BW Energy Limited ($BWE)

Again, warm welcome to this presentation of first quarter, and we have added a small update on our activities. So please note our disclaimer as usual. So today will be hosted by first, our Chief Operating Officer, Brice Morlot, that will take you through the operational update. Then Jerome Bertheau will take you through the Maromba update. And then Thomas Young will round it off with the financial update. I will have the pleasure of taking you through a little lead-in where I boast about our exploits, of course. And then Martin will be taking care of the -- or he will be the moderator for the questions, Q&A. So first quarter, all projects on plan and cost. We have been able to sanction Bourdon and new Golfinho wells, and we have lifted our production target to more than 100,000 barrels per day, sustained production into the next decade. We have a strong position financially, and we are generating cash. So the business looks good. And we had a very decent operational performance in the first quarter. That's the bottom line. EBITDA, $111 million; net profit, $33 million, and this will, of course, be gone through in detail. And our end cash position was a healthy $161 million, plus we have, of course, unused facilities on top of that. So BW Energy is delivering on its growth strategy. We are pleased that we can now say that Maromba, which we presented to you last year, more or less exactly a year ago, -- we said we were going to do funding. We have delivered on all the funding activities. We have acquired the jack-up. It's now in the yard and the conversion has started and the FPSO upgrades are going well. So we are very much on track for first oil in end 2027. And we are working hard now on the next phases of the Maromba development. This is, of course, a big transformative project for us, and we will go through that in more detail. Golfinho Boost project is on track. We have done the initial subsea work that is completed. We are now entering a phase where we will focus on the FPSO and optimize that and its operations. This is an old asset, and we have to lift the performance of this asset, which is something we have known about for a long time, which we are very capable of. We have done this many times in our previous life, so we know exactly what to do. But it is a significant effort, but we have now a very clear path for production and production increase, and that's why we are now going to take this significant step and upgrade [ Vittoria ]. We have sanctioned Bourdon -- this will add very material resources to our Dussafu license. We have also achieved a license extension, but more of that will follow. The Bourdon development will follow the MaBoMo blueprint. So it's a sister rig. It will be a somewhat simpler topside, but it will have 12 well slots. And this is, of course, to be able to harvest from the greater Bourdon area. It will be placed in a location where it will have very nice reach over nearby potential resources. So we have also sanctioned Greater Bourdon area appraisal wells. And we will also drill 1 well in the Walt Whitman area as the next area in the Dussafu license we want to unlock. So again, Dussafu continues to deliver. We're extremely proud of the license and what we have been able to do with this license. Golfinho, we have sanctioned new wells. These are infield wells, low-risk wells that we will drill and connect to the infrastructure that is there. We're targeting to lift production from Golfinho to 30,000 barrels. And we are -- have now completed a very extensive study of the total Golfinho area. We have a huge license in Golfinho, and we have now had time and let's say, we've had the time to go through all the data that we have acquired with the license from Petrobras, the previous operator. And we are finding a lot of opportunities. So more wells and more appraisals will follow on Golfinho as well, and we have identified a huge number of targets for these activities. So we are actually 10 years this year. BW Energy. And if we look back from 2016 when we started, we estimate that about $300 million has been invested and the current market cap is $1.5 billion. So we are, I think, rightly proud of that. And as we are going to explain today, there's a lot more coming, and we are targeting more than 100,000 barrels per day in 2028. So our model, we have explained this many times, but I think it doesn't hurt to repeat. We are looking at discovered resource, but that cannot be unlocked. -- with potential. That's the first step. If we get access to it, we reuse existing infrastructure, we repurpose facilities. We thereby do not have to take on the huge investments associated normally with oil and gas developments. So we limit the cash at risk. We are now fully capable of doing all developments internally. Of course, we use subcontractors, but we run all our projects in-house. Then we prove up. We show that our models are working, that we get the production we're supposed to have and then we scale. And on top of that, we have very efficient infrastructure financing. So we are very capital efficient. So this is the BWE model. I think we're quite unique in many of these aspects. And in particular, I think we're unique in our ability to repurpose existing assets and in the financing that we have managed to put together for these assets. So if you look at our assets, we have demonstrated this strategy, I think, very clearly. Dussafu started out 24 million barrels. Today, we have increased that by 580%. Golfinho not as significant yet, but we're working on it. And of course, Maromba, there was no clear path to development at all. So in percentage terms, it's unlimited. But of course, it's 122 million barrels of reserves in the current development. So in aggregate, I think we have an excellent track record of expanding our high-quality resource base. And we have had excellent reserve replacement, which I think is also a bit unique as this is getting tougher and tougher in the industry in general. Our portfolio. So today, production is about 25,000 barrels per day. We operate 2 production assets, Golfinho and Dussafu. And as you can see, we have 5 projects in execution and our total reserve base is more than 600. And we have a lot of reserve life left at current production, but we're also, of course, working to increase our resource base. We operate in what we consider to be very stable locations, very stable countries. I know there are some confusion on what stability is. We're not necessarily talking about political stability, but we're talking about stable conditions for the type of business we are in. And if you look at Gabon, they have an excellent track record of 100 years of never challenging PSA terms. That is more than you can say about a lot of other places where oil and gas operate. Brazil, we also see that as a stable country in terms of their support for the oil and gas industry and their interest in exploiting their indigenous resources. A bit more temperormental on tax maybe. But Still, we regard this as a very stable place. And other places like Namibia, we think also has great stability. So we operate in what we consider to be an interesting part of the world, the Atlantic margin. Today, we are executing -- we have 3 projects in execution that will add 154 million barrels of oil equivalent 2P reserves. We have just FID-ed 2 more projects, which will add 68 million. And we have significant growth potential in all these licenses. That is really the bottom line. So we have a clear path to sustaining more than 100,000 barrels per day production. And as you can see, this is how it's composed of project producing, project in execution and appraisal and upsides. And of course, we have a significant exploration activity. And just to remind everybody, we recently shot seismic of the Niosi and Guduma licenses in Gabon. We also covered part -- the Witan part of the Dussafu license where the seismic resolution was not perfect. So we are active also in the near-field exploration activities already. So investment case, more than 600 million barrels of oil equivalents, reserves and resources, more than 100,000 barrels per day by end of '28, more than 30% IRR at 60. And we will generate between USD 2 billion and USD 4 billion at $60 to $90 oil price from until 2030. So with that, I will hand over to Brice that will take you through Dussafu and Golfinho and the operations in general. And then he will hand over to Jerome that will go through Maromba. And then we have Thomas that will take you through the financials.

