AM - Earnings call transcript Q2 2019 | Antero Midstream Corporation

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Operator

Greetings, and welcome to Antero Midstream Second Quarter 2019 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the presentation. [Operator Instructions].

As a reminder, this conference is being recorded.

to Officer. conference like Kennedy, to now Financial Chief would turn over the Michael I you. Thank go Please ahead.

Michael Kennedy

call direct during Q&A. www.anteromidstream.com, provided a through Thank have where Midstream's to the and investor spend second presentation for then will quarter of minutes you reviewed you joining earnings up XXXX be conference us we'll open call. for operating financial that I and call. the for it would also our Antero few homepage highlights, going today's we a to like Web at separate site We'll

Before to from the Antero like our call, of on we such that forecast performance future expressed, Such start beyond Antero Antero's in our Antero remind Midstream number this based uncertainties, of results impact subject and comments, what are statements. current I differ of judgments outcomes are statements. and could would which during a forward-looking many statements and materially to first is control. regarding are management and risks or factors Resources implied Actual make will will you that

call release Today's regarding important certain also financial GAAP measures, Please financial most measures. such the reconciliations comparable for including to disclosures earnings our may refer to measures. contain press non-GAAP

Resources the Antero Joining and Antero of Antero President Midstream; Rady, Antero today Resources call me of Chairman of on and and President and Paul are and CFO CEO Glen Midstream. Warren,

Paul. With I'll that, the to over call turn

Paul Rady

AR comments since on financial increase Drives AM efficiency, begin has on in my Resiliency the that AM in AR XXXX. the and Mike. Thanks, illustrates and scale achieved strength IPO X which I’ll AR Slide titled Strength, Strength capital

XX%. was decline its over natural replaced costs development XXXX drilling and large from it billion by billion as $X.X to is CapEx Xx decreased generated base that period, growth that a on XXXX, with production net has while from proven Over completion Starting and XXXX. time has capital in now same AR’s AR $X.X the over production as efficiency, to attractive XX% reducing

of addition, to 'XX. In rigs rig cal its peak from XX rigs have from a cal efficiencies operational four to AR’s driven count down 'XX

From maintain and sheet X.Xx. its million from down X.Xx a steps debt by driving financial taken reducing considerable and balance $XXX over standpoint, to has strength to leverage AR improve total

have Over five risk AR’s cal natural approach gas our in 'XX conservative the past production and 'XX. years hedged management of we XX% hedging of and for maintained remainder natural XXX% hedged and the to gas oil of over with cal production expected

over roughly efficiencies, going we’re have continues capital financial financial organization and tripling integrated scale last what doing strength five to environments, at track navigating record to that the and commodity say AM. challenging of significant underpin driving Our efficiency proved years, dynamic be strength a price developed and achieve the do. we a growth to maintaining reserves Antero allowed with AR future

X We that current to which strip on pricing Initiatives discuss is expect Slide driven will initiatives to reduction I Reduction XX% record this track AR’s well commodity cost continue XX% titled even Breakdown. by Cost at

line item expense quarters with a with goal becoming an associated the every well of in Over internal leader review the well several last AR’s undertook cost. of we cost pure

achieved of come well outcome feel lateral. $X.X deflation for optimization, of of X,XXX lateral savings water per The from and $X.XX which to been service well a cost million combination million gains, cost savings XX% $X.XX as already XX,XXX AR’s per $X.X cost a today. to well has million efficiency bringing is foot million continued targeted These approximately of will to

process. pilots XX localized to per to a XX water water XXX AR more a efficient XX AR new flowback from down to a water range reduce targeting to per design of using XX used completions management design. foot cost completion optimization successful After mesh efficient barrels from plans the On in in front, approximately in foot $XXX,XXX proppant, barrels optimized completion per reductions is well cost and and mostly

completion which of optimizes any in effective The fracture driven design water type in by conductivity is degradation reservoir both cost amount proppant or and the the by most length driven manner EURs. usage and which without production is

$XX water the more to AR expand the is completions AM services. impact water achieve expects services with $XX targeting from and scope AM savings of new drying these million flow On its plans help the flowback to flowback the these million of side, offset management. AR water majority water through savings efficient these to up from cash the to to

well deflationary commodity thirdly, per sand targeting vendor ensures AM’s additional to logistics; throughput efficiency $XXX,XXX and direct volume secondly, one, and resilient number AR per a mile more tap-hole and service addition, savings less providers stages In drilling optimization. AR and completion turn producer day, improved days make and environment; in efficient savings gains from and These improved from, which the capital more in is reflect growth. sourced

compound budget lateral feet to is roughly and XX,XXX neutral of AR annual to flow growth at XXX pricing. of AR from XX,XXX 'XX to similar drilling 'XX feet. Assuming even allows budget billion to lengths drilling results strip while This target cal XX% XXX and to completion a billion capital activity level $X.X a approximately in completion average for completion cash or cal a rate compared net drilling in wells increasing and current production $X.X that

