PR - Earnings call transcript Q1 2024 | Permian Resources Corporation

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Operator

Good morning, and welcome, everyone, to Permian Resources conference call to discuss its first quarter 2024 earnings conference call. Today's call is being recorded. A replay of the call will be accessible until May 22, 2024, by dialing 1 (800) 938-2488 and entering the replay active code 24995 or by visiting the company's website at www.permianres.com. At this time, I will turn the call over to Mr. Hays Mabry, Permian Resources Vice President of Investor Relations for some opening remarks. Mr. ahead, go Please Mabry.

Hays Mabry

thank quarter for XXXX. and the us company's first you Bill, joining all on Thanks,

Oliphint, Officer. On and a first Chief Guy quarter James call Form Walter, Chief the today earnings our Executive are X-K with results. Officers release we May X, Yesterday, Will an Hickey our filed Financial reporting and

the with and earnings in We an earnings SEC, XX-Q, Form to we are today's are during reference would is that also more and plans. presentation like beyond including that and this involve expected this results risks the which discussed posted uncertainties to affect in filings are factors call. risk that note comments and forward-looking statements sections the of Many detail statements that many will call our to these our during I the afternoon. our our filed risks website of later actual be forward-looking control our of could

believe the future performance, Although help across of with on differ developments measures results or non-GAAP refer they actual materially. peers. financial periods guarantees expectations may assumptions, comparisons to based we our that may not and also are expressed facilitate are We and reasonable

that, corresponding Hickey, use, will reconciliation Will we With measure our non-GAAP any turn For can to to GAAP the the over Co-CEO. be release presentation. I a on which website. available our nearest or measure call earnings in found are both

William Hickey

team while accretive our approximately more annual We out forward continue and deliver sharing Permian and acquisitions target to QX I quarter, detail to million able and incredible that our look integration production believe expectations, has such It to quarter. execute truly million I of synergy quarter takes above execution far. strong of Earthstone on after A&D the ahead the an today. cash $XX compelling Dave. first quarter were with on announced flow close free schedule of Resources Thanks, this increasing was to most delivered $XXX so by some the quarter deliver

pleased total QX I'm oil results, per per XXX,XXX quarterly barrels with day to into barrels exceeded expectations XXX,XXX production of of oil announce of production Moving day. of oil and equivalent production

attributable Xx and operational accelerated factors, to per strong sustaining We Our run results including flow times. production to higher in share share. $X.XX on resulted operating multiple flow of and $XXX D&C of over efficiencies in $XXX adjusted focused million was cash Strong remain Earthstone with production or $XXX or and strong balance the billion. quarter adjusted cash $X.XX million a free $X liquidity of and highly increased of approximately sheet million leverage CapEx per

borrowing spring credit the regularly increased As of a part $X.X facility aggregate bank billion, our base to while of lender process, maintaining from billion. scheduled $X we commitments billion $X redetermination under

of return to Turning capital.

We consistent. previously increase remains base share, our quarters. per strategy delivered on a XX% announced from Our increased $X.XX dividend of previous

dividend return total our of variable the of For will remainder to be all-in variable $X.XX via out capital return $X.XX a the portion of paid in return The share, capital, quarter. first, the X repurchased of million we capital per of a per bringing share. of quarterly shares our

year-end that a acquisition, and we efficiencies spend drilling improve operations, and in Earthstone the highly days realized XXXX. the this we driving synergies time completion business Now material about out reduce little positive that rolled impacted like and synergies days by could We the to a I'd talking be quarter. such fully were to confident production way

quarter, per drive PR in approximately which more. and completion in best we under completion production that achieved XX% XX% and X midyear all high-graded months, already by well practices reduction per were drilling days reduction combined And well have initially just XXXX. anticipating an in helped days This, crews. the first legacy and Earthstone Earthstone achieving we've with We rigs

is gains to are not efficiency seeing Basin in unlock that which forecasted originally we were quickly. new some our Midland testament value team's and a the assets Additionally, ability to

