What changed in this filing

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Item 2. Management’s Discussion and Analysis

2026-05-06 compared with 2025-11-04 · 192 added, 154 removed, 416 unchanged (45% of the section changed)

1 unchanged sentence

The following discussion analyzes our financial condition and results of operations and should be read in conjunction with the Consolidated Financial Statements and Notes to Consolidated Financial Statements, wherein WES Operating is fully consolidated, and which are included under Part I, Item 1 of this quarterly report, and the historical consolidated financial statements, and the notes thereto, which are included under Part II, Item 8 of the 2025 Form 10-K as filed with the SEC on February 18, 2026.

The Partnership’s assets include assets owned and ownership interests accounted for by us under the equity method of accounting, through our 98.0% partnership interest in WES Operating, as of September 30, 2025 (see Note 7—Equity Investments in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q ).

The Partnership’s assets include assets owned and ownership interests accounted for by us under the equity method of accounting, through our 98.1% partnership interest in WES Operating, as of March 31, 2026.

Amounts attributable to noncontrolling interests presented in this Item 2 consist of (i) the 25% third-party interest in Chipeta for all periods presented, and only for natural-gas assets for throughput attributable to WES, and (ii) the 1.9%, 1.9%, and 2.0% limited partner interest in WES Operating as of March 31, 2026, December 31, 2025, and March 31, 2025, respectively, owned by an Occidental subsidiary.

See Note 1—Description of Business and Basis of Presentation and Note 7—Equity Investments in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

We also own and control the entire non-economic general partner interest in WES Operating GP, and our general partner is owned by Occidental.

41 unchanged sentences

gathering, stabilizing, and transporting condensate, NGLs, and crude oil;

and gathering, transporting, recycling, treating, and disposing of produced water.

and gathering, transporting, recycling, treating, supplying, and disposing of produced water.

In our capacity as a natural - gas processor, we also buy and sell residue, NGLs, and condensate on behalf of ourselves and our customers under certain contracts.

1 unchanged sentence

We own or have investments in assets located in Texas, New Mexico, and the Rocky Mountains (Colorado, Utah, and Wyoming).

As of September 30, 2025, our assets and investments consisted of the following:

As of March 31, 2026, our assets and investments consisted of the following:

Operated Operated

Interests Non-Operated

Interests Equity

2 unchanged sentences

Processing plants/trains

Produced-water gathering, treating, recycling, and disposal systems 8 — — —

NGLs pipelines 2 — — 4

1 unchanged sentence

Crude - oil pipelines

_________________________________________________________________________________________

(1) Includes the DBM water systems.

Significant financial and operational events during the nine months ended September 30, 2025, included the following:

• WES Operating retired the total principal amount outstanding of the 3.100% Senior Notes due 2025 at par value during the first quarter of 2025 and the 3.950% Senior Notes due 2025 at par value during the second quarter of 2025.

• Our third-quarter 2025 per-unit distribution is unchanged from the second-quarter 2025 per-unit distribution of $0.910.

• Completed the start-up of the North Loving plant in late-February 2025, increasing gas processing capacity at the West Texas complex by 250 MMcf/d to a total of 2,190 MMcf/d.

Significant financial and operational events during the three months ended March 31, 2026, included the following:

• Our first-quarter 2026 per-unit distribution of $0.930 increased $0.02 from the fourth-quarter 2025 per-unit distribution of $0.910.

• Executed an amendment to one of our West Texas complex gas-gathering agreements to replace cost-of-service fees with fixed fees and add a new minimum-volume commitment through 2027, in exchange for the redemption of WES common units.

See Note 6—Related-Party Transactions in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

The following table provides additional information on throughput for the periods presented below:

Three Months Ended Nine Months Ended

September 30, 2025 June 30, 2025 Inc/

(Dec) September 30, 2025 September 30, 2024 Inc/

Three Months Ended

March 31, 2026 December 31, 2025 Inc/

(Dec) March 31, 2025 Inc/

Throughput for natural-gas assets (MMcf/d)

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Our business is primarily driven by the level of production of crude oil and natural gas by producers in our areas of operation.

This activity, however, can be impacted negatively by, among other things, commodity-price fluctuations and operational challenges.

Fluctuating crude - oil, natural - gas, and NGLs prices can reduce the level of our customers’ activities and change the allocation of capital within their own asset portfolios.

This activity, however, can be impacted by, among other things, commodity-price fluctuations and operational challenges.

Fluctuating crude - oil, natural - gas, and NGLs prices can impact the level of our customers’ activities and change the allocation of capital within their own asset portfolios.

Such fluctuations can also impact us directly to the extent we take ownership of and sell certain volumes at the tailgate of our plants for our own account.

The New York Mercantile Exchange West Texas Intermediate crude - oil daily settlement prices during 2024, ranged from a low of $65.75 per barrel in September 2024 to a high of $86.91 per barrel in April 2024, and prices during the nine months ended September 30, 2025, ranged from a low of $57.13 per barrel in May 2025 to a high of $80.04 per barrel in January 2025.

The Waha Hub natural-gas prices during 2024, ranged from a low of ($6.23) per MMBtu in August 2024 to a high of $8.27 per MMBtu in January 2024, and prices during the nine months ended September 30, 2025, ranged from a low of ($2.77) per MMBtu in September 2025 to a high of $7.50 per MMBtu in January 2025.

The New York Mercantile Exchange West Texas Intermediate crude - oil daily settlement prices during the three months ended March 31, 2026, ranged from a low of $55.99 per barrel in January 2026 to a high of $102.88 per barrel in March 2026, and prices during 2025 ranged from a low of $55.27 per barrel in December 2025 to a high of $80.04 per barrel in January 2025.

The Waha Hub natural-gas prices during the three months ended March 31, 2026, ranged from a low of ($7.79) per MMBtu in March 2026 to a high of $14.47 per MMBtu in January 2026, and prices during 2025 ranged from a low of ($8.82) per MMBtu in October 2025 to a high of $7.50 per MMBtu in January 2025.

The extent and duration of commodity - price volatility, and the associated direct and indirect impact on our business, cannot be predicted.

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ACQUISITIONS AND DIVESTITURES

During the second quarter of 2024, we closed on the sale of our 33.75% interest in the Marcellus Interest systems.

During the first quarter of 2024, we closed on the sale of the following equity investments to third parties:

(i) the 25.00% interest in Mont Belvieu JV, (ii) the 20.00% interest in Whitethorn LLC, (iii) the 15.00% interest in Panola, and (iv) the 20.00% interest in Saddlehorn.

See Note 3—Acquisitions and Divestitures under Part I, Item 1 of this Form 10-Q.

During the fourth quarter of 2025, we closed on the acquisition of Aris by merger in a transaction valued at $2.0 billion.

See Note 3—Acquisitions and Divestitures, Note 5—Equity and Partners’ Capital, and Note 9—Debt in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

RESULTS OF OPERATIONS

1 unchanged sentence

The following tables and discussion present a summary of our results of operations:

Three Months Ended Nine Months Ended

thousands September 30, 2025 June 30, 2025 September 30, 2025 September 30, 2024

Three Months Ended

thousands March 31, 2026 December 31, 2025 March 31, 2025

Total revenues and other (1)

6 unchanged sentences

Interest expense (113,390) (105,674) (97,293)

Gain (loss) on early extinguishment of debt — — — 5,403

Other income (expense), net 6,730 3,706 7,477

6 unchanged sentences

_________________________________________________________________________________________

(1) Total revenues and other includes amounts earned from services provided to related parties and from the sale of natural gas, condensate, and NGLs to related parties.

