Mr. Toby McKenna reports

ROCKPOINT REPORTS SECOND QUARTER FISCAL 2027 RESULTS AND DECLARES QUARTERLY DIVIDEND

Rockpoint Gas Storage Inc. has released its results for the three and six months ended Sept. 30, 2026, being the second quarter of fiscal 2027. All financial figures in this news release are presented in U.S. dollars, unless otherwise noted.

"Rockpoint delivered strong performance in its first year as a public company, underpinned by record financial results, growth in its contracted, fee-for-service cash flow base and disciplined capital allocation," said Toby McKenna, chief executive officer. "With its high-quality, irreplicable asset base, the company is increasingly well positioned to provide critical infrastructure services in evolving energy markets characterized by secular natural gas demand growth, growing natural gas market volatility and constrained energy infrastructure. Rockpoint remains focused on maximizing the value of its existing asset base through high-return organic growth investments, executing its multifaceted commercial strategy and delivering attractive long-term total shareholder returns."

Financial results

Financial results for the quarter and the last 12 months continued to benefit from higher take-or-pay (ToP) and optimization revenue. ToP revenue was supported by increased storage rates and contracted volumes, and optimization revenue was driven by rising natural gas price volatility.

Highlights:

• Adjusted gross margin was $460-million for the last 12 months, up from $444-million in the prior period. This increase was primarily due to higher ToP revenue of $241-million, up from $209-million, supported by higher realized storage rates and contracted volumes. The quarterly results were $105-million, compared with $101-million in the same period last fiscal year. The results were driven by higher ToP and optimization revenue, partially offset by lower short-term storage (STS) revenue.
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) for the last 12 months was $386-million, up from $370-million in the prior period. The quarterly results were $86-million, compared with $83-million for the same period in fiscal 2026. The variances were primarily attributable to changes in adjusted gross margin.
• Distributable cash flow (DCF) was $254-million for the last 12 months, up from $234-million in the prior period. This 9-per-cent growth was attributable to higher adjusted gross margin and lower interest expense following the repricing of the company's term loan B facility, partially offset by higher current tax expense. The quarterly results were $49-million and $48-million in the same period of last fiscal year. The company expects to continue reinvesting excess DCF through organic capital projects, accretive strategic investments and opportunistic repurchases of Class A common shares pursuant to its normal course issuer bid (NCIB).
• Net earnings for the last 12 months totalled $252-million, up from $209-million in the prior period. The quarterly results were $83-million, compared with $46-million in the same period of fiscal 2026. While both periods benefited from an unrealized interest rate swaps gain, lowering the net financing costs, the results from the last 12 months also reflected higher adjusted gross margin, offset by compensation costs related to Brookfield's legacy long-term incentive plan agreements. Excluding these legacy incentive plan costs, which were financed by Brookfield Infrastructure, net earnings for the last 12 months would have been $304-million.
• Fee-for-service gross margin represented 83 per cent of adjusted gross margin for the last 12 months, which is largely consistent with the same period last fiscal year and broadly in line with the company's long-term target of 85 per cent, enhancing earnings visibility and reinforcing business resiliency.
• The net debt to adjusted EBITDA ratio of 3.1 times, for the last 12 months, was well below Rockpoint's long-term target of 3.5 times. This positions the company well to pursue and self-finance accretive organic growth opportunities.
• During the quarter, Rockpoint repurchased 919,291 Class A shares under its NCIB at a weighted-average price of $26.40 (Canadian) per share, for total consideration of approximately $24-million (Canadian). These repurchases reduced the outstanding share count by approximately 2 per cent, driving per-share accretion for shareholders. Rockpoint continues to view opportunistic share repurchases as an attractive use of capital, reflecting management's ongoing commitment to long-term shareholder value creation. These repurchases had no impact on Rockpoint's 40-per-cent economic or voting ownership interest in the business.

Growth project updates

To support growing customer demand, Rockpoint continues to advance a portfolio of high-return, capital-efficient brownfield projects and expects to deploy up to $150-million through fiscal 2029 at an estimated build multiple range of four times to six times. These projects are focused on expanding working gas capacity, enhancing asset deliverability, and optimizing facility operations to improve performance and reduce costs. Key in-flight projects include:

• Warwick battery storage: The 11-megawatt battery energy storage services project remains on budget and scheduled to enter service in the second quarter of fiscal 2028. The company has secured key commitments to procure key equipment and completed approximately 60 per cent of the detailed design and engineering work. The project is expected to cost $10.5-million.
• Warwick gas storage expansion: Rockpoint has begun realizing incremental working gas capacity from the project and remains on track to achieve the full 3.5-billion-cubic-foot (bcf) expansion by the third quarter of fiscal 2027. The performance of this initial expansion will inform fiscal 2028 project activities to increase total incremental working gas storage capacity to approximately five billion cubic feet. The first phase of the project is expected to cost $3-million, with an additional $4-million expected for the second phase.
• Kirby Hills optimization: Rockpoint is advancing a project to enhance gas dehydration capacity and optimize reservoir and facility operations at the Kirby Hills facility. The project is expected to add approximately two billion cubic feet of incremental working gas capacity at an estimated cost of $2-million and is anticipated to enter service in the first quarter of fiscal 2028.

