Ecopetrol SA (NYSE:EC) Q2 2020 Earnings Conference Call - Final Transcript

Aug 05, 2020 • 11:00 am ET

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Ecopetrol SA (NYSE:EC) Q2 2020 Earnings Conference Call - Final Transcript

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Presentation
Operator
Operator

Good morning, my name is Hilda and I'll be your operator today. Welcome to Ecopetrol's Group Second Investor Day. Today we will discuss the financial and operational results for the second quarter of 2020 and the 2020 and 2022 business plan update. [Operator Instructions] Before we begin, it is important to mention that the comments in this call by Ecopetrol's senior management include projections projections of the company's future performance. These projections do not constitute any commitment as to future results nor do they take into account risks or uncertainties that could materialize. As a result, Ecopetrol assumes no responsibility in the event that future results are different from the projections shared in this conference call. The call will be led by Mr. Felipe Bayon, CEO of Ecopetrol; Alberto Consuegra, COO; and Jaime Caballero, CFO. Thank you for your attention. Mr. Bayon, you may begin your conference.

Executive
Felipe Bayon Pardo

Good morning, everyone, and thank you for joining us during the second Ecopetrol's investor days in 2020, where we will discuss operating and financial results for the second quarter of the year and the 2020, 2022 business plan update. On behalf of Ecopetrol, we hope you and your families are keeping safe during this very difficult time. We reiterate our gratitude for your participation in this conference call and your permanent support in other events hosted by the company, especially under the current circumstances.

First of all, I would like to highlight that the life and well-being of our employees remain as our main priority to cope with the current challenges caused by this pandemic. Currently, about 80% of our employees continue to work remotely, thanks to our digital transformation. In order to ensure the well-being of our employees and their families, we have decided to maintain the remote working scheme for the rest of 2020, for those employees whose task allowed. For 2021, we will continue to assess a progressive and safe return of these employees to the workplace.

Since March, as part of our contingency plans, we adjusted our operations by reducing our drilling and projects reference in Colombia from some 300 during the first quarter of the year to 50 workers in April. By the end of June, thanks to the progressive increase in activity levels, some 200 workers were active. Activity will continue to increase as we confirm favorably and safe conditions to operate.

As part of our commitment with the communities where we operate, we have already announced COP88 billion in social investments through our social investment program named Apollo Price with COVID-19 emergency. This program is mainly focused on the delivery of food kits, fire safety elements, medical equipment, strengthening the health system in the country's support to technological initiatives and solidarity with those families that most needed in 21 departments where we operate. This has been possible thanks to strategic alliances with different entities.

Please let's move on to the next slide to discuss market conditions. In line with the guidance we provided, our previous earnings conference