Core Points - Sulliden Mining Capital Inc. held its 2024 Annual and Special Meeting of Shareholders on June 30, 2025, where nominees for the board of directors were elected [1] - A total of 16.52% of all issued and outstanding shares were represented at the meeting [1] Election of Directors - The following nominees were elected as directors with the respective vote percentages: - Fred Leigh: 91.367% votes for, 8.633% votes withheld [4] - Indivar Pathak: 91.836% votes for, 8.164% votes withheld [4] - William Steers: 91.836% votes for, 8.164% votes withheld [4] Other Approvals - Shareholders approved the following resolutions: - Re-appointment of McGovern Hurley LLP as the Company's auditors [4] - Replacement of the existing share incentive plan with an omnibus share incentive plan, pending approval from the TSX Venture Exchange [4] - Consolidation of Common Shares on a basis of up to 10 for one [4] - Change of the Corporation's name to "Future Mineral Resources Inc." or another name deemed appropriate by the board [4] Company Overview - Sulliden is a venture capital company focused on acquiring and advancing brownfield, development-stage, and early production-stage mining projects in the Americas and Europe [6]

Core Viewpoint - Sulliden Mining Capital Inc. has acquired a 48% interest in a nickel, zinc, and lead mining exploration project in Poland, enhancing its portfolio in the European mining sector [1][2]. Acquisition Details - The acquisition was made through the purchase of 48% of the issued and outstanding shares of Ferrite Resources Polska sp. z o.o. for 62,500 euro, with no finder fees paid and no change of control of Sulliden resulting from the transaction [2]. - The project consists of the Szklary and Dabrowka concessions, both of which are fully owned by the Target [2]. Project Overview - Szklary is a nickel laterite deposit located approximately 50 km south of Wroclaw, Poland, with historical production recorded as 3.5 million tonnes at 0.79% nickel, totaling 28,000 tonnes [3]. - The Szklary deposit has a JORC-compliant historical inferred mineral resource of 32.9 million tonnes at 0.70% nickel [3]. - Dabrowka is located 25 km north of Katowice and requires minimal primary development, with plans for additional drilling to complement historical exploration [4]. Exploration Plans - The company plans to drill an additional 30 holes at Szklary to confirm historical inferred mineral resources and 27 holes at Dabrowka to further explore the site [3][4]. - The project benefits from proximity to two smelters within 20 km and utilizes proven mining methods, including room and pillar mining and magnetic separation of ore [6]. Transaction Cancellation - A previously announced acquisition to indirectly acquire a 5.2% interest in the project has been terminated, with the company's interest in Sustainable Royalty Corp. returned to a former executive [10]. Company Background - Sulliden is focused on acquiring and advancing brownfield, development-stage, and early production-stage mining projects across various regions, including Europe [11].

Company Overview - Summit Midstream Corporation (NYSE: SMC) has effectively managed a significant debt burden while facing challenges in the oil and gas market [2]. Performance Analysis - The company has underperformed since the last recommendation due to weak oil and gas pricing impacting continued drilling activities [2]. Investment Strategy - The Value Portfolio focuses on constructing retirement portfolios through a fact-based research strategy, which includes thorough analysis of 10Ks, analyst commentary, market reports, and investor presentations [2].

