Keyera Announces 2026 Third Quarter Results and 2027 Guidance

CALGARY, AB, Nov. 10, 2026 /CNW/ -- Keyera Corp. (TSX: KEY) ("Keyera", the "company" or "our") today announced its results for the third quarter ended September 30, 2026. To view our Management's Discussion and Analysis (the "MD&A") and financial statements, visit either Keyera's website or its filings on SEDAR+ at www.sedarplus.ca.

"The third quarter marked an important milestone for Keyera, with the first full-quarter contributions from the Plains acquisition and our increased ownership in KAPS," said Dean Setoguchi, President and CEO. "We are making strong progress integrating our expanded platform, advancing growth projects on time and on budget, and securing new opportunities supported by growing customer demand. While reliability at AEF remains a challenge, we are focused on executing our plan to restore sustained performance. Our priority remains disciplined execution and delivering on our commitments to customers and shareholders."

Third Quarter Highlights

• Financial Results 
  • Adjusted earnings before interest, taxes, depreciation and amortization¹ ("adjusted EBITDA") were $462 million (Q3 2025 – $281 million), or $466 million excluding Plains transaction and integration costs. The increase primarily reflects the first full-quarter contributions from the Plains Canadian NGL business and Keyera's additional 50% interest in KAPS, together with higher volumes across the integrated system, partially offset by planned maintenance, the Line 5 disruption and lower utilization at Alberta EnviroFuels ("AEF").
  • Distributable cash flow¹ ("DCF") was $244 million, or $0.83 per share (Q3 2025 – $181 million, or $0.79 per share), or $247 million and $0.84 per share excluding Plains transaction and integration costs.
  • Net loss was $68 million (Q3 2025 – net earnings of $85 million).
• Fee-based Segment Realized Margin¹
  • Fee-based realized margin¹ increased 53% to $398 million (Q3 2025 – $260 million), driven by the Plains and KAPS acquisitions and continued growth across Keyera's existing businesses.
  • The Gathering and Processing segment generated realized margin¹ of $125 million (Q3 2025 – $112 million). Strong customer demand supported North region performance, with Simonette and Wapiti nearing full operating capacity. Volumes in the South region remained stable.
  • The Liquids Infrastructure segment generated record realized margin¹ of $272 million (Q3 2025 – $147 million), including approximately $103 million from the acquired Plains assets. Results also benefited from Keyera's additional ownership in KAPS and strong throughput across the expanded system, partially offset by planned maintenance at Empress and KFS North.
• Marketing Segment Realized Margin¹ and AEF Operational Update
  • The Marketing segment recorded realized margin¹ of $95 million (Q3 2025 – $73 million). Results reflect the impact of the Enbridge Line 5 disruption and lower iso-octane sales volumes due to reduced production at AEF in September. These impacts were partially offset by stronger iso-octane pricing and increased sales of butane.
  • Following the third quarter, heat exchanger performance at AEF deteriorated more rapidly than anticipated, further constraining production. Keyera expects production to remain at reduced rates for the balance of 2026 and plans to undertake an interim outage of approximately four weeks in early January 2027 to complete repairs and restore some operating capacity. AEF is expected to continue operating at reduced rates until the permanent replacement equipment is installed in May 2027, with a return to full production expected by the end of May. The total expected impact on 2027 Marketing realized margin from the outages and reduced production is approximately $85 million.
• Financial Position
  • The company ended the quarter with net debt to adjusted EBITDA² of 3.6 times, above its long-term target range of 2.5 to 3.0 times. Keyera remains focused on deleveraging and returning to within its targeted range in 2028.
• Plains Acquisition Synergy Update
  • Keyera remains on track to achieve its target of $120 million to $140 million in annualized run-rate synergies within the first 12 months following the Plains Canadian NGL business acquisition. As at September 30, 2026, the company had captured or implemented initiatives representing approximately $115 million in annualized run-rate synergies.
  • Beyond the initial 12-month period, Keyera is advancing a growing inventory of additional commercial and capital investment opportunities across its expanded asset base, with further details to be provided as projects advance.
• Growth Projects Progressing On Time and On Budget
  • Execution across Keyera's major growth projects remains strong, with the KFS North Debottleneck, KAPS Zone 4, KFS Frac III and the ACE Rail Terminal all progressing on schedule and tracking on or below budget. Further details are provided in the MD&A.
• Advancing Capital-Efficient Debottleneck Opportunities to Accommodate Growing Customer Demand
  • To position for expected long-term growth in condensate demand, Keyera is advancing a capital-efficient debottleneck of its wholly owned Fort Saskatchewan Condensate System (FSCS). Through drag-reducing agents and metering upgrades, Keyera expects to increase operable capacity by approximately 15% for a modest capital investment. Existing capacity is highly contracted under long-term take-or-pay agreements, with additional capacity expected to enter service in early 2027.
• 2026 Guidance Update
  • Marketing realized margin¹ is now expected to range between $400 million and $430 million, compared to the previous guidance range of $320 million to $350 million announced on September 3, 2026. The increase reflects approximately $50 million of incremental realized margin¹ resulting from acquired Plains inventory and associated hedges that were revalued as at the closing date of the acquisition. The revised outlook also reflects stronger-than-anticipated iso-octane margins and increased margins from butane sales. The updated guidance assumes average AEF utilization of approximately 50% for the remainder of 2026.
  • Growth capital expenditures are expected to come in toward the upper end of the previously disclosed guidance range of $650 million to $725 million.
  • Maintenance capital expenditures are now expected to range between $260 million and $280 million, compared to the previous guidance range of $240 million to $260 million. The increase primarily reflects additional maintenance spending across the newly acquired assets.
  • Cash taxes are expected to range between $55 million and $75 million (previously $70 million to $90 million).
• 2027 Guidance