Dividend declaration

Rockpoint's board of directors has declared a quarterly cash dividend of 23.10 U.S. cents per Class A share for the second quarter of fiscal 2027. The dividend is expected to be paid on Dec. 31, 2026, to holders of Class A shares of record as at the close of business on Dec. 15, 2026.

The Class A share dividend is designated as an eligible dividend for Canadian income tax purposes. For non-resident shareholders, Rockpoint's dividend should be considered a qualified dividend and may be subject to Canadian withholding tax.

Natural gas storage market outlook

Rockpoint remains well positioned to benefit from the widening gap between limited natural gas storage capacity across North America and accelerating natural gas demand growth, driven by rising LNG exports, power generation needs, oil sands production and reliance on intermittent renewables.

Over the last decade, the natural gas storage-to-production ratio across Canada and the United States has shrunk by approximately one-third. As the impact of this tightening intensifies, the company expects volatility to increase, further reinforcing the growing scarcity value and strategic importance of its natural gas storage assets:

• The recommissioning of Costa Azul LNG in November, 2026, is expected to create an additional source of competition for natural gas supply serving the California market. With California largely being fully dependent on imported natural gas to meet its energy needs, the Costa Azul LNG operation is expected to further tighten regional supply-demand balances and increase market volatility.
• The advancement of the 1.8-billion-cubic-foot-per-day (bcf/d) LNG Canada phase 2 and Coastal GasLink expansion reinforces sustained natural gas demand growth in the Western Canada sedimentary basin (WCSB). With LNG facilities using storage to support operational reliability rather than traditional seasonal balancing, Rockpoint believes LNG demand has the potential to fundamentally reshape WCSB market dynamics and increase the value of storage as reliability and flexibility become increasingly important to customers.
• The designation of the Pacific Link (West Coast oil pipeline) as a project of national interest is another positive development. Together with other proposed crude oil infrastructure expansion projects in the WCSB, Pacific Link is expected to support meaningful oil sands production growth into the next decade. As one of the lowest-cost and most resilient sources of oil supply in North America, continued oil sands development is expected to drive incremental WCSB natural gas demand.
• Data centre development is emerging as a significant source of incremental electricity demand. The Alberta data centre connection queue has grown to 26.5 gigawatts (GW), up from 20.7 GW in September this year, significantly exceeding the province's current power load of 9.5 GW to 11 GW. In California, the data centre connection queue currently stands at 12.7 GW, up from 5.1 GW in March of this year. If realized, this power demand source has the potential to materially increase long-term natural gas consumption for power generation, driving greater volatility across the natural gas value chain and increasing demand for storage services.
• Near-term market dynamics, including continuing geopolitical tension in the Middle East and forecasts for a potential super El Nino weather pattern this winter, are expected to increase energy market volatility. These events may create regional natural gas supply-demand imbalances and price dislocations, reinforcing the role and value of natural gas storage.

Message from the CEO:

"A strong first year as a public company. Since our IPO in October 2025, we have delivered record annual adjusted EBITDA, increased ToP revenue by 15 per cent, grew DCF by 9 per cent and expanded our contracted fee-for-service revenue backlog by 6 per cent. We also demonstrated our commitment to long-term shareholder value creation through balanced capital allocation. We delivered our first 5-per-cent dividend increase, at the high end of our 3-per-cent to 5-per-cent annual growth target, launched our NCIB to opportunistically return excess cash to shareholders and drive per-share accretion, and invested in high-return brownfield projects to support future cash flow growth. Further, in February, we successfully increased our public float and enhanced trading liquidity through an oversubscribed secondary offering of Brookfield-owned Class A shares, representing another important milestone in our evolution as a public company. These results reflect our disciplined execution, the strength of our underlying business fundamentals and our steadfast focus on driving long-term shareholder value.

"A compelling LNG market parallel: North American LNG demand is highly inelastic to price and operates year-round, making it a powerful driver of natural gas storage supply and demand dynamics. Since arriving in the U.S. Gulf Coast in 2014, LNG demand has grown to approximately 18 per cent of Lower 48 natural gas production. LNG demand has been a key regional driver behind the significant rise in natural gas storage rates, which have roughly tripled over the same period. Today, approved LNG export projects in the WCSB are expected to add approximately 4.3 bcf/d of demand by 2031, equivalent to roughly 22 per cent of current WCSB production. An additional 1.9 bcf/d of LNG projects are expected to be sanctioned over the next year, potentially increasing WCSB LNG export demand to 6.2 bcf/d in the early 2030s. Similarities in the relative size and demand profile of LNG exports in both markets highlight the potential for meaningful growth in WCSB natural gas storage demand and rates. Importantly, Rockpoint's long-term total shareholder return target of 15 per cent assumes 4 per cent to 5 per cent of annual EBITDA growth driven by increasing storage rates.

