Occidental Petroleum (OXY) 13 Feb 192018 Q4 Earnings call transcript

Good morning and welcome to of the Occidental Petroleum Corporation Fourth Quarter 2018 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Jeff Alvarez, Vice President of Investor Relations. Please go ahead.

Laura. you, Thank and fourth everyone, for in participating Good XXXX thank conference Petroleum's quarter call. Occidental morning, you

On the OxyChem. call President call and with BJ turn International us today are the Operations; Gas a Officer; Officer; Dillon, and Burgher, moment, Oil Financial will and Chief President Vicki Vicki. Cedric Senior just Chief over Vice of to and Hebert, Ken President In Executive Hollub, President I

of forward-looking today's and reminder, certain call federal regarding statements statements within These conference more statements meaning cause uncertainties actual risks other slide a As results materially projections are the statement, implied or forward-looking on fully to statements, contains expressed in the may to as laws. in securities described differ cautionary X. and subject those these from that our

the the over release, presentation conference the relations our website I'll investor reconciliations ahead. and at downloaded of supplemental Vicki, call GAAP to our off call press www.oxy.com. earnings to turn Our Vicki. non-GAAP please and go slides, be can schedules, now

and of good Jeff, and our for of repurchases. up by integrated XXXX dividend The returned our model. begin quarter fourth financially a quarter fourth plan you, Today Oxy the I'll morning, followed successful and Thank achievements, of benefits overview the business million year results shareholders share a wrapped an a in of through for ahead combination XXXX year to both $XXX We operationally. everyone. the our and quarter

XXXX we the below six-month in of condition. such core returns investments our falling a the were level share infrastructure. operating facilities $XX flow $X.XX in decade, outstanding from of performance strongest We since operating continued operate since WTI second we're semiannual for businesses lowest lifecycle optimization. the portfolio with making barrel cash as our the per and shareholders that in earnings making to due market by view. long-term our period high-return changing all focus cost our our generated Permian of assets half quarter, a of this Our XXXX, the on highest was posted cash driven increasing achieved and full a three Despite

dividend, lower investments payback production our both opportunities we working higher optimization. enables returns. Midstream Our XXXX, full earnings by completing record of grew OxyChem us driven fourth our flow and form which expands. expenditures In full our key that of allocation position. base was from the capital that business generate capital away market of to we provide a as have cash to achievement growth as our as delivering cash flow a and take both exceeded in highest our take model, a the cost such been Organic cycle portfolio to conditions our the integrated will achieved level continue to Permian advantage of prioritizing since quarter business realizations result toward

capitalization. shareholders and XXXX. the complete program $X.X XXXX, repurchases remainder we two repurchase an billion-plus We to second than objectives our to of generate We share to billion of through a dividend share share through shareholders. intend remain return balanced increasing to repurchase shareholders our returned sector-leading are to in program. to under growth capital returning committed the billion $X foremost and more mind, level of We combination excess and In first cash capital; on flow pursuing higher to in with a cash return we also $X.X key has in the the our industry worst A-level ever each which this we've about returned strong XX% billion period included sheet as our downturns share a and of share one time five we've to our our of Since time. $XX XX% we've maintained That's dividend last dividend year was dividends market current downturn a consecutive balance and our shareholders Almost through this of increased and credit long done of returned for repurchases our experienced. and XXXX, years, repurchases. ratings. Through

the focus on employed at as cash in capital record productivity than our made across to and and both and per group. a recent XX%, XX% return in both our our significantly integrated capital model Our quality in reflect We high-quality segments return proposition, investments the quartile notable versus on flow earnings. all OxyChem business cash our optimized our three completed XXXX of and and that assets segments value years on efficiency achievements delivered delivered and off of higher These in performance our performance XXXX our peer XXXX. of business XXXX gains assets. The high our employed investing Midstream commitment business paid strength

to business EOR and cost continued acquired field. Permian XX% with Resources growth Permian Our impressive production exceeding delivering outperform for an COX targets Seminole reduction Permian the

flow business forward. going in generated details flow provided Ken last billion to Our new opportunities. potential $X.X enormous international XXXX of our international On free and cash in our cash call grow has

inventory Now in block and new few we're will six the This in our the Abu investment in same highlighting a in added Oman, worth require in three short-term. to make been it's new pleased awarded new minutes. blocks the these only add that Abu modest will will international significant block These portfolio. year. that high-return Dhabi Dhabi development time, a describe a Colombia Ken opportunities XX have to last with new low-decline in along At

decades. our to advantages develop efficiently is growth assets and our One significant recovery that ability all production a in the flow maximizes competitive way cash generate of key over next

characterization ratios achieved all-in replacement the excellent last of have to The reserve due subsurface the is portfolio exceeding our teams technical customized plans. XXX% work completed in across our For building enhancing we've reserve XXX% ratio companywide. XXXX replacement and years, three development

segments By various scenarios, continued Last opportunities. discussed are three budgets reducing to to to Our our we decided This momentum limit our full has XXXX but to $XXX through adjust in full reduction continue different invest into to billion. XXXX $X.X maximizing business month in from a as capital we high-return pricing we've represents or a environment. lower million capital efficiencies, a spending oil price spend XXXX. XX%

make activity full Permian adjusted the spending spending total our realize in and production. of highest of to production shale In budget half gas larger returns, we expect be $X.X the As billion, creating higher become to to capital of year. portion our the is first Resources year capital will a oil

We expect this XXXX. will decline base to in increase our and gas oil XX%

appraisal invest to growth. new in will Permian, continue international advance decline short blocks them we As opportunities the in for our development the low cycle to prepare in we our

back years at dominated the two $XX investments, program is short-cycle we’ll majority WTI. XXXX capital Our by pay of which within

be six within sustainable can throughout we capital continue to conservative and OXY commodity We cycle. levels, reduce that necessary, if flexible the will meaning remains months to spending

production and return return by annual an growth rate forecast in off-capital oil at to flow X% grow a to XXXX, the inherent flow in X-plus-percent. will and XXXX to growth cash X% XX% on-capital. replace from is Qatar remains driver We a our long-term higher gas Cash but high in generating

XXXX. XXXX projects to few years, we in prioritize and over operations roadmap cash details billion $X to Our will in grow execute the from order flow the next

through in be While Permian XXXX, continue production. to also and cash terms the both Resources grow international driver our will growth of main business flow will of

XXXX, with flow having cycle level return and from achieve in significantly to generated remain end flow Dolphin. quarter billion for of XXXX budget we third OxyChem, Even call. low lower capital to that benefit $X.X $X communicated many the and of on reduced continue still cash our we track range a Midstream the billion also short sustainable opportunities, by the a to to high activity addition cash In stable we

noticed provide have contracts. XXXX we upside onwards midstream this of OxyChem production does WTI assumption of minimal our based range in will improvements hand to the Cedric. in call and Ken additional update then on updated take detail our low the have Jeff Cedric based new advance. several cash an on financial impact we our that This cash as billion for opportunities the the will conservative, Brent and our and modeled sharing spread in we’ve flow you our will As we for results expectations be are the price through we're on our and evaluating. and our projects international on from over these We'll updates not guidance; now updated I'll XXXX morning include significant projects To will at continuous $X the creating you previous projection flow end currently by will Permian. provide business.

