An updated slide deck from EQT reviewing 2Q15 results and projecting forward for the rest of 2015. Most importantly, EQT added two slides to this deck--pages 34 & 35--that contain production data on what is believed to be the single most initially productive Utica Shale well ever--and perhaps the single highest producing onshore shale well in the world. The Scotts Run 591340 well has broken every record there is!
ConocoPhillips (COP) today provided an update on its operating plan for Alaska, focusing on the company’s long history of creating value in the state and an ongoing commitment to invest in low cost of supply opportunities. Over the past few years, the company’s Alaska business has undergone a significant transformation, driven by a more competitive fiscal framework, cost reductions, technological advancements and an exploration renaissance.
ConocoPhillips (COP) today provided an update on its operating plan for Alaska, focusing on the company’s long history of creating value in the state and an ongoing commitment to invest in low cost of supply opportunities. Over the past few years, the company’s Alaska business has undergone a significant transformation, driven by a more competitive fiscal framework, cost reductions, technological advancements and an exploration renaissance.
Analyst PowerPoint presentation used for an analyst call on July 24, 2014 by EQT management. The deck contains a number of useful and interesting slides about EQT's drilling program and midstream (pipeline) operations. EQT continues to be a major player in the Marcellus. They plan to drill their very first Utica well later this year--in Greene County, PA.
EQT Corporation released updated numbers on May 31, 2013 for their estimated ultimate recovery (EUR) rates in the Marcellus Shale. EQT says the average well in southwest PA and WV will produce close to 10 billion cubic feet of natural gas per well over their lifetimes, while wells in central PA will produce around 6 1/2 billion cubic feet on average. The EUR numbers are up from previous estimates.
Analyst PowerPoint presentation used for an analyst call on July 24, 2014 by EQT management. The deck contains a number of useful and interesting slides about EQT's drilling program and midstream (pipeline) operations. EQT continues to be a major player in the Marcellus. They plan to drill their very first Utica well later this year--in Greene County, PA.
EQT Corporation released updated numbers on May 31, 2013 for their estimated ultimate recovery (EUR) rates in the Marcellus Shale. EQT says the average well in southwest PA and WV will produce close to 10 billion cubic feet of natural gas per well over their lifetimes, while wells in central PA will produce around 6 1/2 billion cubic feet on average. The EUR numbers are up from previous estimates.
Quarterly legislative action update: Marcellus and Utica shale region (4Q16)Marcellus Drilling News
A quarterly update from the legal beagles at global law firm Norton Rose Fulbright. A quarterly legislative action update for the second quarter of 2016 looking at previously laws acted upon, and new laws introduced, affecting the oil and gas industry in Pennsylvania, Ohio and West Virginia.
An update from Spectra Energy on their proposed $3 billion project to connect four existing pipeline systems to flow more Marcellus/Utica gas to New England. In short, Spectra has put the project on pause until mid-2017 while it attempts to get new customers signed.
A letter from Rover Pipeline to the Federal Energy Regulatory Commission requesting the agency issue the final certificate that will allow Rover to begin tree-clearing and construction of the 511-mile pipeline through Pennsylvania, West Virginia, Ohio and Michigan. If the certificate is delayed beyond the end of 2016, it will delay the project an extra year due to tree-clearing restrictions (to accommodate federally-protected bats).
DOE Order Granting Elba Island LNG Right to Export to Non-FTA CountriesMarcellus Drilling News
An order issued by the U.S. Dept. of Energy that allows the Elba Island LNG export facility to export LNG to countries with no free trade agreement with the U.S. Countries like Japan and India have no FTA with our country (i.e. friendly countries)--so this is good news indeed. Although the facility would have operated by sending LNG to FTA countries, this order opens the market much wider.
A study released in December 2016 by the London School of Economics, titled "On the Comparative Advantage of U.S. Manufacturing: Evidence from the Shale Gas Revolution." While America has enough shale gas to export plenty of it, exporting it is not as economic as exporting oil due to the elaborate processes to liquefy and regassify natural gas--therefore a lot of the gas stays right here at home, making the U.S. one of (if not the) cheapest places on the planet to establish manufacturing plants, especially for manufacturers that use natural gas and NGLs (natural gas liquids). Therefore, manufacturing, especially in the petrochemical sector, is ramping back up in the U.S. For every two jobs created by fracking, another one job is created in the manufacturing sector.
Letter From 24 States Asking Trump & Congress to Withdraw the Unlawful Clean ...Marcellus Drilling News
A letter from the attorneys general from 24 of the states opposed to the Obama Clean Power Plan to President-Elect Trump, RINO Senate Majority Leader Mitch McConnel and RINO House Speaker Paul Ryan. The letter asks Trump to dump the CPP on Day One when he takes office, and asks Congress to adopt legislation to prevent the EPA from such an egregious overreach ever again.
