Western Midstream Partners, LP 10-Q

Item 1. Financial Statements WESTERN MIDSTREAM PARTNERS, LP CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) Three Months Ended September 30, Nine Months Ended September 30, thousands except per-unit amounts 2025 2024 2025 2024 Revenues and other Service revenues – fee based $ 868,253 $ 814,319 $ 2,542,869 $ 2,389,366 Service revenues – product based 33,919 49,115 143,613 177,321 Product sales 50,129 19,673 124,878 109,076 Other 183 255 562 957 Total revenues and other (1) 952,484 883,362 2,811,922 2,676,720 Equity income, net – related parties 16,847 23,977 64,410 84,227 Operating expenses Cost of product 51,187 32,847 135,360 132,936 Operation and maintenance 212,385 231,066 663,528 649,324 General and administrative 64,119 64,726 197,051 195,498 Property and other taxes 15,725 12,635 51,356 43,984 Depreciation and amortization 170,323 166,015 512,896 487,438 Long - lived asset and other impairments 11,562 4,651 12,251 6,204 Total operating expenses (2) 525,301 511,940 1,572,442 1,515,384 Gain (loss) on divestiture and other, net ( 2,470 ) 467 ( 8,048 ) 299,426 Operating income (loss) 441,560 395,866 1,295,842 1,544,989 Interest expense ( 92,353 ) ( 94,149 ) ( 284,816 ) ( 279,177 ) Gain (loss) on early extinguishment of debt — — — 5,403 Other income (expense), net 1,754 9,565 12,923 16,124 Income (loss) before income taxes 350,961 311,282 1,023,949 1,287,339 Income tax expense (benefit) 2,089 15,390 7,763 17,667 Net income (loss) 348,872 295,892 1,016,186 1,269,672 Net income (loss) attributable to noncontrolling interests 9,257 7,412 25,884 29,714 Net income (loss) attributable to Western Midstream Partners, LP $ 339,615 $ 288,480 $ 990,302 $ 1,239,958 Limited partners’ interest in net income (loss): Net income (loss) attributable to Western Midstream Partners, LP $ 339,615 $ 288,480 $ 990,302 $ 1,239,958 General partner interest in net (income) loss ( 7,885 ) ( 6,708 ) ( 22,985 ) ( 28,845 ) Limited partners’ interest in net income (loss) (3) 331,730 281,772 967,317 1,211,113 Net income (loss) per common unit – basic (3) $ 0.87 $ 0.74 $ 2.54 $ 3.18 Net income (loss) per common unit – diluted (3) $ 0.87 $ 0.74 $ 2.53 $ 3.17 Weighted - average common units outstanding – basic (3) 381,330 380,513 381,216 380,343 Weighted - average common units outstanding – diluted (3) 382,788 382,620 382,630 382,189 _________________________________________________________________________________________ (1) Total revenues and other includes related-party amounts of $ 586.0 million and $ 1.7 billion for the three and nine months ended September 30, 2025, respectively, and $ 545.2 million and $ 1.6 billion for the three and nine months ended September 30, 2024, respectively. See Note 6 . (2) Total operating expenses includes related-party amounts of $ 3.2 million and $( 16.2 ) million for the three and nine months ended September 30, 2025, respectively, and $( 12.1 ) million and $( 37.7 ) million for the three and nine months ended September 30, 2024, respectively. See Note 6 . (3) See Note 5. See accompanying Notes to Consolidated Financial Statements. 6 Table of Contents WESTERN MIDSTREAM PARTNERS, LP CONSOLIDATED BALANCE SHEETS (UNAUDITED) thousands except number of units September 30, 2025 December 31, 2024 ASSETS Current assets Cash and cash equivalents $ 177,288 $ 1,090,464 Accounts receivable, net 682,673 701,838 Other current assets 57,090 54,888 Total current assets 917,051 1,847,190 Property, plant, and equipment Cost 15,985,933 15,509,910 Less accumulated depreciation 6,259,586 5,795,301 Net property, plant, and equipment 9,726,347 9,714,609 Goodwill 4,783 4,783 Other intangible assets 625,990 649,740 Equity investments 510,628 541,435 Other assets 340,553 387,028 Total assets (1) $ 12,125,352 $ 13,144,785 LIABILITIES, EQUITY, AND PARTNERS’ CAPITAL Current liabilities Accounts and imbalance payables $ 297,029 $ 312,945 Short - term debt 13,062 1,011,032 Accrued ad valorem taxes 51,035 38,319 Accrued liabilities 279,346 329,398 Total current liabilities 640,472 1,691,694 Long-term liabilities Long - term debt 6,924,291 6,926,647 Deferred income taxes 31,915 29,679 Asset retirement obligations 389,829 370,195 Other liabilities 810,209 751,400 Total long - term liabilities 8,156,244 8,077,921 Total liabilities (2) 8,796,716 9,769,615 Equity and partners’ capital Common units ( 381,333,269 and 380,556,643 units issued and outstanding at September 30, 2025, and December 31, 2024, respectively) 3,172,802 3,224,802 General partner units ( 9,060,641 units issued and outstanding at September 30, 2025, and December 31, 2024) 9,370 10,803 Total partners’ capital 3,182,172 3,235,605 Noncontrolling interests 146,464 139,565 Total equity and partners’ capital 3,328,636 3,375,170 Total liabilities, equity, and partners’ capital $ 12,125,352 $ 13,144,785 ________________________________________________________________________________________ (1) Total assets includes related - party amounts of $ 965.4 million and $ 991.1 million as of September 30, 2025, and December 31, 2024, respectively, which includes related - party Accounts receivable, net of $ 412.9 million and $ 401.3 million as of September 30, 2025, and December 31, 2024, respectively. See Note 6 . (2) Total liabilities includes related - party amounts of $ 634.8 million and $ 529.7 million as of September 30, 2025, and December 31, 2024, respectively, which includes related-party Accounts and imbalance payable of $ 32.8 million and $ 20.6 million as of September 30, 2025, and December 31, 2024, respectively. See Note 6 . See accompanying Notes to Consolidated Financial Statements. 7 Table of Contents WESTERN MIDSTREAM PARTNERS, LP CONSOLIDATED STATEMENTS OF EQUITY AND PARTNERS’ CAPITAL (UNAUDITED) Partners’ Capital thousands Common Units General Partner Units Noncontrolling Interests Total Balance at December 31, 2024 $ 3,224,802 $ 10,803 $ 139,565 $ 3,375,170 Net income (loss) 301,837 7,170 7,545 316,552 Distributions to noncontrolling interest owner of WES Operating — — ( 6,949 ) ( 6,949 ) Distributions to Partnership unitholders ( 333,068 ) ( 7,928 ) — ( 340,996 ) Equity-based compensation expense 8,248 — — 8,248 Other ( 18,454 ) — — ( 18,454 ) Balance at March 31, 2025 $ 3,183,365 $ 10,045 $ 140,161 $ 3,333,571 Net income (loss) 333,750 7,930 9,082 350,762 Distributions to noncontrolling interest owner of WES Operating — — ( 7,268 ) ( 7,268 ) Distributions to Partnership unitholders ( 347,008 ) ( 8,245 ) — ( 355,253 ) Equity-based compensation expense 10,713 — — 10,713 Other ( 1,588 ) — 2,500 912 Balance at June 30, 2025 $ 3,179,232 $ 9,730 $ 144,475 $ 3,333,437 Net income (loss) 331,730 7,885 9,257 348,872 Distributions to noncontrolling interest owner of WES Operating — — ( 7,268 ) ( 7,268 ) Distributions to Partnership unitholders ( 347,009 ) ( 8,245 ) — ( 355,254 ) Equity-based compensation expense 10,456 — — 10,456 Other ( 1,607 ) — — ( 1,607 ) Balance at September 30, 2025 $ 3,172,802 $ 9,370 $ 146,464 $ 3,328,636 See accompanying Notes to Consolidated Financial Statements. 8 Table of Contents WESTERN MIDSTREAM PARTNERS, LP CONSOLIDATED STATEMENTS OF EQUITY AND PARTNERS’ CAPITAL (UNAUDITED) Partners’ Capital thousands Common Units General Partner Units Noncontrolling Interests Total Balance at December 31, 2023 $ 2,894,231 $ 3,193 $ 131,706 $ 3,029,130 Net income (loss) 559,500 13,330 13,386 586,216 Distributions to Chipeta noncontrolling interest owner — — ( 1,085 ) ( 1,085 ) Distributions to noncontrolling interest owner of WES Operating — — ( 4,591 ) ( 4,591 ) Distributions to Partnership unitholders ( 218,228 ) ( 5,210 ) — ( 223,438 ) Equity-based compensation expense 9,423 — — 9,423 Other ( 19,364 ) — — ( 19,364 ) Balance at March 31, 2024 $ 3,225,562 $ 11,313 $ 139,416 $ 3,376,291 Net income (loss) 369,841 8,807 8,916 387,564 Distributions to Chipeta noncontrolling interest owner — — ( 593 ) ( 593 ) Distributions to noncontrolling interest owner of WES Operating — — ( 6,955 ) ( 6,955 ) Distributions to Partnership unitholders ( 332,930 ) ( 7,928 ) — ( 340,858 ) Equity-based compensation expense 10,391 — — 10,391 Other ( 1,831 ) — — ( 1,831 ) Balance at June 30, 2024 $ 3,271,033 $ 12,192 $ 140,784 $ 3,424,009 Net income (loss) 281,772 6,708 7,412 295,892 Distributions to Chipeta noncontrolling interest owner — — ( 550 ) ( 550 ) Distributions to noncontrolling interest owner of WES Operating — — ( 6,956 ) ( 6,956 ) Distributions to Partnership unitholders ( 332,931 ) ( 7,928 ) — ( 340,859 ) Equity-based compensation expense 8,759 — — 8,759 Other ( 2,778 ) — — ( 2,778 ) Balance at September 30, 2024 $ 3,225,855 $ 10,972 $ 140,690 $ 3,377,517 See accompanying Notes to Consolidated Financial Statements. 