WES 10-K & 10-Q changes, risk factors and insider trading

•conflicts of interest among us and our general partner and its related parties, including Occidental, with respect to, among other things, the allocation of capital and operational and administrative costs, and our future business opportunities;

We are dependent on Occidental for over 50% of revenues related to the natural gas, crude oil, NGLs, and produced water that we gather, transport, recycle, treat, process, transport,supply, and/or dispose. A material reduction in Occidental’s production that is gathered, treated, processed, or transported by our assets would result in a material decline in our revenues and cash available for distribution.

We rely on Occidental for over 50% of revenues related to the natural gas, crude oil, NGLs, and produced water that we gather, transport, recycle, treat, process, transport,supply, and/or dispose. For the year ended December 31, 2024,2025, and excluding the impact of equity investments, 60% of Total revenues and other, 34%36% of our throughput for natural-gas assets (excluding equity-investment throughput),assets, 91% of our throughput for crude-oil and NGLs assets (excluding equity-investment throughput),assets, and 78%61% of our throughput for produced-water assets were attributable to production owned or controlled by Occidental. Occidental may decrease its production in the areas serviced by us and is under no contractual obligation to maintain its production volumes dedicated to us pursuant to the terms of our applicable gathering agreements. The loss of a significant portion of production volumes supplied by Occidental would result in a material decline in our revenues and our cash available for distribution. In addition, Occidental may determine that drilling activity in areas other than our areas of operation is strategically more attractive. A shift in Occidental’s focus away from our areas of operation could result in reduced throughput on our systems and a material decline in our revenues and cash available for distribution.

Our costs of borrowing and ability to access the capital markets are affected by market conditions and the credit rating assigned to WES Operating’s debt by the major credit rating agencies. Any future downgrades in WES Operating’s credit ratings could adversely affect WES Operating’s ability to issue debt, including commercial paper, in the public debt markets and negatively impact our cost of capital, future interest costs, and ability to effectively execute aspects of our business strategy. For example, WES Operating currently has $2.7$2.1 billion in total principal amount of outstanding senior notes that provide for changes to the coupon rates following changes in WES Operating’s credit ratings. Future credit-rating downgrades also could trigger obligations to provide financial assurance of our performance under certain contractual arrangements. We may be required to post collateral in the form of letters of credit or cash as financial assurance of our performance under certain contractual arrangements, such as pipeline transportation contracts and NGLs and gas-sales contracts. At December 31, 2024,2025, there were no letters of credit or cash-provided assurance of our performance under contractual arrangements with credit-risk-related contingent features.

Although inflation in the United States has declined since 2023, the prices of key inputs to the midstream industry have continued to be significantly impacted by inflation relative to historical levels. This continued inflation has raised our costs for steel products, automation components, power supply, labor materials, fuel, chemicals, and services, thereby increasing our operating costs and capital expenditures. Additionally, the Trump administration has recentlyincreased implemented a 10% tarifftariffs on most Chinese imports under its renewed Section 301 and International Emergency Economic Powers Act authorities and has significantly increased national security-based tariffs on steel and aluminum imports, including raising the general tariff rate on most steel and aluminum products. The Trump administration has also imposed and expanded so called ‘reciprocal’ tariffs on a wide range of United States trading partners with which the United States has sizable trade imbalances and has announced aor 25%threatened tariffadditional increases on imports offrom steelCanada, Mexico, and aluminum.other Planskey by the Trump administration to impose additional import tariffs on Canada and Mexico are also currently under consideration, as are reciprocal tariffs on all U.S. trading partners that currently impose tariffs on American goods.partners. These and other import tariffs could substantially increase our operating and capital costs. Although we cannot predict any future inflation trends or the impact of current or future import tariffs, higher operating and capital costs would negatively impact our profitability and cash flows available for distribution to unitholders to the extent we are unable to recover such higher costs through our commercial agreements.

