Pampa Energía Q1 2026 Earnings Call - Rincón de Aranda Drives Record EBITDA Amid Heavy CapEx and Strategic Urea Pivot

Raquel, Conference Moderator, Pampa Energía: I would like to welcome everyone to Pampa Energía’s Q1 of 2026 Results Video Conference. We would like to inform you that this event is being recorded. All participants will be in listen-only mode during the presentation. After the company’s remarks, there will be a Q&A session. Please send your questions in writing through Zoom chat. If anyone needs assistance, please send us a message in the Zoom chat. Before continuing, please read the disclaimer on the second page of our presentation.

Let me mention that forward-looking statements are based on Pampa Energía’s management beliefs and assumptions and information currently available to the company. They involve risks, uncertainties and assumptions because they are related to future events that may or may not occur. Investors should understand that general economic and industry conditions and other operating factors could also affect the future results of Pampa Energía and could cause results to differ materially from those expressed in such forward-looking statements. I will turn to Lida.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Thank you, Lida. Hi, thank you, Raquel. Hello, everyone, thank you for joining us. I will make a quick summary we can spend more time on the Q&A with the senior management. Today, we have our CEO, Mr. Gustavo Mariani, our Head of Oil and Gas, Mr. Horacio Turri, and our CFO, Mr. Adolfo Zuberbühler. In Q1, production exceeded 100,000 barrels of oil equivalent per day, reaching a new quarterly all-time high, driven by the sustained ramp up at Rincón de Aranda and higher gas outputs under the new power generation framework. Rincón de Aranda, which began ramping up a year ago, is now producing approximately 25,000, right? barrels of oil per day today.

We, with the new regulatory framework, we also had a positive impact on our power generation segment as our non-PPA CCGTs benefited from stronger spot margins, dispatch margins. Also, leveraging our solid balance sheet, in April, we successfully issued $200 million in three-year bullet notes at a highly competitive rate of 5.49 fixed rate. Adjusted EBITDA amounted to $325 million. This is a 48% up year-on-year. As mentioned before, Rincón de Aranda gas operations and power generation were the main contributors. Rincón de Aranda alone represented 17% of the quarter’s total EBITDA, increasing 8x versus Q1 last year. Quarter-on-quarter, EBITDA grew 41%, supported by synergies between gas and power businesses, as Rincón de Aranda and Genelba CCGTs self-supply gas for thermal dispatch, enhancing spot margins.

The CapEx rose 36% year-on-year to $242 million during the quarter, of which $163 million were invested in the development of Rincón de Aranda. Moving on to slide four, the oil and gas Adjusted EBITDA was $104 million in Q1, 2.5x last year, driven by Rincón de Aranda, higher gas production for self-supply to our thermal power plants, exports, and industrial demand. These factors were partially offset by lower realized crude oil prices and higher royalties, transport, and treatment costs associated with the production growth. Rincón de Aranda contributed 54% of the segment’s EBITDA in this quarter, up from the 15% last year. Quarter-on-quarter, EBITDA increased by 36%, mainly due to higher gas demand for CCGT self-supply and exports to Chile.

As we mentioned before, total production averaged more than 100,000 barrels equivalent per day, primarily contributed by Rincón de Aranda and Sierra Chata, partially offset by lower outputs from our non-operated blocks and in El Mangrullo. The production mix continued to diversify, with oil accounting for 19% of total production, entirely driven by Rincón de Aranda. Lifting costs averaged $6.1 per BOE. This is down 11% last year and 23% sequentially, explained by higher oil and gas output, outpacing a stable cost base and the divestment of mature non-operated oil assets. Gas lifting costs decreased 10% year-over-year to $0.90 per million BTU, and 23% quarter-over-quarter lower. This is supported by higher gas output. Oil lifting costs declined sharply to below $10 per barrel from $41 in Q1 last year.

Thanks again to Rincón de Aranda’s ramp up and the divestment of mature fields. Focusing on crude oil, output multiplied by six year on year to 19,500 barrels per day as Rincón de Aranda ramp up following the commissioning of the duplicate trunk pipeline last April, last year’s April. Realized prices averaged $58 per barrel in Q1. This is 15% lower than last year due to the oil hedge. Without the hedge, realized prices will have been more than $69 per barrel, resulting in approximately $21 million of additional revenue. Exports accounted for 55% of total volumes sold in Q1. At Rincón de Aranda, the ramp-up continues to progress as planned.

Average production during Q1 reached 18,200 barrels per day across 43 producing wells, up 7% quarter-on-quarter. In Q1 last year, production was below 1,000 barrels per day. During Q1 this year, six wells were drilled and 16 wells were tied in, of which seven came online last March, bringing the quarter’s exit rate to more than 21,000 barrels per day. For the remainder of the year, we expect to tie in an additional 20 wells and reach 20,000 barrels per day milestone by mid this year, mid-2026, supported by the second temporary facility that was commissioned in late March. We target a production plateau of 45,000 barrels per day once the central processing facility and the Vaca Muerta Oil Sur pipeline are online.

