EQT Third Quarter 2013 Earnings Increase 177%

  EQT Third Quarter 2013 Earnings Increase 177%

            Revenues increase at nearly twice the rate of expenses

Business Wire

PITTSBURGH -- October 24, 2013

EQT Corporation (NYSE:EQT) today announced third quarter 2013 earnings of
$88.3 million, or $0.58 per diluted share; 177% higher than the third quarter
2012 earnings of $31.9 million, or $0.21 per diluted share. Operating cash
flow was $232.8 million, 36% higher; and adjusted cash flow per share was
$1.92, 68% higher. EQT’s third quarter 2013 operating income was $170.5
million, 98% higher. The non-GAAP financial measures are detailed and
reconciled in the Non-GAAP Disclosures section below.

Third Quarter Highlights 2013 vs. 2012:

  *Production sales volume was 42% higher
  *Marcellus production sales volume was 74% higher
  *Production LOE per Mcfe was 17% lower
  *Production SG&A per Mcfe was 34% lower
  *Midstream gathered volume was 43% higher
  *Midstream gathering and compression expense per unit was 29% lower

Earnings per share, adjusted cash flow per share, and operating income were
higher due to increased production sales volume, higher commodity prices,
increased gathered volume, and increased firm transmission capacity sales and
throughput. Net operating revenues increased 42% to $469.3 million; while net
operating expenses only increased 23%, to $298.8 million, in support of the
Company’s growth.

RESULTS BY BUSINESS

EQT Production

For the third quarter 2013, EQT Production had sales volume of 96.9 Bcfe, an
average of 1.0 Bcfe per day, which was a 42% increase over the third quarter
2012.This increase was driven by production from the Marcellus, which
averaged 787 MMcfe per day, 74% higher than last year. Natural gas liquids
(NGL) volume totaled 1,150 Mbbls, a 35% increase over the same period last
year. The Company’s fourth quarter and full-year 2013 sales volume guidance is
97 Bcfe and 366 Bcfe, respectively, which is approximately 42% higher than
2012; and its fourth quarter and full-year 2013 NGL volume guidance is 1,300
Mbbls and 4,875 Mbbls, respectively.

Operating income for the Production business in the third quarter 2013 was
$97.6 million, 153%higher than the third quarter 2012; while total operating
revenues were $304.2million, 56% higher. The revenue growth was due to a
42%increase in sales volume and a higher average effective sales price. The
average effective sales priceto EQT was 4.0% higher at $4.20 per Mcfe, with
$3.13 per Mcfe allocated to EQT Production; and $1.07per Mcfe allocated to
EQT Midstream.

Operating expenses for EQT Production for the third quarter 2013 were $206.6
million, $49.9 million, or 32% higher than the same quarter last year.
Depreciation, depletion and amortization expenses (DD&A) were $42.4 million
higher; lease operating expenses (LOE), excluding production taxes, were $2.5
million higher; and production taxes were $2.3 million higher; all related to
sales volume growth. Per unit LOE decreased 17% to $0.15 per Mcfe, as volume
growth dramatically outpaced higher costs. Exploration expense was
$4.1million higher.

EQT spud 32 gross wells in the Marcellus during the quarter, with an average
length-of-pay of 4,880feet; eight Upper Devonian wells, with an average
length-of-pay of 4,800 feet; and two Utica wells, with an average
length-of-pay of 4,890 feet.

Utica Well Results

The Company completed three Utica wells in the oil window in the third quarter
2013 – with 30-day initial production rates of 286, 268, and 241 bbls/d of
oil, respectively. If processing were available, the wells would have produced
41, 58, and 42 bbls/d of NGLs, plus, approximately 755, 1,082, and 771 MMcf/d
of natural gas, respectively. Regional pricing was realized for the natural
gas; while the realized oil price was approximately $101 per bbl. The Company
is on track to spud eight Utica wells in 2013.

