Ladies and gentlemen, thank you for standing by, and I'd like to welcome you to Arabian Drilling Fourth Quarter 2025 results conference call. I'll now pass the line to the Investor Relations and Communications Director, Mr. Bassem El-Shawy. Please go ahead, sir. Thank you, Luis. Salam alaikum and good afternoon, everyone. Welcome to Arabian Drilling's FY 2025 earnings call. Thank you for joining us today, especially amid the current regional events. We appreciate your time and continued interest in Arabian Drilling. Please be aware that this presentation contains forward-looking statements. We encourage you to review the accompanying disclaimer in this document for further information. Before we begin, I'm pleased to introduce our presenters for this session. As you may know, we currently welcomed Engineer Fahad Al-Bani, who joined Arabian Drilling as Chief Executive Officer on February 10th. Fahd brings a wealth of leadership experience in drilling, operational excellence, and transformation. We are delighted to have him at the helm as we enter this phase of recovery and growth. Also with us is Farid Mustafayev, our Chief Financial Officer. Now Fahd will walk you through the financial and operational highlights. After that, Farid will provide a detailed review of our full year and quarterly financial results. With that, I'm pleased to hand over to Fahd. Thank you, Bassam. Salam alaikum and good afternoon. Thank you for your participation in today's call. I am honored to be joining Arabian Drilling as the Chief Executive Officer at this important time. I am grateful to the board of directors for their confidence and for their support throughout this transitionary phase. Arabian Drilling is not new to me. I had the pleasure of working closely with the company in the awarding of its 13 unconventional rigs and even before. Arabian Drilling is the Saudi drilling champion and a key enabler of the national energy vision. I would like to assure everyone that this was a carefully planned transition by the board of directors. A smooth transition is underway and business continuity is granted. Now, let me begin today's presentation with a brief overview of our performance for the full year of 2025. Despite a challenging environment, Arabian Drilling delivered resilient results. Revenue closed at SAR 3.4 billion. Reflecting a modest 5.1% year-on-year decline, this was mainly driven by reduced offshore and land activity, partially offset by a strong increase in our unconventional operation. The change in activity mix impacted profitability. EBITDA declined to SAR 1.2 billion and adjusted net income reached SAR 39 million. Operating cash flow softened in line with EBITDA, yet we preserved a healthy 2 times net debt to EBITDA ratio, reflecting our strong balance sheet discipline. While 2025 was a difficult year from a financial perspective, we think that we have reached the bottom of the cycle. We enter 2026 with an improved visibility and positive outlook, supported by expectations of recovery and more stable operating landscape. Looking at our quarterly performance, revenue declined only 1.3%, fully in line with our guidance. EBITDA margin came in at 32%, reflecting one-off impact related to the return of a chartered rig and associated demobilization costs. The combination of low rig utilization and these exceptional items resulted in an adjusted net loss of SAR 34 million for the quarter. Cash flow from operations and net debt level remained stable and broadly unchanged. Our backlog reached an all-time high of SAR 12.4 billion, representing 20% increase compared to the same period last year. This reflects the strength of our customer relationship and the long-term feasibility of our portfolio. Utilization increased slightly to 75%, driven by the return of a chartered rig. We closed the quarter with 45 active rigs. Consistent with the previous quarter, 37 land rigs, six offshore rigs, and two surface vessels. Looking ahead, utilization is set to improve meaningfully. Offshore utilization is expected to reach 100% early in the second quarter. Total utilization is projected to rise slightly above 80% by the end of quarter one. This brings me to the final point on this slide and one of the key highlights of today's call. Our first international contract in the GCC commenced earlier this week, marking a significant milestone for Arabian Drilling. In addition, two of the four recalled rigs have already started operations during the first two months of quarter one. The third rig starting operations today, the fourth is scheduled to begin early April. We are very pleased and proud to see our backlog reach an all-time record of SAR 12.4 billion, representing 20% year-on-year growth. This reflects the strength of our client relationship and the high level of our trust our customers place on us. With this backlog, our contract duration has increased to 2.6 years, and our book-to-bill ratio now stands at 3.64. Utilization rates have improved slightly to 75% with no new suspensions in quarter four, and we do not anticipate any suspensions in quarter one, 2026. Utilization is expected to begin recovering in quarter one, 2026, reaching 81.7% and further increasing to 83% in early quarter two, 2026, supported by the commencement of our first international contract and confirmed rig reactivation. As a result of these rig assumptions, the total number of inactive rigs is expected to reduce to 10 by early quarter two, all of which will be land rigs. I will move on to the contract renewal completed in 2025 and provide you with an outlook on the 2026 contract renewals. 