It is worth noting that Rincón de Aranda completed its first full year of operations with clear efficiency gains already visible. Drilling performance improved from 200 meters per day on the first pad last year to nearly 330 meters per day on the most recent pad. This is more than a 50% improvement. Completion activity also improved from almost seven to nine stages per day, an increase of over 30%. This improvement reflects the team’s consistent execution and shorter cycle times across the development program. On March 9, we submitted the project’s application to the RIGI incentive program, which is expected to accelerate the development in the northern area of Rincón de Aranda, support a fast ramp-up and sustain plateau production for a longer period.

The estimated investment under the project amounts to $4.5 billion, including new shale oil wells and associated infrastructure. Approval remains pending. Okay, moving on to the gas. Production grew 17% year-on-year and 28% from Q4 to almost 14 million cubic meters per day, driven by gas sales supply to our CCGTs under the new power market framework, higher exports to Chile, and stronger industrial demand. Exported volumes increased 65% year-on-year from 900,000 cubic meters per day to 1.5 million cubic meters. We expect this level to continue throughout the remainder of the year. El Mangrullo and Sierra Chata, our two operated blocks, accounted for 88% of the total gas production.

No new wells were connected during the Q1, although a new pad tied in during the Q4 at Sierra Chata explains the 70% year-on-year growth, while El Mangrullo just dropped slightly 7%. During the quarter, Sierra Chata drilled three new wells, so completed the four-well DUC pad. For the second half of the year, the plan includes drilling two additional pads and tie in one pad before the winter, aligned with the seasonal gas demand from our power generation business. At El Mangrullo, the plan is just to drill a six-well pad, which will remain as a DUC inventory. Gas prices averaged $2.9 per million BTU, flat year-on-year, due to the export, lower export prices offset by higher retail prices as tariffs increase above peso devaluation.

In Q1, 47% of our gas was sold under Plan Gas GSAs through commercial retailers, down from the 82% exposure last year following the transfer of said GSAs to our CCGTs. As a result Interco consumption, or actually inter-segment consumption, increased to 32% of total sales, compared to just the marginal 2% last year. Under the new framework, we expect approximately 40% this year’s production to supply our own power generation assets. As for power generation, the slide seven, we posted Adjusted EBITDA of $144 million in Q1. This is 11% year-over-year and 30% quarter-on-quarter increase. Mainly driven by stronger spot margins at our CCGTs under the new guidelines in the wholesale electricity market, which operates under a marginal pricing system that benefits efficient units.

Total availability fell though to 90%, mainly due to the ongoing outages in Güemes since January last year, and the outage that we had in the gas turbine number four in Loma de la Lata, this is not a CCGT, which is expected to return to service in next month, in June. A scheduled maintenance at Paraná. However, Pampa’s thermal availability continues to outperform the peers in the national grid, as you can see in the chart. In addition, 32% of our installed capacity was contracted in the B2B market, whereas PPAs with CAMMESA or in the MATER, covering the levels before the implementation of the framework. Regarding the extension of the Perito Moreno gas pipeline and its final sections toward Buenos Aires metro area.

On April 15, TGS awarded the tender’s first tranche corresponding to 4.8 million cubic meters per day out of the 12 m per day of expansion in the transportation capacity. This is 40% of the expansion. Pampa secure 3.2 million cubic meters per day, representing 27% of the expansion capacity and two-thirds of the first tranche tender. The transportation contract is for 35 years, under take or pay, or in this context is ship or pay, and requires prepayment of the first 15 years of tariffs, which in our case amounted to approximately $330 million, VAT included. Payable in four installments with final maturity in next year, April. The expansion is expected to begin operations during the winter of 2027.

Participation in this gas pipeline expansion is underpinned by a clear economic rationale. Under the new power market framework, electricity generated using gas transported through new infrastructure such as the Perito Moreno and its final sections expansion, captures the full dispatch margin when sold in the spot market with a FRA or FRA equal to one. A new deregulation guidelines creates two key drivers of profitability for Pampa. We secure additional transportation capacity for additional gas produced from our upstream operations for self-supply, enable further monetization of our reserves. Second, it enhances the profitability of our power generation assets, particularly our CCGTs. Turning on to the cash on page eight, we show the parent company figures aligned with the Pampa parameter.

Free cash flow was negative $404 million in the Q1, explained by collateral requirements related to the oil hedge, extensive CapEx at Rincón de Aranda. On top of that, we have the payments associated with last year’s CapEx, and a slightly higher days of sales outstanding, offset by strong EBITDA generation. As a result, cash and cash equivalents stood at $677 million at the quarter end, $414 million less than Q4. Finally, on the balance sheet, gross debt as of March was nearly $1.9 billion, similar to the end of 2025. The net debt rose to $1.2 billion, representing a net leverage of 1.5x to the last 12 months EBITDA. This concludes our presentation.

