Isabella Pacheco

Isabella Pacheco asked about AXIA Energia's expected leverage ratio by the end of 2026 and the company's comfortable minimum cash position, including any associated policies.

Answer

Eduardo Haiama, CFO of AXIA Energia, explained that the methodology considers a five-year horizon, and 2026 leverage won't differ significantly from 2025 due to investment peaks ending in 2027, with substantial deleveraging expected from 2027. He stated there's no specific minimum cash number, but a large corporation requires significant liquidity, suggesting BRL 20-30 billion, never below BRL 10 billion.

Isabella Pacheco asked about AXIA Energia's expected leverage ratio by the end of 2026 and the company's comfortable minimum cash position, including any associated policies.

Answer

Eduardo Haiama, CFO, clarified that the company's methodology uses a five-year horizon, not short-term. He expects 2026 leverage to be similar to 2025 due to ongoing investments, with substantial deleveraging starting in 2027. Regarding cash, he stated that reduced risks mean less need for high liquidity than previously. While there's no fixed minimum, he wouldn't go below BRL 10 billion, suggesting BRL 20-30 billion is comfortable given current operations.

Isabella Pacheco from Bank of America asked for details on Colombian production, specifically if there were any operational disruptions beyond natural declines and for a production breakdown by key asset.

Answer

COO Rodolfo Terrado explained that Q1 production exceeded guidelines with no major surprises. He detailed that CPO-5 is delivering according to plan with successful workovers, and while the Llanos 34 drilling campaign started slightly late, a new rig is achieving significant cost and time savings. He also noted the impact of the Llanos 32 divestment and the shut-in of the Platanillo asset.

Isabella Pacheco from Bank of America asked for an update on Gran Tierra's current oil price hedging strategy.

Answer

CFO Ryan Ellson reiterated the company's consistent hedging strategy, which aims to hedge 30% to 50% of production six months out and 20% to 30% for the subsequent six months. He confirmed that the company is actively working to increase its hedge positions to meet these targets.

Isabella Pacheco of Bank of America requested an update on Gran Tierra's current oil price hedging strategy.

Answer

Executive Vice President and CFO Ryan Ellson confirmed the company's strategy remains consistent: to hedge 30% to 50% of production six months out, and 20% to 30% for the subsequent six months. He noted that they are currently looking to increase their hedge positions to meet these targets.

Isabella Pacheco from Bank of America requested an update on Gran Tierra's current oil price hedging strategy.

Answer

Ryan Ellson, EVP and CFO, reiterated the company's strategy to hedge 30-50% of production six months out and 20-30% for the following six months. He confirmed they have a good hedge position in place and are looking to increase it to meet those targets.