Second Quarter 2018 Earnings Call August 3, 2018 www.nblmidstream.com
2Q18 Highlights In-line or Exceeded Guidance Across Majority of Categories Net Income above and Net EBITDA in upper half of guidance Delivered Strong Growth in Core Gathering Business Combined oil, gas and produced water…
Second Quarter 2018 Results In-line or exceeding guidance across the majority of categories Actuals 2Q Guidance 2Q v 1Q 1Q18 2Q18 Gross Volumes Oil Gathered (MBbl/d) 135 158 160 - 175 17% Gas Gathered (MMcf/d) 191 206 195 -…
Peer-Leading Distribution Coverage1 Continues Gathering volumes driving growth Gathering Segment Alone Provides Ample Distribution Coverage Gathering net EBITDA up 13% vs.1Q18 1.6x Distribution Coverage Ratio excluding Fresh Water…
Strategic Relationship with Strong Sponsor Continues Incremental Oil Transportation Dedication Established Full-field Commercial Terms with 1 NBL for Mustang Development in Green River DevCo Fee revised to reflect system design…
Meaningful But Temporary 2Q Decline in Fresh Water From Mix Shift Enhanced Completions Continue to Drive Robust Fresh Water Demand per Well NBL Mustang and Wells Ranch standard design of 1,800 lbs/ft Gathering EBITDA Growth Offset by…
Updated Guidance: Significant Year-Over-Year Growth Midpoint of 2018E Net EBITDA Represents 42% YoY Growth Gross Fresh Water Delivery (MBw/d) 200-240 +22% YoY 190-230 Planned DJ Basin gas processing capacity additions provide upside…
Updated 2018 Capital Budget Detail Material Decline in 2H18E Net Capital 2Q18 Gross Capital In-line While Net Capital 250 Requirements (MM) Within 1% of High-end of Guidance Raising 2018E Gross Capital Midpoint by 4% and 200 Net…
Significant Financial Flexibility and Enhanced Liquidity Secured 500 Million Term Loan Facility at Pricing Below Revolving Credit Facility Attractive rate (Libor + 100 bps), repayable any time at no cost Funds used to repay balance on…
Delaware Basin: Blanco River Backbone complete, throughput growth underway 90 MBbl/d of Crude Oil Capacity (115 MBoe/d) from 5 CGFs Provides Long Runway for Sponsor Planned Volume Growth Completed Billy Miner II and Collier CGFs…
Delaware Basin: Trinity River Outperforming Advantage Pipeline acquisition case Advantage Pipeline Advantage Pipeline Oil Throughput (MBbl/d) 2Q18 Advantage Throughput up over 3x from 120 105-115 Acquisition Closing Date 105 100…
DJ Basin: Green River Gathering commences for Noble Energy Delivered Fresh Water to Two NBL Completion Crews Operating in Mustang During 2Q18 Spec Oil, Gas and Produced Water Backbone Gathering Infrastructure Completed 5 initial…
DJ Basin: Laramie River Third-party activity acceleration underway Black Diamond Gathering Third-party DJ Basin 2H18 Activity Increase Underway with 200 MMcf/d Additional Basin Gas Processing Online 2nd frac crew added by 3rd-party…
DJ Basin: Colorado River Significant free cash generation Oil and Gas Gathering Volumes Roughly Flat Despite 65% Sequential Decline in Well Connections Minimal Fresh Water Delivery Volumes in 2Q18 Due to NBL Activity Shift to…
Leading Long-Term Outlook Substantial organic growth with upside potential Organic No Drop Downs 2018E 2019-2022E Material Upside to Outlook Distribution per Unit 20% 20% Prudent Commodity Price View: Based on 50/Bbl and 3/Mcf…
Appendix www.nblmidstream.com 18
NBLX Asset Map: DJ Basin Area: Wells Ranch Dedicated Acres: 78k Black Diamond (54.4%) Colorado River DevCo (100%) Dedicated Acres: 158k Oil Gathering Laramie River DevCo (100%) Gas Gathering Oil Gathering PW Gathering FW Delivery…
NBLX Structure Noble Energy NYSE: NBL 100% 45.5% Limited Noble Midstream GP LLC Partner Interest ROFR Assets: Non-Economic General East Pony Gas Gathering Partner Interest East Pony Gas Processing Eagle Ford Shale Midstream…
Non-GAAP Financial Measures This presentation includes Adjusted EBITDA, Distributable Cash Flow, Distribution Coverage Ratio and ROACE, all of which are non-GAAP measures which may be used periodically by management when discussing our…
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