Thanks Vicki.

pleased fourth quarter improved XX, Vicki to $XXX shareholders are I'd continued over year-over-year. earnings As to we dividend. including highlighted, with our in $X.X million slide like the our us during allowing across to XXXX cash segments billion shares, start which of all return On and have to repurchasing

BOEs share. to diluted lower income gas prices. XXXX and prices to Act. of realized earnings charge quarter, million accrual; Oil and declined XX% quarter reflecting the related compared and $X.XX For of operating share XX% over $X.XX a Oman quarter NGL results the Total up in COX The slightly contract reported the per XXX,XXX represents in mechanism a sharing end was quarter BOEs of impairment related decreased Permian Tax due oil the lower midpoint per day and delay the in was core our is top to execution exit contracts our reported primarily resulted two-month diluted Earnings of caustic contracts, Total and which as difference higher expected quarter from and to higher by pricing XXX,XXX driven well fourth oil as XXX,XXX and well for gas guidance The lower earnings guidance seasonality as ISND which core Reform of core we an and attributable as the the an the to from with decreased Resources, costs. accelerated a soda changes during DD&A quarter contracts than as net of exit $XXX million a perform foreign to Earnings between benefit natural in of higher credits related due range releasing to guidance, and Fourth above included income its maintenance. per price which fourth day later also of oil rate quarter our U.S. best-in-class impacted and Fourth decreased significantly and increase $XXX price fourth the highest at prices $XXX and by mark-to-market production lower production weather for realized million our of OxyChem international pre-tax production for by also production $XX production was XX%. the result productivity tax change purchase $XXX effective and prior for and in additional respectively the non-cash million, million, adjustment quarter continued the primarily tax oil sales; vinyl the realized million consisted income this third international strongly was year. resulted above and tax fourth market it guidance utilize in withholding core end BOEs tax reporting demand pricing Oman. included $XXX to third reported quarter quarter. and per quarter, of fourth in day credits million. of expenses well for EOR due of the which export quarter. products fourth of $XX continues in the per Qatar to ever to as and gas tax lower ethylene a a expiration had

the capacity quarter reported exceeded mark-to-market Permian margins movements the Pipeline from Compared were lower sales million, guidance, Centurion Midland and higher-than-expected core treatment the from to to to and where $XX.XX sale the used decrease $XXX resale a by differential which to high-end Midland $XX.XX business positive earnings MEH in and fourth the accounting of Midstream lower purchase fourth due pipeline prior marketing contracts to to the certain revenue due we've MEH the a cost both excess in due quarter. record reflected of takeaway midstream of our differential. $XXX and earnings quarter million to of barrels. Fourth quarter grossed of our quarter Our third-party prior up income the from

which fourth million. quarter before gross-up quarter the and $X.X $XXX third capital billion, flow amount $X.X covered dividends was of was billion our cash working capital expenditures $XXX million. The Operating of for

total our Our full our just capital spend the under quarter year-end for and amount in details, of XXXX. planned first spend Slide year XX $X guidance came billion.

XX%. will reinvestment by of of XXXX billion, be $X.X As Vicki in that to annual high-return pursue funded result will in production will capital which total we mentioned, budget a X% growth opportunities

we are growth. due technical We year-over-year still to advances, significant reducing capital and cash are able operational spending to deliver flow and

with our turn market ample to As hold $X of share over to with the approximately call repurchase complete ended over and our and million. we still PAGP $XXX balance remains value available program. advance We I'll a into now Jeff. units sheet XXXX strong we cash billion XXXX, have liquidity in

relentless Cedric. replaced and improved our value-based of you, Permian we and best I for grew tremendous Permian has per of and achieving Combined our that this X% through guidance generating of generate our the called initial approach. EOR data we XXXX value year XXXX, water Permian unconventional doubt' returns Resources reserves exceeded with and cost toward day implementing barrels recycling advanced In industry-leading by per as BOEs utilizing the outstanding Thank love per in the successful efficiency and the Resources great add investments. on our XXX% assets per XXXX, maintenance XXX,XXX to We our Permian. XX% fourth new to our made total lowered XX,XXX performance to BOEs Permian new We're refers technology, was able improving principle as BOEs simple combined appraisal. returns no an exceeded day. quarter. production a pursuit business We XX,XXX we and lift, development XXXX high industry. total our conventional operating on our day year model Permian progress artificial through analytics compared and 'leave which production production our in margin the increased across by

achieving of an by improvements we have improved and step compared In our breakthroughs Our advancements seismic with rapidly average in driven and subsurface we characterization square XX,XXX our change pace. production characterization By well placement. models, geoscience integrating to in improvements XXXX. six-month are subsurface design cumulative at accelerated XXXX, miles XD XX%

wells XX the in which last the Over wells the total drilling the most period. only for of top XX% the time same operator basin has XX the months of X% while OXY delivered any horizontal over is

our fee compressed improvement by continue drive release-to-rig day we increased operational drilled On XXXX, and XX% XX,XXX-foot to the our capital drilled and In efficiency our wells barrel reduction XX% both how demonstrated surveillance in we and initiatives our and XXXX. rig full our areas. cost. front, front and we investments lower efficiency, Mexico base our time-to-market, are base cycle Delaware XX-day record in per per operating release measured as transforming management Texas by On in a operability optimize cost

extraordinary next optimization lower also of BOEs achieving efficiency business advancements decline major artificial Permian within and to is rate. to well exceed XXX,XXX years. base for in and to addition us enhancements we're in rate lift progress will In improvements, the the this to five lead The Resources per day alone

