EQT Bets on Record U.S. Gas Demand With $50 Billion Range Takeover

EQT Corp. has announced its intention to purchase Range Resources in an all-stock deal valued at over $50 billion, including debt. The combined company will produce more than 9 billion cubic feet equivalent daily of Appalachian gas, and is touted as the largest vertically integrated natural gas producer in the United States. Range shareholders will receive 0.987 EQT shares for each share they hold, valuing Range’s equity at around $12.8 billion.

The merged producer will hold nearly 3 million net acres in the Appalachian Basin, over 30 years of drilling inventory, and more than 3,700 miles of midstream pipeline. EQT believes the deal will lower its unlevered free cash flow breakeven below $2 per million British thermal units and deliver $325 million in annual savings within two years.

Brief written by urgent.news from OilPrice's own syndicated text. Machine-written — may contain errors; check the original before relying on it.