Paramount Resources Ltd. (POU) Earnings Call Transcript & Summary

Good morning, and welcome to Paramount Resources Annual General Meeting that is being held this morning by audio webcast on this date, May 7, 2020. I would now like to turn it over to Paramount Resources' Chairman of the Board, Mr. Jim Riddell.

Okay. Good morning, ladies and gentlemen. This is going to be a slightly different meeting for Paramount Resources than what we've seen in the past, and I guess, as a result of current circumstances relating to COVID-19. So you'll hopefully bear with us and accept the format that we've chosen to deliver the meeting in this year. So I'd ask that the meeting come to order. Again, my name is Jim Riddell. I'm the President, Chief Executive Officer and Chairman of Paramount. I would like to welcome you to this Annual Meeting of Shareholders of Paramount Resources Ltd. For the purposes of moving the business of the meeting along, certain proxy holders have been asked to move and second the motions to be brought forward before the meeting. The first matter to address is the appointment of scrutineer. Computershare Trust Company of Canada is Paramount's registrar and transfer agent. Computershare is represented today by Stephanie Tuss and Farah Lecomte. If there are no objections, I appoint them to act as scrutineers of the meeting. The notice calling this meeting, a proxy form and the information circular respecting this meeting were mailed on April 1, 2020, to all shareholders of record as of March 20, 2020. The confirmation of mailing is available for inspection by any shareholder. I have been advised by the scrutineers that a quorum of shareholders is present. I direct that the scrutineers' report on quorum be attached to the minutes of this meeting. Due notice having been given and a quorum being present, I declare this Annual Meeting of Paramount Shareholders to be regularly called and properly constituted for the transaction of business. The business of this meeting consists of the following: presenting Paramount's 2019 financial statements, electing directors and appointing auditors. No vote is required with respect to the financial statements. Voting on the election of directors and appointment of auditors will be by show of hands. As the first item of business, I place before the meeting the consolidated financial statements for the year ended December 31, 2019, and the report of the auditors thereon. A copy of the financial statements has been mailed to the registered shareholders and all beneficial shareholders who have requested one. The next item of business is the election of directors. In accordance with Paramount's articles, the directors have fixed the numbers of -- number of directors to be elected at this meeting at 8. May I have the nominations?

Mr. Chairman, my name is Paul Kinvig, and I am a duly appointed proxy holder. I nominate the 8 persons whose names are listed under the heading Election of Directors in the Management Information Circular to serve as directors for the coming year, specifically, James Riddell, James Bell, Wilfred Gobert, John Gorman, Dirk Jungé, Robert MacDonald, Keith MacLeod and Susan Riddell Rose.

Thank you. I can confirm that no other nominations were received prior to the meeting in accordance with the advance notice requirements of the corporation's bylaws. All those in favor of the election of the nominees, please raise your hand. [Voting]

I declare that the persons nominated have been duly elected as directors of Paramount to hold office until the close of the next Annual Meeting of Shareholders. Detailed voting results on this matter will be disclosed in a report to be filed shortly after the meeting. The next item of business is the appointment of auditor. Paramount's current auditor is Ernst & Young LLP. Ernst & Young has been Paramount's auditor since inception. The Audit Committee and Board of Paramount recommend the reappointment of Ernst & Young as Paramount's auditor. Since auditors are appointed by shareholders, I ask for a motion to appoint the auditor.

I move that Ernst & Young LLP be appointed as the auditor of Paramount to hold office until the close of the next Annual Meeting of Shareholders.

Thank you. Will someone second the motion?

Mr. Chairman, my name is Mitch Shier, and I'm a duly appointed proxy holder. I second the motion.

Thank you. All those in favor of the motion, please raise your hands. [Voting]

I declare the motion carried and Ernst & Young LLP duly appointed as the auditor of Paramount to hold office until the close of the next Annual Meeting of Shareholders. That brings to an end the business of the meeting. Because shareholders and guests have been unable to attend in person this year, there will not be a presentation. I would like to thank our shareholders for listening today, for their continuous support of Paramount. I will entertain a motion to conclude the meeting.

Mr. Chairman, I move that the meeting be concluded.

Will someone second the motion?

Mr. Chairman, I second the motion.

All those in favor, please raise your hand. [Voting]

I declare the motion carried, and this Annual Meeting of Shareholders concluded. I would like to make one other, I guess, additional comment, and that's just to make special note of John Roy. John Roy has been a Director of Paramount for 39 years. And as -- will not be -- was not standing for reelection this year. But I did want to thank John for his invaluable guidance and contribution to Paramount over the last 39 years, and we wish him best in the future. Thank you very much.

This concludes today's webcast. Thank you.