EOR had Our great year. Permian also business a

decline September continues under planned injection grassroots Sundown EOR provide to a at the We XXXX. on injection took since start OpEx continued by four operations now integration to in Slide strategy, footprint. Seminole-San play shareholders. have Permian unit long-term excited COX the Andres XXXX flow billion will in $X.X expertise Permian our on capital we our our position especially and low billion our of cash total capital provides leverage program. We're business critical more in the our role will and XXXX. budget Resources about for reduce flood West months lowered per we $X than of BOE achieve unit of earlier sustainability start new it XX cost over the and a and high as development of carbon detail We $X.X which per will the returns BOE. $X comprise

which operated Springs areas. New rigs develop the one on Wolfcamp formations. will plan and development high in six operate rigs return will focus seven utilize Bone rigs We to and XX approximately to primarily non-operated our two We to with core Mexico

improvement area the of expect shareholders activity in highly online day and five A Overall capital year. appraisal half XXXX formations. wells the proved XXXX. to of significantly Dunes plan to continued through areas have well we Sand Greater per We in averaging design allocate in prolific results implemented The XXXX second and days. in we area over outstanding, from we'll XX for Texas, new of In tanks tapered well our to see six to to been the Delaware, BOEs XXXX three operate per X,XXX the the annual to value in the will development half tanks be XX% and rigs production our the generate program wells primarily our result Wolfcamp for growth. for of Hoban returns second XXXX significant in will to The XX% and developing improve continue

and also in year. expect on to more information be will We later EOR results development of the commercialization unconventional the advancing share

seem As a may XXXX. you ever I'm but was subsurface We to improves assets. XXXX our energized exceptional doubt year data the can XXXX leave organization will than and with now beat, from characterization turn breakthroughs records, see, like and productivity lowered over in significantly well I'll and year the for analytics Ken returns the saw cost, businesses. to capable Permian no realized operating we call that more an international. hard sure is and to discuss our

and Jeff, good you, morning, everyone. Thank

capital Cedric plan highest Oman concession Abu a long-life to clear XX-year pathway well pleased onshore. award that international and flow low-decline in we Block choice. kind certainly We focuses we're the as the of recognition our as honored from we and expand X of Colombia, is partner grow flow Vicki We As appreciate cash blocks new to first assets. XXXX With on cash and sustainable Block established onshore share investing Dhabi. ADNOC details as our for have its onshore new mentioned landed grow feel the to generate the the in relationship OXY of in the our Today with X, returns. a which feel and projects

acres, in an net our greater covers X unconventional than slightly the area the of which Block XX X.X slide of is acreage on million shown total Permian. As approximately

prolific Dhabi also Abu this of for between location Oman. given the high have our outhouse and its expectations gas project. oilfields adjacent to We block It's

geological utilize will preparing Block mentioned initial and in experience degradation. for to state-of-the-art I We call, our in scope last work our acquisition the Block XXXX, it XD best-in-class As initial our The in that X spend prospect is pay capital in the continues knowledge infantry seismic regional involves modest. develop. X. and be In stacked of participating

price Expanding to an portfolio drilling the UAE especially us allowed in is in plan our XXXX. meaningful such initiate through to way, in attractive international a entry. long-term has XX-year our concession Our enhance of footprint at

we Hosn In Dhabi, successful Abu with develop facilities. and discoveries XX in we the agreement ways to cost blocks Gas in where had to Al signed we Blocks Colombia, partnership Additionally EcoPetrol, look are debottleneck continue our to to at These effective and year. have Limón adjacent giant this field Caño XX. an

we regional where the in knowledge have highly Basin into formed addition In the four reservoirs. we blocks Putumayo prospective of

our will these has acres approximately your in one with Like acreage blocks, arisen entry. in capital With be recent net Colombia cost low XXXX. other to word’s small of million a

In to world-class. it's safety as cost terms performance of our teams continue partners, as was international improving and OXY improve time-to-market, million drilling again our and well since performance, approximately and XXXX performance efficiency OXY the international say $XXX I'd for

new to gas developments. updates expect be blocks an for were around international we that $X.XX million programs XXXX closing, in per BOE OXY exploration up BOE on XX at same while resources internationally In Our bettered XXXX time significant added opening by resources and place. adding Funding as exciting for million in the provide costs the of continue XXXX in year new programs exploration BOE. of will XX to we

turn Thank OXY's our As aligns focused I'll you the with competencies now on technical can are we back and partnership. returns Vicki. executing the you. to see true call work closely key

you, Thank Ken.

companies and carbon maintaining world and that and oil to a social oil the believe strongest proposition will emphasize the have Before value be license price and Q&A, in a that in we world. operate structure also general shareholder-focused we to to those cycles, the our gas a sustainability go future low of withstand the to like I'd in while operate

annually. to Our of delivered our faced. many Unlike production in to to best-in-class deliver the companies growing our and X-plus-percent our through this dividend has or will longest while industry quartile returns a X% oil growing value also one continue we the in proposition sector, shareholders, maybe upper downturns gas

diversification a Our upside company strength Dhabi. possible provides This that price and Colombia and new oil oil and also cycles. company higher picked made that chemicals is unconventional opportunities Oman, Abu upstream by just cycles. up important our oil and significant periods so in integrated and an adds in short-cycle, low business, with substantial in midstream The upside price oil assets support of our low primarily along in during value gas Permian, the provides of price upstream gas with high-return, with oil we conventional is along business

the very our in I'm low water environment Our referring COX water in of low recovery in Oman, Colombia. new our oil be the Mukhaizna projects bolstered and and steamflood largest by strength our price Permian, decline which our Permian, and in happens enhanced Colombia. Oman in plugs the our to the one to the world specifically plugs in in northern steamfloods steamflood TECA

can a and we proposition. our Our oil Not sharing with believe in is have projects to industry offer Hosn cycles. this other provides opportunities. in and company’s support is we I this have value of gas high-quality, This addition significant incredible decline development Al our oil low gas do deliver in blocks, continue the provides gas our great oil projects only no inventory that new has of why assets blend the road and focused diversity. we contracts that price of of to blend oil also there production

Over greater the reserves we've at than production a years, few of XXX%. past with our new replaced ratio

license business social communities inventory the of operate, where the operations. operate, the ratio we the future. of achieve a This respect expect to now proposition. replacement improves With contractors value sustainability minimizing for that foreseeable With way to is also quality while impacts our life of the potential for employees, that we manage our we our ensures the our our to to commitment in have, and our

and are success company. and during that be And balance. of them to the value ready continued such, work/life are where address work. areas our to This development the that we and their as refer committed They employees that us. home I to helping challenges of family possible have of Our our the we deliver are Many shareholders to people in OXY capital the It's they a best at a drivers to to positive best the are lifeblood can improve our this not as want be ways to people, we will human capital. their and These this quality of the enable can at way downturn. management, to as don't. and engaged them We personal but we our lives done in the significant be find the want operate, impact ensure have life community. in the just they

but to capture the sources Permian, CCUS in change. in sequestration effort COX necessary our in assets as shareholders. States projects is climate the and use believe we and carbon to many current This our limit to Enhanced use emissions the unique benefit of Along impact United important lead CCUS, is With expertise in parts industrial other our ultimately starting Recovery with capture equally from the Oil climate initiatives, we in commitment Permian to and sequester COX will of our our to lead use in reservoirs. and can the world. Lastly, the skills or other

