Pure Cycle (PCYO) 12 Nov 182018 Q4 Earnings call transcript

Greetings and welcome to the Pure Cycle Corporation 2018 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Mark Harding, President and Chief Executive Officer for Pure Cycle Corporation. Mr. you, Thank begin. may Harding, you

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our opening before our get you see release our tomorrow will wanted of earnings press the XX-K as call will filed to tomorrow, out results. to but as this be morning You well financial market of

So will slide, be of within Litigation first Act meaning these about of our X, forward-looking the are Reform which Slide basically talks harbor the which XXXX. safe Securities is our slide statements

the familiar safe all statement. with You’re harbor

to do company. a first slide and of are with the kind I you familiar what I’m quick, think of give as Our you very company is going very the overview brief most of

the construct now we a land segment, I’ll our about at development a more we our DNA level, wholesale a we lots in Denver in Sky operating broke year really slide – first of at new the provider Colorado are for defines developing where single At ground our we homes This Ranch our area. in report and our driven Sky bit family as that Ranch. water property, So utility talk wastewater detail segment, which are little and revenues wholesale metropolitan water, on will providing wastewater primarily state from. lots

finally we’re royalty royalty utility mineral for oil water amount from gas generate we significant Southeast mineral of side, both of portfolio, have we Kind provide then X, the and Denver industrial have overview, that addition as also in Slide water some significant and revenue we oil portfolio And our of a In to to an revenues from minerals is a the our Colorado. very gas but interests, this the are generated customers. – water kind we transition into portfolio We irrigation water. an that. our that and wells collect storage. we who consume grave system. revenues put customers, that generate diversion customers, developed water through We back a We retreat that in cradle We rights that and from distribute to have that. to back. that water wastewater that wholesale treat We structures. then our rights. we then utilities put of Then our and we into for We where those

portfolio fee capital We water a our XX,XXX generate can that fees. serve in of from onetime revenue. have We revenues taps tap

we and have tap sewer fees. water tap So fees

per $X,XXX on we full of water on get connection a $XX,XXX and about per sewer about For side connection allocation fee, the tap the side.

on through revenues at get we providing you water if And sewer. billion. the the take a $X.X our then math look about that’s annual of So and portfolio, capacity

revenue connections, math million is water connection about And on that’s year-over-year combined the you average if $XX year. at sewer do with connection about out. that built Our per $X,XXX per XX,XXX per our

Master activities turn on of a will our really to our attention Planned be our conversation. Sky point kind a want Ranch. I at Community This So call of to focal

about detached miles corridor, X International zoning property the of As about along the Airport. downtown, east single it’s to about single of many Sky on is south you Total located X of of acres, know, is standard that’s and XXX and property. homes miles Ranch Denver We’ll family on I-XX probably family X.X multifamily they’re the homes. XX and the single feet X,XXX family, mix commercial square the have million types attached between million a retail product about of

total to $XX those water about for X,XXX on X,XXX we connections segment then just that water we sewer connections. water sewer And where have for tap somewhere tap for to in build that So utility our fees around applying million $XXX fees. have generates and about out million

alone the will million. year-over-year as we’ve And wanted there. segment do ground And to $X.X build million now for Sky utility $XXX that is then about revenue. then generate development our of broken So I that out segment about highlight land Ranch

at units, look a $XX,XXX And take look a so if number of take family X,XXX average, single lots lot. per at the same you if we at

XXX all contract. this got under se in lots we’ve So per

about same of at $XXX first all at taking Ranch, the of Sky on contracts that a taking we that’s price So that phase then look the commercial million for piece. our and have sort

looking foot about per for there. So square have the we’re – we $X price piece commercial about

per $XXX,XXX on the about that’s piece. So commercial acre

So segment would at $XXX build be million. the development land about Sky out Ranch

really We So X an you next we slide, kind think with will next the an have give corridor. ideal in in location overview I-XX is that, Ranch. phase, of of It the Slide Sky the located the location.