9 Table of Contents WESTERN MIDSTREAM PARTNERS, LP CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended September 30, thousands 2025 2024 Cash flows from operating activities Net income (loss) $ 1,016,186 $ 1,269,672 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 512,896 487,438 Long - lived asset and other impairments 12,251 6,204 Non - cash equity - based compensation expense 29,417 28,573 Deferred income taxes 2,236 14,178 Accretion and amortization of long - term obligations, net 6,130 6,884 Equity income, net – related parties ( 64,410 ) ( 84,227 ) Distributions from equity - investment earnings – related parties 69,217 83,091 (Gain) loss on divestiture and other, net 8,048 ( 299,426 ) (Gain) loss on early extinguishment of debt — ( 5,403 ) Other 286 239 Changes in assets and liabilities: (Increase) decrease in accounts receivable, net 19,165 ( 12,595 ) Increase (decrease) in accounts and imbalance payables and accrued liabilities, net ( 56,482 ) ( 78,884 ) Change in other items, net 110,040 166,670 Net cash provided by operating activities 1,664,980 1,582,414 Cash flows from investing activities Capital expenditures ( 505,783 ) ( 595,087 ) Acquisitions from third parties — ( 443 ) Distributions from equity investments in excess of cumulative earnings – related parties 26,000 27,560 Proceeds from the sale of assets to third parties 162 792,241 (Increase) decrease in materials and supplies inventory and other 3,329 ( 33,118 ) Net cash (used in) provided by investing activities ( 476,292 ) 191,153 Cash flows from financing activities Borrowings, net of debt issuance costs ( 1,171 ) 789,193 Repayments of debt ( 1,000,589 ) ( 143,852 ) Commercial paper borrowings (repayments), net — ( 610,312 ) Increase (decrease) in outstanding checks ( 3,114 ) ( 2,282 ) Distributions to Partnership unitholders (1) ( 1,051,503 ) ( 905,155 ) Distributions to Chipeta noncontrolling interest owner — ( 2,228 ) Distributions to noncontrolling interest owner of WES Operating ( 21,485 ) ( 18,502 ) Other ( 24,002 ) ( 28,479 ) Net cash used in financing activities ( 2,101,864 ) ( 921,617 ) Net increase (decrease) in cash and cash equivalents ( 913,176 ) 851,950 Cash and cash equivalents at beginning of period 1,090,464 272,787 Cash and cash equivalents at end of period $ 177,288 $ 1,124,737 Supplemental disclosures Interest paid, net of capitalized interest $ 318,228 $ 307,049 Income taxes paid (reimbursements received) 2,301 — Accrued capital expenditures 62,118 128,508 _________________________________________________________________________________________ (1) Includes related-party amounts. See Note 6 . See accompanying Notes to Consolidated Financial Statements. 10 Table of Contents WESTERN MIDSTREAM OPERATING, LP CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) Three Months Ended September 30, Nine Months Ended September 30, thousands 2025 2024 2025 2024 Revenues and other Service revenues – fee based $ 868,253 $ 814,319 $ 2,542,869 $ 2,389,366 Service revenues – product based 33,919 49,115 143,613 177,321 Product sales 50,129 19,673 124,878 109,076 Other 183 255 562 957 Total revenues and other (1) 952,484 883,362 2,811,922 2,676,720 Equity income, net – related parties 16,847 23,977 64,410 84,227 Operating expenses Cost of product 51,187 32,847 135,360 132,936 Operation and maintenance 212,385 231,066 663,528 649,324 General and administrative 63,780 64,017 196,599 193,497 Property and other taxes 15,725 12,635 51,356 43,984 Depreciation and amortization 170,323 166,015 512,896 487,438 Long-lived asset and other impairments 11,562 4,651 12,251 6,204 Total operating expenses (2) 524,962 511,231 1,571,990 1,513,383 Gain (loss) on divestiture and other, net ( 2,470 ) 467 ( 8,048 ) 299,426 Operating income (loss) 441,899 396,575 1,296,294 1,546,990 Interest expense ( 92,353 ) ( 94,149 ) ( 284,816 ) ( 279,177 ) Gain (loss) on early extinguishment of debt — — — 5,403 Other income (expense), net 1,707 9,498 12,781 15,930 Income (loss) before income taxes 351,253 311,924 1,024,259 1,289,146 Income tax expense (benefit) 2,089 15,390 7,763 17,667 Net income (loss) 349,164 296,534 1,016,496 1,271,479 Net income (loss) attributable to noncontrolling interest 2,316 1,509 5,660 4,364 Net income (loss) attributable to Western Midstream Operating, LP $ 346,848 $ 295,025 $ 1,010,836 $ 1,267,115 ________________________________________________________________________________________ (1) Total revenues and other includes related-party amounts of $ 586.0 million and $ 1.7 billion for the three and nine months ended September 30, 2025, respectively, and $ 545.2 million and $ 1.6 billion for the three and nine months ended September 30, 2024, respectively. See Note 6 . (2) Total operating expenses includes related-party amounts of $ 4.1 million and $( 12.9 ) million for the three and nine months ended September 30, 2025, respectively, and $( 11.2 ) million and $( 34.7 ) million for the three and nine months ended September 30, 2024, respectively. See Note 6 . See accompanying Notes to Consolidated Financial Statements. 11 Table of Contents WESTERN MIDSTREAM OPERATING, LP CONSOLIDATED BALANCE SHEETS (UNAUDITED) thousands except number of units September 30, 2025 December 31, 2024 ASSETS Current assets Cash and cash equivalents $ 170,739 $ 1,084,446 Accounts receivable, net 703,237 701,814 Other current assets 55,341 53,775 Total current assets 929,317 1,840,035 Property, plant, and equipment Cost 15,985,933 15,509,910 Less accumulated depreciation 6,259,586 5,795,301 Net property, plant, and equipment 9,726,347 9,714,609 Goodwill 4,783 4,783 Other intangible assets 625,990 649,740 Equity investments 510,628 541,435 Other assets 337,463 383,808 Total assets (1) $ 12,134,528 $ 13,134,410 LIABILITIES, EQUITY, AND PARTNERS’ CAPITAL Current liabilities Accounts and imbalance payables $ 296,890 $ 339,108 Short - term debt 13,062 1,011,032 Accrued ad valorem taxes 51,035 38,319 Accrued liabilities 220,696 248,589 Total current liabilities 581,683 1,637,048 Long-term liabilities Long - term debt 6,924,291 6,926,647 Deferred income taxes 31,915 29,679 Asset retirement obligations 389,829 370,195 Other liabilities 806,637 744,715 Total long - term liabilities 8,152,672 8,071,236 Total liabilities (2) 8,734,355 9,708,284 Equity and partners’ capital Common units ( 318,675,578 units issued and outstanding at September 30, 2025, and December 31, 2024) 3,365,537 3,399,650 Total partners’ capital 3,365,537 3,399,650 Noncontrolling interest 34,636 26,476 Total equity and partners’ capital 3,400,173 3,426,126 Total liabilities, equity, and partners’ capital $ 12,134,528 $ 13,134,410 _________________________________________________________________________________________ (1) Total assets includes related - party amounts of $ 982.2 million and $ 987.4 million as of September 30, 2025, and December 31, 2024, respectively, which includes related - party Accounts receivable, net of $ 433.5 million and $ 401.3 million as of September 30, 2025, and December 31, 2024, respectively. See Note 6 . (2) Total liabilities includes related - party amounts of $ 634.8 million and $ 555.9 million as of September 30, 2025, and December 31, 2024, respectively, which includes related-party Accounts and imbalance payable of $ 32.8 million and $ 46.8 million as of September 30, 2025, and December 31, 2024, respectively. See Note 6 . See accompanying Notes to Consolidated Financial Statements. 