Conversely, if actual plant recoveries are below the contractually specified recoveries, we would still be obligated to deliver the contractually fixed amount of NGLs (or in some cases, the financial equivalent thereof) to such customers. For this reason, our inability to efficiently operate our natural-gas processing facilities could result in diminished NGL sale proceeds for our account,account or could result in losses when we settle shortfalls between actual and contractually specified recoveries with our customers. Accordingly, the failure to achieve operational plant efficiency to support the contractually specified recoveries could negatively impact our profitability and cash flows available for distribution to unitholders.

Adoption of new or more stringent climate-change or other air-emissions legislation or regulations restricting emissions of GHGs or other air pollutants could negatively impact us, our producer customers, or downstream customers by increasing operating costs and reducing volumetric throughput on our systems due to reduced demand for the gathering, processing, compressing, treating, transporting, supply, and transportingproduced-water disposal services we provide.

Some portions of the pipeline systems that we operate were in service for many decades, prior to our purchase of these systems. Consequently, there may be historical occurrences or latent issues regarding our pipeline systems that we may be unaware of and that may have a material adverse effect on our business and results of operations. The age or condition of our pipeline systems also could result in increased maintenance or repair expenditures, and any downtime associated with increased maintenance and repair activities could materially reduce our revenue. In addition, we may be unable to complete maintenance or repairs due to the unavailability of necessary materials as a result of supply chain disruptions (including those caused by geopoliticaldomestic events,and suchinternational aspolitical the Russian invasion of Ukraineevents), which may result in the suspension of operations of the impacted assets until such activities can be completed. Any significant increase in maintenance and repair expenditures, loss of revenue due to the age or condition of our pipeline systems, or delays in completing necessary maintenance or repairs could adversely affect our business and results of operations.

We do not own all of the land on which our pipelines and facilities have been constructed, and we therefore are,are subject to the possibility of more onerous terms and/or increased costs to retain necessary land use if we do not have valid rights-of-way or if such rights-of-way lapse or terminate. Any loss of rights with respect to our real property, through our inability to renew existing rights-of-way contracts or otherwise, could have a material adverse effect on our business, results of operations, financial position, and ability to make cash distributions to our unitholders.

We had 380,556,643408,141,366 common units outstanding as of December 31, 2024.2025, with Occidental currently holdsholding 165,681,578 common units, representing 43.5%40.6% of our outstanding common units. Occidental’s shelf registration statement currently allows for the offer and sale of approximately 10.8 million common units, or 2.8% of our common units as of December 31, 2024, from time to time. Sales by Occidental or other large holders of a substantial number of our common units in the public markets, or the perception that such sales might occur, could have a material adverse effect on the price of our common units or could impair our ability to obtain capital through an offering of equity securities. In addition, under our partnership agreement, our general partner and its affiliates, including Occidental, have registration rights relating to the offer and sale of any units that they hold, subject to certain limitations.

Discussion of 20222023 itemsitems, and comparison of the year ended December 31, 2023,2024, to the year ended December 31, 2022,2023, that are not included in this annual report on Form 10-K can be found under Management’s Discussion and Analysis of Financial Condition and Results of Operations, which is included under Part II, Item 7 of our annual report on Form 10-K for the year ended December 31, 2023,2024, as filed with the SEC on February 21,26, 2024,2025, and is available via the SEC’s website at www.sec.gov and our website at www.westernmidstream.com.

The Partnership’s assets include assets owned and ownership interests accounted for by us under the equity method of accounting, through our 98.0%98.1% partnership interest in WES Operating, as of December 31, 20242025. Amounts attributable to noncontrolling interests presented in this Item 7 consist of (seei) 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%, 2.0%, and 2.0% limited partner interest in WES Operating as of December 31, 2025, 2024, and 2023, respectively, owned by an Occidental subsidiary. See Note 1—Summary of Significant Accounting Policies and Basis of Presentation and Note 7—Equity Investments in the Notes to Consolidated Financial Statements under Part II, Item 8 of this Form 10-K).10-K. We also own and control the entire non-economic general partner interest in WES Operating GP, and our general partner is owned by Occidental.