(1) Total revenues and other includes amounts earned from services provided to related parties and from the sale of natural gas, condensate, NGLs, and water solutions volumes to related parties.

Total operating expenses includes amounts charged by related parties for services received.

1 unchanged sentence

(2) For reconciliations to comparable consolidated results of WES Operating, see Items Affecting the Comparability of Financial Results with WES Operating within this Item 2.

For purposes of the following discussion, any increases or decreases “for the three months ended September 30, 2025” refer to the comparison of the three months ended September 30, 2025, to the three months ended June 30, 2025;

and any increases or decreases “for the nine months ended September 30, 2025” refer to the comparison of the nine months ended September 30, 2025, to the nine months ended September 30, 2024.

Three Months Ended Nine Months Ended

September 30, 2025 June 30, 2025 Inc/(Dec) September 30, 2025 September 30, 2024 Inc/(Dec)

For purposes of the following discussion, any increases or decreases refer to the comparison of the three months ended March 31, 2026, to the three months ended December 31, 2025, or to the three months ended March 31, 2025, as applicable.

Three Months Ended

March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

Throughput for natural-gas assets (MMcf/d)

5 unchanged sentences

Throughput attributable to noncontrolling interests 184 181 2 % 181 2 %

191 182 5 % 184 172 7 %

Total throughput attributable to WES for natural - gas assets

6 unchanged sentences

Throughput attributable to noncontrolling interests 10 10 — % 11 (9) %

10 11 (9) % 10 11 (9) %

Total throughput attributable to WES for crude - oil and NGLs assets

1 unchanged sentence

Throughput for produced-water assets (MBbls/d)

Gathering and disposal 1,242 1,242 — % 1,225 1,124 9 %

Gathering, disposal, and water solutions 2,848 2,744 4 % 1,190 139 %

Throughput attributable to noncontrolling interests 53 51 4 % 24 121 %

25 25 — % 24 22 9 %

Total throughput attributable to WES for produced - water assets (2)

2 unchanged sentences

(1) Represents our share of average throughput for investments accounted for under the equity method of accounting.

(2) Includes (i) the 2.0% limited partner interest in WES Operating owned by an Occidental subsidiary and (ii) for natural - gas assets, the 25% third - party interest in Chipeta, which collectively represent WES’s noncontrolling interests.

(2) Water solutions volumes include groundwater and gathered produced water that is treated and recycled.

Natural-gas assets

Total throughput attributable to WES for natural - gas assets increased by 107 MMcf/d for the three months ended September 30, 2025, primarily due to (i) higher volumes at the Brasada complex and Springfield gas-gathering system due to downtime during the second quarter of 2025, (ii) higher volumes at the DJ Basin and Chipeta complexes due to increased production in the areas, (iii) higher volumes at the MIGC system due to certain temporary customer constraints during the second quarter of 2025, and (iv) higher volumes on the Red Bluff Express pipeline.

These increases were offset partially by (i) a decrease in previously onloaded volumes at the Powder River Basin complex and (ii) lower volumes at the Mi Vida plant.

Total throughput attributable to WES for natural - gas assets increased by 243 MMcf/d for the nine months ended September 30, 2025, primarily due to (i) higher volumes at the West Texas, DJ Basin, and Chipeta complexes due to increased production in the areas, and (ii) higher volumes on the Red Bluff Express pipeline due to the addition of a new receipt point into the pipeline beginning in November 2024.

These increases were offset partially by (i) lower volumes at the Marcellus Interest systems due to the sale of the asset during the second quarter of 2024 and (ii) lower volumes at the Springfield gas-gathering system due to decreased production in the area and downtime during the second quarter of 2025.

Total throughput attributable to WES for natural - gas assets increased by 47 MMcf/d compared to the three months ended December 31, 2025, primarily due to higher throughput at the West Texas complex due to increased production in the area.

Total throughput attributable to WES for natural - gas assets increased by 99 MMcf/d compared to the three months ended March 31, 2025, primarily due to (i) higher throughput at the DJ Basin, West Texas, and Chipeta complexes due to increased production in the areas, and (ii) higher throughput on the Red Bluff Express pipeline due to the addition of a new receipt point into the pipeline beginning in the fourth quarter of 2025.

These increases were offset partially by (i) lower throughput at the Powder River Basin complex due to decreased production in the area and (ii) lower throughput at the Mi Vida plant.

Crude-oil and NGLs assets

Total throughput attributable to WES for crude - oil and NGLs assets decreased by 22 MBbls/d for the three months ended September 30, 2025, primarily due to lower volumes at the DBM oil system due to decreased production in the area.

Total throughput attributable to WES for crude - oil and NGLs assets decreased by 14 MBbls/d for the nine months ended September 30, 2025, primarily due to (i) the divestiture of Whitethorn LLC and Saddlehorn in the first quarter of 2024 and (ii) lower volumes on the TEP pipeline.

These decreases were offset partially by higher volumes at the DBM oil system due to increased production in the area.

Total throughput attributable to WES for crude - oil and NGLs assets increased by 13 MBbls/d compared to the three months ended December 31, 2025, primarily due to (i) higher throughput at the DBM oil system due to increased production in the area and (ii) higher throughput on the FRP pipeline.

Total throughput attributable to WES for crude - oil and NGLs assets increased by 18 MBbls/d compared to the three months ended March 31, 2025, primarily due to higher throughput at the DBM oil system due to increased production in the area.

Produced-water assets

Total throughput attributable to WES for produced - water assets increased by 99 MBbls/d for the nine months ended September 30, 2025, due to higher production.

Three Months Ended Nine Months Ended

Total throughput attributable to WES for produced - water assets increased by 102 MBbls/d and 1,629 MBbls/d compared to the three months ended December 31, 2025, and March 31, 2025, respectively, due to higher throughput at the DBM water systems, including the acquisition of Aris.

Three Months Ended

thousands except percentages and per-unit amounts

September 30, 2025 June 30, 2025 Inc/(Dec) September 30, 2025 September 30, 2024 Inc/(Dec)

March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

Service revenues – fee based $ 933,302 $ 910,183 3 % $ 823,197 13 %

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Per - unit gross average sales price:

Natural gas (per Mcf) $ 0.67 $ 1.06 (37) % $ 1.26 $ 0.36 NM

Natural gas (per Mcf) $ (0.20) $ (0.19) 5 % $ 2.06 (110) %

NGLs (per Bbl) 23.19 20.84 11 % 29.75 (22) %

_________________________________________________________________________________________

NM — Not meaningful

Skim-oil (per Bbl) 66.93 54.41 23 % 69.96 (4) %

Service revenues – fee based

Service revenues – fee based increased by $16.8 million for the three months ended September 30, 2025, primarily due to an increase of $8.9 million at the DJ Basin complex due to increased throughput.

