Keyera Provides Business Update and 2029 Growth Outlook Following Completion of Plains' NGL Acquisition

Establishing industry leading fee-based adjusted EBITDA per share¹ growth targets to 2029

Initial $100 million near-term synergy target substantially realized and target increased

Expanded Marketing segment is a strategic competitive advantage;
providing 2026 Marketing segment realized margin¹ guidance

Capital allocation priorities unchanged; updating 2026 guidance

CALGARY, AB, June 15, 2026 /CNW/ - Keyera Corp. (TSX: KEY) ("Keyera" or the "company") today announced a pro forma business update and multi-year growth outlook following the completion of its transformative acquisition of Plains' Canadian NGL assets.

"This combination strengthened Keyera's position as a fully integrated midstream company with greater efficiency and flexibility, enabling us to deliver more value to our customers," said Dean Setoguchi, President and Chief Executive Officer. "With enhanced connectivity and identified synergies, we are positioned to drive industry-leading growth while maintaining the disciplined capital allocation that is expected to create long-term value for shareholders."

Delivering Industry Leading Fee-Based Adjusted EBITDA Per Share¹ Growth to 2029

Keyera is establishing pro-forma fee-based adjusted EBITDA per share¹ growth targets to 2029. This growth is highly visible, and supported by sanctioned projects, identified synergies and capital-efficient growth initiatives that are already underway and aligned with the company's strategy.

The outlook is further supported by strong basin fundamentals. Oil, natural gas and NGL production across the Western Canadian Sedimentary Basin are expected to continue growing as export market access expands and global demand for Canadian energy products increases.

• From 2025 to 2027, Keyera expects fee-based adjusted EBITDA per share¹ to increase by approximately 35% or an approximate 16% Compound Annual Growth Rate (CAGR), mainly reflecting the contributions from the Plains acquisition, realization of near-term synergies, 2026 fractionation capacity expansions, and continued filling of available capacity across the integrated system.
  
  
• Following this step change, Keyera is targeting a 7-8% fee-based adjusted EBITDA per share¹ CAGR from 2027 to 2029, supported by continued filling of available capacity, the completion of major growth projects currently underway and further optimization of the combined platform.
  
  
• Beyond 2029, the company has identified several strategic growth opportunities that will further enhance its integrated value-chain and continue to grow fee-based adjusted EBITDA per share¹.

Further detail on the initiatives supporting this outlook is provided in the corporate presentation which will be released and discussed during the company's webcast later this morning.

Initial $100 Million Near-Term Synergy Target Substantially Realized and Target Increased

Keyera has substantially realized its initial $100 million annual run-rate near-term synergy target, with approximately $90 million in corporate cost savings already captured since the transaction was announced in June 2025.

Based on progress achieved to date, Keyera now expects total near-term annual run-rate synergies to range from $120 million to $140 million, with these synergies expected to be realized within the first twelve months after closing. The integration of the combined platform is also expected to enhance customer value through improved connectivity, expanded market access and more efficient service offerings.

Beyond these near-term synergies, the company expects to identify significant additional opportunities driven primarily by operating efficiencies, supply chain optimization, maintenance capital improvements and new capital-efficient growth projects across the combined platform. These opportunities are not fully reflected in the company's updated growth targets.

As integration progresses and the company spends more time with the assets and teams, Keyera expects to further identify, categorize and define these opportunities and will provide updates to the market once they are more clearly established.

Expanded Marketing Segment Is a Strategic Competitive Advantage

Keyera's Marketing segment remains a key differentiator, driving outsized value creation. The company's logistics capabilities and market expertise help attract additional volumes across the integrated system by providing customers with access to higher-value markets and stronger netbacks.

The segment consistently allows the company to generate strong corporate Returns on Invested Capital¹ ("ROIC") while incremental cash flow is redeployed to strengthen the balance sheet and support the acceleration of investment to continue to grow fee-based adjusted EBITDA¹.

With the addition of Plains Marketing business, Keyera's platform now includes frac-spread exposure, which represents another important source of liquids supply for the company's integrated system. These liquids can be marketed across North America and internationally, where demand for NGL products are expected to continue to grow.

The expanded Marketing portfolio will be managed under the same disciplined risk management framework that has underpinned Keyera's historical Marketing performance.

2026 Marketing Segment Guidance

For 2026, Keyera expects Marketing realized margin¹ to be between $360 to $390 million.  Guidance incorporates the impact of a five-month outage at AEF, maintenance activities at the Empress straddle facilities and planned outages associated with fractionation expansion projects at KFS II and KFS North (previously named PFS). The guidance is underpinned by disciplined risk management activities, conservative assumptions and is designed to be achievable with a high degree of confidence.

The outlook reflects more typical isooctane premium assumptions for the balance of the year, providing room for potential upside should supportive market fundamentals persist.

The company has locked in approximately 90% of expected 2026 frac spread margins at attractive levels through its structured hedging program. These positions include legacy hedges previously established by Plains covering the next 12 months commencing in June, together with opportunistic hedges executed under Keyera's risk management program following closing. In addition, the company has locked in approximately 50% of expected 2027 frac spread exposure at forward levels that remain attractive by historical standards, providing increased visibility into future Marketing cash flows.

The company intends to re-introduce a long-term baseline Marketing realized margin¹ guidance range once the combined Marketing platforms have operated together for a period of time.

Capital Allocation Priorities Unchanged

Keyera remains committed to allocating capital in the most value-accretive manner for shareholders.