AR’s AR’s titled commodity on touch AR’s resiliency on prices, want hedge briefly Slide Further I to X position to Position. Hedge to

long-term and has plan. development our program hedge of underpins comprehensive crucial generated gains cash the Our $X.X over net years AR’s XX which the in last to billion been stability hedging success has

a and and combination on floor of gas of AR oil and oil. blended swaps collars hedged $X.XX on is XXX% production its For per at natural through $XX.XX the on MMBtu of barrel XXXX, a per remainder gas

additional of prices to in AR of hedged MMBtu 'XX. gas ahead executing hedges of gas cal second natural approximately XX% $X.XX after Looking XX% quarter per or natural 'XX, NYMEX at production its has the approximately current strip cal

$X.XX XXXX and hedges between $XXX $X.XX MMBtu. XX, prices has as and a AR’s as per beyond, XX, June $XXX and value per July attractive mark-to-market book at million Altogether, hedge XXXX. mark-to-market million of of XXXX yesterday, has MMBtu to Looking AR

move flowback Water to illustrates to on and Operations AM third on Antero Set. wells. water produced top the produced Opportunity page Clearwater in current party a AM truck The Slide the set and Future to opportunity AM X water the of injection flowback Let’s contracts and to third the half party where Facility titled operations

AR, AM’s third rates for illustrates transport improves solution of business new This trucking. set. water half cost increased and of in is expand cost It and a This existing bottom page water. would replace and reduces trucking road is the planning generates from which its reduce safety and for scope X% The produce completions. and of service efficient AM’s AM the to of water party utilize business with of to return. flowback infrastructure to business current emissions margin double-digit more also margins future allows attractive reuse opportunity

northern our for number fairway will mobile rich-gas the we Specifically over two, eight development operations implement produced our into focused freshwater next our years, storage one, and to in treatment three, be utilize activity water flowback volumes; plan near and development; five where construct number our system. blending localized to;

fee for water will source the and similar Facility reliable freshwater the affluent The back and to the very act AM through the system affluent be from that system. blended continue water is treated Antero freshwater a and delivered where put the will completions to volumes freshwater the same charged comes reused as delivery Clearwater directly current into

the and transport certain flowback In operations the existing produced freshwater Clearwater water Antero system repurpose addition, we as to of blending to treatment and well Facility. segments plan to localized to as

will localized benefit based development position a Infrastructure operations approach be in highlights concentrated. several the a on of out consolidated build will fit-for-purpose acreage This flexible, phased be our approach be plan years. next the where over completion AR’s will and

will communication addition, and integrated been in the experience us Appalachia. Appalachia and generate the between and freshwater integrated savings operations has In cost operating entities efficiencies. largest operations significant system Antero’s Antero pioneer to in allow in a upstream has and water midstream

build operating comfort investment the to safely experience, business give flowback manner. integrity Our efficient and significant us risk advancement a and engineering water capital in and in pipeline produced out management

the business AM. for resiliency well its flow win-win business reduces the expansion of model the the stream for it as of enhancing family short, while and AR and for plan cash In flow water development increases Antero cost cash is delivering a incremental an

turn I’ll the Mike. call that, over With to

Michael Kennedy

Thank you, Paul.

Paul AR For earnings the resiliency listen on have call conference go you discussed. those the business not underpin on AR to replay into a that initiatives who did chance listen detail the to slides encourage call, site, model of would cost access greater AR the or savings the the which the Web AR to that in I to