[Part I - Financial Information](index=9&type=section&id=Part%20I%20-%20FINANCIAL%20INFORMATION) [Financial Statements](index=9&type=section&id=Item%201.%20Financial%20Statements.) The company presents its unaudited condensed consolidated financial statements for Q1 2025, detailing key financial positions and performance [Financial Statements Overview](index=9&type=section&id=Financial%20Statements%20Overview) Q1 2025 revenue grew to $132.7 million, but net income fell to $4.6 million due to prior-year asset sale gains Condensed Consolidated Statements of Operations (Q1 2025 vs Q1 2024) | Financial Metric | Q1 2025 (In thousands) | Q1 2024 (In thousands) | | :--- | :--- | :--- | | **Total Revenues** | **$132,697** | **$118,871** | | Total Costs and Expenses | $118,118 | $173,566 | | Gain (loss) on sale of business | ($43) | $86,202 | | Gain on sale of equity method investment | — | $126,261 | | Interest Expense | ($22,537) | ($37,846) | | **Net Income** | **$4,634** | **$132,927** | | **Net Income (Loss) per Share (Diluted)** | **($0.16)** | **$11.47** | Condensed Consolidated Balance Sheets (As of March 31, 2025) | Account | March 31, 2025 (In thousands) | December 31, 2024 (In thousands) | | :--- | :--- | :--- | | **Total Current Assets** | $119,763 | $118,271 | | **Total Assets** | **$2,434,175** | **$2,359,484** | | Total Current Liabilities | $150,607 | $174,801 | | Long-term Debt, net | $1,067,172 | $976,995 | | **Total Liabilities** | **$1,331,305** | **$1,261,413** | | **Total Equity** | **$967,961** | **$965,125** | Condensed Consolidated Statements of Cash Flows (Q1 2025 vs Q1 2024) | Cash Flow Activity | Q1 2025 (In thousands) | Q1 2024 (In thousands) | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | **$16,030** | **$43,616** | | Net Cash from Investing Activities | ($93,091) | $608,629 | | Net Cash from Financing Activities | $81,466 | ($320,846) | | **Net Change in Cash** | **$4,405** | **$331,399** | [Acquisitions and Divestitures](index=14&type=section&id=3.%20ACQUISITIONS%20AND%20DIVESTITURES) The company actively managed its portfolio through the Moonrise acquisition and the prior-year Utica divestiture - Completed the Moonrise Acquisition on March 10, 2025, for total consideration of approximately **$90.0 million**, consisting of $70.0 million in cash and 462,265 shares of common stock[33](index=33&type=chunk) - Completed the Tall Oak Acquisition on December 2, 2024, for **$425.0 million** ($155.0 million cash and 7,471,008 shares of Class B Common Stock) plus a potential earn-out of up to $25.0 million[39](index=39&type=chunk) - Completed the disposition of Summit Utica on March 22, 2024, for a cash price of **$625.0 million**, recognizing a total gain of $212.5 million[42](index=42&type=chunk)[43](index=43&type=chunk) - In Q1 2024, an impairment charge of **$68.0 million** was recognized in connection with the sale of the Mountaineer Midstream system[47](index=47&type=chunk) [Debt](index=18&type=section&id=8.%20DEBT) Total debt increased to $1.08 billion following a new note issuance, while the company remained in covenant compliance Debt Composition (March 31, 2025) | Debt Instrument | March 31, 2025 (In thousands) | December 31, 2024 (In thousands) | | :--- | :--- | :--- | | Amended and Restated ABL Facility | $145,000 | $305,000 | | Permian Transmission Term Loan | $125,323 | $129,321 | | 2029 Secured Notes (8.625%) | $825,000 | $575,000 | | **Total Debt, net** | **$1,083,843** | **$993,575** | - On January 10, 2025, the company issued an additional **$250.0 million** of its 8.625% Senior Secured Second Lien Notes due 2029, bringing the total outstanding to $825.0 million[73](index=73&type=chunk) - As of March 31, 2025, the company had **$354.2 million** of available borrowing capacity under its Amended and Restated ABL Facility[68](index=68&type=chunk) - The company was in compliance with its financial covenants as of March 31, 2025, with a **First Lien Net Leverage Ratio of 0.52:1.00** (covenant is < 2.50:1.00) and an **Interest Coverage Ratio of 2.80:1.00** (covenant is > 2.00:1.00)[65](index=65&type=chunk)[202](index=202&type=chunk) [Equity and Mezzanine Equity](index=26&type=section&id=11.%20EQUITY%20AND%20MEZZANINE%20EQUITY) Equity structure was impacted by acquisitions creating a noncontrolling interest and continued accrual of preferred dividends - The Board of Directors declared a quarterly cash dividend on its Series A Preferred Stock, paid on March 15, 2025[104](index=104&type=chunk) - As of March 31, 2025, accrued and unpaid dividends on the Series A Preferred Stock totaled **$46.9 million**, which must be paid before any common stock dividends can be initiated[105](index=105&type=chunk)[114](index=114&type=chunk) - As of March 31, 2025, the noncontrolling interest, resulting from the Tall Oak Acquisition, represents approximately **35% of the net assets of SMLP**[111](index=111&type=chunk) [Segment Information](index=31&type=section&id=16.