South Bow Corp

Capital Program

1. Supplementary financial measure to assist the reader in understanding the Company's capital investments and capital allocation decisions. Refer to the Supplementary Financial Measures section of this MD&A for additional details.

2. Maintenance capital expenditures are generally recoverable through South Bow's tolling arrangements.

Total capital expenditures were $13 million and $34 million, respectively, for the three and nine months ended September 30, 2026, compared to $39 million and $146 million in the respective 2025 comparative periods.

Growth capital expenditures were lower during the three and nine months ended September 30, 2026 compared to the same periods in 2025, due to the Blackrod Connection Project being designated commercially in-service in March 2026. Growth capital investments in 2026 included the Blackrod Connection Project, land purchases, and the Prairie Connector project (refer to Recent Developments section of this MD&A for additional details).

Maintenance capital expenditures include investments to support the Company's operations and key infrastructure. Lower maintenance capital expenditures during the three and nine months ended September 30, 2026 compared to the same periods in 2025 primarily reflected one-time investments made in 2025 to support the Spinoff, including information systems and leasehold improvements, as well as lower spending on the Keystone Pipeline System in 2026.

Separation capital expenditures during the three and nine months ended September 30, 2025 related to one-time investments to support the Spinoff transition, including information system infrastructure.