12 Table of Contents WESTERN MIDSTREAM OPERATING, LP CONSOLIDATED STATEMENTS OF EQUITY AND PARTNERS’ CAPITAL (UNAUDITED) thousands Common Units Noncontrolling Interest Total Balance at December 31, 2024 $ 3,399,650 $ 26,476 $ 3,426,126 Net income (loss) 315,076 1,242 316,318 Distributions to WES Operating unitholders ( 347,356 ) — ( 347,356 ) Contributions of equity-based compensation from WES 8,144 — 8,144 Balance at March 31, 2025 $ 3,375,514 $ 27,718 $ 3,403,232 Net income (loss) 348,912 2,102 351,014 Distributions to WES Operating unitholders ( 363,290 ) — ( 363,290 ) Contributions of equity-based compensation from WES 10,563 — 10,563 Other — 2,500 2,500 Balance at June 30, 2025 $ 3,371,699 $ 32,320 $ 3,404,019 Net income (loss) 346,848 2,316 349,164 Distributions to WES Operating unitholders ( 363,290 ) — ( 363,290 ) Contributions of equity-based compensation from WES 10,280 — 10,280 Balance at September 30, 2025 $ 3,365,537 $ 34,636 $ 3,400,173 thousands Common Units Noncontrolling Interest Total Balance at December 31, 2023 $ 3,027,031 $ 25,323 $ 3,052,354 Net income (loss) 584,831 1,686 586,517 Distributions to Chipeta noncontrolling interest owner — ( 1,085 ) ( 1,085 ) Distributions to WES Operating unitholders ( 229,446 ) — ( 229,446 ) Contributions of equity-based compensation from WES 9,278 — 9,278 Balance at March 31, 2024 $ 3,391,694 $ 25,924 $ 3,417,618 Net income (loss) 387,259 1,169 388,428 Distributions to Chipeta noncontrolling interest owner — ( 593 ) ( 593 ) Distributions to WES Operating unitholders ( 347,675 ) — ( 347,675 ) Contributions of equity-based compensation from WES 10,247 — 10,247 Balance at June 30, 2024 $ 3,441,525 $ 26,500 $ 3,468,025 Net income (loss) 295,025 1,509 296,534 Distributions to Chipeta noncontrolling interest owner — ( 550 ) ( 550 ) Distributions to WES Operating unitholders ( 347,675 ) — ( 347,675 ) Contributions of equity-based compensation from WES 8,613 — 8,613 Balance at September 30, 2024 $ 3,397,488 $ 27,459 $ 3,424,947 See accompanying Notes to Consolidated Financial Statements. 13 Table of Contents WESTERN MIDSTREAM OPERATING, LP CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended September 30, thousands 2025 2024 Cash flows from operating activities Net income (loss) $ 1,016,496 $ 1,271,479 Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 512,896 487,438 Long-lived asset and other impairments 12,251 6,204 Non-cash equity-based compensation expense 28,987 28,138 Deferred income taxes 2,236 14,178 Accretion and amortization of long-term obligations, net 6,130 6,884 Equity income, net – related parties ( 64,410 ) ( 84,227 ) Distributions from equity-investment earnings – related parties 69,217 83,091 (Gain) loss on divestiture and other, net 8,048 ( 299,426 ) (Gain) loss on early extinguishment of debt — ( 5,403 ) Other 286 239 Changes in assets and liabilities: (Increase) decrease in accounts receivable, net ( 1,423 ) ( 15,780 ) Increase (decrease) in accounts and imbalance payables and accrued liabilities, net ( 60,557 ) ( 102,104 ) Change in other items, net 113,658 166,545 Net cash provided by operating activities 1,643,815 1,557,256 Cash flows from investing activities Capital expenditures ( 505,783 ) ( 595,087 ) Acquisitions from third parties — ( 443 ) Distributions from equity investments in excess of cumulative earnings – related parties 26,000 27,560 Proceeds from the sale of assets to third parties 162 792,241 (Increase) decrease in materials and supplies inventory and other 3,329 ( 33,118 ) Net cash (used in) provided by investing activities ( 476,292 ) 191,153 Cash flows from financing activities Borrowings, net of debt issuance costs ( 1,171 ) 789,193 Repayments of debt ( 1,000,589 ) ( 143,852 ) Commercial paper borrowings (repayments), net — ( 610,312 ) Increase (decrease) in outstanding checks ( 3,180 ) ( 2,245 ) Distributions to WES Operating unitholders (1) ( 1,073,936 ) ( 924,796 ) Distributions to Chipeta noncontrolling interest owner — ( 2,228 ) Other ( 2,354 ) ( 4,505 ) Net cash used in financing activities ( 2,081,230 ) ( 898,745 ) Net increase (decrease) in cash and cash equivalents ( 913,707 ) 849,664 Cash and cash equivalents at beginning of period 1,084,446 268,184 Cash and cash equivalents at end of period $ 170,739 $ 1,117,848 Supplemental disclosures Interest paid, net of capitalized interest $ 318,228 $ 307,049 Income taxes paid (reimbursements received) 2,301 — Accrued capital expenditures 62,118 128,508 ________________________________________________________________________________________ (1) Includes related-party amounts. See Note 6. See accompanying Notes to Consolidated Financial Statements. 14 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 1. DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION General. Western Midstream Partners, LP (the “Partnership”) is a Delaware master limited partnership formed in September 2012. Western Midstream Operating, LP (together with its subsidiaries, “WES Operating”) is a Delaware limited partnership formed in 2007 to acquire, own, develop, and operate midstream assets. The Partnership owns, directly and indirectly, a 98.0 % limited partner interest in WES Operating, and directly owns all of the outstanding equity interests of Western Midstream Operating GP, LLC, which holds the entire non - economic general partner interest in WES Operating. In addition, Occidental owns the Partnership’s general partner and a 2.0 % limited partner interest in WES Operating through its ownership of WGR Asset Holding Company LLC (“WGRAH”). For purposes of these consolidated financial statements, the Partnership refers to Western Midstream Partners, LP in its individual capacity or to Western Midstream Partners, LP and its subsidiaries, including Western Midstream Operating GP, LLC and WES Operating, as the context requires. “WES Operating GP” refers to Western Midstream Operating GP, LLC, individually as the general partner of WES Operating. The Partnership’s general partner, Western Midstream Holdings, LLC (the “general partner”), is a wholly owned subsidiary of Occidental Petroleum Corporation. “Occidental” refers to Occidental Petroleum Corporation, as the context requires, and its subsidiaries, excluding the general partner. “Related parties” refers to Occidental (see Note 6 ), the Partnership’s investments accounted for under the equity method of accounting (see Note 7 ), and WES Operating for transactions with the Partnership that eliminate upon consolidation (see Note 6 ). The Partnership is engaged in the business of gathering, compressing, treating, processing, and transporting natural gas; gathering, stabilizing, and transporting condensate, natural - gas liquids (“NGLs”), and crude oil; and gathering, transporting, recycling, treating, and disposing of produced water. In its capacity as a natural - gas processor, the Partnership also buys and sells residue, NGLs, and condensate on behalf of itself and its customers under certain contracts. As of September 30, 2025, the Partnership’s assets and investments consisted of the following: Wholly Owned and Operated Operated Interests Equity Interests Gathering systems (1) 18 2 1 Treating facilities 43 3 — Processing plants/trains 27 3 1 NGLs pipelines 3 — 4 Natural - gas pipelines 6 — 1 Crude - oil pipelines 2 1 1 _________________________________________________________________________________________ (1) Includes the DBM water systems. These assets and investments are located in Texas, New Mexico, and the Rocky Mountains (Colorado, Utah, and Wyoming). 