Now the floor is open for questions. If you have a question, please send it through Zoom chat. We will read it and answer in the order received. Make sure your name and your company is displayed correctly to introduce yourself to the audience. Should any participant have need help, please send us a chat message. Please hold while we poll for questions. Thank you. Okay, Guido Bizzozero from Allaria. Considering the awarded 3.2 million cubic meters of gas capacity in the Perito Moreno pipeline expected for May, well, yeah, in winter 2027, how much annual revenue and EBITDA contribution do you expect from this? Can we forecast a similar award? First, how much do you expect?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: How much do we expect is? It’s not an easy number to provide because it will depend basically on what will be in the winter of 2027 and in future winters, what will be the prices, the marginal cost of the system. That will be dependable on prices of LNG and prices of diesel oil and how many days during the winter those fuels will be set in the marginal price in the system. To give you a rough idea, we think it could be. But again, this is dependable upon many estimates, but could be in the range of $100 million. That is basically what we are expecting because of as Lida explained, with this, firm capacity of gas, we will be able to capture the full margin, not only the 15% margin, the 15% that the current regulation allow us to capture.

Lida, Investor Relations / Presentation Lead, Pampa Energía: This year, no.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: This year. That, yes.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: This 15% increases up to 35% by year.

Lida, Investor Relations / Presentation Lead, Pampa Energía: 2028.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: 2028.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: No. I think it’s 2030, no?

Lida, Investor Relations / Presentation Lead, Pampa Energía: No, no. 2028.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Okay.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: That is the rough estimate for power generation, and there is an additional increase in the EBITDA coming from the E&P segment because of I don’t know if you have the figure in Horacio.

Horacio Turri, Head of Oil and Gas, Pampa Energía: There, as Lida Wang and Gustavo Mariani mentioned, additional gas being dispatched into the market. That would represent approximately around $50 million-$60 million of additional EBITDA for the E&P business.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Very conservative, yeah. Conservatively.

Horacio Turri, Head of Oil and Gas, Pampa Energía: Yeah.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. Of course, from our affiliate, TGS.

Horacio Turri, Head of Oil and Gas, Pampa Energía: Yeah, that’s right.

Lida, Investor Relations / Presentation Lead, Pampa Energía: That’s it. That’s the 27% of that, right?

Horacio Turri, Head of Oil and Gas, Pampa Energía: That’s right.

Lida, Investor Relations / Presentation Lead, Pampa Energía: That’s the package.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: On the other hand, we are prepaying for this transportation capacity. Within the four installments in the next 12 months, we will be paying to TGS, prepaying the transportation tariff to TGS for the next 15 years, and that amounts to $330 million. $280 plus VAT is the exact figure.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Correct. Can we forecast a similar 30% award for the second tranche of 7.2 million cubic meters per day next June?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Gas distribution companies has a preference over-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Priority.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: -a priority over power generators. Gas distribution companies decided not to participate in the first tranche of the auction. That was where you had to prepay the tariff. That’s where we were very aggressive on securing this gas transportation. In this second tranche, the gas distribution companies have a priority over us, so it will depend on the level, the amount of gas that they need to secure. On whatever is left from the distribution companies, we may be able to secure a similar percentage as we secure in the first tranche.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Awesome. All right. Should we expect any results? Nothing, nothing to do with it. Any results for the expiration of Los Nihuiles hydropower plant concession, if we have any money? No, nothing.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: No, nothing.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: None.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Likewise for Diamante.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yes.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. Both concessions is like we shake hands and that’s it.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Basically.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Basically. We noticed a decrease in power generation EBITDA margin. It is explained by the self-procurement gas on the new tariff scheme. How do you expect to evolve in the coming quarters?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Can you read the question?

Lida, Investor Relations / Presentation Lead, Pampa Energía: It says the EBITDA margin reduced in power generation. I know why. Let me tell you. Now with the new regulation, right, we have more sales because we are selling gas on the MP through the electricity, right? Before we didn’t. Before it was a pass-through, right? It’s like, kind of like inflate. It was very low sales, but the EBITDA normal, you know what I mean? Before it wasn’t like, apples to apples, we have a bunch of things. Now it’s like what it should be. Like, you are selling electricity with the associated fuel, right? The right price. No, no longer, something like a cost plus situation. Of course, the EBITDA represents that. That’s. It’s not like we are losing profitability. It’s just now it’s more apples to like for like.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: No. Actually, in the contract, no, the margins have increased.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Increased, yeah. That’s right. The EBITDA, the what it matters.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yes.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Is that the EBITDA.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Nominal margins are increased, but the total sales-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: -have increased significantly more because now you have to deduct the cost of-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Right.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: -of fuel. nominal numbers are better, the ratio is worse.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Worse. It’s more comparable to another utility in the world.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yep.

Lida, Investor Relations / Presentation Lead, Pampa Energía: I hope the, if not, let me know. Could you give some color about the increase in the working capital in the quarter? We saw an increase in trade receivables of around $500 million. Let me tell you. The working capital, as you can see, mostly of this $343 million is like $250 is for the oil hedge, collateral requirements, that you got. Well, you can. Or actually, Adolfo Zuberbühler can tell you it’s better.

75% of $75 million of payments of last quarter’s, last year’s actually, CapEx. We increased the PPA last year, we are paying it this year. Very little, $20 million of higher DSO, days of sales outstanding, small delays on the payments. Now it was last year’s December, it closed at six days of delays. This quarter, it closed at 12 days, so it’s a six-day deterioration, just nearly six days. Now it’s back to seven days of DSO. Now it’s back to normal, putting it in this way. You wanna add something? Well, let’s move on. How do you expect to evolve the free-

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: I would say it’s very normal with increasing sales that we have to have a higher-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: -working capital.

