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Q1 2025 Financial Results and Corporate Update May 1, 2025
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Forward-Looking Information 2 This presentation contains forward-looking information (forward-looking statements). Words such as "may", "can", "would", "could", "should", "likely", "will", "intend", "contemplate", "plan", "anticipate", "believe", "aim", "seek", "future", "commit", "propose", "contemplate", "estimate", "focus", "strive", "forecast", "expect", "project", "target", "guarantee", "potential", "objective", "continue", "outlook", "guidance", "growth", "long-term", "vision", "opportunity" and similar expressions suggesting future events or future performance, as they relate to the Corporation or any affiliate of the Corporation, are intended to identify forward-looking statements. In particular, thispresentation contains forward-looking statements with respect to, among other things, business objectives, strategy, expected growth, results of operations, performance, business projects and opportunities and financial results. Specifically, such forward-looking statements included in this document include, but are not limited to, statements with respect to the following: REEF and Pipestone II remaining on budget and on schedule; progress on the Keweenaw Connector project; data center opportunities for the Utilities segment; AltaGas’ low-risk business model and the anticipated enhanced cashflow stability therefrom; progress on the construction of REEF and Pipestone II and the anticipated in-service dates of these projects; U.S. customer demand for natural gas and the anticipated benefits therefrom; the belief that Asian demand for natural gas and NGLs supports Midstream growth opportunities and expansion; projected global demand for natural gas, Canadian gas production, NGL production and Montney growth outlook; AltaGas’ 2025 business plan, long-term strategic priorities and its ability to execute thereon; anticipated growth opportunities in the Utilities segment including modernization programs, new meter growth, the Keweenaw Connector project, and data center growth and opportunities; anticipated benefits of Utilities growth projects; expected filing, procedure and decision dates for rate cases and modernization programs in the Utilities business and the anticipated outcomes thereof; AltaGas’ regulatory strategy across jurisdictions where we operate; the belief that AltaGas’ value chain will benefit from macroeconomic tailwinds; AltaGas’ 2025 financial guidance including normalized EBITDA of $1,775 to $1,875 million and normalized EPS of $2.10 to $2.30; AltaGas’ 2025 capital budget of approximately $1.4 billion and the allocation among business segments; the belief that 2025 capital investments will drive the Company’s long-term growth profile; AltaGas’ leverage targets including 4.65x adjusted net debt to normalized EBITDA including 50 percent debt treatment for hybrid notes and preferred shares and 4.0x adjusted net debt to normalized EBITDA excluding hybrid notes and preferred shares; anticipated timing for reaching long-term leverage targets; the belief that AltaGas’ diversified platform provides opportunity to optimize capital allocation; AltaGas’ focus on maintaining its diversified, low-risk business model, visible growth and disciplined capital allocation and the anticipated benefits therefrom; and AltaGas’ ability to execute its strategic priorities and realize the anticipated long-term value creation therefrom. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events and achievements to differ materially from those expressed or implied by such statements. Such statements reflect AltaGas’ current expectations, estimates, and projections based on certain material factors and assumptions at the time the statement was made. Material assumptions include: effective tax rates; U.S./Canadian dollar exchange rates; inflation; interest rates, credit ratings, regulatory approvals and policies; expected commodity supply, demand and pricing; volumes and rates; propane price differentials; degree day variance from normal; pension discount rate; financing initiatives; the performance of the businesses underlying each sector; impacts of the hedging