AltaGas : January Investor Presentation

Investor Presentation

January 2021

Forward-Looking Information

Forward Looking Information

This presentation contains forward-looking information (forward-looking statements). Words such as "guidance", "may", "can", "would", "could", "should", "will", "intend", "plan", "anticipate", "believe", "aim", "seek", "propose", "contemplate", "estimate", "focus", "strive", "forecast", "expect", "project", "target", "potential", "objective", "continue", "outlook", "vision", "opportunity" and similar expressions suggesting future events or future performance, as they relate to the Company or any affiliate of the Company, are intended to identify forward-looking statements. In particular, this presentation contains forward-looking statements with respect to, among other things, business objectives, expected growth, results of operations, performance, business projects and opportunities and financial results. Specifically, such forward-looking statements included in this document include, but are not limited to, statements with respect to the following: 2021 Normalized EPS guidance of $1.45 - $1.55 per share; 2021 Normalized EBITDA guidance of $1.4 billion - $1.5 billion; four percent increase to the common share dividend; self-funded $910 million 2021 capital program, including sources and uses; anticipated run-rate EBITDA growth; anticipated run-rate EPS growth; achievement of 2020 guidance; 2021+ long-term vision and strategy; anticipated export capacity; expected growth drivers for the Utilities and Midstream segments; the DC rate case settlement agreement terms, subject to approval of the DC PSC; timing of a decision in the Maryland rate case filed in 2020; a targeted 130-150 bps improvement in WGL's ROE over 2021; segmented 2021 normalized EBITDA by quarter; Midstream and Utilities strategies; counterparty credit profile post-closing of Petrogas transaction; anticipated 2021 normalized EBITDA by contract type and credit quality; advancement of AltaGas' global export strategy; opportunity to expand capacity at Ferndale for low capital outlays; expected estimated Petrogas EBITDA in 2021, prior to operational synergies; expected accretive effect on AltaGas' credit metrics, earnings per share and cash flow per share; anticipated total potential combined export capacity of RIPET and Ferndale; expected benefits to AltaGas' global export strategy; potential for reduction of total carbon footprint per year in the Asian market; estimated annual synergies of approximately $30 million within the combined platform; and anticipated global demand for propane and butane through 2030. Such statements reflect AltaGas' current expectations, estimates, and projections based on certain material factors and assumptions at the time the statement was made. Material assumptions include: dividend levels; processing and fractionation volumes; number of ships and export levels from the Ferndale facility, current forward curves, effective tax rates, the U.S./Canadian dollar exchange rate, the impact of the COVID-19 pandemic, financing initiatives, propane price differentials, degree day variance from normal, pension discount rate, the performance of the businesses underlying each sector, impacts of the hedging program, commodity prices, weather, frac spread, access to capital, timing and receipt of regulatory approvals, including pending rate cases, planned and unplanned plant outages, timing of in-service dates of new projects and acquisition and divestiture activities, operational expenses, returns on investments, and dividend levels.

AltaGas' forward-looking statements are subject to certain risks and uncertainties which could cause results or events to differ from current expectations, including, without limitation: the risks and impact of COVID-19; civil unrest and political uncertainty; health and safety risks; operating risks; infrastructure risks; service interruptions; regulatory risks; litigation risk; decommissioning, abandonment and reclamation costs; climate and carbon tax risks; reputation risk; weather data; Indigenous land and rights claims; crown duty to consult with Indigenous peoples; changes in laws; capital market and liquidity risks; general economic conditions; internal credit risk; foreign exchange risk; debt financing, refinancing, and debt service risk; interest rates; cyber security, information, and control systems; technical systems and processes incidents; dependence on certain partners; growth strategy risk; construction and development; RIPET rail and marine transport; impact of competition in AltaGas' Midstream and Power businesses; commitments associated with regulatory approvals for the acquisition of WGL; counterparty credit risk; composition risk; collateral; regulatory agreements; non-controlling interests in investments; delays in U.S. federal government budget appropriations; consumption risk; market risk; market value of common shares and other securities; variability of dividends; potential sales of additional shares; volume throughput; natural gas supply risk; risk management costs and limitations; underinsured and uninsured losses; Cook Inlet gas supply; securities class action suits and derivative suits; electricity and resource adequacy prices; cost of providing retirement plan benefits; labor relations; key personnel; failure of service providers; compliance with Section 404(a) of Sarbanes- Oxley Act; integration of WGL; and the other factors discussed under the heading "Risk Factors" in the Company's Annual Information Form for the year ended December 31, 2019 (AIF ) and set out in AltaGas' other continuous disclosure documents. Many factors could cause AltaGas' or any particular business segment's actual results, performance or achievements to vary from those described in this press release, including, without limitation, those listed above and the assumptions upon which they are based proving incorrect. These factors should not be construed as exhaustive. Should one or more of these risks or uncertainties materialize, or should assumptions underlying forward-looking statements prove incorrect, actual results may vary materially from those described in this presentation as intended, planned, anticipated, believed, sought, proposed, estimated, forecasted, expected, projected or targeted and such forward-looking statements included in this presentation, should not be unduly relied upon. The impact of any one assumption, risk, uncertainty, or other factor on a particular forward-looking statement cannot be determined with certainty because they are interdependent and AltaGas' future decisions and actions will depend on management's assessment of all information at the relevant time. Such statements speak only as of the date of this presentation. AltaGas does not intend, and does not assume any obligation, to update these forward-looking statements except as required by law. The forward-looking statements contained in this presentation are expressly qualified by these cautionary statements.

