Jeremy Tonnet

Jeremy Tonnet asked for quantification of the 'meaningfully higher adjusted free cash flow before growth' and 'compelling growth rate over the next three to five years' mentioned in the prepared remarks. He also sought color on contracting discussions, specifically trends related to gas-fired generation versus nuclear, and inquired about the 2027 hedging price levels.

Answer

Chris Moldovan, EVP and CFO, Vistra Corp, stated that due to numerous opportunities and varying timing, providing a specific growth rate would be a disservice, but updates would be provided annually. Jim Burke, President and CEO, Vistra Corp, added that current guidance for 2026-2027 is based on a highly hedged position, and further out, wide variability makes precise quantification difficult, though fundamentals are strong. Regarding contracting, Mr. Burke noted significant investment in growth (people, capital) due to unprecedented engagement levels across gas and nuclear options. Stacey Doré, Chief Strategy and Sustainability Officer and EVP of Public Affairs, Vistra Corp, confirmed record interest across the portfolio and new builds, with demand accelerating and customers seeking longer-dated deals. Mr. Burke declined to provide 2027 hedging price levels, stating it's part of the next quarter's typical disclosure cadence, but indicated an expected year-over-year increase.

Jeremy Tonnet inquired about the Pennsylvania data center pipeline, specifically the 20.5 gigawatts in advanced stages, asking for more details on its sizing and the cadence for formalizing parts of the pipeline. He also asked for incremental thoughts on the Blackstone joint venture and potential news flow, and sought clarification on whether the Mill Creek 2 O&M number quoted was an annualized figure.

Answer

President and CEO Vince Sorgi referred to slide 25 for ramp rates, highlighting the phenomenal growth due to PPL's strong transmission grid, speed to market, and cost competitiveness. He emphasized that the 20.5 GW projects have signed ESAs or LOAs with significant financial commitments. Regarding the Blackstone JV, Mr. Sorgi noted extensive activity with hyperscalers and developers, indicating that while no announcement was imminent, discussions were shifting towards shoring up generation. For Mill Creek 2, he clarified that the $30 million O&M and $40 million CapEx figures represented total incremental costs between now and 2030.

Jeremy Tonnet inquired about the details, sizing, and formalization cadence of the 20.5 GW data center pipeline in Pennsylvania. He also asked for an update on the Blackstone joint venture and any expected news flow, and sought clarification on the Mill Creek 2 O&M figures.

Answer

President and CEO Vince Sorgi referred to slide 25 for ramp rates, emphasizing the strength of PPL's transmission grid, speed to market, cost-competitiveness, and the significant financial commitments (ESA/LOA) from counterparties for the 20.5 GW. For the Blackstone JV, Mr. Sorgi noted extensive activity with hyperscalers and developers, acknowledging the complexity of deals but highlighting increasing interest from data centers in securing generation. He clarified that the Mill Creek 2 O&M and CapEx figures represented total increases between now and 2030.