of as in synergy we of optimize year programs. increasing $XXX The QX. impact strong achieved times target result of run times the artificial of teams improved driver In activity that improved to are already of the million integration better is an addition, The chemical and our per and performance, compression better combined lift execution accelerated and was primary a combination run PR performance synergies production run annual the have $XXX rate million. of

operational. main of increase drivers As this I the earlier, are mentioned

accomplished midstream easy fully X increased for million to to reduced able of an and a be proud we've we a trucking, testament by million. this majority Similarly, electrical talk work vendors turn over With Drivers optimizing improvement say but BOE the update our year-end, approximately already implemented Integrations upgraded to by margins is never months the and rationalizing $X.X margin we I'll For the last that, Earthstone over A&D in savings hard and per per to XX the it to to realize of include improve to $X.X team that dedication, and James field stages integrated. agreements. is from of what on plan. today. our lot improvement well our we're DC&F, expect are to to infrastructure, $X

James Walter

leading the marks as and of now operator every ninth our Resources. company as Basin. PR's every quarter This reiterate operational quickly that we adapt discipline like to department today led seventh I'd consecutive as strong are results execution at company and Delaware Will. year had public what public with a a to in this our quarter results best we Permian have off Thanks, a and the

low-cost focused track operations. consistent our record are We continuing increase of highly in results on to

of is Our for year. all well team very us firing cylinders, on positioning the the remainder

wrapping teams attractive business While our evaluate land to footprint. around successfully field and the and our enhanced up the deals source, of and and integration executing development in continue Earthstone, close in

and shareholders. comes it is the of A&D to to drive target our enhance for when that objective overall value acquisitions Our business quality

costs means our all locations achieve the that we to bolt-on excited addition high immediately Parkway in the This low characterized it acquisitions increase of that This at Yesterday, X most make of our oil cuts these high-quality, assets duration directly seeking is goals. our acquisitions closed, for us, is inventory capital. compete our current legacy in recent one asset by portfolio. announced and here quality D&C high and so our efficient after position make asset of our sense why transactions Eddy the separate market prices NRI that County. that we're with to For offset and of bolster capital

a location. value, second for acre million per highly million to highest million, quarter. operated leasehold on the we of per of for side million remain ahead works this find. These In smaller grassroots a of development XXX of approximately After expect transactions or that target return and net over gross completing [indiscernible]. we approximately accounting the deals business, locations gross $X little of price and $XXX paid in acquisitions production leasehold $X.X and acres net which addition location bolt-ons, active rate the we smaller All to net less amongst purchase XX,XXX these $XX,XXX near-term per XXX $XXX approximately out the in, transactions to these be the than add

in come of of Midland successful Midland-based our Our announcement the the with. vast presence are majority counterparties acquiring we in key acquisition been have program, the we today's who acres has drivers one long-standing and from relationships of

increase QX earlier Will barrels and team's us allowing call, As the sport and bring into our our mentioned in drilling has reduced the year. for overall to execution successful times, completion production

we on of barrels with categories. impact and today. profile second a original quarter, interest XX the Permian of with fluctuations do are working outlined guidance projections to lower CapEx increase Slides no stand-alone such, by XXX,XXX the reflect we're change ranges per As announcing other second per the of and normal a not anticipate the half increasing first stand-alone relatively out The oil represents in production our during to we equivalent the course in our slight is occurred production in include or XXX,XXX production of This that oil revised a in in X% production flat stand-on acquisitions acceleration XX barrels of of The program. day. the this and development guidance driven large-scale decline guided Coming day guidance year. compared quarter, Research's modestly

an approximately BOE of acquisitions during average half a of X,XXX expect We second to year. add the day those the

approach the which resulting acquired the CapEx.In accomplished highlights $XX annualized for Permian business to year, helps investors. conclude value. we delivered Given million terrific period. inventory of anticipated prepared during XXXX. company outsized what have our incremental do that We reported quality the the Since year, future start returns the have shareholder assets, value XX, think proud of the half today's second same really expect to best-in-class the the proposition Slide in to of is over we high-quality sector, so remarks I'd we we to in S&P current that which to multiplied and are we've Xx for reemphasize a to amounting the on today time far development this we summary, like of we return driving XXXX, and XXX in the begin Resources announcement our and to

when Permian is compelling large and the performance PR turn play for tuning now now last recognized and capital Resources and years execution the within result, will primarily we gas, accretive a the low-cost to sector. transactions. for in operator in the oil in been driven by you today, particularly back pure Permian Thank Our largest second Q&A. has as it over the a And makes value