Thank you, Carl. Good morning, everyone. Operational performance and production availability stays high. At Dussafu, we completed a well workover to maintain ESP. The job was completed with a hydraulic workover unit, so without a rig in 3 months. So we are very happy with these results. And Dussafu has since returned to normal operating level. Production availability for the quarter is high at 86%. At Golfinho, the production was impacted by unplanned well maintenance, but corrective measures are underway and the availability for the quarter was 79%. On the rig schedule, we have decided to optimize the 2026 drilling sequence to confirm the potential of the Northwest Hibiscus area. We will drill 2 pilot wells, the 10 P1 and 10 P2. And the objective is to confirm this area upfront because in the case of success, we will install 2 additional slots on the MaBoMo well bay and will increase the well capacity of the platform from 12 to 14. So that means that at the end of MaBoMo Phase 2 drilling campaign, we can add 2 additional wells, and we'll have 6 wells in production by the end of '27. So therefore, we are updating the 2026 guidance to 23,000 to 26,000 barrels per day. The revised drilling sequence is a value-driven decision, and it sets the stage for higher long-term production capacity at Dussafu. On OpEx, OpEx were impacted by 1 workover in Gabon and unplanned maintenance in Brazil. So the Q1 '26 OpEx came in at $26.9 per barrel -- so this reflects 2 factors, the lower production because of the Golfinho well maintenance and the workover cost at Dussafu. So in light of this production outlook guidance revised, we revised as well the OpEx guidance to $22 to $26 per barrel. The change is driven by a revised production range, and it's not indicative of a structural cost increase. Let's go to Gabon now. Dussafu remains the backbone of the company, and this illustration is interesting because it demonstrates the strategy of the company, which is repurposing assets to develop discovered resources -- the company installed FPSO Adolo with just 2 subsea wells. And at the time, the recoverable reserves were only $24 million, which is very low. Since then, the reserve have been multiplied by 7. Tortue was a success. The company added 4 additional subsea wells, then spend money in appraisal and discovered the Hibiscus field. They installed a jackup, urpost drilling rig as a production facility with more slots with 12 slots, and it was a success because today, we have 8 TSP in production. And at the end of MaBoMo Phase 2, we'll have 12 and maybe 14 if Northwest is a success. So that's great. And in Q1 '26, the asset produced 19,200 barrel oil per day for the quarter net to BW Energy. Operating costs in Gabon are low at $16 per barrel. One important milestone is this quarter, we have now produced a total of 50 million barrels on the Dussafu license, 50 million barrel produced already in this license from 0. We are continuously adding new discoveries with minimal incremental capital, and we have grown the net 2P and 2C recoverable resources to 136 million barrels. Since 207, BW has delivered good reserve growth and multiplied by 7. So we can now zoom in on the reserves. This slide is quite interesting. The reserve -- this slide captured the reserve and resources trajectory of Dussafu and the underlying approach that has driven it. 11 of 12 successful exploration and appraisal wells since the inception. And at the beginning in 2017, the reserve has grown from 24 million to 163 million now. So this track record speaks directly to the quality of our subsurface understanding. Looking ahead, there are a lot of less potential in the license. All the yellow dots you see will be appraised, and we have both short-term and long-term plan for the area. So let me go through the next drilling campaign. This is the MaBoMo Phase 2 drilling campaign. The drilling program is designed to maximize long-term value rather than near-term production. So we will spud in July with the Bor rig, and we will first drill the Northwest region of Hibiscus to appraise this region. And in case of success, that would trigger 2 additional development wells. We have the long lead items. So in case of success, we will put those wells in production. MaBoMo Phase 2 outside of this additional well is 4 wells that will be put in production end of '26 and in '27. And each well will add 5,000 barrels per day with first oil expected by the end of this year. Then we will present to you. is the next step on Dussafu is a major and we are very happy today to announce that we have on a short video to show you the project. [Presentation]