2025 was an exceptional year for strengthening our commercial foundation. I am pleased to report that we successfully renewed all the 24 rigs contracts scheduled to expire during 2025. This 100% renewal rate demonstrates the continuous demand for our service, thanks to our ability to deliver world-class performance and service quality. Notably, 11 LSTK gas rigs were extended for one year. As announced in August 2025, these rigs are part of the 21 contracts scheduled for renewal and tendering in 2026. We are proud for securing a total of SAR 3.4 billion in rig extension for six land and one offshore rigs announced in quarter four, 2025 and earlier this year. These extensions, which added 55 active rig years to our backlog, are implemented on contract expiration subject to agreement with the client. We expect the 2026 renewal discussions to follow the same constructive momentum we saw this year. Beyond 2026, the number of contracts expiring steadily decline, giving us more room to focus on optimizing our existing fleet and pursuing selective growth opportunities. I'll now hand over to Farid, who will walk you through the financial results in more detail. Thank you, Fahad. Salaam alaykum, and good afternoon to everyone. Starting with our year-on-year financial performance. For the year, revenue came in at SAR 3.4 billion, representing a 5.1% decline year-on-year. This performance reflects the impact of rig suspensions, which primarily affected the offshore and conventional land segments, partially offset by a full year strong activity in our unconventional operations. EBITDA closed at SAR 1.2 billion, down 17.8% versus last year. This decline was primarily driven by a shift in our activity mix, particularly lower offshore contributions, further hindered by the discounted day rates on certain contracts. To give more context on the magnitude of the mix change, offshore revenue declined by approximately SAR 480 million, and the land rig suspensions added another SAR 250 million to the reduction. This reduction were largely offset by unconventional revenue going up by SAR 540 million. Despite this significant shift in mix throughout the year, we maintained a solid EBITDA margin above 36%. Adjusted net income fell to SAR 39 million, a 90.8% decrease year-on-year. This reflects a combined effect on lower EBITDA and higher depreciation associated with the deployment of unconventional rigs. On other important financial metrics, CapEx were down 61%, reflecting the absence of significant investments in unconventional rigs done in 2024. Net debt remained unchanged at SAR 2.4 billion, effectively stable and within our comfort range. I'll provide more detail on this later in the presentation. Operating cash flow slightly below SAR 1.2 billion, declined 17.1%, consistent with the drop in EBITDA. Let's now turn to our quarter-on-quarter performance. Q4 revenue declined marginally by 1.3% with the full quarter impact from the rigs suspended in Q3, partially offset by stronger rig move activity. Number of active rigs remain unchanged during the quarter at 45. EBITDA of SAR 263 million or 32% was down 10% quarter-on-quarter, primarily due to one-off demobilization costs related to return charter of shore rig and reactivation costs for rigs commencing operations in Q1 2026. Adjusted net loss was SAR 34 million this quarter compared to SAR 9 million in the prior quarter. This increase is entirely driven by the one-off non-recurring items I just outlined. Importantly, we don't expect any demobilization expenses in Q1. We will, however, incur some reactivation costs as rigs return to service. In Q1 this will be supported by the additional revenue generated by the default rigs. CapEx increase in Q4 was driven by the reactivation activities for the rigs resuming operation in Q1. Net debt was down on stronger cash, thanks to high customer collections in Q4. Leverage ratio remains stable at two. Operating cash flow in line with EBITDA performance. Let's now turn to our segment performance across land and offshore operations. Starting with the chart on the left. For the full year 2025, our revenue mix shifted significantly compared to 2024. The land segment increased from 59% to 71%, while offshore declined from 41% to 29%. This change in mix, together with a 5% reduction in total revenue, was the primary driver of the EBITDA margin contraction from 42% to 36%. Quarter-on-quarter, the mix remained broadly stable. Moving to the chart on the right and our adjusted gross profit performance. Year-over-year, land revenues grew 13.8%, driven by full-year unconventional activity and higher rig moves. Adjusted gross profit declined by 100 basis points to 10.7%. This was largely due to four additional conventional rig suspensions happening in Q2 and Q3. Quarter-over-quarter movements were relatively limited, though Q3 and Q4 profitability still carries the weight of the idle rigs from