We are a midstream energy company organized as a publicly traded partnership, engaged in the business of gathering, compressing, treating, processing, and transporting natural gas; gathering, stabilizing, and transporting condensate, NGLs, and crude oil; and gatheringgathering, transporting, recycling, treating, supplying, and disposing of produced water. In our capacity as a natural-gas processor, we also buy and sell natural gas,residue, NGLs, and condensate on behalf of ourselves and our customers under certain contracts. To provide superior midstream service, we focus on ensuring the reliability and performance of our systems, creating sustainable cost efficiencies, enhancing our safety culture, and protecting the environment. We own or have investments in assets located in Texas, New Mexico, and the Rocky Mountains (Colorado, Utah, and Wyoming). As of December 31, 2024,2025, our assets and investments consisted of the following:

•WES Operating completed the public offeringofferings of $800.0$1.2 millionbillion in aggregate principal amount of 5.450% Senior Notes due 2034.Notes. Net proceeds from thethese offeringpublic offerings (i) will be used to repay athe portion4.650% Senior Notes due 2026, (ii) were used to repay amounts outstanding under its commercial paper program (including borrowings incurred to fund the cash consideration of certainthe seniorAris notes due in 2025acquisition), and (iii) will be used for general partnership purposes, including the funding of capital expenditures. See LiquidityDebt and CapitalCredit ResourcesFacilities within this Item 27 for additional information.

•Our regular fourth-quarter 20242025 per-unit distribution is unchanged from the third-quarter 20242025 per-unit distribution of $0.875.$0.910.

Our results primarily are driven by the volumes of natural gas, NGLs, crude oil, and produced water we service through our systems. In our operations, we contract with customers to provide midstream services focused on natural gas, NGLs, crude oil, produced water, and producedwater water.solutions. We gather natural gas from individual wells or production facilities located near our gathering systems, and the natural gas may be compressed and delivered to a processing plant, treating facility, or downstream pipeline, and ultimately to end users. We treat and process a significant portion of the natural gas that we gather so that it will satisfy required specifications for pipeline transportation. We gather crude oil from individual wells or production facilities located near our gathering systems, and in some cases, treat or stabilize the crude oil to satisfy required specifications for pipeline transportation. We also gathergather, transport, recycle, treat, supply, and dispose of produced water.

We operate in Texas, New Mexico, Colorado, Utah, and Wyoming, with a substantial portion of our business concentrated in West TexasTexas, New Mexico, and the Rocky Mountains. For example, for the year ended December 31, 2024,2025, and excluding the impact of equity investments, our West Texas / New Mexico and DJ Basin assets provided (i) 53%58% and 32%,29%, respectively, of Total revenues and other, (ii) 40%42% and 31%,30%, respectively, of our throughput for natural-gas assets (excluding equity-investment throughput),assets, (iii) 61% and 23%, respectively, of our throughput for crude-oil and NGLs assets (excluding equity-investment throughput),assets, and (iv) all of our throughput for produced-water assets.

For the year ended December 31, 2024,2025, and excluding the impact of equity investments, 60% of Total revenues and other, 34%36% of our throughput for natural-gas assets (excluding equity-investment throughput),assets, 91% of our throughput for crude-oil and NGLs assets (excluding equity-investment throughput),assets, and 78%61% of our throughput for produced-water assets were attributable to production owned or controlled by Occidental. While Occidental is our contracting counterparty, 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 our facilities and infrastructure to bring their volumes to market. In addition, Occidental provides dedications, minimum-volume commitments with associated deficiency payments, and/or cost-of-service commitments under certain of our contracts.

For the year ended December 31, 2024,2025, 95%and excluding the impact of equity investments, 97% of our wellhead natural-gas volume (excluding equity investments) and 100% of our crude-oil and produced-water throughput (excluding equity investments) were serviced under fee-based contracts under which fixed and variable fees are received based on the volume or thermal content of the natural gas and on the volume of NGLs, crude oil, and produced water we gather, process, treat, transport, or dispose. This type of contract provides us with a relatively stable revenue stream that is not subject to direct commodity-price risk, except to the extent that (i) actual recoveries differ from contractual recoveries under certain of our processing agreements or (ii) we retain and sell drip condensate that is recovered during the gathering of natural gas from the wellhead or production facilities and skim oil that is recovered during the produced-water gathering and disposal process.