We love Gabon. We continue to invest in Gabon. This license keeps on giving and there is more to come. And the next phase is Bourdon is unlocking growth. Phase 1 targets 25 million barrels of gross 2P reserves. First oil is planned in Q1 '28. The project delivers strong economics, IRR of 25% at $60 per barrel. And we have a capital-efficient development concept that replicates the approach we have proven at MaBoMo with a redeployed jack-up. Basically, it's a blueprint of MaBoMo, but with an optimized development. And after that, we will have another phase. We call this the Greater Bourdon area. This area contains additional unrisked oil in place with Bourdon updeep, Bourdon Southwest, Southeast and Abeay. And by installing a 12-slot well platform here will enable us to produce this region as well. All these targets are reachable from the platform that we will install. We have -- so the development of Bourdon is a capital-efficient design with the capacity to scale. You can see on the right how we intend to develop this field. We will have a jack-up rig that will be converted as a well platform, 12-slot well bay, giving us ample capacity to future appraisal wells. The new well platform will be uninhabited. We want to leverage the MaBoMo living quarter, and we will transport the crew with boats between the 2 platforms to reduce the OpEx and leverage the existing assets. There will be 3 initial ESP wells, and the production will be exported in multiphase flow, oil, water and gas through the existing pipeline. The power will be supplied by Adel, the FPSO Adolo to leverage the existing power capacity. And MaBoMo platform will be as well connected to a subsea cable to reduce the diesel consumption on MaBoMo. We will have an integrated electrified field from the FPSO Adolo. So this design reuse existing infrastructure to the maximum extent possible, keeping capital requirements low and execution risk manageable. Basically, Bourdon is a blueprint of MaBoMo, but with an optimized approach. On the capital side, Bourdon economics are compelling, and we have an efficient leasing structure. The total Phase 1 CapEx is approximately $300 million covering the wellhead platform and 4 wells. There will be 3 producers and 1 pilot to appraise the Bourdon Northwest area as well. We will order the long lead items, and we will put this well in production in case of success. On the leasing side, the long-term needs cover 100% of the wellhead platform cost at highly competitive terms. And we will sign very soon the long-term lease -- sorry, the term sheet is not signed. And so the lease structure will cover $200 million and $100 million will be for the dining part. Economics are compelling. The IRR is above 25% at $60, breakeven of $45 per barrel at 10% discount and a payback of less than 2 years. So this project is providing strong returns, minimal upfront capital and very important, there is no balance sheet conflict with the Maromba development. This is for Bourdon Phase 1, but we have other phases and Beyond Phase 1 of Bourdon, I will show you how Dussafu looks like. We are working on a 5 years business plan. The Dussafu area has a clear multiyear drilling pipeline, targeting 30,000 to 45,000 barrels per day. Bourdon Phase 2, the drilling will start in 2028, and we are targeting 200 million barrels in place across Abe, Bourdon, Bordoun west, Bordoun East. Then we have the well treatment area, and we want to create another satellite here. There is an existing discovery. We are actually working right now on the reprocessing of this region. And this will -- there is as well 200 million of potential in place in this region. And all in all, -- the total appraisal spend from '28 to 2030 is approximately $100 million. This is the future of Dussafu. Each platform we install will unlock a new wave of development, and that's what we're going to do as well with -- well treatment. That was to cover Gabon. Now we will go in Brazil, and I'm going to cover Golfinho. Golfinho is 100% operated and owned by BW Energy. The production this quarter was around 6,000 barrels in Q1. And we are very happy as well to announce that we have made FID on 3 infill wells, long lead items and the tieback of the Camarupin field that you can see on the right. There is an existing wellhead on this field that we acquired, and we will just put this wellhead back in production to the FPSO Adolo by putting a new pipeline. This new phase targets approximately 15 million barrels of reserves with highly attractive economics. And beyond that, we have as well a phase program to unlock Golfinho with more than 500 million barrels of near-field appraisal targets including Camarupupim and the field on the right that is called Brigadero. On the reserve side, the company acquired Golfinho in 2023. The 2P reserves have grown significantly from 40 million to 105 million barrels. The new phase will extend the field lifetime, but as well adding reserves. This is the 64 million you see on 2C resources. We see the license as highly prospective with multiple growth opportunity and the existing infrastructure of the FPSO and as well the pipeline that the company owns can allow us to export gas and sell gas onshore. So it provides a very attractive tieback opportunities. I will give you an update on the Boost project that we sanctioned last year. Golfinho Boost project is progressing to plan. This project is on time, on budget. The purpose of this project is to change the artificial lift system from gas lift to seabed DSPs. It's a 12 million barrels of incremental reserves. The purpose of this project is to set the stage for the infill well, stabilize the production to 10,000 and stabilize the uptime as well because we are investing in maintaining the FPSO. It will add 3,000 barrels of production plateau and the CapEx is around $107 million so far on budget. Good economics as well, $47 per barrel at 10% discount. But the real step change for Golfinho are the infill wells program that I'm going to present to you now. The Golfinho infill campaign tripled the production roughly from the 10,000 after boost to 30,000 when the 3 wells will be online. The project includes 2 gas wells, the tieback of Camarupim and twin well, Golfinho 50 and 2 oil wells, 2 twin wells, Golfinho 51 and Golfinho 54. Production will start end of '28, and the main CapEx will be spent after Maromba first oil. The campaign targets 50 million barrel recoverable. Actually, those wells are some of the highest returning projects in our portfolio. In terms of CapEx, in total, we are -- we will spend $450 million, of which only $170 million are committed to the long lead items with investments starting in H2 '26. We want to order the long lead items to reduce the rig commitment time. The remaining $280 million are optional, and it will depend on the condition of the market. The development costs are quite low. It's $9 per barrel and -- this is because of the existing infrastructure. And in terms of economics, the economics are excellent, breakeven of $40 per barrel at 10% discount, IRR above 50% at $60 Brent and a payback of around 2 years. So in sum, the launch of the first well campaign on Golfinho makes a lot of sense for us now, and it shortened our decision cycle on rig contracting. And it allows us to act swiftly on attractive opportunity in a down cycle market. This is the last slide of Golfinho, and it's to give you the flavor of what is what we call greater Golfinho area. There are a lot of opportunities in this block. We are currently working on optimizing Golfinho production through Boost -- then there will be Phase 1 with the 4 wells, tieback of Camarooupim and 3 infill wells in the reservoir we well know. And then there will be Phase 2. Phase 2, there will be a second well in Camarupupim, Camarupupim 5H, which looks commercially very accretive. And the broader area on Phase 2 contains a mix of undeveloped discoveries with DSTs and exploration targets as well. We are actually working on reprocessing the seismic of this Phase 2 region. And then there will be a Phase II study is ongoing to evaluate the possible tieback of Grigadeero. There are as well discoveries on this block and DSTs. And then Phase 4 is more exploration-driven phase with additional targets within tieback distance to the FPSO. This is Golfinho. This gives you an indicative plan of what we intend to do in the coming 5 to 7 years on Golfinho. But we are very excited with Golfinho. We see a lot of potential on the Greater Golfinho area, and we are looking forward to progressing the infill development program. Then I will give the floor to my colleague, Jerome, that will present you the Maromba project.