%20SEGMENT%20INFORMATION) Total segment adjusted EBITDA decreased to $67.4 million, reflecting the Northeast divestiture and acquisition-driven Mid-Con growth Segment Adjusted EBITDA (Q1 2025 vs Q1 2024) | Reportable Segment | Q1 2025 (In thousands) | Q1 2024 (In thousands) | | :--- | :--- | :--- | | Rockies | $24,869 | $22,874 | | Permian | $8,270 | $7,265 | | Piceance | $11,786 | $15,233 | | Mid-Con | $22,457 | $5,100 | | Northeast | $— | $29,021 | | **Total Segment Adjusted EBITDA** | **$67,382** | **$79,493** | Total Assets by Segment | Reportable Segment | March 31, 2025 (In thousands) | December 31, 2024 (In thousands) | | :--- | :--- | :--- | | Rockies | $1,013,891 | $917,293 | | Permian | $282,927 | $285,280 | | Piceance | $380,114 | $389,668 | | Mid-Con | $745,477 | $746,549 | | **Total Reportable Segment Assets** | **$2,422,409** | **$2,338,790** | - The company divested its Northeast operations during 2024, which previously included assets in the Utica and Marcellus shale plays[128](index=128&type=chunk) [Management's Discussion and Analysis (MD&A)](index=34&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations.) Management analyzes Q1 2025 performance, focusing on acquisition impacts, segment results, and capital structure optimization [Results of Operations](index=39&type=section&id=Results%20of%20Operations) Q1 2025 revenue rose on acquisitions, while net income dropped significantly without prior-year asset sale gains - Natural gas throughput volumes decreased by **444 MMcf/d YoY**, primarily due to the divestiture of the Northeast segment (712 MMcf/d), partially offset by a 309 MMcf/d increase in the Mid-Con segment from the Tall Oak acquisition[165](index=165&type=chunk)[171](index=171&type=chunk) - Mid-Con segment adjusted EBITDA surged **340% to $22.5 million**, driven by increased volume from the Tall Oak Acquisition[190](index=190&type=chunk) - Piceance segment adjusted EBITDA fell **23% to $11.8 million**, primarily due to natural production declines[185](index=185&type=chunk) - Interest expense decreased by **$15.3 million YoY to $22.5 million**, reflecting the benefits of recent debt refinancing activities which replaced higher-cost debt[170](index=170&type=chunk)[199](index=199&type=chunk) [Liquidity and Capital Resources](index=47&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity remains sufficient, supported by cash from operations and the ABL facility, despite significant acquisition spending - The company believes its current cash, internally generated cash flow, and credit facilities will be adequate to finance operations for the next twelve months[200](index=200&type=chunk)[212](index=212&type=chunk) - As of March 31, 2025, the company had **$354.2 million in available borrowing capacity** under its Amended and Restated ABL Facility[204](index=204&type=chunk) Q1 2025 Key Cash Flow Activities | Activity | Amount (In thousands) | | :--- | :--- | | Net Cash from Operating Activities | $16,030 | | Capital Expenditures | ($20,606) | | Cash for Moonrise Acquisition | ($69,997) | | Issuance of Additional 2029 Secured Notes | $258,438 | | Borrowings on ABL Facility | $90,000 | | Repayments on ABL Facility | ($250,000) | [Market Risk Disclosures](index=53&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk.) Market risk exposure from interest rates and commodity prices remains materially unchanged from year-end 2024 - As of March 31, 2025, the company had approximately **$825.0 million in fixed-rate debt** and **$270.3 million in variable-rate debt** ($145.0M ABL Facility and $125.3M Permian Term Loan)[228](index=228&type=chunk) - A hypothetical **1% change in interest rates** would impact interest expense by approximately **$0.7 million** for the quarter on the company's variable-rate debt[228](index=228&type=chunk) - The majority of revenues are from long-term, fee-based agreements, mitigating direct commodity price risk[229](index=229&type=chunk) [Controls and Procedures](index=53&type=section&id=Item%204.%20Controls%20and%20Procedures.) Management concluded that disclosure controls and internal controls over financial reporting were effective as of Q1 2025 - The CEO and CFO concluded that **disclosure controls and procedures were effective** as of March 31, 2025[230](index=230&type=chunk) [Part II - Other Information](index=54&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) [Legal Proceedings](index=54&type=section&id=Item%201.