Lida, Investor Relations / Presentation Lead, Pampa Energía: That is correct. How do you expect to evolve the free cash flow in the following 12 months, considering the installments to be paid to TGS, the CapEx, plan for Rincón de Aranda, and any other disbursements for projects like CIESA and urea in the future?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Vito, you wanna answer that?

Vito, Finance/Treasury Official, Pampa Energía: Sure.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Vito.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Vito.

Vito, Finance/Treasury Official, Pampa Energía: Sorry. Good morning, everyone. As you can perfectly see, we are undergoing regular investments. This was reflected in our net leverage that increased to 1.5x as we expected. Going forward, EBITDA is growing as well. In fact, this is our record quarter, we’re very thrilled that our investments are paying back. The base case is if we continue with our base plan or base scenario, is that EBITDA keeps growing, the company will naturally deleverage. In fact, if we don’t pursue new projects, net leverage will go to zero in two or three years.

That being said, we will probably need to increase gross debt to finance this high CapEx and, for example, the TGS expansion. The growth of debt will go in line with the growth of EBITDA, so we expect net leverage to keep around 1.5x this year and gradually go down as Rincón de Aranda starts to ramp up and all the investments start to profit to deleverage again. Going forward, that is why, going forward, we’re going to have no leverage. We are pursuing or we are studying new investments and new alternatives to apply our future free cash flows.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Thank you.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Thank you, Vito. Next, Santiago Herrera from Allaria: Could you give us some color Urea project, future deployment of CapEx and expected sales and EBITDA contribution beyond the year 2030?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Let me say this Urea project. as you know, we have been working for a while, and we continue working on several fronts. That includes engineering of the plan, negotiating the EPC with potential suppliers, environmental permit, the project finance. All of this takes a lot of time. The reason why the project had a lot of publicity lately was we engaged IDB and IFC for the project finance. They published the environmental permits in their websites, and that gave publicity to. This is part of the process. They need to have this public for at least six months before being able to move forward. That’s why, it was published a couple, I think like a month ago.

All in all, the decision has not been taken yet. This will be such an important move for Pampa that obviously the moment that we decide to move forward, we will do an IR Day to fully explain why we are moving forward with this project. To give you some color Urea project, i think we already went through in previous call about this. Probably Argentina is one of the few gas-producing countries in the world that imports urea. 65% of the cost of producing urea is natural gas. Another 10% or 15% is electricity. Two products where Argentina and Pampa, it’s very competitive.

Developing urea is a way to monetize our very competitive gas reserves. The other rationale is that not only Argentina is importing from the Middle East and from Russia and from the whole South America. South America has a deficit of 10 million tons of urea per year that we are importing. The plant that we are envisioning is a 2 million tons per year of urea. In terms of sales, at normal historical prices, that would be sold for around $1 billion.

Today, because of the disruption in the Middle East, at current prices of urea would be almost twice that much. Again, it’s a project that makes a lot of sense for Pampa, that we are working on several fronts, and we hope to take the final investment decision by the end of the Q3 or at some point in the Q4 of this year. Once we do that, you will be fully informed about all the details.

Lida, Investor Relations / Presentation Lead, Pampa Energía: As we always do. All right, cool. Could you give us some color about the RIGI application for the northern area of Rincón de Aranda? What means this $4.5 billion investment above the already $1.5 billion plan for the area? Could you clarify that? How do you expect this may accelerate and sustain the plateau in the future?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Okay. The full field development for Rincón de Aranda, it’s in the range of $4.5 billion. That takes into account both the drilling and completion of our wells and all of the midstream infrastructure needed through the life of the project. Basically, that investment, will de-develop both the south of Rincón de Aranda, which is, so far the most productive rock we’ve seen in the area, and also the northern block of Rincón de Aranda, which will enable the production plateau to be sustained for approximately six to eight more years.

Lida, Investor Relations / Presentation Lead, Pampa Energía: All right. Well, the next question from Santiago is regarding Transener. Can you give us a dimension of what this power transmission grid expansion represents for the country? For Transener, if it was awarded regarding CapEx, revenues or EBITDA, do you expect a significant change in prices versus the current framework scheme?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Say again?

Lida, Investor Relations / Presentation Lead, Pampa Energía: If you feel like with the current framework scheme, the wholesale prices of power will increase a lot or not.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Will decrease. Regarding grid expansion, high-voltage grid expansions, I don’t think there is anything new, other than some press, nothing has been published lately by the Secretary of Energy as I believe. We are expecting the government to do an auction for new power lines, basically to strengthen the supply of energy to the AMBA area.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Buenos Aires.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Buenos Aires metropolitan area. That will be the first auction to be launched. Transener could participate as any other. The difference for Transener is, even if not awarded the construction of the line, Transener regulatory-wise has the supervision of, collects 3% of the total cost of the new line constructed. Obviously Transener has very good competitive advantage to be awarded the operation and maintenance. Again, we are still waiting and nothing has been decided yet by the Secretary of Energy on power transmission bid.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. Until then, we are still curtail in the power generation, right? There is not much we can do.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yeah. A few hours or days in a year there’s some restrictions.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Well, there’s the next question coming from Alejandro Demichelis from Jefferies. With growing CapEx at both Pampa and the subsidiaries, could you please indicate how do you see financing for the projects and for the group, and the level of leverage do you see Pampa getting into the next two, three years? Two, three years is a lot.

