Financial Data and Key Metrics - Average gas processing volumes reached 1.49 billion cubic feet per day, representing a 23% year-over-year growth [6] - Adjusted EBITDA increased by 4% quarter-over-quarter, in line with forecasts and street expectations [9] - The company updated its 2023 adjusted EBITDA guidance range to $820 million to $860 million, with a midpoint implying a fourth-quarter annualized EBITDA exit rate over $900 million [10] - Free cash flow was positive in the past quarter, and the company expects a significant increase in free cash flow in 2024, driven by adjusted EBITDA growth and capital expenditures of less than $150 million [11] Business Line Data and Key Metrics - Midstream Logistics segment generated $140 million in adjusted EBITDA, up 2% sequentially [16] - Pipeline Transportation segment generated $79 million in adjusted EBITDA, up 5% quarter-over-quarter, driven by lower realized costs at PHP and higher margins at Epic Crude [24] - Midstream Logistics CapEx is tracking towards the midpoint of the range of $235 million to $265 million, while Pipeline Transportation CapEx is tracking above the guidance range of $255 million to $275 million due to cost increases related to PHP [26][27] Market Data and Key Metrics - Permian production is expected to grow to 30 billion cubic feet per day by 2030, representing a 4% annual growth rate from today [20] - The Corpus Christi market is expected to grow from 6.5 to 10 billion cubic feet per day, driven by NGL capacity expansions and pipeline export growth [40] - The company sees a structurally short gas market in Corpus Christi, with potential for further pipeline expansions along the Texas-Louisiana state line [42] Company Strategy and Industry Competition - The company is focused on expanding its gathering footprint in the Delaware Basin, with significant progress on projects like Delaware Link and PHP expansion [19][22] - The company is actively pursuing gathering and processing opportunities in New Mexico and Texas, with updates expected as these opportunities develop [14] - The company sees no compelling reason for significant additional NGL investment in its Pipeline Transportation segment and is working on monetizing its stake in GCX [15] Management Commentary on Operating Environment and Future Outlook - The company remains confident in achieving its exit rate guidance of 1.6 billion cubic feet per day by year-end [8] - Management expects sequential adjusted EBITDA growth in the fourth quarter, driven by the Midstream Logistics segment [9] - The company anticipates a significant increase in free cash flow in 2024, supported by adjusted EBITDA growth and reduced capital expenditures [11] Other Important Information - The company declared a $0.75 per share quarterly dividend, with the Board maintaining the reinvestment level of Blackstone, I Squared, Apache, and management’s applicable third-quarter dividends at 100% [29] - Year-to-date, the company has repurchased approximately 194,000 shares for $5.8 million, leaving $94 million of remaining authorized capacity for opportunistic share repurchases [30] Q&A Session Summary Question: Progress on GCX monetization - The company is actively working on monetizing its stake in GCX and remains confident in a positive conclusion, though timing remains uncertain [32][33] Question: NGL takeaway options and flexibility - The company has multiple NGL takeaway options, including Brandywine and TNF contracts, with flexibility to choose among lines based on market conditions [37] Question: Corpus Christi market outlook - The Corpus Christi market is expected to grow significantly, with the company viewing it as structurally short gas, warranting further investment [40][42] Question: Volume trajectory and growth in 2024 - The company expects continued growth in volumes, with a significant step-up expected when New Mexico contracts kick in April 2024 [74][102] Question: Industry consolidation and Kinetik’s role - The company views itself as a smaller player in the midstream industry, focusing on organic growth and value creation rather than large-scale acquisitions [75][76] Question: GCX sale process and dividend reinvestment plan (DRIP) - The DRIP will end with the February 2024 dividend payment, regardless of the GCX sale outcome [96] Question: Capital recycling and portfolio review - The company is not actively working on any other capital recycling initiatives beyond GCX but remains open to opportunities that create value for stakeholders [103]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Delaware 81-4675947 2700 Post Oak Blvd, Suite 300 Houston, Texas, 77056 (Address of principal executive offices) (Zip Code) (713) 621-7330 (Registrant's telephone number, including area code ...

