined today by Christoph Norderarian, our CFO, as well as Rebecca Gordon, our SVP of Corporate Planning and Investor Relations. So I'll start with the highlights and give an operational update, then Christoph will touch on the financial highlights for the quarter. Following the presentation, we'll take questions which can be submitted through conference call or via the web online. Jumping into the highlights, we're very pleased to report another solid quarter of operational performance. Production for Q1 was at the top end of the quarterly forecast at 43,000 barrels of oil equivalent per day. And we're retaining our full year production guidance range of 44 to 47,000 BOEs per day. We had good cost discipline with Q1 operating expenditure coming in at sub USD $18 per barrel of oil equivalent, and we are maintaining guidance for OPEX at USD $18 to $20 per barrel. Entering 2026, we set a lean work program and budget as we are assuming a base case price estimate of $65 per barrel Brent. And in response to the improved pricing environments, we're taking advantage of our operatorship and increasing our capital program from 122 million to 163 million USD predominantly to accommodate short cycle investments across some of our producing assets. The Q1 capital spend was $71 million USD. Operating cash flow generation for Q1 was $68 million and we've revised our full year OCF guidance to $220 to $340 million USD, assuming $70 to $90 per barrel Brent for the remainder of 2026. Free cash flow was minus 17 million USD and we are entering a really an inflection point here for the company and there shouldn't be too many more quarters of negative free c...