We’ve Interstate. property. have the We interchange frontage existing about an of at a got along mile the X.X

area employment Denver well of other the then Hotel, DIA the open which And significant open as from facility, activity I We’re, the in miles up, heart new month. is the parks. and to which got Denver next just development some Area. property downtown about industrial X Gaylord think we’ll is the Amazon with Metro of mentioned, X south I We’ve or as of metropolitan within miles really the set our as

the it’s good It’s asset availability transportation right right location. land, availability the a employment. demographic, for of in It’s significant So us. in of good and

bit So Ranch. to is what about little actual at I development a want talk Sky

all builders. lots. lots March first is phase single ground sold those XXX our three this, detached in year, We of different this we beginning So XXX broke of on which to acres, family

our We on three have Homes, work then we Richmond and on And that. to KB wholesale went facility. American, builders Taylor constructing are Morrison

So so to is to a builders, we as contracts real-time schedule three what the able with of deliver with to deliveries with builders. our objective our lots be takedown concurrently be that have possible in our as each with

So in in will this our focus area. brown be the

based at the then the graphic and will take you we’re in XXX that’s in takedown a there, absorptions out that common those builders If on we’ll infrastructure by that, from look and of each be focusing can have individual deliveries the we to initial each lots builders. branch of there on and three

to would develop some of efficiencies on the you the doing we As that of things you the how overall at site. look were the sites, really the needed site accommodate

we’re section grading and because phase graded out at example, facilities. the initial for graded a on this the so the acres, And So entire drainage quarter actually balance look of we looking the thing. then took out was XXX at of site the we dirt all

the is a take drain second this and for detention you facility, as which phase accommodates also our while green at well. look is the predominant So first second drainage particular water for be will into phase will phase And our improvements this section storm that area. because

offsite wasn’t of also a we’re only those So but the infrastructure. accommodated phase it first some phase, of the what future doing of not drainage and then the improvements sizing

houses the will to within traffic brings infrastructure system, and offsite our that their first system, be wastewater the Roadway entry the our and phase. the roadway, customers Monaghan water So the

the slide slide slides of grading sort So entire master next drainage site. – each at the of slide. of we’ll sort of the these on a left, the look The is improvements

treatment we’ll slide and our connections over facility that storage X,XXX to third complete water tank There drainage for about as storage well. improvements up, XXX. nearly up there actually we on the water then our And we’re the opposed So pump system. where phase distribution is as station, first system accommodate first to have is our water

and because of slide, the So this wasting to on each we of where some to the what the move can first investment economy investments next be just make facilities. day went I’ll we to X. really we optimize wouldn’t of wanted Slide the beyond an and size of sizing scale infrastructure

the work Some in of progress.

brown we area. on I are As mentioned, that working

we look the lots we platted delivery, you overlot we the if with then able take a lot to of all platted finished agreements bit have so a And structure minute. lot the a at more in And builders that the grading, of wet development were at utility. overlot little with. and about then our to looking grading are deliver I’ll talk that three are two so also we

roadway that be of that, some at contracts and to the roadways, water wet pavement we’re be with and roadway going we’re a important slide will of that’s things milestone another by area, taking that. there, middle then because which have XX% the So about complete. with our our we’ll delivery That’ll month. that’s that nearly of whether phase be XX% brown gutter gutters, the about that’s or builders. within complete getting roads, then with that And entry like curbs, look And the complete and the Monaghan curb under dependent, and utility sewer, on end internal the that storm in,

the a We’re also the will yellow yellow micro loops. look for roadways slide we’ll where going – road, be to take up And that far primary enter emphasis loop phase take can we entryway. additional which a access expand curb our adding into that that interior. that for and delivery those at our there, line, of as be the sewer sort then we’ll that right to on gutter, on we’ll take and will out That end We out take plant. then

in within for days. the on will So foundation most basins we’ve of next vertical receptor poured start probably the plant there the XX that. have We’ll sewer

So ton withstanding, XXX of the all some of site, on we’ve activity not got it’s acres. a going

it’s going the going of then of next off look XXX deliveries for to lots. first slide. sites Take and some focused the be Some a some be it’s to at on initial the of

try as time on investments we’ve that So we today, date. made our balance we’ve about and really quickly on possible Slide we’re hawkish the as to And real that. to X, that sure on million can sheet again, deliveries $X.X get make invested

builders and two of about on on recognizing we’re $X.X through We complete revenue this for the have that million closed over percent sale of platted generated us XXX revenue time of lots, methodology. our

goods million, XX% recognize on of – of that $X.X of which allows million infrastructure. sold $X.X million that first about have in about to So us we’re that $X.X we million, about cost on complete this $X.XXX phase,

have that up complete a do we’ve received. to we revenues million the until small total we that of the that on portion deferred So revenue percent catches $X.X

the over you look here, sort on drainage see a And interior will this infrastructure, at look grading, a take channel roadways. more taking of detail bit going some east. again, little that this overlot view total of then will graphics a of if the that again the that And three occur we of at So the visual these you have. phases take a