program; weather; frac spread; access to capital; future operating and capital costs; timing and receipt of regulatory approvals; seasonality; planned and unplanned plant outages; timing of in-service dates of new projects and acquisition and divestiture activities; taxes; operational expenses; returns on investments; dividend levels; and transaction costs AltaGas’ forward-looking statements are subject to certain risks and uncertainties which could cause results or events to differ from current expectations, including, without limitation: health and safety risks; operating risks; infrastructure; natural gas supply risks; volume throughput; service interruptions; transportation of petroleum products; market risk; inflation; general economic conditions; cybersecurity, information, and control systems; climate-related risks; environmental regulation risks; regulatory risks; litigation; changes in law; Indigenous and treaty rights; dependence on certain partners; political uncertainty and civil unrest; risks related to conflict, including the conflicts in Eastern Europe and the Middle East; decommissioning, abandonment and reclamation costs; reputation risk; weather data; capital market and liquidity risks; interest rates; internal credit risk; foreign exchange risk; debt financing, refinancing, and debt service risk; counterparty and supplier risk; technical systems and processes incidents; growth strategy risk; construction and development; underinsured and uninsured losses; impact of competition in AltaGas' businesses; counterparty credit risk; composition risk; collateral; rep agreements; market value of the common shares and other securities; variability of dividends; potential sales of additional shares; labor relations; key personnel; risk management costs and limitations; commitments associated with regulatory approvals for the acquisition of WGL; cost of providing retirement plan benefits; failure of service providers; risks related to pandemics, epidemics or disease outbreaks; and the other factors discussed under the heading "Risk Factors" in the Corporation’s Annual Information Form for the year ended December 31, 2024 ("AIF") and set out in AltaGas’ other continuous disclosure documents. Many factors could cause AltaGas' or any particular business segment's actual results, performance or achievements to vary from those described in this presentation, including, without limitation, those listed above and the assumptions upon which they are based proving incorrect. These factors should not be construed as exhaustive. Should one or more of these risks or uncertainties materialize, or should assumptions underlying forward-looking statements prove incorrect, actual results may vary materially from those described in this presentation as intended, planned, anticipated, believed, sought, proposed, estimated, forecasted, expected, projected or targeted and such forward-looking statements included in this presentation, should not be unduly relied upon. The impact of any one assumption, risk, uncertainty, or other factor on a particular forward-looking statement cannot be determined with certainty because they are interdependent and AltaGas’ future decisions and actions will depend on Management’s assessment of all information at the relevant time. Such statements speak only as of the date of this presentation. AltaGas does not intend, and does not assume any obligation, to update these forward-looking statements except as required by law. The forward-looking statements contained in this presentation are expressly qualified by these cautionary statements. Financial outlook information contained in this presentation about prospective financial performance, financial position, or cash flows is based on assumptions about future events, including economic conditions and proposed courses of action, based on AltaGas management's assessment of the relevant information currently available. Readers are cautioned that such financial outlook information contained in this presentation should not be used for purposes other than for which it is disclosed herein. Additional information relating to AltaGas, including its quarterly and annual Management's Discussion and Analysis (MD&A) and Consolidated Financial Statements, AIF, and press