Financial outlook information contained in this presentation about prospective financial performance, financial position, or cash flows is based on assumptions about future events, including economic conditions and proposed courses of action, based on AltaGas management's (Management) assessment of the relevant information currently available. Readers are cautioned that such financial outlook information contained in this presentation should not be used for purposes other than for which it is disclosed herein.

Additional information relating to AltaGas, including its quarterly and annual MD&A and Consolidated Financial Statements, AIF, and press releases are available through AltaGas' website at www.altagas.ca or through SEDAR at www.sedar.com.

Non-GAAP Measures

This presentation contains references to certain financial measures that do not have a standardized meaning prescribed by US GAAP and may not be comparable to similar measures presented by other entities. The non-GAAP measures and their reconciliation to US GAAP financial measures are shown in AltaGas' Management's Discussion and Analysis (MD&A) as at and for the period ended September 30, 2020. These non-GAAP measures provide additional information that management believes is meaningful regarding AltaGas' operational performance, liquidity and capacity to fund dividends, capital expenditures, and other investing activities. Readers are cautioned that these non-GAAP measures should not be construed as alternatives to other measures of financial performance calculated in accordance with US GAAP.

EBITDA is a measure of AltaGas' operating profitability prior to how business activities are financed, assets are amortized, or earnings are taxed. EBITDA is calculated from the Consolidated Statements of Income (Loss) using net income (loss) adjusted for pre tax depreciation and amortization, interest expense, and income tax expense (recovery). Normalized EBITDA includes additional adjustments for transaction costs related to acquisitions and dispositions, merger commitment recoveries due to a change in timing related to certain WGL merger commitments, unrealized losses (gains) on risk management contracts, non-controlling interest of certain investments to which HLBV accounting is applied, losses (gains) on investments, gains on sale of assets, restructuring costs, dilution loss on equity investment, COVID-19 related costs, provisions on assets, provisions on investments accounted for by the equity method, distributed generation asset related investment tax credits, foreign exchange gains, and accretion expenses related to asset retirement obligations. AltaGas presents normalized EBITDA as a supplemental measure. Normalized EBITDA is used by Management to enhance the understanding of AltaGas' earnings over periods. The metric is frequently used by analysts and investors in the evaluation of entities within the industry as it excludes items that can vary substantially between entities depending on the accounting policies chosen, the book value of assets, and the capital structure..

Normalized earnings per share or normalized EPS is calculated with reference to normalized net income. Normalized net income (loss) represents net income (loss) applicable to common shares adjusted for the after-tax impact of transaction costs related to acquisitions and dispositions, merger commitment recoveries due to a change in timing related to certain WGL merger commitments, unrealized losses (gains) on risk management contracts, losses (gains) on investments, gains on sale of assets, provisions on assets, provisions on investments accounted for by the equity method, restructuring costs, dilution loss on equity investment, COVID-19 related costs, and statutory tax rate change. Normalized net income (loss) is used by Management to enhance the comparability of AltaGas' earnings, as it reflects the underlying performance of AltaGas' business activities.

AltaGas: Who We Are

Our

Vision

Our Mission

Our Values

A Leading North American infrastructure company that connects NGLs and natural gas to domestic and global markets.

To improve quality of life by safely and reliably connecting customers to affordable sources of energy for today and tomorrow.

Every day, our team of approximately 3,000 people strong is guided by our core values. These values are not negotiable. They are our fuel, foundation and focus.

Work Safely,	Act With	Make	Achieve	Invest in our
Think	Integrity	Informed	Results	People & Foster
Responsibly		Decisions		Diversity

Our Foundational Principles:

Access to reliable and affordable energy is fundamental in the pursuit of improved quality of life, reduced physical strains, improved access to education, and to fuel economic expansion. At AltaGas, we take our responsibility in delivering energy

seriously. At our core, we are committed to maintaining safe and reliable operations, delivering the critical energy our customers need, and honoring the social and moral contract that we have with the communities we serve.

3

AltaGas: Who We Are

Who We Are: A leading North American energy	What We Do: Operate a diversified, low-risk,high-growth		Our Core
infrastructure company that connects NGLs and	Utilities and Midstream business that is focused on delivering
	Values					Invest in our People &
natural gas to domestic and global markets.	resilient and durable value for our stakeholders.		Work Safely,	Act with	Make Informed	Achieve
				Think Responsibly	Integrity	Decisions	Results	Foster Diversity

Integrated Midstream Business - from wellhead to global markets

		Gas Gathering		NGL Extraction		Transportation,	5 Export		Global	Contract Type5	Contract Type5
1 Wellhead	2	3	4	6
		& Processing		& Fractionation		Storage &			Markets

Rail Logistics

Midstream

GAS

NGLs

C3 & C4

C3 & C4

C3 & C4

AltaGas

12 Facilities: Townsend,

C5

trailers: FSK rail/truck; Sarnia,

2 Terminals: RIPET,

▪

Merchant -

▪

Take-or-Pay &

▪

A- and Above

Legend:

2.25 Bcf/d1 Processing

64,000 Bbl/d2

~4,700 rail cars, >6 MMBls

>130,000 Bbls/d

3

VLGC to Asia

▪

Cost-of-Service

▪

BBB+ to BBB-

Storage, >125 trucks, >250

Fee-for-Service

▪

BB+ to BB-

6 Facilities: North Pine,

Export capability

& Global Markets ▪

▪

Merchant - Hedged

B+ and Below

Aitken Creek, Nig Creek,

Harmattan, EEEP,

Strathcona & Griffith storage;

Ferndale

Unhedged

Midstream

JEEP, PEEP, Younger

Harmattan, Gordondale,

Townsend truck & rail; NGL pipelines,

VLGC to Asia &

Activities

42%

Blair Creek, EEEP, JEEP,

treating & storage

Global Markets

Third-party

PEEP & Younger

Sales: Local and U.S.