EQT Midstream

EQT Midstream’s third quarter 2013 operating income was $78.5 million; 54%
higher than the third quarter of 2012. Net gathering revenues increased 19% to
$91.8 million, primarily due to a 43%increase in gathered volume, partly
offset by lower average gathering rates. Net transmission revenues totaled
$40.0million, a 50% increase, primarily due to sales of new capacity, as well
as higher throughput. Net storage, marketing and other revenues were
$2.8million higher. Operating expenses for the quarter were $61.4 million, 6%
higher, and consistent with the growth of the business. Per unit gathering and
compression expense decreased by 29%.

OTHER BUSINESS

Sunrise Sale

On July 22, 2013, EQT sold its Sunrise Pipeline to EQT Midstream Partners for
$507.5 million plus 479,184 common units and 267,942 general partner units in
EQT Midstream Partners. EQT recognized a federal income tax gain of
approximately $475 million, resulting in cash taxes of approximately $57
million.

EQT Midstream Partners, LP

As of September 30, 2013, EQT had a 42.6% limited partner interest and a 2%
general partner interest in EQT Midstream Partners, whose results are
consolidated in EQT’s results. For the third quarter 2013, EQT Corporation
recorded $14.4 million, or $0.09 of earnings per diluted share, attributable
to non-controlling interests. EQT Midstream Partners’ results were released
today and are available at www.eqtmidstreampartners.com.

On October 22, 2013, EQT Midstream Partners announced a cash distribution to
its unitholders of $0.43 per unit for the third quarter of 2013. EQT will
receive $8.9 million on its limited partner units, plus a corresponding $0.4
million related to its 2% general partner interest, and $0.2 million related
to its incentive distribution rights; as EQT is entitled to 15% of the amount
by which the quarterly distribution exceeds $0.4025 per unit.

Utility Sale

On December 20, 2012, the Company announced that it entered into a definitive
agreement for the transfer of its natural gas distribution business, Equitable
Gas Company, to Peoples Natural Gas, subject to receipt of regulatory
approvals. The Company incurred a $0.4 million of unallocated expense in the
third quarter of 2013 related to the transaction.

The waiting period under the Hart-Scott-Rodino Antitrust Improvements Act for
the pending transaction expired on April 22, 2013, without a request for
additional information. This expiration indicates that the Federal Trade
Commission did not object to the transaction and that the parties may proceed.
As part of the regulatory approval process, EQT has also submitted filings
with the Pennsylvania Public Utility Commission, the West Virginia Public
Service Commission, and the Federal Energy Regulatory Commission. The Kentucky
Public Service Commission concluded that they did not need to approve the
transaction. The Company expects to complete the regulatory review process by
year-end.

Hedging

The Company recently added to its hedge position for 2014 and 2015. The
Company’s total natural gas hedge positions for October 2013 through December
2015 production are:

                                         2013**   2014     2015
    Fixed Price
    Total Volume (Bcf)                              51         163        70
    Average Price per Mcf (NYMEX)*                $ 4.56     $ 4.43     $ 4.57
                                                                        
    Collars
    Total Volume (Bcf)                              6          24         23
    Average Floor Price per Mcf                   $ 4.95     $ 5.05     $ 5.03
    (NYMEX)*
    Average Cap Price per Mcf                     $ 9.09     $ 8.85     $ 8.97
    (NYMEX)*

  * The average price is based on a conversion rate of 1.05 MMBtu/Mcf
    ** October through December
    

Operating Income

The Company reports operating income by segment in this news release.
Interest, income taxes, other income, and unallocated income/(expense) are
controlled on a consolidated, corporate-wide basis and are not allocated to
the segments. The Company’s management reviews and reports segment results for
operating revenues and purchased gas costs, net of third-party transportation
costs.

