Diversified Energy Company · NYSE:DEC
Diversified Energy — Investor Presentation (May 2026)
50 slides from Diversified Energy's investor presentation, May 8, 2026
Slide 1: Investor Presentation
Investor Presentation PROVEN: Stepping up when others step away DEC | NYSE & LSE May 2026
Slide 2: Disclaimer, Forward-Looking Statements and Non-GAAP Measures
Disclaimer, Forward-Looking Statements and Non-GAAP Measures The information contained in this document (the "Presentation") has been prepared by Diversified Energy Company (“Diversified” or Forward-looking statements speak only as of their date and neither the Company n nor any of its respective di
Slide 3: E & P without the “E”
E & P without the “E” Diversified Energy provides a consistent and stable cash return from a de-risked energy investment with the opportunity for capital appreciation through disciplined and accretive growth Acquire Operate Optimize Disciplined strategy Apply our Smarter Unlock opportunities targeti
Slide 4: Why invest in Diversified Energy?
Why invest in Diversified Energy? 1 Universe of One Only publicly traded company focused on 2 Compounded Growth Unique model that delivers uncorrelated acquiring, operating, and optimizing growth through commodity price cycles with established, cash-generating energy assets disciplined execution of
Slide 5: Organizational culture is a competitive advantage
Organizational culture is a competitive advantage Who We Are Where We Focus How We Talk Core Values Daily Priorities Winning Language DEC’s decentralized operating model puts accountability closest to the asset Local teams own execution Faster response, higher uptime Lower costs, stronger margins 5
Slide 6: We are a consolidator of choice for established energy assets
We are a consolidator of choice for established energy assets Established scale across key operating areas through growth-by-acquisition strategy 35 acquisitions to date Core Basin Non-Op Development Processing Facilities Daily Production Market Capitalization >1.2 BCFed ~$1.1 Billion Year-End ’25 R
Slide 7: Proven success and momentum through 2025
Proven success and momentum through 2025 Strong operational and Successful Maverick Strategic partnership Acquisition of financial performance acquisition & integration with Carlyle Canvas Energy Production (MMcfe/d) Adj. EBITDAa ($MM) +37% +103% y/y y/y 1,086 956 791 470 2024 2025 2024 2025 Record
Slide 8: Delivering on a de-risked production optimization model
Delivering on a de-risked production optimization model Reducing exposure to Traditional typical industry risk factors Gassy E&Ps Reinvestment Ratea Reinvestment Ratea Development/Operational Risk • PDP focus eliminates the need for drill-bit exploration 82% 91% • Smarter Asset Management enhances p
Slide 9: 35+ (>$6B) in acquisitions
Acquisition strategy requires discipline, focus, skill, and precision Acquisitions EBITDA & Production Performance 2017-2020 2021-2024 2025-2026 2025 Exit Rate Adj. Production (Mmcfe/d) Appalachia Central Portfolio EBITDAa Region Growth Region Entry Transformation 66% CAGR $1B 1,254 841 $472M $1.7B
Slide 10: Proven ability to unlock additional cash flow generation
PORTFOLIO OPTIMIZATION PROGRAM (POP) Proven ability to unlock additional cash flow generation Acquisition valuations based on existing producing assets accounting for ~100% of purchase price Acquisitions include monetizable assets assigned no value in acquisition underwriting, enhancing economics Ca
Slide 11: Our de-risked optimization model has translated to economic growth for shareholders
Our de-risked optimization model has translated to economic growth for shareholders Shareholder Takeaways Proven Multi-Year Track Record: 2021 – 2025 EBITDA per Sharea 12% CAGR Return on 13% CAGR Unique business model Prudent use of Capital Employedb $12.84 15.9% relative to traditional E&Ps equity
Slide 12: Underpinned by best-in-class investment attributes
Underpinned by best-in-class investment attributes ABS utilization highlights quality and stability of a business’s cash flows Energy Sectors ABS Issuers % of ABS FREE CASH DIVIDEND EV/ ATTRIBUTES REFLECTED IN DEC Debt FLOW YIELDc YIELDc EBITDAc • Low production declines 0% 8.8% 3.0% 6.2x Integrated
Slide 13: NYSE primary listing & GAAP financials mark new chapter