Fort Saskatchewan - Local

Travel: 10-11Days

Markets

vs. 25 U.S. GC

Blending

Midstream

Regulated Gas Distribution: US$4.3B Rate Base

(High single digit growth - 2021 - 2025)

57%

Storage and Transportation

Utilities

1% Corporate/Other

180 miles of transmission pipe;

1

~496,000 customers

37 Bcf of storage capacity

Other Services

Utilities

2

~535,000 customers

1

•

Leverage utility storage and

Efficiency, Technology,

Transportation and Generation

5

transportation resources to a

3

~164,000 customers

2

derive a profit through physical

2021e Utility Revenues

and financial contracts (shared).

4

~307,000 customers

3

Retail Energy Marketing

▪ Residential

Sell natural gas and power directly

to residential, commercial, and

▪

Commercial

5

~147,000 customers

4

industrial customers

& Industrial

~3,000

~$24B

$5.4B

$13B

5.3%

$1.45-$1.55

$1,400-$1,500M

$910M

Credit Ratings

(ALA-TSX)

Employees

Total Assets

Market Cap

EV4

Dividend Yield4,6

2021e EPS5

2021e EBITDA5

2021e Capex5

Fitch: BBB (stable)

DBRS: BBB(low/stable)

S&P: BBB- (stable)

Notes: 1. Based on ALA working interest capacity in FG&P and extraction 2. Based on ALA	100% working interest facilities and ALA % capacity in non-operated facilities 3. Includes RIPET and Ferndale 4. As at December 8, 2020 including Petrogas	4
5. Based on 2021 guidance 6. Reflects dividend increase announce on December 10, 2020.	See "Forward-looking Information

Rate Regulated Utilities Provide Stability and Growth

~57% of 2021e normalized EBITDA1 from Utilities Segment

1.7 million customers in stable and growing jurisdictions

~70% of Utilities revenue protected

• Fixed distribution charges
• Decoupled rate structures in Maryland and Virginia

Expect limited sensitivity on unprotected revenue

• Currently in lower demand spring and summer
• ~70% of revenue derived from residential customers
• Uncollected revenue applied for in future rates

1 Alaska: ~147,000 customers

1. Michigan: ~307,000 customers
2. Maryland: ~496,000 customers
3. DC: ~164,000 customers
4. Virginia: ~535,000 customers

32

4

5

2021e Utility Revenues

30%

70%

r

Residential

Commercial & Industrial

1. Non-GAAP financial measure; see discussion in the advisories	5
See "Forward-looking Information"

Premier Midstream Business

Leveraging Core Export Strategy Structural Advantage to Markets in Asia

Leverage core export strategy and access to premium global pricing to attract volumes

~70% from investment grade customers

~65% from take-or-pay contracts and fee-for-service

~70% of 2021 RIPET volumes hedged (includes tolling); plan continued active hedging in 2021

2021e Normalized EBITDA1

Credit Quality

8% 19%

22%

51%

▪

▪

▪

▪

A- and Above BBB+ to BBB- BB+ to BB- B+ and Below

Contract Type

		▪ Take-or-Pay &
17%		Cost-of-Service
	▪ Fee-for-Service
		▪ Merchant -
20%	48%	Expected to
	be Hedged
		▪ Merchant -

17%	Less likely to
be Hedged

1. Non-GAAP financial measure; see discussion in the advisories	6
See "Forward-looking Information"

Corporate Counterparty Credit

~87% of 2021e normalized EBITDA1 from Utilities and investment grade counterparties

Credit Quality

Utility & A

22%

BBB

65%

BB

9%	B+

3%

Counterparty Credit Risk Mitigants:

57% Utilities with ~1.7 million customers

Diversified Midstream customer base

Letters of credit, parental guarantees

Gas marketing and netting agreements

Access to premium pricing in Asia

Midstream customers located in world-class Montney resource play

1. Non-GAAP financial measure; see discussion in the advisories	7
See "Forward-looking Information"

Corporate Contract Mix

~79% of 2021e normalized EBITDA1 from rate regulated utilities and take or pay contracts

Contract Type

6%

Utilities

8%

Take or Pay

7%

		Fee for service
	57%	Merchant - Likely to be
21%		Hedged

Merchant - Less likely to be Hedged

~86% of 2021e normalized EBITDA1 underpinned by low-risk regulated and contracted assets (take-or- pay and fee-for-service)

Merchant normalized EBITDA largely underpinned by energy export strategy and demand pull from Asia

~35% of RIPET's 2021e volumes are under long- term take or pay arrangements with an average remaining term of ~7 years

1. Non-GAAP financial measure; see discussion in the advisories	8
See "Forward-looking Information"

2020 Key Accomplishments

Strong execution and focus positions AltaGas for durable long-term value creation