releases are available through AltaGas' website at www.altagas.ca or through SEDAR+ at www.sedarplus.ca. NON-GAAP MEASURES This presentation contains references to certain financial measures used by AltaGas that do not have a standardized meaning prescribed by US GAAP and may not be comparable to similar measures presented by other entities. The non-GAAP measures and their reconciliation to US GAAP financial measures are shown in AltaGas’ MD&A as at and for the period ended March 31, 2025. These non-GAAP measures provide additional information that management believes is meaningful regarding AltaGas' operational performance, liquidity and capacity to fund dividends, capital expenditures, and other investing activities. Readers are cautioned that these non-GAAP measures should not be construed as alternatives to other measures of financial performance calculated in accordance with US GAAP. EBITDA is a measure of AltaGas' operating profitability prior to how business activities are financed, assets are amortized, or earnings are taxed. EBITDA is calculated from the Consolidated Statements of Income using net income adjusted for pre-tax depreciation and amortization, and interest expense. Normalized EBITDA includes additional adjustments for transaction costs related to acquisitions and dispositions, unrealized losses on risk management contracts, gains on sale of assets, restructuring costs, wind-up of pension plan, provisions on assets, accretion expenses and foreign exchange losses (gains). AltaGas presents normalized EBITDA as a supplemental measure. Normalized EBITDA is used by Management to enhance the understanding of AltaGas' earnings over periods, as well as for budgeting and compensation related purposes. The metric is frequently used by analysts and investors in the evaluation of entities within the industry as it excludes items that can vary substantially between entities depending on the accounting policies chosen, the book value of assets, and the capital structure. Normalized earnings per share is calculated with reference to normalized net income divided by the average number of shares outstanding during the period. Normalized net income is calculated from the Consolidated Statements of Income (Loss) using net income (loss) applicable to common shares adjusted for transaction costs related to acquisitions and dispositions, unrealized losses (gains) on risk management contracts, gains on sale of assets, restructuring costs, loss on redemption of preferred shares, wind-up of pension plan, provisions on assets, and unrealized foreign exchange losses (gains) on intercompany balances. Normalized net income is used by Management to enhance the comparability of AltaGas’ earnings, as it reflects the underlying performance of AltaGas’ business activities. Normalized funds from operations is used to assist Management and investors in analyzing the liquidity of the Corporation. Management uses these measures to understand the ability to generate funds for capital investments, debt repayment, dividend payments, and other investing activities. Funds from operations is calculated from the Consolidated Statements of Cash Flows and is defined as cash from operations before net changes in operating assets and liabilities and expenditures incurred to settle asset retirement obligations. Normalized funds from operations is calculated based on cash from operations and adjusted for changes in operating assets and liabilities in the period and non-operating related expenses (net of current taxes) such as transaction and financing costs related to acquisitions and dispositions and restructuring costs. Net debt, adjusted net debt and adjusted net debt to normalized EBITDA are used by the Corporation to monitor its capital structure and assess its capital structure relative to earnings. It is also used as a measure of the Corporation's overall financial strength and is presented to provide this perspective to analysts and investors. Net debt is defined as short-term debt, plus current and long-term portions of long-term debt, current and long-term portions of finance lease liabilities, and subordinated hybrid notes, less cash and cash equivalents. Adjusted net debt is defined as net debt adjusted for current and long-term portions of finance lease liabilities, subordinated hybrid notes and debt associated with acquisitions that occurred in the last half of the fiscal year. Adjusted net debt to normalized EBITDA is calculated by dividing adjusted net debt, as defined above, by normalized EBITDA for the preceding twelve-month period.