Thank you, Bruce, and good morning, everyone. So we were here a year ago to FID this Maromba project, and we are now in a full execution phase. So as a reminder, Maromba until production platform, wallet platform, which is a converted checkup that you see in the illustration here, which is being converted in Dubai and an FPSO, which is repurposed Polvo and being converted in Costco Dalian in China. So the key figures of the project remain the same. So we are targeting 60,000 barrels of oil per day from end of '27 with a plateau. This is developing 122 million barrels reserve at below $10 per barrel OpEx and a breakeven around $40 per barrel. So this is in the best ranking of the worldwide project today. We have a very good project here. And I'm pleased to report that we are executing on time and on budget. So this is per our target from last year. Going now in the different work stream. So the FPSO is in Cosan, as I said, we just completed the first dry dock. All long lead items are on order and all the vendors are confirming that they are on time. Topside refurbishment is ongoing, preparing for the new modules to arrive, and we are targeting sail away to Brazil in March '27. We platform is -- has arrived in Dubai end of last year. We've spent 3 months to do in-depth condition assessment to understand the full scope. We dismantled a lot of mechanical equipment to go for OEM refurbishment. And we are now working on the leg extension. So we've completed 2 out of the 3 legs. So we rotated the rig 2 weeks ago to be able to do the last leg extension. And then the next step will be to go to dry dock and then restart the unit before it leaves to Brazil. And the last work stream is the preparation for drilling. So we've purchased all the tangibles. They will be delivered by end of the year. We are tendering all drilling services and the O&M services. We are planning to get the rig to be operated by a third party in Brazil. And we will work on the mobilization of so we will work on the mobilization of the crew in Dubai to commission the unit before it leaves to Brazil. So the idea is to have a fully commissioned unit before we leave Dubai. So going now into details of the FPSO. So we've been in dry docks during Q1. Dry dock lasted 55 days. We've replaced 1,500 tonnes of steel. This is a key milestone for the refurbishment of the unit. So the FPSO is now back at side, and we're working on the refurbishment of the top side, preparing for the new module to arrive in Q3. So that's new boilers and produced water module. And the idea is to start commissioning activity during the summer. So we commissioned in stage, and we can ensure that we will be ready on time for March 27 away. We also plan to get ANP, the Brazilian authority to audit the FPSO end of the year. So we have some time to take their comments into the work we are doing in China and fix all snag list before we leave the Q side. So the jackup in Dubai. So this is a picture taken 2 weeks ago where we were doing the first 2 legs extension. We're using one of the highest cranes of the world. So this is the tallest in the Middle East. I've been actually on top of the leg. It's a bit scary to get there. So we are finishing this leg extension in June. We will be testing what we've done. So we will jack to the top. And then we are preparing to go to the dry dock. And in parallel of this activity, we are refurbishing all drilling equipment. So most of the critical equipment have been dismantled and sent to OEM, and they will start delivering during the summer. So cranes, BOP, draw works, all this is being refurbished, getting -- sorry, getting ready for drilling. Of course, the situation in UAE has changed from late February. We have closely monitored the situation for our people first. We have plan in place should the situation deteriorate. And as well, we have had to follow closely all the logistics. So some equipment had to be rerouted to other ports in the region. But so far, we managed to get all the supply to come to Dubai. And the other work we are looking at is the final towing to Brazil. Of course, almost straight is closed now and will be difficult to pass, but we are already talking with the HLB companies and trying to maximize chances to be able to leave. And so this is work ongoing to make sure that we don't get any delay. So this is the overall plan and how it's getting together in 2027. So FPSO will be told to Brazil from March '27 during 90 days. So the FPSO will arrive just before summer, and we have a couple of months of hookup and then commissioning. The wallet platform will arrive in Q1 '27 in Brazil. And the plan is to install a subsea template and then spud the first well. The idea is to have 2 wells ready when the FPSO is commissioned so that we can make first oil with 2 wells. So the first -- the flow lines are on time. So they will be delivered in U.K. in late '26, and we plan to install them from Q2 next year. So we are finalizing the tender for the installation vessel now in Brazil, being ready for chain, so the mooring of the FPSO and the self installation. And the drilling, so we will start in April '27 when the template is installed, and it's a 6 well program. Each well is around 53 days. So we will finish early '28, the drilling program. So this first phase of Maromba is 12 wells. So we are drilling 6 wells from next year, and then we will pause and then drill another 6 wells. This is not the final development. We see a lot more potential on Maromba. And one potential is carbonate -- so carbonates are actually being produced in the region by Pere have been produced in Pereguo and Polvo as well. And we want to use our platform to appraise those carbonates. So this is a finger shape reservoir you see in the illustration. And if we are successful, we could replicate our development model with additional platforms that we could install and keep a longer plateau on Maromba. So now I will update you on the -- on Namibia on Kudu. So Kudu is a gas field that was discovered in 1974. So there was 8 wells drilled in Kudu and 5 encountered hydrocarbons. This is 1.5 Tcf recoverable resources. And we've been doing a 3D seismic acquisition that allowed us to drill an appraisal well end of last year that encountered petroleum system, and we discovered liquid hydrocarbons. So the Cat-1 allow us to understand better the reservoir, but we've seen that we will need more appraisal program to be able to develop Kudu. And given this is not our core business to do this long appraisal program, we want to open a data room to bring in a partner to be able to do this program. Also, we see Kudu as very well located in the urban Orange Basin with all the other discoveries. This is a gas reservoir that could be a great hub for LNG and power. And so we are working on some potential development plans having Kudu as a hub. So this is the update for Namibia. And I will hand over to my colleague, Thomas.