Vito, Finance/Treasury Official, Pampa Energía: It’s going back to the question I answered before. In two, three years, if we don’t pursue any other new projects like the Urea plant, we will have no debt. Okay? In the meantime, when we grow, we have opened all the pockets for financing. Our bonds are trading greatly in the international market, we can tap that market if needed. We have the local market that recently we issued $200 million at 5.49%, which is a very competitive rate. As I explained before, we probably will increase our gross debt. However, in terms of leverage, we will keep the leverage because our EBITDA is growing fastly. As you can see, this is our record quarter.

You will see us issuing more debt, but keeping leverage levels in this area of around 1.5x and going down to zero in the coming years. That being said, if we pursue a new project like the Urea plant, this might change. As Gustavo explained, this is very early still to give any guidance. We have to define the financial structure of that project and see how that will impact in the short term leverage. We naturally will impact, but we have to have more clarity on the numbers to give any guidance. It’s early to say.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool. Next question comes from Matias Cattaruzzi from AdCap. He’s asking, other questions are already answered. Net debt leverage ratio, answered. The third question, though, is Medanito Brent spread tightening material with the premium now passes or moves. Is there room to capture this improved spread in the remaining quarters, or does the hedge effectively cap realization for the full year?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: The hedge is related to the market, to Brent. Any premium on top of Brent will be captured by Pampa.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Well, next question comes from Gustavo Faria from Bank of America. He asks, power sector, new framework, how are the discussions with the clients, I guess, in the math, right? Or in the B2B market, to fulfill the energy generation capacity available for PPAs, B2B PPAs. Are you being able to fulfill the capacity available, or is there any some spare capacity?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Okay. Yeah. The new regulations separated the market into energy and capacity. For energy, for legacy capacity, generators are allowed to sell up to 20% of the expected energy production on B2Bs. We have already completed that very fast, very efficient, thanks to the strong commercial team that we have and something that we have always been used to because of our participation in the former Energía Plus market and the MATER market.

We have always been very active. We have a huge, several hundred clients that we provide energy. I think we were the first one in Argentina to complete the sale of the 20% of energy available to sell. Regarding capacity, we can sell all our capacity. I think we are, we’ve sold around 30% or 30% to something percent of our total capacity. That will take more time to be completed. I mean, Once we sell capacity, it provides us an additional market to the, an additional margin to the price that we sell capacity to CAMMESA.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: That will take time because it’s larger number.

Horacio Turri, Head of Oil and Gas, Pampa Energía: That was expected.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yes.

Lida, Investor Relations / Presentation Lead, Pampa Energía: All right. Okay. Next question from Gustavo Faria, which it’s partially answered. It’s about the fertilizers plant, but it’s associated with you, Horacio, which he asks how much CapEx comes from the higher gas production at the gas fields from associated from the fertilizers project.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: How much will be the additional CapEx?

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Horacio Turri, Head of Oil and Gas, Pampa Energía: Urea project will come in line in 2030. That will be after the Plan Gas ends. Therefore, we still need to understand what’s gonna be our mix of sales by 2030. Eventually, it will. That’s why I’m mentioning, because the amount of CapEx needed will depend on how much additional demand Pampa would like to engage.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Service, yeah.

Horacio Turri, Head of Oil and Gas, Pampa Energía: Exactly, to service. If we decide eventually to reduce our sales to the, let’s say, residential market and keep that gas to Urea project, then the CapEx is completely different as it, on the other hand, we decide to supply the urea on top of all of our additional demand.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. Correct. Good answer. The next question is for you, Gustavo. What will be the commercialization strategy for the fertilizers in 2030?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Okay. No, I just about Argentina currently consumes about less than 2.5 million tons per year of urea, and approximately half of that is locally produced by Profertil. Our first option will be local prices, local demand. Given the restraints on the project finance that require us to sell, to export a higher percentage in the first few years, probably we’ll be exporting to the neighboring countries. All our neighbors consume urea from Middle East, Russia, and exactly the opposite side of the world. Again, too soon to tell what will be our commercial strategy, but it will be domestic and an export sales.

Lida, Investor Relations / Presentation Lead, Pampa Energía: All right. The people from Latin Securities, Alejandro Christensen and Jorge Gasztowtt ask, how is the treatment plan on Rincón de Aranda progressing, and which quarter do you expect it will COD?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Okay. It’s progressing with no problems at all. Some minor delays on the desalinization modules that were scheduled to come from the UAE.