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Agenda 3 Q1 2025 Achievements & Strategy Execution REEF and Pipestone II Project Updates Macro Environment 2025 Business Plan Q1 2025 Segment Results & Highlights 2025 Outlook & Strategy Value Proposition & Driving Shareholder Value 1 2 3 4 5 6 7
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Strong Start to 2025; Executing On Our Strategic Priorities Q1/2025 Highlights 4 Operations >119,000 Bbl/dGlobal Exports Utilities Heating Degree Days +13% Y/Y Heating Degree Days +8% Y/Y Growth across G&P, frac and liquids handling, and extraction volumes Midstream Throughput Normalized EPS1 Growth and Execution Montney Volumes ▪ +16% Y/Y G&P increase ▪ +6% Y/Y Extraction increase. 1 Utilities Projects ▪ Keweenaw connector advancing regulatory approval ▪ Data centers under evaluation 4Midstream Projects ▪ REEF and Pipestone II on budget and on schedule ▪ RIPET methanol removal reaches FID 3 Utilities Investments ▪ Ongoing customer/meter growth ▪ $127MM capex w/$52MM ARP investments 2 1 Notes: 1) Non-GAAP financial measure; see discussion in the advisories. Financial Performance Normalized EBITDA1 ($MM) Q1 2024 Q1 2025 $660 $689 Q1 2024 Q1 2025 $1.14 $1.15 Business De-Risking Global Export Contracting ▪ Exceed 2027 global exports tolling target ▪ Long-term agreement with a leading global chemicals company for 8,000 Bbl/d of butane exports at REEF ▪ 15-year LPG tolling agreement for 12,500 Bbl/d with Keyera at REEF ▪ Additional contract discussions continue WGL Regulatory Activity ▪ D.C. ARP extended to 2025 YE with additional US$34MM of capital ▪ New US$215MM ARP application continues to be reviewed ▪ D.C. rate case filed requesting weather normalization
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84% 16% 70% 30% 5 ▪ Cost-of-Service, Take-or-Pay and Fee-for-Service 2025E Normalized EBITDA1 By Contract Type2 Long-term Target Normalized EBITDA1 by Contract Type2 ▪ Differential & Commodity2 2020 Normalized EBITDA1 By Contract Type2 Low Risk Business Model – Enhanced Cashflow Stability Divesting Non-Core, Commodity Sensitive Assets A B CIncreasing Commercial Contracting Delivering a Low-Risk Business Model Contractedness and Durability 90% 10% Notes: 1) Non-GAAP financial measure see discussion in advisories; 2) Commodity means frac exposed volumes and differential means merchant export volumes, hedged and unhedged. Significantly Reduced Commodity Exposure – Driving to Low-Risk Business Model Continued progress on increasing contracted cashflows Contractedness and Durability 1
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REEF Update 6 Delivery 2024 2025 2026 Timeline Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 EPF1 Site Prep. Installation CSU2 EPF1 Construction CSU2 EPF1 Site Prep. Installation CSU2 UplandsRail YardJetty Notes: 1) EPF = Engineering, procurement and fabrication.; 2) CSU = Commissioning and startup. Project Execution Final Investment Decision Site Clearing Milestones Cleared To-Date 88 piles placed; productivity increasing In-Water Piling ~60% project costs committed or incurred to date Cost Exposure Overburden removal complete Rock blasting >70% complete Earthworks Commercial Base tolling target achieved FEED Offsite Fabrication Accumulator and bullets ~70% complete; compression and refrigeration progressing Base Commercial Contracting 2 REEF on Time and Budget; Strong Construction Progress To-Date Jetty Construction Uplands Preparation LPG Accumulator