Operator

Thank Dingmann go you, We'll Securities. at Mr. this Walter. to Truist [Operator morning Instructions]. Neal first

Neal Dingmann

D&C production, spreads rigs currently how the And wondering, I I'm your highlighted of drop Will, question, about just X the certainly today, wrong, you as flat a PR if potential to James, or see maybe just spreads forward? you or I goal maintenance about your could I'm believe My wondering, but maybe that me given and believe you XX, separately. notable the Earthstone continued about to was X go relatively I'm you, talk first or plan just you're on and little correct plan for same rigs, on running XX efficiencies maybe

William Hickey

that I plan were saying rigs. originally about we I think we thought take right. this and about we the Like about you drilled year, wells XXX Yes. XX think mean you're would if

continue between think plan very think I today, I seeing we XX it's that's XX same much on we're can on rigs or is efficiencies and to table. efficiencies could bless realistic we whether execute that is to these the if the With XX, very keep the somewhere

back to same business to to X down that the CDEV merger, we that originally, of get with playbook, Colgate very X-rig able think the an If was efficiency. it's you you similar think if combined a were level

supply-demand not we're last is done an more of can before. what's plan your like production a a like the for this kind solving look input does look think costs it's we've worth what out question. of So return just do part perspective per more service what much and so macro the is production that some environment, I of maintenance calling output. what the an or of from It's

continue prices service to reduced we and oil costs. see So strong

it's here XXX rigs from to we the think wells equipment. grow more real there's that less could I could we what the or But chance to XX a we keep with stick do think decide is add that our see revised production. very, to in rigs guide the that go you and very of even

Neal Dingmann

you as And Will. that hear, then the on to bolt-ons, such just recent highlighted X Good quick the all secondly, simply.

continued seem peers seems do see success like better this. versus all accretive I have many just have able as bolt-ons it to don't your these been adding to of You just to

And quarter. pace this I'm can what you just X, couple continue a seems wondering behind X, of at are almost every it this? the So like adding keys

James Walter

Yes.

pretty think I that's answer. a easy

done and things. focused think driven time and a if something really on long to continue that's we've we're couple be I that is prioritizing good think at. and you first of have -- foremost a something I we're And about for give

the information that do same goes the that great a where therefore, mean, is cost be low-cost the on the say and in transaction Midland. the way. partners structure really unique allows we're good I buying have across side deal Basin, a And these to example, And aisle do an lowest That's first got result, and activity the we like flow have we've this think, Delaware earn good I'd reputation which just of we're edge into from and people I foremost, of of things. market higher the want to heart the flow, a based across and assets returns the long us being second, today's assets. heart for Permian, in the from to operator. time, on as side, the over area naturally of a the a I we think finally,

rigs than area data from understanding, more have proprietary therefore, et in and better running pull to We cetera. this anybody else more

that So we continue you all to that something expect I big something together, this sustainable we to story. have. not, probably is take the Well, continue a will like long the quarter, definitely of term think part does and feel edge over but to do be it every

Operator

go next now to James. John We at Raymond Freeman

John Freeman

a when all just And the look at metrics just quarter. the drilling of some Earthstone what legacy to the days, whatever you great on these how of whatever, PR looking Slide remaining site downtime, and all the It's get huge at and efficiency PR. the that When deferred of all sense and gains to to just is, that I'm the continue properties. Earthstone production maybe get sense X X comforter trying gap out legacy between completion I that compares any, you cost if when date, I'm

there's trying left. to see still Just gap any if

William Hickey

at small, think gap if not, nonexistent D&C is on I this side, the point. the very

