Hallador Energy : Investor Presentation – May 2026
HNRG
Published on 05/08/2026 at 10:20 pm EDT
INVESTOR PRESENTATION | May 2026
Power When You Need It HNRG
Company Overview
Vertically integrated independent power producer delivering reliable baseload power to the MISO region
At a Glance
Flagship Asset: 1 GW Merom Power Plant on ~691 acres in Sullivan, Indiana with 100% owned interconnection, creating high barriers to entry and future renewable integration potential
Strategic fuel advantage by owning Sunrise Coal, which produces ~3.6 million tons of coal annually and supplies Merom's fuel, ensuring cost control and supply security
Long-term visibility: ~$1.2 billion forward contracted sales book(1)
excluding recently signed 12-year capacity PPA with utility subsidiary
Active commercial pipeline: negotiating multi-year PPAs with utilities and data center developers
Major growth catalyst: MISO ERAS application accepted for 515 MW natural gas expansion (increasing current capacity by ~50%), accelerating diversification and margin expansion (2)
Longstanding Customer Relationships
40+
Year
History
1 GW
Current Power
Generation
515 MW
Expansion
Plans
$453.5M
TTM
Revenue
$42.1M
TTM
Adj. EBITDA
~$1.2B
Forward
Contracted Sales (1)
Note: Financial data as of March 31, 2026.
Forward contracted revenue positions as of March 31, 2026 and excludes the recently announced 12-year capacity agreement expected to generate ~ $1.0 billion of 3
contracted revenue from 2028 through 2040
Accepted ERAS application is currently under review by MISO.
Investment Highlights
MISO faces 4.7 GW summer shortfalls beginning in 2026 through 2031 while data center demand surges, driving price escalation and long-term need for baseload power(1)
Executed two multi-year PPAs, combined agreements total ~$1.1B of contracted capacity revenue through mid-2040; ~14
years sold forward, locking in attractive pricing and predictable cash flows
Vertically integrated platform and 100% interconnection ownership create durable competitive advantage
In December 2025, MISO accepted Hallador's ERAS application for 515 MW natural gas expansion (increasing current
capacity by ~50%); ERAS timeline ~3 years vs. 7+ years for greenfield projects(2)
Capacity markets tightening and repricing as accredited supply becomes the gating factor for large-load customers; retained open market position captures additional upside as data center and reshoring demand accelerates
Note: As of May 8, 2026.
Proven track record of execution; insiders own ~17% of the Company, ensuring strong alignment with shareholders
4
2025 OMS-MISO Survey Results dated June 6, 2025
Accepted ERAS application is currently under review by MISO.
Transformational Capacity Agreements Lock In Long-Term Value
Load serving counterparties increasingly prioritize long-term dispatchable capacity as tightening MISO markets drive structural repricing
3-Year PPA Signed Mar-26
Substantially all remaining accredited capacity contracted through spring 2029
~$86M cumulative contracted
revenue
Priced at ~2x vs. historical pricing levels
Establishes bridge to longterm contracted position
12-Year PPA Signed May-26
Long-duration agreement secures contracted revenue through 2040
Initial capacity commitments
begin in 2028
Priced above March PPA
Contracted volumes increase to ~2/3 of accredited capacity from 2029-2040
Long-term earnings and cash flow visibility
Structural repricing of dispatchable capacity
Supports long-term platform expansion
$1B cumulative contracted
revenue
$1.1B
Additional capacity-only contracted revenue
2x
Historical contracted capacity pricing
14 Years
Of accredited capacity sold forward
1/3rd
Available capacity for future sales
5
Note: As of May 8, 2026.
