Vermilion Energy (VET) Corporate presentation summary

Strategic repositioning and portfolio highlights

• Focus on global gas production with a diversified portfolio across Canada and Europe, emphasizing long-life assets and top decile realized gas prices.

• Streamlined operations have led to a 50% increase in production per share and over 30% reduction in unit costs and capital intensity from 2024 to 2026.

• Deep Basin, Montney, and Germany are key growth assets, each with over a decade of drilling inventory and infrastructure to support long-term development.

• Recent acquisitions and land expansions in Germany have increased production, infrastructure control, and exploration upside.

Financial performance and capital allocation

• 2026 guidance targets production of 121,000–123,000 boe/d, with 70% natural gas weighting and $600–630MM in E&D capital expenditures.

• Net debt reduced by ~$1B since 2024, with a year-end 2026 net debt-to-FFO ratio of 1.3x and a focus on maintaining a strong balance sheet.

• Five-year outlook projects $1.7B cumulative excess free cash flow (EFCF), supporting dividend growth, share buybacks, and further debt reduction.

• Capital allocation prioritizes 40–60% of EFCF to shareholder returns and debt repayment, with robust liquidity and disciplined spending.

Operational excellence and asset performance

• Deep Basin and Montney assets deliver high returns, with drilling cost reductions and improved well results driving profitability.

• Montney infrastructure build-out nearly complete, enabling a pivot to EFCF generation by 2028 with lower sustaining capital.

• Germany and Netherlands gas assets offer low-cost international exposure, with recent discoveries and infrastructure investments set to double European gas production by 2030.

• Portfolio resilience is enhanced by a balanced mix of liquids and gas, with significant exposure to premium-priced European gas markets.