Service revenues – fee based increased by $153.5 million for the nine months ended September 30, 2025, primarily due to increases of (i) $94.8 million at the West Texas complex, $12.3 million at the DJ Basin complex, $10.7 million at the Powder River Basin complex, and $7.4 million at the Chipeta complex, all primarily due to increased throughput, (ii) $26.4 million at the DBM oil system due to increased throughput and deficiency fees on certain contracts with increasing throughput minimums, and (iii) $16.7 million at the DBM water systems due to increased throughput, partially offset by a change in contract terms effective January 1, 2025.

These increases were offset partially by decreases of (i) $11.0 million at the Marcellus Interest systems due to the sale of the asset during the second quarter of 2024 and (ii) $8.4 million at the Springfield systems primarily due to decreased throughput.

Service revenues – fee based increased by $23.1 million compared to the three months ended December 31, 2025, primarily due to increases of (i) $26.7 million at the Springfield systems and DJ Basin oil system primarily due to annual cumulative catch-up adjustments for cost-of-service changes that decreased revenue during the fourth quarter of 2025 and (ii) $5.5 million at the DBM water systems due to the acquisition of Aris and increased throughput.

These increases were offset partially by a decrease of $7.1 million at the DJ Basin complex due to decreased throughput.

Service revenues – fee based increased by $110.1 million compared to the three months ended March 31, 2025, primarily due to increases of (i) $103.6 million at the DBM water systems due to the acquisition of Aris and increased throughput, partially offset by lower average fees, and (ii) $5.4 million at the DBM oil system due to increased throughput and deficiency fees on certain contracts with increasing throughput minimums.

Other revenues from customers

Other revenues from customers decreased by $6.7 million for the three months ended September 30, 2025, primarily due to a decrease of $12.8 million at the West Texas complex due to decreased product recoveries and average prices, partially offset by an increase of $2.9 million at the DJ Basin complex due to increased volumes sold.

Other revenues from customers decreased by $17.9 million for the nine months ended September 30, 2025, primarily due to (i) $31.1 million and $5.4 million at the DJ Basin and Granger complexes, respectively, due to decreased volumes sold and average prices and (ii) $7.0 million at the Chipeta complex due to contract changes effective during the third quarter of 2024.

These decreases were offset partially by an increase of $24.9 million at the West Texas complex due to increased average prices and volumes sold.

Other revenues from customers increased by $68.3 million compared to the three months ended December 31, 2025, primarily due to increases of (i) $37.8 million at the West Texas complex due to increased net volumes sold and net average prices and (ii) $26.9 million at the DBM water systems due to the acquisition of Aris, including increased skim-oil volumes and average prices.

Other revenues from customers increased by $94.7 million compared to the three months ended March 31, 2025, primarily due to increases of (i) $49.2 million at the DBM water systems due to the acquisition of Aris, including increased skim-oil volumes, and (ii) $47.1 million at the West Texas complex due to increased net volumes sold and as a result of changes in contract mix.

Equity Income, Net – Related Parties

Three Months Ended Nine Months Ended

thousands except percentages September 30, 2025 June 30, 2025 Inc/(Dec) September 30, 2025 September 30, 2024 Inc/(Dec)

Three Months Ended

thousands except percentages March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

Equity income, net – related parties $ 14,776 $ 21,378 (31) % $ 20,435 (28) %

Equity income, net – related parties decreased by $10.3 million for the three months ended September 30, 2025, primarily due to a decrease of $4.1 million at Mi Vida.

Equity income, net – related parties decreased by $19.8 million for the nine months ended September 30, 2025, primarily due to decreases of $6.0 million at TEP and $5.5 million resulting from the sale of several equity investments to third parties in the first quarter of 2024.

See Note 3—Acquisitions and Divestitures in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q .

Equity income, net – related parties decreased by $6.6 million compared to the three months ended December 31, 2025, primarily due to decreases of $3.9 million and $3.2 million at FRP and TEP, respectively.

Equity income, net – related parties decreased by $5.7 million compared to the three months ended March 31, 2025, primarily due to a decrease of $4.5 million at Mi Vida.

Cost of Product and Operation and Maintenance Expenses

Three Months Ended Nine Months Ended

thousands except percentages September 30, 2025 June 30, 2025 Inc/(Dec) September 30, 2025 September 30, 2024 Inc/(Dec)

Three Months Ended

thousands except percentages March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

Natural-gas purchases

$ 7,210 $ 5,180 39 % $ 26,407 $ 5,594 NM

$ 7,957 $ 7,534 6 % $ 14,017 (43) %

NGLs purchases 96,146 65,544 47 % 60,418 59 %

4 unchanged sentences

Natural-gas purchases

Natural-gas purchases increased by $20.8 million for the nine months ended September 30, 2025, primarily due to higher average prices at the West Texas complex.

Natural-gas purchases decreased by $6.1 million compared to the three months ended March 31, 2025, primarily due to lower average prices at the West Texas complex.

NGLs purchases

NGLs purchases decreased by $12.5 million for the three months ended September 30, 2025, primarily due to a decrease of $11.7 million at the West Texas complex due to decreased product recoveries.

NGLs purchases decreased by $20.0 million for the nine months ended September 30, 2025, primarily due to decreases of (i) $13.6 million at the DJ Basin complex due to lower purchased volumes and average prices, and (ii) $5.9 million at the Chipeta complex due to contract changes effective during the third quarter of 2024.

Other items increased by $18.9 million for the three months ended September 30, 2025, primarily due to changes in imbalance positions at the West Texas and Chipeta complexes.

NGLs purchases increased by $30.6 million compared to the three months ended December 31, 2025, primarily due to increases of (i) $13.3 million at the DBM water systems due to the acquisition of Aris, including increased skim-oil volumes and higher average prices, and (ii) $10.7 million and $4.9 million at the West Texas and DJ Basin complexes, respectively, due to higher purchased volumes and increased average prices.

NGLs purchases increased by $35.7 million compared to the three months ended March 31, 2025, primarily due to increases of (i) $24.5 million at the DBM water systems due to the acquisition of Aris, including increased skim-oil volumes, and (ii) $8.8 million at the West Texas complex due to higher purchased volumes.

Other items increased by $31.7 million compared to the three months ended March 31, 2025, primarily due to changes in imbalance positions at the West Texas and DJ Basin complexes.

Operation and maintenance expense

Operation and maintenance expense decreased by $12.2 million for the three months ended September 30, 2025, primarily due to decreases of (i) $7.2 million in equipment and maintenance costs and (ii) $5.6 million in chemicals and treating services.

Operation and maintenance expense increased by $14.2 million for the nine months ended September 30, 2025, primarily due to increases of (i) $15.5 million in utility expense, (ii) $5.9 million in land-related costs, (iii) $5.7 million in salaries and wages costs, and (iv) $5.5 million in equipment and maintenance costs.

These increases were offset partially by decreases of (i) $7.2 million in contract labor and consulting costs and (ii) $5.7 million in chemicals and treating services.

Operation and maintenance expense increased by $11.9 million compared to the three months ended December 31, 2025, primarily due to increases of (i) $5.6 million in salaries and wages costs, (ii) $2.6 million in utility expense, and (iii) $2.4 million in land-related costs.

Operation and maintenance expense increased by $37.7 million compared to the three months ended March 31, 2025, primarily due to an increase of $54.6 million related to the acquisition of Aris, partially offset by $15.4 million in equipment maintenance and repair costs.

Other Operating Expenses

Three Months Ended Nine Months Ended

thousands except percentages September 30, 2025 June 30, 2025 Inc/(Dec) September 30, 2025 September 30, 2024 Inc/(Dec)

Three Months Ended

thousands except percentages March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

General and administrative $ 75,150 $ 201,871 (63) % $ 66,786 13 %

3 unchanged sentences

Total other operating expenses $ 295,670 $ 420,248 (30) % $ 255,075 16 %

_________________________________________________________________________________________

NM — Not meaningful

General and administrative expenses

General and administrative expenses decreased by $126.7 million compared to the three months ended December 31, 2025, primarily due to $120.5 million in acquisition-related expenses associated with the Aris transaction in the fourth quarter of 2025, including $104.6 million in severance payments and $15.9 million in professional services for financial advisory, legal, and other professional fees.

General and administrative expenses increased by $8.4 million compared to the three months ended March 31, 2025, primarily due to increases of (i) $4.3 million in salaries and wages costs and (ii) $3.5 million in corporate-related costs.

Depreciation and amortization expense

Depreciation and amortization expense increased by $25.5 million for the nine months ended September 30, 2025, primarily due to capital projects being placed into service at the West Texas complex.

Property and other taxes

Property and other taxes increased by $7.4 million for the nine months ended September 30, 2025, primarily due to a higher ad valorem property tax accrual at the DJ Basin complex and DJ Basin oil system.

Long-lived asset and other impairment expense

Long - lived asset and other impairment expense increased by $10.9 million and $6.0 million for the three and nine months ended September 30, 2025, respectively, primarily due to a $9.9 million impairment at the Granger complex.

Depreciation and amortization expense increased by $30.0 million compared to the three months ended March 31, 2025, primarily due to $26.3 million related to the acquisition of Aris.

Interest Expense

Three Months Ended Nine Months Ended

thousands except percentages September 30, 2025 June 30, 2025 Inc/(Dec) September 30, 2025 September 30, 2024 Inc/(Dec)

Three Months Ended

thousands except percentages March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

Long-term and short-term debt $ (115,532) $ (106,845) 8 % $ (96,060) 20 %

3 unchanged sentences

Interest expense $ (113,390) $ (105,674) 7 % $ (97,293) 17 %

Interest expense increased by $5.6 million for the nine months ended September 30, 2025, primarily due to increases of (i) $28.2 million of interest incurred on the 5.450% Senior Notes due 2034 that were issued during the third quarter of 2024 and (ii) $4.4 million due to lower capitalized interest.

These increases were offset partially by decreases of (i) $19.3 million due to senior note repayments during 2025 and (ii) $5.4 million due to lower outstanding borrowings on the commercial paper program during 2025.

Interest expense increased by $7.7 million compared to the three months ended December 31, 2025, primarily due to an increase of $11.1 million of interest incurred on the 4.800% Senior Notes due in 2031 and 5.500% Senior Notes due in 2035 that were issued during the fourth quarter of 2025, partially offset by a decrease of $3.5 million due to no borrowings on the commercial paper program during the first quarter of 2026.

Interest expense increased by $16.1 million compared to the three months ended March 31, 2025, primarily due to increases of (i) $15.9 million of interest incurred on the 4.800% Senior Notes due in 2031 and 5.500% Senior Notes due in 2035 that were issued during the fourth quarter of 2025 and (ii) $7.6 million of interest incurred on the 7.250% Senior Notes due in 2030 that were assumed as part of the acquisition of Aris during the fourth quarter of 2025.

These increases were offset partially by a decrease of $3.6 million due to the repayment of the 3.950% Senior Notes during the second quarter of 2025.

See Liquidity and Capital Resources—Debt and credit facilities within this Item 2.

Income Tax Expense (Benefit)

Three Months Ended

thousands except percentages March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

Income (loss) before income taxes $ 362,533 $ 203,592 78 % $ 319,987 13 %

Income tax expense (benefit) 3,501 7,323 (52) % 3,435 2 %

Effective tax rate 1 % 4 % (75) % 1 % — %

We are not a taxable entity for U.S.

2 unchanged sentences

However, income apportionable to Texas is subject to Texas margin tax.

Income tax expense decreased by $9.9 million for the nine months ended September 30, 2025, primarily due to a revaluation increasing the deferred tax liability balance in 2024 resulting from a state margin rate increase associated with no longer being included in Occidental’s affiliated group tax return beginning in September 2024 following Occidental’s sale of 19.5 million WES common units in August 2024 and the resulting decrease in WES ownership, inclusive of its ownership in WES Operating.

Income tax expense decreased by $3.8 million compared to the three months ended December 31, 2025, primarily due to changes in provisions for Texas margin tax liabilities.

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

11 unchanged sentences

• the viability of acquisitions and capital expenditures and the returns on investment of various investment opportunities.

Distributable Cash Flow.

We define Distributable Cash Flow (“DCF”) as Adjusted EBITDA, less total revenues and other recognized in Adjusted EBITDA in excess of (less than) customer billings;

net cash paid for (i) interest expense (net of interest income recorded in other income (expense) and non-cash capitalized interest), (ii) maintenance capital expenditures, (iii) income taxes;

and Distributable Cash Flow attributable to noncontrolling interests to the extent such amounts are not excluded from Adjusted EBITDA.

Free Cash Flow.

3 unchanged sentences

Instead, Free Cash Flow represents the amount of cash that is available in aggregate for distributions, debt repayments, and other general partnership purposes.

Adjusted Gross Margin, Adjusted EBITDA, and Free Cash Flow are not defined in GAAP.

Adjusted Gross Margin, Adjusted EBITDA, Distributable Cash Flow, and Free Cash Flow are not defined in GAAP.

The GAAP measure that is most directly comparable to Adjusted Gross Margin is gross margin.

Net income (loss) and net cash provided by operating activities are the GAAP measures that are most directly comparable to Adjusted EBITDA.

The GAAP measure that is most directly comparable to Distributable Cash Flow is net income (loss).

The GAAP measure that is most directly comparable to Free Cash Flow is net cash provided by operating activities.

2 unchanged sentences

We believe that investors benefit from having access to the same financial measures that our management considers in evaluating our operating results.

The following tables present reconciliations of the GAAP measure to our non-GAAP measures:

Three Months Ended Nine Months Ended

thousands September 30, 2025 June 30, 2025 September 30, 2025 September 30, 2024

The following tables present reconciliations of the GAAP measures to our non-GAAP measures:

Three Months Ended

thousands March 31, 2026 December 31, 2025 March 31, 2025

Reconciliation of Gross margin to Adjusted Gross Margin

7 unchanged sentences

Adjusted Gross Margin attributable to noncontrolling interests 22,204 20,719 20,181

21,342 21,439 62,962 59,967

Adjusted Gross Margin

$ 990,655 $ 934,803 $ 860,783

_________________________________________________________________________________________

(1) Includes (i) the 25% third - party interest in Chipeta and (ii) the 2.0% limited partner interest in WES Operating owned by an Occidental subsidiary, which collectively represent WES’s noncontrolling interests.

To facilitate investor and industry analysis, we also disclose per-Mcf Adjusted Gross Margin for natural-gas assets, per-Bbl Adjusted Gross Margin for crude-oil and NGLs assets, and per-Bbl Adjusted Gross Margin for produced-water assets .

Three Months Ended Nine Months Ended

thousands except per-unit amounts September 30, 2025 June 30, 2025 September 30, 2025 September 30, 2024

Three Months Ended

thousands except per-unit amounts March 31, 2026 December 31, 2025 March 31, 2025

Gross margin for natural - gas assets (1)

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Calculated as Gross margin for natural - gas assets, crude - oil and NGLs assets, or produced - water assets, divided by the respective total throughput (MMcf or MBbls) for natural - gas assets, crude - oil and NGLs assets, or produced - water assets.

(3) Excludes certain corporate-level items.

(4) Average for period.

Calculated as Adjusted Gross Margin for natural - gas assets, crude - oil and NGLs assets, or produced - water assets, divided by the respective total throughput (MMcf or MBbls) attributable to WES for natural - gas assets, crude - oil and NGLs assets, or produced - water assets.

Three Months Ended Nine Months Ended

thousands September 30, 2025 June 30, 2025 September 30, 2025 September 30, 2024

Three Months Ended

thousands March 31, 2026 December 31, 2025 March 31, 2025

Reconciliation of Net income (loss) to Adjusted EBITDA

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Non-cash equity-based compensation expense (1)

10,854 21,386 8,248

Interest expense 113,390 105,674 97,293

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Gain (loss) on divestiture and other, net (6,367) (3,065) (4,667)

Gain (loss) on early extinguishment of debt — — — 5,403

Equity income, net – related parties 14,776 21,378 20,435

Other income 6,734 3,706 7,477

Adjusted EBITDA attributable to noncontrolling interests (1)

Items impacting comparability

Acquisition-related expenses and other, net (1)

(119) (113,188) —

Adjusted EBITDA attributable to noncontrolling interests 15,302 13,794 13,708

Adjusted EBITDA $ 683,137 $ 635,582 $ 593,572

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Net cash provided by operating activities $ 469,903 $ 557,645 $ 530,793

Interest (income) expense, net 92,353 95,170 284,816 279,177

Interest expense 113,390 105,674 97,293

Accretion and amortization of long-term obligations, net (882) (815) (2,202)

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Other items, net 31,328 (64,250) (41,906)

Adjusted EBITDA attributable to noncontrolling interests (1)

Acquisition-related expenses and other, net (1)

119 113,188 —

Adjusted EBITDA attributable to noncontrolling interests (15,302) (13,794) (13,708)

Adjusted EBITDA (2)

$ 683,137 $ 635,582 $ 593,572

Cash flow information

Net cash provided by operating activities $ 469,903 $ 557,645 $ 530,793

Net cash (used in) provided by investing activities (161,528) (173,974) (476,292) 191,153

Net cash used in financing activities (361,126) (708,718) (2,101,864) (921,617)

Net cash used in investing activities (234,877) (608,914) (140,790)

Net cash provided by (used in) financing activities (407,022) 693,472 (1,032,020)

_________________________________________________________________________________________

Three Months Ended Nine Months Ended

thousands September 30, 2025 June 30, 2025 September 30, 2025 September 30, 2024

(1) Non-cash equity-based compensation expense for the three months ended December 31, 2025, includes $7.3 million in acquisition-related severance costs.

Acquisition-related expenses for the three months ended March 31, 2026, were $0.5 million.

Acquisition-related expenses for the three months ended December 31, 2025, include (i) severance costs of $97.3 million and (ii) third-party consulting and legal fees of $15.9 million.

(2) Includes non-cash revenue of $55.1 million, $39.7 million, and $5.9 million for three months ended March 31, 2026, December 31, 2025, and March 31, 2025, respectively.

See Note 2—Revenue from Contracts with Customers in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

Three Months Ended

thousands March 31, 2026 December 31, 2025 March 31, 2025

Reconciliation of Net income (loss) to Distributable Cash Flow

Net income (loss) $ 359,032 $ 196,269 $ 316,552

Distributions from equity investments 25,652 27,147 34,344

Non-cash equity-based compensation expense 10,854 21,386 8,248

Income tax expense 3,501 7,323 3,435

Depreciation and amortization 200,426 197,882 170,460

Long-lived asset and other impairments 608 2,509 3

Other expense — 17 190

Recognized service revenues - fee based in excess of (less than) customer billings 35,508 (31,627) (30,101)

Gain (loss) on divestiture and other, net (6,367) (3,065) (4,667)

Equity income, net - related parties 14,776 21,378 20,435

Items impacting comparability (119) (113,188) —

Cash paid for maintenance capital expenditures 27,704 36,276 19,178

Capitalized interest 4,306 3,518 2,551

Cash paid for (reimbursement of) income taxes 3,449 806 —

Other income (net of interest income) (86) 87 (6)

Distributable Cash Flow attributable to noncontrolling interests 11,978 11,715 12,085

Distributable Cash Flow $ 508,924 $ 526,633 $ 513,757

Reconciliation of Adjusted EBITDA to Distributable Cash Flow

Adjusted EBITDA $ 683,137 $ 635,582 $ 593,572

Recognized service revenues - fee based in excess of (less than) customer billings 35,508 (31,627) (30,101)

Capitalized interest 4,306 3,518 2,551

Cash paid for maintenance capital expenditures 27,704 36,276 19,178

Cash paid for (reimbursement of) income taxes 3,449 806 —

Interest expense (net of interest income) 106,570 102,055 89,811

Distributable Cash Flow attributable to noncontrolling interests (3,324) (2,079) (1,624)

Distributable Cash Flow $ 508,924 $ 526,633 $ 513,757

Three Months Ended

thousands March 31, 2026 December 31, 2025 March 31, 2025

Reconciliation of Net cash provided by operating activities to Free Cash Flow

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Capital expenditures 235,726 222,208 142,402

Contributions to equity investments (including capitalized interest) 1,768 — —

Distributions from equity investments in excess of cumulative earnings — related parties 9,889 5,391 11,007

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Net cash provided by operating activities $ 469,903 $ 557,645 $ 530,793

Net cash (used in) provided by investing activities (161,528) (173,974) (476,292) 191,153

Net cash used in financing activities (361,126) (708,718) (2,101,864) (921,617)

Net cash used in investing activities (234,877) (608,914) (140,790)

Net cash provided by (used in) financing activities (407,022) 693,472 (1,032,020)

Gross margin.

Refer to Operating Results within this Item 2 for a discussion of the components of gross margin as compared to the prior periods, including Revenue s, Cost of Product (Natural-gas purchases, NGLs purchases, and Other items), and Other Operating Expenses (Depreciation and amortization expense).

Gross margin increased by $107.3 million for the nine months ended September 30, 2025, primarily due to a $135.2 million increase in total revenues and other, partially offset by a $25.5 million increase in depreciation and amortization.

Gross margin increased by $58.3 million compared to the three months ended December 31, 2025, due to a $92.1 million increase in total revenues and other, partially offset by a $31.3 million increase in cost of product.

Gross margin increased by $115.1 million compared to the three months ended March 31, 2025, due to a $206.5 million increase in total revenues and other.

This increase was offset partially by increases of (i) $61.4 million in cost of product and (ii) $30.0 million in depreciation and amortization.

Net income (loss).

Refer to Operating Results within this Item 2 for a discussion of the primary components of net income (loss) as compared to the prior periods.

Net income (loss) decreased by $253.5 million for the nine months ended September 30, 2025, primarily due to (i) a $307.5 million decrease in gain (loss) on divestiture and other, net and (ii) a $57.1 million increase in total operating expenses.

These amounts were offset partially by a $135.2 million increase in total revenues and other.

Net income (loss) increased by $162.8 million compared to the three months ended December 31, 2025, primarily due to (i) a $92.1 million increase in total revenues and other and (ii) an $81.4 million decrease in total operating expenses.

Net income (loss) increased by $42.5 million compared to the three months ended March 31, 2025, primarily due to a $206.5 million increase in total revenues and other, partially offset by a $139.7 million increase in total operating expenses.

Net cash provided by operating activities.

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KEY PERFORMANCE METRICS

Three Months Ended Nine Months Ended

thousands except percentages and per-unit amounts September 30, 2025 June 30, 2025 Inc/(Dec) September 30, 2025 September 30, 2024 Inc/(Dec)

Three Months Ended

thousands except percentages and per-unit amounts March 31, 2026 December 31, 2025 Inc/(Dec) March 31, 2025 Inc/(Dec)

Adjusted Gross Margin

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Adjusted EBITDA 683,137 635,582 7 % 593,572 15 %

Distributable Cash Flow 508,924 526,633 (3) % 513,757 (1) %

Free Cash Flow

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Adjusted Gross Margin.

Adjusted Gross Margin decreased by $4.2 million for the three months ended September 30, 2025, primarily due to (i) decreased product recoveries and average prices at the West Texas complex and (ii) decreased throughput at the Powder River Basin complex.

These decreases were offset partially by increased throughput at the DJ Basin complex.

Adjusted Gross Margin increased by $106.4 million for the nine months ended September 30, 2025, primarily due to (i) increased throughput at the West Texas and Powder River Basin complexes, (ii) increased throughput and deficiency fees on certain contracts with increasing throughput minimums at the DBM oil system, and (iii) increased throughput at the DBM water systems, partially offset by a change in contract terms effective January 1, 2025.

These increases were offset partially by (i) the sale of our interests in the Marcellus Interest systems, Saddlehorn, and Mont Belvieu JV during 2024, and (ii) decreased throughput at the Springfield gas-gathering system and Granger complex.

Per - Mcf Adjusted Gross Margin for natural - gas assets decreased by $0.05 for the three months ended September 30, 2025, primarily due to decreased product recoveries and average prices at the West Texas complex.

This decrease was offset partially by higher throughput at the DJ Basin complex, which has a higher-than-average per-Mcf margin as compared to our other natural-gas assets.

Per - Bbl Adjusted Gross Margin for crude - oil and NGLs assets increased by $0.08 for the three months ended September 30, 2025, primarily due to increased deficiency fees on certain contracts with increasing throughput minimums at the DBM oil system.

Per - Bbl Adjusted gross margin for crude - oil and NGLs assets increased by $0.17 for the nine months ended September 30, 2025, primarily due to (i) increased throughput at the DBM oil system, which has a higher-than-average per-Bbl margin as compared to our other crude-oil and NGLs assets, (ii) lower throughput at TEP and FRP, which have a lower-than-average per-Bbl margin as compared to our other crude oil and NGLs assets, and (iii) the sale of our interest in Whitethorn LLC which had a lower-than-average per-Bbl margins as compared to our other crude oil and NGLs assets.

These increases were offset partially by decreased revenues associated with demand volumes, partially offset by increased throughput and higher average fees resulting from cost-of-service rate redeterminations effective January 1, 2025, at the DJ Basin oil system.

Per - Bbl Adjusted Gross Margin for produced - water assets decreased by $0.02 for the nine months ended September 30, 2025, primarily due to a change in contract terms effective January 1, 2025.

Adjusted Gross Margin increased by $55.9 million compared to the three months ended December 31, 2025, primarily due to (i) increased volumes at the DBM water systems, including the acquisition of Aris, and increased average prices, (ii) annual cumulative catch-up adjustments for cost-of-service changes that decreased revenue during the fourth quarter of 2025 at the DJ Basin oil and Springfield systems, and (iii) increased net volumes sold and net average prices at the West Texas complex.

Adjusted Gross Margin increased by $129.9 million compared to the three months ended March 31, 2025, primarily due to increased throughput at the DBM water systems, including the acquisition of Aris.

Per - Mcf Adjusted Gross Margin for natural - gas assets increased by $0.06 compared to the three months ended December 31, 2025, primarily due to (i) increased net volumes sold and net average prices at the West Texas complex and (ii) decreased revenues in the fourth quarter of 2025 associated with the annual cumulative catch-up adjustment for cost-of-service changes at the Springfield gas-gathering system.

Per - Bbl Adjusted Gross Margin for crude - oil and NGLs assets increased by $0.30 compared to the three months ended December 31, 2025, primarily due to decreased revenues in the fourth quarter of 2025 associated with annual cumulative catch-up adjustments for cost-of-service changes at the DJ Basin oil and Springfield oil-gathering systems.

Per - Bbl Adjusted Gross Margin for crude - oil and NGLs assets decreased by $0.10 compared to the three months ended March 31, 2025, primarily due to lower distributions from FRP and TEP, partially offset by increased throughput at the DBM oil system, which has a higher-than-average per-Bbl margin as compared to our other crude-oil and NGLs assets, and increased deficiency fees on certain contracts with increasing throughput minimums.

Per - Bbl Adjusted Gross Margin for produced - water assets increased by $0.07 compared to the three months ended December 31, 2025, primarily due to an increase in skim-oil volumes, including an increase due to the acquisition of Aris, and increased average prices.

Per - Bbl Adjusted Gross Margin for produced - water assets decreased by $0.04 compared to the three months ended March 31, 2025, primarily due to the acquisition of Aris, which has lower-than-average per-Bbl margin as compared to our other produced-water assets.

Adjusted EBITDA.

Adjusted EBITDA increased by $15.9 million for the three months ended September 30, 2025, primarily due to (i) a $12.2 million decrease in operation and maintenance expenses and (ii) a $10.2 million increase in total revenues and other.

These amounts were offset partially by an $8.5 million increase in cost of product (net of lower of cost or market inventory adjustments).

Adjusted EBITDA increased by $91.9 million for the nine months ended September 30, 2025, primarily due to a $135.2 million increase in total revenues and other.

This amount was offset partially by (i) a $15.4 million decrease in distributions from equity investments, (ii) a $14.2 million increase in operation and maintenance expenses, and (iii) a $7.4 million increase in property taxes.

Adjusted EBITDA increased by $47.6 million compared to the three months ended December 31, 2025, primarily due to a $92.1 million increase in total revenues and other, offset partially by a $31.3 million increase in cost of product (net of lower of cost or market inventory adjustments) and an $11.9 million increase in operation and maintenance expenses.

Adjusted EBITDA increased by $89.6 million compared to the three months ended March 31, 2025, primarily due to a $206.5 million increase in total revenues and other.

This amount was offset partially by (i) a $61.6 million increase in cost of product (net of lower of cost or market inventory adjustments), (ii) a $37.7 million increase in operation and maintenance expenses, (iii) an $8.7 million decrease in distributions from equity investments, and (iv) a $5.8 million increase in general and administrative expenses excluding non - cash equity - based compensation expense.

Distributable Cash Flow.

Distributable Cash Flow decreased by $17.7 million compared to the three months ended December 31, 2025, primarily due to an increase of $67.1 million in recognized service revenues - fee based in excess of (less than) customer billings.

This amount was partially offset by a $47.6 million increase in Adjusted EBITDA and an $8.6 million decrease in cash paid for maintenance capital expenditures.

Distributable Cash Flow decreased by $4.8 million compared to the three months ended March 31, 2025, primarily due to (i) a $65.6 million increase in recognized service revenues - fee based in excess of (less than) customer billings, (ii) a $16.8 million increase in interest expense (net of interest income), and (iii) an $8.5 million increase in cash paid for maintenance capital expenditures.

These amounts were partially offset by an $89.6 million increase in Adjusted EBITDA.

Free Cash Flow.

Free Cash Flow increased by $9.0 million for the three months ended September 30, 2025, primarily due to (i) an $8.9 million increase in distributions from equity investments in excess of cumulative earnings and (ii) a $6.2 million increase in net cash provided by operating activities.

These amounts were offset partially by a $6.1 million increase in capital expenditures.

Free Cash Flow increased by $170.3 million for the nine months ended September 30, 2025, primarily due to (i) an $89.3 million decrease in capital expenditures and (ii) an $82.6 million increase in net cash provided by operating activities.

Free Cash Flow decreased by $98.5 million compared to the three months ended December 31, 2025, primarily due to (i) an $87.7 million decrease in net cash provided by operating activities and (ii) a $13.5 million increase in capital expenditures.

Free Cash Flow decreased by $157.1 million compared to the three months ended March 31, 2025, primarily due to (i) a $93.3 million increase in capital expenditures and (ii) a $60.9 million decrease in net cash provided by operating activities.

See Capital Expenditures and Historical Cash Flow within this Item 2 for further information.

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Our primary cash uses include equity and debt service, operating expenses, acquisitions, and capital expenditures.

Our sources of liquidity, as of September 30, 2025, included cash and cash equivalents, cash flows generated from operations, effective borrowing capacity under the RCF, our commercial paper program, and potential issuances of additional equity or debt securities.

Our sources of liquidity as of March 31, 2026, included cash and cash equivalents, cash flows generated from operations, effective borrowing capacity under the RCF, our commercial paper program, and potential issuances of additional equity or debt securities.

We believe that cash flows generated from these sources will be sufficient to satisfy our short - term working-capital requirements and long - term capital - expenditure and debt-service requirements.

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We distribute all our available cash, as defined in our partnership agreement, within 55 days following each quarter’s end.

The Board declared a cash distribution to unitholders for the third quarter of 2025 of $0.910 per unit, or $379.5 million in the aggregate.

The cash distribution is payable on November 14, 2025, to our unitholders of record at the close of business on October 31, 2025.

See Note 12—Subsequent Event under Part I, Item 1 of this Form 10-Q.

In February 2025, the Board authorized a buyback program of up to $250.0 million of our common units through December 31, 2026 (the “2025 Purchase Program”).

The Board declared a cash distribution to unitholders for the first quarter of 2026 of $0.930 per unit, or $374.6 million in the aggregate.

The cash distribution is payable on May 15, 2026, to our unitholders of record at the close of business on May 1, 2026.

In February 2025, the Board authorized the 2025 Purchase Program for the repurchase of up to $250.0 million of our common units through December 31, 2026.

The common units may be purchased from time to time in the open market at prevailing market prices or in privately negotiated transactions.

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The program does not obligate us to acquire any common units, and the program may be suspended or discontinued at our discretion without prior notice.

During the three months ended March 31, 2026, the Partnership repurchased no common units.

As of March 31, 2026, the Partnership had an authorized amount of $250.0 million remaining under the program.

Management continuously monitors our leverage position and other financial projections to manage the capital structure according to long-term objectives.

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Working capital requirements are driven by changes in accounts receivable and accounts payable and other factors such as credit extended to, and the timing of collections from, our customers, and the level and timing of our spending for acquisitions, maintenance, and other capital activities.

As of September 30, 2025, we had a $276.6 million working capital surplus, which we define as the amount by which current assets exceed current liabilities.

As of September 30, 2025, there was $2.0 billion in effective borrowing capacity under the RCF.

As of March 31, 2026, we had a $132.2 million working capital surplus, which we define as the amount by which current assets exceed current liabilities.

The effective borrowing capacity under the RCF was $2.0 billion as of March 31, 2026.

Any outstanding commercial paper borrowings reduce the effective borrowing capacity under the RCF as WES Operating maintains availability under the RCF as support for its commercial paper program.

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Capital expenditures .

Our business is capital intensive, requiring significant investment to maintain and improve existing facilities or to develop new midstream infrastructure.

Capital expenditures include (i) maintenance capital expenditures, which include those expenditures required to maintain existing operating capacity and service capability of our assets, such as to replace system components and equipment that have been subject to significant use over time, become obsolete or reached the end of their useful lives, or to remain in compliance with regulatory or legal requirements, and (ii) expansion capital expenditures, which include expenditures to construct new midstream infrastructure and expenditures incurred to reduce costs, increase revenues, or increase system throughput or capacity from current levels.

Capital expenditures in the consolidated statements of cash flows reflect capital expenditures on a cash basis, when payments are made.

Capital incurred is presented on an accrual basis.

Acquisitions and capital expenditures as presented in the consolidated statements of cash flows and capital incurred were as follows:

Nine Months Ended

September 30,

Capital expenditures as presented in the consolidated statements of cash flows and capital incurred were as follows:

Three Months Ended

thousands 2026 2025

Acquisitions $ — $ 443

Capital expenditures (1)

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_________________________________________________________________________________________

(1) For the nine months ended September 30, 2025 and 2024, included $6.7 million and $11.1 million, respectively, of capitalized interest.

Capital expenditures decreased by $89.3 million for the nine months ended September 30, 2025, primarily due to decreases of (i) $180.5 million at the West Texas complex, primarily attributable to construction costs incurred in 2024 associated with the North Loving plant that was completed in the first quarter of 2025 and (ii) $21.3 million at the DBM water systems due to decreased construction of certain water - disposal wells, equipment, facilities, and well-connect projects.

These decreases were offset partially by increases of (i) $64.5 million at the Powder River Basin complex primarily attributable to an increase in construction of facilities and well-connect projects, (ii) $27.1 million at the DBM oil system related to an increase in pipeline, oil pumping, and electrical distribution projects, and (iii) $16.4 million at the Chipeta complex primarily related to facility upgrades and gathering pipeline construction.

(1) For the three months ended March 31, 2026 and 2025, included $4.3 million and $2.6 million, respectively, of capitalized interest.

