Hello, and thank you for standing by. My name is Lacey and I will be your conference operator today. At this time, I would like to welcome everyone to the second quarter 2026 results conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Daniel Halyk, President and Chief Executive Officer. Please go ahead. Thank you, and good morning, and welcome to Total Energy Services second quarter 2026 conference call. Present with me is Yuliya Gorbach, Total's Vice President of Finance and Chief Financial Officer. We will review with you Total's financial and operating highlights for the three months ended June 30th, 2026, and then provide an outlook for our business and open up the phone lines for any questions. Yuliya, please go ahead. Thank you, Daniel. During the course of this conference call, information may be provided containing forward-looking information concerning Total's projected operating results, anticipated capital expenditure trends, and projected activity in the oil and gas industry. Actual events or results may differ materially from those reflected in Total's forward-looking statements due to a number of risks, uncertainties, and other factors affecting Total's businesses and the oil and gas industry in general. These risks, uncertainties, and other factors are described under the heading risk factors and elsewhere in Total's most recently filed annual information form and other documents filed with Canadian provincial securities authorities that are available to the public at www.sedarplus.ca. Our discussions during this conference call are qualified with reference to the notes to the financial highlights contained in the news release issued yesterday. Unless otherwise indicated, all financial information in this conference call is presented in CAD. Total Energy's results for the three months ended June 30, 2026, represent record quarterly results driven by continued strong North American demand for natural gas compression and process equipment and the deployment of upgraded drilling and service rigs in Australia and Canada. On a year-over-year basis, consolidated second quarter revenue increased by 31%. Contributing to this increase was CAD 49.1 million of increased CPS segment revenue, CAD 23.5 million from CDS segment, and CAD 3.4 million from Well Servicing, as well as CAD 2.5 million from RTS segment. Second quarter EBITDA increased CAD 15.5 million compared to 2025, driven by increased activity and improved fabrication margins in the CPS segment and the deployment of upgraded rigs at the higher day rate in Australia and Canada. Notably impacting 2026 second quarter financial results was a CAD 3 million year-over-year increase in gain on sale of property plant equipment following completion of the disposition of the assets related to company's U.S. Well Servicing business that was discontinued in January 2026. Partially offsetting this gain was CAD 2.3 million of non-recurring expenses in the U.S. Contract Drilling business related to rig reactivation and resolution of several legacy legal disputes. Geographically, 43% of second quarter revenue was generated in Canada, 34% in the United States, and 23% in Australia as compared to the second quarter of 2025, when 38% of consolidated revenue was generated in Canada, 38% in the United States, and 24% in Australia. By business segment, Compression and Process Services contributed 55% of second quarter consolidated revenue, followed by the CDS segment at 29%, Well Servicing at 10%, and the RTS segment at 6%. In comparison, for the second quarter of 2025, the Compression and Process Services segment generated 53% of second quarter consolidated revenue, followed by CDS at 20%, Well Servicing at 12%, and RTS segment at 7%. Second quarter consolidated gross margin was 22% in 2026, which was 157 basis points lower than 2025. Contributed to this decline was a 223 basis point increase in second quarter revenue contribution from CPS segment, as this business segment historically generates lower margins than other segments. A year-over-year increase in CDS segment and Australian Well Servicing margins partially offset a decline in CPS and RTS segment margins. Second quarter CDS segment revenue increased 33% compared to 2025. A 24% year-over-year increase in operating days was further supported by a 7% increase in segment revenue per operating day. Second quarter pricing increased compared to 2025, due primarily to increased pricing to upgraded rigs in Australia and Canada and stable pricing in the United States. Second quarter CDS segment EBITDA increased by 39%, and segment EBITDA margin increased by 110 basis points compared to 2025, due to increased utilization and pricing that was partially offset by CAD 2.2 million of non-recurring expenses in the United States. Excluding these non-recurring expenses, second quarter segment EBITDA increased 54%, and segment EBITDA margin by 353 basis points compared to 2025. RTS segment revenue for the second quarter increased 16% compared to 2025. This was the result of a U.S. acquisition completed in June of 2025 and increased industry activity in Canada. Higher costs associated with a