The following table reconciles operating income by segment to the consolidated
operating income reported in the Company’s financial statements:

                       Three Months Ended        Nine Months Ended
                          September 30,              September 30,
                          2013         2012         2013         2012
Operating income
(thousands):
EQT Production            $ 97,600      $ 38,528     $ 276,753     $ 115,270
EQT Midstream               78,533        51,021       224,993       166,907
Distribution                (87     )     685          58,359        43,831
Unallocated                (5,498  )    (4,286 )    (19,627 )    (6,470  )
expenses
Operating income          $ 170,548    $ 85,948    $ 540,478    $ 319,538 

For the third quarter 2013, unallocated expense is primarily due to higher
non-cash incentive compensation expense.


Marcellus Horizontal Well Status (cumulative since inception)

                  As of     As of     As of     As of      As of
                      9/30/13     6/30/13     3/31/13     12/31/12     9/30/12
Wells spud            477         445         404         371          344
Wells online          337         321         276         258          229
Wells
complete, not         20          11          30          17           27
online
Frac stages           10,613      9,754       8,327       7,230        6,331
(spud wells)*
Frac stages           6,596       6,297       4,788       4,366        3,545
online
Frac stages
complete, not         553         224         925         462          622
online

*Includes planned stages for spud wells that have not yet been hydraulically
fractured.


NON-GAAP DISCLOSURES

Operating Cash Flow

Operating cash flow is a non-GAAP financial measure that is presented as an
accepted indicator of an oil and gas exploration and production company's
ability to internally fund exploration and development activities and to
service or incur additional debt. EQT has also included this information
because management believes that changes in operating assets and liabilities
relate to the timing of cash receipts and disbursements, which the Company may
not control, and therefore, may not relate to the period in which the
operating activities occurred. Operating cash flow should not be considered in
isolation or as a substitute for the most comparable GAAP financial measure of
net cash provided by operating activities. The table below reconciles
operating cash flow with net cash provided by operating activities, as derived
from the statement of cash flows to be included in EQT’s quarterly report on
Form 10-Q for the three and nine months ended September 30, 2013, and 2012.

                      Three Months Ended         Nine Months Ended
                         September 30,               September 30,
(thousands)              2013         2012          2013         2012
Net Income               $ 102,610     $ 36,704      $ 306,009     $ 140,185
(Deduct) / add
back:
Deferred income            (48,383 )     (7,584  )     14,869        45,473
taxes
Depreciation,
depletion, and             175,648       131,611       493,341       354,817
amortization
Non-cash incentive         9,628         11,517        37,108        28,752
compensation
Non-cash financial
instrument put             --            --            --            8,227
premium
Other items               (6,732  )    (1,264  )    3,962        (12,729 )
Operating cash           $ 232,771    $ 170,984    $ 855,289     $ 564,725 
flow
                                                                   
(Deduct) / add
back:
Changes in other
assets and                165,503     80,547      151,811      105,245 
liabilities
Net cash provided
by operating             $ 398,274    $ 251,531    $ 1,007,100   $ 669,970 
activities

Adjusted Cash Flow Per Share

Adjusted cash flow per share is a non-GAAP financial measure that is presented
because it is a capital efficiency metric used by investors and analysts to
evaluate oil and gas companies. Adjusted cash flow per share should not be
considered in isolation or as a substitute for the most comparable GAAP
financial measure of net cash provided by operating activities or net income
per share or as a measure of liquidity.

The table below provides the calculation for adjusted cash flow per share, as
derived from the financial statements to be included in EQT’s Form 10-Q for
the three and nine months ended September 30, 2013, and 2012.

