Antero Resources (AR) investor relations material

Liquids market trends and export capacity

• Propane dock expansions in 2026 will boost U.S. export capacity by about 30%.

• May 2026 propane exports averaged 2.2 MMBbl/d, with a record weekly export of over 2.6 MMBbl/d.

• Propane inventories are expected to normalize by the second half of 2026, raising potential supply risks by winter.

• Global supply outages are increasing demand for U.S. LPG, with a risk premium likely as countries seek supply diversification.

• The U.S. remains the only incremental global supplier of LPG and ethane.

Export infrastructure and shipping dynamics

• New propane dock capacity, including Enterprise Neches River and Energy Transfer expansions, will come online between late 2025 and mid-2026.

• The Enterprise Neches River terminal began propane cargoes in April 2026, adding flexible capacity for both propane and ethane.

• Global VLGC (Very Large Gas Carrier) fleet is set to grow 25% from 2026–2029, with a record 55 ships delivered in 2026.

• Freight rates spiked after Operation Epic Fury but U.S. Gulf Coast propane dock premiums have normalized due to ample capacity.

Global supply, demand, and pricing impacts

• U.S. is the dominant incremental LPG supplier, with Middle East supply remaining flat and recent geopolitical events reducing their exports.

• 40% of global NGL production came from the U.S. in 2025, with U.S. NGL supply forecast to grow 12% from 2024 to 2027.

• U.S. NGL demand growth is driven by exports, which are projected to comprise over 50% of total demand by 2027.

• NGL and crude prices surged in 2026 due to the Iran conflict, with U.S. and global spot prices for LPG and WTI rising sharply.

• Demand for NGLs is expected to grow for decades, driven by energy transition and petrochemical needs, even as oil demand declines.