“That’s where we see the fact that our 2024 budget is modestly lower than 2023, primarily driven by that market deflation capture.”

In context

“lation in some of our key spend categories. Nicholas Olds: Yes, Steve. This is Nick. Just a little more commentary. For the first half, we have seen continued deflation around pumping services, the proppant, there’s an oversupply of proppant out in the Permian. So we’re seeing some price reduction in there. We think that will continue into the second half. And we spoke about OCTG as well. We see that it will probably continue in the second half as well. We’ll probably see a little bit of curtail or decrease in deflation in the second half going into 2025 because we’ve seen fairly large gains over the first half of 2024. But overall, we’re capturing that. And when you look at Lower 48 general, we’ll have a full run rate, if you look from July through December, we’ll capture that deflation. That’s where we see the fact that our 2024 budget is modestly lower than 2023, primarily driven by that market deflation capture. Operator: Our next question comes from the line of John Royall with JPMorgan. Your line is now open. John Royall: Hi, good morning. Thanks for taking my question. So my question is on production. I’m just looking at your guidance for 3Q and then backing into the guidance for 4Q from your full year guide, it looks like a pretty steadily increasing profile throughout the year if I add back the turnaround impact in 3Q. And I think that’s in line with how you’ve talked about the year generally, but maybe you could just give a little color on the moving pieces in production between the different regions as we progress the back half of the year outside of the turnaround impact you’ve already called out. Andrew O’Brien: Yes. Sure. I can take that one. And I think that -- the short answer is, yes”