Report: New U.S. Power Costs: by County, with Environmental ExternalitiesMarcellus Drilling News
Natural gas and wind are the lowest-cost technology options for new electricity generation across much of the U.S. when cost, public health impacts and environmental effects are considered. So says this new research paper released by The University of Texas at Austin. Researchers assessed multiple generation technologies including coal, natural gas, solar, wind and nuclear. Their findings are depicted in a series of maps illustrating the cost of each generation technology on a county-by-county basis throughout the U.S.
Annual report issued by the U.S. Energy Information Administration showing oil and natural gas proved reserves, in this case for 2015. These reports are issued almost a year after the period for which they report. This report shows proved reserves for natural gas dropped by 64.5 trillion cubic feet (Tcf), or 16.6%. U.S. crude oil and lease condensate proved reserves also decreased--from 39.9 billion barrels to 35.2 billion barrels (down 11.8%) in 2015. Proved reserves are calculated on a number of factors, including price.
The monthly tabulation and prediction from the U.S. Energy Information Administration on production and activity in the largest 7 U.S. shale plays. All 7 shale plays will experience a decrease in natural gas production from the previous month due to low commodity prices.
Velocys is the manufacturer of gas-to-liquids (GTL) plants that convert natural gas (a hyrdocarbon) into other hydrocarbons, like diesel fuel, gasoline, and even waxes. This PowerPoint presentation lays out the Velocys plan to get the company growing. GTL plants have not (so far) taken off in the U.S. Velocys hopes to change that. They specialize in small GTL plants.
PA DEP Revised Permit for Natural Gas Compression Stations, Processing Plants...Marcellus Drilling News
In January 2016, Gov. Wolf announced the DEP would revise its current general permit (GP-5) to update the permitting requirements for sources at natural gas compression, processing, and transmission facilities. This is the revised GP-5.
PA DEP Permit for Unconventional NatGas Well Site Operations and Remote Piggi...Marcellus Drilling News
In January 2016, PA Gov. Wolf announced the Dept. of Environmental Protection would develop a general permit for sources at new or modified unconventional well sites and remote pigging stations (GP-5A). This is the proposed permit.
Onerous new regulations for the Pennsylvania Marcellus Shale industry proposed by the state Dept. of Environmental Protection. The new regs will, according to the DEP, help PA reduce so-called fugitive methane emissions and some types of air pollution (VOCs). This is liberal Gov. Tom Wolf's way of addressing mythical man-made global warming.
The monthly Short-Term Energy Outlook (STEO) from the U.S. Energy Information Administration for December 2016. This issue makes a couple of key points re natural gas: (1) EIA predicts that natural gas production in the U.S. for 2016 will see a healthy decline over 2015 levels--1.3 billion cubic feet per day (Bcf/d) less in 2016. That's the first annual production decline since 2005! (2) The EIA predicts the average price for natural gas at the benchmark Henry Hub will climb from $2.49/Mcf (thousand cubic feet) in 2016 to a whopping $3.27/Mcf in 2017. Why the jump? Growing domestic natural gas consumption, along with higher pipeline exports to Mexico and liquefied natural gas exports.
A sort of "year in review" for the gas industry in the northeast. If you could boil it all down, the word that appears prominently throughout is "delay" with respect to important natgas pipeline projects. From the Constitution, which should have already been built by now, to smaller projects, delays were the prominent trend for 2016.
The Pennsylvania Public Utility Commission responded to each point raised in a draft copy of the PA Auditor General's audit of how Act 13 impact fee money, raised from Marcellus Shale drillers, gets spent by local municipalities. The PUC says it's not their job to monitor how the money gets spent, only in how much is raised and distributed.
Pennsylvania Public Utility Commission Act 13/Impact Fees Audit by PA Auditor...Marcellus Drilling News
A biased look at how 60% of impact fees raised from PA's shale drilling are spent, by the anti-drilling PA Auditor General. He chose to ignore an audit of 40% of the impact fees, which go to Harrisburg and disappear into the black hole of Harrisburg spending. The Auditor General claims, without basis in fact, that up to 24% of the funds are spent on items not allowed under the Act 13 law.
The final report from the Pennsylvania Dept. of Environmental Protection that finds, after several years of testing, no elevated levels of radiation from acid mine drainage coming from the Clyde Mine, flowing into Ten Mile Creek. Radical anti-drillers tried to smear the Marcellus industry with false claims of illegal wastewater dumping into the mine, with further claims of elevated radiation levels in the creek. After years of testing, the DEP found those allegations to be false.