] made side. assets Where we've of to on fully like incorporated. done the require tremendous different of work It's agreements recycling different think is get agreements progress stuff, view areas, senor the But contract the other I it's improving that what I through some we in have amount lot but legacy PR side, room and short LOE whether them I of time but disposal think more legacy reducing all or D&C areas, time LOE. the matters. efficiencies on side, and in think time still margins just also and We closed. longer gap it's more a PR different the there's LOE has We've on more have to and no or different [ some SWD

the between and focused, where about LOE think last kind be remains PR I of sense. gap more makes that as So would legacy Earthstone if

John Freeman

And takeaway gas That's follow-up on pretty Waha. has perfect. at for me. then been just what's going the topical,

takeaway on updated you all longer thoughts any are Just about you thinking term. address how that all and to how on gas

James Walter

call, the is that it's is. pipes I only pretty pricing has think year. Waha be to year this that quarter. I mean we X% makes to up And I new Yes. fortunate coming probably the about at online gas closer and been obvious will you our run We're in fourth until it revenue challenged dry given think get what of in any

pointing on about contract hubs looking volumes or business the allow year. trying I finisher. is focus really today. on. have out the should get at think Waha next our a X us something of half covered get probably are Houston So We worth come pricing better to yes, that by week other things regional basis sold sell this always actually sales either we constantly gas year, only hubs is and to find half isn't attractive hedges in pricing Waha or affected. X/X and to we're gas work about But for But that exposed of ways get more can at today next our We than to at other signed

important more working on and at. later But year. on think thing firm regional side. even we've saw capacity So front. midstream for got if our awesome the are to to most the time to got we've continue going been long flow I say a this on constraints come we that's and I'd partners away molecules chip that We've something is

Operator

go Scott now RBC. to next We at Hanold

Scott Hanold

how balance sort you outlook Obviously, think business. you the year. through the if the like just go guys times about back wondering improving. to And the your was of are to of can cycle holistically, I

a you and of XQ. little So pulled production for bit in more your activity

about for that? have over see cadence things And And there any through cadence on you like long Would think 'XX you it growth? moderate think term, the you could this to setup growth? a do see decline the so said you cycle the times. like like like the talk some the But in into 'XX depending constant? guys do and if flattish variability some you to year. then will does you Or and of about to with back more Do soft you half keep like how want Would taper be more you year?

William Hickey

returns returns-driven good. made say side balance mean, extremely is I the of from output. as cost and a headway I've it really of on year. is over trajectory a over I'd just production the input an it we've the foremost, first and we times, about last X ago, Obviously, it the think service And I'll production the the weeks was many perspective some environment the company, say said again,

So it was looking good.

that interest not think large-scale whole really as from that a year. really look year good what schedule naturally dip today is about don't been as given months the half I say interest forward. corrects completing on has quite wells few are faster.And bit weeks the it's as that as development, into would wells the We're in over what such, that was this like X it far a as just ago, And natural working just will go if changes wells of little think happened shifted We've the the so faster. next course drilling we're know back few I less 'XX. just working moved itself. the but good, it's today, I we and still year from the you world just over yet the of

We're It's for up said back pace, our spend 'XX. not next what to So XXX over time that a back do the year wells bounces half the call XXX XX%. X the same 'XX. actually we to months slight decline to a that lot year, if really saying want exactly plan. it, set maintain a of in I'm differently, of out good bring then is going to does we per and

from I of half it future trajectory profile indication in think be what to makes could I of XX an see But wouldn't tapering sense the XX think the prices of outer as anywhere rigs of years. this we'll on it slow of year and back commodity based there. kind production

James Walter

puts going us good to what This plan 'XX sets in a like It know back great. is the the is we talked growth that as do X% we us really decision and that about, we middle make closer over long of we get go somewhere always to world that Yes. term we the XX% it year. and in optionality because can a up don't to

Scott Hanold

the you like commentary. cycle exactly what And that give color well necessarily your just is where you in Could and sounds were? appreciate Midland context benefits mentioned expecting. you performance you're also and and it more times Or Was in better behind prepared you some little that it or OpEx? seeing efficiencies comments, I on the reductions cost productivity? is or a it the weren't

