Good morning, ladies and gentlemen. At this time, we would like to welcome everyone to Cosan's fourth quarter of 2020 results conference call. Today with us, we have Mr. Luis Henrique Guimarães, Cosan's CEO, Mrs. Paula Kovarsky, Head of IR and ESG, Mr. João Arthur Sousa, Head of Finance, and Mr. Felipe Cavalli, IR Executive Manager. We would like to inform you that this event is being recorded and all participants will be in listen-only mode during the company's presentation. After that, there will be a question and answer session for industry analysts. At that time, further instructions will be given. Should any participant need assistance during this call, please press star zero to reach the operator. Today we have a simultaneous webcast that may be accessed through the website, ri.cosan.com.br. The live presentation may be downloaded from that website as well. There will be a replay facility for this call on the website for a week. Before proceeding, let me mention that forward-looking statements are based on the beliefs and assumptions of Cosan management and on information currently available to the company. They involve risks, uncertainties, and assumptions because they relate to future events and therefore depend on circumstances that may or may not occur in the future. Investors should understand the general economic conditions, industry conditions, and other operating factors could also affect the future results of Cosan and could cause results to differ materially from those expressed in such forward-looking statements. Now I turn the conference over to Mr. Felipe Cavalli, who will begin the presentation. Mr. Cavalli, you may begin your conference. Good morning, everyone, welcome to Cosan SA's fourth quarter in 2020 results call. The fourth quarter was the closing of the year that will undoubtedly be noted as historic. It's common knowledge that the pandemic challenged companies and their teams to respond and adapt to a new reality quickly since the beginning of the year. For us at Cosan, the name of the game was agility and execution. We adapted quickly right on the onset of the crisis while simultaneously preparing for an economic rebound. By focusing sharply on execution, safety and discipline, we delivered robust results in 2020. Let's begin presenting the results for Raízen. Before that, I would like to provide more insight into the new reporting breakdown of Raízen's results. This new format provides a more precise distribution and organization of operations, while improving and enlarge the understanding of Raízen's business model, as well as the ability to capture value throughout the entire value chain. We are now placing each of the products sold and services provided by Raízen into their respective new reporting segments. Basically, we split the results from Raízen Energia into two new segments: sugar and renewables. The segment previously known as Raízen Combustíveis will remain downstream and proximity and will comprise the fuel distribution business and convenience stores. The Grupo Nós results in Brazil, and also the downstream in Argentina. Now moving on to slide four. Let's begin with Brazil operation. The recovery trend in demand shown during the 3Q20 was maintained over the last quarter of the year. The pandemic continues to affect the lives and routines of everyone. We could see successive improvements in sales for the auto cycle. For the jet fuel segment, volumes also showed some improvement, but it is still the most affected product based on the reduced air traffic and on Raízen's commercial discipline. In the diesel segment, despite a slight reduction in sales over the third quarter, demand grew by 6% year-over-year. Good news is that despite impacts from the pandemic and the hacker attack we faced in March, diesel volumes grew 1% during the year. As a result, adjusted EBITDA was BRL 619 million in the quarter and BRL 1.9 billion for the year. As we have forecasted in the previous calls, the robust returns in the second half of 2020 were based on successive improvements in demand, which created a healthier business environment. During the year, the price volatility we experienced required an even sharper focus on the execution of our sales and supply strategies, which were key to this improvement in returns. It's worth mentioning here some impacts on 2020. Firstly, we no longer consolidate the results from convenience and proximity stores. Second, the lower contribution from the aviation segment, which, as we previously discussed, was negatively affected by the reduction in air traffic quite routine and by our discipline in credit risk management. Finally, the costs related to RenovaBio. Speaking of CapEx now, the lower investment results from the postponement of some expenditures in infrastructure, while we kept the pace of renewing contracts and bringing the best quality stations into our network. An update from operations of Grupo Nós, Raízen's JV with FEMSA in the convenience and proximity segment. This was a very important year for us. We have the launch of the first four stores carrying our OXXO brand in Campinas area in the state of São Paulo, in addition to our first distribution center. In 2021, the plan is to continue expanding our own stores and the franchises. Let's now move to the downstream operations in Argentina. The pandemic impact in Argentina during 2020 were more intense due to an even stricter lockdown that lasted up to November. Consequently, fuel sales faced a 25% reduction over the year. A measured improvement can be observed during the fourth Q20, which supports a gradual recovery of gasoline, diesel, and aviation fuel demand. The adjusted EBITDA of Raízen Argentina was $57 million. This result reflects the increased demand, lower unit cost of inputs and products, and also the gradual recovery of sales price, which contributed to a better return overall. Before discussing the results for sugar and renewables, I will present Raízen's agricultural and industrial results. This section reflects the dedicated segment set up within Raízen, which focus on agribusiness and productivity. The third quarter of 2020/21 harvest year was marked by the completion of the year's main crushing period, where we achieved 61.4 million tons of cane crushed, a 3% increase in processed volumes compared to last year. Agricultural yields increased about 6% during the harvesting season. This expansion is a result of investments we have been making in recent years, as well as the drier climate. The production mix included 53% weighting in sugar, which clearly reflects the increased profitability over ethanol. Talking about unit cash cost, excluding the effects from Consecana, the efficiency gains resulted in a drop of costs both in the quarter and in the crop year. On CapEx, the decrease both in the quarter and in the year is explained by the delay in expenditures with planting and field renewal due to the drier climate season affecting somehow the scheduled planting period. It is still too early to assess the impact this delay may cause to the next crop, as it can be partially offset by rainier