15 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 1. DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Basis of presentation. The consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and include the accounts of the Partnership and entities in which it holds a controlling or other financial interest, including WES Operating, WES Operating GP, proportionately consolidated interests, and equity investments. All significant intercompany transactions have been eliminated. The consolidated financial results of WES Operating are included in the Partnership’s consolidated financial statements. Throughout these notes to consolidated financial statements, and to the extent material, any differences between the consolidated financial results of the Partnership and WES Operating are discussed separately. The Partnership’s consolidated financial statements differ from those of WES Operating primarily as a result of (i) the presentation of noncontrolling interest ownership (see Noncontrolling interests below), (ii) the elimination of WES Operating GP’s investment in WES Operating with WES Operating GP’s underlying capital account, (iii) the general and administrative expenses incurred by the Partnership, which are separate from, and in addition to, those incurred by WES Operating, (iv) the inclusion of the impact of Partnership equity balances and Partnership distributions, and (v) transactions between the Partnership and WES Operating that eliminate upon consolidation. Certain information and note disclosures commonly included in annual financial statements have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, the accompanying consolidated financial statements and notes should be read in conjunction with the Partnership’s 2024 Form 10-K, as filed with the SEC on February 26, 2025. Management believes that the disclosures made are adequate to make the information not misleading. Use of estimates. In preparing financial statements in accordance with GAAP, management makes informed judgments and estimates that affect the reported amounts of assets, liabilities, revenues, and expenses. Management evaluates its estimates and related assumptions regularly, using historical experience and other reasonable methods. Changes in facts and circumstances or additional information may result in revised estimates, and actual results may differ from these estimates. Effects on the business, financial condition, and results of operations resulting from revisions to estimates are recognized when the facts that give rise to the revisions become known. The information included herein reflects all normal recurring adjustments which are, in the opinion of management, necessary for a fair presentation of the consolidated financial statements. Noncontrolling interests. The Partnership’s noncontrolling interests in the consolidated financial statements consist of (i) the 25 % third - party interest in Chipeta and (ii) the 2.0 % limited partner interest in WES Operating owned by an Occidental subsidiary. WES Operating’s noncontrolling interest in the consolidated financial statements consists of the 25 % third - party interest in Chipeta. Inventory. As of September 30, 2025, and December 31, 2024, Other current assets includes (i) $ 2.3 million and $ 2.5 million, respectively, of NGLs inventory and (ii) $ 10.6 million and $ 0.6 million, respectively, of materials and supplies inventory that are classified as short term on the consolidated balance sheets. As of September 30, 2025, and December 31, 2024, Other assets includes (i) $ 3.1 million and $ 5.5 million, respectively, of NGLs line - fill inventory, and (ii) $ 109.5 million and $ 110.3 million, respectively, of materials and supplies inventory that are classified as long term on the consolidated balance sheets. Segments. The Partnership’s operations continue to be organized into a single operating segment, the assets of which gather, compress, treat, process, and transport natural gas; gather, stabilize, and transport condensate, NGLs, and crude oil; and gather and dispose of produced water in the United States. Accounting Standards Update 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures” was adopted on December 31, 2024, using a retrospective approach with no impact to the consolidated financial statements; however, the adoption did result in additional disclosure. See Note 11 . 16 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 1. DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Equity-based compensation. During the nine months ended September 30, 2025 and 2024, the Partnership issued 776,626 common units and 1,035,444 common units, respectively, under its long-term incentive plans. Compensation expense was $ 10.5 million and $ 29.4 million for the three and nine months ended September 30, 2025, respectively, and $ 8.8 million and $ 28.6 million for the three and nine months ended September 30, 2024, respectively. New accounting pronouncements not yet adopted. In November 2024, the Financial Accounting Standards Board issued Accounting Standards Update 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation (Subtopic 220-40): Disaggregation of Income Statement Expenses.” The standard requires additional disclosure and disaggregation of certain income statement expense line items and may be applied prospectively or retrospectively. The Partnership plans to adopt the standard when it becomes effective beginning with the fiscal year 2027 annual financial statements. The Partnership is assessing the impact of this guidance on its disclosures in the Notes to the Consolidated Financial Statements. 2. REVENUE FROM CONTRACTS WITH CUSTOMERS The following table summarizes revenue from contracts with customers: Three Months Ended September 30, Nine Months Ended September 30, thousands 2025 2024 2025 2024 Revenue from customers Service revenues – fee based $ 868,253 $ 814,319 $ 2,542,869 $ 2,389,366 Service revenues – product based 33,919 49,115 143,613 177,321 Product sales 50,129 19,673 124,878 109,076 Total revenue from customers 952,301 883,107 2,811,360 2,675,763 Revenue from other than customers Other 183 255 562 957 Total revenues and other $ 952,484 $ 883,362 $ 2,811,922 $ 2,676,720 17 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 2. REVENUE FROM CONTRACTS WITH CUSTOMERS Contract balances. Receivables from customers, which are included in Accounts receivable, net on the consolidated balance sheets, were $ 671.4 million and $ 693.9 million as of September 30, 2025, and December 31, 2024, respectively. Contract assets primarily relate to (i) revenue accrued but not yet billed under cost - of - service contracts with fixed and variable fees and (ii) accrued deficiency fees the Partnership expects to charge customers once the related performance periods are completed. The following table summarizes activity related to contract assets from contracts with customers: thousands Contract assets balance at December 31, 2024 $ 43,186 Amounts transferred to Accounts receivable, net that were included in the contract assets balance at the beginning of the period (1) ( 5,378 ) Additional estimated revenues recognized (2) 3,533 Contract assets balance at September 30, 2025 $ 41,341 Contract assets at September 30, 2025 Other current assets $ 17,511 Other assets 23,830 Total contract assets from contracts with customers $ 41,341 _________________________________________________________________________________________ (1) Includes $( 1.8 ) million for the three months ended September 30, 2025. (2) Includes $ 0.6 million for the three months ended September 30, 2025. Contract liabilities primarily relate to (i) fixed and variable fees under cost - of - service contracts that are received from customers for which revenue recognition is deferred, (ii) aid - in - construction payments received from customers that must be recognized over the expected period of customer benefit, and (iii) fees that are charged to customers for only a portion of the contract term and must be recognized as revenues over the expected period of customer benefit. The following table summarizes activity related to contract liabilities from contracts with customers: thousands Contract liabilities balance at December 31, 2024 $ 610,571 Cash received or receivable, excluding revenues recognized during the period (1) 103,846 Revenues recognized that were included in the contract liability balance at the beginning of the period (2) ( 9,722 ) Contract liabilities balance at September 30, 2025 $ 704,695 Contract liabilities at September 30, 2025 Accrued liabilities $ 10,929 Other liabilities 693,766 Total contract liabilities from contracts with customers $ 704,695 _________________________________________________________________________________________ (1) Includes $ 34.1 million for the three months ended September 30, 2025. (2) Includes $( 3.0 ) million for the three months ended September 30, 2025. 