Southwestern Energy — Merger or Acquisition (November 2021)
14 slides from Southwestern Energy's merger presentation, Nov 4, 2021
Slide 1: Acquisition of GEP Haynesville: Expanding Scale in Haynesville
SWI Southwestern Energy® Acquisition of GEP Haynesville Expanding Scale in Haynesville November 2021 NYSE: SWN www.swn.com
Slide 2: Cautionary Statements
Cautionary Statements sSW/N Investor Relations Contacts Brittany Raiford 832.796.7906 ev" southwestern Energy Forward-Looking Statements Certain statements and information herein may constitute “forward-looking statements” within the meaning of Section 27A of the Secures Act of 1933, as amended, and
Slide 3: Additional Information
Additional Information SWN southwestern Energy Cautionary Note to U.S. Investors ‘The SEC permts oil and gas companies, in ther fings with the SEC, to disclose only proved, probable and possible reserves. We use the terms “resource” andEUR" inthis presentation that the SEC's guidelines prohibit us f
Slide 4: Our Strategy
Our Strategy SWI southwestern Energy Responsibly develop core positions in the two premier US gas basins in a manner that creates sustainable value for stakeholders, protects financial strength and progresses leading execution to realize the tangible benefits of scale Enhance corporate economic retu
Slide 5: Transaction Overview
Transaction Overview Accretive acquisition at an attractive valuation Transaction GEP Haynesville E® Conditions and timing Total consideration of $1.85 billion - $1.325MM of cash consideration expected to be financed utilizing a combination of pre- payable debt and long-term senior note issuance - $
Slide 6: Capturing Synergies in the Core of the Haynesville
Capturing Synergies in the Core of the Haynesville SWN Positions SWN as largest Haynesville producer GEP KEY METRICS aL a . Estimated Daily Net Production”) 0.7 Befelday o 68 aoa YE 2020 Proved Reserves? 1.6 Tefe “ : J Inventory Locations? 700 yt Net Resource Potential? 6 Tefe ee o Producing Wells®
Slide 7: Delivers on Key Objectives of Strategic Framework
Delivers on Key Objectives of Strategic Framework SWN Disciplined consolidation expands Haynesville position ‘Southwestern Energy Q Builds further scale in Haynesville Leading position inthe two premier US natural gas basins High-margin dry gas inventory 700 locations expand exposure to LNG corridor
Slide 8: Core Positions in Appalachia and Haynesville
Core Positions in Appalachia and Haynesville Increased scale enhances shareholder value proposition A Appalachia Net Acres: 789,000 YE 2021 Net Production: 3.0 Befelday2 ra \ Period-End Net Production Rate (BCFeld) 49 47 30 Ye? a3 YES 2020 2021 2021E Acreage (000’s) Proved Reserves (TCFe) 18.5 208 Y
Slide 9: Improves Key Per Share Metrics
Improves Key Per Share Metrics Expands SWN’s ability to deliver sustainable Cash FlowPer Share $3.00 $2.00 ~41 5% Increase $1.00 $0.00 2022E Cash Flow Per Debt Adjusted Share $2.00 ~ 59, 5% <i i Incease $0.00 2022E Miswn EV é holders. Includes $25MM in anticipated synergies. SWI value for shareholde
Slide 10: Disciplined Plan Delivering Free Cash Flow
Disciplined Plan Delivering Free Cash Flow Outlook + Maintenance capital investment with activity in each of the operating areas + Expectover $1 billion in 2022 free cash flow, total of $2.3 billion in 2022 — 202312) + Allocation of free cash flow will prioritize debt reduction - Targeting total deb
Slide 11: Preserving Financial Strength
Preserving Financial Strength SWN Clear path to achieving sustainable leverage and total debt target ‘Southwestem Energy? SUSTAINABLE 1.0x TO 1.5x SCALE INCREASES DISCIPLINED RISK LEVERAGE TARGET FREE CASH FLOW MANAGEMENT Financial strength through Free cash flow to further reduce Hedging to safegua
Slide 12: Delivering Gas to Highest Value Markets
Delivering Gas to Highest Value Markets + Balanced portfolio provides marketing diversification and sales location optionality + Direct access to LNG corridor and growing demand Gulf Coast markets, supplemented by City Gate and Greater Appalachia sales locations with premium winter pricing + Scale e
Slide 13: Why Invest in SWN?
Why Invest in SWN? CAPTURING THE BENEFITS OF SCALE Core positions in the top two US natural gas basins building record proved reserves and value ACCELERATING FREE CASH FLOW Maintenance capital program delivering increasing free cash flow through execution of strategy IMPROVING RETURNS Expanded inven
Slide 14: Explanation of Non-GAAP Measures
Explanation of Non-GAAP Measures SWN southwestern Energy EBITDA is defined as net income (loss) plus interest, income tax expense (beneft), depreciation, depletion and amortization, expenses associated withthe restructuring and merger-related charges, impairments, egal settiements and gains (losses)
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