NYSE primary listing & GAAP financials mark new chapter Expected to increase trading liquidity, exposure NEW STRUCTURE to deeper US capital markets, and positioning US Corporation - GAAP for inclusion in US equity indices and ETF's • NYSE Primary Listing IPO (2017) YE 2025 • Quarterly Filings (10Q a
Slide 14: Stepping up when others step away
PROVEN: 25 Years of... Stepping up Proven Efficient Proven Investment when others Getting Stuff Done Creating Value step away • We focus on and do simple better • Growth through acquisition • We accept nothing less than in a de-risked business model operational excellence • Returning over $1 billion
Slide 15: Portfolio of Assets
Portfolio of Assets »>
Slide 16: Operational excellence across all our locations
Operational excellence across all our locations We leverage our smarter asset management program, vertical integration, and broad technology application to get the most out of our assets – every day WAB/Mid-Con – Haynesville/Cotton Valley – Appalachia – 400 MMcfed 484 MMcfed 230 MMcfed Permian – 46
Slide 17: Extensive asset base assembled through successful M&A
Extensive asset base assembled through successful M&A Asset Detail by Region Appalachia Mid-Con ETX / LA Permian Barnett/Other Total Asset Overview (as of YE2025) Operated PDP PV-10 ($MM) $1,510 $1,550 $730 $204 $192 $4,186 Non-Op PDP PV-10 ($MM) $25 $487 $38 $79 $12 $640 Total PDP PV-10 ($MM) $1,53
Slide 18: DEC is one of the largest upstream holdings in the US
DEC is one of the largest upstream holdings in the US Acreage by State Over 2 Million WV Undeveloped Acreage Enhancing Economics 750k – 2 million PA, OK, KY, TX Represents ~65% of Total and Increasing Liquidity 100k – 750k LA, NM, OH, TN, VA Less Than 100k AL, AR, FL, WY Provides significant upside
Slide 19: Infrastructure assets deliver margin enhancement
Infrastructure Fallowfield Compressor assets deliver margin Station enhancement Washington County, PA (Appalachian region) Critical infrastructure supports LOE outperformance and operational flexibility Black Bear Midstream Lines Processing ~38,000 Miles Facility DeSoto Parish, LA – Water Lines Cott
Slide 20: Acquisition Core Competency
Acquisition Core Competency
Slide 21: Thoughtful approach to accretive growth
Thoughtful approach to accretive growth M&A Characteristics Maintain disciplined, value-driven approach Low-Decline Mature Production Acquisitions must meet our return thresholds, be naturally accretive, Target annual production declines of 10-20% and enhance shareholder value Geographically Adjacen
Slide 22: Diversified’s Deal Valuation Framework
Diversified’s Deal Valuation Framework Our seasoned upstream M&A professionals maintain a rigorous underwriting process Key Steps in our Underwriting Analysis Detailed Evaluation of Sell-side Model 1. Rigorous production forecasts • Forecasts on a well-by-well basis • Wells with limited history, and
Slide 23: Significant runway for additional growth
Significant runway for additional growth Who We Buy From U.S. Producing Wells – Significant Opportunity Set Private Equity ~$75 Billion in upstream assets expected Sponsored to be liquidated over five years Target Opportunity Set DEC Market Share of Producing Wells Large-Cap ~$50 Billion Market in a
Slide 24: Case Study: Path to leading Mid-Con position
Case Study: Path to leading Mid-Con position Oklahoma Acquisition Map Acquisition Overview Acquisition Strategic Rationale / Upside Realized Price Paid Tapstone • Represented entry into basin, establishing platform for $181MM additional bolt-ons and operating team December 2021 • No value ascribed t
Slide 25: Operate With Excellence
Operate With Excellence »>
Slide 26: DEC’s core competency is operating and optimizing established producing assets
DEC’s core competency is operating and optimizing established producing assets Core Competency Site Lifecyle Exploration & Drilling Completion & Production Established Operations Retirement Integrated Extensive G&A resources, Corporate infrastructure built to Limited resources, infrastructure Assets
Slide 27: Our proven approach optimizes performance
Our proven approach optimizes performance Focused Workover Centralized Vendor Midstream Integration Innovative Emissions Program Management and Optimization Reduction Mid-Con Case Study Maverick Case Study Oklahoma Midstream • Measurement-based approach to Case Study identify reduction opportunities