Operational Priorities

Utilities

• Expected to close the ROE gap at WGL by ~150 bps
• Improved customer experience and expected to reduce leaks >10% Y/Y
• Creating more timely recovery of expenses and returns on capital deployed through operational discipline
• Delivered critical, clean and affordable natural gas in a safe and reliable manner, amidst the COVID-19 pandemic

Midstream

• Completed Townsend 2B (200 MMcf/d) and North Pine (10,000 Bbl/d) expansions
• Continued to ramp and de-risk volumes at the RIPET export facility, despite COVID-19 headwinds
• Significantly advanced global energy export strategy through increased in ownership in Petrogas
• Materially de-riskedcounter-party credit exposure and alignment with industry-leading operators in NEBC

Financial Priorities

• Expect to achieve previously stated 2020 guidance ranges ($1.275 - $1.325 billion normalized EBITDA; $1.20 - $1.30 per share normalized net income)
• Expect to deliver $900 million self-funded capital program
• Executed ~$440 million3 of non-core asset sales
• Refinanced 2020 debt maturities at lower interest rates; forecasted to save >$17 million in run-rate cash savings
• Continue to de-lever the capital structure, maintain investment grade credit rating, and stagger, extend and de- risk AltaGas' maturity profile

Improved 2020e financial indicators4

~10%~17%

Anticipated Run-rate	Anticipated Run-rate
EBITDA Growth1,2,4	EPS Growth1,2,4

Notes: 1. Non-GAAP financial measure; see discussion in the advisories; 2. Based on mid-point of guidance for 2020e with 2019 adjusted for asset sales; 3. Announced and closed; 4.

Represents growth in the core businesses net of the impact of $125 million in lost EBITDA in 2020 associated with 2019 asset sales.9 See "Forward-looking Information"

2021 Financial Guidance Highlights ($CAD unless otherwise noted)

Our corporate priorities are on delivering, de-levering,de-risking, investing and executing

across all business segments.

4%	$1.45 - 1.55	$1.4 -1.5B	~$910M
$1.45-1.55
Annual Dividend Increase	Anticipated Normalized	Anticipated Normalized	Planned Capital Program
Anticipated Normalized1
	EPS	EBITDA1
	EPS1

We're focused on building a diversified, low-risk,high-growth Utilities and Midstream business that is focused on delivering resilient and durable value for our stakeholders that compounds over time.

1. Non-GAAP measure; see discussion in the advisories
See "Forward-looking Information"	10

Utilities

11

Utilities Strategy - Drive Operational Excellence

Utilities

Distribution

Leveraging our Core

Distribution Footprint

Priorities

• Maintain safe and reliable infrastructure
• Enhance overall returns via complementary businesses and cost-reduction initiatives
• Attract and retain customers through exceptional customer service
• Improve asset management capabilities

Enhance the value proposition for our customers

12

WGL ROE Strategy

Path to earning our allowed returns at WGL

Strategy in place with a clear line of sight to reach allowed returns during 2021

Key initiatives to achieving allowed returns:

1. Capital Discipline:
2. • Accelerated Replacement Programs ensure timely recovery of invested capital
   • Drive returns through the execution of strategic projects
3. Rate Cases: update rates to reflect current plant and operating costs
4. • DC rate case filed on January 13, 2020; decision expected around end of Q1 or early Q2 2021
   • MD rate case filed on August 28, 2020; decision expected around end of Q1 2021
5. Cost Management:
6. • Optimization and cost-reduction initiatives underway
   • Leak remediation program launched with expected cost-savings realized through to year-end 2021

Anticipated Return On Equity

& Expected Timeline

~9.4%

			Expected			Early	2021			End
			Timeframe		2021					2021

Current	DC/MD Rate Case Order	Cost Reduction	2021e
		Initiatives

130-150 bps ROE

See "Forward-looking Information"

13

Utilities Segment Capital Spend

Disciplined approach to capital focused on strategic projects and Accelerated Replacement Programs

Designed to earn immediate returns and increase capital efficiency through

approximately 20% growth in ARP spending

2020e Utilities Capital12021e Utilities Capital

~US$510 million	~US$565 million
		New
	New Business	Business
ARP	20%	13%
41%		ARP
		46%

	Increased utilization of ARPs	Maintenance
Maintenance
	41%		Managing
39%
			maintenance
			spending to align
			with depreciation

1) 2020e Utilities Capital updated for most recent internal forecast	14
See "Forward-looking Information"

Summary of Recent Rate Case Filings

Focused on timely recovery of capital

	Most Recent		Revenue		ROE		Equity
	Rate Case Filed				Thickness
SEMCO (Michigan)	Filed May 31, 2019		Received: US$19.9MM		Received: 9.87%		Received: 54%1
WGL (Maryland)	Filed August 28, 2020		Requested: US$28.4MM		Requested: 10.45%		Requested: 54.55%
CINGSA (Alaska)	Filed in 2018		Received: US($9)MM		Received: 10.25%		Received: 53%
WGL (Virginia)	Filed July 31, 2018		Received: US$13.2MM		Received: 9.2%		Received: 53.5%
WGL (DC)2	Filed January 13, 2020		Pending: US$19.5MM		Pending: 9.25%		Pending: 52.1%

Note: Additional rate case filing information provided in the appendix

1.	Represents SEMCO's permanent equity capital, excludes effect of deferred income tax.	15
2.	Settlement Agreement filed December 8, 2020; awaiting Commission approval.

