Operator: Good day, everyone, and welcome to the EOG Resources Second Quarter 2012 Earnings Conference Call. As a reminder, this call is being recorded.
At this time, for opening remarks and introductions, I would like to turn the call over to Chairman and Chief Executive Officer of EOG Resources, Mr. Mark Papa. Please go ahead, sir.
Mark G. Papa - Chairman and CEO: Good morning, and thanks for joining us. We hope everyone has seen the press release announcing second quarter 2012 earnings and operational results.
This conference call includes forward-looking statements. The risks associated with forward-looking statements have been outlined in the earnings release and EOG's SEC filings and we incorporate those by reference for this call. This conference call also includes certain non-GAAP financial measures. The reconciliation schedules for these non-GAAP measures to comparable GAAP measures can be found on our website at www.eogresources.com.
The SEC permits oil and gas companies in their filings with the SEC to disclose not only proved reserves, but also probable reserves as well as possible reserves. Some of the reserve estimates on this conference call and webcast may include potential reserves or other estimated reserves, not necessarily calculated in accordance with or contemplated by the SEC's latest reserve reporting guidelines. We incorporate by reference the cautionary note to U.S. investors that appears at the bottom of our press release and Investor Relations page of our website.
With me this morning are Bill Thomas, President; Gary Thomas, Chief Operating Officer; Tim Driggers, Vice President and CFO; and Maire Baldwin, Vice President, Investor Relations.
An updated IR presentation was posted to our website last night and we included third quarter and full year 2012 guidance in yesterday's press release. This morning I’ll discus topics in the following order. I'll initially review our second quarter 2012 net income and discretionary cash flow. Then Bill Thomas and I will provide operational results in our second half 2012 and preliminary 2013 business plan. Tim Driggers will then discuss financials and capital structure and I’ll follow with our macro view and hedge position and finish with concluding remarks.
As outlined in our press release, for the second quarter 2012, EOG reported net income of $395.8 million, or $1.47 per diluted share. For investors who focus on non-GAAP net income to eliminate mark-to-market impacts and certain non-recurring items as outlined in the press release, EOGs second quarter 2012 adjusted net income was $312.4 million or $1.16 per diluted share. For investors who follow the practice of industry analysts who focus on non-GAAP discretionary cash flow, EOGs DCF for the second quarter was $1.4 billion.
I'll now address our operational results in key plays. During the second quarter, all three of our production components approached or exceeded the high end of our 8-K guidance. Our total crude and condensate production was up 52% year-over-year and total liquids were up 49% year-over-year.