both 2024 and 2025. The reactivation of two land rigs in Q1 2026, alongside other measures underway, is going to help restore land margin momentum. Offshore revenue decreased 32.5% year-over-year, primarily due to lower utilization and to a lesser extent, discounted dayrates. Adjusted gross profit declined from 41.5% to 22.7%, reflecting this significant drop in activity. Quarter-on-quarter revenue was broadly unchanged. Profitability was affected by one of demobilization charges in Q4. With offshore utilization expected to reach 100% by early Q2, we see a constructive outlook for margin recovery in 2026. Let's bridge the movement in net income from Q3 to Q4. The largest two components impacted, was lower revenue, SAR 11 million, and the demobilization expenses around SAR 20 million related to return of chartered offshore rig. There was minor positive impact from lower taxes due to net loss position and minor increase in depreciation quarter-on-quarter. Let's now take a closer look at the key movements impacting our cash position this quarter. We closed Q4 and 2025 with cash on-hand at a robust SAR 595 million. It was SAR 14 million above the cash balance year-end 2024, despite all the challenges throughout the year. This was achieved thanks to our strong focus on the working capital management. We are very pleased with the quarterly improvements in working capital. This focus drove meaningful reduction in account receivables through solid Q4 collections. The inventory levels were brought down to their lowest point in 2025. Turning to CapEx, we spent SAR 162 million in Q4, with roughly half directed toward reactivation activities for the default rigs. All other movements this quarter were routine quarterly items with nothing specific to highlight. Let me now wrap up the financial section with a look at our debt profiles. Net debt remains stable at SAR 2.4 billion, with the quarter-on-quarter improvements reflecting the higher cash on-hand at the end of Q4. Our net debt to EBITDA ratio is maintained at 2x, comfortably within our target range. We expect it to remain around 2x in the coming quarters. Importantly, given the current and expected level of activity, we have no plans to assume additional debt. At the same time, our existing leverage position provides strategic flexibility to pursue selected high margin growth opportunities. That concludes the financial update. I will now hand over back to Fahd. Thank you, Farid. Let me now turn to our outlook for the first quarter of 2026. On revenue, we expect a slight improvement compared to quarter four, 2025. This is driven by the rigs that have been brought back into operation. However, because currently these rigs are mostly run at around unit quarter rather than contributing for a full year increment this quarter being weaker than we want. In quarter two. I think, your line is cutting off a little bit. To normalize operational performance. On CapEx, our full year projection of around SAR 750 million, which is broadly in line with 2025. This stability is intentional. Our focus in 2026 is on optimizing and sustaining our existing fleet and making more efficient use of the assets already in operation. CapEx plan supports our proactive reactivation efforts, allocating the necessary CapEx to return rigs to operation as they are recalled during the year. As we conclude today's presentation, I would like to share with a few closing thoughts. 2026 will be a year of recovery for us, supported by the rigs coming back into operation. The full benefit of these assumptions will really start to show from the second quarter onward. We are entering the year confident in our ability to renew the contracts due to expire in 2026. Securing this renewal will be also an additional driver for improving utilization, especially in the second half of the year. Operational excellence and safety will remain at the center of everything we do. Maintaining our customer trust is critical, and we will continue delivering the performance they expect from us. With all the above and financial strength of our balance sheet, I am confident we will be positioned well to materialize our long time expansion plans locally and internationally. With this, we end our presentation, and I will now pass it over to Lewis to open the floor for questions and answer. Thank you very much. We'll now move to the Q&A part of the call. If you'd like to ask a question, please press star two from your phone. That is star two if you're connected from the phone, and if you're connected from the web, you can type your question in the box provided or request to ask a voice question. We'll give it a few moments for the questions to come in. Okay, our first question is from Anna, from UBS. Your line is now open. Please go ahead. Good day. Hopefully you can hear me. A couple of questions from my side, probably starting with the current situation and whether you experience any disruption already for any of the rigs. If you can comment on that. Second question will be around your disclosure yesterday. You mentioned that one of the land rigs which were initially recalled was then withdrawn. Can you comment more on that and whether you expect more recalls over the course of the year? Finally, you mentioned reactivation