18 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 2. REVENUE FROM CONTRACTS WITH CUSTOMERS Transaction price allocated to remaining performance obligations. Revenues expected to be recognized from certain performance obligations that are unsatisfied (or partially unsatisfied) as of September 30, 2025, are presented in the table below. The Partnership applies the optional exemptions in Revenue from Contracts with Customers (Topic 606) and does not disclose consideration for remaining performance obligations with an original expected duration of one year or less or for variable consideration related to unsatisfied (or partially unsatisfied) performance obligations. Therefore, the following table represents only a portion of expected future revenues from existing contracts, as most future revenues from customers are dependent on future variable customer volumes and, in some cases, variable commodity prices for those volumes. thousands Remainder of 2025 $ 251,545 2026 1,131,557 2027 1,153,720 2028 995,627 2029 685,667 Thereafter 2,586,102 Total $ 6,804,218 3. ACQUISITIONS AND DIVESTITURES Marcellus Interest systems. During the second quarter of 2024, the Partnership closed on the sale of its 33.75 % interest in the Marcellus Interest systems for proceeds of $ 206.2 million, resulting in a net gain on sale of $ 63.9 million that was recorded as Gain (loss) on divestiture and other, net in the consolidated statement of operations. Mont Belvieu JV, Whitethorn LLC, Panola, and Saddlehorn. During the first quarter of 2024, the Partnership closed on the sale of the following equity investments to third parties: (i) the 25.00 % interest in Enterprise EF78 LLC, (ii) the 20.00 % interest in Whitethorn Pipeline Company LLC, (iii) the 15.00 % interest in Panola Pipeline Company, LLC, and (iv) the 20.00 % interest in Saddlehorn Pipeline Company, LLC. The combined proceeds received in the first quarter of 2024 of $ 588.6 million includes $ 5.9 million in pro-rata distributions through closing, resulting in a net gain on sale of $ 239.7 million that was recorded as Gain (loss) on divestiture and other, net in the consolidated statement of operations. See Note 12 for information related to the acquisition of Aris Water Solutions, Inc. (“Aris”) that closed on October 15, 2025. 19 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 4. PARTNERSHIP DISTRIBUTIONS Partnership distributions. The Partnership distributes all of its available cash, as defined in the partnership agreement, to unitholders of record on the applicable record date within 55 days following each quarter’s end. The Board of Directors of the general partner (the “Board”) declared the following cash distributions to the Partnership’s unitholders for the periods presented: thousands except per-unit amounts Quarters Ended Total Quarterly Per-unit Distribution Total Quarterly Cash Distribution Distribution Date Record Date 2024 March 31 $ 0.875 $ 340,858 May 15, 2024 May 1, 2024 June 30 0.875 340,859 August 14, 2024 August 1, 2024 September 30 0.875 340,914 November 14, 2024 November 1, 2024 December 31 0.875 340,996 February 14, 2025 February 3, 2025 2025 March 31 $ 0.910 $ 355,253 May 15, 2025 May 2, 2025 June 30 0.910 355,254 August 14, 2025 August 1, 2025 September 30 0.910 379,521 November 14, 2025 October 31, 2025 WES Operating partnership distributions. WES Operating makes quarterly cash distributions to the Partnership and WGRAH, a subsidiary of Occidental, in proportion to their share of limited partner interests in WES Operating. WES Operating made and/or declared the following cash distributions to its limited partners for the periods presented: thousands Quarters Ended Total Quarterly Cash Distribution Distribution Date 2024 March 31 $ 347,675 May 2024 June 30 347,675 August 2024 September 30 347,356 November 2024 December 31 347,356 February 2025 2025 March 31 $ 363,290 May 2025 June 30 363,290 August 2025 September 30 391,568 October 2025 20 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 5. EQUITY AND PARTNERS’ CAPITAL Holdings of Partnership equity. The Partnership’s common units are listed on the New York Stock Exchange under the ticker symbol “WES.” As of September 30, 2025, Occidental held 165,681,578 common units, representing a 42.4 % limited partner interest in the Partnership, and through its ownership of the general partner, Occidental indirectly held 9,060,641 general partner units, representing a 2.3 % general partner interest in the Partnership. The public held 215,651,691 common units, representing a 55.3 % limited partner interest in the Partnership. On October 15, 2025, the Partnership issued common units in connection with the acquisition of Aris. See Note 12 for additional information. Partnership equity repurchases. In February 2025, the Board authorized the Partnership to buy back up to $ 250.0 million of the Partnership’s common units through December 31, 2026 (the “2025 Purchase Program”). The common units may be purchased from time to time in the open market at prevailing market prices or in privately negotiated transactions. During the nine months ended September 30, 2025, the Partnership repurchased no common units. As of September 30, 2025, the Partnership had an authorized amount of $ 250.0 million remaining under the program. Partnership’s net income (loss) per common unit. The common and general partner unitholders’ allocation of net income (loss) attributable to the Partnership was equal to their cash distributions plus their respective allocations of undistributed earnings or losses in accordance with their weighted - average ownership percentage during each period using the two - class method. The following table provides a reconciliation between basic and diluted net income (loss) per common unit: Three Months Ended September 30, Nine Months Ended September 30, thousands except per-unit amounts 2025 2024 2025 2024 Net income (loss) Limited partners’ interest in net income (loss) $ 331,730 $ 281,772 $ 967,317 $ 1,211,113 Weighted-average common units outstanding Basic 381,330 380,513 381,216 380,343 Dilutive effect of non-vested phantom units 1,458 2,107 1,414 1,846 Diluted 382,788 382,620 382,630 382,189 Excluded due to anti-dilutive effect — — — 2 Net income (loss) per common unit Basic $ 0.87 $ 0.74 $ 2.54 $ 3.18 Diluted $ 0.87 $ 0.74 $ 2.53 $ 3.17 WES Operating’s net income (loss) per common unit. Net income (loss) per common unit for WES Operating is not calculated because it has no publicly traded units. 21 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 6. RELATED-PARTY TRANSACTIONS Summary of related-party transactions. The following tables summarize material related - party transactions included in the Partnership’s consolidated financial statements: Statements of operations Three Months Ended September 30, Nine Months Ended September 30, thousands 2025 2024 2025 2024 Revenues and other Service revenues – fee based $ 566,912 $ 530,434 $ 1,667,849 $ 1,533,251 Service revenues – product based 5,416 13,664 29,529 44,214 Product sales 13,639 1,109 23,238 1,642 Total revenues and other 585,967 545,207 1,720,616 1,579,107 Equity income, net – related parties (1) 16,847 23,977 64,410 84,227 Operating expenses Cost of product (2) 1,332 ( 14,638 ) ( 21,710 ) ( 46,685 ) Operation and maintenance 1,833 2,523 5,314 8,665 General and administrative — 45 210 299 Total operating expenses 3,165 ( 12,070 ) ( 16,186 ) ( 37,721 ) _________________________________________________________________________________________ (1) See Note 7 . (2) Includes related-party natural - gas and NGLs imbalances. Balance sheets thousands September 30, 2025 December 31, 2024 Assets Accounts receivable, net $ 412,934 $ 401,315 Other current assets 7,244 6,671 Equity investments (1) 510,628 541,435 Other assets 34,631 41,641 Total assets 965,437 991,062 Liabilities Accounts and imbalance payables 32,827 20,609 Accrued liabilities 4,734 4,717 Other liabilities (2) 597,253 504,415 Total liabilities 634,814 529,741 _________________________________________________________________________________________ (1) See Note 7 . (2) Includes contract liabilities from contracts with customers. See Note 2 . 