Good morning, everyone. It's a pleasure to be here today. It's another exciting quarter for BW Energy. We have 2 big FIDs. So we're keeping fairly busy. With the current state of the macro environment, I think it's fair to say we feel pretty invigorated about our strategy as well as maybe slightly vindicated in our position as a growth-focused E&P. And it's nice to have such a vast opportunity set of organic growth opportunities that we can deliver on that Brice and Jerome took us through. Let's look at some numbers. We had higher oil prices in Q1, a healthy quarter. That converted to an EBITDA of $111 million. Q1 net profit was at $33 -- and we also reduced our guidance a little bit on the production side. As Price mentioned, this was because of the optimization of the rigs on MaBoMo Phase 2. We pushed 2 production wells in '27, put forward 2 appraisal wells. This will allow us to then effectively drill these wells sooner in a success case. So negative for '26, positive for Dussafu as a whole. More importantly, we had 2 new FIDs at Bourdon and Golfinho. This raises our long-term production outlook to more than 100,000 barrels a day by 2028, which we are excited about. We've also been quite busy on the financing side. We closed another sale and leaseback of the Jasmine rig. We signed a term sheet for the wellhead platform, the long-term well platform for Bourdon, and we also executed our accordion option on the RBL on Dussafu, which adds $100 million in liquidity next quarter. Moving into the presentation, starting with the current quarter and then moving to the long-term outlook. Production in the quarter was the same, 2.3 million barrels, same as Q4. Sales were slightly up. That is really because we sell our cargoes in kind of 500 to 1 million barrel parcels. Some quarters can slip into the next. Oil price was higher at $79 realized oil price, up from $62. That's really a function of -- we sold about half our barrels early in the quarter when oil prices were low, and we sold the other half later in the quarter when oil price was high. So that resulted in $79. Revenue side, the higher oil price and more sales, it puts us at $173 million. Let's take a look at financial -- sorry, our cash flow bridge here. We opened the quarter with $151 million in cash. Operating cash flow before working capital was $87 million. That was largely in line with EBITDA. Working capital change, probably worth mentioning what's going on here. We had a lifting at the end of the quarter where a substantial part of that was pushed into the following quarter. We also had an underlift position in Brazil, inventory accruing at $104 per barrel, which was the oil price in March, which added to this. On the investment side, we invested $126 million in Maromba and Golfinho Boost primarily, but that was as planned, and we also drew down some debt to support those financing activities. So that leaves us at $161 million in net cash at the end of '26 and liquidity of $333 million. Probably worth mentioning that I think Carl alluded to it, we -- in addition to liquidity, we have about $350 million in undrawn project finance facilities across the Maromba -- we platform and the FPSO. And next quarter, we're adding $200 million in addition between the RBL and the long-term lease. So worth noting. Turning to the balance sheet. I think the graph show a pretty clear story. We're leveraging the balance sheet to support our growth phase. Our interest-bearing debt has gone from $300 million a year ago to now -- that's according to plan, and that's what we said we would do a year ago when we were here. Leverage ratio is increasing naturally. A lot of these investments are, of course, EBITDA is coming '27, '28, '29. Quick equity is increasing. You can see the equity ratio dropping a little bit, again, a natural function of a growth phase. We're adding to the denominator total assets, which is then awaiting profit coming in '27, '28, '29. And liquidity, I think we've largely covered. So moving to the debt stack. You can see at the end of the quarter, we had now $1 billion in debt. That is across 7 highly diversified financial instruments, mostly are bank based. They have low cost, and they're quite efficient and long term. I think probably worth mentioning is a couple of things there. Firstly, that we've structured our debt. So most of our amortizations are happening after Maromba First oil. And a significant part of that, again, is very long-term infrastructure-based financing with 7- to 12-year amortization profiles. In addition, we've added some debt to the quarter, like we mentioned, $80 million on Janine as well as 200 million coming next quarter that's not currently reflected there in additional liquidity. Next, I'd like to spend a couple of minutes on how we think about our capital allocation framework. We have 3 tiers in order of priority. First is high-return growth investments. We have a very large organic opportunity set of fully operated opportunities with an IRR ranging in 30%, 40%, 50% at $60 oil price that we feel compelled to invest in. Secondly, we have a target to optimize our capital structure. And to be specific on what we mean here, so we have a baseline of efficient long-term infrastructure financing that we intend to keep. It improves our economics. It's long term, it's flexible. We have the other part, which is quite a bit of revolving credit facilities, either through RBL or on corporate level, which we want to repay after Maromba first oil. Once we've done that, then we have the firepower to keep investing in new opportunities as they come up. Lastly, we want to return excess cash flow to shareholders. We have a framework today where we can pay 50% of net profit as dividends after Maromba first oil. So we think this is pretty straightforward, and it's really what drives our decision-making day-to-day. Next, as we call it a strategy update, I felt compelled to make a slide that kind of explains how this all fits together. I think I see key 3 structural advantages that sets us apart. Number one, we can acquire proven reserves at an attractive entry price. There's not a lot of other oil companies our size that play in the greenfield space. So we're left mostly alone, which means we don't have a lot of competition. Also means that whether oil price is $50 or $150, you can still acquire barrels in the ground at a relatively low price. I mean, Maromba as an example, we acquired the -- or to date, we paid $0.30 per barrel 2P. And by the time we get first oil, we've paid roughly $0.90 per barrel of 2P in acquisition costs. Secondly, we're a full cycle field and infrastructure capable company. I think what is worth focusing on and Carl did as well is really the infrastructure, being able to manage, operate, deliver the infrastructure really sets us in a unique position when we develop new fields. It allows us to create efficient field developments that minimize cash at risk and also maximize returns and set up this phased approach. It's really where we see quite a unique opportunity set also in terms of how we finance the infrastructure, which is really how we unlock the greenfields through the financing as well. We've developed what we think is a creative low-cost infrastructure backed financing model. I can't take you through how that worked on Maromba as an example. Starting at the unlevered case, we have a 35% IRR at $60. That's already very good or I think Jerome said world-class returns, which I agree with. We then added the FPSO financing. And the FPSO financing is interesting because it really relates to the redeployment of infrastructure. When when we take a redeployment versus a new build or a new conversion, it's mostly pipe, steel, repair life extension, borrowing work, but it's shipyard work, which increased the local content of the project, which then enables ECA financing. So that's export credit agency-based financing because of the high local content. So countries try to get you to the country to do their project and they provide an insurance wrap around it. That then allowed us to finance the project 80%, 9.5 years door-to-door at circa plus 2.8% margin, which is competitive in our business. On top of that, we've added a we've created a greenfield infrastructure finance model with Chinese leasing houses. This has been something we've been working on for many, many years. It was always a core idea behind the B2B strategy. And now we're delivering on that. So in total, we have a very, I would say, repeatable model. We've done on Dussafu. We're doing it on Maromba and now we're about to do it on Bourdon. So let's take a look at our project pipeline. This is an extended pipeline. It shows really everything that we plan to do with what we already have. On the green side here, you can see these are projects that we have FID-ed or sanctioned that we are executing on. On the gray side, there are things that are coming. I think we covered a lot of that. The green side, it represents 222 million barrels of net reserves to B2B. These are our investments that have a portfolio NPV 0 breakeven of about $40 per barrel, which we think is quite strong. And I think the key takeaway here is you can see in Gabon, we're pretty much drilling for the foreseeable future. And in Brazil, we're doing the same. We're pingponging between Golfinho and Maromba for the next few years. And this really reflects our company's value buckets, as you can see. Moving to our sources and uses. Yes. So we have -- on the left-hand side, we have our sources on the right-hand side, where we're going to spend it. We're focusing on Maromba first oil. That's been -- that's -- we've done that -- we did that also last year. It's life before and after Maromba first oil, and Maromba is a little bit closer today than it was a year ago. We're 18 months away. And the reason we do that is because after Maromba First oil, we're pretty much self-funded and this graph becomes somewhat irrelevant at that point. But until then, we've added Bourdon and Golfinho FID to this to our users. We've added the financings that we discussed and also the ones that we're planning to add next quarter. And I think the key takeaway is that we are covered at $60 per barrel long-term oil price. So with these new FIDs, I'd like to show you a new slide that we've included that includes our phasing of CapEx. I think key takeaway here again is we -- well, first thing to note is we've increased our guidance from $500 million to $600 million to $600 million to $650 million off the back of the 2 new FIDs on Golfinho and Bourdon. I think it's also worth noting here all these projects in this CapEx pipeline are -- have a payback of about 1 to 2 years after first oil at $60 per barrel Brent for each respective project. So it's a strong CapEx spend portfolio. So in terms of growth and investments, I always like to think quality over quantity, but Peter is brimming with quality. So on to our production outlook. We've -- with the additional FIDs, we are now above 100,000 barrels in 2028. And with the additional wells, we'll be keeping it that way for a few years. In 2027, we're adding -- we're doubling our production due to MaBoMo and due to Golfinho Boost. In '28, we're doubling again with Maromba coming in line with 60,000 barrels a day. And then Bourdon and Golfinho is creating this run room here. And then I think we've talked about the upsides and appraisals that we're also working on through further exploration at Dussafu and work on Golfinho, et cetera. The next slide looks at how this translates into free cash flow generation for the company. It's a new slide we've added to highlight the significant value creation that's coming up in the company. It compares our enterprise value as of a few days ago, sitting at $2.4 billion with free cash flow at various oil prices. not to pick a particular one, but since the red line kind of lines up well with the $70 oil case, you can see at $70 oil price, the company pays itself back within 5 years. So we think this is a pretty solid investment case, of course. That concludes the outlook section. So let me just recap the updated production guidance for the year. There's been several revisions. We've talked about the production. It's due to optimization of MaBoMo Phase 2 and a delay to a vessel on Golfinho. We -- on the unit OpEx, that's naturally increasing, production down, OpEx goes up. But there's also some effect from higher oil prices. Golfinho is exposed to higher gas price, which is a function of oil price. And -- or both fields are exposed to diesel. But obviously, that's -- we disproportionate to the increase in our revenues. So -- it is what it is. CapEx we covered. G&A is unchanged. Then on to the investment case. Just to repeat it, B2B is a resilient company. We have a diversified growth model. We have more than 600 million barrels of reserves and resources that we are either executing on or will execute on. We're currently executing on projects that will bring us from 25,000 barrels a day to 100,000 barrels a day by the end of 2028. That's with a portfolio return of more than 30% IRR at $6 per barrel Brent. And with the free cash flow generation that we just looked at, that we will repay the company in about 5 years at fairly reasonable oil prices. So with that, thank you, and back to Martin for Q&A.