%20Legal%20Proceedings.) The company details ongoing legal matters, including a significant settlement for a past pipeline release - The Global Settlement for the 2015 Blacktail Release resulted in total losses of **$36.3 million**, of which the company has paid $21.3 million of the principal amount as of March 31, 2025[237](index=237&type=chunk) - The company is also involved in a breach of contract lawsuit with Fiberspar Corporation, which is claiming over **$5.0 million** for unpaid pipeline product orders[232](index=232&type=chunk) [Risk Factors](index=54&type=section&id=Item%201A.%20Risk%20Factors.) A new risk factor concerning tariffs and trade measures has been added to the existing company risks - A new risk factor was added regarding the potential adverse effects of **tariffs and other trade measures** on business operations, costs, and financial position[239](index=239&type=chunk) - The company reiterates existing risks, including customer drilling success, commodity price fluctuations, competitive conditions, and capital market access[221](index=221&type=chunk)[224](index=224&type=chunk)

Financial Data and Key Metrics Changes - The company reported first quarter adjusted EBITDA of $57.5 million and capital expenditures of $20.6 million, with the majority of CapEx spent in the Rockies and Mid Con segments [13] - Net debt stood at approximately $959 million, with available borrowing capacity totaling approximately $354 million at the end of the first quarter [13] Business Line Data and Key Metrics Changes - The Rockies segment generated adjusted EBITDA of $24.9 million, an increase of $1.6 million from the fourth quarter, primarily due to an 8.8% increase in liquids volume throughput [13] - The Mid Con segment reported adjusted EBITDA of $22.5 million, an increase of $9.6 million relative to the fourth quarter, primarily due to the acquisition of Tall Oak and an increase in volume throughput [16] - The Permian Basin segment reported adjusted EBITDA of $8.3 million, an increase of $0.5 million relative to the fourth quarter, due primarily to higher volume throughput on the Double E pipeline [15] Market Data and Key Metrics Changes - In the Rockies segment, 30 new wells were connected during the first quarter, including 22 in the DJ Basin and 8 in the Williston Basin [9] - Average daily volumes on the Double E pipeline grew by 8% quarter over quarter, averaging close to 700 million cubic feet per day [11] Company Strategy and Development Direction - The company remains focused on executing strategic objectives and maintaining a strong balance sheet to navigate the current macroeconomic environment [6] - The acquisition of Moonrise Midstream is expected to provide additional operating synergies and capacity for future growth in the DJ Basin [7] Management's Comments on Operating Environment and Future Outlook - Management noted a significant reduction in crude oil prices, which may dampen activity levels in the second half of the year, particularly in the crude-oriented Rockies segment [7] - The outlook for the natural gas side remains strong, which could mitigate potential downside exposure associated with the crude segment [8] Other Important Information - The Board of Directors reinstated the cash dividend on the Series A preferred stock, marking a step towards reinstating the common dividend in the future [7] - The company connected 41 wells during the first quarter, maintaining an active customer base with six active drilling rigs and over 100 drilled but uncompleted wells [7] Q&A Session Summary Question: What is the outlook for the second half of the year regarding completion schedules? - Management indicated that while there may be minor revisions, customers expect second half completion schedules to largely remain intact despite potential price slippage [10] Question: How is the company addressing the current crude price environment? - The company is in close communication with its customer base to evaluate implications of the current crude price environment on well completion activities [9]