22 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 6. RELATED-PARTY TRANSACTIONS Statements of cash flows Nine Months Ended September 30, thousands 2025 2024 Distributions from equity - investment earnings – related parties $ 69,217 $ 83,091 Distributions from equity investments in excess of cumulative earnings – related parties 26,000 27,560 Distributions to Partnership unitholders (1) ( 470,929 ) ( 451,613 ) Distributions to WES Operating unitholders (2) ( 21,485 ) ( 18,502 ) _________________________________________________________________________________________ (1) Represents common and general partner unit distributions paid to Occidental pursuant to the partnership agreement of the Partnership. See Note 4 and Note 5 . (2) Represents distributions paid to Occidental, through its ownership of WGRAH, pursuant to WES Operating’s partnership agreement. See Note 4 and Note 5 . The following tables summarize material related - party transactions for WES Operating (which are included in the Partnership’s consolidated financial statements) to the extent the amounts differ materially from the Partnership’s consolidated financial statements: Statements of operations Three Months Ended September 30, Nine Months Ended September 30, thousands 2025 2024 2025 2024 General and administrative (1) $ 909 $ 944 $ 3,465 $ 3,292 _________________________________________________________________________________________ (1) Includes an intercompany service fee between the Partnership and WES Operating. Balance sheets thousands September 30, 2025 December 31, 2024 Accounts receivable, net (1) $ 433,522 $ 401,315 Other current assets 6,496 6,263 Other assets 31,541 38,421 Accounts and imbalance payables (1) 32,827 46,773 _________________________________________________________________________________________ (1) Includes balances related to transactions between the Partnership and WES Operating. Statements of cash flows Nine Months Ended September 30, thousands 2025 2024 Distributions to WES Operating unitholders (1) $ ( 1,073,936 ) $ ( 924,796 ) _________________________________________________________________________________________ (1) Represents distributions paid to the Partnership and Occidental, through its ownership of WGRAH, pursuant to WES Operating’s partnership agreement. See Note 4 and Note 5. 23 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 6. RELATED-PARTY TRANSACTIONS Related-party revenues. Related - party revenues include amounts earned by the Partnership from services provided to Occidental and from the sale of natural gas, condensate, and NGLs to Occidental. Gathering and processing agreements. The Partnership has significant gathering, treating, processing, stabilization, and produced-water disposal arrangements with affiliates of Occidental on most of its systems. While Occidental is the contracting counterparty of the Partnership, these arrangements with Occidental include not just Occidental - produced volumes, but also, in some instances, the volumes of other working - interest owners of Occidental who rely on the Partnership’s facilities and infrastructure to bring their volumes to market. Natural-gas throughput (excluding equity-investment throughput) attributable to production owned or controlled by Occidental was 35 % for both the three and nine months ended September 30, 2025, and 36 % and 34 % for the three and nine months ended September 30, 2024, respectively. Crude-oil and NGLs throughput (excluding equity-investment throughput) attributable to production owned or controlled by Occidental was 90 % and 91 % for the three and nine months ended September 30, 2025, respectively, and 92 % and 90 % for the three and nine months ended September 30, 2024, respectively. Produced-water throughput attributable to production owned or controlled by Occidental was 79 % for both the three and nine months ended September 30, 2025, and 78 % and 77 % for the three and nine months ended September 30, 2024, respectively. The Partnership is currently discussing varying interpretations of certain contractual provisions with Occidental regarding the calculation of the cost - of - service rates under an oil - gathering contract related to the Partnership’s DJ Basin oil - gathering system. If such discussions are resolved in a manner adverse to the Partnership, such resolution could have a negative impact on the Partnership’s financial condition and results of operations, including a reduction in rates and a non - cash charge to earnings. Marketing Services. Prior to January 1, 2021, Occidental provided marketing-related services to certain of the Partnership’s subsidiaries. While the Partnership now markets and sells substantially all of its crude oil, residue gas, and NGLs directly to third parties, it does still have some marketing agreements with affiliates of Occidental, the activity for which is reflected in the related-party statements of operations above. Operating leases. Certain surface - use and salt - water disposal agreements between an affiliate of Occidental and certain wholly owned subsidiaries of the Partnership are classified as operating leases (see Related-party commercial agreement below). In addition, the Partnership has operating leases for field offices with Occidental as the lessor. Related-party expenses. Operation and maintenance expense includes amounts accrued for or paid to related parties for field - related costs, field offices, and easements (see Related-party commercial agreement below) supporting the Partnership’s operations at certain assets. General and administrative expense includes amounts accrued for or paid to Occidental for certain reimbursed expenses pursuant to the provisions of the Partnership’s and WES Operating’s agreements with Occidental. Cost of product expense includes amounts related to certain continuing marketing arrangements with affiliates of Occidental, related - party imbalances, and transactions with affiliates accounted for under the equity method of accounting. See Marketing Services in the section above. Related - party expenses bear no direct relationship to related - party revenues, and third - party expenses bear no direct relationship to third - party revenues. Services Agreement. Occidental performed certain centralized corporate functions for the Partnership and WES Operating pursuant to the agreement dated as of December 31, 2019, between WES Operating GP and Occidental (“Services Agreement”). Most of the administrative and operational services previously provided by Occidental fully transitioned to the Partnership by December 31, 2021, with certain limited transition services remaining in place pursuant to the terms of the Services Agreement. 24 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 6. RELATED-PARTY TRANSACTIONS Construction reimbursement agreements and purchases and sales with related parties . From time to time, the Partnership enters into construction reimbursement agreements with Occidental providing that the Partnership will manage the construction of certain midstream infrastructure for Occidental in the Partnership’s areas of operation. Such arrangements generally provide for a reimbursement of costs incurred by the Partnership on a cost or cost-plus basis. Additionally, from time to time, in support of the Partnership’s business, the Partnership purchases and sells equipment, inventory, and other miscellaneous assets from or to Occidental or its affiliates. Related-party commercial agreement. During the first quarter of 2021, an affiliate of Occidental and the Partnership amended certain West Texas surface - use and salt - water disposal agreements to reduce usage fees owed by the Partnership in exchange for the forgiveness of certain deficiency fees owed by Occidental and other unrelated contractual amendments. The present value of the reduced usage fees under the amended agreements was $ 30.0 million at the time the agreement was executed. As a result of the amendments, (i) these agreements are classified as operating leases and (ii) a right-of-use (“ROU”) asset, included in Other assets on the consolidated balance sheets, was recognized during the first quarter of 2021. The ROU asset is being amortized to Operation and maintenance expense through 2038, the remaining term of the agreements. Customer concentration. Occidental was the only customer from which revenues exceeded 10% of consolidated revenues for all periods presented in the consolidated statements of operations. 