FERC Order Denying Stay of Kinder Morgan's Broad Run Expansion ProjectMarcellus Drilling News
Several anti-drillers filed an appeal of the Federal Energy Regulatory Commission's Certificate for the Kinder Morgan Broad Run Expansion Project, asking for a stay claiming a removal of 40 acres of forest for a compressor station would irreparably harm Mom Earth. FERC has ruled against the stay and told the antis Mom Earth will be just fine.
In a May 9, 2024 paper, Juri Opitz from the University of Zurich, along with Shira Wein and Nathan Schneider form Georgetown University, discussed the importance of linguistic expertise in natural language processing (NLP) in an era dominated by large language models (LLMs).
The authors explained that while machine translation (MT) previously relied heavily on linguists, the landscape has shifted. “Linguistics is no longer front and center in the way we build NLP systems,” they said. With the emergence of LLMs, which can generate fluent text without the need for specialized modules to handle grammar or semantic coherence, the need for linguistic expertise in NLP is being questioned.
‘वोटर्स विल मस्ट प्रीवेल’ (मतदाताओं को जीतना होगा) अभियान द्वारा जारी हेल्पलाइन नंबर, 4 जून को सुबह 7 बजे से दोपहर 12 बजे तक मतगणना प्रक्रिया में कहीं भी किसी भी तरह के उल्लंघन की रिपोर्ट करने के लिए खुला रहेगा।
हम आग्रह करते हैं कि जो भी सत्ता में आए, वह संविधान का पालन करे, उसकी रक्षा करे और उसे बनाए रखे।" प्रस्ताव में कुल तीन प्रमुख हस्तक्षेप और उनके तंत्र भी प्रस्तुत किए गए। पहला हस्तक्षेप स्वतंत्र मीडिया को प्रोत्साहित करके, वास्तविकता पर आधारित काउंटर नैरेटिव का निर्माण करके और सत्तारूढ़ सरकार द्वारा नियोजित मनोवैज्ञानिक हेरफेर की रणनीति का मुकाबला करके लोगों द्वारा निर्धारित कथा को बनाए रखना और उस पर कार्यकरना था।
31052024_First India Newspaper Jaipur.pdfFIRST INDIA
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role of women and girls in various terror groupssadiakorobi2
Women have three distinct types of involvement: direct involvement in terrorist acts; enabling of others to commit such acts; and facilitating the disengagement of others from violent or extremist groups.
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03062024_First India Newspaper Jaipur.pdfFIRST INDIA
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2. 2
EQT Corporation (NYSE: EQT)
EQT Plaza
625 Liberty Avenue, Suite 1700
Pittsburgh, PA 15222
Pat Kane - Chief Investor Relations Officer
(412) 553-7833
The Securities and Exchange Commission (SEC) permits oil and gas companies, in their filings with the SEC, to disclose only proved, probable and possible
reserves that a company anticipates as of a given date to be economically and legally producible and deliverable by application of development projects to known
accumulations. We use certain terms in this presentation, such as “EUR” (estimated ultimate recovery) and total resource potential, that the SEC's rules strictly
prohibit us from including in filings with the SEC. We caution you that the SEC views such estimates as inherently unreliable and these estimates may be
misleading to investors unless the investor is an expert in the natural gas industry. We also note that the SEC strictly prohibits us from aggregating proved,
probable and possible (3P) reserves in filings with the SEC due to the different levels of certainty associated with each reserve category.
Disclosures in this presentation contain certain forward-looking statements. Statements that do not relate strictly to historical or current facts are forward-looking.
Without limiting the generality of the foregoing, forward-looking statements contained in this presentation specifically include the expectations of plans, strategies,
objectives and growth and anticipated financial and operational performance of the Company and its subsidiaries, including guidance regarding the Company’s
strategy to develop its reserves; drilling plans and programs (including spacing and the number, type, depth, lateral length and location of wells to be drilled);
projected natural gas prices, liquids price uplift, basis, recoveries and average differential; projected market mix; total resource potential, reserves, EUR, expected
rates and pressures, and expected decline curve; projected production sales volume and growth rates (including liquids sales volume and growth rates); internal
rate of return (IRR), compound annual growth rate (CAGR), and expected after-tax returns per well; technology (including drilling and completion techniques);
projected finding and development costs, operating costs, unit costs, well costs, and midstream revenue deductions; projected gathering and transmission volumes
and growth rates; the Company’s access to, and timing of, capacity on pipelines; infrastructure programs (including the timing, cost and capacity of expected
gathering and transmission expansion projects); the timing, cost, capacity and expected interconnects with facilities and pipelines of the Ohio Valley Connector and
Mountain Valley Pipeline (MVP) projects; the ultimate terms, partners, and structure of the MVP joint venture; projected EBITDA; monetization transactions,
including midstream asset sales (dropdowns) to EQT Midstream Partners, LP (EQM) and other asset sales and joint ventures or other transactions involving the
Company’s assets; and the Company’s use of proceeds from the initial public offering of EQT GP Holdings, LP (EQGP) common units; the amount and timing of
any repurchases under the Company’s share repurchase authorization; projected capital expenditures; liquidity and financing requirements, including funding
sources and availability; projected operating revenue and cash flows; hedging strategy; the effects of government regulation and litigation; dividend and distribution
amounts and rates; and tax position. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from
projected results. Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. The Company has based
these forward-looking statements on current expectations and assumptions about future events. While the Company considers these expectations and
assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks and uncertainties, many of
which are difficult to predict and beyond the Company’s control. The risks and uncertainties that may affect the operations, performance and results of the
Company’s business and forward-looking statements include, but are not limited to, those set forth under Item 1A, “Risk Factors,” of the Company’s Form 10-K for
the year ended December 31, 2014, as updated by any subsequent Form 10-Qs. Any forward-looking statement speaks only as of the date on which such
statement is made and the Company does not intend to correct or update any forward-looking statement, whether as a result of new information, future events or
otherwise.