inter-crop season, which we are experiencing right now. Moving on to the next slide, we will highlight the results from the two new segments that were previously reported within Raízen Energia. Let's begin with sugar. This new segment comprises the sale of our own and third-party sugar, which we call the resale and trading, and this consists basically in originating sugar from third parties and applying Raízen's expertise and infrastructure to capture increased value through the value chain. We have been gradually increasing our direct sales to final customers, eliminating intermediaries to consistently improve returns from the sugar operation. The increased availability of our own products, aligned with our sales strategy for the crop, resulted in a volume of sales nearly three times as large as in the same period last year. Adjusted EBITDA was BRL 860 million in the quarter, an increase that reflects not only the higher volumes, but also the better average price. On the hedging of sugar, we made progress in hedging for the next two crops, taking advantage of improved competitiveness of Brazilian sugar that resulted from the devaluation of the BRL. The price of the commodity in BRL is at historic highs, with an outlook of increasing returns for the coming years. For the current harvest that ends in this coming March, Raízen already hedged 100% of our exported sugar at an average price of BRL 0.63 per pound weight. For the next crop, 2021-2022, we have hedged over 80% of the sugar at an average price of BRL 0.66 per pound weight. For the 2022-2023 harvest year, a little over half of the crop is hedged at a price close to BRL 0.75. Moving on to the next slide, we will present the results from the renewables segment, with the sales operations for ethanol, bioenergy, and other products that comprise our renewable energy portfolio, such as biomass and other subproducts, such as vinasse, for example, which is originated from the sugarcane crushing process, as well as solar power. Ethanol sales in the quarter were in line with the same period from last year. Despite the lower volumes produced, we accelerated the sale of ethanol this quarter to take advantage of better prices. We consistently priced our ethanol above market average, which reflects not only our diversified portfolio of products, which includes second-generation ethanol, industrial and export ethanol, but also due to our financial hedge strategy over the sale of ethanol, which we call the proxy hedge. Moving on to bioenergy. Our own volume of power sold was lower than the same period last year. The less favorable scenario for prices in the spot market along the Q4 2020, created lower incentives to originate biomass and to generate more bioenergy. Having said that, the adjusted EBITDA for renewables was BRL 751 million, reflecting the increase from our own volume of ethanol sold at a higher average price. Now moving on to the next slide. Now on Comgás, the results for the quarter reflect a strong recovery in the demand for natural gas seen at Comgás, which was partially offset by the non-cash effect of the mark-to-market on Comgás' trading contracts. Specifically at Comgás, the demand for natural gas in the quarter experienced a good recovery in industrial and residential segments, with the commercial segment still being negatively affected by the pandemic. Total volumes were 6% lower in the year. The positive highlight for 2020 was the increase of 8% in residential volumes, mainly a result of adding new customers and an increase in average consumption. Together with the growth in volume, the efficient management of expenses at Comgás and margin adjustments made in May, were the key factors influencing results in the period, leading to a 35% increase in the adjusted EBITDA to BRL 684 million. For the year, annual growth was 6% and the EBITDA reaches BRL 2.4 billion. Comgás CapEx, both for the quarter and for the year, were in line with the expansion plan established in the tariff cycle by the ARSESP. An update on the Comgás business plan. A construction permit was granted for the regasification terminal, we are now in the final stages of the negotiation of the commercial, operational, and construction contracts. As soon as this stage is completed, these contracts will be submitted for board approval. Regarding Gaspetro, as already disclosed, we are back in the process with Petrobras, which is currently in the binding phase. We will keep the market informed as we progress in this process. I will now move to the next page, with the results from Moove. We had another quarter with robust results at Moove, anchored by the ongoing resumption of economic growth and consequently our sales volumes. Despite pandemics, we achieved record results in 2020, a 47% growth in the company's EBITDA. The assertiveness of our commercial and supply strategies in this business allowed us to capture the opportunities presented over the year. Moving to the right-hand side of the slide to talk about Cosan's corporate expenses. During the quarter, the additional expenses related to the corporate reorganization process impacted the G&A. Over the year, our discipline in controlling expenditures reduced overall expenses. Other operating revenues and expenses were positively affected with the reversal of provisions. This is a non-cash effect for legal expenses and contingencies. In addition to the gains by the removal of the state tax from the PIS/COFINS tax base, both in the quarter and year-over-year. Moving on to the next slide with the consolidated results. Let me now present to you the pro forma consolidated results for Cosan. Even during a challenging year such as 2020, Cosan's EBITDA increased 5% compared with last year on a recurring basis. This reflects the robustness and complementary nature of our portfolio of business, as well as the high execution capacity of our operations to perform well regardless of the economic scenario. This quarter specifically, the greatest contribution to our results came from the sugar segment, averaged by the increased volumes at a more favorable prices, which we previously explained. Adjusted net income grew 61% on the quarter. In the year, the net income were BRL 846 million, a reduction over the previous year. This is mainly due to the impacts of the pandemic on the results and the non-cash impact from the depreciation of the BRL that affects the non-hedged part of the Cosan's perpetual bond, as well as the price action of Raízen shares held by the company. We are now moving forward to Cosan's financial highlights. Gross consolidated indebtedness of the group had a 3% reduction during the quarter due to the lower levels at Raízen and Comgás. On the cash flow, the main effects in the quarter were in the increased operational cash generation, where the sugar and renewable segments was the highlight. On the cash flow from financing, main impact was Raízen and Comgás debt amortization. As a result, free cash flow to shareholders was BRL 258 million in the quarter. In the year, the lower operating cash flow as a direct result of the pandemic pressured the levels of sugar and ethanol inventory, or plugged the levels of sugar and ethanol inventories that are being carried by Raízen Energy, also pressured the cash flows for the quarter. Moving on to the next slide, prior to addressing the guidance for 2021, I would like to give you a quick update on the progress and achievements on our ESG journey. 