Comstock Resources, Inc. (NYSE:CRK) Q4 2022 Earnings Conference Call February 15, 2023 11:00 AM ET

Company Participants

Jay Allison - Chairman and CEO

Roland Burns - President and CFO

Daniel Harrison - COO

Ronald Mills - VP of Finance and IR

Conference Call Participants

Derrick Whitfield - Stifel

Charles Meade - Johnson Rice

Umang Choudhary - Goldman Sachs

Bertrand Donnes - Truist

Jacob Roberts - Tudor Pickering Holt & Company

Leo Mariani - MKM Partners

Paul Diamond - Citi

Operator

Thank you for standing by, and welcome to Comstock Resources Fourth Quarter 2022 Earnings Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. [Operator Instructions]

I would now like to hand the call over to Jay Allison, Chairman and CEO. Please go ahead.

Jay Allison

Steve, I like your tone, you kicked it off right. So, thank you. Welcome to the Comstock Resources fourth quarter 2022 financial and operating results conference call. You can view a slide presentation during or after this call by going to our website at www.comstockresources.com and downloading the quarterly results presentation. There, you'll find a presentation entitled fourth quarter 2022 results.

I am Jay Allison, Chief Executive Officer of Comstock. With me is, Roland Burns, our President and Chief Financial Officer; Dan Harrison, our Chief Operating Officer; and Ron Mills, our VP of Finance and Investor Relations. If you would, please refer to Slide 2 in our presentations and note that our discussions today will include forward-looking statements within the meaning of securities laws. While we believe the expectations of such statements to be reasonable, there could be no assurance that such expectations will prove to be correct.

Now good morning, everyone are you all having fun yet? We see that smile I know you're all out there. I hope you are. The world of natural gas is ever changing and we do recognize that at Comstock realizing that natural gas prices have fallen over 70% since September of last year. We made the call to drop two rigs or 22% of our operated nine rigs to ensure we are positioned for a rebound in natural gas prices in the future.

Now most natural gas research analysts will tell you that they expect a substantial amount of the additional 11 Bcf of feed gas needed by LNG shippers starting in 2025 and 2026 to come from the Haynesville. Well guess what, Comstock is the pure player in that region. Now, the question really is who will be able to supply that natural gas when it is needed the most. I believe Comstock will be one of those elite producers in that region.