May 7th, 2026

The call communicated a strong operational and financial performance for the quarter, highlighted by substantial adjusted EBITDA growth, an accretive sale of Long Ridge that materially deleverages the balance sheet and significant growth opportunities across rail, Jefferson and Repauno. Key execution risks discussed include the 25-day Long Ridge outage impact on Q1 results, the need for FERC approval to close the sale (timing uncertainty), near-term high parent-level interest until prepayment, and remaining execution/timing risk around Repauno Phase 2/Phase 3 and monetization timelines. On balance, the favorable results, planned deleveraging, demonstrated cost savings and sizeable future EBITDA opportunities outweigh the execution and timing risks presented.

Company Guidance

Management guided that the announced sale of Long Ridge for $1.52 billion is expected to close mid‑Q3 after FERC approval, producing net proceeds in excess of $300 million that will be used to reduce parent debt by at least $300 million and lower parent interest expense by about $30 million per year (the new $1.35 billion term loan carries a 9.75% coupon and is expected to be ~ $300 million smaller post‑close), improving leverage and free cash flow and creating capacity to pursue rail M&A. They expect 2026 to be an active year for rail, targeting $23 million of annual Transtar/Wheeling cost savings ( $10 million enacted in Q1, contributing ~$2.5 million of Q1 EBITDA) and estimating in excess of $50 million of incremental annual rail EBITDA from new revenue opportunities; Q1 rail revenue was $85 million with adjusted EBITDA of $40.2 million (up 31% pro forma) and consolidated adjusted EBITDA was $70.6 million (would have exceeded $80 million excluding a 25‑day Long Ridge outage). Jefferson averaged 275,000 bpd in Q1 (revenue $27.3 million, EBITDA $14.4 million) with three pursued expansions totaling >$50 million of annual EBITDA, Repauno Phase 2 remains on plan for completion end‑2026 with revenue service early 2027, combined Phase 1+2 capacity of just over 80,000 bpd (≈$80 million annual EBITDA), and management expects potential monetizations of Jefferson and Repauno next year.