Financial Data and Key Metrics Changes - The company reported first quarter adjusted EBITDA of $57.5 million and capital expenditures of $20.6 million, with the majority of CapEx spent in the Rockies and Mid Con segments [13] - Net debt stood at approximately $959 million, with available borrowing capacity totaling approximately $354 million at the end of the first quarter [13] Business Line Data and Key Metrics Changes - The Rockies segment generated adjusted EBITDA of $24.9 million, an increase of $1.6 million from the fourth quarter, primarily due to an 8.8% increase in liquids volume throughput [13] - The Mid Con segment reported adjusted EBITDA of $22.5 million, an increase of $9.6 million relative to the fourth quarter, primarily due to the acquisition of Tall Oak and an increase in volume throughput [16] - The Permian Basin segment reported adjusted EBITDA of $8.3 million, an increase of $0.5 million relative to the fourth quarter, due to higher volume throughput on the Double E pipeline [15] Market Data and Key Metrics Changes - In the Rockies segment, 30 new wells were connected during the first quarter, including 22 in the DJ Basin and 8 in the Williston Basin [8] - Average daily volumes on the Double E pipeline grew by 8% quarter over quarter, averaging close to 700 million cubic feet per day [11] Company Strategy and Development Direction - The company remains focused on executing strategic objectives and maintaining a strong balance sheet to navigate the current macroeconomic environment [6] - The acquisition of Moonrise Midstream is expected to expand the company's footprint in the DJ Basin and provide additional operating synergies [7] Management's Comments on Operating Environment and Future Outlook - Management noted a significant reduction in crude oil prices, which may dampen activity levels in the second half of the year, particularly in the crude-oriented Rockies segment [7] - The outlook for natural gas remains strong, which could mitigate potential downside exposure associated with the crude segment [7] Other Important Information - The Board of Directors reinstated the cash dividend on the Series A preferred stock, marking a step towards reinstating the common dividend in the future [7] - The company connected 41 wells during the first quarter, maintaining an active customer base with six active drilling rigs [7] Q&A Session Summary Question: What is the outlook for the second half of the year regarding completion schedules? - Management indicated that customers expect second half completion schedules to largely remain intact despite potential slippage if crude prices weaken further [9] Question: How is the company addressing the current crude price environment? - The company is in close communication with its customer base to evaluate the implications of the current crude price environment on well completion activities [9]

[Financial & Operational Highlights](index=1&type=section&id=First%20Quarter%202025%20Financial%20and%20Operating%20Results) [Management Commentary](index=1&type=section&id=Management%20Commentary) Management reported Q1 2025 Adjusted EBITDA of **$57.5 million** met expectations, driven by robust customer activity and a favorable natural gas outlook, supported by a diversified asset base - First quarter 2025 Adjusted EBITDA was **$57.5 million**, in line with management's expectations[4](index=4&type=chunk) - Customer activity included **41 new wells** turned-in-line during the quarter, with **six rigs** currently active across the company's systems[4](index=4&type=chunk) - The Rockies segment's Adjusted EBITDA guidance of **$100 million to $125 million** already accounts for potential delays, with performance potentially at the lower end if H2 2025 wells are deferred[4](index=4&type=chunk) - The company has a favorable outlook for natural gas, expected to benefit the Mid-Con segment, with a diversified footprint approximately **50% weighted toward natural gas-oriented drilling**[4](index=4&type=chunk) [First Quarter 2025 Key Results](index=1&type=section&id=First%20Quarter%202025%20Business%20Highlights) The company reported Q1 2025 net income of **$4.6 million** and Adjusted EBITDA of **$57.5 million**, with increased natural gas and liquids throughput, alongside strategic debt financing and an acquisition Q1 2025 Financial Metrics | Metric | Value | | :--- | :--- | | Net Income | $4.6 million | | Adjusted EBITDA | $57.5 million | | Distributable Cash Flow (DCF) | $33.5 million | Q1 2025 vs Q4 2024 Throughput | Metric | Q1 2025 | Change vs Q4 2024 | | :--- | :--- | :--- | | Natural Gas Throughput (MMcf/d) | 883 | +19.8% | | Liquids Volumes (Mbbl/d) | 74 | +8.8% | - Completed the value-accretive bolt-on acquisition of Moonrise Midstream in the DJ Basin on **March 10, 2025**[6](index=6&type=chunk) - Raised **$250 million** of additional 8.625% Senior Secured Second Lien Notes and reinstated the cash dividend on Series A Preferred Stock[6](index=6&type=chunk) [2025 Full-Year Guidance](index=1&type=section&id=2025%20Full-Year%20Guidance) The company reiterated its full-year 2025 guidance for Adjusted EBITDA and total capital expenditures 2025 Full-Year Guidance | Metric | Guidance Range ($ million) | | :--- | :--- | | Adjusted EBITDA | $245 to $280 | | Total Capital Expenditures | $65 to $75 | [Segment Performance](index=2&type=section&id=Segment%20Performance) [Overall