$X.XXXX at of was by I’ll XXXX. the Midstream year-over-year begin a Midstream AM shareholders for increase AMGP per XXX% for increase in since of comments AM AM XXth dividend former year-over-year increase highlighting and unitholders. Partners announced share, recently The the Partners distribution dividend Antero IPO consecutive XX% cash Antero the my

dividend depicted price. Slide share our which today’s on $X.XX on As year yield track X, of XX% on full over to we XXXX per achieve represents are a share

quarter. increase prior the Year-Over-Year on to day Throughput. let’s on beginning volumes represents the X.X pressure low top results, per Starting in with left from of Slide Now quarter, titled High X second gathering XX% portion move page, second the were which Midstream Growth a the the year quarter Bcf operational

increase XX% the during X.X volumes quarter. averaged capacity venture to day, volumes Compression processing quarter gross Bcf prior compared the X to compared quarter. quarter. Joint per during XX% Bcf day, per XX% a Compression a increase was year prior the the second utilized year averaged

averaged quarter. expected. the XXX% reduction decrease barrels delivery was by delivery quarter. decline in volumes XXX,XXX prior volumes Joint barrels at freshwater completion prior XX,XXX volumes over venture from day, per a XX% year driven a a per freshwater gross And as in AR, the fractionation year averaged The activities day, increase

the delivery Resources an drive remains achieve increase which During period the paid the activities expected completion to volumes we expect of XXXX payment crew that for picked volumetric to second of Antero quarter, half be the first is an freshwater targets through XXXX. additional on of the the quarter to XXXX to third XXXX. AM earn-out first in million compared track in and second XXX completion quarter the covering during XXXX up

Operating Expense results down to wide field and financial best I’d the Slide touch continue operational we Improvement. like implementation centralized Through to X of unit on and on for drive titled quarter, operational and on efficiencies operations our our the per savings practices, to cost. scale automation, operating improvements moving Before

unit Our OpEx and five down down and while per freshwater XX%. compression gathering operating last the XX%, years XX% respectively, over are per expenses unit

efficiencies and water we to in ahead, businesses. both our see of continue Looking improvement driving areas gathering and additional

efficiencies generating like and driving and on of this Midstream thank to of and would dedication proud for all our focused operations extremely in costs. impressive down I’m relentless employees

the to EBITDA driven on for XX% by Adjusted Moving EBITDA in increased throughput primarily was volumes. the compared second $XXX year quarter. quarter an The prior million, increase the adjusted financial results. to increase was

adjusted AM’s of was was XX% EBITDA our processing XX% treatment. generated generated and investments was gathering freshwater and generated venture Approximately remaining XX% and from and from Stonewall delivery from and the fractionation joint compression,

We and AM’s fractionation and approximately EBITDA of next over same from adjusted see with core derived the percentages delivered XX% the years of EBITDA XX% processing AM’s these from adjusted water. staying several gathering,

towards achieve guidance quarter per Distributable adjusted the to communicated quarter was track guidance DCF in Antero’s ranges. dividend $X.XX XXXX bottom and $X.XX ratio coverage trending million to on second and previously cash place share flow announced coverage resulting of us previously EBITDA with results the end second for of DCF $XXX of the Xx. coverage our

million During water Midstream in compression, Gathering, compression, investments the gathering, in Antero JV and infrastructure, $XX processing capital and water the million fractionation and second million. investments $XXX the $XXX invested totaled JV. quarter, totaled infrastructure

guidance the to are trending million bottom currently budget million. $XXX capital of We $XXX range the at towards end

to Moving sheet liquidity. the balance and on

on had drawn to net Midstream at adjusted billion June facility revolving credit debt $X quarter billion in its of in Antero XXXX, liquidity. EBITDA end. AM’s LTM resulting As XX, X.X $XXX X.Xx million was

XX Return on of titled Supports comments Profile Growing Capital. Slide my finish DCF I’ll

$X.XX for previously price oil reminder, AR in scenario. and and $XX $XX and gas growth sensitivities DCF a net AM oil production As scenario gas and $X.XX respectively provided

the While prices rate a difference lower boundary hedged is reductions, are approximately well and net flow. scenario position pricing within and pricing, below production to commodity compound offset AR’s in annual maintain cash enable that XX% cost growth efficiency gains the well it

the pricing, this mid-teens currently trending DCF AM’s adjusting the in strip for low at depressed design. CAGR results to Even completion in after new

generate on Importantly, AM this targeting by growth. XXXX DCF still return digit to is the wedge the future capital XXXX growth relative in capital compared high supported necessary DCF as to single estimates to

program capital capital operations return efficient XXXX. growth on an to existing continue This and supports for shareholders profile attractive its to leveraging self-funding infrastructure an allows increasing AM and

take With that questions. ready we operator, are to

Operator

[Operator Thank Instructions]. you.

the Spiro Dounis Our comes line Suisse. question from with first of Credit

Spiro Dounis

guys. Good Hi. morning,

the just First details one, two-part finer the question opportunity. some of around a on new water

first save around I spending mentioned something on Just top to million was line. or AR on upwards looking so. believe services water these like XX the XXX and million

I for And CapEx that just do around the AM XXX this will around how simple out the fair second is infrastructure? just to something line opportunity part top is if spending, some think about So million? it math build the of that, the say to the of spending to be

Michael Kennedy

you first or LOE the talked about spend. the how Yes, we is much

savings the if XX So would for AM. the million, million the million XXX be XXX

Spiro Dounis

to needed this out, CapEx we about how that? think should build potential the then And Okay.