Yes. Great. We will start with questions from the audience and then move on to questions online. [Operator Instructions] So maybe we start from here, right? I have a helper here in the audience, too.

Teodor Sveen-Nilsen. Congrats on 2 FIDs, looks really promising. Just want to ask around the -- you talked about sustained production of more than 100,000 barrels after 2030. If you could give some more color on how you're going to fight decline, which exploration prospects, which appraisal wells that will ensure no decline or low decline after 2030. A second question, that is on the financials. Thomas, you mentioned the $125 million change for capital, which definitely hit that cash flow this quarter. How much of that is related to the late lifting? And how much should we expect to reverse next quarter? And final question, that is on dividends. You previously talked about dividends after Maromba first oil. You didn't say anything about that now. Can you just comment on how you think around potential dividends or buybacks in the future?

Maybe I could start in the reverse order perhaps. So I think on the dividend side, we mentioned it in our capital allocation framework. Post Maromba first oil, we have a framework to do up to 50% of net profit as dividends. That's something we intend to do as long as we don't have an abundance of 50% IRR projects to deliver on. So that follows the plan. And we've been consistent on that since the IPO really. It's just taken a bit longer than planned to get Maromba going. On the working capital adjustment, I need to get back to you on the exact split, but it's -- it will mostly be reversed due to the lifting and due also to the unlift position in Brazil. I'll get back to you on the exact split. Carl, do you want to take the question about delivering 100,000 barrels long term?