change in the mix of equipment operating, competitive market conditions, and this segment's relatively high fixed cost structure resulted in a 4% year-over-year decline in second quarter segment EBITDA and 594 basis point decrease in segment EBITDA margin. Second quarter CPS segment revenue increased by 37% compared to 2025, driven by increased fabrication sales and higher parts and service activity. Year-over-year second quarter CPS segment EBITDA increased by CAD 4.7 million, or 21%. EBITDA margin during the second quarter of 2026 was 193 basis points lower compared to 2025, primarily due to the year-over-year decline in higher margin rental revenues following the sale of several rental units in 2025. The fabrication sales backlog at June 30, 2026, was CAD 554.5 million, an 82% increase compared to CAD 303.9 million backlog at June 30, 2025, and 24% higher than CAD 446.9 million backlog at March 31, 2026. In Well Servicing, a 7% increase in revenue per service hour, combined with a 4% increase in service hours, resulted in an 11% year-over-year increase in second quarter segment revenue. Increased Australian and Canadian activity was partially offset by a substantial decline in U.S. activity following the discontinued of U.S. Well Servicing operations in January 2026. Higher pricing, increased fleet utilization, and cost optimization following the upgrade of several rigs over the past year resulted in a substantial improvement in second quarter Australian segment income, which, together with the cessation of written losses in the United States, drove a 194% year-over-year increase in segment EBITDA. Total Energy Services's consolidated financial position remains very strong. At June 30, 2026, Total Energy Services had CAD 81.9 million of positive working capital, including CAD 50.5 million of cash. Cash on hand exceeded bank debt by CAD 25.5 million at June 30, 2026. Total Energy Services's bank covenants consist of maximum senior debt to trailing 12-month bank-defined EBITDA of 3x and a minimum bank-defined EBITDA to interest expense of 3x. At June 30, the company's senior bank debt to bank EBITDA ratio was - 0.07x, as Total Energy Services was in a cash position, and the bank interest coverage ratio was 100.02x. Thank you, Yuliya. We are pleased with our second quarter results. Despite the usual slowdown in Canadian field activity during spring breakup, our substantial investment over the past two years to upgrade our drilling and service rig fleets in Australia and Canada, combined with strong North American demand for Compression and Process Services equipment, resulted in Total Energy Services achieving record quarterly revenue, EBITDA, and net income. Our share repurchases over the past year amplified these results on a fully diluted per share basis. Our Compression and Process Services segment continues to see strong demand for its products and services. The fabrication sales backlog, which grew by 24% during the second quarter to a record CAD 554.5 million at June 30, provides visibility into 2028, and current quoting activity remains vibrant. Expansion of our U.S. fabrication capacity in Weirton, West Virginia, is on time and on budget, with facility construction scheduled to be completed by the first quarter of 2027. The substantial investment made over the past two years to upgrade our Australian-Canadian drilling and service rig fleets continued to bear fruit during the second quarter, highlighted by a significant improvement in the financial performance of our Australian Well Servicing business and Canadian drilling rig market share gains. During the first half of 2026, we invested CAD 65.8 million to maintain and grow our business. At the same time, we returned CAD 22.5 million to our shareholders by way of dividends and share buybacks and reduced bank debt by CAD 30 million. Total Energy Services exited the second quarter in a very strong financial position with CAD 50.5 million of cash and CAD 150 million of credit available under our revolving bank credit facilities. Our financial strength and flexibility ensures we are able to continue to fund attractive investments, while at the same time providing our owners with industry-leading shareholder returns through dividends and share buybacks. In that regard, our board of directors approved a CAD 32.7 million increase to our 2026 capital budget. CAD 24.9 million of this increase represents growth capital with CAD 15.5 million budgeted for the recertification and upgrade of three service rigs and one drilling rig in Canada and one drilling rig in Australia. The remaining CAD 9.4 million is directed towards the purchase and refurbishment of 44 pieces of major rental equipment in the RTS segment for deployment throughout North America. 