– we’ve You can their got the pedestrian phases of investment of because underpass, a will future which see kind drainage of regional channel, the at that. interconnect that another end is

have a be slide this to will on out system – and So can the there. to have bypass portion features gas we get back draw your take that the our residents east of attention natural presentation. trail looking and advantage to we the then I as the the of And oil able

Next slide. Slide XX.

some of area, the This And So of as the features, residential parks form. of which product. which be are our be well highlighted area, open the that then phase going commercial will area. have next yellow variety a we are some more the about in will XXX to include moving the will neighborhood XXX A, some XXX forward as acres, features the with acres We’ll highlighted be space will of that this. be another

have as have opportunities to and going single-family, So we’re attached commercial continuing but single-family neighborhood multifamily well some – also within we’ll attached the itself. residential or as multi some detached

different have be the scenario somewhere of at our builders the be and so product. then many portion this opening next three continuing as likely these will of couple And are neighborhood going out substantial and same build the phase additional in phases have we’ll initial X,XXX up that. X,XXX We’ll a as So this could time. phase builders a And that phase. to connections, going have their overlapping where on six to between is be

we’ve also overlapping developments not to and and entry go sewer the the have as a in drainage roadways capacity we’ll the assets, So that absorb we network. along in, but infrastructure system water the the rate roadway that only invested way, internal and system,

that, highlight. with of it’s So the kind

phase. We’re our the very of proud achievements first in

hope the able We’ve home been will in good of that delivering work to we’ve March, think such had be traffic, year, in complete. homes We progress I able in April that model the can late February model lot have of to a model for to good end very starting homes to percent some to weather builders continue January, and take then the timeframe. timeframe that. by develop sort deliveries of be that, the to deliver advantage early and take a on

of objective lot that’s delivering our home. get model finished those on So initial Will XX some deliveries about lots. for

only of phase fee are also but finished we not the going tap for So get wet those. and we’ll also the then and sewer payments, lots water home second utility to that get getting

overlap start you’ll So segment between revenues segment water because and see to the that’ll tap land utility some the of the purchase come in. fee

Oil this Gas application. we’ll a the be talked We’ve and gas. that will bit pulled which a Colorado is permitted that, & into of map lot. about slide, COGCC kind So our well next move with Commission about was little the oil from a This

there’s as Again, operators and different between many depending XX% as been leveraging four well, now, design. about to somewhere have we $XXX,XXX we’re $XXX,XXX on in the wells frac field drilled this So per date.

operator different foot that’s of horizontal each frac So well. design about use all horizontal had These on they XX,XXX are type wells. hasn’t their

pulled real see of about did that. say, bump pad wells we’ll development years about XX the wells, ago, we We’ll to a XX of three XXXX somewhere two a each took month difference well And probably year around there square the in were pad here is to see they that. because side wells. single So in individual site. XXXX, part This it kind drill in, miles in

individual every This we was two you month. per on, had – science on about were some or about wells year Last going saw four de-mode was wells. part these in there because of mode, some well still a year So year per two last on wells month. it wells

increase the their look increasing, pad to operators So up wells site which as, as number to as those happening pad eight they looking pad as increases to XX into wells of six to per there’s into XXXX think I efficiencies site what’s and is overall beyond deliveries many is are continue that per and site. many

So improve of moving call the continues is development And beyond, field to into mode. field what density this definition. this sort they

more that going on start in a oil you’ll to activity see So lot with area. and gas

going I to gas, those multiple We was to slide drilling Derrick add this new to our slide of Sky continue I available one that is then picture Ranch supply so noted oil deliveries want we that water back that pull the of eight before, bring you wells as rig four and And to that can saw the oil have sure to make oil our be a the out to we that’s and a maintain minerals. new there. that – operators. a to did will That thing

being to little bit additional So royalty that we’ll revenue a now. those because attributable that have wells are more of right drilled

overall the attention me year your end take to Let results.

water for XXXX, water or increased. at or overall year overall, you So overall frac our significantly the take results, look a end if our revenue

year Most and made going be that about of oil the gas up in times to we’re prior delivery. was at So our delivery. XXX

about year deliveries XXX% had water. frac we over So of last

attributable up continuing Our fees tap couple think I municipal I think revenues XXXX. Wild slightly fee, in Pointe primarily to to added grow. system were tap and Nominal we our got that had of a that’s

here the be we delivery. royalties is of where of complete gas that and oil $X.XX of land about prior recognition development our segment, were about XXXX going million recognizing lot the difference year. with revenues And in XX% real line a were Our to were

three revenues lots our two So this was builders. platted from of

the on to Moving balance sheet.