7. EQUITY INVESTMENTS The following table presents the financial statement impact of the Partnership’s equity investments: thousands Percentage Ownership Interest Balance at December 31, 2024 Equity income, net Distributions Distributions in excess of cumulative earnings (1) Balance at September 30, 2025 Mi Vida 50.00 % $ 42,765 $ 3,794 $ ( 3,872 ) $ ( 7,960 ) $ 34,727 FRP 33.33 % 183,588 33,741 ( 35,821 ) ( 5,116 ) 176,392 Red Bluff Express 30.00 % 115,085 11,664 ( 11,664 ) ( 2,497 ) 112,588 Rendezvous 22.00 % 5,639 ( 1,803 ) ( 640 ) ( 1,491 ) 1,705 TEP 20.00 % 170,060 13,914 ( 14,103 ) ( 5,895 ) 163,976 TEG 20.00 % 14,496 737 ( 754 ) ( 391 ) 14,088 White Cliffs 10.00 % 9,802 2,363 ( 2,363 ) ( 2,650 ) 7,152 Total $ 541,435 $ 64,410 $ ( 69,217 ) $ ( 26,000 ) $ 510,628 _________________________________________________________________________________________ (1) Distributions in excess of cumulative earnings, classified as investing cash flows in the consolidated statements of cash flows, are calculated on an individual - investment basis. 25 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 8. SELECTED COMPONENTS OF WORKING CAPITAL A summary of accounts receivable, net is as follows: The Partnership WES Operating thousands September 30, 2025 December 31, 2024 September 30, 2025 December 31, 2024 Trade receivables, net $ 682,342 $ 701,225 $ 702,930 $ 701,225 Other receivables, net 331 613 307 589 Total accounts receivable, net $ 682,673 $ 701,838 $ 703,237 $ 701,814 A summary of other current assets is as follows: The Partnership WES Operating thousands September 30, 2025 December 31, 2024 September 30, 2025 December 31, 2024 NGLs inventory $ 2,341 $ 2,514 $ 2,341 $ 2,514 Materials and supplies 10,575 613 10,575 613 Imbalance receivables 6,318 7,253 6,318 7,253 Prepaid insurance 2,628 15,418 1,627 14,712 Contract assets 17,511 12,358 17,511 12,358 Other 17,717 16,732 16,969 16,325 Total other current assets $ 57,090 $ 54,888 $ 55,341 $ 53,775 A summary of accrued liabilities is as follows: The Partnership WES Operating thousands September 30, 2025 December 31, 2024 September 30, 2025 December 31, 2024 Accrued interest expense $ 93,823 $ 133,365 $ 93,823 $ 133,365 Short - term asset retirement obligations 10,805 12,830 10,805 12,830 Short-term remediation and reclamation obligations 721 2,585 721 2,585 Income taxes payable 7,811 4,585 7,811 4,585 Contract liabilities 10,929 11,055 10,929 11,055 Accrued payroll and benefits 56,288 66,563 — — Short-term lease liabilities 62,627 58,897 62,627 58,897 Other 36,342 39,518 33,980 25,272 Total accrued liabilities $ 279,346 $ 329,398 $ 220,696 $ 248,589 26 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 9. DEBT WES Operating is the borrower for all outstanding debt and is expected to be the borrower for all future debt issuances. The following table presents the outstanding debt: September 30, 2025 December 31, 2024 thousands Principal Carrying Value Fair Value (1) Principal Carrying Value Fair Value (1) Short - term debt Senior Notes $ — $ — $ — $ 1,000,589 $ 1,000,076 $ 997,666 Finance lease liabilities 13,062 13,062 13,062 10,956 10,956 10,956 Total short - term debt $ 13,062 $ 13,062 $ 13,062 $ 1,011,545 $ 1,011,032 $ 1,008,622 Long - term debt Senior Notes (2) $ 6,976,834 $ 6,907,951 $ 6,721,238 $ 6,976,834 $ 6,903,318 $ 6,548,127 Finance lease liabilities 16,340 16,340 16,340 23,329 23,329 23,329 Total long - term debt $ 6,993,174 $ 6,924,291 $ 6,737,578 $ 7,000,163 $ 6,926,647 $ 6,571,456 _________________________________________________________________________________________ (1) Fair value is measured using the market approach and Level - 2 fair value inputs. (2) As of September 30, 2025, maturity dates range from 2026 to 2050. Debt activity. The following table presents the debt activity for the nine months ended September 30, 2025 : thousands Carrying Value Balance at December 31, 2024 $ 7,937,679 Repayment of 3.100 % Senior Notes due 2025 ( 663,831 ) Repayment of 3.950 % Senior Notes due 2025 ( 336,758 ) Finance lease liabilities ( 4,883 ) Other 5,146 Balance at September 30, 2025 $ 6,937,353 WES Operating Senior Notes. In January 2020, WES Operating issued the 4.050 % Senior Notes due 2030 and 5.250 % Senior Notes due 2050. Including the effects of the issuance prices, underwriting discounts, and interest - rate adjustments, the effective interest rates of the Senior Notes due 2030 and 2050, were 4.169 % and 5.363 %, respectively, at September 30, 2025 and 2024. The effective interest rate of these notes is subject to adjustment from time to time due to a change in credit rating. During the second quarter of 2025, WES Operating retired the total principal amount outstanding of the 3.950 % Senior Notes due 2025 at par value. During the first quarter of 2025, WES Operating retired the total principal amount outstanding of the 3.100 % Senior Notes due 2025 at par value. See Debt activity above. As of September 30, 2025, the 4.650 % Senior Notes due 2026 were classified as long-term debt on the consolidated balance sheet as WES Operating has the ability and intent to refinance these obligations using long-term debt. During the third quarter of 2024, WES Operating completed the public offering of $ 800.0 million in aggregate principal amount of 5.450 % Senior Notes due 2034. Net proceeds from the offering were used to repay a portion of the 3.100 % and 3.950 % Senior Notes due 2025, and for general partnership purposes, including the funding of capital expenditures. In addition, during 2024, WES Operating purchased and retired $ 150.0 million of certain of its senior notes via open-market repurchases with cash from operations. As of September 30, 2025, WES Operating was in compliance with all covenants under the relevant governing indentures. 27 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 9. DEBT Revolving credit facility. In April 2025, WES Operating exercised an option to extend the maturity date of the RCF from April 2029 to April 2030, for each extending lender. The non - extending lender’s commitments mature in April 2028 and represent $ 120.0 million out of $ 2.0 billion of total commitments, which are expandable to a maximum of $ 2.5 billion, from all lenders. As of September 30, 2025, there were no outstanding borrowings, resulting in $ 2.0 billion in effective borrowing capacity under the RCF. Any outstanding commercial paper borrowings (see below) reduce the effective borrowing capacity under the RCF as WES Operating maintains availability under the RCF as support for its commercial paper program. As of September 30, 2025 and 2024, the interest rate on any outstanding RCF borrowings was 5.43 % and 6.15 %, respectively. The facility - fee rate was 0.20 % at September 30, 2025 and 2024. As of September 30, 2025, WES Operating was in compliance with all covenants under the RCF. Commercial paper program. In November 2023, WES Operating entered into an unsecured commercial paper program under which it may issue (and have outstanding at any one time) an aggregate principal amount up to $ 2.0 billion. WES Operating intends to maintain a minimum aggregate available borrowing capacity under the RCF equal to the aggregate amount of outstanding commercial paper borrowings. The maturities of the notes may vary but may not exceed 397 days. As of September 30, 2025, there were no outstanding borrowings under the commercial paper program. 