2026 maintenance capital has been increased by CAD 7.8 million and is being directed towards the replacement of five heavy trucks and 32 pieces of major rental equipment in the RTS segment, as well as additional equipment maintenance in Australia due to higher than budgeted activity levels. Including CAD 24.5 million of capital commitments carried forward from 2025, projected 2026 capital commitments total CAD 144.6 million, of which CAD 102 million constitutes growth capital and CAD 42.6 million maintenance capital. CAD 65.8 million of capital commitments have been funded to June 30, 2026, and we intend to fund the remaining CAD 78.8 million with cash on hand and cash flow from operations. I would now like to open up the phone lines for any questions. At this time, I would like to remind everyone, in order to ask a question, please press star one on your telephone keypad. Your first question comes from the line of Josef Schachter with Schachter Energy. You may go ahead. Congratulations. Hi, how are you? We've got four Josef on our payroll. Well, first thing, Daniel and Yuliya Gorbach, congratulations on a fabulous quarter and much better than your peers, so I think that's fabulous. Let me start with Australia. Are there new basins that are very prolific, like we have the Clearwater and the Montney that are really helping you grow? Or is it just that your equipment is just so much more modern and you prove to the clients that you can do a better job, and a more efficient job, and that's why your business is picking up in Australia? No to the first question, hopefully yes to the second question. I would say we've invested a significant amount of capital in our fleet in Australia, particularly the Saxon fleet that we acquired about two years ago. We've been pulling those rigs off the fence steadily, and I would say most of the growth has been gain in market share. There's been some market expansion. As you know, the natural gas prices in Southeast Asia are pretty strong. Domestic prices are strong. There's some political activity going on in Australia where you have a kind of the my fair share thing, similar to what happened in Alberta a few years ago. That tempers things a bit, but overall, I would say, Josef, it's just a stable, steady market and we've worked hard to try and do a good job and deliver value to our customers. Nothing too magical there. Okay. Next question on Compression and Process Services. With the CAD 554 million of backlog, how long of backlog do you really feel comfortable with? If you start getting to the point where it gets too late, are you going to move to more higher margin products and remove some of the lower margin products from the lineup? First of all, we're seeing, we commented the current backlog takes us into 2028. The lead times on major components, notably engines, is naturally going to push and stretch this further. Our reported backlog is signed contracts, which those are firm. That is a firm outlook. Obviously, in a stronger market, you tend to gravitate towards how do you allocate scarce resources. You focus on the best margin work. The flip side is what we can do in the medium term is somewhat dictated by the availability of inputs, notably engines. We're managing that very tightly and trying to anticipate where the market's going to be over the next four years, literally. We're not perfect, but I think our group has done a pretty good job there. With Weirton coming on stream in Q1, we'll be wrapping up post that, which honestly ties in reasonably well with kind of the lead times on engines. That's obviously a constraint on near-term activity. We're managing it like the whole industry is. Yeah. Can you talk about your thoughts of the outlook in both U.S. and Canada? We've got these robust commodity prices. Most people's E&P budgets were much lower. Are you getting people wanting to extend their term of rigs? Are they looking to get you to upgrade and they pay? How do you see the comparison between Canada and the States and allocation of capital? I would say Canada was ahead of the U.S. in terms of the ramp up. You saw that in Q2, driven largely by oil and liquids plays. I would say right now, Canada's a pretty strong market. We have the second double-to-triple upgrade underway, and there is very strong demand for that rig. I expect we'll have that contracted perhaps sooner than we would've liked based on customer demand, but that's a good thing. The U.S. is catching up. You're seeing that in the U.S. rig count, particularly in Texas, New Mexico. It's definitely starting to pick up. But I would say it was behind Canada. Overall, obviously if you have a crash in oil prices, all bets are off. But right now, it looks like should have a pretty good back half with the North American rig count steadily creeping up, not going stupid, but good, steady improvement. And our rig upgrades in Canada have really played well into that market. Super. Last one for me. M&A, we've seen Anton do a deal in Texas. We saw Akita do the Fox deal. Do you see much activity? And are there things that you're looking at that are possible in terms of M&A activity for you guys into late this year or next year? Yeah, so we're looking at a lot of things. Honestly, we were disappointed that we weren't involved as much as we would've liked to have been on the Citadel deal. A little surprised by that, given we had some previous involvement, but we're definitely active, looking and it comes down to do these work relative to other options, such as share buybacks and