William Hickey

CapEx. really D&C It's just

where in surprised still have us Midland to a near strides cut that upside. up go the CapEx from have in of and think side surprised made big in regard. amount been the the Basin. the to able that lot operators cost a be to didn't on wells ways the a with perspective, upside to are the I we Basin the to we've we've but leading catch on have we drilled Delaware, of Midland to I not We expect the Midland Basin

Scott Hanold

that more of just time on the cycle those was time markets? drilling and And completion that

William Hickey

Basin times, casing a well. everything per to Just that a CapEx foot on lower Midland cycle lead would design,

Operator

now next go Cowen. to Daoud TD at We Gabe

Gabriel Daoud

is being say, bit bit but levels, maybe is a today? on to bit certainly spend, or spend efficiency question a and are synergy XX%, the we piggybacking about midstream all year just just and infrastructure where a lower gains we too it to thinking maybe little fair probably about heavier assume activity stuff I I I guess think here. assuming capture this similar If than understand early it's little off should 'XX, be CapEx

James Walter

Yes.

given just I outlined the be certainly, would the this year, what CapEx than business we've where maintenance is, think efficiency lower cheese.

assumption. fair a definitely that's think I

Gabriel Daoud

maybe egress a then about follow-up, a bit. And or noted talked as

to in So constraints no are and guys just second seeing mentioning? getting managers this both just area, curious headcount any that I rigs that of just that year? Are any the you Mexico New in by tightness you or other worth in that at midstream planning Northern processing is Eddy recognize half there's lean. driven are all? said, over Or on out capacity

James Walter

any I driven area of all as codeveloped. it, sure think put making rigs the just Yes. on by the of today and doing kind and as some cube focus touching these when as our I we're mean we to lack efficiently parts larger rigs need in of is quickly developments doing be on it of possible that

actually processing really gas So I good no, but constraints this think macro-wise, feels year.

and we QX spend compression up constraints year, in have the nature or work a we ton last do of processing processing, today. last in have midstream issues to QX, not say Delaware a money want have our look more spot there. Mexico else all really what were And resolved but before, themselves. on partners year, great New there think done to plumbing able really any challenges thankful frankly, and and gas that our anything the in-field of ton probably line, mentioned those of a even of time I but more middle the I'd

Operator

Derrick Stifel. next now Whitfield go to at We'll

Derrick Whitfield

compare first Northern my seeing. to D&C how compared with to QX the in I to question, this Delaware times we better wanted X, PR to in on averages? on PR understand If your you're were improvement efficiencies Slide lean With cycle the of your does rate

William Hickey

see you you QX PR but to gotten QX, to PR. going legacy better, percent if improvement to it's be Earthstone the to big we've compared from single-digit as to compare PR improvement

Derrick Whitfield

maybe of basin. underwriting Can of for your on part on over appears us general conservative The degree assumptions the you surface. and identified locations Slide any the then to of And offer to X. count location gross the shifting this operator Great. legacy XXX color development

James Walter

very Yes. It's good astute. and a question

come handful acreage on but answer it of it, advantage looked do was what second any does great conservative. undeveloped think inventory, wells asset to question a there's we've With to probably in PR at a and first, your regards as best. is it's to undeveloped it take time, pretty position, they in long of yes, which I is because I think us clean fairways

very that I money locations of to confidence have is is more come I in degree about a here. can we base what yes. think that into something we're have behind. And think put case But trying we probably answer a feel here? high we real we to book zones it good likely the the more out stand as being and

Operator

at to We'll next now go Leo MKM. Mariani Roth

Leo Mariani

a dig was quarter and this slightly to your then wanted just based on in quantify first and some was half. comments the in maybe you little a I I XX% but second guys If working heard could lower in of around like right, sounded second. to it that? little in I average lot you the second bit I your comments changes. flattish higher of are half a interest think lower maybe hoping the production it's interest, working about talking

any on would great. be help Just that

James Walter

Yes.

to when running pursuing quarter an strategy back get for stacking multi-rig X we've this, how the long think X maybe to that time, just full to like it's XX%. XX% it program normal And fluctuations a average just of field development a I especially rigs maybe is. pursue been XX%, the like you're

and out rig concentration but time. of more I over all think as this normal it's over on have counts developments, you you evens particular see especially time