Kinetik Holdings, Inc. (NYSE:KNTK) Q2 2023 Earnings Conference Call August 8, 2023 9:00 AM ET Company Participants Maddie Wagner - Director, IR Jamie Welch - CEO, CFO, President & Director Trevor Howard - VP, Finance Tyler Milam - VP, Commercial Chris Kendrick - VP, Commercial Conference Call Participants Spiro Dounis - Citigroup Indraneel Mitra - Bank of America Merrill Lynch Robert Mosca - Mizuho Securities Tristan Richardson - Scotiabank Jeremy Tonet - JPMorgan Chase & Co. Keith Stanley - Wolfe Research ...

Financial Data and Key Metrics Changes - The company reported pro forma adjusted EBITDA of $187 million for Q1 2023, aligning with internal budget expectations [5] - The exit rate for processed volumes is expected to reach 1.6 billion cubic feet per day by the end of 2023, representing a year-on-year increase of over 25% [4] - Adjusted distributable cash flow for the quarter was $127 million, with free cash flow of $26 million [10] Business Line Data and Key Metrics Changes - The Midstream Logistics segment generated an adjusted EBITDA of $119 million, while the Pipeline Transportation segment generated $72 million, reflecting a 4% year-over-year increase [5] - The company has seen a ramp-up in volumes beginning in March, with significant growth in April, which is expected to benefit Q2 and full-year results [5] Market Data and Key Metrics Changes - The company noted that gathered and processed natural gas volumes reached all-time record highs, with an average of 1.52 billion cubic feet per day processed in April, a 21% increase from Q4 2022 [31] - The company is actively engaged in commercial discussions with several New Mexico producers, indicating potential near-term opportunities in that market [9] Company Strategy and Development Direction - The company is focusing on portfolio monetization opportunities, particularly regarding its stake in the Gulf Coast Express pipeline, to accelerate capital allocation priorities [32] - The company aims to achieve a leverage target of 3.5x and is considering the potential sale of GCX to facilitate this goal [36][61] - Sustainability initiatives have led to an 8% reduction in Scope 1 and Scope 2 greenhouse gas emissions intensity compared to 2021 [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the high end of the 2023 EBITDA guidance of $800 million to $860 million, despite delays in the PHP expansion [32] - The management highlighted that the basin is becoming gassier, with rising gas-to-oil ratios (GORs) indicating increased activity and potential for future growth [8][14] - The management noted that the incentive agreement with a customer is expected to yield significant revenue uplift starting in 2024 [20] Other Important Information - The company executed a small acquisition of a midstream infrastructure system for $65 million, with a less than 4x EBITDA multiple [4] - Total capital expenditures for the quarter were $121 million, representing approximately 23% of expected capital expenditures for 2023 [10] Q&A Session Summary Question: Can you discuss the timing around the Gulf Coast Express sale? - Management indicated that the formal exploration of the sale should take about three months, with an announcement expected around the second quarter earnings in August [36] Question: What are the expectations for 2024 capital expenditures? - Management stated that the previously mentioned figure of less than $150 million for 2024 remains a good estimate, but ongoing activity levels may lead to discussions about new processing facilities [37] Question: Are there any specific return requirements within the incentive agreement? - Management confirmed that the agreement includes performance metrics tied to drilling activity, with penalties for not meeting lateral footage requirements [51][52] Question: How does the company view the potential for other tuck-in acquisitions? - Management noted that while there are not many opportunities, they are always looking for win-win arrangements with existing customers [60] Question: How does the company plan to manage the DRIP and leverage targets? - Management emphasized that proceeds from the GCX sale would help achieve leverage targets and reduce dilution from the DRIP [55][61]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission File Number: 001-38048 KINETIK HOLDINGS INC. (Exact name of registrant as specified in its charter) (State or other jurisdic ...

KINETIK BASIS OF PRESENTATION This presentation includes non-GAAP financial measures, including adjusted EBITDA, pro forma adjusted EBITDA, capital investment, growth capital investments, distributable cash flow, free cash flow, pro forma distributable cash flow, pro forma free cash flow, net debt, leverage, and dividend coverage. Kinetik believes these non-GAAP measures are useful because they allow Kinetik to more effectively evaluate its operating performance and compare the results of its operations fro ...