Keyera's 2027 financial outlook and longer-term fee-based growth targets are summarized below.

Fee-based adjusted EBITDA per share^1 growth	On track to achieve targeted CAGR of: 16%–18% from 2025–2027 7%–8% from 2027–2029
Marketing Realized Margin^1	To be provided with Q1 2027 results, following the annual NGL contracting season.
Growth Capital Expenditures	$630 million – $670 million Primarily KAPS Zone 4, KFS Frac III and ACE Rail Terminal.
Maintenance Capital Expenditures	$250 million – $280 million Includes ~$20 million for AEF equipment replacement and associated work Includes ~$20 million for one-time integration of operational IT systems across acquired facilities.
Cash Taxes	$130 million – $150 million

Summary of Key Measures	Three months ended    September 30,		Nine months ended    September 30,
(Thousands of Canadian dollars, except where noted)	2026	2025	2026	2025
Net (loss) earnings	(67,742)	85,216	118,149	342,069
Per share ($/share) – basic	(0.23)	0.37	0.45	1.49
Cash flow (used in) from operating activities	(30,385)	173,321	(17,013)	484,468
Funds from operations^1	310,004	209,771	638,169	619,132
Distributable cash flow^1	243,663	181,279	409,327	529,610
Per share ($/share)^1	0.83	0.79	1.57	2.31
Distributable cash flow^1 (adjusted for acquisition-related items)	246,587	185,542	481,303	542,866
Per share ($/share)^1	0.84	0.81	1.84	2.37
Dividends declared	165,083	123,812	441,271	362,132
Per share ($/share)	0.56	0.54	1.64	1.58
Payout ratio %^1	68 %	68 %	108 %	68 %
Payout ratio %^1(adjusted for acquisition-related items)	67 %	67 %	92 %	67 %
Adjusted EBITDA^1	462,025	280,581	931,819	830,554
Adjusted EBITDA^1 (adjusted for acquisition-related items)	465,823	286,118	1,006,258	847,769
Operating margin	177,840	317,999	924,962	1,035,198
Realized margin^1	492,376	332,832	1,150,128	987,535
Gathering and Processing
Operating margin	132,260	111,795	375,181	333,399
Realized margin^1	125,327	112,293	371,370	333,097
Gross processing throughput^3 (MMcf/d)	1,690	1,537	1,686	1,556
Net processing throughput^3 (MMcf/d)	1,512	1,420	1,488	1,418
Liquids Infrastructure
Operating margin	261,799	148,264	624,775	444,375
Realized margin^1	272,296	147,348	635,390	442,957
Gross processing throughput^4 (Mbbl/d)	141	156	160	172
Net processing throughput^4 (Mbbl/d)	77	90	87	99
AEF iso-octane production volumes (Mbbl/d)	10	14	5	12
Marketing
Operating (loss) margin	(216,171)	57,983	(74,822)	257,606
Realized margin^1	94,801	73,234	143,540	211,663
Inventory value	730,248	299,681	730,248	299,681
Sales volumes (Bbl/d)	382,600	228,200	303,700	216,200
Acquisitions	65,674	--	6,609,137	12,567
Growth capital expenditures	282,598	63,719	522,933	112,831
Maintenance capital expenditures	93,730	18,674	209,716	48,393
Total capital expenditures	442,002	82,393	7,341,786	173,791
Weighted average number of shares outstanding – basic and diluted	293,464	229,229	260,972	229,179
As at September 30,			2026	2025
Long-term debt^5			7,362,898	6,122,329
Credit facility			480,000	--
Working capital deficit (surplus) (current assets less current liabilities)			277,303	(2,735,590)
Net debt			8,120,201	3,386,739
Common shares outstanding – end of period			293,481	229,283