2020 was unquestionably a critical year for the ESG agenda. It is clear to everyone that financial performance is intrinsically tied to social environment, sustainability, and governance. As you know, this is why at Cosan we talk about EESG, with an additional E for economics, as a four-pillar of sustainability, reinforced by the consistent performance of our portfolio. Let me share the main achievements we have in this last cycle. Cosan was included in three main indexes of B3 for 2021, the ISE, the ICO2, and the recently released S&P B3 ESG Brazil index. We made significant progress in the CDP and Dow Jones Sustainability Index questionnaires, in addition to being included in the Bloomberg Gender-Equality Index. In governance, the highlight is obviously the corporate reorganization or simplification, if you will. That is in its final stage. To give you an update on this process, we have completed the approvals phase and are now waiting for the closing of this operation, which is scheduled to take place in the first week of March. This is a major step, paving the way for the groups to move forward, increasing further focus and energy to the long-term sustainable capital allocation and value creation plan. Let's move to the last slide and present our guidance for 2021. After 2020's turbulence, we are back to usual disclosure of our guidance for the coming year. The uncertainty remains regarding pandemics and the pace of economic recovery, which means we have had a set of probabilities to consider. If on one hand, we see the growing number of COVID-19 cases, on the other, the expectation for an acceleration of the vaccination worldwide to control the pandemic might help this economic recovery. We cautiously believe on a positive trend leading to a gradual economic recovery, which would most likely contribute to EBITDA across all of Group's lines of business. Please note that we are not offering Cosan's consolidated guidance now, since the corporate reorganization process is not fully completed at this time. Shortly, we may present the consolidated projections for the new Cosan. Moving along to the numbers. In the downstream Brazil and proximity, we project an EBITDA between BRL 2.4 billion and BRL 2.8 billion. The spread is wider than usual since there are uncertainties around fuel demand growth, especially regarding the possible impacts of the pandemic. The expected volumes for 2021 may be above the year's GDP growth, depending on the pace. It is probably fair to assume at this point, mid to low single-digit volume growth. It is worth highlighting that the demand from the aviation segment should remain greatly affected along 2021, with significantly lower levels of contribution compared to 2019, for example. Additionally, since the beginning of last year, the results from convenience stores are no longer consolidated in downstream business EBITDA and are now accounted as equity pickup at a 50% stake, which is the share of Raízen in this JV. CapEx, on the other hand, should remain at similar levels compared to recent years, keeping the focus on capturing good opportunities for expansion and renewal of the network. Also as well here, we have investments in infrastructure when needed. In Argentina, EBITDA is expected to be between $130 million-$160 million, which reflects the uncertainties related to the country's economic recovery. The CapEx includes usual maintenance investment as well as expenditures related to mandatory product quality adequacy of our refinery. At Compass, the projected EBITDA is between BRL 2.5 billion-BRL 2.8 billion, with greater part of these results coming from Comgás, aligned with the regulatory plan. For the CapEx, we expect disbursement between BRL 1.5 billion-BRL 1.7 billion in 2021, mainly considering the investment plan at Comgás, as well as the construction of the regas terminal. At Moove, the improved performance and acceleration of international operations should continue to improve the EBITDA this year. We expect to deliver an EBITDA between BRL 400 million and BRL 480 million. In the Sugar and Renewables segment, we estimate the next 2021, 2022 harvest to be similar to the current one that will close in March. Crushing should remain between 60 million tons and 64 million tons, depending on weather during the winter crop. The EBITDA guidance follows the new reporting vision introduced at this quarter. We expect growth both on the Sugar and in Renewables segment, reflecting a more favorable scenario for prices and efficiency gains. CapEx for the harvest should remain between BRL 3 billion and BRL 3.3 billion, also incorporating strategic projects in Renewables. Safety and environmental investments, as well as an increase in maintenance CapEx. Two important disclaimers on the projections for Raízen. First, we are disclosing a preliminary guidance since Raízen's budgeting process follows the harvest year and has not been yet concluded, and the numbers do not include any operating or financial information of Biosev, since this transaction was just signed on February 8th and still needs to be approved and concluded. I close my presentation here. Our CEO, Luis Henrique, Paula Kovarsky, Head of IR and ESG, João Arthur, our Finance Director, and myself will remain at your disposal for Q&A. Thank you. We would like to inform you that the questions and answers session will begin in a few moments. Felipe. Ladies and gentlemen, we will now initiate the questions and answers section. If you would like to ask a question, please dial star one. If at any point your question has been answered, you may remove your question from the queue by pressing star two. Please hold while we look for questions. Our first question is coming from Ms. Isabela Simonato of Bank of America. Ms. Isabela, you may proceed. Good morning, Felipe, Paula, Luis Henrique, everyone. Do you hear me well? Yes, Isa. We can hear you well. Thank you. I have two questions. First of all, on the guidance of CapEx in Argentina, we see a substantial increase in the next year compared to this one. Can you just elaborate a little bit more on the initiatives and what those investments should be this year? On the sugar part of Raízen, is it possible to look at the price of sugar without the trading and the resale? How much both prices compare between one and another, if that's possible. Thank you. Sorry, I didn't understand the second question. Can you repeat, please? When you look at ethanol, you break down the price for the volume that was traded or on a consolidated basis and for your own volume. Is it possible to do the same analysis on the sugar side? Okay. Let's start with the first question. In Argentina, I think you all remember when we made the acquisition that we have put on the business case the