Gibson Energy (OTCPK:GBNX.F) 2025 Investor Day Transcript

Gibson Energy 2025 Investor Day Summary Company Overview - Company: Gibson Energy (OTCPK: GBNX.F) - Event: 2025 Investor Day held on December 2, 2025 - Key Focus: Discussing company strategy, growth opportunities, and financial outlook Core Industry Insights - Industry: North American energy infrastructure, specifically midstream oil and gas - Market Position: Gibson Energy connects Canadian production with global markets, emphasizing the importance of reliable infrastructure in rising global energy demand [22][29] Key Financial Targets - Infrastructure Growth Rate: Targeting over 7% growth rate in infrastructure over the next five years [5][44] - Total Shareholder Return: Projecting over 100% return for shareholders in the same period [5][44] - Historical Performance: Since 2019, storage footprint has more than doubled, and infrastructure EBITDA has also more than doubled [33] Operational Highlights - Employee Ownership: Over 95% of employees are owners, fostering a strong commitment to performance [6] - Safety Performance: Recognized as the number one safety-performing company in the midstream sector across North America [31] - Record Throughput: Hardesty terminal achieved over 1.1 million barrels per day in Q2 2025, the highest since early 2024 [24] Growth Strategies - Crown Jewel Assets: Focus on key infrastructure assets like Hardesty, Edmonton, Moose Jaw, Gateway, and Wink terminals [22][30] - Expansion Plans: A $150 million capital program announced for 2026, including projects to enhance terminal capacity and efficiency [55][56] - Partnerships: New infrastructure partnerships, such as the one with Baytex in the Duvernay, expected to drive additional volume to core terminals [50] Financial Discipline - Cash Flow Quality: Over 95% of infrastructure revenue is driven by take-or-pay or fee-for-service contracts [59] - Cost Savings: Achieved CAD 25 million in annual savings through employee-driven initiatives, resulting in a nearly 30% decrease in operating costs per barrel year over year [63][64] - Leverage: Targeting infrastructure leverage of four times or less while maintaining a strong balance sheet [59] Market Outlook - Crude Oil Demand: Anticipated growth in crude oil demand through 2050, with Canada and the U.S. playing significant roles [44][45] - Political Climate: Positive political environment in Canada for energy infrastructure development, enhancing growth prospects [70] Conclusion - Investment Confidence: Management and board members have invested CAD 12 million in shares, reflecting confidence in the company's growth trajectory [67] - Future Growth: Expected to deliver over 7% infrastructure EBITDA per share growth through 2030, supported by disciplined capital allocation and operational excellence [66]