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Pipestone II Update 7 Delivery 2024 2025 Timeline Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Acid Gas Wells Gas Gathering Facility Project Execution Milestones Cleared To-Date Commercial 2 Drilled and Completed Acid Gas Injection Wells Principally all work executed or under firm price EPC awards EPC Contracting Pipeline construction and testing complete Gathering System 100% contracted under long-term take-or-pay with marquee producers 76% of construction complete; earthworks complete Facility Construction Project Execution ⬤ Safety ▪ No significant safety incidents. ⬤ Quality ▪ No significant issues to date. ⬤ Risk ▪ All major risks have mitigation in place. ⬤ Regulatory, Environmental and Stakeholder ▪ No surprises in regulatory or approvals. ▪ No major environmental incidents. ▪ Continued strong local community support. Final Investment Decision FEED Acid Gas Wells Site Clearing Gathering System Pipestone II on Track for December 2025 Start Up
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$2 $3 $4 $5 $6 2019 2020 2021 2022 2023 2024 2025E US$ Billions Strong Demand for Gas Utilities Investments 8 U.S. Natural Gas Demand U.S. Gas-Fired Electrical Generation Sources: EIA; Energy Analysis; AGA; U.S. Department of Energy, RRA; PHMSA; Internal data; PJM; 1) Calculated for the 6-year period commencing 2019 to 2025E. 0 1,000 2,000 3,000 4,000 1950 1960 1970 1980 1990 2000 2010 2020 Billion KWh petroleum and other renewables nuclear natural gas coal All while natural gas has also played a critical role in electric grid stability U.S. Natural gas demand has grown ~20 Bcf/d over past decade 1 2 3 5 4 3 Growing Role of Gas Strong Customer Demand for Natural Gas Drives Continued Multi-Decade Rate Base Growth U.S. Household Energy Demand Consumption per Home, Gas vs. Electric 0 25 50 75 100 125 Michigan Virginia Maryland District of Columbia U.S. Average Natural Gas Electricity Natural gas represents nearly 70% of U.S. household energy consumed Investments Drive Rate Base Growth Ongoing pipeline modernizations have driven an ~8% Rate Base CAGR1 since 2019 >30% of our system is made up of more vulnerable pipe and is over 50 years old 65 70 75 80 85 90 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 BCF/D Bcf/d Therm - 1,000 2,000 3,000 4,000 5,000 Pre-1940s 1950s 1970s 1990s 2010s Miles of Pipe Other Plastic Protected Steel Iron Large Backlog of Pipe Replacements 6 PJM Expecting Capacity Shortfalls Presents incremental opportunities for rate base growth Projected PJM shortfalls suggest growing need for capital investments 23% 19% 17% 15% 11% 8% 8% 5% 0% 5% 10% 15% 20% 25% 2023 2024 2025 2026 2027 2028 2029 2030 Reserve Margin
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Growing Asian Demand Supports Midstream Expansion 9 Global Natural Gas Demand Sources: EIA; Energy Aspects; Wood Mackenzie, S&P 1 2 4 3 5 6 3 Asian NGL Import Demand and Canadian Growth Outlook Drives Midstream Growth Opportunities Asian LPG Imports WCSB NGL Outlook Canadian Natural Gas Production 0 15 30 45 60 75 1990 1995 2000 2005 2010 2015 2020 2025 2030 2035 2040 (MMboe/d) 0.80 1.00 1.20 1.40 1.60 1.80 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 (MMBbl/d) AB 0 5 10 15 20 25 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Middle East (bcf/d) Norway Robust global natural gas demand; driving need for higher supply from producing nations Asian LPG demand growth led by China and India; Drives need for more Canadian exports Canadian gas volumes continue to grow despite challenging AECO gas pricing Canadian gas production expected to rise ~25% through 2030 to >23 Bcf/d Which will bring robust associated NGLs that need to be exported outside of Canada Producer focus on the Montney continues to drive increased liquids yields for the WCSB Alberta Montney B.C. Montney 10 11 17 18 19 7 7 11 11 12 0 10 20 30 40 2010 2015 2020 2025E 2030E Liquids (Bbl/MMcf) Propane Butane Canadian Gas - Liquids Yields $0 $1 $2 $3 $4 $5 $6 15.8 16.5 17.3 18.0 18.8 19.5 20.3 2022 2023 2024 2025YTD AECO ($C/GJ) (bcf/d) Gas Production AECO Canadian Gas Production vs AECO 0.0 1.0 2.0 3.0 4.0 2016 2018 2020 2022 2024 2026 2028 2030 (MMBbl/d) Other APAC India Japan South Korea China