Operations and Infrastructure - The company has approximately 2.0 Bcf/d cryogenic natural gas processing capacity, making it the second largest natural gas processor in the Delaware Basin[24]. - The company operates approximately 1,500 miles of low and high-pressure steel pipeline throughout the Southern Delaware Basin[27]. - The company expects to expand the Diamond Cryogenic complex to 720 MMcf/d by the end of Q2 2023[27]. - The company has 90,000 barrels of crude storage capacity at its crude gathering facilities[28]. - The water gathering and disposal system includes approximately 80 miles of gathering pipeline and has a permitted disposal capacity of approximately 490,000 barrels per day[29]. - The company has interests in four long-term contracted pipelines transporting natural gas, NGLs, and crude oil from the Permian Basin to the Gulf Coast[24]. - The Company owns a 53.3% equity interest in the Permian Highway Pipeline (PHP), which has a total capacity of 2.1 Bcf/d, fully subscribed under long-term contracts[31]. - PHP is undergoing an expansion project to increase its capacity to 2.65 Bcf/d, with a target in-service date in November 2023, and the Company will bear approximately 67% of the funding[31][36]. - The Company owns a 16% equity interest in the Gulf Coast Express Pipeline (GCX), which has a total capacity of 2.0 Bcf/d, fully subscribed under long-term contracts[32]. - The Company has a 33% equity interest in the Shin Oak NGL Pipeline, which has a total capacity of up to 550 MBbl/d[33]. - The Company owns a 15% equity interest in the EPIC Crude Oil Pipeline, which has an initial throughput capacity of approximately 600 MBbl/d[34]. - The Company acquired full ownership and operatorship of approximately 30 miles of the Brandywine NGL Pipeline, which has a capacity of 225 MBbl/d[30]. - The Delaware Link Pipeline is currently under construction and is expected to have a capacity of 1.0 Bcf/d upon completion in Q4 2023[36]. Corporate Structure and Governance - Following the business combination on February 22, 2022, members of Contributor held approximately 75% of the issued and outstanding Common Stock[20]. - The company completed a stock split in the form of a stock dividend on June 8, 2022[21]. - As of December 31, 2022, the Company employed approximately 300 people, with no employees covered by collective bargaining agreements[40]. - As of December 31, 2022, entities controlled by Blackstone own approximately 49.8% of the Company's outstanding Common Stock, potentially leading to a controlled company status[124]. - Future sales of Class A Common Stock by major stockholders may depress the market price of the Company's shares[125]. Environmental and Safety Goals - The company aims to increase the percentage of women in its senior leadership team from 7% to 20% by 2026, exceeding the industry average of 17%[43]. - The Company has set safety targets for 2023, aiming for a Total Recordable Incident Rate of less than 1.75 and a Motor Vehicle Incident Rate of less than 1.50[42]. - The company aims for a 35% reduction in GHG emissions intensity ratio from 2021 baseline levels by 2030[65]. - The company has committed to a 30% reduction in methane emissions intensity from 2021 baseline levels by 2030[65]. - 100% of the company's total debt capital and commitments, representing over $4.0 billion, is tied to achieving specific sustainability performance goals[65]. - The company is a member of ONE Future, aiming to reduce methane emissions across the natural gas value chain to 1% or less by 2025[66]. - The company focuses on continuous improvement in environmental management, with goals including zero fines and reduced agency reportable releases[63]. - The company has invested in energy-efficient equipment, including electric pumps and compressors, to reduce direct emissions from operations[64]. - In 2022, 20% of at-risk pay for all salaried employees, including executives, was tied to the achievement of specific ESG goals[65]. Regulatory and Compliance Risks - The company operates in a highly regulated environment, which may adversely affect its business and profitability due to potential changes in laws and regulations[95]. - The Company is subject to various stringent regulations governing the disposal of produced water, which could change and impact its operations[105]. - Future legislation and regulations could impose additional expenditures and operational restrictions, affecting the Company's ability to conduct business[100]. - The company is subject to regulatory, environmental, and legal uncertainties that could impact the construction of new midstream assets[90]. - Increased regulation of hydraulic fracturing could lead to reductions or delays in crude oil and natural gas production by the Company's customers, impacting throughput on its systems[102]. - The company may incur significant costs to comply with health, safety, and environmental laws, which are complex and subject to frequent changes[106]. - Changes in environmental laws and regulations could require the Company to make significant expenditures to maintain compliance, adversely affecting its operations and financial condition[109]. - The EPA's proposed methane emissions fee will start at $900 per metric ton in 2024, increasing to $1,200 in 2025 and $1,500 in 2026 and thereafter, potentially raising the Company's operating costs[113]. - The U.S. aims for a 50% – 52% reduction in economy-wide net GHG pollution from 2005 levels by 2030, impacting the Company's operations and financial performance[114]. - The Inflation Reduction Act of 2022 appropriates significant federal funding for renewable energy initiatives, which may affect the demand for the Company's fossil fuel services[113]. - The Company faces increased operating costs due to compliance with new emissions regulations, which could adversely affect its financial condition[115]. - Financial institutions are restricting investments in fossil fuel activities, potentially reducing capital available for the Company's operations[116]. - The SEC is scrutinizing climate-related disclosures, increasing the risk of enforcement actions against the Company for misleading information[116]. - The Company may face increased litigation risks related to its ESG efforts, impacting its financial performance[121]. Market and Economic Factors - The company’s midstream assets are exclusively located in the Permian Basin, exposing it to regional supply and demand risks[73]. - The company relies on maintaining or increasing hydrocarbon throughput volumes, which are subject to natural decline and customer development activities[74]. - The company has no control over producers' development decisions, which could lead to reduced utilization of its midstream systems[75]. - The company faces competition from other midstream service providers and alternative energy sources, which could negatively impact demand for its services[84]. - The company’s exposure to commodity price risk may change, affecting future production volumes and service demand[87]. - A shortage of equipment and skilled labor could increase costs and reduce productivity, adversely affecting the company's operations[94]. - The U.S. inflation rate has been steadily increasing, leading to higher costs for the Company's services and personnel, which may impact capital expenditures and operating costs[133]. - The Company faces risks from geopolitical events, such as the ongoing conflict in Ukraine, which could reduce demand for crude oil and natural gas, adversely affecting revenues[134]. Financial Performance and Reporting - The Company's ability to return capital to stockholders through dividends and stock repurchases depends on its cash flow generation, which may fluctuate based on various factors including commodity prices and operational performance[126]. - Effective internal controls are necessary for reliable financial reporting; failure to maintain these controls could harm the Company's operating results and investor confidence[130]. - Fluctuations in the Company's quarterly financial results and failure to meet market expectations could lead to volatility in the market price of its securities[131]. - The Company is subject to risks associated with inflationary pressures, which could lead to increased costs and impact financial performance[133]. - The Company's operations could be adversely impacted by cyber-attacks on its systems or those of its service providers, leading to supply chain disruptions and revenue loss[138]. Risk Management - The company has developed an Enterprise Risk Management program to identify, prioritize, and mitigate risks across all functional areas[60]. - The company regularly reviews regulatory and environmental issues as part of its risk management approach[57]. - The company has approximately 1,700 miles of pipeline, most of which is under 10 years old, monitored through a risk-based inspection schedule[67]. - The company has implemented a safety hazard communication program to inform employees about hazardous substances in the workplace[62].