cost in first quarter. Can you give us a bit of color on how much should we account for? Thank you. Bassam, we cannot hear you. Looks like you're muted. Hello. Okay, go ahead. Sorry. Can you hear me? Can you hear me now, Quentin? Did you hear my first part? Okay. Thank you Anna for the question. Can you hear me now? Yes, we can hear now. Thank you. Let me start with the 2nd question on the recalled rigs. Indeed, we had originally five rigs recalled, three land and two offshore. Eventually one of the land rigs was canceled. Now the other four rigs are planned to restart. Three of them started as communicated already. One offshore rigs will start early in Q2. The land rig, which was called back eventually. At the moment we have plans for that rig, that it, you know, we have number of tenders. We're planning to reactivate that rig, and it will in our plans, it will start sometime in H2. That is on the 3rd question you ask about reactivation CapEx. We spend around SAR 70 million in Q4, for activation. We've already spent about SAR 50 million in Q1. Yeah. Okay. For your first question regarding the risk. The risk in our rigs, like any other land or offshore, are the same as any other area. Until now, Alhamdulillah, everything is running fine. We don't have any interruption for our operation. Thank you very much. Just a quick follow-up regarding this land rig which was withdrawn. What was the reason for that? Was it just the demand from the client or that there was any issues? No, this is a demand from our client. This is something normal. It happens, yeah, from time to time. Thank you. Thank you very much. Our next question is from Ricardo Rezende from Morgan Stanley. Your line is now open. Please go ahead. Hello. Good afternoon. Thanks for taking my question. Hope you're well and safe. First question, if I may. You've pointed that for 2026 should be a better year than 2025 with more visibility. How should we think about the margin inflection that you mentioned on the initial speech? Is that a relevant inflection that you see throughout this year? Then one for you, Fahad, welcome and good luck. Just curious, what's your main priority as you assume your new position as the CEO? Thank you. Thank you, Ricardo, for asking. I will start with the second part. My main priority really is to increase the income and revenue for our company while delivering the best performance for our client and safety. Okay. All these things, really, we are concentrating on it, and we want, Inshallah, to first of all, as 2026, we are forecasting a good year and a year of recovery. We started receiving recalls for the rigs, as we mentioned in our presentation, to offshore and to onshore, now already started. Another rig is gonna start in the first month of the second quarter. All these positive indication, Inshallah, for 2026. This is what we are focusing in three things as we speak. First of all, to increase the utilization of our rigs. Second, to expand in our international markets. We are looking to expand in international markets. Third one, actually, is to concentrate in on focusing and lower our spending. These three factors is our main focus for 2026. I think with this, I had already answered the first question on how we expect our margins to recover in 2026. Basically, Ricardo, it will come from those points. First of all, obviously from utilization. Our offshore utilization will reach 100% early April, and that will drive substantially the margins improvement, particularly in offshore segment. All the, you know, the actions we took already in structure costs as Janet in 2025, they, you know, we had about SAR 30 million savings in 2025. The full year savings we will realize in 2026, we estimate that at the level of SAR 60 million. Obviously the other areas where we're focusing and prioritizing now is process improvements and efficiency in managing our operating costs. This covers many aspects. It's like efficiency in rig moves, in looking at the cost of ownership versus outsourcing and many other aspects. These areas where we'll see improvements in margins in 2026. Thank you. If I may, a follow-up. When you talk about the international operations, is that something that you're looking only organically or is M&A as a potential option? We are looking at all options. Any option or opportunity we look at, we look at it in Arabian Drilling as opportunity and what is the income and the benefit for Arabian Drilling. Regardless, is it, local or international, we don't have any restriction to go and work internationally anywhere. Okay. Thank you very much. Thank you. Thank you. Our next question is from Abhishek Kumar from Bank of America. Your line is now open. Please go ahead. Thank you very much. I have a couple of questions. One is in terms of the outlook for 2026. You obviously have provided the revenue guidance for the first quarter. Again, I mean, looking for full year 2026, if I look at the consensus currently it is at SAR 3.7 billion of revenue and SAR 1.47 billion of EBITDA. Given we have good amount of visibility in terms of contracts that has already been awarded, et cetera. How comfortable are you with these numbers currently? Second question is on the onshore side, we have 10 rigs, which is not working at