Michael Kennedy

two It’s over or years. $XXX of It’s range well around years. the over next as three million the couple

Spiro Dounis

three Okay. years. And out those over that’s spread

Michael Kennedy

Right.

Spiro Dounis

Got it.

helpful. that’s Okay,

of follows a today down challenging level Second one stock’s but and July. kind materially here, pretty high trading

out, opportunities, efficiencies come to be seem talked some talked You’ve having to reiterated you’ve to it and guidance, you’ve doesn’t you’ve an new impact. capital

if sake just reiterating But share And could I to to some I’m to be sense I’m doesn’t just and do and concerns be the counterparty really seems a not be seem And it does appease be ongoing we is feedback if receive, of echoing you it what consider to around guidance here enough basin risk for price. going dramatic trying risk that? what, like guess anything, should clear, so saying at the strategic to undergo anything it make review and changed? point

Paul Rady

Yes, I’m how not answer to that. sure

we taken strategic product strong hard and great and rock great to to We time. business are And balance we’ve I and hedged and a do. impeach review well under what all think points sheet. sales That’s the it’s our great business the got and we’re

that. sure not I to about I So, getting right – we’re at. here. doing don’t really you’re think talk thing Glad But yes, what offline the

Spiro Dounis

that. That’s fair. We can on catch up

one with Just -- me for last

Paul Rady

the kind control stock we Obviously -- so don’t of you’re price, right,

Spiro Dounis

this I totally that. We’ve yield But When always strategic starts seen and your follow review, understand your I appreciate to level offline. we to so up that. get No, can do others it. point you’re under to

stands? to call is one business. last appetite maybe more maybe believe Next long you us that the I you on mentioned where Could haul an get just potentially into update increasing on

Paul Rady

publicly of can Yes, we not more those the AM getting on haul into call. the long type. For that are kind things talk about

hear always if about do at we looking We’re that you’ll something. opportunities

Spiro Dounis

Understood. for Thanks, guys. the Thanks color.

Paul Rady

Thank you.

Operator

Our the next question David of is from line Amoss Energy. with Heikkinen

David Amoss

I’m think in morning. about Good trying to CapEx XXXX. Hi. your

newest the get at little number is I CapEx think thoughts shows that year? to that million. things are growth CapEx next AM that is can and how the there about level sticky XXX a do you under deck down just And

Michael Kennedy

will lower get efficient. AR But That’s right plan, it follow we we been now more the so trending the have at obviously capital as looking AR. on

we’ll refine continue that and So ballpark but that still million that’s good a try XX% still to down. plan; of bring target AR with XXX a the to

David Amoss

just have And pilots you’ve [ph] on how lower done us can water from with confidence Thanks. to older levels the then And high and producing? hold the your these you level of will usage, how completions? completions been production many that on pilots tell the new your production then just the those from long Okay. up well anything the

Paul Rady

two whenever we’d the ago wellbores. between might probably pads we XX think wells, we on where out and with these vary treatment Yes, on a be on and we XX certain different started or pads – I three pilots years do

just three wellbores that we those. are then that that are we XX-XX wellbores mesh, watch sand XXX pure three and interspersed might incorporate So do and

back years design within we production are done mesh two, XXX say so we’ve XXX and or And going more the going going pad mesh. where history are wells on at other these north the is pad three do entire least north south all a six six full standard where maybe pads And directed, coarse so the the entire mesh the uses we then pilots. basis have then recently that wells the

probably where results. that XX sampling Does years, there’s and a your positive if eight good have XX to pad, so in say I that least have XXX area. seen and two have least over we been the question, the so XX say piloted David? three pads So we’ve you that. piloting But throughout than least our mesh would at average of sometimes wells mesh per about fairway an wells feeling as provides last at better throughout good not at involved good answer design, the XXX if production traditional pads