                             Three Months Ended     Nine Months Ended
                                 September 30,           September 30,
(thousands)                      2013       2012        2013       2012
Operating cash flow (a
non-GAAP measure                 $ 232,771   $ 170,984   $ 855,289   $ 564,725
reconciled above)
(Deduct) / add back:
Exploration expense                1,257       1,099       2,992       3,719
(cash)
Cash taxes for Sunrise            56,764     --         56,764     --
sale
Adjusted operating cash          $ 290,792   $ 172,083   $ 915,045   $ 568,444
flow
                                                                     
Diluted weighted average
common shares                     151,663    150,388    151,365    150,270
outstanding
Adjusted cash flow per           $ 1.92      $ 1.14      $ 6.05      $ 3.78
share

Net Operating Revenues and Net Operating Expenses

Net operating revenues and net operating expenses are non-GAAP financial
measures that exclude purchased gas costs, but are presented because they are
important analytical measures used by management to evaluate period-to-period
comparisons of revenue and operating expenses. Purchased gas cost is typically
excluded by management in such analysis because, although subject to commodity
price volatility, purchased gas cost is mostly passed on to customers and does
not have a significant impact on EQT’s earnings. Net operating revenues and
net operating expenses should not be considered in isolation or as a
substitute for the most comparable GAAP financial measures of operating
revenues or total operating expenses. The table below reconciles net operating
revenues to operating revenues and net operating expenses to total operating
expenses for the three and nine months ended September 30, 2013, and 2012:

                         Three Months Ended     Nine Months Ended
                             September 30,           September 30,
(thousands)                  2013       2012        2013         2012
Net operating                $ 469,333   $ 329,663   $ 1,397,151   $ 993,694
revenues
Plus: purchased gas           37,265     34,394     188,199      158,127
cost
Operating revenues           $ 506,598   $ 364,057   $ 1,585,350   $ 1,151,821
                                                                   
Net operating                $ 298,785   $ 243,715   $ 856,673     $ 674,156
expenses
Plus: purchased gas           37,265     34,394     188,199      158,127
cost
Total operating              $ 336,050   $ 278,109   $ 1,044,872   $ 832,283
expenses


Q3 2013 Earnings Webcast Information
The Company's conference call with securities analysts begins at 10:30 a.m. ET
today. The call will be broadcast live via the Company's website at
www.eqt.com, and on the investor information page of the Company’s website at
http://ir.eqt.com, with a replay available for seven days following the call.

EQT Midstream Partners, LP, for which EQT Corporation is the general partner
and a significant equity owner, will host a conference call with security
analysts today, beginning at 11:30 a.m. ET. The call will be broadcast live
via www.eqtmidstreampartners.com, with a replay available for seven days
following the call.


About EQT Corporation:

EQT Corporation is an integrated energy company with emphasis on Appalachian
area natural gas production, gathering, transmission, and distribution. EQT is
the general partner and significant equity owner of EQT Midstream Partners,
LP. With more than 120 years of experience, EQT continues to be a leader in
the use of advanced horizontal drilling technology – designed to minimize the
potential impact of drilling-related activities and reduce the overall
environmental footprint. Through safe and responsible operations, the Company
is committed to meeting the country’s growing demand for clean-burning energy,
while continuing to provide a rewarding workplace and enrich the communities
where its employees live and work. Company shares are traded on the New York
Stock Exchange as EQT.

Visit EQT Corporation at www.EQT.com.

Cautionary Statements

The United States Securities and Exchange Commission (SEC) permits oil and gas
companies, in their filings with the SEC, to disclose only proved, probable
and possible reserves that a company anticipates as of a given date to be
economically and legally producible and deliverable by application of
development projects to known accumulations. We use certain terms, such as
“EUR” (estimated ultimate recovery) and “3P” (proved, probable and possible),
that the SEC’s guidelines prohibit us from including in filings with the SEC.
These measures are by their nature more speculative than estimates of reserves
prepared in accordance with SEC definitions and guidelines and accordingly are
less certain.

Total sales volume per day (or daily production) is an operational estimate of
the daily production or sales volume on a typical day (excluding
curtailments).