See "Forward-looking Information"

Supportive Regulatory Environment for Utilities

	2019 YE	Average	Allowed ROE
Utility	Rate Base	and Equity	Regulatory Update
Customers
	($US)	Thickness

SEMCO	$608MM	307,000	9.87%
Michigan	54%1

• Distribution rates approved under cost of service model.
• Projected test year used for rate cases with 10 month limit to issue a rate order.
• Rate case filed in May 2019 settled in November and approved in December. New rates effective January 1, 2020.
• Settlement terms include a rate increase of US$19.9 million, a renewed Main Replacement Program (MRP) from 2021-2025, and a new Infrastructure Reliability Improvement Program (IRIP) 2020-2025.

				▪	Distribution rates approved under cost of service model using historical
ENSTAR	$258MM	147,000	11.875%		test year and allows for known and measurable changes.
Alaska	51.81%	▪	Rate Order approving rate increase issued on September 22, 2017.

Final rates effective November 1, 2017.

		ENSTAR, 3
CINGSA	$68MM2	electric utilities	10.25%
Alaska	and 5 other	53.00%

customers

• Distribution rates approved under cost of service model using historical test year and allows for known and measurable changes.
• Rate case filed in 2018 based on 2017 historical test year.
• Rate case decision issued in August 2019.
• Required to file next rate case by July 1, 2021 based on 2020 test year.

1.	Reflects SEMCO permanent capital excluding effect of deferred income tax.	16
2.	Reflects 65% ownership

See "Forward-looking Information"

Supportive Regulatory Environment for Utilities

		2019 YE		Average		Allowed ROE
	Utility	Rate Base			and Equity		Regulatory Update
		Customers
		($US)			Thickness
								▪ Distribution rates approved under cost of service model.
	Virginia				9.20%		▪ Rate case filed in July 31, 2018. On December 20, 2019 the Commission granted
			535,000		US$13.2 million rate increase which reflected the transfer of revenues associated with the
				53.5%		US$102 million of SAVE investment from the SAVE rate rider to base rates; (ii) an ROE of
								9.2%; (iii) the amortization of unprotected excess deferred income tax over eight years;
								and (iv) the refund of US$25.5 million TCJA liability over a 12-month period as a sur-credit.
							▪ Distribution rates approved under cost of service model.
							▪ Rate case filed on August 28, 2020 to increase base rates by $28.4 million, including $5.8
								million currently collected through its strategic infrastructure development and
								enhancement, or STRIDE, rider. This results in a $22.6 million, or 3.95%, net overall non-
	Maryland			496,000	9.70%		gas revenue increase being proposed.
	$2.9B		53.5%	▪ The proposed rate requested a 10.45% ROE with 54.55% equity thickness based on a
								rate base valued at $1.225 billion for a test year ended March 31, 2020.
							▪ Rebuttal testimony filed December 8. Evidentiary hearing scheduled to start January 7,
							2021.
							▪ New rates from this application is expected to take effect around late March 2021.
							▪ Distribution rates approved under cost of service model.
							▪ Filed rate case on January 13, 2020 to increase base rates
	Washington				9.25%	▪ Settlement agreement filed December 8, 2020 includes an increase in base rates by
			164,000		US$19.5 million, including approximately US$9 million pertaining to a PROJECTpipes
	D.C.			52.1%
					surcharge that customers are currently paying in the form of a rate rider.
							▪ The settlement agreement also includes a 9.25% ROE with a 52.1% equity thickness
							▪ Settlement Agreement filed December 8, 2020; awaiting Commission approval.
			See "Forward-looking Information"
			Notes: 1) Settlement Agreement filed December 8, 2020; awaiting Commission approval.	17

Accelerated Replacement Program

Utility	Location	Program

• 2019 rate case settlement provides for a renewed Mains Replacement Program for 2021-2025 with total
  Michigan spending ~ $60 million and the introduction of a new Infrastructure Replacement Improvement Program for 2020-2025 with total spending ~$55 million beginning in 2021.
• Authorized to invest US$500M, including cost of removal over a five-year calendar period ending in 2022.

Virginia	▪ The SAVE rider application for 2021 was filed in September 2020 seeking approval to incur approximately
US$130 million SAVE capital expenditure in 2021.
	▪ Expect to incur approximately US$132 million SAVE capital expenditure in 2020.
Maryland	▪ STRIDE renewal approved in 2018 to be US$350M over 5 years (2019-2023).

Washington	▪ On December 11, 2020, the Commission approved a US$150 million, three-year PROJECTpipes 2
D.C.	plan from 2021-2023.

> US$1B of Approved ARP Capital Projects in Place

See "Forward-looking Information"

18

Midstream

19

Our Midstream Strategy is Straightforward

Maximize utilization of existing assets and pursue capital efficient high-return expansions

Midstream

Global

Export

Leveraging our

Core Export Strategy

Invest

Grow

Leverage

Partner

Protect

• Continue to build upon our export competency
• Diversify and grow our customer base to help mitigate counterparty risk
• Optimize existing rail infrastructure to gain scale and efficiencies
• Increase throughput at existing facilities while maintaining top-tier operating costs and environmental standards
• Leverage and maintain strong relationships with First Nations, regulators and all partners
• Mitigate commodity risk through effective hedging programs and risk management systems

Leverage export strategy and our integrated value chain to attract volumes

See "Forward-looking Information	20

Midstream: Who We Are

Integrated Midstream Business - from wellhead to global markets

NGL Extraction & Fractionation

We're a high-quality operator that has built our business with purpose and is well-positioned for where we believe the market is headed over the next three-to-five years.