Slide 28: Our scaled digital capability drives operational excellence
Our scaled digital capability drives operational excellence Core Technology Capabilities Cloud Well-Level Centralized Infrastructure Data Capture Operational Control • Remote access to data • LTE connectivity • Visibility across basins • Enhanced information at the wellhead • Supports optimization a
Slide 29: We have built a scalable vertically integrated platform
We have built a scalable vertically integrated platform Integrated Platform Across the Value Chain Technology and Corporate Infrastructure Backbone Production Local owner/operator model improves uptime Best-in-Class Midstream Tech Stack Owned infrastructure Technology-enabled reduces third-party cos
Slide 30: JV Non-op partnerships create alternate value creation possibilities
JV Non-op partnerships create PROVEN alternate value creation possibilities Adding High Return Production in 2026 Three Partnerships Across OK & Permian and Beyond Accretive Well-Level Returns NM Contributing acreage into JVs provides access to well-level economics not otherwise captured in DEC’s co
Slide 31: Continued commitment to strong sustainability practices
Continued commitment to strong sustainability practices Sustainability Report Highlights Recent Stewardship Achievements Disclosed Enhanced Published 2023 Best ESG Report Achieved ‘AA’ Awarded OGMP 2.0 State-by-State Biodiversity & Climate ESG Performance at 2023 ESG Awards Rating from MSCI Gold Sta
Slide 32: Next LVL Energy & Mountain State Plugging Fund
Next LVL Energy & Mountain State Plugging Fund Next LVL Energy: In-House Asset Retirement Mountain State Plugging Fund: Financial Business Drives Efficiency & Cost Savings Assurance for Asset Retirement Obligations Strategy Driven by Innovation not Repetition Common Sense Solution: Strengthening Pos
Slide 33: Finance & Capitalization
Finance & Capitalization »>
Slide 34: Balance Sheet Overview – A focus on low cost of capital
Balance Sheet Overview – A focus on low cost of capital Capital Structure (as of December 31, 2025) Leveragea Breakdown Debt Investment Outstanding Leverage vs. Other Industries DEC – Leverage by Type Instrument Grade Maturity Coupon (%) as of Dec '25 Security Capital structure more comparable Over
Slide 35: Why have we chosen ABS financing?
Why have we chosen ABS financing? Strategic Advantages Debt Financing Decision Tree of Utilizing ABS Alternatives Low-Cost Ability Focus High Yield RBL ABS ABS Advantages to Capitalize M&A Fixed interest rate with Cost of Capital Investment-Grade rating driving down Carlyle Partnership Solidifies Ou
Slide 36: Hedging: Safeguarding returns and lowering cost of capital
Hedging: Safeguarding returns and lowering cost of capital Enabling Investment- Ensures Underwritten Limiting Commodity Long-Term Exposure Grade Ratings on Acquisition Returns Price Risk to Pricing Upside Acquisition ABS Financing are Achieved Volume Price Natural Gas Hedges Natural Gas Basis Hedges
Slide 37: Value Creation & Investment Thesis
Value Creation & Investment Thesis
Slide 38: Delivering exceptional performance and growth
Delivering exceptional PROVEN performance and growth 1Q26 Financial & Operating Highlights Significant YoY Growth Production Exit Rate of 1,228 MMcfe/d • Q1 avg. production of 1,198 MMcfe/d YoY • Maintained industry-leading consolidated production decline 1Q 2025 1Q 2026 Growth Total Commodity Reven
Slide 39: Our capital return priorities: Continued success in Q1 ‘26
Our capital return priorities: Continued success in Q1 ‘26 PROVEN Systematic Strategic Share Accretive Fixed per-share Debt Reduction Repurchases Acquisitions Dividend ~$92M ~$72M ~$2.2B ~$22M of debt principal value of shares of recently completed in dividend payments repurchased(a) acquisitions(b)
Slide 40: Reiterating 2026 outlook
Reiterating 2026 outlook Prioritizing free cash flow with the flexibility to allocate across the highest and best uses of capital to create long-term shareholder value 2026 Guidance Range(a) LOW HIGH Total Production (Mmcfe/d) 1,170 1,210 % Liquids 28% % Natural Gas 72% Adj. EBITDA(a) $925M $975M To
Slide 41: Why invest in Diversified Energy?
