Bruno Montanari • Morgan Stanley

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CFO Camilo Barco stated that if prices fall below breakeven, the company would flexibilize investments while prioritizing production and reserves, and intensify efficiency efforts. The dividend policy of a 40-60% payout is expected to remain, but could be reviewed in extreme scenarios. Regarding downstream, an executive confirmed that major refinery overhauls were completed in H1, and no further significant interventions are planned for H2, suggesting operational pressures should ease, though external risks like light crude supply remain.

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An executive, Sylvia, attributed the strong production growth to the better-than-expected response of pre-salt reservoirs. She noted that while the ramp-up of new platforms is significant, planned shutdowns will level off the growth, but the company remains on track to hit the upper end of its annual target. CEO Magda Chambriard added that a key challenge is advancing the revitalization of '2P' (proven and probable) reserves to reach a production level of one million barrels per day.

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Fernando Melgarejo, Executive Director of Finance and IR, clarified that Q1 cash CapEx was impacted by a payment carryover from Q4 2024, which will normalize after Q2, and reiterated the full-year guidance. Sylvia dos Anjos, Executive Director of E&P, noted that Q1's scheduled downtime was planned and that recent exploration successes also contributed to the positive outlook.

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President Magda de Regina Chambriard confirmed that advancing CapEx was a strategic move to protect project timelines and ensure deliveries at lower risk, aligning with production guidance. She and Executive Director of Exploration and Production, Sylvia dos Anjos, explained that 2024 production was affected by both scheduled maintenance catch-up post-COVID and unexpected stoppages from a strike at the Ibama environmental agency. They affirmed that all planned shutdowns are incorporated into future production forecasts and that new maintenance units are being hired to improve efficiency.

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CFO Sergio Leite stated there is no set date for the dividend distribution, but it will be reassessed within the fiscal year, with the board constantly reviewing the volatile market. On pricing, Leite and Commercialization Director Claudio Schlosser explained their strategy avoids passing short-term volatility to clients by operating between a marginal floor price and a customer alternative ceiling, which has proven successful.

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CEO Horacio Daniel Marín stated the development plan for the new assets will be decided with partners Shell and CMP, with a focus on creating synergies with nearby facilities. CFO Federico Barroetaveña addressed the debt, noting that over 50% of 2026 maturities are local. He said YPF will begin addressing them in late 2025, leveraging the strong local market appetite for its bonds, which has been demonstrated by recent successful issuances.

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CEO Horacio Daniel Marín stated that the development plan for the new assets will be determined in collaboration with partners Shell and CMP to prioritize activity and achieve synergies. CFO Federico Barroetaveña addressed the 2026 debt maturities, noting that over 50% are local. He explained that refinancing efforts would commence in late 2025, expressing confidence based on recent successful issuances in the local market.

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CFO Alejandro Basso responded that while the midstream services had a very good EBITDA this quarter, TGS expects this business to continue growing. Regarding the liquids segment, he confirmed that the plant resumed full operations on May 7, implying profitability would normalize from that point forward.

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CEO Miguel Galuccio explained that La Amarga Chica shares the same high-quality rock and geological continuity as Vista's adjacent blocks. He stated that while Q1 performance was lower, Q2 production ramped up significantly, confirming their forecasts. Galuccio emphasized the strong collaboration and technical information exchange with operator YPF, which he believes will create synergies and improve costs and productivity for both assets, including optimizing well designs and border development.

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Chairman and CEO Miguel Galuccio projected Q2 production to be north of 110,000 boe/d, accounting for 75 days of consolidation. He stated that there are no immediate plans to alter the drilling, completion, or CapEx plans for Q2, with a more significant production increase from new wells expected in Q3.

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CEO Miguel Galuccio explained that Q1 2025 production is expected to be flat to slightly lower sequentially. This is a planned delay to align with the Oldelval pipeline expansion ramp-up. He emphasized focusing on the full-year growth target of 35% to 40%, reaching 95,000 to 100,000 barrels of oil equivalent per day, with a significant production ramp-up planned for Q3 and Q4.

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Chairman and CEO Miguel Galuccio stated that after exiting 2024 at 85,000 bpd, the 2025 average target of 95,000-100,000 bpd implies an exit rate above 100,000 bpd. He noted that while total capacity is 124,000 bpd, he expects spare capacity in the Oldelval pipeline, reducing reliance on trucking.

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Executive Rodrigo Alves responded that portfolio strategy is a combination of factors, emphasizing that strategic project execution and portfolio quality will not be compromised. He noted that Cosan influences subsidiaries by providing challenges and best practices for robust capital allocation. Alves confirmed that while urgent liability management is complete, there are still opportunities to reduce the cost of debt and tighten spreads when market conditions are right.

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Executive Tabajara Costa described Ultragaz competition as short-lived. CEO Marcos Lutz identified the main Hidrovias synergy as knowledge sharing to improve agribusiness logistics. Executive Leonardo Linden and the CEO of Ultra affirmed support for the CBios program but called for fundamental adjustments due to widespread non-compliance, which threatens its viability.

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