Sitio Royalties (STR) Investor Presentation summary

Business overview and asset base

• Sitio Royalties is a leading NYSE-listed royalties enterprise with a $4.4bn enterprise value and $3.4bn equity value as of August 2024.

• Operates across the Permian, Delaware, Midland, DJ, Williston, and Eagle Ford basins, with 267,351 net royalty acres (NRAs) and exposure to 36% of the Permian Basin.

• Production reached a record 39.2 Mboe/d in 2Q24, diversified across 140+ operators and four high-margin onshore basins.

• Maintains a large inventory with 45,898 gross and 409.5 net remaining wells, supporting over 10 years of development.

• 68% of all US onshore rigs in 2Q24 operated in Sitio’s four core basins, with 16% on Sitio acreage.

Financial performance and capital allocation

• Achieved an adjusted EBITDA margin of 90% and total cash costs of $13.26/boe in 2Q24.

• 2Q24 saw $189mm in acquisitions and $63mm in share repurchases, with 2.6mm shares bought back.

• Returned $696mm to shareholders since 2Q22, about 20% of market capitalization, through dividends and buybacks.

• 2Q24 discretionary cash flow (DCF) was $129mm, with 85% ($110mm) returned to shareholders and 49% via share repurchases.

• Maintains a strong balance sheet with $1.06bn in total debt, $406mm liquidity, and a $850mm revolving credit facility as of 6/30/24.

Acquisition and growth strategy

• Pursues accretive, IRR-driven acquisitions, adding 14,996 NRAs in 2Q24 for $188.5mm, mainly in the Permian and DJ Basins.

• Since 2019, NRAs have grown 114%, with nearly half of large-scale public mineral acquisitions since 2017 attributed to Sitio.

• Cumulative production and cash flow from acquisitions since 2021 have outperformed underwriting by 6% and 11% respectively in the first 6 months.

• Focuses on privately negotiated deals, with 88% of $150mm+ deals since 2021 done privately.

• Organic reserves replacement ratio exceeded 100% for the past three years, indicating ongoing base asset growth.