50-80k Bbl/sd Capacity

Propane

Gas Gathering & Processing

2.25Bcf/d1 Processing

12 Facilities: Townsend,

Aitken Creek, Nig Creek,

Harmattan, Gordondale,

Blair Creek, EEEP, JEEP,

PEEP & Younger

Transportation, Storage

& Rail Logistics

~4,700 rail cars, >6 MMBbls Storage,

>125 trucks, >250 trailers

FSK rail and truck terminal, Sarnia and

Strathcona terminals, Griffith storage facilities, and Townsend truck terminal, rail terminal, NGL pipelines; treating, storage

64,000 Bbls/d2

6 Facilities: North Pine, Harmattan, EEEP,

JEEP, PEEP, Younger

Export

>130,000 Bbls/d3 Export capability

2 Terminals: RIPET,

Ferndale

>50k Bbls/d Capacity

Propane & Butane

	Our Plan: Leverage our core assets and competencies to capitalize on
	macro North American trends.	VLGC to Asia &
	This includes leaning on our well-positioned NEBC processing and fractionation
	Global Markets
	footprint and structurally advantaged west coast LPG export platform.	Travel Time: 10-11
			Days vs. 25 U.S. GC
	Notes: 1. Based on ALA working interest capacity in FG&P and extraction 2. Based on ALA 100% working interest facilities and ALA % capacity in non-operated facilities	3. Includes RIPET and Ferndale.	21

Petrogas Expands and Optimizes Global Export Footprint

• Multiple interconnects with AltaGas existing footprint; Positions AltaGas with increased touch points across the energy value chain.
• Provides enhanced optionality
  for AltaGas' customers and producers across the basin to optimize price realizations and realize improved cash flow from production.

Trucking

and Liquids Handling

3

• Four distinct specialized trucking and liquids handling businesses (Millard, Express, Petrogas Logistics and IXL).
• Includes hauling LPGs, crude, drilling fluids and produced water.

Railcar Fleet

4

• Access to 3,000+ car fleet; ~1,750 are pressurized for C3/C4 usage. Various optimization opportunities across broader AltaGas and Petrogas platform.

Terminals

• Five rail and pipeline connected terminals, including Fort Sask Rail and Truck.

Storage

2

• Above and Underground storage of ~6.2 MMBbls.
• Located in Ferndale, WA, Fort Sask, AB, Sarnia, ON, Strathcona, AB, Griffith IN, plus other smaller facilities.

Ferndale LPG Export Facility

1

• >50 MBbls/d of combined propane and butane export capacity.
• Refrigerated LPG storage.
• Pipeline connected to BP Cherry Point & Phillips 66 Ferndale refineries.
• Products shipped through the Petrogas-owned wharf, rail, truck and pipeline.

2

		4
1	2	4
		3

• Positions AltaGas to leverage its industry-leading footprint in NEBC to grow alongside large industry-led growth initiatives associated with condensate supply supporting oil sands production and long-term
  feedstock for LNG Canada.
• Continues to position AltaGas'
  Midstream platform for where we believe the market is heading over the next three to five years.

2

2

22

The RIPET and Ferndale Advantages

Connecting North American producers to premium LPG prices in Asia

The RIPET and Ferndale Advantages results in significant increases in

producers' realized prices and tailwindsfor the broader energy industry

		Alberta1
AFEI1
	Propane: US$17.64/Bbl
Propane US$49.77/Bbl		Butane: US$17.72/Bbl
Butane US$54.47/Bbl	10 - 11
Ferndale
	days

Arabian Gulf

18

days

Mt. Belvieu1

Propane US$31.96/Bbl

Butane US$32.97/Bbl

25

days

1. Cash/spot propane and butane prices as of January 5, 2021.

23

Petrogas: A Look at How the Assets Fit Into AltaGas' Value Chain

Midstream

Integrated Midstream Business - Unparalleled access from wellhead to global markets; including Asia, North America and WCSB

1 Wellhead

2

Gas Gathering

3

NGL Extraction

4

Transportation,

5

RIPET

6

Global

& Processing

& Fractionation

Storage &

Export

Markets

Rail Logistics

GAS

NGLs

C3 & C4

C3

C3

1,700 rail cars;

C3

80,000 Bbls/d

VLGC to Asia

Legend:

1

64,000 Bbls/d2

C3

& Global Markets

2.25Bcf/d Processing

7 Facilities: North Pine,

& C3

C5

Townsend Truck

& C3

Export capability

AltaGas

12 Facilities: Townsend,

C4 &

Harmattan, EEEP, JEEP,

Terminal, rail terminals,

VLGC to Asia &

Aitken Creek, Nig Creek,

PEEP,

Younger

NGL pipelines;

Midstream

Harmattan, Gordondale,

Global Markets

Activities

C4

treating, storage

C4

Travel: 10-11 Days

Blair Creek, EEEP,

Sales:

Local and U.S.

Fort Saskatchewan

vs. 25 U.S. GC

Third-party

JEEP, PEEP & Younger

Markets

Local Blending

Sales: Local and U.S. Markets

Petrogas Enhances

AltaGas' Value Chain

• Multiple interconnects with AltaGas' existing platform; leaves AltaGas touching increased molecules across the value chain.
• Increased scale and multiple paths to market enhance flow assurance.
• Provides enhanced optionality for AltaGas' customers and producers across the basin to optimize price realizations.
• AltaGas estimates there to be an opportunity for ~$30 million of annual synergies focused on optimizing marketing contracts and logistics, together with supply chain efficiencies and potential cost savings.
• Plan to take steps to achieve the bulk of these synergies in the first year and be fully realized on a run-ratebasis at the end of 2021.

