Excelerate Energy, Inc. (NYSE:EE) Q1 2024 Earnings Call Transcript

Steven Kobos: Thank you. With that, I don’t want to dig out too much on what we can — how we can AMG these assets. But yes, that’s one option. That’s a decent-sized option. You can put a skid on for efficiency. So all going to depend upon how a particular market or customer utilizes their asset. Are they sending out a maximum every day, 365 or there are periods of time because they’re balancing the hydroelectric where they’re looking at other factors? So each market, each project has a very specific tweak to a base asset, and we understand that well, and we are in discussions with a number of customers about those optionalities.

Wade Suki: Okay. Great. Yes, I was trying to understand how a customer might be using that capability or maybe this would be a new type or maybe a different type of application for one of your vessels.

Steven Kobos: Yes, I think, in general, it would be somewhat with an intense seasonal demand where they’re just going to sit there for part of the year and make a more robust use in other parts of the year. Anyway, we do have a good technical team. We know how these assets operate. We have a long track record at this point. And obviously, we consider all the best ways to upgrade them. As I mentioned before, upgrades are just how you keep a happy customer, how you seek to increase return on basic contracted assets, and how you increase contract length. So it’s an important part of the shop.

Wade Suki: Further optimizing the asset, I guess, would be another way to think about it. And along those lines, I guess, beyond upgrades, looking at the existing portfolio, existing set of assets, are there other sort of smallish one-off things you can be doing to kind of further optimize the existing portfolio?

Steven Kobos: Yes. I’m not going to pull the curtain back entirely wait, but yes, we’re going to keep–

Wade Suki: We can’t pay me for trying here, right?

Steven Kobos: No, no, no. But I assure you, the best way of thinking about this, we value the asset class. The asset class has a long useful life, and we will do what is necessary to ensure we are driving value from those assets for their entire useful life.

Operator: And there are no further questions. I’d like to hand the call back over to Steven Cobos for any closing remarks.

Steven Kobos: Excelerate Energy is a compelling growth story. I just want to leave you all with the thought that we are essential to ensuring energy security and accelerating the energy transition. Thank you all for joining us this morning.

Operator: This concludes today’s conference call. Thank you, everyone, for joining. You may now disconnect.