that ways and now we mentioned, previously to also and reduce are opportunities improve have we team expandable a low our carbon sustainable. operations our seek footprint whose thus have in is to mission As carbon innovatively

us great your sustainable. addresses make in factors I up it is company to that this world. the a to has We'll changing our strategy next-generation and into open comprehensive our now all believe excel questions. company that positioned built uniquely Our

come Instructions] Fargo. Wells question-and-answer begin question Read will will of Roger our session. [Operator the We And now first from

majors morning. just the How you given just wanted my it side. X. cash X Yeah. I Good out capital oil Hopefully, to then lines in maybe I the about space super January price. how are in that really maybe terms of discipline of you? versus kind we would seen growth seeing of from put magnitude everybody what think question expected presentation XX what and rate the we’re the E&P haven't with the of do trying of and can of in you're is versus along come drop-off, me? of some we activity Obviously, hear think higher the Yeah. you the to at out highlighted the live to companies. here, the trying the flow see Permian, the fits Good increasing would've to broader But private XX within to Oxy now out to

to you returns, these components, between a what maybe circle square kind as do think how see the the of capital other driver do So capital for discipline, want you risk squeezed bit up? little how And being but two about the you then run of you company? that as

returns. driver The for us is to maximize

the to programs design And and We for of so We synergies the with the try comprehensive our resources. development way, and tell to design try majors. that, all the between you, value. we put in clearly difference in And together to that outperform peak the our that way not doing creates highest Permian majors. time. trying trying of rate the this production. design development try outpace that at think in really can the we're a to I programs to And I EOR We're we're is, development Permian we our don't

focus with sure – our than standpoint companies more versus double programs on the lot making theirs. rigs more rigs other are almost is We're the we every doing dollar that of that creates we it's value. think have. the that employed with more we And invest I a many our from today

and trying our minimizing we're so to the And really cost. work from the maximizing of recovery side reservoir

position our they a for a perfectly that to not the positioned have we operations. to teams grow it's need we able not built outpace that have to do believe to race way We us our So in they will we our And are will and and relationship things them. impact infrastructure our be as do.

We capacity. takeaway have the

We have the export capacity.

We have the the infrastructure Permian. within

positioned catch-up at mode think in this we're point. So and I there, a

any Or there would data Jeff that you to-date going offer And on then forward? front? mentioned quantification understand that the I what captured part just about Thanks. been what's Is expect helping. or analytics, you either Okay. you can it's

the think you performance efficiency I going when improvements Yes, and look from real play capital out to a ultimately what's quantification at is standpoint.

I'd So, lot isn't to you based a that performance, I to -- and think It's data when all And ability in, a the that understand way, of largely in and that portion being trial of to we to our subsurface analytics. our development trial that of an utilize driven is our error. our is performance have a deploy good the as standpoint, development; on and or development we lot delivers from go performance point of with effective most on with utilize thing the how our see can we and well good gets point a we error the data not up mode, come beginning, amounts the based where optimal in very have a that capital an huge underutilized. from reservoir of results

on are we've huge analytics it's that's in point we breakthroughs, business of almost some there so it's most being we about And is with sub-surface data aspect impactful. because talked that's characterization example is the example used how the creating it's used almost artificial unfair the but lift across applying because universally where the out value. after we business But to every and one made so

about okay And Thanks. to want it's Great. perspective be stocks. unfair when if other you we're from thinking our

Roger. Thanks

Citi. from And our come Morris Bob will next of question

you return obtain question, billion growth up -- is shareholders? a then barrel first budget know the at would cash above any to growth the $X.X and the return a can do that above at beyond hit X% so Permian to Vicki, doing continuing to $XX cash the barrel side, cap spin But what that up do know to have end growth any with can to regard spending capital sort you've that cash still year the year, lower stepping your generated still you're I and above to shareholders. range I to what $XX afternoon and would barrel spending you to X% capped per Thank you. everyone. consider of you are year your Resources. $XX extent this this production just back target. this you're you again to you of Good discipline double-digit My But of out CapEx end you put

a any a cash return like to So, may this to above is year scenario continue, do in this $XX there you you beyond shareholders? where excess then barrel year,

we've important to mentioned think our done to for for of we meaningfully assumption but X to, capital in X XXXX will X.X do. that was continue to that repurchases able about return budget belief as a shareholders. will dividend always And that balance that a something cash of return strong at We to we that's and would above to between to on my environment to our something with based and to through more to XXXX. Cedric I those budget some $XX prices continue. we'll with oil continue us Our if of little that's be talk still and dividend shareholders grow case, allow a cash a point, is and later script balance in And right cash want be the would return $XX our to X.X,

appreciate Sure, I that.

for regard Cedric optimistic or see acquisitions potential question stage, my to with so adding environment this was of out do to OXY quarter in opportunities conducive more you last OXY's A&D or the grown M&A Cedric. is you you the there portfolio your to Permian? that for second at So, have and DNA part mentioned more

it’s coming perspective, of we a -- growth a OXY's we're I always -- picking it's described, opportunities keep some organic each We certainly up aware in would they're a across look Well, very to as we've opportunities, seen and from and few business lot informed. at robust M&A. activity look ourselves we market. when there's and get But across sectors. something our the at globe call you we've if rare don't when say

to only going So we deal deal, we for very do if to a and to a to do be want accretive shareholders it's our don't and have values.

the to consider of So not the cost goes the over run That's one producer. we -- with ourselves long the that a or with things we goes if do and operate. a places choose ourselves being basins low one-off, cost being consolidator. We opportunities producer that lowest in see

that's there and a it needs So I compelling time look said for how consolidation however to before, opportunities at be as over our us will shareholders I be and for deal think, we it.

consolidation for of Is across sparks necessarily increase but advanced an some Permian there not catalyst OXY, that in point? the an at sort

predict. for hard to me That's

and know a You don't lot status. low-cost in that there's or scale of the private assets companies certainly have the small a seem to producer themselves to technology put

prices. they be will to We're operators those happens. the be perhaps trying we make and out, but and when few, that to have to And to a will it other that it's some figure are reasonable hard that then It's determined. been there have hard at point on if those at can things. that so are breakthroughs predict predict. -- certainly something So come There market be ready to otherwise just more

is hard, add the Hey the Jeff. Permian look said, it's happen. margins when to you prices I get got drop, Bob, if only this history consolidation then mean, consolidated what at and thing really Cedric I'd the squeezed generally business

things. in I you think all business people infrastructure, to across those though full than lower as to development, you KOLs manage look know harder the continues operating get with easier operate to large anyone, conventional when space, having not all move cost, section better

to we're definitely are good So good. see and differentiation those aren't maybe to are operators starting that between progressing you're as that those where

agree. OXY environment. No, I type in that is very well of positioned

very you appreciate So, Thank I your much. comments.