Lida, Investor Relations / Presentation Lead, Pampa Energía: From Dubai.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: From Dubai. To answer your question, the plant will be commissioned by the month of March 2027.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool. Have you hedged any production beyond Q1 2027 so far this year, or do you plan to?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Basically, we have one year forward. Yes, we probably will continue with the hedging strategy moving forward, probably not so aggressively as we’ve done this year. During the ramp up, we wanted to ensure the stability of the results. That’s why we decided to hedge 100% of our production. Going forward, as production continues to grow, we will be reducing the percentage of the quantity hedge to probably around 50%.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool. Next question, in the gas supply for the intersegment procurement structure, is the structure as a fixed price contract? He’s asking how much power generation is buying the gas from E&P.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Okay. How much, what amount of gas?

Lida, Investor Relations / Presentation Lead, Pampa Energía: No, prices.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Prices. Prices are regulated by CAMMESA. There is a maximum price which is linked to the, let’s say, LNG FOB Argentina. It’s 55% of that. That’s the prices which we sell, quote, our gas to our own power plants.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah, during the summer, it’s just like the Plan Gas free market.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: During the summer, it’s the Plan Gas.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. Inter-intersegment-wise, it will be, like, very similar to what is Plan Gas, right?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: No, no. It’s significantly higher.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Oh, really? Oh, yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: The Plan Gas has a price for the summer and another price for the winter.

Horacio Turri, Head of Oil and Gas, Pampa Energía: It’s approximately, let’s say, $2.something and $5. Today, with the markers that we are looking at for the May, the month of May, we are looking at prices that are around $10 per million BTU for this generation segment.

Lida, Investor Relations / Presentation Lead, Pampa Energía: We are capturing all.

Horacio Turri, Head of Oil and Gas, Pampa Energía: It’s almost twice the planned price.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. We are capturing all of it.

Horacio Turri, Head of Oil and Gas, Pampa Energía: That we’re capturing right now.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yeah.

Lida, Investor Relations / Presentation Lead, Pampa Energía: But, but-

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: It’s just to allocate-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Who gets that?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: -revenues or margin between-

Horacio Turri, Head of Oil and Gas, Pampa Energía: Yes

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: the power segment and the E&P segment. It’s-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool. He says, should we expect the variable cost component, known as CVP, recognized by CAMMESA to remain broadly stable over the time, given its structure? Actually, the CVP is not stable because as Horacio was saying, it’s seasonal. In winter, CVP shoots up because of the cost of gas, right?

Horacio Turri, Head of Oil and Gas, Pampa Energía: Yes. I would say that is the first time in many years that Argentina is showing the correct price signal in the gas market. This means that the price significantly escalates during the winter and is very, very cheap during the summer. If this continues, this should be reflected in the gas market.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Is there a positive spread between the CVP, you declare to CAMMESA and what your intercompany gas procurement costs? Actually, no. In order to be competitive, no.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: No.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Can we have like a spread against what we declare before CAMMESA, in CAMMESA, what the real CVP is, actually? No.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yeah. It’s part of our commercial strategy, the declaration of the CVP. That’s something that we do every two weeks.

And-

Lida, Investor Relations / Presentation Lead, Pampa Energía: So, so-

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: It’s part of the commercial strategy, declaring your CVPs, not necessarily the real CVP. No. There is a margin included in the CVP that you declare to CAMMESA, yes.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yes. Yeah, it’s a 25%.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Well, it depends.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Every week is different.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Different. Yeah. CAMMESA does declare, does calculate theoretical CVPs. You cannot go very different from what you declare. What you declare, you can go very different from what theoretically CAMMESA calculates for you. You cannot say $1 CVP.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: If you declare expensive, you are not dispatched.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah, no.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: if you declare below the cost,

Lida, Investor Relations / Presentation Lead, Pampa Energía: You are not making money. Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: I sorry. I don’t understand it.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: I think we answered that. Let’s move.

Lida, Investor Relations / Presentation Lead, Pampa Energía: How should we think about the release timing for collateral post against the oil hedges? Has Pampa had to post any additional margins since March 31st?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: I think not today. Eventually at one point during the summer, we had to post higher collateral than we. As prices came down, we recovered. I think today we are more or less at the same level.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. Correct. Well, Sorry. It’s gonna be six hours. Lisa Belen from Morgan Stanley, she asks, under one of the easy one: Could you give me some color from the gas export perspective in the coming quarters, Horacio? If there’s any sales to Brazil? How is Chile evolving?

Horacio Turri, Head of Oil and Gas, Pampa Energía: Okay. Our exports, base, are basically to Chile, all of them, both through the GasAndes pipeline and the Gasoducto del Pacífico pipeline. We are hitting $1.5 million of exports, and it’s been pretty stable, and that’s what we foresee for the rest of the year.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Well, this is a very, like I think we didn’t answer is, do you expect RIGI for Rincón de Aranda to be approved the next few weeks?

Horacio Turri, Head of Oil and Gas, Pampa Energía: I don’t think so.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: If you take a look at, initially, RIGIs were approved in two, three months, the first few RIGIs that were approved. For other RIGIs, it took six to seven months. Although we are pushing and trying to get the approval as fast as possible, I think it will take a few more months.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Once approved.