EBITDA is defined as earnings before interest, taxes, depreciation, and
amortization and is not a financial measure calculated in accordance with
generally accepted accounting principles (GAAP). EBITDA is a non-GAAP
supplemental financial measure that EQT management and external users of EQT’s
financial statements, such as industry analysts, investors, lenders and rating
agencies, may use to assess: (i) EQT’s performance versus prior periods; (ii)
EQT’s operating performance as compared to other companies in its industry;
(iii) the ability of EQT’s assets to generate sufficient cash flow to make
distributions to its investors; (iv) EQT’s ability to incur and service debt
and fund capital expenditures; and (v) the viability of acquisitions and other
capital expenditure projects and the returns on investment of various
investment opportunities.

EQT is unable to provide a reconciliation of projected EBITDA to projected net
income, the most comparable financial measure calculated in accordance with
GAAP, because of uncertainties associated with projecting future net income.

Similarly, EQT is unable to provide a reconciliation of its projected
operating cash flow to projected net cash provided by operating activities,
the most comparable financial measure calculated in accordance with GAAP,
because of uncertainties associated with projecting future net income and
changes in assets and liabilities.

Disclosures in this press release contain certain forward-looking statements.
Statements that do not relate strictly to historical or current facts are
forward-looking. Without limiting the generality of the foregoing,
forward-looking statements contained in this press release specifically
include the expectations of plans, strategies, objectives and growth and
anticipated financial and operational performance of EQT and its subsidiaries,
including guidance regarding EQT’s strategy to develop its Marcellus and other
reserves; drilling plans and programs (including the number, type, feet of pay
and location of wells to be drilled, the conversion of drilling rigs to
utilize natural gas and the availability of capital to complete these plans
and programs); projected natural gas prices and basis; total resource
potential, reserves, EUR, expected decline curve, reserve replacement ratio
and production sales volume and growth rates (including liquids sales volume
and growth); F&D costs, operating costs, unit costs, well costs and gathering
and transmission revenue deductions to EQT Midstream; gathering and
transmission volume and growth rates; processing capacity; infrastructure
programs (including the timing, cost and capacity of the transmission and
gathering expansion projects); technology (including drilling techniques);
projected midstream EBITDA; monetization transactions, including midstream
asset sales (dropdowns) to EQT Midstream Partners, LP (the Partnership) and
other asset sales and joint ventures or other transactions involving EQT’s
assets (including the timing of receipt, if at all, of any additional
consideration from the Partnership for new transportation agreements entered
into by the Partnership on the Sunrise Pipeline); the cash flows resulting
from, and the value of, EQT’s general partner and limited partner interests
and incentive distribution rights in the Partnership; the proposed transfer of
Equitable Gas Company to Peoples Natural Gas; the timing of receipt of
required approvals for the proposed Equitable Gas Company transaction; the
expected form and amount of midstream assets to be exchanged in the Equitable
Gas Company transaction; the expected EBITDA to be generated from the
midstream assets and commercial arrangements transferred by or entered into
with Peoples Natural Gas or its affiliates; uses of capital provided by the
Sunrise Pipeline and Equitable Gas Company transactions; internal rate of
return (IRR); projected capital expenditures; liquidity and financing
requirements, including funding sources and availability; projected operating
revenues and cash flows; hedging strategy; the effects of government
regulation and litigation; the annual dividend rate; and tax position and
projected tax rates (including EQT’s ability to complete like-kind exchanges).
These forward-looking statements involve risks and uncertainties that could
cause actual results to differ materially from projected results. Accordingly,
investors should not place undue reliance on forward-looking statements as a
prediction of actual results. EQT has based these forward-looking statements
on current expectations and assumptions about future events. While EQT
considers these expectations and assumptions to be reasonable, they are
inherently subject to significant business, economic, competitive, regulatory
and other risks and uncertainties, most of which are difficult to predict and
many of which are beyond EQT’s control. With respect to the proposed Equitable
Gas Company transaction, these risks and uncertainties include, among others,
the ability to obtain regulatory approvals for the transaction on the proposed
terms and schedule; disruption to EQT’s business, including customer, employee
and supplier relationships resulting from the transaction; and risks that the
conditions to closing may not be satisfied. The risks and uncertainties that
may affect the operations, performance and results of EQT’s business and
forward-looking statements include, but are not limited to, those set forth
under Item 1A, “Risk Factors” of EQT’s Form 10-K for the year ended December
31, 2012, as updated by any subsequent Form 10-Qs.