Leo Mariani

translate half a interest is half? little the the the sounds little in higher little a working definitely it that that And second second like you But CapEx standalone a first first lower into half. would Okay. CapEx? then how in Would in basically versus lower give and

James Walter

Yes.

assumption. I good think that's a

Operator

Oliver now We'll to Huang at TPH. go next

Hsu-Lei Huang

wanted back notice where to have transactions now in County side. the been I in QX of bolt-ons A&D Eddy fairly I this and the can't at area help latest X on start looking active the last. you all

area seeing if driving So to you an that there just wondering focus to the perspective from for specific in able AV is that's you're might all? increased be if an anything all speak you

James Walter

question to the kind for to active performance, attractive question. beginning the And results, Neal's where both a Earthstone to extremely able we I a real That's at a than up we a able grassroots do or time exciting the was X County on really we've great bolt-ons prices side touched think well cost quite therefore, us. of because this in we're lot of I I think, zones, were a really Eddy And been and saw post-closing to just most most and think today, market deals little that buy so, at attractive operator would window of reason a we're which few proprietary part this bit the importantly, of I long and on with expect. here anybody cheaper I had doing think go

And done. of I we deals saw we and hard. some are the hit think we've So just windows these an unique. It's one it that opportunity, those of best

inventory and didn't think the and great a we I I most wasn't a capital-efficient deals did, get yes, So way all that's think we it of outcome, but asset. core these our what's it's really

Hsu-Lei Huang

could an It provide up radar. been the have update like or X past some seems position. And wondering of all you you aspect over for follow-up, an on royalty so going your to the Makes just decent where under if able sense. all steadily my that's interest months pick business the

helpful. would there be any So color

James Walter

burden. mean acreage I that royalty the trying what compete of I for inventory is big in that think always we're Yes. is part capital, a and to buy

NRIs, that our just efficiency. help So have lower advantaged royalties that we capital really target assets

royalty of story. do as result. I a proud a of We're that think every getting strategic have insubstantial. that But more [indiscernible] that spend I think got today, for efficiency not capital that's we planned we've think our is flow cash of, with really we're that business XX,XXX we acres net free dollar royalty big CapEx today. part

makes So I widget something think increase our that ultimately, better value our just creation and time. helps it's over

every something us to underappreciated it's returns by comes I So dollar it that the probably focused that we're on really of. but a spend. on, We're earn helping ultimately market, down we think, proud little better

Operator

[Operator at Instructions]. Geoff now next Partners. go We Energy Jay Daniel to

Geoff Jay

hear know big love there, obviously infrastructure power you these referenced But the build-out. what's what is, your days. issue guys. be I to for I going It's a that to that's you how happening of scale pressing

William Hickey

and power is tough. Look, New the is line Permian is and entire Texas Yes. Mexico in in tough tough

needs, position, don't a look it be best the natural wells. collaborating but do, few majority next obviously be you we New we stay online substations really doesn't less a that, that So as we best for And power, quick, online I second I and ways able would think we're think power power means looking It's front generators our just anything at bit gas building power can and to we it than probably preference. others of our us. leverage after to priority answer, of think to see we on it to will a say years. incremental about Mexico for if for say that's challenge be the can produce can in gas be our I'd it. improve power. be all actively natural won't come the generators at trying infrastructure. be little are our that's is and what But to the with to you'll it's efficient I'd it industry for if

Operator

now to We'll with Citi. next go Paul Diamond

Paul Diamond

one, the about of a talking kind acquisition pipeline. quick Just

location? to much is Or based you what's movement it all on next, the As on are you're seeing scale correlated? precohesive any bid-asks looking and forward pretty