Horacio Turri, Head of Oil and Gas, Pampa Energía: Number one, just one clarification on what Gustavo said, is that even if we get approved, let’s say two months from now, the benefits will apply for the pads number 14 and 15 that have already been drilled and completed after the date of our presentation, of the submittal of the request for RIGI. So-

Lida, Investor Relations / Presentation Lead, Pampa Energía: All right. Once approved, what’s the next steps from there? Nothing. It’s just working, right?

Horacio Turri, Head of Oil and Gas, Pampa Energía: Enjoying.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Enjoying. Well, no, work. Work.

Horacio Turri, Head of Oil and Gas, Pampa Energía: Yeah, work.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Francisco Cascaron from Bank Vontobel, he’s asking, "My question will be regarding the OCI or other comprehensive income results in the ARS balance sheet. We have also USD balance sheet as well. Can you explain the loss approximately of, I don’t know how much, in, ARS 300 billion, that’s $13. Is it related to the losses not perceived for the production hedge for the rest of the year?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yes. It’s reflected in the-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Other comprehensive income.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Exactly. That is, that will be offset with future physical sales of oil at higher prices. That price is an unrealized.

Lida, Investor Relations / Presentation Lead, Pampa Energía: I know.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yeah, it’s not reflecting in EPS.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: It will compensate with future higher sales of the physical oil.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Also, can you give us explanation of the ARS 184 million jump in financial derivatives instrument on current liabilities? Is exactly that, right? It’s the mark to market. Mark to market. All right. Andres Inocenciano from Balanz. What price is Pampa hedged for the year going forward?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: The average price until April next year is ARS 65.

Lida, Investor Relations / Presentation Lead, Pampa Energía: ARS 65.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: ARS 65.

Lida, Investor Relations / Presentation Lead, Pampa Energía: ARS 65. Brent.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Of course, this is the Brent mark.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Agustin Pacheco from Banco Mariva. Power gen, CapEx just $2 million in Q1 versus $35 million quarterly D&A. Is this a 1Q timing effect, or should we recalibrate our maintenance CapEx assumption lower going forward? What normalized annual level do you consider appropriate for the current asset base?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: I think it’s in the range of $70 million, no?

Lida, Investor Relations / Presentation Lead, Pampa Energía: Correct.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Like $70 million-$80 million average annually per year. There are some years that are significantly higher and some years that is lower. That depends on the major maintenance that the turbines need to go through every several years.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Average, around $80 million. That’s why it is just a coincidence that this Q was so low. This year it should be in the average range.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah, yeah. $70 million budget. The quarterly D&A or the D&A actually is because we are a functional currency in dollars, so we are increasing PPE and we are doing the D&A. That’s why. We have increases in the past few years, so it’s a normal amount.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Yeah. Probably the ARS 35 million that he mentions in previous year, it’s not only maintenance, but it’s probably the end of the PEPE VI, the wind farm. The end of, I think it was in the Q1 of this year, payments related to the last.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Wind farm.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: The last wind farm that we built.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Correct. Alvaro Garcia from BTG, he’s asking what are the expected losses from the hedging strategy in 2026 and 2027.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: This is, we don’t consider that a losses. The goal when we decided the hedging policy was to ensure stability of results, especially during the ramp-up and the first phase of the development of Rincón de Aranda. At the level that we hedge, we secure a very good profitability and IRR for the project. Obviously, now that prices are higher, it’s something that we knew it could happen. It could go the other way, as it did last year, and we profit from this strategy. The strategy is to provide stability to the results. That was the goal. That’s it.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool. It’s 12:00 P.M. We have, like, three pages of questions. Like, a lot of questions.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Different questions? Of different subjects?

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah, like, can you imagine? What Daniel Guardiola from BTG, he’s asking main benefits on the deregulation. We already covered that, he’s asking when the first PPAs with CAMMESA are expiring and what is expected the impact in UV, EBITDA. The first PPAs, the first one is expiring in July this year. It’s a very small one, 35 MW. Next year is another 300 MW. Then until 2035, we have the 400 MW of CCGT in Genelba. I will say, roughly speaking, the most important amount is next year’s 300 MW. In total, they represent this roughly 400 MW together. They roughly represent $100 million EBITDA today.

With the deregulation and the fact that the east side of the country will get more gas transportation, and we don’t know what’s gonna happen in another long time, it depends on the international prices and so on. The impact because of the deregulation is smoother than before. It’s lower EBITDA, of course, but it’s not like a sharp drop like we used to preview before with the regulated peso spot market. urea business, what’s the IRR lever in dollars now?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: That, I think we already covered urea.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah. If shares continue trading at these multiples, why not prioritize aggressive share buybacks instead of pursuing inorganic growth? What inorganic?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: urea, I think it’s mentioned.

Lida, Investor Relations / Presentation Lead, Pampa Energía: That’s organic.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Organic?

Lida, Investor Relations / Presentation Lead, Pampa Energía: You are doing by yourself, so it’s organic.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: You’re not buying.

Lida, Investor Relations / Presentation Lead, Pampa Energía: M&A is inorganic.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: inorganic. Okay.

