Kinetik (KNTK) Investor presentation summary

Strategic positioning and business overview

• Operates as a pure-play midstream company in the Permian Basin, focusing on natural gas and NGLs with a market cap of $8 billion and S&P Small Cap 600 inclusion.

• Integrated super-system spans the Delaware Basin, offering customers access to multiple downstream markets at premium pricing.

• Maintains a fee-based business model with mission-critical infrastructure, including 4,300 miles of gathering lines and 2.4 Bcfpd processing capacity.

• Diversified customer base of about 90 producers and a strong track record of volume growth outpacing the broader Permian Basin.

• Positioned to benefit from structural tailwinds such as gassier production, increased takeaway capacity, and rising global LNG demand.

Infrastructure, projects, and operational highlights

• Recent projects include AGI and sour conversion at Kings Landing, ECCC Pipeline construction, and a 40 MW behind-the-meter power project at Diamond Cryo.

• ECCC Pipeline connects Delaware North and South, optimizing treating and processing capacity, with in-service expected 2Q26.

• Kings Landing Complex running at 65-70% utilization, with further expansion and sour gas conversion underway.

• Multi-year contract amendments with major customers extend agreements into the mid-2030s, adding fixed-fee and treating fee structures.

• Sour gas handling platform expansion to over 31 Mmcfpd permitted capacity supports resource development and margin uplift.

Financial performance and guidance

• 2026 Adjusted EBITDA guidance is $950–$1,050 million, with capital expenditures projected at $450–$510 million.

• 2026 commodity price assumptions: WTI $61.58/bbl, HSC gas $3.34/MMBtu, Waha gas $0.44/MMBtu, NGL $0.52/gal.

• 84% of 2026 gross profit expected from fixed fees, with the remainder from commodity exposure.

• Capital allocation prioritizes organic growth, dividend increases (3–5% per year until 1.6x coverage), and share repurchases.

• Targeted leverage ratio of 3.5x–4.0x, with ample liquidity for disciplined capital deployment.