Any forward-looking statement speaks only as of the date on which such
statement is made and EQT does not intend to correct or update any
forward-looking statement, whether as a result of new information, future
events or otherwise.

EQT’s management speaks to investors from time to time. Slides for these
discussions, which are updated periodically, will be available online via
EQT’s investor relations website at http://ir.eqt.com.

EQT CORPORATION AND SUBSIDIARIES
STATEMENTS OF CONSOLIDATED INCOME (UNAUDITED)
(Thousands, except per share amounts)

                             Three Months Ended     Nine Months Ended
                             September 30,           September 30,
                             2013       2012        2013         2012
                             (Thousands, except per share amounts)
Operating revenues           $ 506,598   $ 364,057   $ 1,585,350   $ 1,151,821
                                                                   
Operating expenses:
Purchased gas costs            37,265      34,394      188,199       158,127
Operation and maintenance      36,861      36,259      105,124       105,464
Production                     28,076      23,201      80,712        72,796
Exploration                    5,256       1,163       15,124        4,878
Selling, general and           52,944      51,481      162,372       136,201
administrative
Depreciation, depletion and   175,648    131,611    493,341      354,817
amortization
Total operating expenses      336,050    278,109    1,044,872    832,283
                                                                   
Operating income               170,548     85,948      540,478       319,538
Other income                   2,405       2,801       6,846         13,841
Interest expense              35,554     40,460     110,690      122,341
Income before income taxes     137,399     48,289      436,634       211,038
Income taxes                  34,789     11,585     130,625      70,853
Net income                     102,610     36,704      306,009       140,185
Less: Net income
attributable to
noncontrolling                14,354     4,831      30,642       4,831

Interests
Net income attributable to   $ 88,256    $ 31,873    $ 275,367     $ 135,354
EQT Corporation
                                                                   
Earnings per share of common
stock attributable

to EQT Corporation:
Basic:
Weighted average common        150,679     149,604     150,509       149,555
shares outstanding
Net income                   $ 0.59      $ 0.21      $ 1.83        $ 0.91
Diluted:
Weighted average common        151,663     150,388     151,365       150,270
shares outstanding
Net income                   $ 0.58      $ 0.21      $ 1.82        $ 0.90
Dividends declared per       $ 0.03      $ 0.22      $ 0.09        $ 0.66
common share
                                                                     

EQT Corporation
Price Reconciliation
                                                
                       Three Months Ended          Nine Months Ended
                       September 30,               September 30,
                       2013         2012          2013           2012
in thousands, unless
noted
Liquids
NGLs:
Sales Volume (MMcfe)     4,391         3,190         13,623          9,364
(a)
Sales Volume (Mbbls)     1,150         853           3,578           2,490
Gross Price ($/Bbl)    $ 38.06      $ 39.33      $ 40.38        $ 45.30   
Gross NGL Revenue      $ 43,786      $ 33,545      $ 144,469       $ 112,807
BTU Premium (Ethane
sold as natural
gas):
Sales Volume (MMbtu)     8,244         5,889         21,364          15,602
Price ($/MMbtu)        $ 3.58       $ 2.81       $ 3.69         $ 2.59    
BTU Premium Revenue    $ 29,494      $ 16,524      $ 78,741        $ 40,477
Oil:
Sales Volume (MMcfe)     473           384           1,169           1,152
(a)
Sales Volume (Mbbls)     79            64            195             192
Net Price ($/Bbl)      $ 94.78      $ 80.25      $ 87.43        $ 83.43   
Net Oil Revenue        $ 7,488       $ 5,136       $ 17,049        $ 16,020
                                                                   
