Expand Energy Corporation Q3 FY2025 earnings call

• The third quarter marked the first year of Expand Energy, with the team driving long-term value through cost reduction and portfolio development. The Haynesville position saw efficiency gains: 7 rigs now produce as much as 13 did in 2023, well costs reduced by over 25%, YTD costs 30% lower than peers, and average well productivity since 2022 40% higher than the basin average. - Added attractively priced acreage in East Texas. Synergies exceeded the original target by 50%. - Eliminated $1.2 billion in gross debt and returned nearly $850 million to shareholders. - The Lake Charles Methanol supply agreement is a success, demonstrating value creation in marketing. - Domenic Dell'Osso highlighted the first year of Expand Energy, team efforts in reducing costs and developing the portfolio, and the Lake Charles Methanol deal as a value creation example. - Daniel Turco discussed regional gas demand growth in South Louisiana and portfolio supply ability, and marketing portfolio optimization. - Josh Viets talked about the Western Haynesville acquisition, drilling and completion improvements in the Haynesville, and the appraisal program for the Western Haynesville. - Brittany Raiford mentioned the commodity risk management strategy with rolling 8-quarter hedges.

No detailed breakdown of product segments with revenue contribution percentages provided. Discussions focus on the Haynesville position with efficiency improvements, but no specific segment performance with revenue details.

• Expect to spend $150 million less to deliver 50 MMcf/d more production in 2025 compared to年初 guidance. - 2026 setup: 7.5 Bcf/d production with similar CapEx profile to 2025, around $2.8 - $2.9 billion in CapEx. - Commodity risk management with rolling 8-quarter hedges, layered downside protection and upside participation.

• Volatility in gas markets and potential changes in market conditions affecting production and pricing. - Uncertainties in the Western Haynesville's long-term decline and operational complexities.

Q: Matt Portillo asked about regional gas demand and downstream counterparties.

A: Domenic Dell'Osso and Daniel Turco discussed regional demand growth, with the Lake Charles Methanol deal as an example.

Q: Doug Leggate inquired about breakeven and marketing uplift.

A: Domenic Dell'Osso and Josh Viets talked about breakeven below $3 and marketing as a new emerging part.

Q: Betty Jiang asked about gas realization and M&A.

A: Domenic Dell'Osso, Daniel Turco, and Josh Viets discussed marketing opportunities, and M&A in Southwest App and Western Haynesville.

Q: Kevin MacCurdy asked about Western Haynesville vertical well and Haynesville D&C costs.

A: Josh Viets talked about Western Haynesville vertical well and D&C cost improvements.

Q: Neil Mehta asked about 2026 CapEx and hedge strategy.

A: Domenic Dell'Osso and Brittany Raiford discussed CapEx flexibility and hedge strategy.

Q: Zach Parham asked about Haynesville D&C costs and 2026 flexibility.

A: Josh Viets talked about D&C cost drivers and production flexibility.

Q: Charles Meade asked about breakevens.

A: Josh Viets explained Haynesville breakeven of $2.75 and Western Haynesville success criteria.

Q: David Deckelbaum asked about Western Haynesville appraisal and LCM deal.

A: Josh Viets and Daniel Turco discussed appraisal program and LCM deal rationale.

Q: John Annis asked about Gulf Coast demand and Western Haynesville vs NFZ.

A: Domenic Dell'Osso and Josh Viets talked about supply agreements and Western Haynesville vs NFZ.

Q: Scott Hanold asked about Western Haynesville complexity and Haynesville productivity.

A: Josh Viets discussed Western Haynesville complexity and Haynesville productivity improvements.

Q: John Freeman asked about CapEx reduction and debt reduction.

A: Josh Viets and Domenic Dell'Osso talked about CapEx drivers and debt reduction plans.