Segment Performance](index=3&type=section&id=Overall%20Segment%20Performance) Total segment adjusted EBITDA decreased to **$67.4 million** in Q1 2025, primarily due to the Northeast segment divestiture, impacting natural gas throughput while liquids volumes remained flat Segment Adjusted EBITDA (in thousands) | Segment | Q1 2025 ($) | Q1 2024 ($) | | :--- | :--- | :--- | | Northeast | — | 29,021 | | Rockies | 24,869 | 22,874 | | Permian | 8,270 | 7,265 | | Piceance | 11,786 | 15,233 | | Mid-Con | 22,457 | 5,100 | | **Total** | **67,382** | **79,493** | Average Daily Throughput | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Natural Gas (MMcf/d) | 883 | 1,327 | | Liquids (Mbbl/d) | 74 | 74 | [Natural Gas Price-Driven Segments](index=2&type=section&id=Natural%20gas%20price-driven%20segments) Natural gas-driven segments, Mid-Con and Piceance, achieved a combined **$34.2 million** adjusted EBITDA, a **39.0%** increase, primarily due to the Mid-Con segment's acquisition-driven volume growth - Combined segment adjusted EBITDA was **$34.2 million**, a **39.0% increase** relative to the fourth quarter of 2024[9](index=9&type=chunk) - Mid-Con segment adjusted EBITDA totaled **$22.5 million**, a significant increase from Q4 2024, primarily due to the Tall Oak acquisition and a **48% increase** in volume throughput[9](index=9&type=chunk) - Piceance segment adjusted EBITDA was **$11.8 million**, flat relative to Q4 2024, as lower operating expenses offset a **4.0% decrease** in volume throughput[9](index=9&type=chunk) [Oil Price-Driven Segments](index=2&type=section&id=Oil%20price-driven%20segments) Oil-driven segments, Rockies and Permian, generated a combined **$33.1 million** adjusted EBITDA, a **6.8%** increase, driven by higher liquids volumes and the Moonrise acquisition in the Rockies - Combined segment adjusted EBITDA was **$33.1 million**, representing a **6.8% increase** relative to the fourth quarter of 2024[9](index=9&type=chunk) - Rockies segment adjusted EBITDA increased to **$24.9 million**, driven by an **8.8% increase** in liquids volume, the Moonrise Midstream acquisition, and the connection of **30 new wells**[9](index=9&type=chunk) - Permian segment adjusted EBITDA grew to **$8.3 million**, primarily due to an **8% increase** in volumes shipped on the Double E Pipeline[9](index=9&type=chunk) [Financial Position and Liquidity](index=5&type=section&id=Financial%20Position%20and%20Liquidity) [Capital Expenditures](index=5&type=section&id=Capital%20Expenditures) Total capital expenditures for Q1 2025 were **$20.6 million**, including **$2.5 million** for maintenance, primarily allocated to Rockies segment pad connections and an optimization project Capital Expenditures (in thousands) | Category | Q1 2025 ($) | Q1 2024 ($) | | :--- | :--- | :--- | | Total Cash Paid for CapEx | 20,606 | 16,398 | | Maintenance CapEx | 2,547 | 2,670 | - Capital spending in Q1 2025 was primarily related to pad connections and an optimization project in the Rockies segment[14](index=14&type=chunk) [Capital & Liquidity](index=5&type=section&id=Capital%20%26%20Liquidity) As of **March 31, 2025**, the company maintained strong liquidity with **$26.2 million** cash and **$354 million** ABL availability, remaining in full compliance with financial covenants - As of **March 31, 2025**, the company had **$26.2 million** in unrestricted cash and **$354 million** of borrowing availability under its **$500 million** ABL Revolver[16](index=16&type=chunk) - The company was in compliance with financial covenants, including a first lien leverage ratio of **0.5x** (covenant maximum of 2.5x) and an interest coverage ratio of **2.8x** (covenant minimum of 2.0x)[16](index=16&type=chunk) - The total leverage ratio was approximately **4.0x** as of **March 31, 2025**, excluding the potential earnout liability from the Tall Oak Acquisition[16](index=16&type=chunk) [MVC Shortfall Payments](index=5&type=section&id=MVC%20Shortfall%20Payments) In Q1 2025, the company billed and recognized **$4.8 million** in Minimum Volume Commitment (MVC) shortfall payments as gathering revenue, contributing directly to adjusted EBITDA - The company billed and recognized **$4.8 million** in MVC shortfall payments as gathering revenue, which contributed the same amount to adjusted EBITDA in Q1 2025[18](index=18&type=chunk)[20](index=20&type=chunk) [Dividends](index=6&type=section&id=Quarterly%20Dividend) Cash dividends on common stock remain suspended, while the cash dividend on Series A Preferred Stock was reinstated effective **March 14, 2025**, with all prior unpaid dividends accrued - Cash dividends on common stock remain suspended for the period ended **March 31, 