Summit Midstream Corporation

Good day, and thank you for standing by. Welcome to the Summit Midstream Corporation fourth quarter 2025 earnings conference call. At this time, all participants are on the listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Randall Burton, Vice President of Finance and Treasurer. Please go ahead.

Thanks, Operator, and good morning, everyone. If you don't already have a copy of our earnings release and presentation, please visit our website at www.summitmidstream.com, where you'll find it on the homepage, events and presentation section, or quarterly results section. With me today to discuss our fourth quarter and full year 2025 financial and operating results is Heath Deneke, our President, Chief Executive Officer, and Chairman, Bill Malt, our Chief Financial Officer, and Chris Tennant, our Chief Commercial Officer, along with other members of our senior management team. Before we start, I'd like to remind you that our discussion today may contain forward-looking statements. These statements may include but are not limited to our estimates of future volumes, operating expenses, and capital expenditures. They may also include statements concerning anticipated cash flow, liquidity, business strategy, and other plans and objectives for future operations. Although we believe that the expectations reflected in such forward-looking statements are reasonable, we can provide no assurance that such expectations will prove to be correct. Please see SMC's annual report on Form 10-K for the fiscal year ended December 31st, 2025, which the company filed with the SEC on March 16th, 2026, as well as our other SEC filings for listing of factors that could cause actual results to differ materially from expected results. Please also note that on this call, we used the terms EBITDA, segment-adjusted EBITDA, adjusted EBITDA, distributable cash flow, and free cash flow. These are non-GAAP financial measures, and we have provided reconciliations to the most directly comparable GAAP measures in our most recent earnings release. With that, I'll turn the call over to Heath.

Great. All right. Well, thanks, Randall, and good morning, everyone. I wanted to start this morning by introducing you to a new voice you'll hear on the call today. Chris Tennant, who joined Summit in February, is our chief commercial officer who's joining us. Chris brings more than three decades of experience across the oil, natural gas, and NGO value chain, and he'll be leading our commercial organization going forward. Chris has hit the ground running since joining the team and is already making a strong impact across the organization. I'm excited to have him here and look forward to the contributions he'll make as we continue executing on Summit's growth strategy. Turning now to slide three, we're very pleased with the progress Summit made during the quarter and in the first couple of months of 2026. From a financial perspective, Summit generated approximately 58.6 million of adjusted EBITDA in the fourth quarter, along with 33.7 million of distributable cash flow and 17 million of free cash flow. Operationally, and despite the weakening of oil prices in the second half of 2025, we continue to see solid development activity across our systems, with seven rigs currently running behind our footprint and approximately 90 drilled but uncompleted wells. At this point, we have visibility to between 116 and 126 well connections in 2026, which is relatively modest compared to prior years. However, we could see more activity accelerate in the second half of the year as producers look to take advantage of the recent run-up in oil prices. On the commercial front, we made a tremendous amount of progress since our last update. Starting with the EE pipeline, we recently signed two 11-plus year transportation agreements totaling $440 million per day affirmed capacity. In addition, we received an affirmative FID notice on the previously announced Producers Midstream II $100 million a day agreement that we announced last year. In the aggregate, this represents more than a half a BCF a day of new long-term take-or-pay agreements that we've executed over the past six months. With these new agreements and the corresponding step up and committed taker pay volumes over the next several years, our Permian segment adjusted EBITDA is expected to grow from 34 million in 2025 to roughly 60 million by 2029. With these new contracts, EE's existing mainline capacity is now generally fully subscribed. However, as Chris will get into further in the call, we have launched a bonding open season to solicit additional customer commitments to support a mainline compression project that would expand the pipeline's capacity by approximately 50% or roughly $800 million a day. Additionally, we successfully refinanced the EE cap structure with a new $440 million term loan facility, which enables an $85 million distribution back to Summit, which we intend to use to repay $45 million of accrued and unpaid dividends and reduced borrowings under the ABL. Bill will walk through the details of the transaction later in the call, but this transaction is a major win for the company as it increases our financial flexibility while allowing us to continue to execute on these high return growth projects at EE, including the Mainland Compression Project, without straining Summit's corporate balance sheet. In addition, the repayment of the accrued and unpaid dividends on the Series A preferred stocks further simplifies Summit's balance sheet and is also an important step towards enabling a sustainable return of capital program for our shareholders in the future. We're also very excited about the growth outlook in the Rocky segment as we continue to see development activity up in the Bakken shift towards our pipeline footprint in Williams and Divide counties. As Chris will cover later in the call, our Polar and Divide system is uniquely positioned to benefit from that shift. as evidenced by a new long-term crew gathering agreement that we executed in the fourth quarter in Divide County. There's also a lot of positive momentum building up around our GNP system in the DJ Basin that we're excited about as well. I'm sure we'll be updating everyone on as we move throughout the rest of 2026. And finally, at the end of the call, I wanted to walk investors through a snapshot of Summit's strong and highly visible organic growth outlook that will be led by our Permian and Rockies segment. We're very excited about the commercial momentum we have around the business and the growing backlog of very attractive, high-returning organic growth projects that we believe positions the company to achieve over 100 million of adjusted EBITDA growth by 2030. We believe we'll generate a tremendous amount of shareholder value in the coming years as we execute on these growth plans while we maintain our financial discipline and continued focus on improving the balance sheet. And with that, I'll turn the call over to Bill to walk through our financial results and guidance on slide four.