Kinetik Holdings Inc. (NYSE: KNTK) (“Kinetik” or the “Company”) today announced it has entered into a definitive agreement with Permian Resources Corporation (NYSE: PR) (“Permian Resources”) whereby Kinetik will acquire Permian Resources’ natural gas and crude oil gathering systems (the “Assets”) primarily located in Reeves County, Texas for $180 million of cash consideration (the “Transaction”). The Transaction provides a multi-stream opportunity for natural gas gathering, compression and processing, as well as crude gathering services for Kinetik.

Transaction Highlights:

• Approximately 60,000 gross operated acres dedicated by Permian Resources under long-term, fixed-fee agreements for natural gas gathering, compression and processing and crude oil gathering services
• More than 250 Mmcf/d of primarily owned electric compression with corresponding ownership of a private electric distribution system
• More than 150 Mmcf/d of gas gathered volumes and 25 Mb/d of crude gathered volumes in 2025
• The Transaction is highly competitive with Kinetik’s high-quality, organic backlog and meets our strict investment criteria
• Additional upside with control of residue gas and natural gas liquids from the dedicated rich gas via system optimization and integration with existing assets

“This investment opportunity reinforces our strategic partnership with Permian Resources, which is one of the most active and lowest cost operators in the Delaware Basin,” said Jamie Welch, Kinetik’s President & Chief Executive Officer. “We are excited to further expand our Delaware gas and crude systems with this natural fit, bolt-on acquisition. The Assets are located adjacent to our existing Delaware South system and will be integrated shortly following closing. The dedicated acreage includes highly economic inventory and shallow PDP declines, and with Permian Resources’ long-term development support, we expect attractive volume growth and long-term value creation for our stakeholders.”

The transaction is expected to close in the first quarter of 2025 following satisfaction of customary closing conditions, including under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.

About Kinetik Holdings Inc.

Kinetik is a fully integrated, pure-play, Permian-to-Gulf Coast midstream C-corporation operating in the Delaware Basin. Kinetik is headquartered in Houston and Midland, Texas. Kinetik provides comprehensive gathering, transportation, compression, processing and treating services for companies that produce natural gas, natural gas liquids, crude oil and water. Kinetik posts announcements, operational updates, investor information and press releases on its website, www.kinetik.com.

Forward-looking statements

This news release includes certain statements that may constitute “forward-looking statements” for purposes of the federal securities laws. Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions. While forward-looking statements are based on assumptions and analyses that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially. See Part I, Item 1A. Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2023. Any forward-looking statement made by us in this news release speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement whether as a result of new information, future development, or otherwise, except as may be required by law.

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