10. COMMITMENTS AND CONTINGENCIES Environmental obligations. The Partnership is subject to various environmental-remediation obligations arising from federal, state, and local regulations regarding air and water quality, hazardous and solid waste disposal, and other environmental matters. As of September 30, 2025, and December 31, 2024, the consolidated balance sheets included $ 2.2 million and $ 4.0 million, respectively, of liabilities for remediation and reclamation obligations. The current portion of these amounts is included in Accrued liabilities , and the long-term portion of these amounts is included in Other liabilities. The majority of payments related to these obligations are expected to be made over the next five years. See Note 8 . Litigation and legal proceedings. From time to time, the Partnership is involved in legal, tax, regulatory, and other proceedings in various forums regarding performance, contracts, and other matters that arise in the ordinary course of business. Management is not aware of any such proceeding for which the final disposition could have a material adverse effect on the Partnership’s financial condition, results of operations, or cash flows. Other commitments. The Partnership has payment obligations, or commitments, that include, among other things, a revolving credit facility, other third - party long - term debt, obligations related to the Partnership’s capital spending programs, pipeline and offload commitments, and various operating and finance leases. The payment obligations related to the Partnership’s capital spending programs, the majority of which is expected to be paid in the next 12 months, primarily relate to expansion, construction, and asset - integrity projects at the DBM water systems, West Texas complex, Powder River Basin complex, and DJ Basin complex. 28 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 11. REPORTABLE SEGMENT Segment overview. The Partnership’s chief operating decision maker (“CODM”) is the Partnership’s President and Chief Executive Officer who assesses performance and allocates resources on a consolidated basis due to the similar nature of services provided to customers across the Partnership’s domestic asset portfolio. The CODM does not assess performance and allocate resources separately for Western Midstream Operating, LP. Accordingly, the Partnership has a single operating and reportable segment, all the assets of which are in the United States and gather, compress, treat, process, and transport natural gas; gather, stabilize, and transport condensate, NGLs, and crude oil; and gather and dispose of produced water. Performance measures. Adjusted EBITDA attributable to Western Midstream Partners, LP (“Adjusted EBITDA”) is used as the performance measure by the Partnership’s CODM in assessing performance and allocating resources to the Partnership’s single operating and reportable segment. Net income (loss) is the most comparable GAAP metric to the performance metric of non-GAAP Adjusted EBITDA. The Partnership defines Adjusted EBITDA as net income (loss), plus (i) distributions from equity investments, (ii) non - cash equity - based compensation expense, (iii) interest expense, (iv) income tax expense, (v) depreciation and amortization, (vi) impairments, and (vii) other expense (including lower of cost or market inventory adjustments recorded in cost of product), less (i) gain (loss) on divestiture and other, net, (ii) gain (loss) on early extinguishment of debt, (iii) income from equity investments, (iv) income tax benefit, (v) other income, (vi) other items impacting comparability with the Partnership’s core operating performance, and (vii) the noncontrolling interest owners’ proportionate share of revenues and expenses. Adjusted EBITDA is a non-GAAP financial measure that the CODM utilizes to assess (i) the Partnership’s operating performance as compared to other publicly traded partnerships in the midstream industry, without regard to financing methods, capital structure, or historical cost basis, (ii) the ability of the Partnership’s assets to generate cash flow to make distributions, and (iii) the viability of acquisitions and capital expenditures and the returns on investment of various investment opportunities. The Partnership’s calculation of Adjusted EBITDA may or may not be comparable to similarly titled measures used by others. 29 Table of Contents WESTERN MIDSTREAM PARTNERS, LP AND WESTERN MIDSTREAM OPERATING, LP NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) 11. REPORTABLE SEGMENT Summarized financial information. The following table presents information about the Partnership’s single operating and reportable segment including (i) total revenues and other, (ii) significant expenses, and (iii) other segment items: Three Months Ended September 30, Nine Months Ended September 30, thousands 2025 2024 2025 2024 Revenues from external customers (1) $ 952,301 $ 883,107 $ 2,811,360 $ 2,675,763 Other revenues 183 255 562 957 Total revenues and other 952,484 883,362 2,811,922 2,676,720 Equity income, net – related parties 16,847 23,977 64,410 84,227 Less significant expenses: (2) Operation and maintenance 212,385 231,066 663,528 649,324 Cash general and administrative costs (3) 52,320 55,111 164,033 164,187 Less other segment items: Depreciation and amortization 170,323 166,015 512,896 487,438 Interest expense 92,353 94,149 284,816 279,177 Other (income) expense, net (4) ( 1,754 ) ( 9,565 ) ( 12,923 ) ( 16,124 ) Income tax expense (benefit) 2,089 15,390 7,763 17,667 Other (5) 92,743 59,281 240,033 ( 90,394 ) Net income (loss) $ 348,872 $ 295,892 $ 1,016,186 $ 1,269,672 _________________________________________________________________________________________ (1) Includes Service revenue - fee based, Service revenue - product based, and Product sales. (2) The significant expense categories and amounts align with the information that is regularly provided to the CODM. (3) General and administrative expense as presented in the consolidated statements of operations less non - cash equity - based compensation expense and non-cash amortization of cloud-computing arrangements. (4) Includes interest income earned on cash and cash equivalent balances. (5) Other includes: (i) Cost of product, (ii) Non-cash equity-based compensation expense, (iii) non-cash amortization of cloud-computing arrangements, (iv) Property and other taxes, (v) Long - lived asset and other impairments, (vi) Gain (loss) on divestiture and other, net, and (vii) Gain (loss) on early extinguishment of debt. The CODM uses consolidated total assets as the measure of the Partnership’s single reportable segment assets. As of September 30, 2025, and December 31, 2024, the consolidated balance sheets included $ 12.1 billion and $ 13.1 billion, respectively, of total assets, which includes $ 510.6 million and $ 541.4 million of assets related to equity investments as of September 30, 2025, and December 31, 2024, respectively. Capital expenditures for additions to long-lived assets were $ 505.8 million and $ 595.1 million for the nine months ended September 30, 2025 and 2024, respectively. 12. SUBSEQUENT EVENT Aris . On October 15, 2025, the Partnership closed on the acquisition of Aris by merger in an equity-and-cash transaction valued at $ 1.5 billion, plus Aris’s outstanding debt of approximately $ 500 million of senior notes. Based on Aris shareholder consideration elections, the Partnership issued approximately 26.6 million common units and paid $ 415.0 million in cash, funded with borrowings under the commercial paper program. Due to the timing of the closing of the transactions, the initial purchase price accounting was not yet completed at the time of filing. Aris’s water infrastructure assets, located in Lea and Eddy Counties, New Mexico and West Texas, include approximately 790 miles of produced-water pipeline, 1,800 MBbls/d of produced-water handling capacity, 1,400 MBbls/d of water recycling capacity, and 625,000 dedicated acres. 30 Table of Contents