Ladies and gentlemen, thank you for standing by and welcome to the Contango fourth quarter and year end results conference call. At this point, all the participants’ lines are in a listen-only mode. [Operator Instructions].. As a reminder, today’s call is being recorded. I’ll turn the conference now to Mr. Wilkie Colyer, President and Chief Executive Officer. Please go ahead, sir.

Thanks John. Before we begin, I want to remind everybody that the earnings press release and the related discussion this morning may contain forward-looking statements as defined by the Securities and Exchange Commission, which may include comments and assumptions concerning Contango’s strategic plans, expectations, and objectives for future operations. Such statements are based on assumptions we believe to be appropriate under the circumstances; however, those statements are just estimates, are not guarantees of future performance or results, and therefore should be considered in that context. Good morning and welcome to Contango’s fourth quarter 2018 earnings call. My name is Wilkie Colyer and I’m the President and CEO of Contango. I’ll assume again this quarter that everyone has had time to read through yesterday’s earnings press release, including the cautionary statements regarding forward-looking information and the non-GAAP measures that apply to the statements on this call, so I’ll avoid repeating what’s in the press release and move on to color around our progress at the company since the last time we talked. Recall that I discussed a few primary priorities for the company during our last call. The first is to better align our cost structure with the size of our company. To that end, we have reduced headcount, amended our office lease, and cut unnecessary costs that together we believe will result in a reduction in 2019 cash G&A of $7.2 million or 37%. That increase is north of 40% run rate once our existing office lease expires at the end of the month, and that’s without any expected negative impact to our operating capabilities. Another priority we discussed last quarter was our increase in commitment to hedging. We are hedged [indiscernible] maximum extent allowed on PDP this year and are currently looking to layer on hedges for next year…

[Operator instructions] First we’re going to Ron Mills with Johnson Rice. Please go ahead.

Hey, good morning guys. This is actually Dun McIntosh on for Ron. I was wondering for the 2019 plan, you talked about $30 million in spending. Is that a good number to think about kind of as maintenance capex or going forward over the year and kind of beyond, how do we think about the spend and growth?

Yes, I wouldn’t -- I don’t think about it as maintenance capex. I think one thing that we think about is how much cash flow will we be generating, and I think what we want to avoid is sort of the persistent cash flow outspend that we’ve had in previous years. When I think about the $30 million, I think about it as how do I put the cash flow that we’re generating to work at the highest possible return and over time the output of that should be growing production, but that’s not the goal. It’s sort of the output and not the input.

Okay, thanks. Then congrats on the Northeast Bullseye acquisition. Kind of any other opportunities in Pecos, particularly for kind of [indiscernible]? It looks like you’ve got some one-off sections that are kind of out there, just further opportunities to pick up opportunistically, I guess the acreage here and there, what that looks like?

That’s certainly something we’ll continue to monitor. We try to be very, very judicious in how we think about spending capital, particularly on inorganic assets, and so we do feel like particularly with this addition of Northeast Bullseye, that adds a lot of inventory for us. I think with companies of this size, you always kind of want to maintain a balance between adding cash flow and potentially adding growth assets, and this is certainly a growth asset, so we won’t rule anything out. We think there are certainly opportunities to add to our portfolio, but we just want to be really careful that we’re not adding growth assets too aggressively because we need not just the capital to acquire those, but also the capital to develop them, so we’ve got to think about those -- both of those things in tandem when we think about continuing to add acreage in Pecos.

All right, great. Thanks Wilkie, that’s it for me.

Thank you.

Mr. Colyer, no further questions in queue. Any closing comments?

All right, well no further questions. I really appreciate everybody’s time and again interest in Contango, and we look forward to catching back up with you when we’re ready to report Q1 results. Thanks everybody and have a great morning.

Ladies and gentlemen, that does conclude your conference for today. Thank you for your participation. You may now disconnect.