investment on the refinery to take the refinery to the level of product quality that will be required in the future, as well as to debottleneck certain areas of the cracking in the operation to be able to prepare the refinery to use light crude from Vaca Muerta as the production start to increase, which will give higher yields, better productivity and better quality products in the refinery as we implement this change. We have been doing minimal investment on this program the last few years, and now we are starting to pick up in 2021 with the part of these investments going forward. We have seen a reduction on the overall. Remember when we start the business there, we announced that this would be a CapEx around BRL 380 million over the course of the project. We are now estimating that this will be between BRL 300 million and BRL 320 million over the life cycle of the project. Optimizations and other gains that have been here. It's getting the business back to the level. This year we have saved CapEx because it was a tough year in terms of the lockdown of Argentina, although as you have seen on the last quarter results have picked it up back, and price have been increasing basically every month in Argentina for the last couple of months. We have achieved record market share, increasing our network better and faster than the competition. We feel that now is the time to continue the investment in order to prepare the refinery to higher volumes as we are growing there, as well as the coming of the new regulations and the use of the Vaca Muerta crude. Regarding your second question, it's difficult because if you look at, you have a couple of baskets of prices and operations we do within the sugar. We have the local market, which we service the industrial customers here, as well as the local refiners. We have our exports through trading companies. We have our direct exports that we, over the last 18 - 24 months, have increasing our ability to reach the end destination. The customers in Canada, the customers in certain parts of the globe. This will be a continuing increase. I think those of you who have been talking to us over the last few weeks on the business model of Raízen, we're talking about the business case also gets us closer to the customers with less intermediaries, and therefore capturing additional trading margins as we move forward. The other one is the origination that we are doing. It's still much smaller than what we do in ethanol, it's growing. We have grown this year, our origination. I don't think that it's good to break this down because it's all part of this mix of products because of this definition. As we grow on the origination, I think it will make sense to look at it. For the time being, I would say the bulk of the result is export through trading and direct to customers, which is new to us, and local markets, which we have a very strong position. Thanks for your question. No, thank you. Can you just confirm the CapEx for Argentina? I think I missed the numbers between what was estimated initially and now the forecast for the cycle. Yeah. The original estimation when we did the deal a couple of years ago was around BRL 380 million investment. We are seeing that probably getting to BRL 320 million, and if things go very well, can even be a little bit lower. Okay, perfect. Thank you. Over the course of the project. I'm not talking about 2021, okay? I talk about- Oh, yes. Over the course of the project, which we already did part of these investments, okay? Over 2019 and 2020, we already spent CapEx through this project, although in less intensity that we see on the next two years. Sure. Thank you. Our next question is coming from Mr. Thiago Duarte of BTG Pactual. Hello, everybody. Hello, Luis, Paula, Felipe. Good morning. I have two quick questions on the results and then two quick questions on the guidance. Starting with the results, just focusing on the Raízen fuels Brazil. When you look at the number of gas stations that you ended last year, it is actually slightly lower than a year before, right? So it is a steep deceleration in terms of the branding of new gas stations. So just if you could talk a little bit about this and the strategy for converting gas stations and of course the environment for gas station conversions in the Shell brand, that would be interesting. The second question on the results would be sort of a rephrasing of Isabela's question with regards to pricing in sugar and the ethanol. It looks like in this quarter in particular, your trading business, the resale of third-party products benefited immensely and recorded very good margins. Just if you could confirm if that was the case, even though you don't disclose the number, but just give us a sense how trading contributed to Raízen Energia margins, that would be nice to hear. On the guidance, the first question would be on also on Raízen fuels Brazil. If you could give us a little bit more color to the extent that you are allowed to on the assumptions that drove the EBITDA estimate. You mentioned, Felipe, during your initial remarks that you're working with a broader range there given the level of uncertainties in the business. Just if we could, in terms of volume growth or in terms of margins, what sort of assumptions you're gathering, because in the middle of the range, there are signs that you're working with an assumption that is actually lower for margins, in 2021, vis-à-vis the last two quarters of 2020. Just to clarify that. Finally, on the sugarcane business guidance, you mentioned that you still don't have much clarity on whether the drought that affected last year's crop would have an effect on cane availability this year. When we talk to industry participants, everybody's talking about lower sugarcane availability across the board, right? Just to hear a little bit more from you, whether you can escape from that trend and make a better year in terms of cane crushing and why would that be, would be interesting. Thank you so much. Okay. Felipe, can you talk first about the assumptions, and I take the other questions, the assumptions on the guidance for fuels. Yes. Thiago, in the fuels distribution, as we stated here, we have this broader range of guidance, because there's a question mark here about the pace of recovery around 2021, right? What we are expecting now is that definitely, or most likely, volumes will grow above GDP, right? We can expect mid to high single digits of volumes growth. I think it's a good assumption. Of course, again, the range is quite large here, but that's probably the best assumption that we have for volumes growth on the fuels. Your other question about the sugarcane availability, right? Yes. What we are expecting here is a range between 60 million tons- 64 million tons. Of course, this will depend as well on this inter-crop season we are experiencing right now from December to March. Depending on the amount of rains we see, we're probably going to see a recovery or at least keeping the same amount of sugarcane crushed. We did our part in terms of the investment, right? Now let's hope the climate