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10 Optimize Assets For Maximum Returns Increase throughput, extend asset lives and control operating costs. 2025 Business Plan Long-term Strategic Priorities Remain Unchanged Focus on growing, de-risking, and strengthening the enterprise. Active De-Risking Execute long-term commercial contracting across Midstream, systematic hedging, and active utility regulatory initiatives. Balance Sheet Deleveraging Move towards our 4.65x1 and 4.0x2 adjusted net debt/normalized EBITDA3 leverage target. Creating increased financial flexibility. Advance Key Growth Projects Execute on Utilities modernization programs, complete Pipestone II and material construction progress on REEF project. Discipline Capital Allocation Continue to take actions to drive long-term per share value. 1 2 3 4 5 Strong Execution of Strategic Priorities 4 Notes: 1) 4.65x represents leverage target including the 50% debt treatment on hybrid and preferred share capital in the calculation of adjusted net debt; 2) 4.0x represents adjusted net debt which is net debt excluding hybrid and preferred share capital and current and long-term portions of finance lease liabilities; 3) Non-GAAP financial measure. *See "Forward-looking Information
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Utilities – Q1/25 Performance 11 +15% Y/Y Growth Normalized Utilities EBITDA1 Regulatory and Advocacy Capital Investments ▪ Rate base growth through modernization investments and new customer connects. ▪ Strong Retail results and ongoing O&M cost savings at WGL. ▪ Colder weather in D.C. and Michigan Y/Y, asset optimization and FX tailwinds. $127MM Invested Capital1 Cost Management, Modernization Programs and Rate Case Filings Drive Growth ▪ $52MM directed to ARP and modernization initiatives. ▪ Balance for system betterment and new meter connects. ▪ Focused on balancing safety, reliability and affordability for customers. ▪ D.C. commission continues to show support for modernization programs, with extension to 2025 YE. ▪ New D.C. modernization application (District SAFE) ongoing (requesting US$215MM over three years). ▪ D.C. rate case continues to advance (US$45.6MM increase request, including US$12MM ARP surcharge; 10.5% ROE). Q1/25 Utilities results exceeded expectations; cost management playing a key role Cost Management Initiatives ▪ 9% Y/Y reduction in O&M across all utilities with SEMCO held relatively flat. ▪ Driven by process efficiencies, removal of unnecessary expenses, and focus on core operations. 11% Y/Y O&M Reduction at Washington Gas D.C. Notes: 1) Non-GAAP financial measure; see discussion in the advisories. 5
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Midstream – Q1/25 Performance 12 Frac, Extraction & Liquids Handling +6% Y/Y Montney volume growth2 ▪ Strong and stable volume contributions across asset base. ▪ North Pine running strong at ~29,000 Bbl/d in the quarter. ▪ Growing Montney G&P volumes will continue to add increased liquids in coming years. Our Unique Value Chain Benefits from Macro Economic Tailwinds Strategic infrastructure drives outsized volume growth, anchored by global exports platform Notes: 1) Non-GAAP financial measure; see discussion in the advisories; 2) Total extracted NGL volumes. Gathering & Processing +11% Y/Y volume growth ▪ +16% Y/Y Montney volume growth. ▪ Strong performance at Townsend, Blair Creek and Harmattan. ▪ NEBC and Basin activity remain strong, despite challenged natural gas prices. ▪ LNG Canada and liquids will continue to drive activity levels. Global Exports +4% Y/Y Growth Steady Growth Since 2019 Results Y/Y ▪ Continued de-risking with higher tolling in global exports ▪ Higher frac spreads ▪ Lower realized Q1 merchant spreads ▪ Higher Opex/G&A 5 0 25,000 50,000 75,000 100,000 125,000 150,000 3Q19 1Q20 3Q20 1Q21 3Q21 1Q22 3Q22 1Q23 3Q23 1Q24 3Q24 1Q25 Global Export Volumes (Bbl/d) RIPET Ferndale One-Time Impacts ▪ Absence of hedging gain present in Q1/24 ▪ Absence of gain on Alton ARO adjustment present in Q1/24$197M Normalized EBITDA1
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$0.75 $1.00 $1.25 $1.50 $1.75 $2.00 $2.25 2018 2019 2020 2021 2022 2023 2024 2025E 2024 2025E 2025 Financial Guidance Normalized EBITDA1,2 Guidance ($ millions) Normalized EPS1,3 Guidance Notes: 1) Non-GAAP financial measure; see discussion in the advisories; 2) Nearest GAAP measure of Net Income Before Income Taxes for the full year 2024 was $746 million; 3) Nearest GAAP measure of Net Income per Common Share for the full year 2024 was $1.95. See "Forward-looking Information“ $1,775 - $1,875$1,769 Utilities: ~ 54% - 58%Utilities: ~56% Midstream: ~ 42% - 46%Midstream: ~44% 2025 Guidance Unchanged – Balanced Headwinds & Tailwinds + Utilities cost management + Utilities asset optimization from volatile gas prices + Extraction frac spreads – Merchant LPG spreads – Lower Harmattan cogen revenue – Corporate (Blythe performance + rising share price and LTIP Tailwinds / Headwinds 13 $2.10 - $2.30 6
