EQT: Well-Positioned To Capitalize Off Of Growing Natural Gas Demand

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About: EQT Corporation (EQT)
by: Power Hedge
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Summary

EQT is the largest producer of natural gas in the United States and is primarily active in the rich Appalachian region.

The company is actively working to reduce its drilling costs, allowing it to generate a positive free cash flow even when prices are significantly lower than they are today.

The company has 87% of its 2020 production hedged at prices much higher than today's but 2021 is not as well protected.

The company has no debt concerns until 2021 and it should be able to refinance, although it might have to use convertibles.

The demand for natural gas is likely to grow going forward and EQT is well-positioned to take advantage of this coming growth.

EQT Corporation (EQT) is an independent exploration and production company that is focused on the production of natural gas in West Virginia, Ohio, and Pennsylvania. The Appalachian basins are among the most resource-rich