organic. If our cost of equity gets more competitive, that certainly makes it easier for us to engage in M&A, which we've done in the past and certainly happy to do in the future. But we're going to stay disciplined. But I would say there's still much more consolidation in North America to be had. Okay. Well, Daniel and Yuliya Gorbach, thanks very much answering my questions, and congratulations on a new record high on the stock. It was quite impressive to see how quickly the quote changed. Thank you. Thanks, Josef. Your next question comes from the line of Tim Monachello with ATB Capital Markets. You may go ahead. Congrats everyone on a strong quarter, and congrats, Josef, on your new job. First question, just on the CPS segment, great bookings in the quarter and backlogs at record levels here. We saw that revenue level tick meaningfully higher quarter-over-quarter and record revenue for the quarter as well, or for the company in the quarter as well. Do you think that that revenue level will continue to move higher through the back half of the year alongside higher backlog, or is there anything sort of one time in nature that allowed you to push more through your current capacity in Q2? The second part of that question would just be how much do you think that the Weirton expansion increases your revenue capacity in the CPS segment for 2027? I would say, first of all, in the U.S., we've achieved some of the efficiencies of the expansion beginning in Q3. Obviously, the full impact of that'll be felt once we have the facility done and fully staffed, and that'll play out over the course of 2027. We've done some internal restructuring of our manufacturing processes in the U.S. to mirror what we do in Canada, and some of the efficiencies, we're getting that now. Really for a material step up in throughput, we need the new facility and we need it fully staffed. So you'll see that occur in 2027 over the course of several quarters. The other thing that's going to limit us is major inventory arrivals. When we planned the expansion two years ago, lead times were probably 1/3 of what they are today. So we're working around that. But like I said, our group there has done a pretty good job managing major component ordering. But that certainly combined with capacity limitations in the plant, going to limit things until we get that fully up and running late next year. So I wouldn't expect you're going to see major increases until we get that plant up and running. Was the revenue throughput in Q2 anomalous in any way? No, I wouldn't say so. I think it was just natural working through our backlog and, like I said, a few efficiencies, which you saw in improved margins despite a significant drop in the active rental fleet because we sold a bunch of units last year. We also had a pretty sizable return. Again, we don't get to the rental fleet utilization at quarter end as one point in time. There's a lot of movement that occurs and, subsequent to quarter end, for example, we signed a new rental arrangement for a number of idle packages. That'll go up and down. But really, we achieved some efficiencies, which we're seeing in margins with our U.S. operations. We're continuing to manage this. It's definitely challenging with the lead times on engines. But, like I said, we're doing the best we can. Got it. In terms of the marginal order flow, how does the margin profile within, I guess, the new bookings compare to the average within the backlog? Yeah, we're not going to comment specifically, but I would hope in a strong market that our margins aren't going down. Yeah. I don't think our sales team is that incompetent there. We've got a good team there. Yeah, I think like anything, you have a scarce resource. The market will push margins higher. That said, it's still a very competitive market and we compete in that. Again, I think as we build that business and grow our fabrication capacity, you naturally have, apart from market tailwinds, you also have efficiencies of scale and your overhead absorptions are better and all of that. We're also, all the costs of ramping up, we're expensing, and we're not breaking that out. That's just to me part of growing the business as opposed to the capital cost for the plant. We're absorbing that as we speak as well. But, yeah, no, I would say in the current market, it's definitely a favorable environment to try and continue to grow your margins there. Are you seeing any incremental demand in, I guess, smaller product lines like power gen? Yes. Again, this comes down to Josef's question about where do you put your floor space. Now, some of it's limited by inputs, but a lot of it is dictated by who's willing to pay the best price for the floor space. So, it's both power gen, Compression and Process Services equipment. So it's a mixed bag. We don't break that down for many reasons, not the least of which is competitive reasons. But, again, we trust our management in that segment to make the right decisions in terms of allocating our resources. Okay. I just want to dig into the Australia drilling segment. Q2 activity, like days, were down modestly quarter-over-quarter, and