Greta Dreska

Greta Dreska asked about Antero's outlook for gas realizations in the current quarter, considering the volatility in Gulf Coast and Northeast pricing and the company's volumetric exposure. She also inquired about the strategy for layering in incremental hedges for 2027 and beyond, given market volatility and forward curve opportunities.

Answer

Michael Kennedy, CEO and President, confirmed no curtailment during the winter, allowing Antero to participate in regional and Gulf Coast pricing, with 20% of volumes sold at daily pricing. He detailed the hedging strategy, noting 60% of 2026 natural gas volumes are hedged at high $3s, with 2027 having room for additional hedges at similar levels, and highlighted the attractive opportunity to lock in local basis at tight differentials.

Greta Dreska inquired about Antero's outlook for gas realizations in the current quarter, given the volatility in Gulf Coast and Northeast pricing, and the impact of its volumetric exposure and recent transactions. She also asked about Antero's strategy for layering in incremental hedges for 2027 and beyond, considering market volatility and forward curve opportunities.

Answer

Michael Kennedy, CFO and SVP of Finance, stated that Antero experienced no curtailment and participated in the strong pricing, with 20% of volumes sold at daily pricing. For hedging, Mr. Kennedy noted that 2026 is 60% hedged at a high $3 level, and 2027 has room at about 30% hedged. He highlighted the attractive opportunity to lock in $3 local wellhead realizations, given the tight M2 basis, which is the tightest in 10 years.