strengthen total look total you assets, the look company. to continued a have the liabilities the don’t can attributable sheet, balance debt any sheet, those a to If overall at still take take you at balance

out very we’re deliver were to proud basis our be on that able of over to to be So able cash outstanding. and project real time reserves very hawkish still our a shares do

back all to So know, did, the the dates way as we last we many you of XXXX. offering

So our And has have shareholders. this we’re currency then year. we we’re maintaining proud income that year statement definitely still because this income our improved, that for very actually

have to at and development. additional supply substantial the what additional we’re making then storage sure for serve of little for water our of continue bit that Making to sewer some And and we investing we’ll look have this because have And Still water the future. to utility segment Ranch taps into also you capacities then capacity we income additional serve sure capacity up of there. to inventory that a customers. of our that, into the oil those and into report land gas Sky a and as building take investment year. So a our

last So is I’d mechanics that can our on with open shares to like have slide. to for that’s the that, the outstanding, provide color what I to and up if those it see follow. little some but a I We just think Q&A do continue

So I’ll moderator. the to turn it back over

Bill first Our line comes Instructions] your [Operator the question Miller from Hartwell. with Please question proceed with of

you endeavors, water? homebuilding, Good as the look price the And morning. flexibility into have pricing get the different most your you the fracking, metro and where do all you First highest future? do for In question. where

second a to two look The one of is years, as going question or be out cash. generating lot you you’re

are you cash? attractive and do to just will you multiple go your most do that some think And like can way mean, that to through things looks you doing at point? which us arrive? what but point expect I’m when with cash I tell those do, be sure So use let’s there the

for Okay. that, Thanks Bill.

sell to the water would and in question, not gas that tap I them X,XXX price on they’re highest we price principally we – because the first fee. paying segment, our get So the we a selling we’re say oil when gallons to per

goes that. all all what And share capital, an our as not paying behind that is their they that so what delivering paid ratable we this if hydrate. So of of charge, – they of that is sort they’re not infrastructure on-available then paying are classify –

about in we per barrel $X.XX collect So XXXX.

I bit they’re the a in think two price pricing and our look at gallon. residential residential but tap pay tiered for customers, that you bumps When plus schedule. little reason that customers that it’s And is per X,XXX a to that’s not be highest to up XXXX, going our paying the fee. or

don’t a So live fee. base their lawn, water amount of retired first couple if a and may house which they a be they it’s at just a low tier, be a very will that that big have

is base the that and our be per guys around which are fee if $XX, $XX consumption around that think month, X,XXX I gallons. a per and gallons. paying, equate per oil and gas charge, somewhere $XX gas And are guys you paying then will the X,XXX oil what to $X around

difference substantial So in that.

Now move then up individual a more water basis, tiers. on in resident the those uses monthly they if

more And irrigate try water, times so then X,XXX they as per – maybe and the lawn more tier as needs. then they And the the but they those during much use rate keep or year, numbers $X irrigate relatively modest for increase. so home top that as gallons just more as we internal

the because allocation of customers we we on to that residential analysis charge the methodology what fees. kind of the compared of tap the gas that’s the capital doing So oil and difference the companies and from between what charge to

[Indiscernible]

that say Sorry, again.

you have on, do If flexibility? the where go pricing most you

are is capacity our of of system. we and the using oil the gas in tend to And at gas Pricing in space. look percent that sort flexibility. what Probably and guys the oil

more continue they to that price as So our charge that system, deliver rely that and we into more that will more them. we to then system use of more we on and and

that, component drilling which up case higher higher a to this gas to we to using the are customers. think oil and of continue that utilization that’s returns if seeing they and to build and percentage, on the see that going because And efficiencies of for continue development that those residential that’s system. advocate for the and that’s the compared be methodology I higher So field principles their good that will prices that higher wells they’re we’ll this, and

a generate which is does a second then at the turn from your the we bunch this revenue, our be and over speak I’ll of thing? really as management to going part when it of kind to discussed of we’ve question, of to start Going number management philosophy times. this how And board’s to perspective look

that our our current directly customers, out and to for that whether to we to take and we oil we system gas the reinvest needs, that capital water water current we municipal more through So whether into Sky to provide and those Can capacity connections to where Ranch WISE look in we into have that’s that trade that exchange reinvest other water can developing assets higher assets, utility for and so or that needs, deliver are serve. we have.