Information in this presentation regarding EQGP and its subsidiaries, including EQM, is derived from publicly available information published by EQGP and EQM.
EQT Cautionary Statements
3. 3
The Company uses Adjusted EQT Midstream EBITDA as a financial measure in this presentation.
Adjusted EQT Midstream EBITDA is defined as the Company’s EQT Midstream business segment’s
operating income (loss) plus depreciation and amortization expense less gains on dispositions.
Adjusted EQT Midstream EBITDA also excludes the Company’s EQT Midstream business segment’s
results associated with the Big Sandy Pipeline and Langley processing facility. Adjusted EQT
Midstream EBITDA is not a financial measure calculated in accordance with generally accepted
accounting principles (GAAP). Adjusted EQT Midstream EBITDA is a non-GAAP supplemental
financial measure that Company management and external users of the Company’s financial
statements, such as industry analysts, investors, lenders and rating agencies, use to assess: (i) the
Company’s performance versus prior periods; (ii) the Company’s operating performance as compared
to other companies in its industry; (iii) the ability of the Company’s assets to generate sufficient cash
flow to make distributions to its investors; (iv) the Company’s ability to incur and service debt and fund
capital expenditures; and (v) the viability of acquisitions and other capital expenditure projects and the
returns on investment of various investment opportunities.
The Company believes that the presentation of Adjusted EQT Midstream EBITDA in this presentation
provides useful information in assessing the Company’s financial condition and results of operations.
Adjusted EQT Midstream EBITDA should not be considered as an alternative to EQT Midstream
operating income or any other measure of financial performance or liquidity presented in accordance
with GAAP. Adjusted EQT Midstream EBITDA has important limitations as an analytical tool because
it excludes some but not all items that affect operating income. Additionally, because Adjusted EQT
Midstream EBITDA may be defined differently by other companies in the Company’s industry, the
Company’s definition of Adjusted EQT Midstream EBITDA will most likely not be comparable to
similarly titled measures of other companies, thereby diminishing the utility of the measure. Please see
the Appendix for a reconciliation of Adjusted EQT Midstream EBITDA to EQT Midstream operating
income, its most directly comparable financial measure calculated in accordance with GAAP.
The Company is unable to provide a reconciliation of projected EBITDA to projected operating income,
the most comparable financial measure calculated in accordance with GAAP, due to the unknown
effect, timing and potential significance of certain income statement items.
Non-GAAP Measures
4. 4
Finding and development costs (F&D costs) from all sources for peer companies presented in this
presentation are calculated as the cost incurred, relating to natural gas and oil activities in accordance
with Financial Accounting Standards Board Accounting Standards Codification 932 (ASC 932), divided
by the sum of extensions, discoveries and other additions; purchase of natural gas and oil in place;
and revisions of previous estimates, as provided for years 2012 – 2014 and derived from publicly
available information filed with the SEC.
Per unit operating expenses are calculated by dividing the sum of lease operating expenses,
production taxes and the gathering and transmission costs for equity gas, by production sales volumes
for the same period. Per unit operating expenses in the presentation are calculated from publicly
available information filed with the SEC for the year ended December 31, 2014.