Mizuho. of The Sankey Paul next comes from question

Good afternoon.

what top you're less of expand Could XX% X results. well of of drilled you. how and of the couple Permian, horizontal slide could, you points X% bit comparing Thank than terms in on a wells that you I your XX on but presentation, Just if clarification stated in you're that little of comparing on you that? a have the the

to take you I'll shows go Paul. if deck anyone that. slide XX Basically opened Sure who the that. has

progress. to XX you are look standpoint, Who can performance. an they? IP over wells is the Specific that as we has top year to where over We've the last when at there's measure ways So we cleanest were this those from at the left, several around where got the look And use then see operators of measure lots you quarters, them? XX% And of XX year. the see top it of you can the on data. top the how for showed we've so and moves XX last

cost. which the profiting know, is we our in And the something reason indicates highlight really thing two, on talk we all driver. are less Obviously one, cost you is, about add pump, able Another a that the twofold; to the to we its it’s development. big is more right, customize how it, often do with But more proppant. we it we

You subsurface really, see a don’t we where understanding get it. every vary our And of we use can on per number pounds that’s good a have our X,XXX the customizable strategy wells in and development way. on to universal well, we a foot really function

The pick this, or one to you in we keep the show cherry are there, results, wells other thing seems the comparison question time all continuing which by use, results getting because every thing are you something, you time you is, it include I'd they of And improve? point put you we Paul, to, asked a we this. exclude like normalized

in slide out a I'll that point this deck slide include we So XX.

continue wells, We you our horizontal didn't in the shows there, Delaware is, that performance improve? wells each see which there's we're Basin, appraisal that in cherry can all reasons year are every XXXX, you New wells, And XXXX XXXX, and this six-month every of vary it and it are of for fundamental development our we well. all on XXXX, answers look that go why Texas, and for wells Mexico, across can pick improving. year question to what slide able Midland So at all to

is better be Some the the subsurface. of Every lateral years, years more completions. be may a year being may understanding it some better length, of it driven by

the we And improve, with I it. more the at it are lots continuing of is to when think, things even of that's children offset, and dig wells so, question there's details what an with XXXX, have of this makes wells. look as to But you characterized And XX-plus-percent is, impressive answered so in fundamental slide. driving you that

we get reasons; performance continue we big you the discussion. can debate on at parent versus our to have children wells, that fundamental, better wells, can year. look some well different many So for every But

Jeff. X. follow-up slide Thanks, And lines on along of the clarification

talk EOR unconventional that? I'm Could You mean not what in about success talk Thank XXXX. there? more commercial sure you you. you about

what gas area would things of is of in two in enhanced Basin which the COX the commerciality the injection at flooding to looking the X shale. that's the an have the Southeast more Midland COX hydrocarbon us. Mexico And test past, We recovery in And we're oil pilots the done on do using with in Midland. injections, and New for efficiency

would us help it First, to pressure. maintain

would a to oil injection string. from improve somewhat Secondly, reluctance make ability and to where that also we the it it in would than it do does, oil would freezed, the the is to in become to full a same be would flow be What Southeast stream. friction flow, be full COX as performing miscible lower it New less continuous Mexico help make the intend the and to

going part and Resources do objective that to and over we're the believe there decline lower work that to that. of of business So try successfully to models that test on we the We believe the is it'll based our time. we'll

you. Thank Vicki. Understood

Thank you.

line Ryan your have Todd from Todd, of a And Mr. Energy. question open. next Simmons we is

Sorry.

billion of as case, by beyond a door, driven acceleration The in Looking regions? about you Permian more Or normalization incremental think the of driven level forward, $X.X CapEx, kind international activity that we it's in of billion XXXX. activity of back the -- by to in a $X an have Basin? resumption a capital

expect our to the in new up spread areas -- the programs. part areas. going exploration areas We areas, the appraisal growth go It we're we'll capital of and to some start XXXX of complete international through be do pick that incremental we're our base will internationally growth in the our things continue between we be seeing other The from and doing. resources But will to which as will both. that

XXXX, bulk but to send of is going will the resources we go areas. Now, still – the the growth to capital more to new to these in

some that $XX maybe case well, of I you kind crude in base XXXX. on as And of the mean, assumes referenced

out you would program in a in international see program the we again to similar to were where $XX XXXX, onshore? type here kind of run a at see you moderated you that continue in be and of investment If smear XXXX,

cash to our with really dependent be where on will we flow. It are respect

stay, to programs within keep cash is commitment our going capital forward. Our flow

So cash we're seeing production and looking wouldn't what X.X, that, we environment depend now we say it else, on within the costs efficiency are XXXX. flow. are in $XX if stay improvements from we're would in at would with of and I everything be our a but increasing how would

of sourcing. the from Maybe question, details risk I an the And water handle you going through how how talk set term? disposal you unrelated appreciate over in the Can water the forward you Basin? up water particularly you cost potential on Delaware some increasing of see provided disposal long

So one thing – this is Jeff.

focus, So, infrastructure is from cycle one areas of really our beginning. really, water value the important all full given development thing our very in

only not business, Delaware. but if Mexico you size mean, can't New the go risk of significant you we're up economic look there, the a don't it well. Texas, So if I water and risk at do we you if how much definitely to infrastructure manage in see recycling our – properly, it a

as we over. we we when have to the water for very of from development area much water is is disposal we're the collect things as can, whatever numerous beginning of when infrastructure ensure for then have a the left we place we outlets one and to where in do recycle go water, So done it can

development related And have all others, whatever areas development areas. permitting some where we're we've say, of those seismicity it and than have in mitigated that just and our identified there our of be is, cost so may some risk I'd all areas, different very well-positioned in maybe risks some or to and availability, are

Great. Jeff. thanks, And

comes Singer from next Sachs. Goldman Brian And question the of

even about earlier the to global falling plan? if I unit and if on focused should to questions it's operating bit in might base that case couple the base little then add you a production four to years morning. basis? milestones XXXX UAE in Good And see separately at what here. cash In impacting be A costs you. how these to with into a that and Do then? key And do outlook the regards come, between or we what Oman per confidence out your the to talked cost? skill Permian flow to this longer-term that BOE flat see the Thank on G&A you case years rising in then three now you in gives you

a the Firstly G&A per coming be the will down to with BOE respect basis on G&A, over time.

be should that in our what we've XXXX So plan. the assumed And that's case.

