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Gibson Energy Announces 2021 First Quarter Results All financial figures are in Canadian dollars unless otherwise noted Calgary , Alberta ( May 3 , 2021 ) – Gibson Energy Inc. announced today its financial and operating results for the three months ended March 31 , 2021 . " We are very pleased with the solid start to 2021 , with our Infrastructure segment performing in - line with our expected run - rate on a normalized basis and Marketing slightly above our initial outlook , " said Steve Spaulding , President and Chief Executive Officer . " Importantly , since the start of the year , we have resumed our commercial discussions with customers , having already entered into a long - term MSA with our largest customer at the Edmonton Terminal and sanctioned the related Biofuels Blending Project under a 25 - year term . We continue to advance other opportunities , including tankage at both Hardisty and Edmonton as well as for additional capacity at the DRU . Since the start of the year , we have also significantly progressed our Sustainability and ESG practice by establishing expanded Sustainability and ESG targets with the ambition of remaining a leader relative to our peers . " Financial Highlights : • Revenue of $ 1,610 million in the first quarter , a $ 151 million or 10 % increase over the first quarter of 2020 , a result of higher volumes and commodity prices from the Marketing Segment • Infrastructure Adjusted EBITDA ( ¹ ) of $ 109 million in the first quarter , a $ 14 million or 14 % increase over the first quarter of 2020 , due to additional tankage in service at Hardisty and the benefit of a $ 7 million reversal of an accrual in the current quarter Marketing Adjusted EBITDA of $ 3 million in the first quarter , a $ 29 million decrease over the first quarter of 2020 , driven by reduced margins as well as limited opportunities within the Crude Marketing business and reduced sales volumes in the Refined Products business in the current quarter Adjusted EBITDA on a consolidated basis of $ 103 million , a $ 15 million or 12 % decrease over the first quarter of 2020 , due to the factors discussed above with G & A comparable between the two periods • Net Income of $ 33 million in the first quarter , a $ 17 million or 34 % decrease over the first quarter of 2020 , a result of the factors described above , partly offset by lower income tax expense in the current quarter • Distributable cash flow of $ 64 million in the first quarter , a $ 22 million or 26 % decrease over the first quarter of 2020 , due to a decreased contribution from the Marketing segment being only partly offset by an increase in the Infrastructure segment GIBSON ENERGY ● ( 1 ) • Payout ratio on a trailing twelve - month basis of 72 % , at the bottom end of Gibson's 70 % - 80 % target range • Maintained a strong financial position , with Net Debt to Pro Forma Adjusted EBITDA at March 31 , 2021 of 3.1x , within the Company's 3.0x - 3.5x target range , and remain fully - funded for all sanctioned capital Strategic Developments and Highlights : • Entered into a long - term agreement with Suncor Energy Inc. for services at the Company's Edmonton Terminal , and sanctioned the related Biofuels Blending Project on a fixed - fee basis and a 25 - year term to facilitate the storage , blending and transportation of renewable diesel • Continued to progress the construction of the DRU , which remains on - budget and on - schedule for a mid - year commissioning and start of operations • Established expanded Sustainability and ESG targets focused around reducing GHG emissions , diversity and inclusion , health and safety as well as community impact as the near - term priorities , with an overarching goal of being a Sustainability and ESG leader relative to Gibson's peers Recognized for its Sustainability and ESG efforts by MSCI ESG Research LLC through their assignment of an " AA " rating of Gibson , which would represent the highest ranking among the Company's North American peer group Subsequent to the end of the quarter , became the first public energy company in North America to fully transition its principal syndicated credit facility into one with sustainability - linked terms , while extending the maturity of the $ 750 million facility to a full five years into 2026 ● Adjusted Earnings before Interest , Tax , Depreciation and Amortization and other adjustments ( " Adjusted EBITDA " ) , Distributable Cash Flow , Interest Coverage Ratio and Dividend Payout Ratio are non GAAP measures as noted in the section titled " Non - GAAP Financial Measures " section in Gibson's Management Discussion and Analysis for the three months ended March 31 , 2021 ( " MD & A " ) . The applicable definitions and reconciliations of these non - GAAP measures to the most directly comparable GAAP measures are set out in the " Non - GAAP Financial Measures " section of the MD & A . Effective Q1 2021 , the Company has updated the manner in which it determines Adjusted EBITDA and prior period comparative figures have been restated to conform to this new presentation . See " Adjusted EBITDA " in this news release and " Non - GAAP Financial Measures " in the MD & A for the definition and reconciliations of Adjusted EBITDA .