Calculations Within This Presentation
5. 5
Extensive reserves of natural gas*
10.7 Tcfe Proved; >22 years R/P
42.8 Tcfe 3P; >87 years R/P
53 Tcfe Total Resource Potential; >108 years R/P
Proven ability to profitably develop our reserves
>25% production sales volume growth forecasted in 2015
Industry leading cost structure
Extensive and growing midstream business
EQT owns 90% interest in EQT GP Holdings, LP (NYSE: EQGP)
EQGP owns:
30% LP interest, 2% GP interest and incentive distribution rights of EQT
Midstream Partners, LP (NYSE: EQM)
Strong liquidity position
$2.0 billion cash**
$1.5 billion undrawn, unsecured revolver
Key Investment Highlights
*As of 12/31/14
**As of 07/23/15, excludes EQM
6. 6
2014 Operating Income of $853.4 million
Leading Appalachian E&P Company
10.7 Tcfe proved reserves
3.4 MM acres
9,100 pipeline miles
As of 12/31/14
9. 9
Near term development focused in four areas
Marcellus Play
600,000 EQT acres
86% NRI / 80% HBP
28% “wet”
23.3 Tcfe 3P
31 Tcfe total resource potential
140 wells in 2015
Central PA
Southwestern PA
Northern WV (Wet)
EQT acreage
Northern WV (Dry)
10. 10
Marcellus Play
Southwestern PA
*As of 06/30/2015
EQT acreage
Producing pads
Oliver West Pad
7 wells
3,986’ Avg. Lateral Length per well
61.7 Bcfe Total Pad EUR
Gallagher Pad
11 wells
4,667’ Avg. Lateral Length per well
108.3 Bcfe Total Pad EUR
Kevech Pad
6 wells
2,970’ Avg. Lateral Length per well
54.6 Bcfe Total Pad EUR
Scotts Run Pad
8 wells
5,814’ Avg. Lateral Length per well
105.6 Bcfe Total Pad EUR
Tharpe Pad
10 wells
6,275’ Avg. Lateral Length per well
124.6 Bcfe Total Pad EUR
140,000 EQT acres
1,560 locations
281 wells online*
79 wells in 2015
5,400’ laterals
89 acre spacing
11.3 Bcfe EUR / well
2,088 Mcfe EUR / ft. of lateral
$5.7 MM / well
11. 11
EQT acreage
Producing pads
BIG 190 Pad
8 wells
5,657’ Avg. Lateral Length per well
100.0 Bcfe Total Pad EUR
PEN 16 Pad
5 wells
3,562’ Avg. Lateral Length per well
39 Bcfe Total Pad EUR
SMI 27 Pad
7 wells
6,084’ Avg. Lateral Length per well
100.9 Bcfe Total Pad EUR
Marcellus Play
Northern West Virginia – Wet Gas Area
90,000 EQT acres
940 locations
196 wells online*
45 wells in 2015
5,400’ laterals
94 acre spacing
11.0 Bcfe EUR / well
2,043 Mcfe EUR / ft. of lateral*
$5.7 MM / well
*As of 06/30/2015
12. 12
EQT acreage
Producing pads
Gibson Pad
2 wells
6,373’ Avg. Lateral Length per well
15.8 Bcfe Total Pad EUR
Frano Pad
3 wells
4,409’ Avg. Lateral Length per well
20.4 Bcfe Total Pad EUR
Rosborough Pad
2 wells
4,142’ Avg. Lateral Length per well
12.0 Bcfe Total Pad EUR
Marcellus Play
Central Pennsylvania
80,000 EQT acres
620 locations
75 wells online*
9 wells in 2015
5,400’ laterals
124 acre spacing
7.4 Bcfe EUR / well
1,375 Mcfe EUR / ft. of lateral
$5.7 MM / well
*As of 06/30/2015
13. 13
EQT acreage
Producing pads
GRT 26 Pad
2 wells
3,270’ Avg. Lateral Length per well
17.7 Bcfe Total Pad EUR
RSM 119 Pad
6 wells
3,537’ Avg. Lateral Length per well
32.3 Bcfe Total Pad EUR
Flanigan Pad
2 wells
6,889’ Avg. Lateral Length per well
20.3 Bcfe Total Pad EUR
Marcellus Play
Northern West Virginia – Dry Gas Area
33,000 EQT acres
300 locations
52 wells online*
7 wells in 2015
5,400’ laterals
109 acre spacing
9.4 Bcfe EUR / well
1,741 Mcfe EUR / ft. of lateral
$5.7 MM / well
*As of 06/30/2015
14. 14
Marcellus Economics
IRR - Blended Marcellus Development Areas
Realized Price
See appendix for IRR by development area
0%
50%
100%
150%
200%
250%
300%
350%
400%
$2.50 $3.00 $3.50 $4.00
Wellhead After OpEx After Tax
PRICE ATAX IRR
$2.50 16%
$3.00 34%
$3.50 57%
$4.00 89%
15. 15
Dry Utica / Point Pleasant Potential
EQT acreage
Scotts Run 591340 Pad
3,221’ treated interval
24 hr. IP: 72.9 MMcf
22.6 MMcf / 1000’