go. be, four there, what for those are that information trend. check of some the there you to analogs. milestones, the recently, blocks, with to The if company that respect me this With international that on see, just Ken something of out the and what the it's and so when roadmap to milestones other be that the pointed all countries we will to this can to is to about what able thing we might the to you the happening essentially is based at performance to listed particularly is give look similar happen. be a -- you EOR -- going as But of the respect and yeah, contiguous only that you that what's you in four non-conventional operated and has have to probably of roadmap wanted there how more that with going are we're countries get look slide respect try on X we're at

and expect. experience analogs have do So trend can to forecast us understand what of lot help to this and how in we we a

a roadmap, a with I’ll of But let little to respect lot you tell around about that. more bit have good So the that. Ken information we

XX seismic but lines and these XD early are spud Abu ever is obtained concept we’ll XXXX, efficient industry. we regional because oil to QX fast-track been an new If can hub where in not year. the We Dhabi mapped very The Block we previous be we Vicki. start that the end great in location XX the trend in fields, wells mentioned targets of also Block this hook some seismic expecting. and found and follow-on In led further by discovery on we few and a area. to was XX a plan way last We zone QX the We I a started the on and hope Block Oman quarter flow anyone very proximity a get XX maximize were of in of data miles Block to have by we the earlier plan only hub, the giant Block in up this define because XX hub we Thanks delighted year. already game oil and order with which efficiencies. hub seismic spoke the similar block reprocessing drilling. efficient this into is drill seismic, quickly. fact, very their think using drill as for we can of not for On potentially to some based well XX ready most It's develop were long, did. hub targets in Block we Again we best our concept to X. the seen development shooting before to prospects there most asked spoke our I quickly It's we've success XX Block we’re we look the we but XX to at hydrocarbons is useable again XX may Block cost as in existing north, spread on drilled XX. that this within existing use think new to In would XXX We've a and XX super of data to wide well which a the lines that have and the the reservoirs land miles there existing to for stacked is the the since well plan year, export by for facilities. and optimize those by call, XXXXs. and in infrastructure

drill Abu this to them up TECA, year in lead XX which ramp replacing as items up Vicki try in assets we'll of all for XXXX. we're milestones this existing we're long that we said, in the to wells continuing continue will our core Dhabi also. and through for year, to TECA Colombia TECA, the stream ramping and will enable and detailed XXXX explore And a online overall So mine

So that that results can tried periodically to your I roadmap on answers we've and as we good something question. the make get we you hope update

Great. Thank yeah. you,

of of follow-up so highlighted my you some to and efficiency Permian. So in gains goes areas in And back comments the the far Q&A. the productivity your and

more whether and at is that's Resources E&Ps the already to your than among of Aventine you're planning I a for base, as just or that the more think been if Permian around scaled spend year? And this you're you in driver be to grow Permian to reflected of a projecting. achieve what to even CapEx talk production kind at look landscape essentially a other and rate risk see what Can you Permian in across production company larger companies the further you plan production efficiency what capital results? to degree of capital hub recent going capital

is will your question. take Brian, I Yes, this Jeff.

-- when drilling know developing technically. good we about Again areas a I single weren't So, well. one, the a huge appraisal in not it. feel of they're development it's so the wells. is wells, drilled very progression fits comfortable There are really lot to like same really of areas, so bit. we we that old, they core mean component -- because we last areas rest year a little There's with we we're just feel a out development It them

risk, I and lower performance from drilling So, biggest see and a it's gains starting performance to things very well high productivity actually is The standpoint, -- like we're faster, a low. risk see think I time-to-market, from very, that.

keeps do pace So, with cost the we us and Aventine a is But what up continues, that is from that biggest running. standpoint, picking as challenge do up. is when

from very So, We that. realized with two-thirds comfortable we've that. of feel benefits the

very early we our place. we to people activity getting in the right not in place. start of wait have all until mean just the did on have resources is I things the one We

So, compared go and rigs at is especially is for performance execution this ago compared I and de-risked for especially XX like especially years very year, to really a many standpoint pace, program our you like few are pace Vicki standpoint back feel we XX. the moderate Because said from a at if running going. others we're us cost

bandwidth not just technically. well it's So, our but execution within to handle this

Great. Thank you.

from Merrill the comes Bank And of question next America of Doug Lynch. Leggate

it if I you, slide slide everyone. back Cedric year. just to XX. could the some up there's wonder to at you a beginning confidence guess morning good Thank and comparing And I'm from I I of put on specific clarification the you the XXXX get I also capital think

So, what the this above to I'm shareholders? back think to here really TI understand way to you're $XX and trying spending that is that going is post-XXXX, capping is your about

would flat two guess appreciate keep allows beating I nothing is to the one we to plan about that we're of -- have we today base later And cost. amazing intending oil. penny we're at $XX indicative those in Hi next it it’s of breakeven think of came doing but way precise we our you our plan We're with production a that beating world-class our weren't I Doug, it dividend good question, what on years where -- and sustaining the be when to ago clarification. us years shift move gears spend the terms to which it assumptions out short beating and two

but years the modest raise and more our it we're downturn key more continue We've dividend us of the way it's like productivity more but more been meaningful that of rates. to lowering lower as modest is aggressive rates. breakevens go and at one We'd beating wells to our by keys so outlined, the a cash to to since our Jeff the flow continued XX our that. consecutive from is that As our rates raising to we breakevens to on back just delivering dividend more

target to are certainly get So long-term looking first $XX, and are $XX, would we X% but something above and well demonstrated rate, balance dividend above as sheet growth share as repurchases and X% improvement last – that growth reinvest to at looking we both we at the modest first. that's then continue

that That into precise it, is a environment number wouldn't as target. it but look for we do increase, something $XX share more I that you we thinking give a return to to or $XX.XX. and long-term you which buyback demand. is capital certainly logical So any X% would to how at dividend to the is we're get we're balance supply a as we more price need going that forecasting industry to to XXXX point. as We're about a We the X% what grow think that don't than

I I but different like it because sounded – understand. was very just an I clarification, clear. think that's I question appreciate the there earlier wasn't it was

assume Just still on that to you're $XX $XX very I differential using talk quickly a for the TI Brent?