4 Transportation, Storage & Rail Logistics

Better access	C3 & C4
to Ft. Sask
LPG Supply		C3,
3,000+ rail cars;
FSK rail and truck		C4
terminal, Sarnia and
Strathcona terminals,		&
Griffith storage facilities,	C5
and truck transportation

To N. American Markets: Transportation of LPG, crude, including Production of other fuels

5	Ferndale	6	Global	Total Export Capacity
	(MBbls/d)
	Export		Markets
	C3 & C4				>130
>50,000 Bbls/d	VLGC to Asia	80
& Global Markets
Export capability
		VLGC to Asia &
		Global Markets
		Travel: 10-11Days
		vs. 25 U.S. GC
					RIPET	RIPET +
						Ferndale

1.	Based on AltaGas working interest capacity in FG&P and extraction.
2.	Based on AltaGas 100% working interest facilities and ALA % capacity in non-operated facilities.	24
3.	Includes RIPET and Ferndale.

See "Forward-looking Information"

The Road Ahead will be Paved with Integration and Optimization

• Enhancing AltaGas' value chain with Petrogas' midstream infrastructure, logistics and services offerings will extend and strengthen the company's integrated platform, offering material value-added benefits for AltaGas' producer suppliers and end-use customers. This will include: 1) expanding AltaGas' logistics capabilities with a significant, complementary asset base in key regions across North America; 2) providing greater access to liquids supply to support these

Synergies:

optimization activities; and 3) adding a large network of customer relationships across North America, along with operational expertise in each market.

• We estimate, in the short-term, there to be approximately $30 million of annual synergies within the combined platform, including supply chain efficiencies, market optimization, strategic positioning and other cost savings opportunities. In the longer term, the addition of the Petrogas assets will position AltaGas with the opportunity to make investments to facilitate the full utilization and capacity of our combined platform to export additional LPG cargoes to Asia.
• Petrogas has a long history for increasing LPG exports for limited capital outlays. AltaGas will continue that focus, including: 1) leveraging the shipping
  Growth: advantage relative to other facilities (11 days to Asia vs. 25 from the U.S. GC); 2) the continued strong growth in global LPG demand expected over the coming

decade; and 3) providing a home for the excess NGL supply that will come from the Montney as LNG Canada increases volumes.

AltaGas-Petrogas Synergies

WCSB Propane Forecast

Global Propane Demand

Global Butane Demand

		Mbls/d							200					200
Supply Chain							MetricYeartonsper	180					180
Efficiencies		47%						160				YearpertonsMetric	160
		500
		6%							140					140
	13%	400							120					120
Market
							100					100
Optimization		300
							80
												80
		200						Million	60				Million	60
							40
Strategic											40
Positioning	34%	100							20					20
								0					0
		0
Other Cost		2013	2018	2023	2028	2033	2038
Savings		PDH			Watson Island		Asia	US/Canada	Middle East	CIS
Opportunities		RIPET			Economic US Rail (Inc Ferndale)		Asia
	Eastern CAD Demand		Traditional Regional Demand
			Africa	Latin America	Europe	Pacific		Africa
		WCSB Supply

US/Canada	Middle East	CIS
Latin America	Europe	Pacific

Source: IHS Markit, WoodMac, company reports

25

Strategic Plan and

2021 Outlook

26

Building a Track Record of Delivering on our Commitments

2019: A Transformational Year	2020: Strong Execution and Focus	2021+ Long-term Vision and Strategy

Refocused AltaGas on core Utilities and Midstream businesses, which are positioned to create durable long-term value creation.

Executed ~$2.2 billion of non-core asset sales and balanced funding plan to reduce debt by $3.0 billion and maintain an investment grade credit rating.

Achieved results at the top end of the guidance, delivering 26% Y/Y EBITDA growth. Strong results underpinned by growth in core Midstream and Utilities businesses.

Advanced integrated Midstream and energy export strategy with the sanctioning of RIPET, connecting Western Canadian producers to premium LPG markets in Asia.

Integrated WGL and updated Michigan and Maryland rates to reflect US$47 million in base rate increases.

See "Forward-looking Information"

Resilient and durable results expected to be within guidance ranges, despite COVID-19 global pandemic.

Advanced distinct energy export strategy through increased utilization at NEBC facilities, higher RIPET export volumes and increased ownership in Petrogas.

More timely recovery of expenses and capital at the Utilities through combination of capital discipline, rate case filings and closing the ROE gap at WGL by ~150bps through operational excellence.

Delivering ~$900 million self-funded capital program. Continue to de-lever the balance sheet, maintain investment grade credit rating and stagger, extend and de-risk AltaGas' capital structure and maturity profile.

Operate a diversified low-risk,high-growth Utilities and Midstream businesses focused on delivering resilient and durable value

for our stakeholders that compounds over time.

Improve quality of life by safely and reliably connecting customers to affordable sources of energy for today and tomorrow.

Consistently deliver above-average and highly visible growth; focus on trying to create consistent "Dime for a Dollar" returns for our investors.

Operate a safety-focused,digitally-enabled utility that achieves approved returns, exceeds customers' expectations and will excel in an emerging energy ecosystem.