8,641 psi flowing casing pressure
0.95 pore pressure gradient
Wetzel County well planned
for 3rd quarter 2015
400,000 EQT acres
3,000 locations
3 wells in 2015
13,500’ deep
5,400’ lateral
$12.5 – $14.5 MM / well
Targeting deep, high pressure rock beneath existing
development areas
Greene County well planned
for 3rd quarter 2015
17. 17
Transmission & Storage*
3.5 Bcf/d current capacity
47 Bcf gas storage capacity
Gathering*
2 Bcf/d capacity
Formed MLP in 2012 (NYSE: EQM)
EQT Corporation Midstream
Overview – Consolidated
*As of 12/31/2014
**Excludes Big Sandy and Langley in 2010-2011; see Non-GAAP Reconciliation in the appendix
***Pro-forma reflecting full-year impact of Northern West Virginia Marcellus Gathering System acquisition
0
100
200
300
400
500
600
700
$0
$100
$200
$300
$400
$500
$600
2010 2011 2012 2013 2014 2015E***
EQT Midstream
EQT Midstream Partners, LP
Production Sales Volumes (Bcfe)
EQT Corporation Adjusted EQT Midstream EBITDA**
EQT Production sales drive EQT
Midstream EBITDA growth
18. 18
EQT Corporation Midstream
Marcellus Midstream Assets
Allegheny Valley
Connector
200-mile FERC pipeline
450 MMcf/d capacity
~$30MM CAPEX in 2015
~$40 MM projected annual
EBITDA
2015 Gathering CAPEX
$135 - $160 MM
Tioga
65 MMcf/d
Terra
80 MMcf/d
Longhorn
130 MMcf/d
Applegate
150 MMcf/d
Allegheny
Valley
Connector
19. 19
EQT owns 90% LP interest of EQGP
EQGP owns in EQM
30% limited partner interest
2% general partner interest
incentive distribution rights
EQT GP Holdings, LP (NYSE: EQGP)
EQGP Price
per Unit
Value of EQGP Units
held by EQT ($MM)
Value per
EQT share
$29 $6,951 $46
$30 $7,191 $47
$31 $7,431 $49
$32 $7,670 $50
20. 20
Transmission & Storage
3.1 Bcf/d current capacity
700 mile FERC-regulated
interstate pipeline
32 Bcf of gas storage capacity
Gathering System
Jupiter Gathering System
Supports EQT PA dry gas
production
Northern West Virginia Marcellus
Gathering System
Supports EQT wet and dry gas
production
EQT Midstream Partners, LP (NYSE: EQM)
21. 21
Ohio Valley Connector
36-mile FERC regulated pipeline
to connect transmission in West
Virginia to Clarington, OH
Mid-2016 in-service
~1 Bcf/d capacity
650 MMcf/d contracted under
firm 20-year term
Mountain Valley Pipeline
300-mile FERC-regulated
pipeline to growing demand
center in southeast US
Q4 2018 in-service
JV with NextEra Energy, WGL
Midstream, and Vega Energy
Partners
2 Bcf/d capacity commitments
20-year term
EQT Midstream Partners, LP
Growth Projects
22. 22
Safety – Our first priority
All accidents are preventable
Company goal = zero incidents
Committed to:
The environment
Our employees and contractors
The communities where we drill and work
EQT Foundation charitable giving of >$4 million / year
More than $20 million / year in state and local taxes
Corporate Citizenship
23. 23
Committed to operate in accordance with federal, state and
local regulations
Industry leading spill prevention plans and results
Supports the disclosure of frac fluid additives
Utilize multiple barriers to protect drinking water supplies
Pre-drilling water sampling within 2,500’ of drilling locations
Multi-well pads reduce surface impacts
Drilling and Hydraulic Fracturing
24. 24
Extensive reserves of natural gas
Proven ability to profitably develop our reserves
>25% production sales volume growth forecasted in 2015
Strong liquidity position
Committed to maximize shareholder value by:
Accelerating the monetization of our vast reserves
Operating in a safe and environmentally responsible manner
Investment Summary
26. 26
$3.05 $3.05
$0.61
$0.13
$0.48
$3.66 $3.66
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
Not Processed Processed
$/Mcf
NGLs (1.6 Gal/Mcf)
Btu Premium
NYMEX
Liquids
Volume Growth and Marcellus Impact
