Debt Reduction Debt Reduction and Enhanced Return Delivery
The Company remains committed to balancing long-term sustainable free funds flow growth with returning capital to shareholders. Key strategic initiatives executed through 2023, including the divestment of the non-core Cardium assets, coupled with growing production from our high netback core assets reduced Tamarack's expected exit debt at year-end 2023 by over $300MM relative to year-end 2022. The Company now expects to exit the year below $1.1 billion of net debt, representing a 27% improvement on a year over year basis. The 2024 budget will see a further reduction while continuing to support returns within our return of capital ("ROC") framework. In 2023, Tamarack expects to pay out over $83MM in base dividends to our shareholders. As Tamarack looks to confirm achievement of the first threshold of the ROC framework, share buybacks remain the preferred mechanism to enhance shareholder returns at this time.