Posco International (047050) Investor presentation summary

Key highlights

• 100% acquisition of non-operated Marcellus Basin shale gas assets for $550M; reserves of 1.3 Tscf, including 220 Bscf of prospective resources, and 124 MMscf/d production.

• Expected operating profit of approximately KRW 100B from 2028 onward; acquired assets averaged $50M annual EBITDA in 2023–2025.

• Producing assets are expected to generate immediate cash flow and strengthen LNG value-chain integration, including gas supply to Centrux and potential future LNG conversion for import to Korea.

• U.S. LNG-related gas demand is projected to reach 250M MT by 2030, up approximately 90% from 2025; AI and data center power demand are cited as drivers.

Background and rationale

• U.S. ranked first globally in natural gas production and LNG exports, with 800M MT of annual production and 22% of the global LNG market in 2025.

• Declining production near liquefaction terminals after 2030 is projected to add upward pressure on gas prices; growing exports and domestic demand are expected to support Henry Hub prices.

• Asian peers have acquired U.S. upstream gas assets to build LNG value chains and strengthen supply stability; Mitsubishi and JERA made major U.S. upstream acquisitions in 2025.

Acquisition overview

• Transaction value is $550M, including purchase price and short-term working capital; definitive agreement signed September 14, with closing targeted for mid-November 2026.

• Assets comprise 1,305 producing wells and 701 development wells in Pennsylvania’s Marcellus Core; reserves are 1.3 Tscf and production was 124 MMscf/d as of 1H 2026.

• A local U.S. subsidiary will hold the assets; operations, drilling and permitting are managed by the U.S. shale gas producer identified as the industry’s No. 1.

• Long-term pipeline and end-user offtake agreements support direct gas sales and transport beyond the basin.