David Amoss

mind one, second through Clearwater one pull just off any clawback facility that Paul. going efficiencies expected kind last year had again you the that wouldn’t on some finally, through Yes. achieving Clearwater to is forward Thanks, over quarter, And then the if there or going you you just last it? And then in legal built remedy of of why you to so? when from underperformance the thoughts

Paul Rady

complicated. I facility. within out. a working or It’s got bugs three so would the Clearwater it is just It’s different say good processes four it’s and

volumes. when We of side, on of one or greater we growing let’s number there schedule three, things go a got five. but two we be of have there’s good downtime, when two, the greater number seen will We’ve we say not have downtime, days XX that or operating a it. there flaw a just operating But four have and team sometimes projects that’s – weeks might in

is either things the that’s downtime usually really – improving so is, And adding just on. the what and efficiency

is day there’s the parts we’ve and just just big barrels to there. it’s to moving going a is improving of a doing been facility, mostly there’s a So – what XX,XXX process XX,XXX lot

far. address? David, I of and what it’s there Was that been been that another doing that’s didn’t part good so we’ve So question,

David Amoss

operational saying, an not what to a flaw? it’s clarify just of So design issue you’re

Paul Rady

Right.

operational yes. the Just issues,

Operator

Okay.

Our question of Stifel. coming with line is from next Howard the Tim

Tim Howard

for my Hi. question. Thanks

DCF Just XXXX, return build of like the stock just to removing preferring XXXX in to guidance that’s the kind valuing was in doesn’t days given growth trending end the seems there these and be and low change the X% the investors It of towards thought to X% of coverage? capital expected strategy appear are more any what growth.

Michael Kennedy

back range. coverage actual does the below X% into building low of excuse is to the me, so is the X.Xx our – kind here, that X% mid-teens DCF of coverage growth to That build

So the support to type of capital DCF target. growth return in XXXX does that

Tim Howard

thought providing adjusted more guidance into just it. DCF expectations was just And any the investor there given on then set strategy supporting detailed officially and Got maybe concerns? XXXX, EBITDA, you new

Michael Kennedy

These are that’s targets in following the and the in 'XX year out come process with a or when budget did winter each guidance. formal at. gets generally We Board of we the ballpark approval formal and that

Tim Howard

then to as then how be will that And pivoting maybe the it. Got is any XXXX? And into kind XXXX? and on produced much via of what’s captured you through just work how there of of flowing kind is today water, expected water thought pipeline

Paul Rady

is barrel say produced XX,XXX day now the in XX,XXX water would a range. I to

turning the So XXs. line of in and surge then you roughly go get a in down, depending pads, high timing on the but will it

we as will business, fairway, to we as the northern we’ll much much can we as as do as new so come focus much and how as can. So the on into

range. other it decentralized and bringing keeping to XX,XXX, and are in least a Clearwater blending in could and we XX,XXX So not words could that day be be that local, polishing barrels at

earliest out in now. setting pads the just We’re

One see Clearwater, is rate that XX,XXX less now more But where do will haul So we have is well, that a producing that’s overall XX,XXX our at to just or big X,XXX to superior is structure not to as as for XX,XXX be a cost make than we’ll total, because of to barrels goes there. think, a possible out wells but have target trucking. so from dent it the day we long good the and can and such water least the XX,XXX aim as grows. growth

an quantity do overall as we and even grow. water to polishing still So cut continues that there’s a of with blending,

good will there Clearwater. So available for still be water

Tim Howard

in of It’s in next think the still to kind Got What my that it. is XXXX where XX strategy? XX question. with previously. for was new Clearwater was this I it like that Yes, since expectation that’s

Paul Rady

flowback We in of are produced use we’re reasonable. focused teams in hard working the our I very that future number think to bringing operating pads that advantage northern Yes, and and on a take where now on that’s on water water completions. fairway it of got busy coordinating

of So we’ll course But possible. see as how effective we’ll be effective can get we that. just want to as

maintain case, think not take barrels the overall move And XX,XXX, and XX while you northern increasing maybe it the and and from XX,XXX is this the to I’m XX,XXX we day Clearwater the south. can as so what just will the polish fairway to XX,XXX be the But a it ballparks so a as step the blending months. XX,XXX polishing at, XX,XXX we giving could range blend barrels into but next over or in or in day success I XX,XXX, again, number

Tim Howard

for Okay, in water second I Antero assume is I flows? the that is that’s last to half be I what AR cash helpful. but supposed heard. think were the think mentioned, flat what from completions And at production then relatively I Midstream drives me, one growth

out So just us help Thanks. that? can you with

Paul Rady

the lot the but production. obviously so Yes, it’s a also water of

Midstream not side east being the remember to is got of Antero the developed. that’s field dedicated You not

that declines we the volumes, completion also AR for increased grow addition with one service obviously then that because the AM are it the that increases flat growth quarter. not while that crew with as even third completion declining. areas And means AM’s areas that in services freshwater So have production does the with it

Tim Howard

Thank you.