will behave better and improve agricultural yields for the next crop. Thiago, as you know, over the last couple of years, we have been putting a lot of effort in increasing the productivity of our crops, which we believe were below our potential. We continue to emphasize that, and we believe that this will compensate the drought of last year as well as the good regime of rain we are seeing over the last couple of weeks, which is very important for the beginning of the crop. We believe that in this case, we have a chance to be better than the market in what we have been investing, as well as you know, the program that we have introduced as well over the last couple of years, which has accelerated on this crop, about testing areas to third parties where we believe they could do better than us. This has also been very important, and I think this will start to give results going forwards, especially in the next crop and the following crop. Of course, a lot of things can happen between now and the beginning of the crop and during the crop, but we don't believe that what has happened last year will have a major impact on our productivity. In fact, in the other way around, we are expecting a better productivity and more sugarcane than we have in the last crop, and this is the reason of the guidance. Regarding your first question related to the conversion of sites. We continue on a good path this year in terms of overall volume. Of course, as an industry, there is some issues on credit and closure of smaller sites or sites that have not been performing, given the reduction of volume. Although we have also signed our usual numbers of new sites, we have seen a reduction of sites on the other hand. I can't reconcile the number that you got to have less sites than the year before. Perhaps later we can talk offline on that, but we have grown less sites than we have been growing over the last years in terms of net, but more on the closing side than on the new sites. The quality of the pipeline is quite strong. You guys have seen yesterday the agreement with IMC, and it's just one example of the several things that are happening on a day-to-day on the street. Of course, the pandemic also doesn't help. During the part of the year, we couldn't see a lot of dealers face-to-face and have negotiations, and people also were looking about their options for the future. I can say to you, over the last four to five months, things are much better, back to normal, and Leo and the team are very enthusiastic about the pipeline going forward. Regarding your question about trading. Yes, our trading business, I'm very happy to say, that's performing quite well. I think over the years, we are improving our ability to price it and find new markets. If you look at our program, majority of ethanol continue to be exported, continue to be high quality ethanol, direct to industrial, cosmetics, and other types of customers that are not fuels customers. I think you will continue to see on our own production, better price compared to majority of the market and on the trading, using all the opportunities of the volatility, capacity to do derivatives, and looking at the market on different ways that we have been growing our books and delivering good results, both in ethanol and sugar. Thank you, Luiz and Felipe. Very helpful. We would like to request each participant to make only two questions. Our next question is coming from Mr. André Hachem of Banco Itaú. Thanks, Felipe. My question. I'd like to ask two questions. The first is basically on Compass. Could you guys provide a little more of the details? I want to see, again, the date fund is going, but the other products are going. Specifically here, where the regas terminal, how has that been developing? Has construction actually started as the licensing project? If you could comment on that part, that would be great. My second question is in regards to ethanol. You just did the Biosev acquisition, you put things in São Paulo. It's been growing. It's very consolidated. Would you look into other regions? For example, with corn ethanol now booming within the Central West region, is this something you could consider potentially attractive, or no, is it not something you're looking into right now? Thanks, André. I will ask for help here if someone has listened to the second question. It was very difficult to understand. Let me answer the first one, and then I ask you to please rephrase, or if you have, I don't know if there's a chat. Ana, there is a chat that you can send the question. We have all the license now for the regasification terminal in São Paulo. ANP has issued the authorization for construction. We are now mobilizing to start, we'll start any time over the course of the next months. It's a good undertaking. It's a project that there's no big challenge from engineer has been constructed several of these in other places, but it's new in Brazil. We have done, as you know, a lot of studies, a lot of the discussions. We are ready to go, and this product will be marketed to three customers, other distribution companies, Comgás. It will be open for the market to take products that we believe will be competitive, and will establish a new paradigm in terms of price compared to the local availability of gas coming from Pre-salt. André, if you could please repeat your second question, we weren't able to understand here. Is this better now? Can you hear me? Yes. Great. My second question was in regards to diversification on ethanol. Post the Biosev's acquisition, as you guys are a lot bigger now in some power, you're a lot more consolidated. Would you consider corn ethanol in the Central-West region, or is it something that is not attractive? How do you see these projects? Do you understand, Felipe? I couldn't. Sorry, André. Yes. The question is about the corn ethanol, an investment in corn ethanol on our side here. I can take it. Yeah. Go ahead. Yeah, I'll take it, and you can complement if needed. André, what we have been saying here is that we are focusing all of our efforts on increasing productivity of our sugarcane mills and sugarcane production here, within Raízen. Now with this transaction that we just announced, after the closing of that transaction, we're going to have a lot of homework there to integrate Biosev's asset and of course, capture all the benefits and all the upsides we are expecting, within this transaction. The focus is all full in sugarcane ethanol. Trading, with sale of ethanol. This is where we're going to put our focus on. There is no plans, as of now in discussing corn ethanol mills. Perfect. Thank you. André, just to complement, I think, and we talked that on the specific on ourselves, I think one of the great findings of the due diligence, the quality of the field was good. Productivity in certain areas is even higher than ours. Of course, we have different land, different climate regimes, but quite good as well as on industrial. I think as Felipe said, there's opportunities going forward. Of course, the team will at the first phase focus a lot on the integration and trade integration