Contract analysis

I. EXECUTIVE SUMMARY AND CONFERENCE OBJECTIVES A. Purpose of This Memorandum This memorandum is a privileged preparation document for the fourth settlement conference in this proceeding, which is scheduled for January 18, 2024, at 10:00 a.m. Eastern Time, before FERC Settlement Judge the Honorable Howard Margolis, at the Federal Energy Regulatory Commission's offices located at 888 First Street NE, Washington, DC 204

1. Present Ridgeline's revised settlement parameters. George Trujillo should use the joint session presentation to convey, in substantive but measured terms, that Ridgeline has made meaningful progress on its tariff redesign and is prepared to discuss settlement based on revised parameters reflecting that redesign work. The revised parameters — 12.50% ROE, 75% load factor, and the revised cost-of-service figure of $1

2. Narrow the three key sticking points. The conference should be used to test whether progress is possible on the three principal contested issues: (a) the return on equity, (b) the allocation of interconnection costs at the Wetzel County Interconnect, and (c) the load factor assumption used in rate design. Even incremental progress on any one of these issues would represent a meaningful advance over the prior confe

3. Gauge intervenor willingness to engage in structured global settlement negotiations. A central objective is to determine whether ATPC, MGPC, and CMGA are willing to engage in a structured, multi-session negotiation process aimed at a comprehensive settlement encompassing both docket numbers. If the intervenors express willingness, Ridgeline should propose a schedule for continued discussions. If they do not, Ridge

4. Provide Settlement Judge Margolis with evidence of progress. It is important that Settlement Judge Margolis perceive that the settlement process is yielding results, even if incremental, to justify the continuation of the settlement track alongside the dormant hearing. If the Settlement Judge concludes that further settlement conferences are unlikely to be productive, there is a risk that he will recommend termina

5. Preserve Ridgeline's litigation position. Throughout the conference, the Ridgeline team must ensure that all settlement communications remain privileged and that no binding concessions are made. All offers should be explicitly conditioned on a global resolution of all issues in both docket numbers. Ridgeline must preserve its right to file the redesigned tariff at the full $0.3140/Dth rate and to litigate that rat

II. ATTENDEES AND REPRESENTATION A. Ridgeline / DEH Team The following individuals will attend the fourth settlement conference on behalf of Ridgeline Midstream Services LLC and its parent entity, Desert Eagle Holdings LLC: George Trujillo — Responsible Partner, Calderwood & Harkness LLP. Mr. Trujillo will serve as lead negotiator for the Ridgeline team. He will make the opening presentation during the joint session

III. CURRENT PARTY POSITIONS — SUMMARY OF GAPS A. Overview Table of Key Contested Issues The following table summarizes the current positions of all parties on the five principal contested issues in this proceeding, together with the magnitude of the gap between Ridgeline's revised position and the intervenors' positions: Several observations about this table merit emphasis. First, the intervenors are substantially a

IV. DEH BOARD AUTHORITY LIMITS AND CONCESSION PARAMETERS A. Authorization Received Board authorization for the settlement negotiation parameters set forth in this Section IV was obtained through a written consent of Patricia Dunmore, in her capacity as Chairperson and 72% controlling shareholder of Desert Eagle Holdings LLC, dated January 8, 2024. Pursuant to the DEH operating agreement, Ms. Dunmore's written consent

V. TALKING POINTS BY ISSUE This section provides detailed talking points organized by issue for use during the joint session presentation and caucus discussions. George Trujillo should use these talking points as a framework for the presentation and adapt them as the discussion evolves. The talking points are structured with opening statements, rebuttal points, and concession positioning guidance for each issue. A. R