we’d water that current of situations. do share to an as we our because some the To us in a providers likes you our continue unit that active from have to we well have So would talked couple acquisitions, where that look out other sale areas opportunities bring to that’s build of royalty the there utilities systems. operations, capacity participate for of past, that number Pointe revenue usage system from will both times revenues look discussions continuing find our revenue ongoing have dividends. sort taking so fee years extent those for Much good we of the we first ongoing and so Wild we’ve we in the evaluate nest as in opportunity shares going then of – we water is, whole either fee opportunities usage they and developments if there’s And to on course capital. for to the of a everybody we enable – as to buybacks. have areas our municipal as the water fair those, invested acquired the tap be like those XX,XXX other not of of valuation our certainly, in service acquire ago, is still utilizing on if opportunities Then with portfolio

combined good to pace would look our capacity. a that we that that to use kind to back take the company a if the at of find and prioritization shareholders. opportunities for, for And use the that bringing the we’ll you be itself, way can’t look excess So within

stock buybacks? about What

our opportunities we portfolio to say. look we that, don’t I take buybacks. doubt that to and shares so fairly that’ll would do are If in valued at a have be still think share

Thank you.

You bet.

[Operator Our Scott Asset. comes of question with Instructions] next Scott proceed Please line your from the with question. Geoffrey

Good are afternoon, How Mark. you?

I’m are you? great. How

Very well, thank you.

is Sounds like schedule. quick Couple of to questions. according everything going

have recognized contract You from builders. What that a said that different revenue been of two provides revenue? out of is third timing the recognition the different builder on three with

So structures we with of One lot finished our on have types agreements. two builder is delivery. the

And as fee. get we we sum a the of our higher they lot paid sort lump lot. development So finished end turn over overall pay of soon

overall finished within a lot fee, delivery. in priced that lot that of it’s doesn’t happen a the until And but We’re that turn sort we over.

it We plotted the you if break lot down wet finished segments. lot phase, utility into phase, three delivery then and have

agreement. the With development we two have builders, other a called something lot

do transfer we what title is lots. have so after builders And to we we platted those two

we So that summer. over had the

lots we of that something first they so it. escrowed and the we roughly XXX platted got transferred the balance And third money then of and

would the wet utilities the transferring as through construction been should And got second And then that they $X.X of platted XXX which have that very half. – because that then of the on $X.XXXX and – there will we’ve on that done well next two We [ph]. utilities, by the we’re nearly the when half this half $X.XX component finished of we amount, XXX wet we then that, the phase that lot, is another we thing. moving this $X.XX second phases, million. be phase from would So residual lots, finished deliver million that be or of then year-end. invoice next utility and escrowed wet we And

have finished the and So builder. lot lot agreement with delivery with one under delivery we payments the three the one payment

we’ll And model lot so lots our and say, year, home that delivering and are are lots call then – I when want get a a we’ll for payments to at the wet and to next lot say third three when look January take we’ll the let you call both, of we’ll we some finished it to dozen finishing it get finish of the to that as and XXX the we all end purchase on build be price but builders. lots, able utilities

than just the more delivery that agreement be be third will number play. that builder remaining would because with component will escrow, finished in the that into So lot the come

Right. All right.

Okay. that The it. sell development the for the still the is case to be else let on somebody it and and the commercial commercial going timing you’re freehold develop going to

where – So We’ve on looking that’s that we’re some side, to participate still value. we’re of commercial and be interest still able little help bit the our – of land for opportunities. had we was might a some participate to the of

be a be finished might beyond site site, lot that. that might three-acre a for pad delivery. for platted go lot that And to delivering going not a We’re pad

more side it. we that, on consider with never somebody the opportunities So where develop we’ll go than land to continue we participate would may but that

at broad So commercial of piece. I would say might that we how options look range that there’s a

have that’s that who the can don’t representing at. interests be I want with in flexibility, attractive look little directors with have with a that something our who have the extensive from in a return That to really nature. said they We big that be a be always – bit have too consistently commercial that. of be up be we and far other And our something of we to might regretted maybe somebody standpoint. consider more that with would development want a area. structures selling that and partner We flexibility in we we’ll to it at But to something because able that Some afield, creative little landlord a more want because we can experience our early. look liquidity too

you to do When that? And make a on decision have

Nothing timely.