CEO's Message to Shareholders

Positioning Keyera for Canada's energy growth opportunity. Canada has a generational opportunity to strengthen its position as a global energy superpower. Geopolitical uncertainty continues to reinforce the importance of secure, reliable energy supplies, while greater alignment among governments and industry, supportive policy initiatives and progress on major export infrastructure are creating a more constructive investment environment. Together, these developments have the potential to unlock significant growth in Canadian energy production and the infrastructure required to connect it to global markets.

Connecting production to higher-value markets. Growing oil sands production is driving increased demand for condensate, while the upstream development needed to supply that condensate is also generating greater volumes of natural gas, propane, butane and other natural gas liquids. Keyera's strategy is to efficiently connect condensate supply to growing oil sands demand, while processing and connecting other NGL products to the high value markets, helping producers achieve stronger netbacks. The acquisition of Plains' Canadian NGL business and full ownership of KAPS have expanded our integrated platform and strengthened market access. We are further expanding capacity through capital-efficient debottlenecks across our fractionation and condensate systems, while advancing major projects including KAPS Zone 4, KFS Frac III and the ACE Rail Terminal. Strong customer demand and long-term contractual commitments underpin this growth.

Executing on our growth opportunities and operational priorities. The acquired Plains assets are performing ahead of our expectations, and integration is progressing well, with approximately $115 million in annualized run-rate synergies captured or implemented toward our $120 million to $140 million target. We continue to identify additional opportunities to unlock value beyond these initial synergies. All major growth projects remain on schedule and on or below budget. We also successfully completed major planned turnarounds at Empress and the KFS North debottleneck tie-in while managing the unexpected Enbridge Line 5 disruption. At KFS North, the flexibility of our integrated system and storage assets enabled us to maintain uninterrupted customer service throughout the outage. While reliability challenges at AEF continue to affect performance, we remain confident in the underlying fundamentals of our iso-octane business and are taking action to restore sustained reliability through an updated operating approach and planned equipment replacement in spring 2027.

Creating lasting value for customers and shareholders. By helping our customers grow and capture greater value from their production, we create opportunities to deliver sustainable returns for Keyera shareholders. Our expanded platform and contracted growth projects provide a clear pathway to our targeted fee-based adjusted EBITDA per share compound annual growth rates of 16% to 18% from 2025 to 2027 and 7% to 8% from 2027 to 2029, with opportunities for further upside. We remain focused on safe and reliable operations, financial discipline and converting our expanded capabilities into sustainable long-term growth.

On behalf of our Board of Directors and leadership team, I thank our employees, customers, shareholders and other stakeholders for their continued commitment and support. We look forward to delivering on our priorities and contributing to Canada's energy future.

Dean Setoguchi
President and Chief Executive Officer
Keyera Corp. 