on back office, integration on the grow side. As you know, we are very passionate about safety, so we have a big program about improving the safety. Their track record in safety is not as good as ours. On the other hand, they have good practice on the industrial side. There's things for us to learn and incorporate on our mills. We are very excited about bringing the manpower and the talents from Biosev because I think they have done a good work on the areas, especially on the field and on the industrial side. Integrating, of course, on our trading machine, that's quite powerful as we talked about, given the results, in terms of price, capacity to achieve markets outside Brazil, et cetera. I think it's a very good journey that we are just starting. Of course, we are waiting for the CADE and the other authorities approval to start the program, but we have done a good homework in terms of establishing integration teams and how we're going to go about it, because it's a big undertaking with a lot of synergies, and we are quite keen to get them quick and powerful and accelerate on that. There are also opportunities in the future for cogeneration. They have a lower cogeneration ratio than we have on our mills. I don't know if you guys noticed, but on the guidance for this year, there's a little bit higher CapEx this year because we are starting to implement a new cogen on Univalem, which we won a auction a couple of months ago. We, again, continue to increase our generation, cogeneration in renewables business as we go forward because we think this is the big part of the business that will really get higher profitability as the world demand cleaner fuels, carbon credits, et cetera. Perfect. Very clear. Thank you. Our next question is coming from Mr. Regis Cardoso of Credit Suisse. Good morning, Luiz. Good morning, Felipe. Thanks for taking the questions. I have maybe two questions and then just a very quick follow-ups. The questions are about the reorganizations on Raízen. First one is for Luiz. Why do you see as beneficial splitting the guidances for bio-based and sugar? Do you believe there will be any sort of conflicts to attributed KPIs to management teams? That they, instead of maximizing the output of the mix between the two? That's one of the questions. Then here on the reorganization that become the side. Is there any impact of the separation of the businesses, let's say, to what was previously the results from, particularly from the trading perspective? Should this lead us to a higher result or lower result? Then just a few quick follow-ups if I may. If you could discuss the effects in Compass, both the initial cost result in Comgás, as well as the loss in trading operations in Compass. Also, if you could explain why the trading ethanol price is higher, that would also be helpful. I also wanted to know within the inventories of Raízen in the year, if all of that is owned sugar and ethanol, if there is anything that is traded within. Thanks. Okay. That's right. It's very tough to hear. I don't know what's happening with the line today. I will try to address. In terms of Compass, basically what you have seen there is the position of mark-to-market. It's not a cash result. It's a position forward in the years to come, including 2021. We made a cash profit on our trading and commercialization operation in Compass. Of course, we are always operating within our risk matrix and our risk mandate that the team have. Of course, it was a very strange market in 2020. Some of the positions in the future that we still believe that are good positions have suffered on MTM basis. This is basically what has happened, and the results reflect this in the market because, of course, we do full transparency on the cash results and the MTM added to the Comgás result. Regarding your first question on why you have segmented different Raízen, because this is the way we believe that is the right way to look at this business for the future. We have, over the last few years, as you know, invest a lot of time, talent, and money on creating new business under Energia with second-generation biogas, cogeneration, electricity trading, electricity commercialization, clean energy sales, carbon credits, et cetera. We believe this is the path for growth. We believe that this is where a lot of the time for the management team will be invested as we resources to this business. Look first, it gives visibility to the market on how much money is generated on this business, how much CapEx this business will attract, and how much growth over the next years will. This, of course, will be linked to the KPIs and internal incentives to the management of Raízen, both for short-term and long-term. What you see over the years is a much bigger growth of this line than the other lines. This is the line that we believe the market's ready for it. We have been preparing for it for over the last 10 years, basically, and now we'll be able to capture the premium in terms of price for certain products like biogas and second-gen ethanol, as well as to increase our exposure to renewable energy and the sales of electricity. This is what captured that, and we want to make sure that this is transparent to the market as well as the more traditional business and a business that is more volatile to the commodity cycle, which is the sugar business. We think it's the right way to look at this market, and we think the right way to incentivize the management is also the right way to look at the big two differences we have within one of the companies we manage. I think also you talked about trading and, of course, a lot of our trading, as I mentioned on the question before, is done offshore. We have a big position in markets in Asia. We also trade corn ethanol from the U.S. to other destinations in the globe. We have tankage, we have positions, we have shorts, et cetera, that we have constructed over the last few years. We have a lot of industrial volume with customers both on the beverage, cosmetics, and industrial in general. This has commanded higher price. When you look at our exposure to the local Brazilian fuels market, and I think you guys, of course, are thinking about this, there is any risk of the prices if Petrobras, for any reason, will have a different pricing policy. I think our risk is much, much, much lower than any of our competitors because of the positions we have built outside. Only ethanol that we sell for fuels from our production is the ones that we still have on areas that have any local or state incentive on a tax that have been given when these plants were constructed, which is basically Goiás and Mato Grosso. The rest we have been upgrading and developing this more premium portfolio. That's the way to make it. The prices are good because of this combination of quality of the portfolio and sales offshore. I think I missed one of your questions that I couldn't hear. Thank you. With the inventories of sugar and ethanol, I'm asking this because inventories were very high at the end of fourth quarter. I wanted to know if those inventories are all owned sugar and owned