typically Q1 would be the wet season of the year. So is there anything to think about in that segment? I know you had one, excuse me, one rig that was coming down for an upgrade and I'm not sure if that impacted the quarter or not, but anything you can offer there would be great. Yeah, I think we had a rig come out, but it is kind of the day-to-day. You have shifts in rigs moving from campaign to campaign, customer changes and programs, rigs moving from one customer to another, all the normal stuff. Nothing there that I would say it was probably a bit wetter than normal at the front half of the quarter, but honestly nothing noteworthy. It is just the ups and downs of your drilling business. Okay. Then in Q3 or currently, how many rigs are you running in Australia relative to- I think we have got- Q2? 11 rigs, soon to be 12 rigs. Okay. You still have one rig that is being upgraded currently and is out of service? Correct. The capital program includes an additional rig in Australia being upgraded. When does that enter service and is that an idle rig or is that something that is currently working? That is an idle one. The one that is going back to work now was an active one that was taken out of service for the upgrades. We will bounce in this kind of 12 range. Okay. The rig that is added to the capital program, when do you expect that to be activated? By the end of the year. Okay. In Canada, can you talk a little bit about the growth capital investments that you've added for the year? Sure. Three idle service rigs we're upgrading. These will be high spec, already spoken for. Those will be done by end of the year. Also a drilling rig. It was idle. We pulled it off the fence, upgraded it. We had actually done a bit of the work previously, kind of finished it, and it went straight to work. That's obviously why we pulled it off the fence. So it's working today. Okay. One of our super singles. Got it. Okay. You saw- RTS, a couple of comments there. Starting to see a good pickup. That has been a tough business for 10 years, 11 years, 12 years now. There has been a lot of consolidation in the market, bankruptcies, people just shutting down. Doing our first major heavy truck refurbishment replacement cycle in a long time. That should positively help operating margins. We were running some older trucks, and activity and pricing and margins did not warrant replacement. They are finally starting to do that, so we should see some margin improvement when those new trucks come in by end of year. As well, some very, I would call it rifle shot, new equipment adds. These are equipment lines that were sold out, and as you can see, they are fairly big-ticket items. They will be deployed throughout North America. Again, we are very tight hole on what that is for competitive reasons, but that stuff will go straight to work when it is secured by year-end. Okay, that is helpful. The market share in Canada drilling was up year-over-year pretty meaningfully, and strongest that I can see since Q1 of last year. How are you winning in Canada, or is it largely just where activity is growing relative to the basin? Well, I think two things. Number one, a couple of quarters ago, I let you know we weren't happy about our market share. We had some pleasant conversations and brought Josef Schachter on to crack the whip. No, but in all seriousness, I think we were probably focused on selling some of the new iron that was coming out the triple, and we took our eye off the ball in our traditional markets. Combined with the upgrade capital we put in place and just renewed focus combined with addressing where the market's going, you're seeing that, and I hope that's going to continue. But we've always taken a measured approach. We're not going to try and do too much at once. In part, you got to staff the stuff, so we're taking a methodical approach. But I would say our super single side is very good. Our AC double side is very good. And this mechanical double-to-triple conversion has worked out very well, and we're seeing very strong demand for that class of rig. The one we're doing now, again, we targeted having it done by end of Q4 into Q1. That's on time, on budget, and wouldn't be surprised if we go back to our board for more of those. Okay. That's helpful. All right, I think that's the end of my questions. So I appreciate all the commentary and looking forward to the strong outlook here, especially with Josef on board. I feel like the sky's the limit. The sky's the limit. Thank you, Tim. Thanks, Tim. Again, if you would like to ask a question, please press star one. There are no further questions at this time. I would like to turn it back over to Daniel Halyk for closing remarks. Thank you everyone for joining us today. I understand our website was down, so my apologies to those who are trying to access the call through the website. There will be a recording, and our website will be back up soon, I hope, and you will be able to access it there. Thanks for participating and look forward to speaking with you after our third quarter. Have a good day. Ladies and gentlemen, this concludes today's call. You may disconnect.