Operate a world class Midstream business that connects producers to domestic and global LPG markets. Provides clean burning LPGs to Asia and reduces global emissions.

Operate with acute capital discipline and focused on full-cycle rates of return.

27

Executive Summary of Strategic Plan

High-level

Views:

Utilities:

Midstream:

The Road

Ahead:

• Despite market turmoil, we continue to believe that we have a clear plan for an opaque world. While we recalibrated some of our near-term assumptions to reflect shifts in the macro market, our forward playbook remains relatively unchanged.
• We continue to have strong multi-yeargrowth potential through new rate base and closing the ROE gap at our underperforming jurisdictions. While COVID has created challenges, we remain steadfast in the need to make this happen as soon as possible.
• The Midstream segment is performing well, considering market conditions. Our thesis to build a leading-marketposition in Northeastern B.C. continues to play out. We remain focused on the long-term opportunity, meeting the needs of the top-tiered operators that we serve, and we'll leverage organic and inorganic capital deployment opportunities at appropriate times.
• The road ahead will be paved with acute capital discipline, a heightened framework around risk-managementand a strong emphasis on creating an enduring platform that is fueled by operational excellence. We will be pragmatic about reducing our leverage ratios and we will not deviate off course.

See "Forward-looking Information"

28

Strong Growth in Base Business Underpins 2021 Outlook

~12% expected growth in normalized EBITDA and ~20% expected increase in normalized EPS using mid-point

numbers is driven by continued growth in core Utilities and Midstream businesses

2021 Normalized EBITDA1 Guidance	2021 Normalized EPS1 Guidance
($ millions)	(per share)
	$1.45 - $1.55
$1,400 - $1,500
$1,275 - $1,325	$1.20 - $1.30

2 0 2	0 E	2 0 2 1 E	2020E	2021E
		Utilities	Midstream	Corporate/Other

1 Non-GAAP financial measure; see discussion in the advisories	29
See "Forward-looking Information"

2021 Normalized EBITDA1 Drivers

2021 Normalized EBITDA1	Growth Drivers
	▲ Rate base growth through disciplined
	capital allocation
	▲ Achieving higher returns on equity through
Utilities	operational excellence
▲ Cost-reduction initiatives and decreasing
	leak rates

• Customer growth
• Integration and optimization of Petrogas
• Higher global export volumes
• Increasing volumes at North Pine and Townsend

Midstream	▼ Lower commodity prices, frac spreads and
realized margins

• Accounting impact on previous blend and extend (signed in 2018; impact taking place in 2021)

2021 Normalized EBITDA1 Guidance

$1.4-$1.5 billion

Utilities	Midstream
~42%
~57%

Corporate /

Other

~1%

1 Non-GAAP financial measure; see discussion in the advisories	30
See "Forward-looking Information"

2021 Operational Review

Midstream: Leveraging our core export strategy

• Optimize and increase utilization at existing facilities
• Optimize and integrate Petrogas, significantly expanding integrated Midstream and energy export capabilities
• Leverage export first-mover advantage to attract additional volume to combined platform and continue to de-risk the business with focus on earnings durability

Utilities: Leveraging our core distribution footprint

Growth in core business more than offsets lost EBITDA from

asset sales, lower frac spreads and other one-time tailwinds that

were seen in 2020 and are unlikely to be repeated in 2021.

2021 Normalized EBITDA1 Growth ($ millions)

$1,400 - $1,500M

$1,275 - $1,325M

12% Y/Y EBITDA Growth1,2

• Increase utilization of Accelerated Replacement Programs to replace aging infrastructure and reduce our environmental footprint
• Focus on continuous improvement in customer experience and satisfaction
• Reduce incoming leak rates to lower operating costs and benefit customers

2020E	Utilities Growth		Midstream	Asset Sales
			Growth
•	DC & MA Rate	•	Increased	•	ACI
	Cases		ownership of	•	CES
•	ARP Spending		Petrogas
	•	Pomona
•	Cost	•	RIPET Volumes	•	Ripon
	Management	•	Higher NEBC	•	Brush
•	Customer		throughput
	Growth		volumes

Other Y/Y	2021E
Headwinds

• Lower frac spreads
• WGL Pension accounting changes
• Impact of Blend and Extend (signed in
  2018; impact taking place in 2021)

1	Non-GAAP financial measure; see discussion in the advisories	31
2	Based on mid points of 2020e and 2021e guidance
See "Forward-looking Information

2021 Disciplined Capital Allocation

Strong organic growth drives robust risk-adjusted returns

~$910 million in top-quality projects anticipated to drive earnings growth

Includes:	Corp/Other	Identified Projects:
▪	Nig Creek Expansion
2%	▪ Accelerated Pipe
▪	Growth/maintenance		Replacement (ARP)
			Programs in
			Michigan, Virginia,
			Maryland and
			Washington, D.C.

Capital Allocation Criteria:

• Risk-adjustedreturns exceed hurdle rates, which includes base hurdle rates, a value creation hurdle and required margin of safety to match risk parameters

Midstream	▪	Customer growth
16%
▪	System betterment
		across all Utilities

Utilities

82%

• Strategic fit that has the prospect of continued organic growth
• Provides long-term earnings and cash flow durability
• Strong commercial underpinning and continue to leave AltaGas positioned for where the market is heading
• Reasonable cash-on-cash payback periods that does not leave the risk of stranded or long-term non- productive capital

See "Forward-looking Information"

32

Investor Presentation

January 2021