Yes.

follow-up Okay. also the dividend. related then My is to

dividend burden absolute Thanks. of about a but priority you're bit a on times you you get Is or let's back year's little So generous buyback how assume buying share between the maybe couple at dividend if growth should past, assume guys share more So I oil stock growth think billion reduce of buybacks? your stock? a times in know is talked I'll the growth your versus leave basis to the we times. because the still it per $X let's per this by many first there. to share in through in

that I question. of dividend. see and tough time. the prove We buybacks in We're great first priority companies of track that dividends the proud I very – We're companies will is our paying very that as a cut trail say record high-dividend share our bodies didn't a the few downturn. Great long mean, we one in dividend. complementary. There's did. of of the always

said reduce the be and and We dividend. it continue priority want always to it – That's to grow to that think we to it's our rates more the more want higher share as able even afford our us earlier, that is prices meaningful when which we're to. when stated, count think I you but enables certainly be, will because forecast that's So does to certainly as about about grow it. start dividend like easily. we we Can't as buybacks growth intent will will we and complementary

$XX the the billion $X.X you we're free $X range CapEx of you cash our billion So forecasting of but billion. certainly that at environment? that If to that time midpoint we have dividend about flow. in That XXXX current out a $X.X $X.X leaves back of should that billion of compares

dividend, XX% on and So will that's in if environment that cushion than the dividend to allow that would $XX a both do you a buyback. more you grow

both improvement prices it be a to lot capital in as again buybacks, a do oil So good that good complementary. and which I and would be would we really I we return even in very we a think think to position – more deliver position over that a of in modest think time dividends in a

the appreciate answers. full I Cedric. Thanks

Yep.

the And of next Gresh question comes JPMorgan. from Phil

outlook then full if bit differentials the pretax seems both for starting the I the suggesting results there income, but I share the guidance? Yes. a whether the for afternoon. you XQ in or bridge here Midstream. you sensitivity, than business with here, normal could on guess was items actual XQ differentials. midstream that? the little help maybe have Hi. on just the year maybe it just Thanks squeezing some it's I know, And to if Could bigger on sides an me you would Good

a of what's Dolphin is Part Yeah. QX happening turnaround. in

part of difference the QX the and Dolphin. that's differential So Midstream the and between impact and

We that detail have some can other QX. that things just we will have impact marketing after out in QX general an

Okay.

to point full the of respect differentials the volatility to because hard the might With the of kind what be. and year year, forecast full at there this it's

over go things or next So months few so. see we’ll the how

what see given is to you Jeff you than people upstream we’ll side. thing to to update in the collapses, that the from in one midstream more we this wanted just said. Hey, what add on now, and Permian, to that differential a oil the standpoint. the But Phil Vicki remember XX% I mean production of our on realize negative when is midstream lose

just gave half everyone to in that to differential So way recognized so, the sensitivity benefit and than remember will of gas. that about as think that for be We collapses more that. good oil

to there know Sure. is that the tougher trying early will that that the chemicals than to caustic of be year price just And be I a little calibrate half, back I'm that? a guidance? assumption seems part behind maybe

Yes Phil, is BJ. this

and erosion caustic, end obviously, of the price For XXXX. we towards saw

we're of see in not to end the the level that XXXX price we some erosion assumption to up Our is the but the saw going pick towards of year.

fundamentals the looking about good term taking forward. we demand caustic long we're conservative a in But supply market. and approach feel So really

good forward but think I really felt So we still conservative about it's the years.

thing one Just to on. add

what certainly to were one we cash outlook adjustments that wanted in we've showed more caustic affects as sulfur The midstream made keep business. effect in which what the to on items showed third about because $XXX As the we we it a prices of conservative XXXX flow quarter. XXXX that versus as current that and few well is combined you million of versus deduct of the a the was we

deduct of a XXXX a a to lower XXXX. the of a $XXX had million the associated ramp related in also spend We with in less and lower capital production

We it night, last some to laid didn't So we’ve just that also we thought for confusion out, clarify. caused but intend that.

million offset million from $X differential the the we Brent So $XXX quarter. price last than combined in more that's pick $XXX the have which versus increase up

it's of from stale, $X.XX bring to this billion $X.X it trying thinking, the to midpoint so just So of not quarter current kind move where quarter. the kind billion last with that's current but we of the

was That's that really your you Last in for and just about higher comment Vicki, in helpful. decline prepared the base it than made a remarks past. Cedric. Thanks rate XX% question

that behind it So me, only little the you in point, said but so additional would comment you. just any would one-third more, this a detail high at that be a bit have wanted was because bit it's of understand to Permian's little Thank just I the production guess And I what past? just helpful? to

running past less little a XX%. In traditionally were we at the than bit

year important overall And sort in when business strength cash chemicals you to that's has end the really it's gotten about our Permian the XX%. think is that, decline to to us environment XX%. about only in so have around about -- this increase flow think will of by the our But of this of the us

not oil the assets somewhat decline that So the that mitigate XX% decline. in we develop is and business will gas those international alarming, although as the

you. Thank Okay.

question the Capital BMO comes And Philip Market. from of Jungwirth next

good was CapEx the of really just next production couple that CAGR around hoping XXXX the international a flat $XXX around drivers because give you budgeting you're then and million looks years color we the year-on-year Thanks production. growth key can progression of just over the I look little when like it morning. more guidance X% at

that So, value how more is -- capital investment? increasing than efficiency it either is Or really level improved? the of

here. It's Ken

earlier As performances efficiency, of over terms beyond the few I measure our last in years. drilling mentioned capital improved

So many we're years wells able now say four than more could we to drill three ago. or

on portfolio roadmap basically forward. large the in a seven, slide of terms going we our In have opportunities

Colombia, TECA blocks. We have development with milestones associated new and the

will by optimized each plans of be through it, these over look you streams. so at it returns of time, year, these If the can maximize one that we year of spades every

So here. comfortable we in that show X% feel portfolio reaching we the with the

new additional probably -- model, to we we haven't there and opportunities there performance that talked great see we Al also and see to a debottlenecking, gas have geological enable Hosn well petrophysical be debottlenecked. so that about and We be

facilities billion investment the capital some on would trend budget, lay percent And $X.X color benefits that cost out of over time? Resources at and provide a how facility XXXX program, investment? was also then the isolate then around slide you if as around operating And of maybe just Okay. that I where X, just to could the wondering Permian you the XX% that

Jeff. Phil, Sure, is this

when a So around that OBO, for our I’ll we facilities it's to carry XX% and XXXX have that exclude it. they facilities component do but also we

at cost. one probably from you’d important in. it's which full XX% looking that billion, up the a the of facilities and cycle brought drive operating up helps but cost, about you're want if a it most standpoint, as So from shows But peer you productivity standpoint not that just really in thing, of $X.X

our an a just see it reliability mid you operating of cost, the into look well. you production from the uptime there it's able when at handle get shows from up where and see also ability it the low-sixes to measure us standpoint He that. standpoint is to really So productivity down benefits to to harder as

we standpoint, get development long-term average field a look most on of expect at below to from we So plans, our XX%.

developed areas go we like infrastructure XX%. there you below and the So and Midland at more where Basin mature we're our if you look at the look have in new developments

to in we too the there a total from So expect spend. future not get facility distant

Great. Thanks lot. a

The question of from next Cheng comes Paul Barclays.

