Combines three complementary platforms to create a premier western Canadian processing entity   

• New joint venture to be operated, managed and majority owned by Pembina 

CALGARY, ALBERTA, March 1, 2022 – Pembina Pipeline Corporation (“Pembina”) (TSX: PPL; NYSE: PBA) and KKR today announced the signing of definitive agreements to combine their respective western Canadian natural gas processing assets into a single, new joint venture entity (“Newco”), which will be owned 60 percent by Pembina and 40 percent by KKR’s global infrastructure funds. The transaction brings together three complementary platforms to create a premier western Canadian processing entity with the ability to serve customers throughout the Montney and Duvernay trends from north central Alberta to northeast British Columbia.

Included in the transaction are Pembina’s wholly owned field-based natural gas processing assets, Veresen Midstream which is jointly owned by Pembina and funds managed by KKR, and Energy Transfer Canada (“ETC”) which is jointly owned by Energy Transfer and funds managed by KKR. Newco has entered into an agreement to acquire Energy Transfer’s interest in ETC, which is expected to be completed concurrently with the closing of the other transactions. Collectively, the ascribed value of these transactions totals approximately C$11.4 billion, excluding the value of assets under construction.

The transaction establishes meaningful alignment between Pembina and KKR and positions the joint venture to realize significant efficiencies and economies of scale. Newco will be managed and operated by Pembina, and will be led by Chris Rousch, current President and CEO of Veresen Midstream.

“We have developed a great, trusted relationship with Scott Burrows, Jaret Sprott and the industry-leading team at Pembina and we are thrilled to be deepening that partnership with today’s strategic combination,” said Brandon Freiman, Partner and Head of North American Infrastructure at KKR. “Importantly, we share Pembina’s views on the positive and essential role that Canadian natural gas plays within the global energy transition and we are pleased to combine these assets to create a stronger platform to meet that opportunity.”

With the support of Pembina and KKR, Newco will integrate Environmental, Social and Governance (“ESG”) considerations into its governance structure and long-term business strategy. Newco assets will be included in Pembina’s target of achieving a 30 percent reduction in greenhouse gas emissions intensity by 2030, against a 2019 baseline. Pembina’s policies and management systems related to environmental protection; health and safety; diversity, equity and inclusion; cybersecurity; Indigenous and community relations; and other ESG matters will be extended to include Newco’s assets not currently managed by Pembina.

“Pembina has enjoyed a strong relationship with KKR as a partner in Veresen Midstream over the past four years. The formation of this new joint venture is a natural extension of our relationship,” said Scott Burrows, Pembina’s President and CEO. “We are extremely pleased to be creating this exciting new company with KKR to drive real synergies and deliver a wider suite of commercial opportunities.”

Paul Workman, Director at KKR, added, “The industrial logic of combining these three complementary businesses in a fully-aligned partnership is compelling. We believe that a well-capitalized, customer-oriented private partnership between KKR and one of Canada’s leading infrastructure companies is incredibly well positioned to create value for our investors, customers and the communities in which we operate.”

Completion of the transactions is subject to approval under the Competition Act (Canada) and other customary closing conditions. Closing is expected to occur late in the second quarter or third quarter of 2022. Newco’s permanent name is expected to be announced prior to closing.

RBC Capital Markets is acting as financial advisor and Blake, Cassels & Graydon LLP is acting as legal advisor to Pembina. TD Securities is acting as financial advisor and Torys LLP is acting as legal advisor to KKR.

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About KKR

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

Media Contact

Cara Major or Miles Radcliffe-Trenner

(212) 750-8300

media@kkr.com

Firm Intends to be a Global Leader in Providing Sustainable Finance Solutions for Companies Driving the Energy Transition

Blackstone Sees Opportunity to Invest an Estimated $100 Billion in Energy Transition and Climate Change Solutions Over the Next Decade Across its Businesses

NEW YORK – January 21, 2022 – Blackstone today announced the launch of Blackstone Credit’s Sustainable Resources Platform focused on investing in and lending to renewable energy companies and those supporting the energy transition. Blackstone Credit is one of the world’s largest providers of private credit in the energy transition marketplace. This initiative brings together Blackstone Credit’s scale and expertise in these areas with the firm’s ESG and Portfolio Operations capabilities to deliver value by providing new solutions and sources of capital to companies driving the broader energy transition. The Sustainable Resources Credit Platform complements the firm’s existing private equity, energy and infrastructure strategies that are investing in companies that support the energy transition and climate change solutions.

Governments and companies around the world are committing to decarbonization at an accelerated pace and over 90% of global emissions are covered by government net zero commitments (i). An estimated $100 trillion will be required through 2050 to decarbonize the global economy (ii).