Notes:
1	Keyera uses certain non-Generally Accepted Accounting Principles ("GAAP") and other financial measures such as EBITDA, adjusted EBITDA, fee-based adjusted EBITDA, fee-based adjusted EBITDA per share, funds from operations, distributable cash flow, distributable cash flow per share, payout ratio, realized margin, fee-based realized margin and compound annual growth rate ("CAGR") for fee-based adjusted EBITDA per share. Since these measures are not standard measures under GAAP, they may not be comparable to similar measures reported by other entities. For additional information, and where applicable, for a reconciliation of the historical non-GAAP financial measures to the most directly comparable GAAP measure, refer to the section of this news release titled "Non-GAAP and Other Financial Measures". For the assumptions associated with the base and 2026 realized margin guidance for the Marketing segment, refer to the sections titled "Segmented Results of Operations: Marketing", "Non-GAAP and Other Financial Measures" and "Forward-Looking Statements" of Management's Discussion and Analysis for the period ended September 30, 2026.
2	Ratio is calculated in accordance with the covenant test calculations related to the company's credit facility and senior note agreements and excludes hybrid notes.
3	Includes gas volumes and the conversion of liquids volumes handled through the processing facilities to a gas volume equivalent. Net processing throughput refers to Keyera's share of raw gas processed at its processing facilities.
4	Fractionation throughput in the Liquids Infrastructure segment is the aggregation of volumes processed through the fractionators and the de-ethanizers at the Keyera and Dow Fort Saskatchewan facilities.
5	Long-term debt includes the total value of Keyera's hybrid notes which receive 50% equity treatment by Keyera's rating agencies. The hybrid notes are also excluded from Keyera's covenant test calculations related to the company's credit facility and senior note agreements.

Third Quarter 2026 Results Conference Call and Webcast

Keyera will be conducting a conference call and webcast for investors, analysts, brokers and media representatives to discuss the financial results for the third quarter of 2026 at 8:00 a.m. Alberta Time (9:00 a.m. Eastern Time) on Tuesday, November 10, 2026. Callers may participate by dialing 1-888-510-2154 or 1-437-900-0527. A recording of the conference call will be available for replay until 11:00 PM Alberta Time on November 23, 2026 (12:00 AM Eastern Time on November 24, 2026), by dialing 1-888-660-6345 or 1-289-819-1450 and entering passcode 11605.

To join the conference call without operator assistance, you may register and enter your phone number here to receive an instant automated call back. This link will be active on Tuesday, November 10, 2026, at 7:00 AM Alberta Time (8:00 AM Eastern Time).

A live webcast of the conference call can be accessed here or through Keyera's website at Events & Presentations - Keyera. Shortly after the call, an audio archive will be posted on the website for 90 days.

Additional Information
For more information about Keyera Corp., please visit our website at www.keyera.com or contact:

Dan Cuthbertson, General Manager, Investor Relations
Katie Shea, Senior Advisor, Investor Relations

Email: [email protected]
Telephone: [phone]
Toll free: 888-699-4853

For media inquiries, please contact:
Amanda Condie, Senior Manager, Corporate Communications
Email: [email protected]
Telephone: [phone]

About Keyera Corp.

Keyera Corp. (TSX: KEY) operates an integrated Canadian-based energy infrastructure business with extensive interconnected assets and depth of expertise in delivering energy solutions. Its predominantly fee-for-service based business consists of natural gas gathering and processing; natural gas liquids processing, transportation, storage, and marketing; iso-octane production and sales; and an industry-leading condensate system in the Edmonton/Fort Saskatchewan area of Alberta. Keyera strives to provide high quality, value-added services to its customers across North America and is committed to conducting its business ethically, safely and in an environmentally and financially responsible manner.

   Non-GAAP and Other Financial Measures

This news release refers to certain financial and other measures that are not determined in accordance with Generally Accepted Accounting Principles ("GAAP"). Measures such as funds from operations, distributable cash flow, distributable cash flow per share, payout ratio, realized margin, fee-based realized margin, EBITDA, adjusted EBITDA and compound annual growth rate ("CAGR") for fee-based adjusted EBITDA per share are not standard measures under GAAP or are supplementary financial measures, and as a result, may not be comparable to similar measures reported by other entities. Management believes that these non-GAAP and other financial measures facilitate the understanding of Keyera's results of operations, leverage, liquidity and financial position. These measures do not have any standardized meaning under GAAP and therefore, should not be considered in isolation, or used in substitution for measures of performance prepared in accordance with GAAP. For additional information on these non-GAAP and other financial measures, including reconciliations to the most directly comparable GAAP measures for Keyera's historical non-GAAP financial measures, refer below and to Management's Discussion and Analysis ("MD&A") for the period ended September 30, 2026, which is available on SEDAR+ at www.sedarplus.ca and Keyera's website at www.keyera.com. Specifically, refer to the sections of the MD&A titled, "Non-GAAP and Other Financial Measures", "Forward-Looking Statements", "Segmented Results of Operations", "Dividends: Funds from Operations, Distributable Cash Flow and Payout Ratio", and "EBITDA and Adjusted EBITDA".