Hi, guys.

quick question. couple Just

Resource. base that you're count breakeven talking average XXXX And number in decline what improvement the the assume you what it well, Permian rig your productivity the per on XXXX as growth the is for On or can is CapEx to comparing year per XXXX? to the the also XXXX you XX% as about assumption But give well curve?

Sure.

So, year CAGR. Paul, what XX%. XX% CAGR, we so last XX% be This will four-year said to it year,

the number So down coming as grows. obviously, base that is

rolled last we be roughly when with so capital would think out, year, was we where way billion. around about the And $X.X we it, originally flat which were I said that

and or wells. at capital do to you you we're running able going And that question you facilities, back rigs -- XX But is, of you're that less more so, to Phil what's when on pace. as say dedicate on it asked to XX drilling goes actually that spend

factor numbers in couple these could facilities add other math, because goes working being to a with and facilities. easy spent just So than but aren't we'll generating interest instead exact of on less from rigs operated production growth, XX% that things, to XX%, better

And the in XX So base rigs. what well production? about you're on XX, the looking basically productivity assumption of improvement kind

great That's a question. Yes.

our heard, can long-term make So, to sure always we long-term hopefully, forecast, we deliver you've with forecast. want our

zero. So comes productivity when to we've almost assumed it improvements,

had for slide some the When we've I the last XX% that improvements. improvements the productivity year that improvement on. areas think before in so and in year, XX% like is X% reference in just shows I

conservative plan. we've really into the how been and improvements we've productivity that So built with

them. so a small new in zero. appraisal it's have almost it's So But some we But an standpoint, they some on scale. uptick that were areas had from global

just or mentioned Are remarks you prepared your Resources that in the years Permian plus XXX,XXX And you over Jeff, be had time that Resource Permian five a will just EOR? per saying clarification, earlier in talking this barrel day.

Resources. just That's Permian Yes.

Just Permian Resources.

Okay.

Correct.

So that excludes EOR, obviously.

COX spread using guys A about, far have a And will type one? hydrocarbon. there of could can to think, the certain talking seen on was be wide share? of is -- like how flooding And final the application done that, well you number you that as so other the certain the activities of question any COX anything a as respond pilot distinct to and you better Vicki that is Have other I pattern, reservoir be?

mean, versus all in miscibility, of things. Yes. different COX. hydrocarbon reservoir mean, we same can I nothing right. meaningfully but pressures, can that will more principles temperature, say, I'd the share, gas many at, of will you you're And look I a be conducive conventional characteristics to with depth, those apply world,

up commerciality. differentiation we're that's based design from you reservoir patterns handle EOR, commerciality you we like, that than challenge do you And not focused gas conventional oil. will The proving different what comfortable and standpoint the characteristics, and more technical in the processing, is, look reservoirs. what that's those the a Vicki a different get them things, how see real and technically what you real know can But that lies the where that how of now we're gas thought. the see we really on do COX is we challenge on And with as from than so, said, through actually all why better standpoint reservoirs, hydrocarbon do

you when that data? guys in of a share And position will the you be maybe more

late would we'll of I that. year, this expect more share

Thank you.

Paul. Thanks,

Herrlin from John with Generale. And with the comes John Societe Herrlin question next

kind Yes, hi of budget, CapEx With thank respect your you. to this or services in oilfield labor for what inflection are cost baking you year?

internationally, kind inflation domestically is seeing at of X% seeing We're the X%. but we're about that baking we're not domestically.

we've the we XX on seen And Internationally is reduction a seeing focus deflation. the internationally. contracts bid; sort we're we're X.X% we've seeing what last suppliers if XX% of major only

growth Colombia in and was me elevated? is question policy, it, next My regarding good some you had all Good. drilling-program that international in also

performance. collective the characterization activities I it's see drilling just I a and a of seeing the good individual also one anything individual across thing of don't combination whole think a work international. really some just overall, reservoir it's we're

areas? it spacing balance the very had and peers relationship your was you last Permian that specific. mentioned of Resources. parent-child some petrophysically Or sort the me your Have changed your on of you have. for that the in Okay is is one haven't Earlier design core it

Yes.

specific. petro-physically very I think it's

And if spacing average or areas, our to or we So, less where in core are. from the vary six about numbers seven you as they they look may than inventory XX give X.X. that at we three well

So, really I'd getting lower say good really, again than But performance. others. significantly many we're

and performance variables example of benches So, and that that an that's one good to a comes there. those of implications developing better well you you two in the the and when performance mentioned out But we now really together. are kind more modify get are together I Chevron two where of doing we're Delaware well update and in design think continually remove we able almost and combine a of that Texas

net we've parent-child, would it's the the I all turn it try but just variables you from unique. not just not time, standpoint of a figured drive So, when up to I mentioned to value we out manage exists. That optimally how we're and relationship say one the present say inventory. would

you. Thank Great.

you. Thank

have we a question from Leo Mariani of next KeyBanc. And

touch quickly put guys to guys. Obviously, Resources XXXX on EOR XXXX Hey, Permian wanted rates for I some growth just and to longer have international. term the business. you between

do cost that that is you production business reductions? Is sense of Or to EOR about think out outlook? stream? want it Just play more how that with how get a flattish

that very the of on CAGR It's has minimal order growth. X% time period. It over

we So we more of have we we things. continue continue inject to show prosecute EOR we so tons need But that. and other -- inventory as for further projects,

So it’s CAGR X%. is around

lot in make that that mentioned I'd milestones And certainly had listed develop. outlook group last progress some to we've reflected like too. and year, we Ventures not could where terms of a most emissions created it world COX. add room more we can't of in just the have you but get to if focused thing that It's an the if we're the Low to you area an we EOR want noticed one get kind And irony area just commercially people today's XXXX Carbon great when as Jeff of eliminate our grow enough projects is locations. COX on. got to and COX in The running to is in it's area It's

potential Yeah, XXXX our for the plan. that's another that is line bottom upside

you And just guys shifting in UAE gears Okay. there. over picked up new the block

couple most plethora give obviously, about activity what the neighboring of on prospects there. focused is going of is of and over certainly over a years, just color you you're Presumably oil block next any there to You holes on talked more you're be out the targeting? can us gassy,

Abu we’re focused oil. giant oil mainly mentioned it's on in fields we’re Dhabi as between in the targeting mainly and prolific the I earlier super Yeah, Oman, fields

All guys. right. Thanks,

Vicki our closing this conference Hollub back session. like to of interest would any I the question-and-answer turn concludes remarks. the time, to for In

I good Thanks. all and you for want a Bye. your day. thank to questions have

The you today's now Thank attending conference for concluded. has presentation.

now disconnect. may You