we’ll mean, have available. I So the road entry

from so opening of think And we’ve that a we’ll traffic the to residential commercial area. a in lot got really start going And that of of the follow is lot side. to see I what

sale, you anything Okay. about nothing’s I assume reservoir mention happened? Last a question, didn’t so

update continue a new context, I that to update the all with no that. South mean, Metro take the with to work that Yes, integrates we at within but regional how look within to and there. parties nothing

Thanks it. much. appreciate Okay. I very

question of the Private proceed line your next Please question. a with Cunningham, Our from William comes Investor.

the for actually infrastructure you Hi, I budgeted grading, midyear presentation, be costs spending a would correctly, like than and your of considerably size. this. million XXX where Mark. one were the in that with you the budgeting actually looking, presentation little actually But bit in I’m you then. your I’m comparing example, what it different. $X more of did it entire the for slides if the is looks understand lots, first But twice less area than you some for numbers might overlot

I you was I in, Plus as which that correct? So is could there. the the assume potential a budgeted $X listed or got budgeted million that I storm facility drainage that assume double number. number water Is

Yes. It is…

Or a bit is different? it little

No, it’s about that.

the $X.X did that in, – got you million. for you XX% Plus and of wet facilities Okay. so

planning reading million So you correctly. you for it what than did that like if looks that I’m less couple of a were originally

fact the of invoices. lose there’s some Yes. And period-over-period don’t type that sight

the little XX a all maybe bit August on is of and my updated this of complete So stuff. terms percent on as more presentation other

are I there with the bit timing say timing may of whether little a were on they standpoint, difference be close each would percentages, of all those these the to complete being So cost million for to $X.X investments. a budgeted and how there. And our from we’re pretty pace

all then we be are building some – a of we in that total those, closer stuff are how within I we probably million be to to total how on more over bid might that, of $X And it. carries would date our that even consistent. terms think

in bid for then out proceed we sometimes and only given So just the notice aggregate that. segments are to of certain

of then utility rose So out portion do of of lots. notice that to We brown bid what all are we utility sort we of the out them XXX the gave the and and of really on that expand entry did and rose do continue grading. the loop, on of we’re raising that from all that proceed grading, and all bid going curb package, then is we out the lots only the gutter up then look We and roadways then we the all loop, the gutter, to will incrementally out bid take open you lots. to there if at and that’ll lots. up a XX roadway sort and open internal the yellow with curb are that Maybe we’ll deliver then and

bunch of in. deliveries. it’s of kind as we’ve the our are of in to lot site prioritize phase for and we so really close where whole holding be a aren’t try They’re inventory holding just So big contractor inventory then of terms That. can inventory time, site they this bunch can finished And builders the on enough a and so just-in-time a not to that

our get skis Bill, to we that’s too So far try down think one balance. our – you to improvements over really phase team our able to very will I a tell with where and cash we’ve not be good really done I dial job these and

you, Mark. Great. Thank

Mr. questions are for back like the in remarks. no turn closing to Harding, there queue. it you further to I’d

you like for I’d again, support. continued all your to thank Well,

We’re I certainly we’ve progress made, very that XXXX. and delighted a in we’ve about good year got the think

years in with the deliveries oil going over Our to the continue which several lots next runway things gas acquisitions, and of expanded sector look fantastic and on. able that with continued company of be new are the exciting the is at to to all there the look is development working and

here. year-end our in see you results those of Some results

hope Some execution. those more but on be mature, bit we’re to things we detail of focused those, a as little very to describe able

sure very capital making are prudently. that your focused We are investing wisely we on and

our for wants us hawkish I shares Miller very outstanding, kind Bill know that. reduce of are denominator on to and We

opportunities where So to at continue we���ll can our to we look return value shareholders.

So I it’s a met year. been exciting those challenges we’ve of here, had very and successfully. great challenges a We’ve think lot

our additions we’re our So to utility segments. and are with we thrilled both team well here, as Sky our Ranch as with opportunities, thrilled our at

all you for thank again, that. to, like I’d So

shareholder look January. will please will have If at meeting travel Denver, in take of We your take a you any that. through plans

January that’s think I on XX.

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continuing to to thank very the So much the But We together to again, proxy overall Report. that you’ll look our you continued see assets forward Annual your support. for you. with value for

today’s your participation. Ladies you and this conclude for teleconference. Thank gentlemen, does

your wonderful disconnect at You and time, may this have day. a lines