Why invest in Diversified Energy? 1 Universe of One Only publicly traded company focused on 2 Compounded Growth Unique model that delivers uncorrelated acquiring, operating, and optimizing growth through commodity price cycles with established, cash-generating energy assets disciplined execution of
Slide 42: Appendix
Appendix »>
Slide 43: Summary of footnotes (page 1)
Summary of footnotes (page 1) Slide 6: We are a consolidator of choice for established energy assets a) All reserves are stated on SEC basis as of YE25 b)Pro-forma Adjusted EBITDA is a non-GAAP metric, which represents earnings before interest, taxes, depletion, and amortization. Reconciliation and
Slide 44: Summary of footnotes (page 2)
Summary of footnotes (page 2) Slide 12: Underpinned by best-in-class investment attributes a) Adjusted EBITDA is a non-GAAP metric, which represents earnings before interest, taxes, depletion, and amortization. Reconciliation and full definition is provided in the appendix of this presentation. b)Ad
Slide 45: Adjusted EBITDA
Appendix Adjusted EBITDA PROVEN As used herein, EBITDA represents earnings before interest, taxes, depletion, depreciation and amortization. adjusted EBITDA includes adjusting for items that are not comparable period-over-period, namely, accretion of asset retirement obligation, other (income) expen
Slide 46: Free Cash Flow & Net Debt
Free Cash Flow & Net Debt As used herein, net debt represents total debt as recognized on the balance sheet less cash and restricted cash. Total debt includes our borrowings under the Credit Facility and borrowings under or issuances of, as applicable, our subsidiaries’ securitization facilities. We
Slide 47: Hedging Detail
Hedging Detail Natural Gas Financial Derivatives Contracts Natural Gas (MMBtu, $/MMBtu) 1Q26 2Q26 3Q26 4Q26 1Q27 2Q27 3Q27 4Q27 2026 2027 2028 2029 NYMEX NG Swaps(a) Volume 68,418,843 70,270,435 70,312,977 68,740,507 65,287,718 64,067,311 63,101,145 59,343,619 277,742,762 251,799,793 212,517,177 196
Slide 48: Hedging Detail
Hedging Detail Natural Gas Liquids Financial Derivatives Contracts NGL (bbl, $/bbl) 1Q26 2Q26 3Q26 4Q26 1Q27 2Q27 3Q27 4Q27 2026 2027 2028 2029 Consolidated NGL Hedges (b) Volume 2,329,856 2,237,281 2,162,683 2,103,226 2,030,057 2,005,382 1,949,006 1,912,163 8,833,047 7,896,608 6,945,058 4,311,553 W
Slide 49: Amortizing debt structures drive disciplined repayment
Amortizing debt structures drive disciplined repayment -16% -31% -44% -56% -66% -80% -92% -98% ~$335 ~$300 USD Millions ~$261 ~$248 ~$213 ~$298 ~$245 ~$125 2026 2027 2028 2029 2030 2031 2032 2033 Naturally aligned with Enabling Investment-Grade Creates clear line-of-sight to Naturally aligned with
Slide 50: Corporate
Corporate Douglas Kris Kevin O’Brien 1600 Corporate Drive Senior Vice President Director Birmingham, Alabama Investor Relations & Investor Relations 35238-1087 (USA) Corporate Communications div.energy dkris@dgoc.com kpobrien@dgoc.com +1 973 856 2757 +1 412 403 7085
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