Diversified Energy (DEC) Corporate presentation summary

Strategic growth and operational highlights

• Achieved over 30x production growth since 2017, reaching ~1.2 Bcfe/d pro forma for the Maverick acquisition, with $585 million in acquisitions in 2024 and a pending $1.3 billion Maverick deal.

• Maintains a de-risked production model with 60-80% of gas volumes hedged over the next five years, robust margins, and peer-leading low production declines (~10% per year).

• Focuses on capital efficiency, high free cash flow conversion, and low-interest debt, supporting debt reduction, dividends, and share buybacks.

• Modernizes operations through technology, real-time data, and scalable IT/OT systems, enabling efficient asset management and integration.

• Unlocks value from 9.5 million net undeveloped acres, with recent land sales in Oklahoma alone valued at over $800 million.

Financial performance and capital allocation

• Q1 2025 average production was 864 MMcfe/d, with an exit rate of 1,149 MMcfe/d; total Q1 revenue was $295 million, and adjusted EBITDA was $138 million (47% margin).

• Generated $62 million in free cash flow in Q1 2025, with a 45% conversion rate, and operating cash flow of $132 million.

• Strengthened liquidity to $451 million, secured a new $900 million credit facility, and reduced 2025 amortization by ~15%.

• Returned $59 million to shareholders in Q1 2025 through $19 million in share repurchases and over $40 million in dividends.

• Maintains a leverage target of 2.0x–2.5x, with significant deleveraging through amortizing ABS debt and ongoing debt retirement.

Acquisition strategy and portfolio expansion

• Completed ~$2 billion in acquisitions in early 2025, including Summit and Maverick, expanding scale and improving margins.

• Maverick acquisition increases production by ~40%, doubles hedged revenue, and enhances commodity diversification and organic growth opportunities.

• Acquisitions in 2024 added over 350 MMcfepd of production in the Central Region, with attractive EBITDA multiples and robust cash flows.

• Integration of acquired assets leverages economies of scale, driving G&A and operating cost efficiencies, with historical synergy capture reducing costs by 35% in Appalachia.