Hallador Expanding Strategic Value of the Merom Platform
Existing infrastructure and interconnection position Merom as a scalable platform for future dispatchable generation growth
Long-Term Contracted Capacity Revenue
Multi-year PPAs
locking in stable forecast revenue and cash flow
Today
Coal-Fired Dispatchable Generation
Proven baseload capacity serving MISO
customers
Before
P O W E R P L A T F O R M E V O L U T I O N
E R A S G R O W T H I N I T I A T I V E P O W E R & I N F R A S T R U C T U R E
L E A D E R S H I P A D D E D T O
B O A R D
Merom evolving into a multi-fuel, dispatchable
platform
Selected for one of 50 ERAS queue positions
Coal + Natural Gas Generation Platform
Scalable multi-fuel dispatchable generation platform
FUTURE
Evaluating up to 515 MW of natural gas
generation at Merom
Existing infrastructure and interconnection support accelerated development timeline
~$14MM refundable deposits funded to date
515 MW | ~3-Year Timeline
vs. 7+ years for greenfield projects
Barbara Sugg
Former CEO, Southwest Power Pool
Extensive grid operations, MISO market knowledge, and regulatory expertise
Daniel Hudson
CEO, Woodlands Energy Management
Power markets, energy infrastructure, and commercial development expertise
Adds utility, power markets, and infrastructure expertise as Hallador advances its multi-fuel generation strategy
6
Note: As of May 8, 2026.
Structural Supply Deficit + Growing Demand = Multi-Year Pricing Tailwind
Reliability Crisis
NERC rates MISO as "Elevated Risk" in 2027 and "High Risk" in 2028; with shortfalls expected under normal peak conditions beginning in 2028 (1)
Capacity Shortfalls
MISO projects an average 4.7 GW deficiency in generation resources
during summer seasons from planning year '26/'27 through '30/'31 (2)
Indiana's Data Center Expansion Accelerates
Amazon plans $15B investment for new campuses adding 2.4 GW of
capacity; Amazon's total investment in IN exceeds $31B since 2010 (3)
AI and Onshoring Tailwinds
Driving sustained demand growth
High Risk: shortfalls are likely to occur
Elevated Risk: shortfalls may occur in extreme conditions
Normal Risk: low likelihood of electric supply shortall
Merom Power Plant
Merom Plant located in an area deemed to be "High Risk"
by NERC as early as 2028
MISO faces a shortfall while data center demand surges, driving price escalation and long-term need for baseload power
Note: As of May 8, 2026.
Map Source: RTO Insider / NERC.
NERC 2025 Long-Term Reliability Assessment January 2026. 7
2025 OMS-MISO Survey results dated June 6, 2025.
Reuters - November 24, 2025, "Amazon to invest $15 billion in Indiana to boost data center infrastructure."
Long-Term Revenue Visibility with Retained Merchant Energy Upside
Long-term capacity agreements improve earnings visibility while preserving exposure to tightening MISO energy markets
Contracted Revenue Mix (1)
Contracted Forward Sales & Forward Energy Curve (2)
($ in millions)
$375
$300
$50
($/MW)
$40
~90% of variable cost controlled via owned fuel
− Mitigates supply volatility and market risk
− Optional third-party sourcing adds agility
Sunrise Coal proximity slashes transport costs
Merom fixed costs are currently covered through capacity revenue
Margin/Profit Opportunity
$225
$30
$150
$20
$75
$0
136
117
73
58
30
142
75
53
20
14
142
2026 2027 2028 2029
Contracted Capacity Revenue
$10
$0
2026 2027 2028 2029 2030 2031 2032
Recent capacity-only agreements preserve
full exposure to future energy pricing upside
Note: As of May 8, 2026.
Chart reflects disclosed forward contracted revenue positions as of March 31, 2026 and excludes the recently announced 12-year capacity agreement expected to generate ~ ~
$1.0 billion of contracted revenue from 2028 through 2040. Contracted balances include accredited capacity, energy forward sales, and third-party coal sales. 8
2026 & 2027 energy pricing reflects Hallador's contracted forward sales book as of March 2026. Energy pricing for 2028-2032 reflects the forward curve as of March 2026. See Forward Looking Statements.