"Responsible contracting of a high-scarcity energy infrastructure service: We do not believe long-term value creation is simply a function of maximizing contracted volumes at any point in time. Our disciplined commercial strategy is designed to balance the stability and visibility of contracted cash flows with the ability to capture incremental value from strengthening market fundamentals, maximizing long-term shareholder value. We continue to observe encouraging signs in both of our operating regions that support our approach, and remain confident in our ability to deliver on our medium-term ToP target of 60 per cent as a percentage of total adjusted gross margin.

"In California, we delivered another year of ToP revenue growth despite renewal volumes during last year's contracting cycle being nearly three times that of a typical year. California's natural gas storage fundamentals remain well supported by growing competition for regional natural gas supply from expanding LNG exports in Western Canada, the U.S. Gulf Coast and Mexico, increasing dependence on intermittent renewable generation and the potential development of up to 12.7 GW of AI-related data centres requiring highly reliable power.

"In Alberta, as previously disclosed, we secured a 10 bcf long-term storage agreement this quarter with a new high-quality counterparty at an attractive rate and tenure. Equally encouraging, several of our recent storage contracts over the last 12 months involved large, established counterparties, with operations outside Alberta, reflecting growing recognition of the strategic importance of AECO natural gas storage as customers increasingly seek reliability and flexibility beyond their traditional markets.

"Building scale through value-accretive growth: We are entering an exciting phase of growth, leveraging our decades of natural gas storage development, operation and commercialization expertise. We are focused on maximizing the value of our existing asset base through brownfield projects and are actively evaluating greenfield opportunities to expand our footprint in select markets with attractive long-term fundamentals. Taken together, we are on the path to increase our scale, enhance geographic diversification and expand our growth runway well into the next decade. While we continue to actively advance and derisk our growth project pipeline, we remain committed to our rigorous technical, commercial and investment criteria before committing capital. We expect to provide details on material project developments and anticipated timelines over the coming quarters.

"Capital allocation priorities: Our capital allocation approach remains grounded in long-term value creation. We are committed to maintaining a strong balance sheet and aim to invest in high-return, capital-efficient projects to grow our distributable cash flow. Beyond that, we intend to return capital to shareholders through a sustainable and growing dividend and share buyback activity."

Management's discussion and analysis and financial statements

Rockpoint's unaudited interim condensed financial statements for the three and six months ended Sept. 30, 2026, the business's unaudited interim condensed combined consolidated financial statements for three and six months ended Sept. 30, 2026, and Sept. 30, 2025, and the related management's discussion and analysis, have been filed with the Canadian securities regulatory authorities. These documents are available on the company's website and on its SEDAR+ profile. The company has also made available certain supplementary information regarding the results for the second quarter of fiscal 2027, which ended Sept. 30, 2026, available on its website and on its SEDAR+ profile.

Webcast and conference call details

Rockpoint will hold a webcast and conference call today at 7:30 a.m. Alberta time (8:30 a.m. Eastern Time), for investors, sell-side analysts and other interested parties.

Participation details

Event:  Rockpoint Gas Storage second quarter fiscal 2027 webcast and conference call

Date:  Nov. 3, 2026

Time:  7:30 a.m. Alberta time (8:30 a.m. Eastern Time)

Dial-in (audio only):  1-647-932-3411 or 1-800-715-9871 (toll-free within North America)

Webcast:  A webcast will be available.

A recording of the conference call will be available through Nov. 10, 2026. To access the recording, dial 1-647-362-9199 or 1-800-770-2030 (toll-free within North America), and enter passcode 8638190 followed by the pound key.

The event's audio will be archived for 30 days on Rockpoint's website.

About Rockpoint Gas Storage Inc.

Rockpoint Gas Storage is the largest independent pure-play operator of natural gas storage facilities in North America. Rockpoint Gas Storage owns and operates six strategically located natural gas storage facilities with a combined effective working gas storage capacity of approximately 283 billion cubic feet that is critical for ensuring the reliable and stable supply of natural gas in its service areas. The company believes that the assets are uniquely positioned to capture the benefits associated with growing natural gas demand, particularly from LNG, gas-fired power generation to support data centre growth, oil sands and electrification broadly. Rockpoint Gas Storage's business strategy is to optimize its storage platform to capitalize on these demand trends and offer its customers unique and highly customizable natural gas storage solutions that are critical to their operations.

Proudly headquartered in Calgary, Alta., Rockpoint Gas Storage's asset portfolio has a 38-year operating history and is managed by an industry leading and highly experienced management team.

We seek Safe Harbor.