2025**[21](index=21&type=chunk) - The cash dividend on the Series A Preferred Stock was reinstated beginning **March 14, 2025**, with all unpaid dividends from prior periods remaining accrued[21](index=21&type=chunk) [Consolidated Financial Statements](index=10&type=section&id=Consolidated%20Financial%20Statements) [Consolidated Balance Sheet](index=10&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) As of **March 31, 2025**, total assets were **$2.43 billion**, liabilities **$1.33 billion**, and equity **$968.0 million**, reflecting increases in assets and liabilities due to recent activities Balance Sheet Summary (in thousands) | Account | March 31, 2025 ($) | Dec 31, 2024 ($) | | :--- | :--- | :--- | | Total Assets | 2,434,175 | 2,359,484 | | Long-term debt, net | 1,067,172 | 976,995 | | Total Liabilities | 1,331,305 | 1,261,413 | | Total Equity | 967,961 | 965,125 | [Consolidated Statement of Operations](index=11&type=section&id=UNAUDITED%20CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) Q1 2025 total revenues were **$132.7 million** with net income of **$4.6 million** (loss of **$0.16 per share**), a decrease from Q1 2024 due to prior year's significant gains Statement of Operations Summary (in thousands, except per share data) | Metric | Q1 2025 ($) | Q1 2024 ($) | | :--- | :--- | :--- | | Total Revenues | 132,697 | 118,871 | | Net Income | 4,634 | 132,927 | | Net Income (Loss) per Share - Basic | (0.16) | 12.05 | - The significantly higher net income in Q1 2024 was driven by an **$86.2 million** gain on the sale of a business and a **$126.3 million** gain on the sale of an equity method investment[39](index=39&type=chunk) [Other Financial and Operating Data](index=12&type=section&id=UNAUDITED%20OTHER%20FINANCIAL%20AND%20OPERATING%20DATA) Q1 2025 key non-GAAP metrics include Adjusted EBITDA of **$57.5 million**, Distributable Cash Flow of **$33.5 million**, Free Cash Flow of **$11.4 million**, and net cash from operations of **$16.0 million** Key Financial & Operating Data (in thousands) | Metric | Q1 2025 ($) | Q1 2024 ($) | | :--- | :--- | :--- | | Adjusted EBITDA | 57,506 | 70,059 | | Distributable Cash Flow (DCF) | 33,529 | 32,534 | | Free Cash Flow | 11,354 | 17,178 | | Net cash provided by operating activities | 16,030 | 43,616 | [Reconciliation of Non-GAAP Measures](index=13&type=section&id=UNAUDITED%20RECONCILIATIONS%20TO%20NON-GAAP%20FINANCIAL%20MEASURES) [Reconciliation of Net Income to Adjusted EBITDA and DCF](index=13&type=section&id=Reconciliations%20of%20net%20income%20to%20adjusted%20EBITDA%20and%20Distributable%20Cash%20Flow) The company reconciles Q1 2025 GAAP Net Income of **$4.6 million** to Adjusted EBITDA of **$57.5 million** and Distributable Cash Flow of **$33.5 million** through various adjustments - To reconcile Q1 2025 Net Income (**$4.6 million**) to Adjusted EBITDA (**$57.5 million**), key adjustments included adding back interest expense (**$22.5 million**), depreciation & amortization (**$28.8 million**), and other net costs (**$6.3 million**), while subtracting a gain in fair value of the Tall Oak earn-out (**$9.0 million**)[43](index=43&type=chunk) - Adjusted EBITDA of **$57.5 million** was further adjusted by subtracting cash interest paid (**$34.2 million**) and maintenance capital expenditures (**$2.5 million**), and adding a senior notes interest adjustment (**$12.9 million**) to arrive at Distributable Cash Flow of **$33.5 million**[43](index=43&type=chunk) [Reconciliation of Net Cash from Operations to Adjusted EBITDA and DCF](index=15&type=section&id=Reconciliation%20of%20net%20cash%20provided%20by%20operating%20activities%20to%20adjusted%20EBITDA%20and%20distributable%20cash%20flow) The report reconciles Q1 2025 Net Cash Provided by Operating Activities of **$16.0 million** to Adjusted EBITDA of **$57.5 million** through various adjustments - To reconcile Q1 2025 Net Cash Provided by Operating Activities (**$16.0 million**) to Adjusted EBITDA (**$57.5 million**), key adjustments included adding back interest expense (**$21.6 million**), changes in operating assets and liabilities (**$18.0 million**), and proportional adjusted EBITDA for equity method investees (**$7.4 million**), while subtracting distributions from those investees (**$6.7 million**)[44](index=44&type=chunk)