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2025 Capex Budget 14 2025 Capital Budget: $1.4 Billion Capital deployment reflects the continued strong growth opportunities. Largest 2025 capital outlays include REEF, Pipestone II, Utilities ARP and system betterment. Midstream Allocation Strong organic growth opportunities across both platforms – driving healthy competition for capital. Attractive investment opportunities in Midstream driving current increased allocation. Midstream: ▪ REEF, Pipestone II ▪ Maintenance & Turnaround ▪ Optimization capital Utilities: ▪ ARP/MRP Programs ▪ System Betterment ▪ New Business & Customer Growth 2025 Capital Investments Driving Long Term Growth Profile Notes: *See "Forward-looking Information“ Utilities 51% Midstream 45% Corporate / Other 4% 6 28% 10% 12% 20% 41% 45% 70% 89% 87% 78% 54% 51% 2% 1% 1% 2% 4% 4% 2020 2021 2022 2023 2024 2025E Midstream Utilities Corporate / Other
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Leverage Targets 15 Calibrating on: ▪ Business mix (55% Utilities / 45% Midstream) ▪ Aligns with peer average leverage ratios ▪ Anchored to ‘BBB-mid’ Investment Grade Ratings 4.0x Adjusted Net Debt to Normalized EBITDA1,2 (excludes prefs + hybrids) 4.65x (including 50% debt treatment for prefs + hybrids) Leverage Targets (Medium to Long-Term) 4.2x 4.84x Adjusted Net Debt to Normalized EBITDA1,2 Trailing Metrics (As of Q1/25) (excludes prefs + hybrids) (including 50% debt treatment for prefs + hybrids) Notes: 1) Adjusted Net Debt is Net Debt excluding the current and long-term portions of finance lease liabilities, hybrid capital, and debt associated with acquisitions that occurred in the last half of the fiscal year; 2) Non-GAAP financial measure; see discussion in the advisories; *See "Forward-looking Information“ Reduced Adjusted Net Debt by ~$270 million in Q1 2025 6 On Track to Reach Long Term Leverage Targets in 2025
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AltaGas Value Proposition Diversified, Low-Risk Business Model with Visible Growth and Disciplined Capital Allocation 16 1) Non-GAAP measure; see discussion in the advisories. *See "Forward-looking Information“ Low Risk Business Model; Industry-Leading Growth Robust energy fundamentals for natural gas and NGLs Low-risk commercial frameworks – ~85% utilities / take-or-pay and fee- for-service contracts >90% of earnings from Utilities / Investment Grade counterparties Diversified platform provides opportunity to optimize capital allocation Low RiskEnergy Infrastructure Platform Providing Stable and Growing Earnings / Cash Flows Utilities modernization programs and customer growth provides visible and low-risk growth Growing global LPG demand provides structural growth tailwind across Midstream platform Opportunities to increase throughput capacity through lower- capex investments drive improving returns Visible, Industry- Leading Growth Active de-risking – commercial, hedging, and regulatory Continue deleveraging - Move towards 4.65x1 and 4.0x2 Net Debt to normalized EBITDA target3 Disciplined capital allocation to grow normalized EPS / FFO per share Prudent and sustainable dividend payout (~50-60% normalized EPS1) Disciplined Capital Allocation1 2 3 Notes: 1) 4.65x represents leverage target including the 50% debt treatment on hybrid and preferred share capital in the calculation of adjusted net debt; 2) 4.0x represents adjusted net debt which is net debt excluding hybrid and preferred share capital and current and long-term portions of finance lease liabilities; 3) Non-GAAP financial measure. *See "Forward-looking Information 7