Total Liquids          $ 80,768      $ 55,205      $ 240,259       $ 169,304
Revenue
GAS
Sales Volume (MMcf)      92,076        64,639        253,956         171,764
NYMEX Price ($/Mcf)    $ 3.58       $ 2.81       $ 3.69         $ 2.59    
(b)
Gas Revenue            $ 329,416     $ 181,377     $ 936,013       $ 445,322
Basis                   (25,117 )    (1,952  )    (26,250   )    (1,705  )
Gross Gas Revenue      $ 304,299     $ 179,425     $ 909,763       $ 443,617
(unhedged)
                                                                   
Total Gross Gas &
Liquids Revenue        $ 385,067     $ 234,630     $ 1,150,022     $ 612,921
(unhedged)
Hedge impact (c)        53,424      75,074      106,650       237,218 
Total Gross Gas &      $ 438,491     $ 309,704     $ 1,256,672     $ 850,139
Liquids Revenue
Total Sales Volume      96,940      68,213      268,748       182,280 
(MMcfe)
Average hedge
adjusted price         $ 4.52        $ 4.54        $ 4.68          $ 4.66
($/Mcfe)
                                                                   
Midstream Revenue
Deductions ($ /
Mcfe)
Gathering to EQT       $ (0.84   )   $ (1.00   )   $ (0.85     )   $ (1.04   )
Midstream
Transmission to EQT      (0.23   )     (0.19   )     (0.24     )     (0.18   )
Midstream
Third-party
gathering and            (0.22   )     (0.40   )     (0.29     )     (0.35   )
transmission (d)
Third-party             (0.10   )    (0.10   )    (0.11     )    (0.10   )
processing
Total midstream         (1.39   )    (1.69   )    (1.49     )    (1.67   )
revenue deductions
Average effective
sales price to EQT     $ 3.13       $ 2.85       $ 3.19         $ 2.99    
Production
                                                                   
EQT Revenue ($ /
Mcfe)
Revenues to EQT        $ 1.07        $ 1.19        $ 1.09          $ 1.22
Midstream
Revenues to EQT         3.13        2.85        3.19          2.99    
Production
Average effective
sales price to EQT    $ 4.20       $ 4.04       $ 4.28         $ 4.21    
Corporation

      NGLs were converted to Mcfe at the rates of 3.82 Mcfe per barrel and
      3.74 Mcfe per barrel based on the liquids content for the three months
      ended September 30, 2013, and 2012, respectively, and 3.81 Mcfe per
(a)  barrel and 3.76 Mcfe per barrel based on the liquids content for the
      nine months ended September 30, 2013, and 2012, respectively. Crude oil
      was converted to Mcfe at the rate of six Mcfe per barrel for all
      periods.
      
      The Company’s volume weighted NYMEX natural gas price (actual average
(b)   NYMEX natural gas price ($/Mcf) was $3.58 and $2.81 for the three months
      ended September 30, 2013, and 2012, respectively, and $3.67 and $2.59
      for the nine months ended September 30, 2013, and 2012, respectively.)
      
      Includes gains of $6.4 million, $0.07 per Mcfe, and $6.4 million, $0.02
(c)   per Mcfe, for the three and nine months ended September 30, 2013,
      respectively, related to the sale of fixed price natural gas.
      
      Due to the sale of unused capacity on the El Paso 300 line that was not
      under long-term resale agreements at prices below the capacity charge,
      third-party gathering and transmission rates increased by $0.05 per Mcfe
      and $0.06 per Mcfe for the three and nine months ended September 30,
(d)   2013, respectively. The unused capacity on the El Paso 300 line not
      under long-term resale agreements was sold at prices below the capacity
      charge, increasing third-party gathering and transmission rates by $0.07
      per Mcfe and $0.03 per Mcfe for the three and nine months ended
      September 30, 2012, respectively.
      