the moment, and there are various opportunities you mentioned, both domestically as well as internationally. End of 2026, how should we think about that assuming all the rigs which are coming up for renewal this year, would get renewed. End of year, how many rigs would effectively be working? Thank you. Hi, Ghassan Mirdad. Thanks for the question. For the first question on 2026 outlook, as you outlined, yeah, we gave up only Q1 guidance and that is done intentionally. And the, you know, with, since last, since early 2025, we moved to quarterly guidance. It's all due to these uncertainties in the long-term outlook, right? That's why we prefer to comment only on our quarterly outlook. Q1, you know, you can see that it will be in the same range activity as in as Q4 2025. Going forward with addition of offshore and land rigs, probably you can estimate the, or model the increase for the full year. We'll... At this point of time, we will not give you know, like a number, a particular number, but maybe, you know, after, you know, a couple of quarters when we see more visibility, more transparency, then we can switch to annual guidance. Yeah. The second part, for the 10 rigs, 10 land rigs, still we are. We submit in many tenders now. We are working on them. We are very optimistic because, you know, the market start recalling many rigs and land and offshore. We are very optimistic. Majority of those rigs, it will be back to operation in 2026. Okay. That's very good to hear. Just maybe, I mean, one follow-up on the answer to the first question. In terms of margins, if we look at it on the offshore side, what is the aim in terms of getting the margins given where the day rates have kind of come off from the highs and most of it is already in the backlog. What's the target for, you know, margins recovery on the offshore side of things, given we have a lot of visibility there? I understand on onshore there are moving parts. You still have rigs working, et cetera, and you don't know exactly, when you are going to deploy some of the other rigs, which is, which is, underbid, et cetera. On the offshore, what should be the margin, we should aim at by end of this year, if we can provide some color there? Yeah. What I can tell on offshore margins, you know, it will recover, especially from Q2, it will be 100% utilized. Last time we had 100% utilization in offshore, it was H1 2024. Basically, you can take that as a benchmark for modeling for H2 2026. The only one point to keep in mind that we provided some discounts, and margins will not go back to the level in offshore as it was pre-suspension. Yeah. Based on these two aspects, you can make, you can model some margins for 2026, it's realistic. All right. All right. In terms of the average day rate for the offshore fleet, where we stand now? Average day rate for offshore is in the high $80s. All right. Thank you very much. Thank you. Our next question is from Alex Kurtz from JP Morgan. Your line is now open. Please go ahead. Hi. Thanks for taking the call. A couple of quick questions. Could you just tell us how the tendering environment is at the minute? I think SLB commented on a V-shaped recovery in the Saudi rig market. I just wondered, you know, what tenders are currently out, what tenders are you seeing, and how much demand is there? That's obviously notwithstanding the current situation on just in terms of where we were before the recent attacks. That's the first question. You know, how should we think about dividends going forward? Thanks. Here, we have many tenders, some of them, local and some of them international. We are contributing to both, not just only tenders in Saudi Arabia. We are submitting tenders even outside Saudi Arabia in the GCC. The tenders in general, we are receiving many tenders, which is something positive for 2026. Your question on dividends, basically, yeah. As it was announced yesterday. So, based on the recommendation of the board of directors to general assembly, for 2025, there will be no dividends paid. The board will re-look at this at the upcoming quarters if the overall market conditions will improve. The main reason for that is preserving cash for our local and international expansion plans. Okay, thanks. Thank you. Our next question is from Grishma Syal from Equity. Your line is now open. Please go ahead. Hi, Grishma. Your line is now open from Equity. Please go ahead. Okay, it looks like, I think we got- Yeah. Yeah. disconnected. We have a question from Eldar Kaziev from HSBC. Your line is now open. Please go ahead. Yes. Thank you so much. Looking at the outlook for revenue, I mean, I understand the point that it's difficult to forecast. Taking into account the current contractual status of the assets, assuming nothing surprising happens over the year, how should we think about the rig move and mobilization revenue? What's the outlook there? I mean, can you ask you to remind us actually whether the rig move revenue, does it only cover your own assets or, you know, it also provides services to other rigs as well? Whether there is, you know, any granularity you could share with us in terms of outlook for revenue for those two lines. That's my first question. Secondly, on CapEx guidance, could you give us some, you know, some