• Adjusted EBITDA (EBITDA) is defined as net income including noncontrolling interests adjusted for interest, taxes, depreciation and amortization, impairment charges, asset write-offs, the proportionate EBITDA from our equity method investments, equity in earnings from investments recorded using the equity method, stock-based compensation expense, extraordinary losses and unusual or non-recurring charges Three Months Ended September 30,(1) 29 (1) Net Debt is defined as total long-term debt, excluding defer ...

Kinetik Holdings Inc. (NYSE:KNTK) Q3 2022 Earnings Conference Call November 10, 2022 9:00 AM ET Company Participants Maddie Wagner - IR Jamie Welch - President and CEO Matt Wall - COO Anne Psencik - Chief Strategy Officer Steve Stellato - CAO Todd Carpenter - GC Trevor Howard - VP of Finance Kris Kindrick - VP of Commercial Tyler Milam - VP of Commercial Conference Call Participants Jeremy Tonet - JPMorgan Gabe Moreen - Mizuho Neel Mitra - Bank of America Michael Cusimano - Pickering Energy Partners Jeremy ...

KINETIK Third Quarter 2022 Results November 9th, 2022 Forward looking statements The information in this presentation and the oral statements made in connection therewith include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical facts, included in this presentation, including, without limitation, statements rega ...