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2018 2019 2020 2021 2022 2023 2024 2025E2018 2019 2020 2021 2022 2023 2024 2025E Normalized EBITDA1 2018 2019 2020 2021 2022 2023 2024 2025E Normalized Earnings Per Share1 Execution Delivers Compounding Long-term Value 17 14% Normalized EPS1 CAGR 2018→2025E3 9% Normalized EBITDA1 CAGR 2018→2025E3 >5.5x Reduction in Adjusted Net Debt1,2 / Normalized EBITDA 2018→2024 >20% TSR CAGR since 2019 Dividends + Share Price Execution of Strategic Priorities Driving Superior Value Creation Notes: 1) Non-GAAP financial measure, see discussion in the advisories; 2) Adjusted net debt is defined as net debt adjusted for current and long-term portions of finance lease liabilities, Hybrid Notes, and debt associated with acquisitions that occurred in the last half of the fiscal year; 3) “E” denotes 2025 normalized EPS guidance ranges of $2.10-$2.30 and 2025 normalized EBITDA guidance ranges of $1.775B - $1.875B, See “Forward-looking information” Adjusted Net Debt1,2 / Normalized EBITDA Share Price Performance 7 2019 2020 2021 2022 2023 2024 ALA-CA Midstream Index LDC Index Blended Index
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Appendix: Q1 2025 Variances 18
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660 689 64 -50 15 19 Q1 2024 Actual Utilities Midstream Corp/ Other Q1 2025 Actual ▲ Retail performance ▲ Favorable weather (D.C. & Michigan) ▲ Lower O&M at WGL ▲ ARP modernization ▲ Asset optimization ▲ DC Rate case (2022) ▲ Favorable USD/CAD FX rate (net of hedges) ▼ Maryland rate case (2023) ▼ Higher global export volumes offset by lower margins (including higher tolling relative to Q1/24) ▼ Opex/G&A ▼ Absence of gain on ARO settlement (Alton in Q1/24) ▼ Absence of hedge gain in Q1/24 ▼ Lower MVP equity earnings (relative to AFUDC in Q1/24) ▲ Fractionation & liquids handling ▲ Higher frac spreads ▲ Blythe performance (absence of turnaround in Q1/24) ▲ Corporate G&A 252 294 Normalized EBITDA1,2 ($ millions) Notes: 1) Non-GAAP financial measure; see discussion in the advisories; 2) Numbers may not add due to rounding. Consolidated: Q1/25 vs. Q1/24
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541 513 62 -93 3 Consolidated: Q1/25 vs. Q1/24 20 Income (Loss) Before Income Taxes1 ($ millions) Q1 2024 Actual Utilities Midstream Corp/ Other Q1 2025 Actual ▲ Primarily same factors impacting normalized EBITDA ▲ Unrealized gains on risk management contracts ▼ Higher depreciation expense ▼ Primarily same factors impacting normalized EBITDA ▼ Unrealized gains on risk management contracts ▼ Higher depreciation expense ▲ Primarily same factors impacting normalized EBITDA ▲ Lower transaction & restructuring costs ▼ Higher interest expense ▼ FX losses Notes: 1) Numbers may not add due to rounding. 231
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Utilities: Q1/25 vs. Q1/25 21 437 501 64 Q1 2024 Actual Utilities Q1 2025 Actual ▲ Retail performance ▲ Favorable weather (D.C. & Michigan) ▲ Lower O&M at WGL ▲ ARP modernization ▲ Asset optimization ▲ DC Rate case (2022) ▲ Favorable USD/CAD FX rate (net of hedges) ▼ Maryland rate case (2023) Normalized EBITDA1,2 ($ millions) Notes: 1) Non-GAAP financial measure; see discussion in the advisories; 2) Numbers may not add due to rounding.
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Midstream: Q1/25 vs. Q1/24 22 247 197 -50 Q1 2024 Actual Midstream Q1 2025 Actual ▼ Higher global export volumes offset by lower margins (including higher tolling relative to Q1/24) ▼ Opex/G&A ▼ Absence of gain on ARO settlement (Alton in Q1/24) ▼ Absence of hedge gain in Q1/24 ▼ Lower MVP equity earnings (relative to AFUDC in Q1/24) ▲ Fractionation & liquids handling ▲ Higher frac spreads -11 Normalized EBITDA1,2 ($ millions) Notes: 1) Non-GAAP financial measure; see discussion in the advisories; 2) Numbers may not add due to rounding.
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Corporate/Other: Q1/25 vs. Q1/24 23 -24 -9 15 Q1 2024 Actual Corporate Q1 2025 Actual ▲ Blythe performance (absence of turnaround in Q1/24) ▲ Corporate G&A Normalized EBITDA1,2 ($ millions) Notes: 1) Non-GAAP financial measure; see discussion in the advisories; 2) Numbers may not add due to rounding. 2
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Contact Information For more information visit www.altagas.ca or reach out to one of the following: 24 Jon Morrison Senior Vice President, Corporate Development and Investor Relations Jon.Morrison@altagas.ca Aaron Swanson Vice President, Investor Relations Aaron.Swanson@altagas.ca Jennifer Sudermann Manager, Investor Relations Jennifer.Sudermann@altagas.ca Blake Nyberg Sr. Analyst, Investor Relations & Corporate Development Blake.Nyberg@altagas.ca