Lida, Investor Relations / Presentation Lead, Pampa Energía: We have a lot of things to do.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: It’s a question that has many answers. I think we’ve been very aggressive when there was an opportunity to be very aggressive. In the future, if there is another opportunity to be very aggressive, we will be very aggressive again. On the contrary, exactly, one point to take into account is the liquidity of the stock. Definitely the buyback that we did had an impact on the liquidity of the stock. There are several issues to take into account. Obviously, the attractiveness of the investments that we are doing, we think are competing extremely well with the possibility with the buyback of shares.

Lida, Investor Relations / Presentation Lead, Pampa Energía: All right. Gamze Alper from Impera Capital from Turkey. She’s asking, what’s the well inventory of Rincón de Aranda, including the North? Can the production go over 45,000 barrels per day?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Okay. The total inventory, it’s more than 300 wells, out of which two-thirds is in the South, one third is in the North. Obviously, the production can go up to more than 45,000 per day, but that’s what we consider a reasonable plateau because that’s what we dimension our CPF for. How many years she asked? How many years of production?

Lida, Investor Relations / Presentation Lead, Pampa Energía: No, no. She, she says, if it stays at 45,000, how many years can you keep up the plateau?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: If we-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Taking account the number.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Taking that into account the size of our processing facility, we expect approximately 15 years of production at 45,000.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Fair enough. [Warrior] has more questions. He’s asking: What’s the expected EBITDA and free cash flow generation for 2026? Let me give you a disclaimer here. We don’t give guidance. This is Argentina, but we can share with you what our forecast of the budget with this, right? What’s the expected EBITDA and free cash flow generation-

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: For 2026.

Lida, Investor Relations / Presentation Lead, Pampa Energía: 2026. Actually, no generation. Outflow for 2026, right. We don’t give guidance, but we can share with you the budget, which is the EBITDA for the parent company. It’s around $1 billion, composed by $600 million from E&P and $400 million and something from power generation. Beware that this is not including the JV with Paraná. A little bit over $1 billion, of course. Corporate and petrochemicals are negative. That’s why it’s rounding, it’s $1 billion. In the consolidated level, it’s including the TGS and Transener’s share, equity share. It’s around $1.3 billion. In the free cash flow, this is including the prepayments of TGS, CIESA, San Matias and Vientos.

It’s around outflow of around $400 million, free cash flow outflow. Have you considered to grow inorganically in the oil window Vaca Muerta? This question he always asks. This is record. He asks. Good. How is an inorganic Vaca Muerta oil project ranking in terms of risk-adjusted IRRs Urea project or the San Matias pipeline? That’s a good question, though.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: A good question. We are permanently looking at opportunities in oil, in the shale oil window. It is very hard to give an IRR because it will very much depend on the quality of the asset. I would say that for a good asset, definitely we will be tempted to go ahead into inorganically operation.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Regarding San Matias, it’s not a project itself. It’s part of the Investment. The investment of the floating LNG project, it’s done by the same shareholder structure of CIESA, of the whole project.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool. Another question from, I don’t know how it pronounces, sorry, but it’s Gil Golet from Scotland Macau Capital. The first question about the hedge is answered, the second question is very funny. It’s worth asking. It’s, with abundant gas potential in Argentina, what about petrochemicals? It is barely profitable, or does it make sense to keep it, or would you consider selling it to simplify the company? You sold the mature oil fields.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: We are looking for alternatives. It’s. Nothing is on the table at this point.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Cool. Edward Palmer is asking: Given the negative cash flow generation, are you planning to raise additional debt or is it a focus on improving working capital management?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Well, we always have to have high liquidity to keep all our options open. Yeah, it could be the case that we decide to continue tapping the market in the medium term.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Now with all this, let Okay. Ignacio Lopez from Puente. He’s asking: I would like to ask the outlook for gas settlement, particularly considering the increase in production and the lower exposure to Plan Gas. Could you share your expectation for local gas prices this year, especially for bonds traded outside Plan Gas? I guess he’s asking about all the industries or

Horacio Turri, Head of Oil and Gas, Pampa Energía: He’s asking about the market in an overall view, I think.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Yeah.

Horacio Turri, Head of Oil and Gas, Pampa Energía: As we mentioned before, it’s the first time in many years that they are giving the right signal to the market. Our view is that the gas prices for 2026 are gonna be higher than last year.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Indeed. Now with the war more. Yeah.

Horacio Turri, Head of Oil and Gas, Pampa Energía: With the war, particularly in the domestic market, with the possibility of selling your gas at an alternative, at least a percentage, the alternative import parity.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Correct. Okay. Armando Moretti, he’s asking: Do you plan to pay dividends?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: No.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Correct. Jorge Mauro, given that this is the last one, I swear. That’s true. Okay, 10 minutes more. Sorry. Sorry for that. 12 minutes. It won’t happen again.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: That’s-

Lida, Investor Relations / Presentation Lead, Pampa Energía: Thank you so very much. I don’t know if you would like to add some comments?

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: I think we covered all.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Covered all. Next earnings is on August. Okay. Thank you very much.

Horacio Turri, Head of Oil and Gas, Pampa Energía: Thank you very much. Thank you for your attention.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Thank you.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Thank you.

Gustavo Mariani, Chief Executive Officer (CEO), Pampa Energía: Bye.

Lida, Investor Relations / Presentation Lead, Pampa Energía: Have a good day.