Key Investment Highlights We have extensive reserves of natural gas* 5.2 Tcfe Proved; 35 years R/P 21.2 Tcfe 3P; 150 years R/P 32 Tcfe Potential; 200 years R/P We have proven ability to profitably develop our reserves Superior and…
Leading Appalachian E&P Company 2010 operating income 470.5 million 5.2 Tcfe proved res. 12,000 pipeline miles 275,000 customers 3.5 MM acres www.eqt.com 4
Reserves By Play As of December 31, 2010 5.2 Tcfe proved reserves 21.2 Tcfe 3P reserves Other 0.8 Marcellus 2.9 Huron 1.5 Marcellus 12.2 Huron 7.4 32 Tcfe Total Resource Potential www.eqt.com 5
Marcellus Play 530,000 EQT acres 17 wells 12.2 Tcfe 3P OH 20 Tcfe resource potential 6.7 MM / well* 74 wells PA 7.3 Bcfe EUR / well* MD 5,300 ft average length 41 wells 132 wells in 2012 WV EQT Acreage Extended laterals…
Marcellus Economics 41% ATAX Return at 4.50 NYMEX www.eqt.com 7
Marcellus New Frac Design www.eqt.com 8
Marcellus New Frac Design Illustrative Preliminary Results, 900 of horizontal wellbore Standard Design New Design 3 Stages 6 Stages Total number 677 1843 of events Average New Design events per 226 307 stage Area of…
Huron Play 2.7 MM EQT acres 7.4 Tcfe 3P WV 10 Tcfe resource potential 1.0 Bcfe EUR / well KY 1.5 MM / well 120 wells 5,200 ft. average length VA 120 wells in 2012 EQT Acreage High liquids content adds to return Focus…
Production By Play Marcellus Shale Drilling Driving Growth 800 Marcellus Huron horizontal CBM Vertical Production MMcfd 400 Began horizontal drilling 0 2006 2006 2007 2007 2008 2008 2009 2009 2010 2010 20112011E…
EQTs Performance Horizontal Shale Drilling Driving Growth Horizontal Marcellus Total Sales Volumes 300 600,000 140 250 500,000 120 Number of wells 100 400,000 200 Feet of pay 80 300,000 Bcfe 60 150 200,000 40…
Industry Leading Cost Structure 6.00 3-year F&D (all sources) Mean = 2.78 0.93 /Mcfe 3.00 0.00 APA PVA APC WLL SWN DVN WMB VQ UPL NBL BEXP QEP EP NFX GDP RRC…
EQT Midstream Gathering Additions Total Capacity 2012 capacity at year- capacity after (MMcfd) end 2011 additions additions Pennsylvania 440 220 660 Longhorn 40 MMcfd West Virginia 85 160 245 Expansion Total 525 380 905…
Equitrans Expansion 2011 year-end capacity 800 MMcfd 2012 capacity expansion 450 MMcfd for 155 MM Future expansion opportunities: 470 MMcfd for 50 MM Legend Existing Equitrans Proposed Expansion Proposed Compressor…
Interstate Capacity Contract with El Paso TGP Northeast Expansion Project Links EQT Production to northeast and southeast markets 350,000 Dth/d capacity to New York 300,000 Dth/d capacity to Henry Hub www.eqt.com 16
Regional Distributor . PA, WV, KY 275,000 customers Natural Gas Vehicles (NGV) Built refueling station in Pittsburgh, July 2011 Targeting return to base fleets www.eqt.com 17
Pittsburghs Strip District NGV Station 1.6 million Equitable Gas Company investment 0.7 million Pennsylvania state grant Break-even = 200,000 gallons 12% return = 450,000 gallons Targeting 1,500 return to base vehicles within 5…
Corporate Citizenship 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…
Drilling and Fracing EQT meets or exceeds all 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…
Investment Summary Extensive reserves of natural gas Proven ability to profitably develop our reserves Committed to maximize shareholder value by: Accelerating the monetization of our vast reserves Operating in a safe and…
Appendix www.eqt.com 22
Capital Investment Summary *Excludes acquisitions www.eqt.com 23
Ample Financial Flexibility to Execute Business Plan Debt ratings Moodys Standard & Poors Fitch Long-term debt Baa2 BBB BBB Outlook Negative Stable Stable Commercial paper P-2 A-2 F2 Strong balance sheet Pro forma (…
Risk Management Hedging 2011** 2012 2013 2014 Swaps Total Volume (Bcf) 23 80 29 Average Price per Mcf (NYMEX)* 4.88 5.31 5.64 Puts Total Volume (Bcf) 1 Average Floor Price per Mcf (NYMEX)* 7.35 Collars Total Volume (Bcf) 5…
Price Reconciliation Three Months Ended Nine Months Ended September 30, September 30, 2011 2010 2011 2010 Revenues ( / Mcfe) Average NYMEX price 4.19 4.38 4.21 4.59 Hedge impact 0.44 0.53 0.42 0.44 Average basis 0.08 0.05 0.15…
Per Unit Operating Expenses Three Months Ended Nine Months Ended September 30, September 30, 2011 2010 2011 2010 Production segment costs: ( / Mcfe) LOE 0.22 0.22 0.21 0.24 Production taxes 0.25 0.23 0.21 0.25 G&A 0.30 0.35 0.31…
2011 Operational Review Top Marcellus Wells Production (Bcf) Owner Well Name County 3.0 EQT Production Cooper 590387-A Greene 2.3 Cabot Oil & Gas Depaola 3 Susquehanna 2.1 EQT Production D Iams 590036 Greene 2.0 Cabot Oil & Gas…
Marcellus Play Type Curves by Area, 5,300 lateral Curve 3 : 6.4 Bcf Curve 2 : 7.4 Bcf 9.0 Bcf 7.4 Bcf 6.4 Bcf Curve 1: 9.0 Bcf www.eqt.com 29
Marcellus Play Acres Within Each Type Curve Area Curve Total acres, PA Total acres, WV Total acres of locations 9.0 Bcf 112,000 50,000 162,000 1,330 7.4 Bcf 90,000 22,000 112,000 915 6.4 Bcf 51,000 207,000 258,000 2,125 Total…
Loading...
