And so you would incur the crew cost. But like I said, we have signed two contracts so far optimistic that we are going to get them all done and mitigate that, but that would be the work exposure. Is it really is it the crew cost? Phillip, you want to anything?
Philip Choyce: Yes. For the rigs, when we are successful going kind of on these first two, there was really no, I mean, just other than a long rig move, there were no incremental transportation costs and really no incremental crew costs. So to the extent we are successful going from contract to contract kind of direct continuation that $3 million to $4 million guidance we gave if you go to zero, it’s going to be hard to do that on all 5. So we are probably a little ahead right now on where we thought we would be with these first two. And so we will just have to wait and see. But it’s not a big financial. The rig moves a small part of it. The biggest part is just how we handle the crews if there is a month or two of whitespace between contracts.
Steve Ferazani: Make sense. Thanks for that. Last one for me in terms of how you are handling the toggle notes now, it sounds like you are saying €“ you are switching, are you going to be paying cash interest without given the limited CapEx you are now expecting this year or the less than you are previously?
Philip Choyce: Yes. So, we had previously guided to we would start paying cash interest in March. I think we could look at doing that March of 2024. I think what’s on the table now is we could start paying cash interest beginning of September. I think if you look at our working capital, we need to improve that and that’s starting now. And we have got some items related to the rigs reactivated, and at 12/31, we are going to pay that and then we will look to increase our cash balance. And we will make the decision in September whether to pick interest for that, or pay cash at that point in time. The other kind of thing that’s available to us is, under the indenture, the mandatory offers we started offering to pay back at par beginning in June of this year, $5 million a quarter of notes.
I don’t know whether the note holders will except that or not, but that will be a use of cash, that will help de-lever the company as well if they accept those offers. So, there is a couple of different things moving there.
Steve Ferazani: Great. Philip, Anthony, thanks for the responses this morning.
Anthony Gallegos: Yes, sir. Thank you, Steve.
Operator: The next question comes from Dave Storms with Stonegate Capital Markets. Please go ahead.
Dave Storms: Good morning. Appreciate you all taking my call. So, just starting with the delta between the 200 rigs and 300 rigs. I thought I remember right, in the last quarter there is approximately 2,500, wasn’t you sure if that has changed, now with the market changing, you are moving rigs from Haynesville to the Permian?
Anthony Gallegos: No, I don’t think it’s changed. Dave, the only thing that has changed and its positive is in the fourth quarter, we were successful in converting one of those from 200 series to 300 series. And that was very, very important for us, because we needed to prove it technically, but also prove it commercially that, look, we are making the capital investment that €“ and it’s very modest amount, right. I think we said $650,000, that we actually can earn and return on that. And we ticked all of those boxes with that conversion. So, as the marketing team is sitting here today, and thinking about the placement of the rigs that we are moving, for example, which are predominantly 200 series rigs, they have that optionality.