Financial Foundation for the Future
Over $240 million re-invested in the business since 2022, while reducing debt
($ in millions)
$900
$800
$700
$600
Hallador Capital Expenditures(1)
$734
$832
$120
($ in millions)
$100
$80
Hallador Consolidated Debt
$500
$400
$300
$330
$293
$488
$238 $246
$60
~$99 million reduction in debt
$40
$200
$100
-
$54
$54
$183
$129
$75
$53
$20
$56
$8 $0
Dec. 2022 Mar. 2026
2022 2023 (2)
2024 2025 YTD 2026
$101.8M
Q1 2026
Revenue
$5.5M
Q1 2026 Adj. EBITDA
$97.5M
Q1 2026
Total Liquidity
$0.0
Bank Debt
$5.6M
Finance Leases
9
Note: Financial Data as of March 31, 2026, except Market Capitalization, which reflects the company's share price as of market close on May 7, 2026.
Represents cumulative capital expenditures of Hallador Energy Company since January 1, 2022; Excluding ERAS related capex.
Market capitalization reflects year-end values for 2022, 2023, and 2024. The 2025 figure represents the company's current market capitalization as of May 7, 2026.
Our Management Team is in Place to Deliver Long-Term Investor Value and
Drive Results
Brent Bilsland
Chairman of the Board, President and CEO
Todd Telesz
Chief Financial Officer
21 years with Hallador Energy
Previous Roles: Director of Hallador, Founding Member and President of Sunrise Coal, Co-founder of Knapper Corporation
Industry Leadership Roles: Reliable Energy Association, America's Power, National Mining Association, Indiana Coal Council
Joined Halldor Energy in June 2025
30 years in the power & finance sectors
Previous Roles: CFO of Tri-State Generation and Transmission Association Inc., CEO of Basin Electric Power Cooperative, SVP of CoBank's Power, Energy and Utilities Division
Elliott Batson
Chief Commercial Officer
Cham Kong
Sr. VP of Power Origination & Risk
9 years with Hallador Energy
Previous Roles: 30 years as Director of Coal at Charlotte, North Carolina-based Duke Energy
Board Roles: American Coal Council
2 years with Hallador Energy
20 years in the wholesale power market
Previous Roles: Sr. Originator at Constellation Energy Group. Vice President of Origination at ACES
Board Roles: North American Energy Markets Association
Heath Lovell
Chief Operating Officer & President of Hallador Power and Sunrise Coal
Heather Tryon
Sr. VP of Hallador Energy Company
4 years with Hallador Energy
25 years in the mining industry
Previous Roles: VP of Public Affairs at Alliance Coal, 16 years as VP of Operations at Alliance, VP and Partner at Dodge Hill Mining, General Manager of River View Coal and Webster County Coal
Board Roles: Kentucky Coal Association, West Virginia Coal Association, Indiana Coal Council, Reliable Energy, American Coal Council, National Coal Council
12 years with Hallador Energy
Serves as the CFO for Hallador Power and Sunrise Coal subsidiaries, and joined the Company in 2014 as Controller
Previous Roles: Controller at Speedco, Inc. and Audit Manager at CliftonLarsonAllen
Eric Van Deman
Chief Accounting Officer
Joined Hallador Energy in December 2025
Over 20 years in accounting, financial reporting, and audit leadership
Previous Roles: Vice President of Accounting Policy at Liberty Global; Audit practice at KPMG LLP (Denver and Paris)
10
World-Class Board with Strong Shareholder Alignment
Collectively Own ~17% of Common Shares Outstanding
Brent Bilsland
Chairman of the Board, President and CEO
Bryan Lawrence
Director
21 years with Hallador Energy
Previous Roles: Director of Hallador, Founding Member and President of Sunrise Coal, Co-founder of Knapper Corporation
Industry Leadership Roles: Reliable Energy Association, America's Power, National Mining Association, Indiana Coal Council
Previous Roles: Founder & Senior Manager, Yorktown Partners LLC. 30+ years as a Managing Director at Dillon, Read & Co. Inc.