Funds from Operations and Distributable Cash Flow ("DCF")

Funds from operations is defined as cash flow from operating activities adjusted for changes in non-cash working capital. This measure is used to assess the level of cash flow generated from operating activities excluding the effect of changes in non-cash working capital, as they are primarily the result of seasonal fluctuations in product inventories or other temporary changes. Funds from operations is also a valuable measure that allows investors to compare Keyera with other infrastructure companies within the oil and gas industry.

Distributable cash flow is defined as cash flow from operating activities adjusted for changes in non-cash working capital, inventory write-downs, maintenance capital expenditures, lease payments, including the periodic costs related to prepaid leases, the crystallization of gains and losses on acquired net assets, and common shares issued from treasury to settle LTIP expense. Distributable cash flow per share is defined as distributable cash flow divided by the weighted average number of shares outstanding – basic. Distributable cash flow is used to assess the level of cash flow generated from ongoing operations and to evaluate the adequacy of internally generated cash flow to fund dividends. Distributable cash flow, adjusted for acquisition-related items (net of tax), has also been included.

The following is a reconciliation of funds from operations and distributable cash flow to the most directly comparable GAAP measure, cash flow from operating activities:

Funds from Operations and Distributable Cash Flow	Three months ended September 30,			Nine months ended September 30,
(Thousands of Canadian dollars)	2026		2025	2026	2025
Cash flow (used in) from operating activities	(30,385)		173,321	(17,013)	484,468
Add (deduct):
Changes in non-cash working capital	340,389		36,450	655,182	134,664
Funds from operations	310,004		209,771	638,169	619,132
Maintenance capital	(93,730)		(18,674)	(209,716)	(48,393)
Leases	(25,240)		(13,322)	(59,719)	(41,903)
Prepaid lease asset	(596)		(595)	(1,786)	(1,785)
Inventory write-down	--		(1,435)	(11,326)	(2,975)
Net crystallized gain on acquired net assets	50,948		--	50,948	--
LTIP expense – common shares issued	2,277		5,534	2,757	5,534
Distributable cash flow	243,663		181,279	409,327	529,610
Acquisition and integration costs, net of tax	2,924		4,263	57,318	13,256
Net financing adjustments for incremental debt, net of tax	--		--	14,658	--
Distributable cash flow    (adjusted for acquisition-related items)	246,587		185,542	481,303	542,866

Payout Ratio

Payout ratio is calculated as dividends declared to shareholders divided by distributable cash flow. This ratio is used to assess the sustainability of the company's dividend payment program. Payout ratio, adjusted for acquisition and integration costs, is calculated as dividends declared to shareholders divided by distributable cash flow (adjusted for acquisition-related items).

Payout Ratio	Three months ended September 30,		Nine months ended September 30,
(Thousands of Canadian dollars, except %)	2026	2025	2026	2025
Distributable cash flow^1	243,663	181,279	409,327	529,610
Distributable cash flow^1     (adjusted for acquisition-related items)	246,587	185,542	481,303	542,866
Dividends declared to shareholders	165,083	123,812	441,271	362,132
Payout ratio	68 %	68 %	108 %	68 %
Payout ratio (adjusted for acquisition-related items)	67 %	67 %	92 %	67 %

1       Non-GAAP measure as defined above.

Realized Margin

Realized margin is defined as operating margin excluding unrealized gains and losses on commodity-related risk management contracts. Management believes that this supplemental measure facilitates the understanding of the financial results for the operating segments in the period without the effect of mark-to-market changes from risk management contracts related to future periods.

Fee-based realized margin includes realized margin for the Gathering and Processing and Liquids Infrastructure segments.