Throughput. Throughput is a significant operating variable that we use to assess our ability to generate revenues. To maintain or increase throughput on our systems, we must connect to additional wells or production facilities. Our success in maintaining or increasing throughput is impacted by (i) the successful drilling of new wells by producers that are dedicated to our systems, (ii) recompletions of existing wells connected to our systems, (iii) our ability to secure volumes from new wells drilled on non-dedicated acreage, and (iv) our ability to attract natural-gas, crude-oil, NGLs, produced-water, or produced-waterwater-solutions volumes currently serviced by our competitors.

Gathering and processing agreements. Certain of the gathering agreements for the West Texas complex, Springfield system, DJ Basin oil system, and DBM oil and water systems allow for rate resets that target an agreed-upon rate of return over the life of the agreement. Annual adjustments are made to cost-of-service rates charged under these agreements, and for certain of them, a cumulative catch-up revenue adjustment related to services already provided may be recorded. See Note 1—Summary of Significant Accounting Policies and Basis of Presentation and Note 18—Subsequent Event in the Notes to Consolidated Financial Statements under Part II, Item 8 of this Form 10-K. In addition, certain of our natural-gas processing agreements provide our producer customers with the option to receive an actual or fixed amount of NGLs recoveries (or in some cases, the financial equivalent thereof). Our customers’ election, along with operational plant efficiency and commodity prices, could impact our profitability and cash flows. See Risk Factors under Part I, Item 1A of this Form 10-K.

Acquisitions and divestitures. During the second quarter of 2024, we closed on the sale of our 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.

(1)Total revenues and other includes amounts earned from services provided to related parties and from the sale of natural gas, condensate, NGLs, and NGLswater solutions volumes to related parties. Total operating expenses includes amounts charged by related parties for services received. See Note 6—Related-Party Transactions in the Notes to Consolidated Financial Statements under Part II, Item 8 of this Form 10-K.

Total throughput attributable to WES for natural-gas assets increased by 620174 MMcf/d for the year ended December 31, 2024,2025, primarily due to (i) higher volumes at the Powder River Basin complex due to the Meritage acquisition, (ii) higher volumes at the West TexasTexas, DJ Basin, and DJ BasinChipeta complexes due to increased production in the areas,areas and (iiiii) higher volumes aton the Red Bluff Express pipeline due to the addition of a new receipt point into the pipeline,pipeline andbeginning (iv)in higherNovember volumes at the Springfield gas-gathering system due to new third-party production.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 and2024, (ii) lower volumes at the GrangerSpringfield complexgas-gathering system due to adecreased contract expirationproduction in the fourtharea, quarterand of(iii) 2023.lower volumes at the Mi Vida plant.

Total throughput attributable to WES for crude-oil and NGLs assets decreased by 12216 MBbls/d for the year ended December 31, 2024,2025, primarily due to (i) the divestiture of Whitethorn LLC, Mont Belvieu JV, Saddlehorn,LLC and PanolaSaddlehorn in the first quarter of 2024.2024 and (ii) lower volumes on the TEP pipeline. These decreases were offset partially by (i) higher volumes at the DBM and DJ Basin oil systemssystem due to increased production in the areas and (ii) higher volumes at the Thunder Creek NGL pipeline, which was acquired as part of the Meritage acquisition.area.

Total throughput attributable to WES for produced-water assets increased by 115454 MBbls/d for the year ended December 31, 2024,2025, due to higher production, partially offset by increased recycling activities in(i) the upstream operationsacquisition of ourAris producers.and (ii) higher production.

Service Revenues

ServiceOther revenues –from product basedcustomers

ServiceOther revenues –from product basedcustomers increased by $24.0$32.7 million for the year ended December 31, 2024,2025, primarily due to increases of (i) $15.4$52.8 million at the West Texas complex due to increased volumes sold,sold and net average prices and (ii) $5.3 million at the DJ Basin complex due to a contract change effective during the second quarter of 2024, partially offset by decreased average prices, (iii) $4.7 million at the Powder River Basin complex attributable to the acquisition of Meritage, and (iv) $2.3$29.1 million at the DBM water systems due to the acquisition of Aris and increased skim-oil volumes sold. These increases were offset partially by a decrease of $3.4$35.5 million at the ChipetaDJ Basin complex primarily due to decreasedlower volumes sold.sold and average prices.

Equity income, net – related parties decreased by $40.6$26.6 million for the year ended December 31, 2024,2025, primarily due to decreases of (i) $37.6$7.6 million resulting from the sale of several equity investments to third parties in the first quarter of 2024 and (ii) $8.0$7.0 million at TEP. These decreases were offset partially by an increase of $4.6 million at Red Bluff. See Note 3—AcquisitionsTEP and DivestituresMi inVida, the Notes to Consolidated Financial Statements under Part II, Item 8 of this Form 10-K.respectively.

Natural-gas purchases decreasedincreased by $21.9$23.4 million for the year ended December 31, 2024,2025, primarily due to decreases of (i) $15.3higher millionaverage prices at the West Texas complex due to lower average prices and (ii) $6.2increased millionpurchases at the GrangerChipeta complex attributable to a contract change effective during 2023 and decreased volumes purchased.complex.

NGLs purchases increaseddecreased by $41.1$12.5 million for the year ended December 31, 2024,2025, primarily due to increasesa decrease of (i) $39.4 million at the West Texas complex primarily attributable to increased volumes purchased and average prices and (ii) $4.2$17.6 million at the DJ Basin complex due to alower contractpurchased changevolumes effectiveand duringaverage theprices, secondpartially quarteroffset by an increase of 2024. These increases were offset partially by a decrease of $5.6$11.1 million at the Chipeta complex due to a contract change effective during the third quarteracquisition of 2024.Aris.

Including the impact of operating the assets acquired with Meritage, operationOperation and maintenance expense increased by $118.0$35.3 million for the year ended December 31, 2024,2025, primarily due to increases of (i) $38.5$48.3 million related to the acquisition of Aris, (ii) $12.4 million in salariesutility expense, and wages costs, (iiiii) $25.1$6.2 million in equipment,land-related materials,costs. maintenance,These andamounts repairwere costs,offset partially by decreases of (iiii) $16.7$7.7 million in chemicalchemicals and treating services, (ivii) $10.2$7.6 million in land-relatedcontract labor and consulting costs, (viii) $9.0$6.2 million in equipment rental costs, (vi) $7.1 million in water-disposalmechanical-integrity costs, and (viiiv) $5.4$6.1 million in utilityregulatory and environmental expense.

General and administrative expenses increased by $38.9$127.4 million for the year ended December 31, 2024,2025, primarily due to increases of (i) $27.5$120.5 million in personnelacquisition-related costs,expenses (ii)associated $10.5with the Aris transaction, including $104.6 million in informationseverance technology costs,payments and (iii) $7.0$15.9 million in otherprofessional corporate-relatedservices expenses.for Thesefinancial increasesadvisory, were offset partially by a decrease of $6.1 million in contract laborlegal, and consultingother costs.professional fees.

Long-lived asset and other impairment expense increased by $8.6 million for the year ended December 31, 2023, was2025, primarily due to a $52.1$10.8 million impairment for assets located inat the Rockies.Granger complex.

Interest expense increased by $30.3$12.0 million for the year ended December 31, 2024,2025, primarily due to increases of (i) $29.3 million of interest incurred on the 6.350% Senior Notes due 2029 that were issued during the third quarter of 2023, (ii) $16.1$28.2 million of interest incurred on the 5.450% Senior Notes due 2034 that were issued during the third quarter of 2024, (iiiii) $12.1$6.4 million of interest incurred on the 6.150%7.250% Senior Notes due 20332030 that were issuedassumed duringas part of the second quarteracquisition of 2023, and (iv) $2.7 million due to borrowings in 2024 on the commercial paper program that was establishedAris during the fourth quarter of 2023.2025, and (iii) $5.0 million due to lower capitalized interest. These increases were offset partially by decreasesa decrease of (i) $14.8 million primarily due to no outstanding borrowings under the RCF during 2024 and (ii) $14.6$30.0 million due to credit-rating related interest-rate changes and lower outstanding balances on certain senior notesnote duerepayments toduring debt repurchases.2025. See Liquidity and Capital Resources—Debt and credit facilities within this Item 7.

Other income (expense), net increaseddecreased by $26.1$15.1 million for the year ended December 31, 2024,2025, primarily due to lower interest income earned resulting from higheron cash and cash equivalent balancesinvestments throughout 2024.2025.

Security holders and potential investors in our securities should carefully consider the risk factorsfactor included below and those set forth under Part I, Item 1A in our Form 10-K for the year ended December 31, 2025, together with all of the other information included in this document, and in our other public filings, press releases, and public discussions with management.

The Partnership’s assets include assets owned and ownership interests accounted for by us under the equity method of accounting, through our 98.1%98.2% partnership interest in WES Operating, as of MarchJune 31,30, 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%,1.8%, 1.9%, and 2.0% limited partner interest in WES Operating as of June 30, 2026, March 31, 2026, December 31, 2025, and MarchJune 31,30, 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.

We are a midstream energy company organized as a publicly traded partnership, engaged in the business of gathering, compressing, treating, processing, and transporting natural gas; gathering, stabilizing, and transporting condensate, NGLs, and crude oil; 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. To provide superior midstream service, we focus on ensuring the reliability and performance of our systems, creating sustainable cost efficiencies, enhancing our safety culture, and protecting the environment. We own or have investments in assets located in Texas, New Mexico, and the Rocky Mountains (Colorado, Utah, and Wyoming). As of March 31, 2026, our assets and investments consisted of the following:

Significant financial and operational events during the threesix months ended MarchJune 31,30, 2026, included the following:

•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-volumeminimum commitmentvolume commitments 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.10-Q The following table provides additional information on throughput for the periods presented below:

Impact of producer activity. 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 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 the threesix months ended MarchJune 31,30, 2026, ranged from a low of $55.99 per barrel in January 2026 to a high of $102.88$112.95 per barrel in MarchApril 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 threesix months ended MarchJune 31,30, 2026, ranged from a low of ($7.79$9.52) per MMBtu in MarchApril 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. To address the risks posed by fluctuating commodity prices, we intend to continue evaluating the relevant price environments and adjust our capital spending plans to reflect our customers’ anticipated activity levels, while maintaining appropriate liquidity and financial flexibility.

Impact of inflation and tariffs. High inflation in the U.S. has raised our costs for steel products, automation components, power supply, labor, materials, fuel, and services, raising operating costs and capital expenditures. Additionally, the Trump administration has imposed significant import tariffs, including on imports of steel and aluminum, and may impose further tariffs on other U.S. trading partners. These tariffs could substantially increase our operating and capital costs. Tariff rates applicable to our operations have changed multiple times in 2026 and may continue to change, including as a result of ongoing trade negotiations, legal challenges to tariff authority, and periodic adjustments by the administration. While future inflation and tariff impacts are uncertain, higher operating and capital costs could materially and negatively affect financial results. To the extent permitted by regulations and escalation provisions in certain of our existing agreements, we have the ability to recover a portion of increased costs in the form of higher fees.

DuringOn June 11, 2026, the Partnership closed on the acquisition of Brazos Delaware and in the fourth quarter of 2025, we closed on the acquisition of Aris by merger in a transaction valued at $2.0 billion.Aris. 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.

For purposes of the following discussion, any increases or decreases “for the three months ended June 30, 2026” refer to the comparison of the three months ended MarchJune 31,30, 2026, to the three months ended December 31, 2025, or to the three months ended March 31, 2025,2026; asand applicable.any increases or decreases “for the six months ended June 30, 2026” refer to the comparison of the six months ended June 30, 2026, to the six months ended June 30, 2025.

Total throughput attributable to WES for natural-gas assets increased by 47134 MMcf/d compared tofor the three months ended DecemberJune 31,30, 2025,2026, primarily due to (i) throughput from the acquisition of the Comanche complex and (ii) higher throughput at the WestDJ TexasBasin complex due to increased production in the area.area and higher onloaded volumes.

Total throughput attributable to WES for natural-gas assets increased by 9986 MMcf/d compared tofor the threesix months ended MarchJune 31,30, 2025,2026, primarily due to (i) higher throughput at the DJ Basin, West Texas,Basin and Chipeta complexes due to increased production in the areas, and (ii) higher throughput onfrom the Redacquisition Bluff Express pipeline due toof the additionComanche of a new receipt point into the pipeline beginning in the fourth quarter of 2025.complex. 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.

Total throughput attributable to WES for produced-water assets increased by 102144 MBbls/d and 1,6291,677 MBbls/d compared tofor the three and six months ended DecemberJune 31,30, 2025, and March 31, 2025,2026, respectively, due to higher throughput at the DBM water systems, including the acquisition of Aris.Aris for the six months ended June 30, 2026.

Service revenues – fee based increased by $110.1$46.8 million compared tofor the three months ended MarchJune 31,30, 2025,2026, primarily due to increases of (i) $103.6$31.3 million at the DBM water systems due to increased throughput and disposal-fee revenue, (ii) $9.1 million due to the acquisition of Aristhe andComanche increased throughput, partially offset by lower average fees,complex, and (iiiii) $5.4$7.7 million at the DBMDJ oilBasin systemcomplex due to increased throughput and deficiency fees on certain contracts with increasing throughput minimums.throughput.

Other revenues from customers increased by $94.7$49.0 million compared tofor the three months ended MarchJune 31,30, 2025,2026, primarily due to increases of (i) $49.2$16.0 million at the DBMDJ waterBasin systemscomplex due to the acquisition of Aris, including increased skim-oilaverage volumes,prices and volumes sold, (ii) $47.1$12.7 million at the West Texas complex due to increased netaverage prices, partially offset by lower volumes soldsold, (iii) $9.9 million at the Chipeta complex due to increased volumes sold, and as(iv) a$7.1 resultmillion due to the acquisition of changesthe inComanche contract mix.complex.

Equity income, net – related parties decreasedincreased by $6.6$6.8 million compared tofor the three months ended DecemberJune 31,30, 2025,2026, primarily due to decreasesincreases of $3.9$2.5 million and $3.2$1.7 million at FRP and TEP, respectively.

Equity income, net – related parties decreased by $5.7$11.3 million compared tofor the threesix months ended MarchJune 31,30, 2025,2026, primarily due to a decrease of $4.5$8.2 million at Mi Vida.

Crude oil and NGLs purchases

Crude oil and NGLs purchases increased by $35.7$6.2 million compared tofor the three months ended MarchJune 31,30, 2025,2026, primarily due to increases of (i) $24.5$3.7 million at the DBM water systems dueattributable to the acquisition of Aris, including increased skim-oil volumes, and (ii) $8.8 million at the WestComanche Texas complex due to higher purchased volumes.complex.

Other items increased by $31.7$6.0 million comparedand to$62.3 million for the three and six months ended MarchJune 31,30, 2025,2026, respectively, primarily due to changes in imbalance positions at the West Texas and DJ Basin complexes.

Operation and maintenance expense increased by $11.9$21.1 million compared tofor the three months ended DecemberJune 31,30, 2025,2026, primarily due to increases of (i) $5.6$10.6 million in salarieswater-disposal costs and wages costs, (ii) $2.6$6.2 million in utility expense,chemicals and (iii) $2.4 million in land-relatedtreating costs.

Operation and maintenance expense increased by $37.7$98.5 million compared tofor the threesix months ended MarchJune 31,30, 2025,2026, primarily due to an increaseincreases of $54.6(i) $115.5 million related to the Aris acquisition and (ii) $5.3 million in land-related costs. These increases were offset partially by a decrease of Aris, partially offset by $15.4$26.6 million in equipment and maintenance and repair costs.

General and administrative expenses increased by $8.4$10.8 million compared tofor the three months ended MarchJune 31,30, 2025,2026, primarily due to increasesan increase of (i) $4.3$8.0 million in salariescorporate andexpenses, wagesprimarily related to transaction costs andfor (ii)the $3.5Brazos millionDelaware in corporate-related costs.acquisition.