Core Insights - Summit Midstream Corporation reported financial and operational results for Q1 2025, achieving adjusted EBITDA of $57.5 million and net income of $4.6 million, aligning with management expectations [3][6][41] - The company connected 41 new wells during the quarter and maintained an active customer base with six drilling rigs and over 100 DUCs behind its systems [3][6] - The outlook for natural gas remains favorable, while crude oil prices have softened, impacting the Rockies segment's performance [3][4] Financial Performance - Adjusted EBITDA for Q1 2025 was $57.5 million, down from $70.1 million in Q1 2024, with cash flow available for distributions at $33.5 million [6][41] - Total revenues increased to $132.7 million in Q1 2025 from $118.9 million in Q1 2024, driven by gathering services and related fees [41] - Capital expenditures totaled $20.6 million in Q1 2025, primarily for pad connections and optimization projects [15][41] Segment Performance - Natural gas price-driven segments generated $34.2 million in adjusted EBITDA, a 39% increase from Q4 2024, with the Mid-Con segment adjusted EBITDA rising to $22.5 million [7][12] - Oil price-driven segments produced $33.1 million in adjusted EBITDA, a 6.8% increase from Q4 2024, with the Rockies segment adjusted EBITDA at $24.9 million [12][14] - The Piceance segment's adjusted EBITDA remained flat at $11.8 million, impacted by lower volume throughput [8][12] Operational Highlights - Average daily natural gas throughput increased by 19.8% to 883 MMcf/d, while liquids volumes rose by 8.8% to 74 Mbbl/d compared to Q4 2024 [4][42] - The Double E pipeline transported an average of 664 MMcf/d, contributing $8.3 million in adjusted EBITDA for the quarter [4][12] - The company has a strong balance sheet with $26.2 million in unrestricted cash and $354 million of borrowing availability under its ABL Revolver as of March 31, 2025 [19][20] Strategic Initiatives - The company completed the acquisition of Moonrise Midstream in the DJ Basin and executed a $10 million optimization project in the Rockies, expected to enhance adjusted EBITDA margins [6][12] - Summit Midstream reinstated cash dividends on its Series A Preferred Stock, with the next payment scheduled for June 14, 2025 [23][41] - The company continues to monitor the impact of tariffs and crude oil price fluctuations on its operations and customer drilling plans [3][6]

Core Viewpoint - Summit Midstream Corporation (SMC) is set to report its first quarter 2025 operating and financial results on May 8, 2025, before the market opens [1] Financial Reporting - SMC will host a conference call on May 8, 2025, at 10:00 a.m. Eastern to discuss its quarterly results, accessible via teleconference [2] Upcoming Investor Conferences - SMC's senior management will attend several upcoming investor conferences, including the 2025 Energy Infrastructure CEO & Investor Conference from May 20-22, 2025, and the 2025 RBC Capital Markets Global Energy, Power & Infrastructure Conference on June 3-4, 2025 [3] Company Overview - SMC focuses on developing, owning, and operating midstream energy infrastructure assets in key unconventional resource basins in the U.S., providing services related to natural gas, crude oil, and produced water [4]

Core Viewpoint - Sulliden Mining Capital Inc. has acquired a 5.2% interest in a nickel, zinc, and lead mining exploration project in Poland through the purchase of shares in Sustainable Royalty Corp, reinforcing its commitment to expanding its resource portfolio [1][2]. Acquisition Details - The acquisition involved Sulliden purchasing 10% of the issued shares of Sustainable Royalty Corp for C$100,000, with an additional commitment of 250,000 euros for project development [2]. - Mr. Stan Bharti, the vendor, retains a 63% interest in the Target company [2]. - The acquisition was conducted at arm's length and did not result in a change of control for Sulliden [2]. Project Overview - The project includes the Szklary and Dabrowka concessions, with Szklary being a nickel laterite deposit located approximately 50 km south of Wroclaw, Poland, and Dabrowka located 25 km north of Katowice [3][4]. - Szklary has a historical inferred mineral resource of 32.9 million tonnes at 0.70% nickel, while Dabrowka has an estimated in-situ JORC-compliant resource of 22.4 million tonnes at 2.8% zinc and 22.4 million tonnes at 0.7% lead [3][4]. Exploration Plans - The company plans to drill an additional 30 holes at Szklary to confirm historical resources and 27 holes at Dabrowka to complement previous exploration [3][4]. - Ongoing exploration is expected to investigate unexplored sulphide deposits at depth in Szklary [3]. Strategic Importance - The project benefits from proximity to two smelters located less than 20 km away, accessible via rail, and utilizes proven mining methods [5]. - The company aims to enhance its portfolio in key resource sectors through this strategic investment [7]. Stock Options - Sulliden has granted 3,175,000 stock options to directors, officers, and consultants, which may be exercised at a price of $0.05 per option for four years [8].