The following is a reconciliation of realized margin to the most directly comparable GAAP measure, operating margin: 

Operating Margin and Realized Margin
Three months ended September 30, 2026

(Thousands of Canadian dollars)		Gathering & Processing	Liquids Infrastructure	Fee-Based Realized Margin	Marketing	Corporate and Other	Total
Operating margin (loss)		132,260	261,799	394,059	(216,171)	(48)	177,840
Unrealized (gain) loss on risk management contracts		(6,933)	10,497	3,564	310,972	--	314,536
Realized margin (loss)		125,327	272,296	397,623	94,801	(48)	492,376

Operating Margin and Realized Margin
Three months ended September 30, 2025

(Thousands of Canadian dollars)		Gathering & Processing	Liquids Infrastructure	Fee-Based Realized Margin	Marketing	Corporate and Other	Total
Operating margin (loss)		111,795	148,264	260,059	57,983	(43)	317,999
Unrealized loss (gain) on risk management contracts		498	(916)	(418)	15,251	--	14,833
Realized margin (loss)		112,293	147,348	259,641	73,234	(43)	332,832

Operating Margin and Realized Margin
Nine months ended September 30, 2026

(Thousands of Canadian dollars)		Gathering & Processing	Liquids Infrastructure	Fee-Based Realized Margin	Marketing	Corporate and Other	Total
Operating margin (loss)		375,181	624,775	999,956	(74,822)	(172)	924,962
Unrealized (gain) loss on risk management contracts		(3,811)	10,615	6,804	218,362	--	225,166
Realized margin (loss)		371,370	635,390	1,006,760	143,540	(172)	1,150,128

Operating Margin and Realized Margin
Nine months ended September 30, 2025

(Thousands of Canadian dollars)		Gathering & Processing	Liquids Infrastructure	Fee-Based Realized Margin	Marketing	Corporate and Other	Total
Operating margin (loss)		333,399	444,375	777,774	257,606	(182)	1,035,198
Unrealized gain on risk management contracts		(302)	(1,418)	(1,720)	(45,943)	--	(47,663)
Realized margin (loss)		333,097	442,957	776,054	211,663	(182)	987,535

Operating Margin and Realized Margin
Twelve months ended December 31, 2025

(Thousands of Canadian dollars)		Gathering & Processing	Liquids Infrastructure	Fee-Based Realized Margin	Marketing	Corporate and Other	Total
Operating margin (loss)		434,090	592,355	1,026,445	354,914	(248)	1,381,111
Unrealized loss (gain) on risk management contracts		5,287	940	6,227	(54,486)	--	(48,259)
Realized margin (loss)		439,377	593,295	1,032,672	300,428	(248)	1,332,852

EBITDA and Adjusted EBITDA

EBITDA is a measure showing earnings before finance costs, taxes, depreciation and amortization. Adjusted EBITDA is calculated as EBITDA before costs associated with non-cash items, including unrealized gains and losses on commodity-related contracts, net foreign currency gains and losses on U.S. debt and other, impairment expenses and certain other non-cash items such as gains and losses on the disposal of property, plant and equipment. Management believes that these supplemental measures facilitate the understanding of Keyera's results from operations. In particular, these measures are used as an indication of earnings generated from operations after consideration of administrative and overhead costs. Adjusted EBITDA, adjusted for acquisition and integration costs, has also been presented.

The following is a reconciliation of EBITDA and adjusted EBITDA to the most directly comparable GAAP measure, net earnings:

EBITDA and Adjusted EBITDA	Three months ended September 30,		Nine months ended September 30,
(Thousands of Canadian dollars)	2026	2025	2026	2025
Net (loss) earnings	(67,742)	85,216	118,149	342,069
Add (deduct):
Finance costs	102,490	63,712	257,754	167,238
Depreciation and amortization expenses	140,756	91,231	353,010	274,085
Income tax expense	(28,388)	25,136	20,217	105,341
EBITDA	147,116	265,295	749,130	888,733
Unrealized loss (gain) on commodity-related contracts	314,536	14,833	225,166	(47,663)
Net foreign currency loss (gain) on U.S. debt and other	373	453	8,683	(10,516)
Loss on disposal of property, plant and equipment	--	--	9,317	--
Gain on remeasurement of previously held interest	--	--	(60,477)	--
Adjusted EBITDA	462,025	280,581	931,819	830,554
Acquisition and integration costs	3,798	5,537	74,439	17,215
Adjusted EBITDA (adjusted for acquisition-related items)	465,823	286,118	1,006,258	847,769

Compound Annual Growth Rate ("CAGR") for Fee-Based Adjusted EBITDA
CAGR is calculated as follows:

								1
								Number of Years
CAGR	=			End of the period*							-1
				Beginning of the period*

* Utilizes beginning and end of period fee-based adjusted EBITDA as defined below.