Board Roles: Riley Exploration Permian, Star Group LP, Ramaco Resources, as well as several non-public energy companies
Zarrell Gray
Director
David Lubar
Director
Chair of the Nominations Committee.
Previous Roles: Executive Advisor, Teays Rivers; previously served as EVP & COO (2007-2021). 17+ years in the hybrid seed industry (1990-2007); principal owner of Gray's Seed, Inc.
Extensive board and capital markets experience. Involved in raising capital and debt facilities each exceeding $1B.
Chair of the Audit Committee.
Previous Roles: President and CEO of Lubar & Co.
Board Roles: Extensive board experience, including BMO Financial Corp, Northwestern Mutual, Ixonia Bank (Chairman), and the Milwaukee Brewers Baseball Club.
Daniel Hudson
Director
Barbara Sugg
Director
Previous Roles: Chairman & CEO, Woodlands Energy Management. Served as CEO, Chairman, and Committee Chair for numerous energy companies; provided oversight for portfolios exceeding 10,000 MW of thermal generation capacity; prior leadership roles at Duke Energy, NRG Energy, Xcel Energy, and Navigant.
Previous Roles: Former President & CEO, Southwest Power Pool. SVP of IT & Chief Security Officer.
Deep technology and cybersecurity expertise. Oversaw $2B in transmission initiatives and expanded SPP into the western interconnection.
Charles Wesley, IV
Director
Chair of the Compensation Committee
Previous Roles: President & CEO, Thoroughbred Resources LP. Chief Planning & Commercial Officer at Ramaco Resources. Senior Director of Finance & Senior Counsel at Lumen Technologies
11
(720) 330-2829
Balance Sheet
$ in Thousands USD
Mar 31, 2026
Dec 31, 2025
Assets
Cash, Cash Equivalents & Restricted Cash
$43,363
$15,372
Accounts Receivable
$9,152
$13,989
Inventory, Parts & Supplies
$95,057
$88,388
Total PP&E (net)
$284,834
$277,778
Other Assets
$16,226
$12,526
Total Assets
$448,632
$408,053
Liabilities
Accounts Payable / Accrued Liabilities
$54,896
$41,848
Lease Financing
$5,598
$8,749
Long-Term Bank Debt (net)
-
$29,678
Contract Liabilities
$162,318
$149,057
Other Liabilities
$20,246
$18,888
Total Liabilities
$243,058
$248,220
Total Shareholder Equity
$205,574
$159,833
13
Key Stats (May 7, 2026)
Revenue (Q1'26)
$101.8M
Stock Price
$18.87
Adj. EBITDA (Q1'26)
$5.5M
Market Cap
$889M
Operating Cash Flow (Q1'26)
$20.5M
Enterprise Value
$854M
Forward Sales (through 2029)(1)
$1.2B
EV/Revenue (TTM)
1.9x
Source: Capital IQ 14
1. Forward contracted revenue positions as of March 31, 2026 and excludes the recently announced 12-year capacity agreement expected to generate ~ $1.0 billion of contracted
revenue from 2028 through 2040
515 MW Natural Gas Expansion
December 2025: MISO accepted Hallador's final ERAS application for the 515 MW natural gas expansion at Merom (1)
MISO ERAS Program Supports ~50% Capacity Expansion
Attractive Opportunity
Accelerated Timeline
Positions Hallador to capture rising utility and data center demand with multi-year contracts
Addresses structural reliability shortfall in MISO
Diversifies fuel mix and enhances grid resilience
Leverages existing infrastructure for accelerated speed to market, lower capital costs, and scalable growth
~3 Years
(Target Online: 3Q 2029)
VS.
7+ Years
for Greenfield Projects
~50%
Existing Capacity
ERAS
Expansion
Pro Forma Capacity
Note: As of May 8, 2026. 15
1. Accepted ERAS application is currently under review by MISO.
Disclaimer
Hallador Energy Company published this content on May 08, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 09, 2026 at 02:19 UTC.