Mr. Steven Spaulding reports

GIBSON ENERGY, CAPSTONE INFRASTRUCTURE AND SAWRIDGE FIRST NATION ANNOUNCE RENEWABLE ENERGY POWER PURCHASE AGREEMENT WITH BUFFALO ATLEE 2 AND 4 WIND FARMS, HIGHLIGHTED IN THE NEWLY RELEASED SUSTAINABILITY UPDATE REPORT

Gibson Energy Inc. has entered into a 15-year renewable power purchase agreement (PPA) with Capstone Infrastructure Corp. and Sawridge First Nation's Buffalo Atlee 2 and 4 wind farms, further demonstrating its commitment to the low-carbon transition and achieving its emission reduction targets, including its net zero by 2050 goal.

"We're proud to partner with Capstone and Sawridge First Nation, as we look to advance our low-carbon transition commitment and play a collaborative role in the expansion of renewable energy in Alberta," said Steven Spaulding, president and chief executive officer. "This agreement is a substantial milestone for Gibson and I'm proud of the work our teams put forward to ensure we do our part to positively impact the communities in the surrounding area and support the increasing demand for reliable, clean energy and, ultimately, decarbonize the power grid."

Pursuant to the PPA, Gibson will purchase power and environmental attributes from the Buffalo Atlee phases 2 and 4 wind projects, located near Jenner, Alta. With a combined nameplate capacity of 26 megawatts, the projects are expected to meet over 50 per cent of Gibson's annual electricity needs, offsetting approximately 300,000 tonnes of carbon emissions over the term of the agreement. This is a critical step toward achieving Gibson's 2025 target to reduce scope 2 emissions by 50 per cent and 2030 target to completely eliminate its scope 2 footprint.

The Buffalo Atlee projects are being built and operated by Capstone in partnership with the Sawridge First Nation, which has an equity interest in the projects.

"Capstone applauds Gibson for the efforts to decarbonize their operations and we're thrilled that the PPA with our Buffalo Atlee 2 and 4 wind farms will assist in meeting their goals," says David Eva, CEO of Capstone. "Capstone prides itself on forging partnerships that accelerate the energy transition while delivering economic benefits for local communities and our indigenous partners and we believe Gibson shares this same vision."

"We, the people of Sawridge First Nation, have lived in both harmony and dependency on the land for survival," said Sam Twinn, councillor, Sawridge First Nation. "Maintaining the balance of our needs and the needs of the land is ingrained within the spiritual practices of the nation. We feel this balance is being achieved with the Buffalo Atlee project with our friends at Capstone, and Gibson Energy."

Construction for both projects is under way, positively impacting the area with employment opportunities and direct economic benefits, contributing approximately $20-million to the local economy, employing more than 90 skilled workers on site at peak construction, and providing approximately 70 person-years of employment throughout the operational life of the projects.

Gibson's commitment to sustainability

Gibson is committed to play an integral role in the North American energy value chain and will do so by continually integrating sustainability into its culture and business operations. The safety and protection of people, the environment and all assets underpin the successful day-to-day operations of the business and ensures long-term value to all stakeholders, who include investors, employees, communities, indigenous rightsholders, customers and suppliers.

Over the past 12 months, as detailed in its sustainability update report, Gibson has demonstrated progress toward its environmental, social and governance targets to not only support energy transition, but also meet the global energy demand.

Further to the PPA agreement outlined above, additional highlights in the sustainability update report released today include:

• Zero lost-time injury frequency and recordable vehicle incident frequency for three years in a row;
• Increased annual employee mental health support to $15,000 per family;
• 24.8-per-cent reduction in storage and handling scope 1 and 2 emissions intensity versus 2020 base year;
• Published indigenous peoples policy and continued journey toward reconciliation;
• Over $1.5-million donated in 2022 to support communities where Gibson lives and operates.

About Gibson Energy Inc.

Gibson is a leading liquids infrastructure company with its principal businesses consisting of the storage, optimization, processing and gathering of liquids and refined products. Headquartered in Calgary, Alta., the company's operations are located across North America, with core terminal assets in Hardisty and Edmonton, Alta., Ingleside, Tex., and including a facility in Moose Jaw, Sask.

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