details of what that CapEx will include this year? Thank you. Hi, Eldar. Thanks for the question. On rig moves and mobilization, I think we need to distinguish these two things. Yeah. One is mobilization is applied only when we mobilize a new rig into the country. Yeah. This is kind of exceptional events whenever that happens based on the project's contracts. Rig moves happening on a monthly basis. Yeah. And they apply only to land rigs. And basically, during that rig moves, there is a lump sum paid to us by customers. And that is our revenue. Basically, how quick, how more efficient we move rigs from one pad to another pad, that helps us with the profitability on particular rig moves. Yeah. In many cases, the rig move, rig moves are ordinary things. During months, we get about 20 rig moves, let's say, in average, for our, you know, 37 active land rigs. Some of them are short distance, and some of them medium distance, let's say. Rarely, like once or twice a year, we have a long, long-distance rig move, which happened in Q4, and that positively impacted our revenue, offsetting the, you know, decline in revenue from suspension, basically. That on rig moves. I'm not sure if this answers your question, Eldar. Just to. Thank you. Just to understand better, given that there have been quite a lot of reactivations, I think like 10 onshore, 15 onshore rigs have been reactivated, do you expect more activity in 2026 on that front? Yes. In 2026, we are expecting more. As I mentioned before, we are contributing to many tender now. We are expecting more rigs to be recalled and more rigs in the future and in the near future, in 2026. Can I ask you also to remind us that there was a very strong revenue booked in 1Q 2025 for rig moves revenue. What was that exactly? Why, it was so strong? That's exactly what I mentioned, earlier. Really like once or twice a year we have. Okay. a long-distance rig move that was particularly probably the longest in the last couple of years move. It happened in Q1 2025. Then we had another long rig move in Q4 2025, which was not to that, to the same extent, but it was also qualified as a long rig move. That's clear. Sorry, I missed it. Thank you so much. On CapEx, please. CapEx question for 2025? Yeah. Or twenty- What drives, that number basically, you know, what kind of investments? For 2026 also or for 2025? Yeah. 2026, please. As communicated in outlook is SAR 750 million, about SAR 150 million of that relates to rigs reactivation. The remaining is just normal annual sustaining CapEx. That's clear. Thank you so much. Thank you. Our next question is from Fares Al-Dahayan from Sabeen Investment. Your line is now open. Please go ahead. Is my voice clear? Yes, we can hear you. Yeah. Please go ahead. Yes, I'm Feras Al-Dahham from Sabeen Investment Company. Congratulations on the new renewals. May I ask that, mashallah, management expects offshore utilization to reach 100% by Q2? Shall we accept in terms of expansion any additional rigs to be added to the fleet in the short or medium term? Thank you, Fares, for the question. Yes, as what we mentioned before, our offshore fleet will be 100% utilized. Our focus now actually is to utilize our 10 rigs, that land rigs. We need to return them to increase the operational efficiency and also the utilization of the rigs. This is what is our focus. If there is any opportunity, we are open for any opportunity and participation in tenders. The good news really tender participation is growing in the first quarter of 2026. However, we have a good actually financial income, and we have as with Fareed mentioned before, we have more than half a billion SAR actually cash. We can spend it in expansion. This is part of our strategy to expand actually locally and internationally. That's why also we will not distribute dividends because part of our strategy is to expand and grow actually. Since 2021 until now we are growing in our assets. If you look at it, we are growing very good percentage. Actually, we spend it in growing an asset which is part of our strategy to grow. Great. Thank you for your answers. Thank you, Fares. Thank you very much. Before we move on to our next question, we will open a very brief survey on your screens. Your feedback will be greatly appreciated, and we will keep it open for the remaining of the call. Our next question is from Anna Kislitsyna from UBS. Your line is now open. Please go ahead. Thank you. I have a quick follow-up, around the idle rigs. I think you impaired, three. What is the plan for those, if you can comment? Thank you. Thanks. As what we mentioned before, Anna, the plan for the 10 rigs, we are submitting many tenders now, actually, local and outside. Actually, we have 10 rigs, five suspended. This might be recalled from any within the current fleet locally. We have five rigs without contract. Those actually five rigs without contract, we are looking and we are working hard to have a contract for them. For the suspended rigs, still we are thinking it might be recalled and go back to business in the near future. Thank you very much. Follow-up. Mm-hmm. Both pre-rigs which were impaired. Yes, for exactly the same plan as mentioned by Fahd. We still plan to deploy them in different markets, yeah. Understood. Thank