ethanol, therefore with high margins, or if that number include in any way lower margins trading volumes. Regis, if I got your question, you're talking about the inventories, right? Yes. Everything the CFO gives us better. I wanted to know if the inventories are just owned sugar and owned ethanol or if there is any trading volume. Just because of the volumes in the inventory were very high, I wanted to understand if next quarter will be as strong as this one. Yeah. This is basically based on our commercialization strategy. As you could see in the results, we accelerated the sales of ethanol in this fourth quarter, but we still have some volumes of inventories to be sold now in the first quarter of 2021, which is the last quarter of the crop year. Usually when we set our commercialization strategy, and this year, as we mentioned throughout the year, it's more balanced between those two last quarters of the year. A bulk of that inventory is of own product. We will capture the value of that as well, right? This is for the ethanol, and the sugar is the same case, right? We have the shipment of the sugar set to the crop with a concentration on the last quarter of the crop year, which is the first quarter of the calendar year 2021. Our next question is coming from Mr. Luiz Carvalho of UBS. Hi, Luiz, Paula, Felipe. Thanks, and hope you're well. Luiz, I have basically two questions here. The first one, I understand it's the reporting change that you just presented. Also you made two recent deals on the fuel distribution segment, which are basically the IMC and the OXXO, right? Which I think that shows how Raízen is understanding the changes of the business looking forward, right? The changes on the fuel distribution business. Just would like to understand if you can give a bit more color on these moves. We were running some calculation, and we see somehow a potential of something close to BRL 500 million EBITDA looking forward, when this business will be more mature. Just would like to understand if this number makes sense. The second question, it's about the refineries, right? Petrobras recently announced that one of your competitors is moving forward with Refap. Refap is basically on hold for now. Yesterday, there was some news about the timeline for the other names, right? With all the recent noises in terms of the pricing policy and so on and so forth, just would like to understand if this would change your view in terms of the asset's attractiveness or where Raízen stands right now in terms of these potential acquisitions. Thank you. Okay. Thanks, Luiz. Let me start with the second. I think you guys have heard me loud and clear over the last calls we have, that this is the business we only would pursue a specific asset and at a specific price, right? We always treat this business as separate from the distribution. They have to have their own merits, their own results, and their own return. We think it's a very strong movement to the market. We like the market being open. We like to have other players in the market. Since the beginning, I think we have said to you guys that we would look at this as separate business, because the distribution business need to find their own supply with the new owners, continue to have a strong position with Petrobras, and also have a strong position on imports when it makes sense. We are in this business for the long run. We have strong relationships and long-term contracts with our dealers, B2B customers, and aviation customers. Having a position of supply that's competitive, secure, and is able to supply our commitment is key. We will engage with the owners of Renan, Refap, and all the others to discuss terms. In fact, we are already discussing for the ones that are more down the line in terms of closing their operations. We believe that this market will change a lot, because now players, including Petrobras, will be able to do different arrangements, different contracts, different clause, different flexibilities, different prices, different terms, which what's happening everywhere in the world. It will be a lot about ability to the companies, in our case, of supply, logistics, investments. You should know we have been doing over the last few years. This is why we create a strong position of investments in the North and Northeast. This is why we didn't invest in positions in the Southwest and the South in terms of import positions, because we think these markets will be much covered by internal production than the ones there. Continue the same drill, Luiz. We are responsible for these investments. They are long-term investments with a quite significant ticket. Therefore, we will only pursue, and we hopefully will be selected, if they are in the conditions that we believe are the ones we can really make a good investment and allocate capital responsibly as we have been doing over the last couple of years. We're not going to do a refinery just to have a refinery. We will do it if it's the right refinery at the right price. We are very happy that Petrobras continue with their disinvestment program, because it's good for the market. Regarding the changes in term of reporting, you are completely right, Luiz. You're spot on. We did it because the way we are looking at this business as the market evolves, right? I talked a lot about the sugar, and the old sugar and ethanol business, now the new renewables and sugar business. It's the same on the traditional fuels business, right? In the future, we probably will be reporting refinery business if we have a refinery in Brazil, a fuels and proximity business, because this is the way the market need to look. They are separate business that have separate drivers, separate competitors, separate capital requirements, and separate returns, and separate growth opportunities. We are very happy with our joint venture. It's still early stages, just one year old. In November last year, just one year old. I can say to you that our partner from FEMSA Comércio knows the business, know how to operate stores outside retail stations, know to operate own stores with our own people. We have already opened several stores in Campinas and more to come. We should finish the year with close to 30 stores around Campinas, which is quite a dense operation. We will continue to grow next year. We'll be, I think, for the year 2020, correct if I'm wrong, Guilherme, we have been basically was a very strong year in term of growth of new stores, both on Select and of course, OXXO was very new. This business will be significant in our view. Remember that it's a ramp-up business, right? It's a business that we have by design, brought our partner with primary investment so we have the cash for the growth, because we need to put CapEx for the growth of our own stores and also the transformation of our delivery centers and all the other infrastructure required. We have give up, if you will, BRL 100 million a bit short-term, for the long-term incredible growth that this business is. I think, I don't know which time horizon you'll talk about your number. I cannot give you so far forecast, but I