CONSOL Energy : CEIX Third Quarter 2023 Investor Presentation

CONSOL Energy Inc.

Investor Presentation

September 2023

Disclaimer

This presentation contains statements, estimates and projections which are forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended). Statements that are not historical are forward-looking, and include, without limitation, projections and estimates concerning the timing and success of specific projects and the future production, revenues, income and capital spending of CONSOL Energy Inc. ("CEIX"). When we use the words "anticipate," "believe," "could," "continue," "estimate," "expect," "intend," "may," "plan," "predict," "project," "should," "will," "would," or their negatives, or other similar expressions, the statements which include those words are usually forward-looking statements. When we describe our expectations or strategies, including with respect to the Itmann Mining Complex, that involve risks or uncertainties, we are making forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause actual results and outcomes to differ materially from results and outcomes expressed in or implied by our forward-looking statements. Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of future actual results. We have based these forward-looking statements on our current expectations and assumptions about future events. While our management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. Factors that could cause future actual results to differ materially from those made or implied by the forward-looking statements include risks, contingencies and uncertainties that are described in detail under the captions "Forward-Looking Statements" and "Risk Factors" in our public filings with the Securities and Exchange Commission. The forward-looking statements in this presentation speak only as of the date of this presentation; we disclaim any obligation to update the statements, whether in response to new information, future events or otherwise, except as required by law, and we caution you not to rely on them unduly.

This presentation includes unaudited "non-GAAP financial measures" as defined in Regulation G under the Securities Exchange Act of 1934, including EBITDA, Adjusted EBITDA, Bank EBITDA, Net Leverage Ratio, CONSOL Marine Terminal Adjusted EBITDA, Consolidated Net Debt, Total CEIX Liquidity, Average Cash Cost of Coal Sold Per Ton, Average Cash Margin Per Ton Sold, CMT Operating Cash Costs, Average Realized Coal Revenue Per Ton Sold, Consolidated Net Cash, and Free Cash Flow. The presentation of non-GAAP financial measures is not intended to be a substitute for, and should not be considered in isolation from, the financial measures reported in accordance with GAAP. Please see the appendix to this presentation for a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP measures.

2

Investment Thesis

1 Multi-Pronged Approach to Long-Term Value Creation - Revenue Diversification, Operational Excellence and Prudent Capital Allocation

2

3

4

5

6

Pragmatic Capital Allocation Approach - Prioritizes Strong Balance Sheet and Liquidity, Financial Flexibility & Long-Term Shareholder Value

Attractive Shareholder Return Program that Prioritizes Share Buybacks - Currently Targeting ~75% of Quarterly Free Cash Flow Returned to Shareholders

Repositioned Sales Portfolio to Capture Growth Potential in International and Industrial Markets

Measured Approach to Growth with Itmann Project (Low-Vol Met) - Organic and Fully-Funded Internally

World Class Coal Assets and Wholly Owned Export Terminal Remain Competitive Through All Parts of the Cycle and Provide Significant Operational and Marketing Optionality

7 ESG - Forward Progress Sustainability Initiative with Quantifiable Greenhouse Gas Reduction Targets

3

Long-Term Drivers of Value Creation

1		Continuing to expand contract backlog to provide additional revenue visibility
	2		Additional production through the 5th longwall at the PAMC and additional
		diversification through the Itmann Mine
Creating
Long-		3	Increased CMT throughput capacity supports growing industrial and export
Term		sales and further reduces exposure to domestic power generation
Share-	4	Access to $355MM revolving credit facility through July 2026 and $100MM
holder
A/R securitization facility through July 2025 supports strong liquidity

Value

	5	Strong cash position and no near-term debt maturities reduces dependence
	on capital markets
6		Industry-leading shareholder return program linked to free cash flow(3)
	generation

No Major Near-Term Debt Maturities(1)

✓

✓

✓

✓ ✓ ✓

						$0
($ in mm)							Robust Liquidity
						$225	Total CEIX
							Liquidity:
			$355			$290	$515mm(2)(3)
						Excluding
		$24
						restricted cash
		$103
				$75		of $53mm
2023	2024	2025	2026	2027	2028
Undrawn RCF		MEDCO Revenue Bonds	Second Lien Notes	PEDFA Bonds	Revolver Cash and ST Investments	A/R Securitization

Source: Company filings.

1. Debt Maturities as of June 30, 2023.
2. As of June 30, 2023, there were no borrowings on the $355mm revolver and it is only being used for providing letters of credit with $130mm issued. Excludes finance

4 (3)	leases and other debt arrangements.
Total CEIX Liquidity and free cash flow are non-GAAP measures; see slide 20 and appendix, respectively, for a reconciliation to the most comparable GAAP measure.

Strong Financial Performance Drives Debt Reduction and Shareholder Returns

Equity Performance and Increased Shareholder Returns…

		25%
30%
$83.91	28%

22% 23%

$65.00	18%
$64.32	$61.72

336%

$311

$222

$118

$71

9/30/2022		12/31/2022
3/31/2023		Current
	375%
			$10
$7
$3
$2

Common Stock	LTM Free Cash Flow Yield

…Driven by Improvements in Our Key Financial Metrics

					-133%
	52%
$1,043		$185
$984
				$107
$807
$687				$14
				(1,2)
				-$62
LTM Adjusted EBITDA(1)	Net Debt (Cash)

LTM Shareholder Returns	(1)

-0.4x

0.3x

0.1x

0.0x

(0.1x)

Net Debt/Bank EBITDA(1,2)

LTM Shareholder Returns /	(1)
Share

-130%

8%

5%

1%

-2%

Net Debt / Enterprise Value

Notes: "Current" indicates pricing on August 25th unless otherwise noted. LTM = "last twelve months".

1. "Current" is as of quarter-ended June 30, 2023.

5 (2) Net debt does not include restricted cash.