Parex Resources Inc.

Q2 production averaged over 54,000 BOE/day, supported by the first month of Frontera volumes. Management did not state quarterly revenue, EPS, or gross margin on the call. On an adjusted basis, Cameron Grainger said second-quarter results excluded $59 million of one-time transaction fees and realized hedging losses. Looking ahead, Parex reaffirmed second-half 2026 guidance, expecting funds flow from operations of $475 million to $525 million and capital expenditures of $275 million to $295 million at a $90 Brent assumption.

Imad Mohsen framed the quarter as a major transformation for Parex, saying the company has become Colombia’s largest independent E&P and is now focused on synergy capture and operational execution. He emphasized three growth pillars: integrating Frontera and the Magdalena partnership, expanding the Eastern Llanos exploration program, and advancing high-impact exploration in the Llanos Foothills, starting with Piedemonte this fall. His tone was notably confident, saying he has never felt more confident about the company’s direction.

Cameron Grainger described Q2 as an inflection point that sets up materially higher cash generation as the transformed business takes hold. He said the quarter included $59 million of one-time transaction fees and realized hedging losses, and reiterated second-half guidance of $475 million to $525 million of funds flow from operations versus $275 million to $295 million of capex at $90 Brent. He also flagged rising costs from energy prices and Colombian peso appreciation, with production costs trending toward the upper end of guidance, while Vasconia differentials have widened and affected realized pricing.

There was no analyst Q&A; the operator noted that there were no further questions. The prepared remarks therefore carried the key messages: integration is progressing smoothly, the first wells at Casabe and Llanito are about to start, and management is monitoring cost pressure and differentials. The call did not surface additional pushback beyond the commentary on higher costs and market variability.