think it's timid if you're talking about the long term. I think the number, it will be much higher if we are successful on our expansion and our proposition. What I can say to you, the initial stores are performing quite well despite the challenge of the time. Campinas have had a lockdown, have gone to the red zone, and have been forbidden night sales of alcohol. It's all back to normal now. I can say to you, customers are coming to the door. Customers are liking the offer. I think we are changing the way consumers are looking, because it's a very unique offer, right? There's no chain in Brazil that has the type of offer they have. The ones from Carrefour, from Pão de Açúcar, they are bigger format, more complex formats. Of course, they can work and they will work. We're being very focused on being quick, being fast, being easy, and being competitive for the customers on every corner regarding proximity. Okay. Thank you, and congrats about the deal. Thank you. Our next question is coming from Mr. Rodrigo Almeida of Santander. Good morning, Luiz, Paulo, João, Felipe and all. I have two questions here for my side, mostly focused on fuel distribution. The first relates to renewable. If you could provide us some color on the pace in which you have been able to pass through these additional CBIO expenses over the past, say, three to four months. I think it could be helpful for us to understand the impact there. Also, on the renewable side, the new reporting segment, have you been able to make any significant sales of CBUs, or could you expect that to accelerate in the coming quarters? What would be a threshold for you to sell the CBUs, if there is any? The second question is about working capital fuels, maybe more specifically, we saw significant positive variation supplies over the past year. If you could give us some color on this front, maybe some change to the sourcing strategy, maybe more imports. Maybe that could explain the higher days of payables outstanding there. Just wanted to get some color on the working capital for fuels. Thank you. João, can you help me? My line is very bad. Yeah. Let me take the third one about the working capital on fuels. Okay. Regarding the fuels, our supply strategy, Rodrigo. We have been focusing a lot in the previous years, and you could see in our financial statement here, on improving our working capital. What we have done at the moment is operations with confirming, which is anticipating at some point in time our payables or our strategy with Petrobras, right, with our main supplier. There are some working capital efficiencies that we have been capturing within our operations here. The first question about the CBIO, right? The trading of the CBIOs. We have been following the market here, and there is a team dedicated on this trading within B3, right? We have been trading those certificates, following the market trends here and, of course, try to capture the best momentum to do so, right? I think those are the two, right? Do you have another question? He also asked about the CBIO adherence of the market and incentive for cleaner fuels. Another point also, Felipe. Remember also that all these quarter prices have been going up, right? It also has impact on our payables as prices have gone down after the big reduction on the second quarter of the year. In terms of the CBios, yes, I think the first year was a challenging year because of the pandemic and the target, the review of the target at the end of the year. The year. The numbers have been showing that the target had been met, the issuing of new CBios and the purchase of CBios. Very few, I would say, distributors have not complied with the market. The market took some time to understand the cost and incorporate on their pricing strategy or on the market structure. I would say that's now pretty much normalized, right? That's part of the equation. Like it happened before when taxes changes, fiscal fees get higher, ethanol price get higher. These things are things our business is a business of passing through, right? We pass through molecules, we pass through taxes, and of course we add the services of logistics, marketing, commercialization, product, et cetera. These are the things that when they come at the end of the day, they will end up in the market and be done what they have done, which is incentivize, of course, the increase of renewables in the Brazilian matrix. With the increase of crude prices, of course, what's going to happen? Ethanol becomes more competitive by just the nature of the difference between gasoline and ethanol, right? This program, if you think conceptually, they have been designed for CBios have a very high price when fuel prices are low, fossil fuel prices are low, and you have a lower price when fossil fuels are high. Naturally, ethanol prices will be higher when fossil fuels prices are high. Therefore, the need for the CBio to give you the additional incentive is not there, and on the contrary. Depending where the rhythm of increases of gasoline price in Brazil by Petrobras and the international market by the international parity, this will of course make the price of CBio vary around that. In terms of our trading strategy, as I said to you before, we export a lot, not necessarily we generate the CBio here, but it's part of our pricing. When we agree with a customer pricing, of course there is the reference of the Brazilian price sometimes, or sometimes it's just a reference of international prices. When we agree a reference on the Brazilian price, it includes the CBio cost within that. CBio benefits Raízen Energia, of course, as a way that values more our ethanol. If I may add one little comment here on the CBIO is that I think it finally creates a decent level of predictability for ethanol pricing in Brazil, which is great. By the way, by doing that, it makes Brazil less of a production swinger. I think at the end of the day, it's constructive to sugar prices as well, because if there's more stability and more predictability in ethanol pricing in Brazil and producers will be more willing to produce and sell ethanol, that means Brazil will have less of a spare capacity to balance the global supply and demand. Again, at the end of the day, I think it's constructive to sugar prices as well globally. Yes. Very good point, Paula. That's very clear. Thank you for the clear answers. This concludes the question and answer section. At this time, I would like to turn the floor back to Mr. Cavalli for any closing remarks. First of all, I apologize about the quality of the sound here. I think some people have some trouble. We are more than available here at the IR team to take your questions, so give us a call. Second, another remark here, we're going to hold our Cosan Day, our Investors Day on March 16th. We shortly will send the save the date. The event will be fully online, so shortly you will receive more details about our Cosan Day again on March 16th. Thank you all, and see you in the next opportunity. Thank you. This concludes today's presentation. You may disconnect your line at this time, and have a nice day.