Ladies and gentlemen, thank you for standing by. Welcome to the W&T Offshore First Quarter 2019 Conference Call. [Operator Instructions]. This conference is being recorded, and a replay will be made available on the company's website following the call. I would now like to turn the conference over to Al Petrie, Investor Relations Coordinator.

Thank you, Nicole. And on behalf of the management team, I'd like to welcome all of you to today's conference call to review W&T Offshore's First Quarter 2019 Financial and Operational Results. Before we begin, I would like to remind you that our comments may include forward-looking statements. It should be noted that a variety of factors could cause W&T's actual results to differ materially from the anticipated results or expectations expressed in these forward-looking statements. Today's call may also contain certain non-GAAP financial measures. Please refer to the first quarter 2019 earnings release that we issued yesterday for a disclosure on forward-looking statements and reconciliations of non-GAAP measures. At this time, I'd like to turn the call over to Tracy Krohn, W&T's Chairman and CEO.

Thanks, Al. Good morning, everyone, and thanks for joining us for our first quarter 2019 conference call. So with me today are Janet Yang, our Executive VP and Chief Financial Officer; David Bump, our Executive VP of Drilling, Completions and Facilities; William Williford, our Executive VP and General Manager, Gulf of Mexico; Steve Schroeder, our Chief Technical Officer; and Jim Hersch, our Vice President, Geosciences, who -- and all these folks are available to answer questions later during the call. The first quarter was -- we had a 13% lower commodity price realization compared with the fourth quarter of 2018 and substantial production curtailments due to pipeline repairs and facility maintenance at 3 of our largest fields. So in spite of these challenges, we've generated $56.9 million in adjusted EBITDA, and we continued to create significant free cash flow, with net cash provided by operating activities of $84.8 million and capital expenditures of $31.6 million. And note that production guidance remains the same for the full year. The first quarter of 2019, our production was 33,350 barrels of oil equivalent per day. That was down slightly year-over-year, primarily due to prolonged pipeline facility downtime constraints beyond what was anticipated for the quarter. We continue to have strong liquids production with 60% of our first quarter production coming from oil and NGLs. Despite this downtime, first quarter production came in near the midpoint of our guidance range. In April 2019, the majority of the pipeline facility maintenance was completed. So coupled with improved well performance and continued ramp up of new wells, we've seen our production rate in mid-April increase to over 37,000 barrels of oil equivalent per day. As you see in yesterday's release, the midpoint of our second quarter 2019 production guidance is up about 9% from our first…

[Operator Instructions]. And your first question comes from the line of John Aschenbeck.

So for my first one, I wanted to talk about the recent lease sale where you picked up 15 blocks here recently. Certainly, a non-negligible amount of leasehold. I know it's extremely early at this point, but I was just wondering is there anything you can share with us in terms of possibly a prospect or concept on one of those leases that has your interest?

Yes. There's several of them, John. Little bit early to give you too much data on -- or not enough data. We've got seismic data that entices with regard to those leases. Some of them are adjacent to existing production. Again kind of a common pattern of where they are close to existing infrastructure, close to step that we already own, things that we already know about. So again not so much greenfield exploration as lower risk type of exploration.

Okay. Got it. Appreciate that. So for my second one, I wanted to circle to M&A. And in your prepared remarks, you mentioned the environment looks as good as you've ever seen it, and I would certainly agree with you there. But I was wondering as larger operators have started to take notice that the environment is pretty attractive as well, and you have a couple larger operators granted substantially larger indicating that the acquisition environment looks strong. I was just curious, do those parties in any way kind of compete at the assets you're looking at? Or are they just maybe looking at something with significantly more scale than what you'd be looking at? I was just curious how that whole dynamic would affect W&T.

Yes. Well, I've dealt with this issue for 35 years. There's always competition wherever you go. like to complete. That's one of the things that I think we do very well as a company. We've been doing a great deal for a long time. We're not going to get it all. We usually get what I think is our fair share, and I don't know exactly how to define that yet, but usually the deals that we do are quite accretive. And I expect them to be cash flow positive. So sometimes, it's the smaller deal. Sometimes, it's a much larger deal. We've done deals in over $1 billion in the past. So I think that we'll see some fairly large deals come up in the near future. And I think that the idea of W&T competing for those is, I think, that that's one of the things that we believe we can do. And I've tried to outline without specifically giving details about how that could be financed. And I don't expect to significantly change any debt ratios in order to do that.

Okay. Got it. Understood. Tracy, I appreciate all that information.

[Operator Instructions].

Okay. Well, I notice that there's about 25 other today mornings -- this morning, there's about 25 other earnings conference calls for just oil and gas companies. So I'm sure everybody's got their hands full. We're going to go ahead and turn it back to the operator, and we appreciate your attention. And we'll have another conversation in the not too distant future. Thank you very much.

This does conclude today's conference call. We thank you for your participation and ask that you, please, disconnect your line.