BKV (BKV) investor relations material

Strategic vision and business model

• Pursues a closed loop net zero strategy, aiming to fully decarbonize natural gas operations by the early 2030s through carbon capture and sequestration.

• Focuses on natural gas as a core, long-term energy source, not just a transitional fuel, with significant export potential.

• Integrates upstream, midstream, power, and carbon capture businesses to create differentiated, premium energy products.

• Leverages cash flow from gas operations to fund growth in carbon capture and power, minimizing reliance on external capital.

• Employs a disciplined capital allocation strategy, balancing organic growth, M&A, and shareholder returns.

Operational highlights and growth

• Operates major assets in Texas and the Marcellus, with rapid production growth nearing 1 Bcf/day after the Bedrock acquisition.

• Midstream network moves nearly 1,000 miles of gas, including significant third-party volumes.

• Carbon capture business is among the fastest growing, targeting 1 million tons of CO2 injection annually by 2027.

• Power business includes 1,500 MW of capacity in Texas, well-positioned for the AI and data center electricity demand surge.

• Maintains strong operational efficiency, with a corporate production decline rate of 10.8% and flexible CapEx deployment.

M&A and Barnett Shale strategy

• Aggressively consolidates the Barnett Shale, acquiring assets from Devon, ExxonMobil, and Bedrock to optimize scale and efficiency.

• Bedrock acquisition adds significant inventory, including 50+ high-quality drilling locations and 80 refrac candidates.

• Applies advanced drilling and completion techniques, achieving 17% improvement in type curves and reduced costs to $5.60/ft.

• Sees substantial remaining inventory and headroom in Barnett, with potential to increase production to serve LNG markets.

• Positioned as a natural consolidator in the basin, with both organic and inorganic growth opportunities.