Paul Rady

you. Thank

Operator

[Operator Instructions].

from the is next of question line Barrett with Our MUFG. Blaschke coming

Barrett Blaschke

Hi, guys.

you you the with an and of sort their around JV where you at on of XX? Just sits on their of and after Can kind L&S their and some and sort G&P. us have on more spending MPLX segment commentary XX of as less world looking give today things it outlook the commodity see the going

Paul Rady

twin that growth will away and that’s new it at miles or just so a of west call be the and to the facility couple is of Well, for Sherwood more Smithburg. processing the called plants a outlook, course,

plants being will And and production growth. now, timed so so and relative well well continue all as prepared plants as there to out XX beyond new are it’s the XX growth our

Barrett Blaschke

So there are -- plants

Paul Rady

year. plants roughly two it’s Generally, a

Sorry did about What Barrett. that, say? you

Barrett Blaschke

sorry. I’m

and on and of timing today plants drawing there’s on and sort So the investment what go triggers decision XX XX to board beyond on that?

Paul Rady

we’re XX our MPLX we meeting curves all it. always we’re Well, lead looking an every at course months production when or need give We our joint to partner And going and time, of are and our venture month. XX usually anticipating XX-month work towards that. teams

give we coordinated. So how But updates. that’s it’s

Barrett Blaschke

one last And me. from of you Antero typically plants those the me volume tell just Could one volume? how much is on

Michael Kennedy

XXX%. Typically

Barrett Blaschke

Okay.

Michael Kennedy

site. I it Web think our can you see on

Barrett Blaschke

what That’s I thought.

Michael Kennedy

work’s civil Smithburg sometime been next I comes forget, on, the Smithburg, X done. year. already

next half year. First of

outlined all the can you so see site. on that Web And

and them. we processing what clear such. on It see a of and takeaway planning. us lot a hiccups takes think I are And having lot about you pretty That’s of we do. don’t

Paul Rady

a time bring a on wait pads had a XXX since as is to at plant, the plant million, imagine, million, you It’s we if pads million long XXX on a been million. these choke but come we’ve XXX and day, for back XXX can

very pad plant a So right efficient. fill a will away, big

Barrett Blaschke

Thank you.

Paul Rady

you. Thank

Operator

next Seaport Global. line question ahead. the of Sibal from Our is with go Sunil Please

Sunil Sibal

your towards grade wanted of context a to around. IG, balance sheet but – to down get do the the bit kind you And and talked curious think Hi. there for did last of clarity. is was for considerations back you that Good the all I about of little you progress of that balance dividend I morning, you sheet in fair bit know slowing that up? in goal about things? to regard and year the was thanks the the any when just and how beefed investment made to getting Analyst I realized getting to things change growth consideration current will light a go goal guys, any with Day and

Michael Kennedy

is with it with companies now of agencies price upgrading rating investing Resources strong because Antero the at. right agencies. think its where E&P Resources the sheet XX in low price be it’s there’s but don’t Antero is in course scale out just Midstream by would is I there any environment. Antero is I capped And probably Midstream credit. rating at capped commodity Xs very and the own the where from DD rated current think but Antero movement is strong really But months environment, on next balance – a grade, the AR’s commodity don’t

Sunil Sibal

Okay. Also, I think make about the side downstream are looking term of Is you opportunities of near into things. that the in talked of set that at something progress terms guys you getting to in there kind in direction?

Paul Rady

the we’re Well, that. future. It’s say always thinking something we’re was looking, But really imminent, looking comment we it there always think about on. announce course until possible in If we’re can and happened. can’t we couldn’t of we I that always all and that’s

Sunil Sibal

Thanks, got guys. Okay, it.

Paul Rady

you. Thank

Operator

end We of I Michael Kennedy the to comments. the closing would to turn floor question-and-answer like reached now back our session. have for

Michael Kennedy

like everyone to us thank for I’d today. joining

again. feel reach any free to out If questions, Thanks have further please you us. to

Operator

This concludes today’s teleconference.

You at Thank this time. your may for you participation. disconnect lines your

Antero Midstream (AM) 1 Aug 192019 Q2 Earnings call transcript