As one of the world’s largest sources of private capital, Blackstone has a decade-long history of investing in renewable energy and climate change solutions. Since 2019, Blackstone has committed over $15 billion in investments that the firm believes are consistent with the broader energy transition. Blackstone anticipates that its capital deployment in this space will continue to grow. Across its businesses, Blackstone sees an opportunity to invest an estimated $100 billion in energy transition and climate change solutions projects over the next decade.

Blackstone Credit’s Sustainable Resources Platform is a dedicated credit platform that seeks to address the growing challenges, investment needs and expertise required by this historic transition. It is led by Robert Horn, who has been with Blackstone Credit since its founding, and has been named Global Head of the Sustainable Resources Group for Blackstone Credit. Simon Hayden has joined the firm from EIG, and he is a Senior Managing Director for Blackstone Credit in London and leads the Sustainable Resources activities in Europe.

The Sustainable Resources Platform includes more than 30 investment professionals across North America and Europe, supported by the portfolio operations teams at Blackstone. The Platform will also leverage the firm’s considerable ESG expertise, bringing ESG professionals into the investment process. Newly hired Global Head of ESG for Blackstone, Jean Rogers, the founder of the Sustainability Accounting Standards Board (SASB), and Rita Mangalick, Head of ESG for Blackstone Credit, will advise investment teams, oversee ESG diligence and support other initiatives for the platform.

The Platform will invest across the credit spectrum in investment grade credit, non-investment grade credit, preferred and convertible securities. It will focus on a broad range of sectors, including residential solar and home efficiency; renewable electricity generation and storage; products, services, technologies and natural resources that enable the energy transition; decarbonized transportation; sustainability linked loans; green financings that fund environmental projects; and other energy infrastructure investments.

Jon Gray, President and COO of Blackstone, said: “The launch of this platform demonstrates our conviction in the investment opportunities presented by the energy transition. Companies globally are shifting to meet this demand. We believe private capital is essential to supporting decarbonization goals and our scale allows us to play a major role.”

Dwight Scott, Global Head of Blackstone Credit, said: “Blackstone Credit’s unmatched scale is being unleashed to support companies that are driving the energy transition. We are excited to launch this dedicated financing platform to build on the over $15 billion that Blackstone has committed since 2019 in investments that we believe are consistent with the broader energy transition.”

Robert Horn, Global Head of the Sustainable Resources Group for Blackstone Credit, said: “We believe large scale and flexible capital are essential to funding decarbonization. We look forward to providing efficient capital and Blackstone’s expertise to companies across a range of sectors that we believe are driving this important transition.”

Simon Hayden, Senior Managing Director, Blackstone Credit, said: “I am delighted to join the world class team at Blackstone Credit and drive its European activities in sustainable resources.”

Blackstone more broadly has been an active participant in the market with numerous recent debt and equity investments across its businesses, including:

• Committed approximately $3 billion in Invenergy Renewables, the largest developer of renewable energy projects in North America.
• Financed over 350 MW of solar across 18 states through an investment in Altus Power, a solar power company that provides clean electricity and energy storage to commercial and residential customers across the United States.
• Invested in ClearGen, a company that provides flexible capital for microgrids and other energy transition solutions for commercial and industrial customers.
• Invested in Transmission Developers Inc. (TDI) to develop the Champlain Hudson Power Express (CHPE), an underground electric transmission line spanning approximately 339 miles between Canada and New York City. The project will deliver 1,250 MW of clean power to New York City, which is still reliant on fossil fuels for approximately 85 percent of its electricity consumption.

In January 2021, Blackstone announced its Emissions Reduction Program to reduce carbon emissions by 15% in aggregate over three years for all new assets where the firm controls energy usage. To accomplish this goal, Blackstone has developed what it believes is a robust decarbonization program designed to increase value by reducing energy use and carbon emissions at scale in a way that is measurable and tangible. Blackstone is also developing a carbon accounting system and a capability to track and report on Scope 1 and Scope 2 emissions reductions. This will allow the firm to measure its impact and provide its investors with critical data to help them to meet their own climate targets and financial goals.

Forward Looking Statements
This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect our current views with respect to, among other things, our operations and financial performance. You can identify these forward-looking statements by the use of words such as “outlook,” “opportunity,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “scheduled,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. We believe these factors include but are not limited to the impact of the novel coronavirus, as well as those described under the section entitled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2020, as such factors may be updated from time to time in our periodic filings with the United States Securities and Exchange Commission (“SEC”), which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in our periodic filings. The forward-looking statements speak only as of the date of this report, and we undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.

About Blackstone
Blackstone is the world’s largest alternative investment firm. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, and the communities in which we work. We do this by using extraordinary people and flexible capital to help companies solve problems. Our $731 billion in assets under management include investment vehicles focused on private equity, real estate, public debt and equity, life sciences, growth equity, opportunistic, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.

Contact
Kate Holderness
Kate.holderness@blackstone.com
646-482-8774

[i] Source: Climate Action Tracker
[ii] Source: IRENA World Energy Transitions Outlook, published March 2021.