James Walter

pipeline really the A&D side feels good. on our think I Look,

come a that 'XX I importantly, coming our sale fit. seeing all successfully, lots a of Delaware. program of of and there's low-cost preferential our the want fits be both as probably them to participated think well. it wind that been acquiring still think is to where we're and of has but of Delaware, I I assets, lot lots of probably so. basin 'XX like historically. I grassroots assets, think operator picky, But large stayed you that seeing a lot in value which the that's other the for sellers return hitting party this size think good. drive for the the assets I'd off-market we maintaining stuff side but just the think saw buy position think, to a of of we and a I as a not, said, largely also, deals better our out which in the I which like feels market shareholders. in we the down position could we marketed for and don't of chunk from. deals, acquisition pipe business that think lot bolt-ons definitely in in rate earn And make not we're really and sidelines some year I a on But momentum, of higher and But we're up opportunities

to do got can it if that, So continue incredible need great. an we before, business. we we said inventory don't do to anything. that's base, an We've But incredible stand-alone

So if but be opportunities, to them, any those to don't we'll find pursue could do excited pressure so. certainly see we there

Paul Diamond

follow-up. quick a just And Understood.

in your other? there the you balanced why scale No. or I guys markets been way guess one tip would anything in pretty seeing shareholder framework. So return that that's that are the Is

James Walter

we're towards I to bias dividend. think naturally the mean I going

the exist. the think strategy. goes return we'll at potentially I no, say the base case, in on capital our as some But that point and really on share buybacks and variable large dislocations opportunities opportunistic are increasing steady future dividends if I'd she be

in for cash as increase mentioning, our worth payment year, variable it's did upcoming increase a XX% show we dividend this our dividend think quarterly dividend in well. the nice and which has base I hit a

So it. well, working it that's about and we're feels really like excited

Operator

Kevin now Energy at go MacCurdy We'll Partners. to next Pickering

Kevin MacCurdy

up your last the question Northern Delaware. M&A, deals in been earlier concentrated of about have an couple follow on To

opportunities the Southern of there on are Delaware the out them? viewing Northern are opportunities many the versus Delaware you a question general you in Just compare how kind as And X of how there? do

William Hickey

Yes. I question. think great a that's mean I

the where got in faster I like Texas historically, if XXXX, started first at the least of Texas back was that's a think to lot Delaware looking businesses, Delaware wave focused, the you begin. and XXXX, think consolidation was activity XXXX,

Delaware So as consolidation in I wave a think seen of you've late. the natural

it. we a about compete like we've really specifically, got what opportunities go-forward do. in with be for If excited that New to we'd seen high think for Texas I in position us capital drilling we've Texas could really great Mexico, return find today some

what I Mexico just opportunities we've opportunities similar we'd to Texas New that trying have we're we exist. and the do I I think really making been from last assets those standpoint better the over that majority do if find excited but change could of still seen side. think on in the a be the business years, of couple that think could

Kevin MacCurdy

a gears changing And bit. little Great.

day mentioned close additional barrels later and additional an million once capital a You you bolt-on the acquisitions quarter. this of X,XXX $XX an equivalent

X,XXX that slowing million the same? day is capital if And clarify, will the now? what production a so, impact production additional of barrels $XX to the be flowing. Just Is

William Hickey

an is that closed close the production of end now. acquisition of this haven't until online That we quarter. from majority don't and is Yes. The

now, own awesome And to So of but spend we're million the and really half then CapEx high-return it's exciting year inventory, it's is if today. online in hands our not don't we back it that going get you that $XX will. ours, to on this

So we from can really hands as up the up you asset. returns but after we're get year, can't give see production to we and show next to excited going our get that's on the all strong so

Operator

no have back this it gentlemen, any to And you, I'd like Walter, further we questions for Mr. things comments. to morning. turn sir, closing appears

James Walter

to start Having gotten great off a XXXX. in

record maximize XXXX Centennial call as build announced of do everyone the the joining following consistent Our on for track Basin. today in our to it lowest long Colgate story. value to when and of to to for to in Permian Delaware term. we primary Resources results the the May continue the goal we for cost structure remains plan same Thanks that, delivering the merger was And with the shareholder

Operator

ladies Thank Permian thanks Resources today, you Again, that conclude wish us we and gentlemen. so Call. a today's joining you, Earnings great and all gentlemen, will Again, day. for much First Quarter Conference

Permian Resources (PR) 8 May 242024 Q1 Earnings call transcript