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
2009 2010 2011 2012 2013 2014 2015F
Mbbls
Includes natural gas liquids and oil
Liquids Volume Growth Marcellus Liquids Price Impact
(1200 Btu Gas)
Pricing is as of 7/20/2015 and is the 1 year forward NYMEX
and Mount Belvieu for Propane $0.47, Iso-Butane $0.63,
Normal Butane $0.62, and Pentanes $1.10
27. 27
Capital Investment Summary
Excludes acquisitions and EQT Midstream Partners, LP
Midstream Production Distribution
0.0
0.5
1.0
1.5
2.0
2.5
3.0
2011 2012 2013 2014 2015F
$B
$1.2 $1.3
$1.6
$1.9 $1.8
28. 28
EQT has 600,000 total Marcellus acres
Expect to develop in four areas for several years
Active areas represent 343,000 acres and 3,420 locations
EQT has 123,000 additional acres in PA & 134,000 additional
acres in WV
Estimated 1,200 Mcfe EUR per lateral foot for wells drilled on
additional acres
Marcellus Play
Acres Within Each Core Development Area
Type curve and well cost data posted on www.eqt.com under investor relations
1Based on 5,400 laterals with lateral spacing estimates ranging from 500’ to 1,000’
2EQT holds approximately 50,000 acres in the northern WV dry area – near-term development focused on 33,000 acres
3EQT holds approximately 160,000 acres in central PA – near-term development is focused on 80,000 acres
EUR (Mcfe) /
Lateral Foot
Total Net
Acres
Total Net
Undeveloped
Acres Locations¹
Southwestern PA 2,088 140,000 113,000 1,560
Northern WV - Wet1
2,043 90,000 70,000 940
Northern WV - Dry² 1,741 33,000 27,000 300
Central PA3
1,375 80,000 69,000 620
343,000 279,000 3,420
34. 34
Record Utica IP of 22.6 MMcf / 1000’
3,221’ Lateral Length
Dry Utica Well Update: Scotts Run 591340
Rate and Pressure vs. Time
7 Day Test Period
Average: 27 MMcfd
with 9,563 CFP
24 Hour
Test Period
IP: 72.9
MMcfd
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
11,000
12,000
13,000
14,000
15,000
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
100,000
110,000
0 1 2 3 4 5 6 7 8 9
CasingFlowingPressure(psig)
GasRate(Mcf/d)
Delta Time (Days)
Gas Rate
CFP
35. 35
Dry Utica Well Results: Scotts Run 591340
Cumulative Production vs. Time
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
200,000
220,000
240,000
260,000
280,000
300,000
0 1 2 3 4 5 6 7 8 9
CumulativeProduction(Mcf)
Delta Time(Days)
Cumulative Production
Cumulative Production/1000 ft
36. 36
Developed in conjunction with Marcellus
Upper Devonian Play
*As of 06/30/2015
Upper Devonian
development area
170,000 EQT acres
1,560 locations
36 wells online*
24 wells in 2015
6,300’ laterals
109 acre spacing
8.7 Bcfe EUR / well
1,388 Mcfe EUR / ft. of lateral
$5.9 MM / well
EQT acreage
37. 37Type curve and well cost data posted on www.eqt.com under investor relations
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
11,000
1 11 21 31 41 51 61 71 81 91
DailyProduction(MCFED)
Time in Months
(First 100 Months Represented)
Upper Devonian Play
Type Curve – 6,300’ lateral
40. 40
($ MM, except net debt / capital) June 30, 2015
Short-term debt* $ -
Long-term debt* 2,478
Cash and cash equivalents* (1,957)
Net debt (total debt minus cash)* $ 521
Total common stockholders' equity $ 5,139
9%Net debt / capital
Ample Financial Flexibility to Execute Business Plan
Moody’s Standard & Poor’s Fitch
Long-term debt Baa3 BBB BBB-
Outlook Stable Stable Stable
EQT Debt ratings
Manageable debt maturities*
Strong balance sheet
41. 41
Risk Management
Hedging
*The average price is based on a conversion rate of 1.05 MMBtu/Mcf
**July through December
***For 2016 and 2017, the Company also has a natural gas sales agreement for 35 Bcf that includes a NYMEX
ceiling price of $4.88/Mcf. The Company also sold calendar year 2016 and 2017 calls for approximately 11 Bcf and
