Pembina Pipeline (PPL) Status update summary

Strategic outlook and growth targets

• Targeting 5-7% compound annual fee-based adjusted EBITDA per share growth through 2030, supported by higher utilization, sanctioned projects, and under-development opportunities.

• Growth strategy centers on the 3Cs: Capture (core franchise growth), Connect (market access and exports), and Catalyze (new demand platforms like data centers and petrochemicals).

• Integrated asset base across the hydrocarbon value chain enables value creation and low-risk expansion into adjacent opportunities.

• Recent and upcoming infrastructure projects, including Cedar LNG, Greenlight Electricity Centre, and Yellowhead Extraction Plant, underpin growth and extend the value chain.

• Policy momentum and expanding export capacity in Western Canada support a constructive long-term outlook.

Operational and commercial execution

• Operational excellence, commercial success, and disciplined project execution are foundational pillars, supported by a new Operational Excellence Management System.

• Safety performance and asset optimization have improved, unlocking 70,000 boe/d incremental capacity with minimal capital.

• Record throughput and long-term producer-backed relationships drive durable, repeatable growth.

• Over CAD 2 billion in projects on track for on-time and on/under budget delivery from 2024-2026, including K3 Cogeneration and Wapiti Expansion milestones.

• Cedar LNG project is 50% spent, 80% committed, on time and on budget, with fixed-fee contracts and upside potential.

Financial framework and capital allocation

• Capital allocation prioritizes balance sheet strength, sustainable dividends, accretive growth capital, and disciplined discretionary spending.

• Maintains a strong BBB rating and leverage target of 3.5-4.25x senior debt to EBITDA, with a 13-year track record.

• Dividend growth of ~4% CAGR over 25 years, fully supported by fee-based distributable cash flow.

• Growth plan is self-funded, with CAD 7-8 billion available for investment from operating cash flow between 2026-2030 and CAD 3 billion incremental debt capacity.

• Minimum 80% fee-based contribution to adjusted EBITDA and minimum 75% credit exposure from investment grade or secured counterparties.