you. Thank you. We have a follow-up from Eldar Kaziev from HSBC. Please go ahead. Hi, Eldar, your line is now open. Please go ahead. Okay. Sorry. Uh. Apologies. Can I just ask you to clarify? I think I've seen last year that at least two of your offshore rigs, which were suspended, they received long-term extensions like, you know, seemingly by 10 years each. Is my understanding correct that the rig which is going to be deployed in the UAE is still formally constructed but suspended rig in Saudi Arabia, and whether that rig has received that 10-year extension? Thank you. Yes, the rig, which is going to work in GCC, it is considered as suspended rigs in Aramco. We have permission from our client to that rig participate in GCC tender. Yeah. Thank you. Thank you. Our next question is from Chaitanya Bahety from SG Analytics. What was the reason for impairment of the three land rigs? Will these rigs be removed from the fleet? How were the demobilization and reactivation costs split between cost of revenue and operating expenses? I think this is two different questions, right? First question is, what was the reason of impairment of these land rigs? Yes, indeed, we record an impairment on the three idle land rigs because our quarterly impairment testing indicated that the recoverable value is fallen below their carrying value. Maybe just to give you a bit of color of our quarterly procedures, we conduct impairment tests every quarter. Certain triggers, they require reassessment. In this particular case, all these three rigs were idle out of contract for some time. This was a trigger. When such triggers occur, we must apply updated assumptions regarding day rates, utilization, reactivation CapEx, long-term deployment prospects, to determine whether the book value is still recoverable. We updated our models, including two approaches. One is value in use, and the second is resale value. Both models showed that the recoverable amount was below the rigs net book value. That resulted in impairment requirement of SAR 140 million. What was the second question? Sorry. How are demobilization and reactivation costs split between cost of revenue and operating expenses? Demobilization costs is goes directly to PNL, right? It's expenses. Reactivation, a majority of reactivation costs, it's a CapEx. There are certain costs that is going to PNL right away. Let's say when we hire employees, their first couple of months, they go through training, doing certification. They're not part of the project expenses, so that's why those costs, they impact PNL directly. Thank you very much. We have a follow-up from Eldar Kaziev from HSBC. Your line is now open. Please go ahead. Thank you again. Just coming back to the land rig question and in relation to the impairment. I recall that some of the offshore rigs, you know, for the day rate for them have been raised. Has the same happened to the land rigs, by the way, and whether the lower day rate outlook for land rigs has also contributed to the results of the impairment test? Thank you. Eldar, we do impairment test for all our rigs, right? Particularly those which are all suspended and terminated, like no contracts. Only these three idle land rigs resulted in that the carrying value is higher than recoverable. All other rigs showed that there is no rig required, no impairment required. Understood. Is it also correct to think that the land rigs, some of them are generating lower revenue on a day rate basis versus, like, three years ago? That's not the only factor. There are many different factors when which you take into impairment consideration. Revenue day rate is just one of them, right? I cannot see the connection to be honest, right? The day rates, like on land rigs, we didn't have major discounts, by the way. The discount that happened during 2025 that applied to a selected on the contracts in offshore. There are some day rate discount related to land rigs starting from 2026, but they are not substantial to have any material impact on any our assumptions. I see. This was my question. Exactly. Thank you so much. Thank you. We'll now move on to our final question from Dmitry Gribovich from Waha Capital. Could you please share what cash costs per day you incur for each idle onshore rigs? Thanks. Idle offshore rigs, cash costs. You know, unlike land rigs, offshore rigs require some warm stack. Yeah. But it is, you know, some number of employees, they need to stay on offshore rig, and we incur some costs. It's not something material or significant. Fuel is another one. Other than these two, offshore rigs, they have. When they're stacked, they don't have any cash costs. Yeah. Except, obviously non-cash, which is the major one, is the depreciation. On land rigs, otherwise, just to clarify further, you know, you can cold stack them, and in that case, it's really just the stack yard will be the main cost in those cases. Thank you very much. We would like to thank everyone for the participation today. I will now hand it back to the Arabian Drilling team for the concluding remarks. Yes. Thank you very much, Luis, and thank you everyone for joining us today. Stay safe and have a great day. Thank you. Thank you, Luis. I will now be closing all the lines. Thank you and have a nice day.