Capital expenditures increased by $93.3 million for the three months ended March 31, 2026, primarily due to increases of (i) $77.4 million at the DBM water systems related to the Pathfinder pipeline project and the acquisition of Aris and (ii) $29.8 million at the West Texas complex primarily attributable to construction costs associated with the North Loving Train II.

These increases were offset partially by a decrease of $18.0 million at the DBM oil system related to decreases in pipeline, oil pumping, and electrical distribution projects.

Historical cash flow .

The following table and discussion present a summary of our net cash flows provided by (used in) operating, investing, and financing activities:

Nine Months Ended

September 30,

Three Months Ended

thousands 2026 2025

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Operating activities .

Net cash provided by operating activities increased for the nine months ended September 30, 2025, primarily due to higher cash operating income, partially offset by lower distributions from equity-investment earnings and higher interest expense.

Net cash provided by operating activities decreased for the three months ended March 31, 2026, primarily due to (i) the impact of changes in assets and liabilities, including as a result of the West Texas complex gas-gathering agreement amendment replacing cost-of-service fees with fixed fees (see Executive Summary within this Item 2), (ii) higher interest expense, and (iii) lower distributions from equity-investment earnings;

all partially offset by higher cash operating income.

Refer to Operating Results within this Item 2 for a discussion of our results of operations as compared to the prior periods.

Investing activities .

Net cash used in investing activities for the nine months ended September 30, 2025, primarily included (i) capital expenditures, primarily related to expansion, construction, and asset - integrity projects at the West Texas complex, Powder River Basin complex, DBM water systems, DBM oil system, DJ Basin complex, and Chipeta complex and (ii) distributions received from equity investments in excess of cumulative earnings.

Net cash provided by investing activities for the nine months ended September 30, 2024, primarily included (i) proceeds related to the sale of several equity investments to third parties, (ii) proceeds related to the sale of our 33.75% interest in the Marcellus Interest systems to a third party, (iii) distributions received from equity investments in excess of cumulative earnings, (iv) capital expenditures, primarily related to expansion, construction, and asset - integrity projects at the West Texas complex, DBM oil system, Powder River Basin complex, DBM water systems, DJ Basin complex, and Chipeta complex, and (v) increases to materials and supplies inventory and other.

Net cash used in investing activities for the three months ended March 31, 2026, primarily included (i) capital expenditures, primarily related to expansion, construction, and asset - integrity projects at the DBM water systems, West Texas complex, Powder River Basin complex, DJ Basin complex, and DJ Basin oil system and (ii) distributions received from equity investments in excess of cumulative earnings.

Net cash used in investing activities for the three months ended March 31, 2025, primarily included (i) capital expenditures, primarily related to expansion, construction, and asset - integrity projects at the West Texas complex, Powder River Basin complex, DBM water systems, DJ Basin complex, and DBM oil system, (ii) increases to materials and supplies inventory and other, and (iii) distributions received from equity investments in excess of cumulative earnings.

Financing activities .

Net cash used in financing activities for the nine months ended September 30, 2025, primarily included (i) distributions paid to WES unitholders and noncontrolling interest owners and (ii) repayment of the total principal amount outstanding of the 3.950% Senior Notes due 2025 and 3.100% Senior Notes due 2025 at par value.

Net cash used in financing activities for the nine months ended September 30, 2024, primarily included (i) distributions paid to WES unitholders and noncontrolling interest owners, (ii) net repayments under the commercial paper program, (iii) retiring portions of certain of WES Operating’s senior notes via open-market repurchases, and (iv) proceeds from the 5.450% Senior Notes due 2034 issued in August 2024.

Net cash used in financing activities for the three months ended March 31, 2026, primarily included distributions paid to WES unitholders and noncontrolling interest owners.

Net cash used in financing activities for the three months ended March 31, 2025, primarily included (i) retiring the total principal amount outstanding of the 3.100% Senior Notes due 2025 at par value and (ii) distributions paid to WES unitholders and noncontrolling interest owners.

Debt and credit facilities.

As of September 30, 2025, (i) the carrying value of outstanding debt was $6.9 billion, (ii) we have $440.5 million of borrowings under the 4.650% Senior Notes due 2026 that are 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, and (iii) we have $2.0 billion in effective borrowing capacity under WES Operating’s $2.0 billion RCF.

As of March 31, 2026, (i) the carrying value of outstanding debt is $8.6 billion, (ii) the 4.650% Senior Notes due 2026 are classified as short-term debt on the consolidated balance sheet, and (iii) the effective borrowing capacity under WES Operating’s $2.0 billion RCF is $2.0 billion.

Any outstanding commercial paper borrowings reduce the effective borrowing capacity under the RCF as WES Operating maintains availability under the RCF as support for its commercial paper program.

During the nine months ended September 30, 2025, WES Operating (i) retired the 3.950% Senior Notes due 2025 on the maturity date of June 1, 2025, for $336.8 million and (ii) retired the 3.100% Senior Notes due 2025 on the maturity date of February 3, 2025, for $663.8 million.

WES Operating repaid the 3.950% Senior Notes due 2025 and 3.100% Senior Notes due 2025 with cash on hand, including proceeds received from the 2024 public offering of $800.0 million in aggregate principal amount of 5.450% Senior Notes due 2034.

For additional information on our senior notes, RCF, and commercial paper program, see Note 9—Debt in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

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The differences between net income (loss) attributable to WES and WES Operating are reconciled as follows:

Three Months Ended Nine Months Ended

thousands September 30, 2025 June 30, 2025 September 30, 2025 September 30, 2024

Three Months Ended

thousands March 31, 2026 December 31, 2025 March 31, 2025

Net income (loss) attributable to WES $ 350,276 $ 190,681 $ 309,007

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Other income (expense), net (90) (217) (46)

Income taxes 3,375 2,734 —

Net income (loss) attributable to WES Operating $ 360,733 $ 197,077 $ 315,076

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(1) Represents the portion of net income (loss) allocated to the limited partner interest in WES Operating not held by WES.

A subsidiary of Occidental held a 2.0% limited partner interest in WES Operating for all periods presented.

(2) Represents general and administrative expenses incurred by WES separate from, and in addition to, those incurred by WES Operating.

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The differences between net cash provided by (used in) operating and financing activities for WES and WES Operating are reconciled as follows:

Nine Months Ended

September 30,

Three Months Ended

thousands 2026 2025

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See Note 4—Partnership Distributions and Note 5—Equity and Partners’ Capital in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

(3) Difference attributable to elimination in consolidation of WES Operating’s distributions on partnership interests owned by WES.

(3) Difference attributable to elimination in consolidation of WES Operating’s distributions on WES Operating’s Preferred Units and partnership interests owned by WES.

See Note 4—Partnership Distributions and Note 5—Equity and Partners’ Capital in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

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WES Operating distributions.

WES Operating distributes all of its available cash on a quarterly basis to WES Operating unitholders in proportion to their share of limited partner interests in WES Operating.

WES Operating distributes all of its available cash on a quarterly basis to WES Operating unitholders according to the terms of its limited partnership agreement.

See Note 4—Partnership Distributions in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.

5 unchanged sentences

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What changed 10-Q

Item 2. Management’s Discussion and Analysis