Gibson Energy Achieves Record Q2 2026 Infrastructure Adjusted EBITDA and Finalizes $400M Chauvin Acquisition

Record Infrastructure Adjusted EBITDA Propels Q2 2026 Results

Gibson Energy delivered its highest Infrastructure adjusted EBITDA to date for the quarter ended June 30, 2026, driven by operational enhancements and asset acquisitions within its terminal and storage operations. The $169 million Infrastructure adjusted EBITDA represents a $17 million increase compared to Q2 2025, as disclosed by the company.

Growth was supported by increased throughput at the Gateway and Edmonton terminals alongside contributions from the recently acquired Chauvin Infrastructure Assets. Additionally, restructuring across the asset network bolstered performance. Gibson’s Infrastructure segment encompasses storage, optimization, processing, gathering, and vessel loading services for liquids and refined products throughout North America.

Marketing Segment Boosted by Product Mix Diversification and Margin Expansion

The Marketing segment’s adjusted EBITDA rose to $15 million in Q2 2026, an $8 million improvement year-over-year. This growth was attributed to enhanced refined product margins driven by higher crack spreads and disciplined trading execution. Diversification in product offerings, especially in refined products, positively impacted segment profitability during the quarter.

Combined with Infrastructure results, consolidated adjusted EBITDA totaled $169 million in Q2 2026, up $22 million year-over-year, highlighting the contributions of both segments to Gibson’s overall financial strength.

Chauvin Acquisition Completion and Strategic Expansion

In May 2026, Gibson finalized the $400 million acquisition of Chauvin Infrastructure Assets, marking a key milestone in its infrastructure growth strategy. Concurrently, the company approved the Hardisty Connection expansion project to enhance capacity and services at a critical hub. Details on the capital expenditure and timeline for Hardisty Connection remain undisclosed.

President and CEO Curtis Philippon emphasized that the quarter’s results showcase the strength of both operating segments and disciplined execution. Management highlighted recent advancements in market access and pipeline projects that have fostered a more favorable environment for Canadian energy infrastructure, positioning Gibson to support evolving customer needs. While Chauvin’s integration contributed to adjusted EBITDA, acquisition and integration expenses impacted net income for the period.

Robust Capital Markets Access Enhances Financial Flexibility

In July 2026, Gibson refinanced its revolving credit facility borrowings by issuing $400 million in senior unsecured notes at a 4.45% coupon maturing January 9, 2034. This issuance achieved the tightest credit spread in the company’s history, reflecting enhanced market confidence in Gibson’s credit profile and financial strength. The refinancing extends debt maturities and bolsters financial flexibility.

Credit rating agencies Morningstar DBRS and S&P reaffirmed Gibson’s investment-grade ratings in July 2026, assigning BBB(low) Stable and BBB- Stable outlooks respectively. Additionally, the company extended its revolving credit facility maturity to June 2031 in June 2026, underscoring lender and rating agency confidence in Gibson’s strategic direction.

Net Income and Distributable Cash Flow Growth

Net income for Q2 2026 was $83 million, up $22 million or 36% from $61 million in Q2 2025. The increase was primarily driven by segment adjusted EBITDA growth and reduced income tax expense, partially offset by higher general and administrative expenses, acquisition and integration costs related to Chauvin, and unrealized gains and losses on financial instruments.

Distributable cash flow, a key non-GAAP metric for dividend and debt servicing capacity, rose to $96 million in Q2 2026 from $81 million in Q2 2025. For the six months ended June 30, 2026, distributable cash flow totaled $170 million versus $172 million in the prior year. The trailing twelve-month distributable cash flow stood at $335 million, supporting dividend payments and debt obligations.

Dividend Declaration and Capital Structure Metrics

In July 2026, Gibson’s Board declared a quarterly dividend of $0.45 per common share payable October 16, 2026, to shareholders of record September 29, 2026. The trailing twelve-month dividend payout ratio increased to 88% from 83% the previous year, with the company noting this elevated ratio is expected to persist until a full year of Chauvin contributions is realized.

The trailing twelve-month net debt to adjusted EBITDA ratio was 4.2x as of June 30, 2026, compared to 4.0x a year earlier. Infrastructure segment leverage was 4.4x on the same basis. These leverage metrics are anticipated to normalize as Chauvin operations mature and generate full-year cash flow.

Commitment to Safety and Operational Excellence

Gibson announced surpassing one full year without a recordable injury among employees and contractors, highlighting its strong safety culture and operational discipline. This milestone reflects the company’s focus on safety across its terminal, processing, and gathering assets in Alberta, Texas, and Saskatchewan.

The safety achievement aligns with operational improvements contributing to record Infrastructure adjusted EBITDA, demonstrating that restructuring efforts have maintained high safety standards.

Strategic Geographic Footprint and Asset Optimization

Gibson operates key terminal assets in Hardisty and Edmonton, Alberta; Ingleside and Wink, Texas; and Moose Jaw, Saskatchewan. Higher throughput at Gateway and Edmonton terminals drove Infrastructure segment growth, showcasing effective asset utilization.

The Chauvin acquisition and Hardisty Connection project align with Gibson’s strategy to expand hub capabilities and interconnectivity. Geographic diversification, especially within Alberta’s oil sands transportation corridors, positions Gibson to capitalize on energy infrastructure growth and rising logistics demand.

Outlook and Strategic Positioning

CEO Curtis Philippon stated that Gibson’s Q2 results demonstrate the strength of both Infrastructure and Marketing segments and disciplined execution. He noted positive developments in market access and pipeline projects have created a supportive environment for Canadian energy infrastructure, with Gibson well positioned to meet customer needs and deliver long-term shareholder value.

The company did not provide specific forward financial guidance in this release. Forward-looking statements are subject to risks and uncertainties detailed in Gibson’s Annual Information Form dated February 17, 2026, and Management’s Discussion and Analysis dated July 27, 2026, both available on SEDAR+.

Use of Non-GAAP Measures and Transparency

The announcement includes non-GAAP metrics such as adjusted EBITDA, distributable cash flow, net debt to adjusted EBITDA ratio, and dividend payout ratio. Gibson notes these measures lack standardized GAAP definitions and may differ from similar metrics used by other companies. Management considers them important for evaluating performance and capital structure.

Reconciliations of non-GAAP measures to GAAP figures are provided in the company’s Management’s Discussion and Analysis for the three and six months ended June 30, 2026, accessible via SEDAR+ and Gibson’s website. Investors are encouraged to review these reconciliations to fully understand the adjustments underlying reported figures.