13 Bcf at strike prices of $3.65 per Mcf and $3.90 per Mcf, respectively.
2015** 2016*** 2017***
Fixed Price
Total Volume (Bcf) 158 201 74
Average Price per Mcf (NYMEX)* $ 3.97 $ 4.00 $ 3.84
Collars
Total Volume (Bcf) 0.19 – 7
Average Floor Price per Mcf (NYMEX)* $ 4.55 $ – $ 3.15
Average Cap Price per Mcf (NYMEX)* $ 7.21 $ – $ 4.03
42. 42
Three Months Ended
June 30,
Six Months Ended
June 30,
in thousands (unless noted) 2015 2014 2015 2014
LIQUIDS
NGLs:
Sales volume (MMcfe) (a) 12,444 7,954 25,725 15,721
Sales volume (Mbbls) 2,074 1,326 4,288 2,620
Gross price ($/Bbl) $ 15.58 $ 43.78 $ 18.97 $ 49.67
Gross NGL sales $ 32,304 $ 58,034 $ 81,318 $ 130,148
Third-party processing (18,733) (15,755) (37,114) (27,573)
Net NGL sales $ 13,571 $ 42,279 $ 44,204 $ 102,575
Oil:
Sales volume (MMcfe) (a) 1,138 395 2,148 699
Sales volume (Mbbls) 190 66 358 116
Net price ($/Bbl) $ 45.91 $ 89.75 $ 41.99 $ 86.85
Net oil sales $ 8,706 $ 5,903 $ 15,034 $ 10,117
Net liquids sales $ 22,277 $ 48,182 $ 59,238 $ 112,692
NATURAL GAS
Sales volume (MMcf) 133,469 101,788 264,376 199,839
NYMEX price ($/MMBtu) $ 2.64 $ 4.67 $ 2.81 $ 4.79
Btu uplift $ 0.23 $ 0.37 $ 0.25 $ 0.36
Gross natural gas price ($/Mcf) $ 2.87 $ 5.04 $ 3.06 $ 5.15
Basis ($/Mcf) $ (1.22) $ (0.84) $ (1.11) $ (0.55)
Recoveries ($/Mcf) (b) 0.50 0.33 1.00 0.79
Cash settled basis swaps (not designated as hedges) ($/Mcf) (0.02) — (0.04) (0.05)
Average differential ($/Mcf) $ (0.74) $ (0.51) $ (0.15) $ 0.19
Average adjusted price - unhedged ($/Mcf) $ 2.13 $ 4.53 $ 2.91 $ 5.34
Cash settled derivatives (cash flow hedges) ($/Mcf) 0.53 (0.18) 0.53 (0.24)
Cash settled derivatives (not designated as hedges) ($/Mcf) 0.25 0.01 0.17 —
Average adjusted price, including cash settled derivatives
($/Mcf) $ 2.91 $ 4.36 $ 3.61 $ 5.10
Net natural gas sales, including cash settled derivatives $ 388,683 $ 444,159 $ 954,263 $ 1,021,862
Price Reconciliation
(a) NGLs and crude oil were converted to Mcfe at the rate of six Mcfe per barrel for all periods.
(b) Recoveries represent differences in natural gas prices between the Appalachian Basin and the sales points of other markets reached by utilizing
transportation capacity, differences in natural gas prices between Appalachian Basin and fixed price sales contracts, term sales with fixed differentials
to NYMEX and other marketing activity, including the sale of unused capacity. Recoveries includes approximately $0.19 and $0.20 per Mcf for the
three months ended June 30, 2015 and 2014, respectively, and $0.21 and $0.18 per Mcf for the six months ended June 30, 2015 and 2014,
respectively, for the sale of unused capacity.
43. 43
Price Reconciliation (continued)
TOTAL PRODUCTION
Total net natural gas & liquids sales, including cash settled
derivatives $ 410,960 $ 492,341 $ 1,013,501 $ 1,134,554
Total sales volume (MMcfe) 147,051 110,136 292,249 216,259
Net natural gas & liquids price, including cash settled
derivatives ($/Mcfe) $ 2.80 $ 4.47 $ 3.47 $ 5.25
Midstream Deductions ($/Mcfe)
Gathering to EQT Midstream $ (0.75) $ (0.74) $ (0.75) $ (0.74)
Transmission to EQT Midstream (0.20) (0.19) (0.19) (0.20)
Third-party gathering and transmission costs (0.44) (0.54) (0.45) (0.54)
Total midstream deductions $ (1.39) $ (1.47) $ (1.39) $ (1.48)
Average realized price to EQT Production ($/Mcfe) $ 1.41 $ 3.00 $ 2.08 $ 3.77
Gathering and transmission to EQT Midstream ($/Mcfe) $ 0.95 $ 0.93 $ 0.94 $ 0.94
Average realized price to EQT Corporation ($/Mcfe) $ 2.36 $ 3.93 $ 3.02 $ 4.71
44. 44
Per Unit Operating Expenses
UNIT COSTS
Three Months Ended
June 30,
Six Months Ended
June 30,
2015 2014 2015 2014
Production segment costs: ($/Mcfe)
LOE $ 0.12 $ 0.14 $ 0.12 $ 0.14
Production taxes 0.09 0.15 0.10 0.15
SG&A 0.21 0.30 0.25 0.27
$ 0.42 $ 0.59 $ 0.47 $ 0.56
Midstream segment costs: ($/Mcfe)
Gathering and transmission $ 0.18 $ 0.21 $ 0.17 $ 0.20
SG&A 0.14 0.16 0.14 0.15
$ 0.32 $ 0.37 $ 0.31 $ 0.35
Total ($/Mcfe) $ 0.74 $ 0.96 $ 0.78 $ 0.91