CAGR for fee-based adjusted EBITDA is intended to provide information on a forward-looking basis (initiating a 7% to 8% fee-based adjusted EBITDA CAGR target from 2024 to 2027). This calculation utilizes beginning and end of period fee-based adjusted EBITDA, which includes the following components and assumptions: i) forecasted fee-based realized margin (realized margin for the Gathering and Processing and Liquids Infrastructure segments as explained in more detail above), and ii) adjustments for total forecasted general and administrative, and long-term incentive plan expense.

From 2025 to 2027, Keyera expects to achieve CAGR for fee-based adjusted EBITDA per share of approximately 16% to 18%.

Following this step change, Keyera is targeting a 7% to 8% fee-based adjusted EBITDA per share CAGR from 2027 to 2029.

The following includes the equivalent historical measure for fee-based adjusted EBITDA and fee-based adjusted EBITDA per share, which is the non-GAAP measure component of the related forward-looking CAGR calculation.

Fee-Based Adjusted EBITDA For the year ended December 31,
(Thousands of Canadian dollars)	2025	2024	2023	2022
Realized Margin – Fee-Based	1,032,672	970,308	890,644	752,684
Less:
General and administrative expenses	(128,612)	(117,142)	(106,494)	(82,843)
Long-term incentive plan expense	(43,796)	(62,450)	(50,909)	(33,284)
Fee-Based Adjusted EBITDA	860,264	790,716	733,241	636,557
Weighted-average number of shares – basic	229,205	229,153	229,153	221,290
Fee-Based Adjusted EBITDA per share	$3.75	$3.45	$3.20	$2.88

Forward-Looking Statements

In order to provide readers with information regarding Keyera, including its assessment of future plans and operations, its financial outlook and future prospects overall, this news release contains certain statements that constitute "forward-looking information" within the meaning of applicable Canadian securities legislation (collectively, "forward-looking information"). Forward-looking information is typically identified by words such as "continue", "expect", "remain", "will", "plan", "believe", "focus", "target", "outlook", "scheduled" and similar words or expressions, including the negatives or variations thereof. All statements other than statements of historical fact contained in this document are forward-looking information, including, without limitation, statements regarding:

• industry, market and economic conditions and any anticipated effects on Keyera;
• Keyera's future financial position and operational performance and future financial contributions and margins from its business segments including, but not limited to, Keyera's Marketing guidance for 2026 annual realized margin of between $400 million and $430 million;
• estimates for 2026 regarding Keyera's growth capital expenditures, maintenance capital expenditures and cash taxes;
• estimates for 2027 regarding fee-based adjusted EBTIDA per share growth, growth capital expenditures, maintenance capital expenditures and cash taxes;
• statements regarding the condition and performance of AEF, plans regarding an interim outage including the timing and impact on operating capacity, and plans regarding installation of permanent replacement equipment including timing and impact on production;
• the impact of the anticipated January and May outages and reduced production at AEF on Marketing realized margin;
• the impact of the FSCS debottleneck on operable capacity, and timing for such capacity to enter service;
• expectations around Keyera's current growth capital projects, including the KFS South Frac III expansion, the KFS North debottleneck, KAPS Zone 4, and the ACE Rail Terminal, including anticipated benefits, cost, and timing thereof; plans for deployment of capital, including expectations regarding leverage, and returns on capital investments;
• additional growth opportunities, and the impact of current and future growth projects on Keyera's business and growth targets;
• the benefits of the acquisition of Plains' Canadian NGL business, the realization of run rate synergies and timing for the same, and the identification of additional value capture opportunities;
• timing for deleveraging and returning to targeted long term net debt to adjusted EBITDA range.

