EQT Corp. is considering equity investments in U.S. liquefied natural gas export terminals as part of the shale driller’s efforts to capitalize on the booming global demand for the fuel.
The Pittsburgh-based company, the largest U.S. gas producer, is also in talks with LNG buyers “across various geographies” and is willing to sign a supply contract by the end of the year, Chief Executive Officer Toby Rice said in a conference call with analysts. European gas prices have swung wildly as the war in Ukraine threatens Russian supply to countries including Germany.
EQT “will play a key role in meeting both domestic and global natural gas demand growth for the foreseeable future,” Rice said. Longer-term supply agreements would allow EQT to directly benefit from higher gas prices overseas while reducing buyers’ exposure to extreme volatility, he said. “We’ve got a lot of value to bring to the table.”
Rice, who’s been actively lobbying for more pipelines and LNG terminals as a way to unlock shale-gas growth potential, said he’s seeing “encouraging political signals” from the Biden administration in terms of support for the heating and power-generation fuel.
Follow us on social media: