HOUSTON and MIDLAND, Texas, July 21, 2022 (GLOBE NEWSWIRE) — Kinetik Holdings Inc. (NASDAQ: KNTK) (“Kinetik” or the “Company”) today published its 2021 Environmental, Social and Governance Report (the “Report”), highlighting the sustainability achievements of its predecessors, Altus Midstream Company (“Altus”) and BCP Raptor Holdco, LP (“BCP”), during the 2021 calendar year. The Report provides a comprehensive review of Kinetik’s progress towards advancing a safer, cleaner and more reliable energy future, building a more diverse and inclusive culture, and investing in the communities in which it operates.
“We are pleased to share our progress achieved in 2021,” said Jamie Welch, President and CEO. “We recognize that we can symbolize energy for change given our influence within our West Texas communities. Our commitment to advancing the sustainability initiatives outlined in the 2021 ESG Report is evidenced by our recently issued Sustainability-Linked Financing Framework and Senior Notes. We are now the first and only North American-based midstream company to have linked one hundred percent of our debt capital structure to environmental and social initiatives. I am incredibly proud of what we have achieved so far and look forward to Kinetik’s continued progress towards our ESG goals.”
Kinetik additionally announced the appointment of Deborah Byers to the Kinetik Board of Directors, effective July 20, 2022. Ms. Byers will serve as Chair of the Audit Committee and as a member of the Corporate Governance and Nominating Committee. Ms. Byers’ appointment brings the Board to its full complement of 11 directors.
Ms. Byers recently retired from Ernst and Young (“EY”) following a distinguished 36-year career in public accounting while holding multiple leadership roles. From July 2018 until her retirement in July 2022, she served as EY’s Americas Industry Leader overseeing the markets and growth strategy across its primary industry. Ms. Byers served as EY’s Houston Office Managing Partner and US Energy Leader from July 2013 to July 2018 and Managing Partner of the Southwest Region Strategy & Transactions business unit from July 2008 to July 2013. In these roles, she was a leader in the global energy markets and worked with corporations and investment funds in all phases of energy investment. Currently, Ms. Byers also serves on the Board of Excelerate Energy, Inc. Ms. Byers holds a BBA from Baylor University and is a Certified Public Accountant.
Welch said, “We are really excited to welcome Ms. Byers to our Board. Her world class background speaks for itself. She will further enhance our financial reporting and strengthen our corporate governance. Ms. Byers’ insights and perspectives will be valuable contributors to Kinetik.”
Kinetik also announced, effective July 20, 2022, Ronald Schweizer has been appointed to replace Thomas Lefebvre on the Board of Directors. Mr. Schweizer is currently the Chief Operating Officer (Americas) at I Squared Capital. He previously served as Chief Financial Officer at I Squared Capital from August 2013 to May 2022. He holds a BS in Accounting from the University of Scranton. Mr. Lefebvre is stepping down since he is now no longer affiliated with I Squared Capital.
Welch commented, “I would like to thank Mr. Lefebvre for his support and dedication as a member of our Board over the years. We wish him well in his future endeavors. We also welcome Mr. Schweizer to the Board and look forward to continuing to build our relationship with I Squared Capital.”
Highlights of Kinetik’s 2021 ESG Report include:
- Sourced 100% of BCP’s purchased electric power for its operated assets and facilities from renewable sources beginning in April 2021, making it the first major gathering and processing company in the Permian Basin to do so, resulting in a 39% reduction in Kinetik’s Scope 2 emissions between 2020 and 2021
- Reduced Scope 1 and 2 absolute greenhouse gas emissions by 16% between 2020 and 2021
- Incurred zero environmental fines
People and Communities
- Awarded GPA Midstream’s Perfect Record Award for no lost time incidents in 2021
- Achieved over 4,700 hours of EHS focused training for field employees
- Realized a 55% reduction in preventable motor vehicle accidents
- Completed first full year of employee volunteer and matching funds program resulting in 182 hours volunteered and over $260,000 funds donated to local community causes
- Launched Kinetik Cares Foundation (formerly EagleNest Foundation) to provide support to company employees impacted by unexpected life events
- Increased local sourcing and procurement spend to 75%
- 96% of employees in a survey stated they were proud to work for Kinetik
- Incorporated ESG-related metrics into Kinetik’s executive compensation program
- Adopted Supplier Code of Conduct ensuring suppliers comply with our policies and goals
While the Report pertains to BCP and Altus standalone 2021 operations, Kinetik has shown an industry-leading commitment to corporate governance, carbon management practices and fostering an inclusive work environment in its first several months as a public company:
- Constituted a Board of Directors independent of control by a single shareholder, with an annual election of all Directors, and independent directors chairing each Board Committee
- Partnered with Tachyus to implement Aurion, a software platform used to estimate, model, forecast and report our carbon emissions
- Incorporated sustainability performance targets in 100% of our debt capital financings
Kinetik’s 2021 ESG Report was prepared in accordance with the Global Reporting Initiative (GRI) Standards and references the Sustainability Accounting Standards Board (SASB) and the Energy Infrastructure Council (EIC) / GPA Midstream Association.
The 2021 ESG Report is available below and on Kinetik’s website.
About Kinetik Holdings Inc.
Kinetik is a fully integrated, pure-play, Permian-to-Gulf Coast midstream C-corporation operating in the Delaware Basin. Kinetik is headquartered in Houston and Midland, Texas. Kinetik provides comprehensive gathering, transportation, compression, processing and treating services for companies that produce natural gas, natural gas liquids, crude oil and water. Kinetik posts announcements, operational updates, investor information and press releases on its website, www.kinetik.com.
Kinetik Media: (713) 487-4838 Jim Schwartz
Kinetik Investors: (713) 487-4832 Maddie Wagner