All forward-looking information reflects Keyera's beliefs and assumptions based on information available at the time the applicable forward-looking information is made and in light of Keyera's current expectations with respect to such things as the outlook for general economic trends, industry trends, commodity prices, oil and gas industry exploration and development activity levels and the geographic region of such activity, Keyera's access to the capital markets and the cost of raising capital, the integrity and reliability of Keyera's assets, the governmental, regulatory and legal environment, general compliance with Keyera's plans, strategies, programs, and goals across its reporting and monitoring systems among employees, stakeholders and service providers. Keyera's 2026 marketing realized margin guidance assumes i) average AEF utilization rate of approximately 50% from November 10 through December 31, 2026; ii) a WTI crude oil price range between USD$85 to USD$95 per barrel; iii) that there are no significant logistics or transportation curtailments; and iv) current forward commodity pricing for unhedged volumes for the remainder of the year.  In some instances, this press release may also contain forward-looking information attributed to third parties. Forward-looking information does not guarantee future performance. Management believes that its assumptions and expectations reflected in the forward-looking information contained herein are reasonable based on the information available on the date such information is provided and the process used to prepare the information. However, it cannot assure readers that these expectations will prove to be correct.

All forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results, events, levels of activity and achievements to differ materially from those anticipated in the forward-looking information. Such risks, uncertainties and other factors include, without limitation, the following:

• Keyera's ability to implement its strategic priorities and business plan and achieve the expected benefits;
• general industry, market and economic conditions;
• the outcome of proceedings before the Competition Tribunal related to the acquisition of Plains' Canadian NGL business;
• Keyera's ability to obtain the anticipated benefits of recently completed acquisitions, including impacts on growth and accretion in various financial metrics;
• activities of customers, producers and other facility owners;
• operational hazards and performance;
• operational disruptions, apportionment, regulatory action and other events on third-party systems and infrastructure, which may prevent the full utilization of Keyera's facilities;
• the effectiveness of Keyera's risk management programs;
• competition;
• changes in commodity composition and prices, inventory levels, supply/demand trends and other market conditions and factors;
• disruptions to global supply chains and labour interruptions or shortages;
• trade restrictions, trade barriers, or the imposition of tariffs or other changes to international trade arrangements;
• processing and marketing margins;
• climate change risks, including the effects of unusual weather and natural catastrophes;
• climate change effects and regulatory and market compliance and other costs associated with climate change;
• variables associated with capital projects and planned and unplanned maintenance projects, including the potential for increased costs, including inflationary pressures, timing, delays, cooperation of partners, and access to capital on favourable terms;
• fluctuations in interest, tax and foreign currency exchange rates;
• hedging strategy risks;
• counterparty performance and credit risk;
• changes in operating and capital costs;
• cost and availability of financing;
• ability to expand, update and adapt infrastructure on a timely and effective basis;
• decommissioning, abandonment and reclamation costs;
• reliance on key personnel and third parties;
• actions by joint venture partners or other partners which hold interests in certain of Keyera's assets;
• relationships with external stakeholders, including Indigenous stakeholders;
• technology, security and cybersecurity risks;
• potential litigation and disputes;
• uninsured and underinsured losses;
• ability to service debt and pay dividends;
• changes in credit ratings;
• reputational risks;
• risks related to a breach of confidentiality;
• changes in environmental and other laws and regulations;
• the ability to obtain regulatory, stakeholder and third-party approvals;
• actions by governmental authorities;
• geopolitical instability and armed conflicts, including global supply disruptions from international conflicts;
• the enforcement of tariffs, surtaxes and duties and retaliatory countermeasures;
• global health crisis, such as pandemics and epidemics and the unexpected impacts related thereto;
• the effectiveness of Keyera's existing and planned ESG and risk management programs; and
• the ability of Keyera to achieve specific targets that are part of its ESG initiatives, including those relating to emissions intensity reduction targets, as well as other climate-change related initiatives;

and other risks, uncertainties and other factors, many of which are beyond the control of Keyera. Further information about the factors affecting forward-looking information and management's assumptions and analysis thereof, is available in Keyera's MD&A for the year ended December 31, 2025 and in Keyera's Annual Information Form available on Keyera's profile on SEDAR+ at www.sedarplus.ca. 

Readers are cautioned that the foregoing list of important factors is not exhaustive, and they should not unduly rely on the forward-looking information included in this press release. Further, readers are cautioned that the forward-looking information contained herein is made as of the date of this press release. Unless required by law, Keyera does not intend and does not assume any obligation to update any forward-looking information. All forward-looking information contained in this press release is expressly qualified by this cautionary statement.

SOURCE Keyera Corp.