Depreciation and amortization expense increased by $30.0$5.5 million compared tofor the three months ended MarchJune 31,30, 2025,2026, primarily due to $26.3$4.0 million related to the acquisition of Aris.the Comanche complex.

Interest expense increaseddecreased by $7.7$4.4 million compared tofor the three months ended DecemberJune 31,30, 2025,2026, primarily due to ana increasedecrease of $11.1$5.3 million ofdue interest incurred onto the 4.800%repayment of the 4.650% Senior Notes due in 2031 and 5.500% Senior Notes due in 2035 that were issued2026 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 firstsecond quarter of 2026.

Interest expense increased by $16.1$29.9 million compared tofor the threesix months ended MarchJune 31,30, 2025,2026, primarily due to increases of (i) $15.9$31.7 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$15.1 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 decreasedecreases of $3.6(i) $6.7 million due to higher capitalized interest, (ii) $6.0 million due to the repayment of the 3.950% Senior Notes due in 2025 during the second quarter of 2025.2025, and (iii) $5.3 million due to the repayment of the 4.650% Senior Notes due 2026 during the second quarter of 2026. See Liquidity and Capital Resources—Debt and credit facilities within this Item 2.

We are not a taxable entity for U.S. federal income tax purposes; therefore, our federal statutory rate is zero percent. However, income apportionable to Texas is subject to Texas margin tax.tax, Incomeand taxcertain expensebusiness decreasedactivities byoperated $3.8through millioncorporate comparedsubsidiaries are subject to thefederal threeand monthsstate endedincome December 31, 2025, primarily due to changes in provisions for Texas margin tax liabilities.taxes.

(21)Includes non-cash revenue of $55.1$45.4 million, $39.7 million,million and $5.9$55.1 million for the three months ended June 30, 2026, and March 31, 2026, December 31, 2025,respectively, and March$100.6 31,million and $9.6 million for the six months ended June 30, 2026 and 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.

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 Revenues, Cost of Product (Natural-gas purchases, Crude oil and NGLs purchases, and Other items), and Other Operating Expenses (Depreciation and amortization expense).

Gross margin increased by $58.3$81.1 million compared tofor the three months ended DecemberJune 31,30, 2025,2026, due to a $92.1$101.1 million increase in total revenues and other, partially offset by a $31.3$14.6 million increase in cost of product.

Gross margin increased by $115.1$288.9 million compared tofor the threesix months ended MarchJune 31,30, 2025,2026, due to a $206.5$488.9 million increase in total revenues and other. This increase was offset partially by increases of (i) $61.4$136.2 million in cost of product and (ii) $30.0$63.8 million in depreciation and amortization.

Net income (loss) increased by $42.5$56.2 million compared tofor the three months ended MarchJune 31,30, 2025,2026, primarily due to a $206.5$101.1 million increase in total revenues and other, partially offset by a $139.7$52.2 million increase in total operating expenses.

Net income (loss) increased by $107.0 million for the six months ended June 30, 2026, primarily due to a $488.9 million increase in total revenues and other. This increase was offset partially by (i) a $330.6 million increase in total operating expenses, (ii) a $29.9 million increase in interest expense, and (iii) an $11.3 million decrease in equity income, net – related parties, Net cash provided by operating activities. Refer to Historical cash flow within this Item 2 for a discussion of the primary components of net cash provided by operating activities as compared to the prior periods.

Adjusted Gross Margin. Adjusted Gross Margin increased by $55.9$83.9 million compared tofor the three months ended DecemberJune 31,30, 2025,2026, primarily due to (i) increased volumesthroughput and disposal-fee revenue at the DBM water systems, including(ii) the acquisition of Aris,the andComanche complex, (iii) increased throughput, average prices, (ii)and annualvolumes cumulative catch-up adjustments for cost-of-service changes that decreased revenue during the fourth quarter of 2025sold at the DJ Basin oil and Springfield systems,complex, and (iiiiv) increased netaverage prices and volumes sold and net average prices at the WestPowder TexasRiver complex.Basin and Chipeta complexes.