attending call. you and to everyone thank Scott, you, today's earnings for Thank
again delivered The first results. solid of XXXX half CRC
Our with production guidance. in line was our second quarter
report communicated maximize value shareholders. that our progress sheet these on we position. and We improvements portfolio would strengthening progress we're controllable. our of And transactionally make on before driven pleased credit We balance the and to our margins cost, improving CRC controlling be additional largely our to in to continue our expected allowing for
we to-date. In Hills our strengthening simplifying divestiture keenly venture week operations major joint We a interest our in May, balance XX% on announced remain closed our then development and focused sheet. Lost the third last of
we We as follow intend continue strategic reduce debt We know next to these our As take above be our the we sheet balance steps approach. achieve multiple burden are continue we all to discussions. there will of in to our ways objective. to
fronts producing Our infrastructure diverse portfolio many including of and properties, transactions. on minerals, assets interest is generating
the We other to we to will through pursue opportunities remainder enhance continue XXXX. progress balance the sheet of as
our development quality of To provide ventures in and context, depth potentially billion inventory. largest over our This partners project of our highlights a this the to put assets. our drill joint $X broad our three for the from portfolio
respond these flexibility Specifically, cash ventures enhance program bring commodity capital to to to joint our provide resource to on in CRC our and production, flow position, allow and de-risk credit the base, prices. our fluctuations forward
as it make venture our in and to million progress is up to to a interest $XXX with Our CRC capital has most to joint recent largest the larger continued CRC. showcases date development
wells. approximately opportunities is million a Hills this partner throughout intended mutual investment proud invested solid a on plan, XXX and Field to be are Capital investor cover respected record. consistent to years, the will joint multiple $XXX of approved venture, Colony targeting over commitment Elk three well-known We with the initial development with with Colony's track development
Our XXX% wells. JV wells. of development the those partner fund interest earn And will a working in will XX%
agreed-upon upon return. an, increase the XX% will XX.X% achieving from Our working interest in those wells to
as funding colony to our stock which will $XX common to met. of are exercise Colony shares with million purchase a milestones also exercise to price, received warrant up a be X.XX entitled
We already speculation the into the Joint have our environment rigs and rigs in California. August the of expect regulatory to Venture plenty to Colony of Venture focused by deployed five on Colony Joint to end four we on Development. and work interest continues be There
amount we Last economy energy including call, requires. highlighted of earnings the hydrocarbons California tremendous that
covered natural to production of significant consumers as how governments sharing, also and royalties. workforce, permit local production and as the benefits We states native well as and a oil local state -- native fees taxes contributor gas and revenues
and changes successfully priority. We're the laws, operated country's regulations in by and situated cost environments in rapidly stringent well without to has most CRC regulatory permit inventory. adopting agency effectively drilling
not of balanced dependent are from on production fields. play drive have type. They single or We any mix mechanism diverse a
We organizations a high have with of community-focused State qualified built importance production Golden the recognize coalitions with and workforce. in in-state organized who local labor, the business
year in reminder, leaders of values. in billion every believe the hire this places dynamic be a that oil imports XX% spending over And will As and We that crude needs, California's $XX of pay don't Sacramento California California outside its share taxes. responsible continue nor to don't year, state a understand to excess Californians thoughtful. of
and We'll valuable by California better responsibly continue safely constructive products largest dialogue to our our economy. the providing communities to world's Xth
our turn entirely where controllable. CRC remains to me our control operational focused efforts to performance, Let on now our
the will reduce through I we enhance and as team to innovations we see from cost continue which our year. value move believe
conditions expected VCI always, our metric, internal portfolio allocation to adjust with our of flows. align starts cash our market as quickly disciplined investments through and Our management to capital with
world-class enhances the which through exceptional CRC our benefits diversity to ability portfolio and optionality of manage provides price our volatility. that commodity from scale
continue the focuses XXXX margins while flow. as sheet strengthen of enhancing cash value within Our the on, plan and cash balance we maximizing investments our to
stands range $XXX the million. internally at capital to of $XXX now funded XXXX which program million narrowed have We
BSP, increase venture JV will Colony range the in for joint a to $XXX -- million from estimated allow to million recent XXXX. Our received capital with investment capital new of total to $XXX CRC to invest the
the provide should production as in slight remainder through we year. activity a the This increase quarterly our progress of
balance our deleveraging. target we to cash to to continue stated, sheet have enhance discretionary advance utilizing of XX% we and XX% As the flow
Through cash. cash solid we the with XXXX, million, the $XX flow face $XX first totaling lien value XX% during repurchased increase the of half XXXX posted second million in over We year prior EBITDAX our of half million an period. $XXX of notes for first of in
total approximately Compared of to oil was XXXX, X% and was the up first up production production half X%.
investment, Second realized quarter downtime XXXX higher crude due sale sequentially and to production and and oil of the mentioned was impact other lower production, interest previously factors. PSC Hills the plant XX% down steamflood from of capital power prices Lost
most excellence, With subcategories. our operational expense CRC continue laser-focused show on across reductions total operating cost to
again XXX% of averaged a Brent higher second the from quarter the quarter. benefited for which During we oil crude realizations, over
we as California crude pricing know Brent-based attractive drives you As received the waterborne market.
Looking production price IMO XXXX, portfolio ahead strong. steady we remain for is to California expect the crude of CRC's well-positioned CRC's Demand global and is to alternatives. against impact of realizations
to compared CRC sulfur crude has significant imported weighted California. competitive content to average advantage in
California place declines, refinery cycle. oil As our for crude high demand further to are cash remains same state putting remains the additional flow runs hedges the stable. crude At production opportunistically we the underpin in and thoughtfully time, through
second in and XXXX. affected XXXX of Conversely with quarter NGL we saw by Natural national natural California was consistent fundamentals. and a temperate the local also realization quarter weather slip in very the gas supply during gas second the
quarter on For I'll our the second turn more to over call now Mark. performance, details