Well, I think what we try to illustrate is the quality of our assets is -- well, Dussafu or offshore Gabon is an extremely oily area. And I think we have managed through the appraisal activity we've done to unlock or to understand -- of course, you don't always find oil, but we now know that if we have a fix hole player, we have oil as long as we have a 4-way closure. So we do see significant upside. So this has revised our understanding of the Bourdon, Greater Bourdon area, where we see a lot of opportunity, and we now install an asset there, which then will allow us to appraise and put in production consecutively. So the next -- and that's why we have reworked our drilling schedule is to step out to Walt Whitman. Again, we know there's a discovery. It's already been done a long time ago, but nobody could unlock the area. Now we can unlock that area. And we reshot the seismic, we're reprocessing it. Again, we are very, very confident about the outcomes. It doesn't mean that every drilling we'll make will be a success, but there are so many targets that -- and there's -- we now understand the subsurface. So we are very confident about Dussafu. We see a little bit the same happening on Golfinho. And I tried to mention when you take over something like Golfinho with 20-year plus of history, there's a lot of data to digest. And it's taken our team quite a bit of time to go through everything and catalog everything and get a full perspective. We knew there were other discoveries with DSTs, with everything. But now we have had the time and opportunity to step through everything, rank it and structure it. So what we see is extremely promising from our way of thinking. So we see potential and don't take that as plus 1 billion barrels, but we see a 1 billion barrel potential as -- that's the potential price of Golfinho. So it's a huge potential. It doesn't mean everything will come in. But with the discoveries already made, we're looking at 200 million, 300 million barrels, and then we can kind of go from there. So when you are in an oil area, you find more oil. That's -- the more you drill, the more you understand, the more oil you find. That's what we're seeing. So we are extremely pleased with our assets.

So for me that Namibia is maybe not the key to sustain production above 100,000 barrels per day.

We are keen to try to unlock Namibia in the same way. But we do realize that the exploration game or the appraisal game, if you like, because technically, we're doing appraisal in Namibia as well because there is a discovery. And we have a production license. It's a bigger game than we prefer to play because every well is about $100 million. And if you want to do a drill stem test, you're talking $100 million plus. So in Namibia, we are thinking more, could there be potential partnerships. The other reason is there's a great potential for associated gas. Associated gas is complicated to monetize unless you have gas in addition. If you have pure gas deals, that's easy to monetize because you can produce gas and monetize gas. Associated gas, you don't like to try to monetize the gas. It's well known from the North Sea because you really want to run it on oil, not on gas. And that's complicated because anything you do with gas is commitments. It's either power station commitments or LNG commitments. So having a swing producer in a big associated gas play could be very valuable. So we're kind of looking to see if other operators in the region could have similar ideas. We -- well, we know from the press that there's been discoveries. We know they're very gassy. I mean I think it's a reasonable punt that it will be a gas play in Namibia at some point. And we think we could have -- we could play a part in it. But we think maybe this is an area where it's partnerships. That's why we're doing a data room to see if we could get dialogues going.

Steffen from DNB Carnegie. Three questions. On Dussafu and Adolo, could you remind me just the production capacity on the FPSO? And what's your ambition there for sustaining plateau now with Bourdon Phase 1 and 2 and Walt Whitman? My second question on Golfinho seems to be some more gas coming out there. I wondered what the offtake agreements are and what kind of gas prices you could realize there? And on the long-term sort of 100,000 barrels per day plus, could you provide some color on the CapEx required to sustain that level, normalized CapEx, if we assume BW is going to some sort of normalized territory within that time?

Would you like to take that?

So on the first question on the -- maybe I go there. On the nameplate of Adolo, there is -- we've done some study, and we can produce more than 50 actually would be the nameplate so far. We can produce more than 450, and we think we can reach a plateau at 500. All the technical study have been done. So no limitation on the top side of Adolo so far. Bourdon first phase will be between 12,000 and 15,000 barrels a day with the 3 initial wells. But we will maintain the plateau with the Phase 2. We want to start Phase 2 in '29. And we have more than 10 wells in the pipeline of the Greater Bourdon area, 10 targets on top of the 3 wells that we will put online in '28. So we hope that by the end of '29, early 2030, we will have the 12 slots producing from the Bourdon area if the appraisal happen to be successful. What was the last question?

Question on gas offtake.

Yes, gas offtake. So we own the pipeline, which is a great value in Brazil because we can sell gas onshore. We are actually working on the gas purchase -- sale and purchase agreement with companies on the market in Brazil. And we cannot communicate today the terms, but we are working on it at the moment.

On the long-term CapEx...

Yes, just to kind of cover that. I mean just to -- I think we've said this before, what we import that is about 10% of Brent. So you can kind of assume what we'd export that is roughly around the same price for the gas in Brazil. In terms of CapEx, it's a good question. We haven't done the exercise yet. So we've been focused on our projects. So -- and having a mix of subsea developments as well as exploration as well as drive, it's hard to kind of pin it down to a specific number to achieve an exact production. Was the question specifically on the company? Or was CapEx to keep that production level -- at Dussafu or B2B...

Total.

Total. So sort of just some sort of normalized cash flow number is what I'm trying to get at.

Yes. I will have to get back to you now.

But basically, to maintain the production, actually in Brazil, we will have the Phase 1 of Maromba with 6 wells and Phase 1 of Golfinho with 3 wells, then Phase 2 of Maromba with 6 identified wells, and we'll have Phase 2 of Golfinho that we already identified with 3 additional wells. and that will continue like that. After Phase 2 of Maromba, we will appraise the carbonates of Maromba that we will penetrate actually in Phase 1. So we'll have a flavor of it. And it's going to be the same process in Gabon. The good thing in Gabon is we have already the infrastructure and in Brazil as well. So the additional cost would be more drilling costs than infrastructure cost because the infrastructure we have in Gabon in Brazil can accommodate more production.

I think you can take a look at the slide with the investment outlook that obviously reflects then the project that's been sanctioned and then beyond that, we'll have to add some investments, I think, to keep it going.

[indiscernible]. It's been a thorough walk-through. I appreciate that. I wanted to touch upon the Maromba and potential execution risk there. You mentioned Strait of Hormuz is clearly closed. You want to have a sailaway of the platform there in late 2026. You're talking about with the heavy lift contractors to mitigate that risk, but how can you mitigate it if it's closed? Surely, if we get to late Q4 and Strait of Hormuz is still closed, we have bigger problems in the world. But how long before -- how much time do you have to contract that before you're starting.

