EQT Corp. has accomplished the acquisition of the upstream and midstream operations of Olympus Vitality for $1.8 billion and consequently raised its projected gross sales quantity for 2025 by 100 billion cubic ft of pure fuel equal (Bcfe).
The Appalachian Basin-focused producer mentioned in its quarterly report it expects to combine the brand new belongings inside a month.
“The belongings comprise a vertically built-in, contiguous 90,000-net-acre place offsetting the corporate’s present core acreage in Southwest Pennsylvania with web manufacturing of roughly 500 MMcf/d [million cubic feet a day]”, EQT mentioned April 22 asserting the deal.
- Advertisement -
“Olympus Vitality has over 10 years of high-quality Marcellus stock at upkeep exercise ranges, with a further seven years of upside from the Utica”, EQT mentioned.
“Olympus Vitality’s built-in platform and high-quality stock drives an unlevered free money circulate breakeven value similar to the corporate’s peer-leading price construction”.
Within the second quarter EQT logged 568 Bcfe in gross sales volumes, up 60 Bcfe from Q2 2024, “pushed by sturdy effectively efficiency and compression mission outperformance, underscoring continued synergy seize momentum from the corporate’s acquisition of Equitrans Midstream Corp.”, EQT mentioned.
EQT took over Equitrans final 12 months, with president and chief government Toby Z. Rice calling the enlarged EQT “America’s solely large-scale, vertically built-in pure fuel enterprise”.
For the total 12 months 2025, EQT raised its sale quantity steering from 590-640 Bcfe to 2,300-2,400 Bcfe.
In the meantime its Q2 2025 adjusted web end result rebounded to $273 million, in comparison with an adjusted web lack of $37 million for Q2 2024. EQT’s adjusted earnings per share of 45 cents beat the Zacks Consensus Estimate of $0.44.
Earlier than adjustment for nonrecurring objects, web revenue was $784 million, up $774 million towards Q2 2024.
Adjusted earnings earlier than curiosity, taxes, depreciation and amortization totaled $1.03 billion, up $563 million in comparison with Q2 2024.
Adjusted working money circulate landed at $794 million, up $389 million. Free money circulate elevated to $240 million, in comparison with -$171 million for Q2 2024.
In addition to manufacturing, EQT’s common realized value additionally elevated to $2.81 per thousand cubic ft equal, in comparison with $2.33 for Q2 2024.
In the meantime working prices dropped from $1.4 per thousand cubic ft equal in Q2 2024 to $1.08 in Q2 2025.
“The corporate is decreasing its projected full-year 2025 per unit working prices by six cents per Mcfe [thousand cubic feet equivalent] attributable to advantages from the Olympus acquisition and upstream LOE [lease operating expense] outperformance”, EQT mentioned.
It stored its capital expenditure steering at $2.3-$2.45 billion “as effectivity beneficial properties offset exercise provides associated to the Olympus acquisition”.
“Throughout 2025, the corporate plans to show in line 95-120 web wells, together with 24-36 web wells within the third quarter of 2025”, EQT added.
Rice mentioned, “We’re seeing large momentum for in-basin pure fuel energy and knowledge middle demand and EQT is uniquely positioned to capitalize on this set-up resulting from our manufacturing scale, stock period, world-class built-in infrastructure, funding grade credit score rankings and low-emissions credentials”.
EQT ended Q2 2025 with $391.8 million of present debt, whereas money and money equivalents stood at $555.49 million. “Complete liquidity, excluding out there capability beneath Eureka Midstream LLC’s revolving credit score facility, as of June 30, 2025 was $4.1 billion”, EQT mentioned.
To contact the creator, e mail jov.onsat@rigzone.com
Generated by readers, the feedback included herein don’t mirror the views and opinions of Rigzone. All feedback are topic to editorial evaluation. Off-topic, inappropriate or insulting feedback shall be eliminated.