The company will continue to prioritize:

• Preserving financial strength and flexibility: Maintaining investment grade credit ratings and targeting net debt to adjusted EBITDA^1,2 of 2.5 to 3.0 times. Leverage is expected to return to within this target range around the end of 2027.
  
  
• Investing for margin growth and cash flow stability: Prioritizing capital investments that strengthen and extend the integrated value chain and are expected to generate a stand-alone Return on Invested Capital¹ of at least 10% to 15%, before considering additional integration benefits.
  
  
• Sustainable dividend growth: Maintaining a conservative payout ratio¹ of 50% to 70% of distributable cash flow ("DCF") per share¹, supported by continued growth in fee-based adjusted EBITDA¹.

2026 Guidance

Keyera's 2026 outlook reflects the partial-year contribution of the Plains assets following closing.

• Growth capital spending of $550 million to $625 million, directed mainly toward advancing previously announced fractionation capacity expansions, the ACE Rail Terminal and KAPS Zone 4
• Maintenance capital of $240 million to $260 million, which includes planned turnarounds at Empress plants
• Cash taxes of approximately $70 million to $90 million

Summary

With a stronger combined platform, increased synergies and clearly defined growth visibility through 2029, Keyera is positioned to deliver industry-leading fee-based adjusted EBITDA¹ growth. Supported by disciplined capital allocation, the company remains focused on delivering long-term value for customers and shareholders.

Notes:
1.	Is not a standard measure under GAAP or is an Other Financial Measure as specified under National Instrument 52-112. See section titled "Non-GAAP and Other Financial Measures" and "Forward-Looking Information" of this news release for additional information.
2.	Net debt to adjusted EBITDA calculation for covenant test purposes excludes 100% of the company's subordinated hybrid notes.

Business Update and 2029 Growth Outlook Webcast and Conference Call Details

Date: June 15, 2026

Time: 9:00 a.m. MT (11:00 ET or 16:00 GMT)

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

The audio-only conference call be accessed by dialing 1-800-990-2777 or 1-416-855-9085 and entering conference call ID 34158.

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.

Additional Information

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

Dan Cuthbertson, General Manager, Investor Relations
Tyler Monzingo, Senior Specialist Investor Relations

Email: [email protected]
Telephone: [phone]
Toll free: 1-888-699-4853

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 distributable cash flow, distributable cash flow per share, payout ratio, realized margin (including realized margin for the Marketing segment), EBITDA, adjusted EBITDA, fee-based realized margin, fee-based adjusted EBITDA, fee-based adjusted EBITDA per share, compound annual growth rate (CAGR) for fee-based adjusted EBITDA per share and return on invested capital (ROIC) 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 to Management's Discussion and Analysis (MD&A) for the periods ended December 31, 2025 and March 31, 2026, which are available on SEDAR+ at www.sedarplus.ca and Keyera's website at www.keyera.com. Specifically, the sections of the MD&A titled, "Non-GAAP and Other Financial Measures", "Forward-Looking Statements", "Segmented Results of Operations", "EBITDA and Adjusted EBITDA", "Dividends: Funds from Operations, Distributable Cash Flow and Payout Ratio", "Adjusted Cash Flow from Operating Activities and Return on Invested Capital", include information that has been incorporated by reference for these non-GAAP and other financial measures.

While fee-based adjusted EBITDA and CAGR for fee-based adjusted EBITDA are non-GAAP or other financial measures that have been previously disclosed by Keyera, fee-based adjusted EBITDA per share and the related CAGR calculation are new metrics that have been disclosed in this news release and therefore, cannot be incorporated by reference to the MD&A. Fee-based adjusted EBITDA per share is calculated as follows:

Fee-Based Adjusted EBITDA per Share
For the years ended December 31,
(Thousands of Canadian dollars, except per share amounts)		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

For additional information related to fee-based adjusted EBITDA, a reconciliation of fee-based realized margin to the most directly comparable GAAP measure, operating margin for the Gathering and Processing and Liquids Infrastructure segments, and the methodology used to derive Keyera's compound annual growth rate calculations, refer to the sections of the MD&A titled "Non-GAAP and Other Financial Measures".

Forward-Looking Information

 This press 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 "will", "should", "outlook", "continue", "expect", "intend", "target", "remain", "maintain" 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 the expected growth of oil, natural gas and NGL production across the Western Canadian Sedimentary Basin; the expected increase of fee-based adjusted EBITDA per share; the expected benefits of the Plains Canadian NGL assets acquisition; the company's ability to enhance its integrated value-chain; the value of total near-term annual run-rate synergies, and the timing thereof; the identification and categorization of additional growth opportunities; expectations regarding the management of the expanded Marketing portfolio; the company's Marketing segment realized margin guidance and expectations regarding the re-introduction of a long-term baseline guidance range; the company's capital allocation priorities, including expectations regarding leverage, returns on capital investments, and dividend payout ratios; expectations regarding 2026 growth capital spending, maintenance capital and cash taxes; and the company's ability to deliver long-term value for customers and shareholders.

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, and the integrity and the reliability of Keyera's assets. 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 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 Management's Discussion and Analysis for the year ended December 31, 2025, Keyera's Management's Discussion and Analysis for the three months ended March 31, 2026 and in Keyera's Annual Information Form available on Keyera's profile on SEDAR+ at www.sedarplus.ca. 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.

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.