Yes I will remember one thing. We're Chinese. Our rig is owned by the Chinese. -- and our heavy lift will be owned by the Chinese. So we're going to be Chinese when we go out to Hormuz.

Excellent point. But if there is a delay, you have a lot of CapEx on Maromba. How should we think about potential CapEx of runs if there is a delay into 2027 for that sail away?

Well, I think the biggest risk of delay, I agree we shouldn't just laugh Hormuz away, but we do think that we should be able to transit Hormuz because of our somewhat peculiar nationality. We think the bigger risk is in actually getting started and getting all approvals in Brazil. That's traditionally the risk. We have spent a long time reviewing every FPSO project and every other project that we have been able to get data on and what has been their issues, why have there been delays in approvals. So of course, we try to cover everything we can. Our sensitivity, we have run a sensitivity of 6 months, we can easily sustain. If we get more than 6 months, then we will be, I wouldn't say, in trouble because it depends again on oil price, et cetera, going forward, of course. So it becomes tighter if it's more than 6 months to put it that way. So our sensitivity is 6 months is kind of in our plan already up to 6 months.

Just if I may add, we want to start the drilling in 2027 to make first oil in September. So even though we will have the rig to come a bit later, we could still manage to do first oil next year, but maybe only with one well. So basically, yes, we may have a bit of delayed production, but not fully project.

Thank you. That concludes the questions from the audience. We have received some questions online, too. So perhaps, Bruce, could you just go through the plateau production at Bourdon Phase 1 and talk a bit about Bourdon Phase 2, how we anticipate taking FID on that?

Yes. So plateau production, 3 wells from 12,000 to 15,000, as I said. And then we will trigger Phase 2 in '29. And we have 10 additional opportunities in the pipeline for the Greater Bourdon area. So all these wells will come online as we appraise the Greater Bourdon area.

What makes the Bourdon development simpler compared to MaBoMo? And why did you go down this road?

Yes. So we try to leverage the asset that we have in Gabon. We have additional power capacity on Adolo. So it was cheaper to send the power from Adolo. If you want to generate power on Bourdon, you need to have a process to separate the oil, the water and the gas, take the gas, use the gas to produce electricity. So then it comes with a very expensive platform. The idea is to use the existing facility that we have. So we will send the gas directly to Adolo, process the gas and produce electricity and send the electricity directly on the platform of Bourdon. It's not very expensive to pull an additional subsea cable to MaBoMo -- and actually, it's going to be quite a good saving in diesel consumption, and we will reduce as well the greenhouse gas emission of the whole field. And on the manning, we have quite a strong platform on MaBoMo with people to -- enough people to operate the platform of Bourdon. So the idea is to install boatings and use crew boats to transfer the crew of MaBoMo to operate the Bourdon wet platform. So every morning, the team will go there to operate the platform, but we will use the existing team we have already on site and optimize the OpEx of the fields.

Good. And maybe just to round off the Sfu area. There's a question regarding the option exercise of the Adolo FPSO in 2028. Is that included in the CapEx guidance?

So it's not included. We have a purchase option of 100 million.

2026. So we have not included books in 2028. And it's subject to agreement with BW Offshore. But logically, if the field delivers this trajectory, then it will likely be more profitable for us to take the purchase option relative to paying a tariff and the rate.

Yes. We'll come back to that later. And some M&A questions. On M&A and greenfield versus brownfield, you've taken a contrarian approach by leaning into greenfield projects, while most of the market has gravitated toward brownfield opportunities. Has that gap in appetite started to narrow? I'm sure you got a finger on the pulse when it comes to most recent developments in the M&A market.

Gap narrowed. I didn't quite.

Gap between the brownfield and the greenfield market.

I don't know. I mean it's an interesting question. But I would say we're pretty -- we're kind of alone in the greenfield space, while we see that the brownfield is getting increasingly crowded. And in particular, I would say brownfield is now also the arena for local indigenous companies. So -- but these days get financing from the traders at a totally unprecedented level. And the traders have a lot of money. They've obviously made a killing in the market lately. And they are very active supporting local indigenous companies. So we see the brownfield market as crowded. And the greenfield market is very open. But there is not that many greenfields in the market. That's true. You have to find them.

Perhaps also allude a bit to what is the vision for BW Energy for the future regarding exploring other countries and also give a status on the Angola acquisition.

I think we can say that, yes, we have a strategy, but we also have other strategies. So we're not really -- I mean, we are participating in land drilling in Namibia. So we are not bound by a particular strategy. But we're cognizant of what we're good at. So of course, if it is offshore, if it's some involves assets that we are very familiar with, we are good. We know what we know. We are not particularly good at operating on land because we don't operate on land. But I think strategically, if we saw an opportunity, we would still go there. We're not -- we're more driven by the opportunity and then we're really driven by a set strategy, I would say. So we are -- yes, we would look at anything with interest. We have also looked at other areas of the world like Far East, but we just haven't found the right opportunity. We're picky about the opportunity, but we're not really picky about where...

Yes. Good. One final question on hedging. To what extent will you hedge the Maromba production?

I can take that one. We will not hedge Maromba production until we get the first oil because that would be speculation. So once Maromba is producing, we may follow our current company policy, which is to hedge about 40% of our net entitlement in the next 12 months and then 25% the following 12 months, plus/minus.

All right. Thank you. That concludes -- one more question here.

A very quick one on M&A. Is it a prerequisite that assets would have to be operated? Or could you be partner as well?

Yes, we could be a partner as well. But we prefer to be operator. But of course, given the right opportunity, if we saw a pipeline of development opportunities where we could play a role, active role, we could also consider to be a partner. Again, we're quite flexible on the strategy. We're not hung off -- we're okay to be opportunistic.

All right. That concludes the presentation. So thank you for showing up here today, and thank you for attending online.

Yes. Thank you so much for your participation and interesting questions. always enjoyable to do this face-to-face. So have a very nice day.