UNIT COSTS                          Three Months Ended  Nine Months Ended
                                        September 30,        September 30,
                                        2013       2012     2013      2012
Production segment costs: ($ /
Mcfe)
LOE                                     $  0.15     $ 0.18   $  0.16    $ 0.19
Production taxes*                          0.14       0.16      0.14      0.17
SG&A                                      0.23      0.35     0.26     0.37
                                        $  0.52     $ 0.69   $  0.56    $ 0.73
Midstream segment costs: ($ /
Mcfe)
Gathering and transmission              $  0.24     $ 0.32   $  0.24    $ 0.34
SG&A                                      0.15      0.17     0.15     0.18
                                        $  0.39     $ 0.49   $  0.39    $ 0.52
Total ($ / Mcfe)                        $  0.91     $ 1.18   $  0.95    $ 1.25

  Excludes the retroactive Pennsylvania Impact Fee of $0.04 per Mcfe for the
* nine months ended September 30, 2012, for Marcellus wells spud prior to
  2012.
  

EQT PRODUCTION
RESULTS OF OPERATIONS

                               Three Months Ended     Nine Months Ended
                                 September 30,           September 30,
OPERATIONAL DATA                 2013       2012        2013       2012

Sales volume detail (MMcfe):
Horizontal Marcellus Play          72,361      41,486      194,928     100,551
(a)
Horizontal Huron Play              7,293       8,934       22,824      28,452
CBM Play                           3,108       3,282       9,340       9,868
Other                             14,178     14,511     41,656     43,409
Total production sales             96,940      68,213      268,748     182,280
volumes
                                                                     
Average daily sales volumes        1,054       741         984         665
(MMcfe/d)
                                                                     
Average effective sales
price to EQT                     $ 3.13      $ 2.85      $ 3.19      $ 2.99

Production ($/Mcfe)
                                                                     
Lease operating expenses
(LOE), excluding                 $ 0.15      $ 0.18      $ 0.16      $ 0.19

production taxes ($/Mcfe)
Production taxes ($/Mcfe)        $ 0.14      $ 0.16      $ 0.14      $ 0.17
(b)
Production depletion             $ 1.53      $ 1.56      $ 1.53      $ 1.55
($/Mcfe)
                                                                     
DD&A (thousands):
Production depletion             $ 148,362   $ 106,196   $ 412,514   $ 283,152
Other DD&A                        2,275      2,008      7,105      6,024
Total DD&A (thousands)           $ 150,637   $ 108,204   $ 419,619   $ 289,176
                                                                     
Capital expenditures             $ 332,370   $ 255,223   $ 977,394   $ 703,834
(thousands) (c)
                                                                     
FINANCIAL DATA (thousands)
                                                                     
Total net operating revenues     $ 304,231   $ 195,289   $ 860,874   $ 549,334
                                                                     
Operating expenses:
LOE, excluding production          14,801      12,257      42,452      34,991
taxes
Production taxes (b)               13,275      10,944      38,260      37,805
Exploration expense                5,256       1,163       15,124      4,878
SG&A                               22,662      24,193      68,666      67,214
DD&A                              150,637    108,204    419,619    289,176
Total operating expenses          206,631    156,761    584,121    434,064
Operating income                 $ 97,600    $ 38,528     276,753   $ 115,270

(a)  Includes Upper Devonian wells.
      
      Production taxes include severance and production-related ad valorem and
      other property taxes and the Pennsylvania impact fee. The Pennsylvania
      impact fee for the nine months ended September 30, 2013, totaled $8.8
(b)   million. The Pennsylvania impact fee for the nine months ended September
      30, 2012, totaled $13.2 million, of which $6.7 million represented the
      retroactive fee for pre-2012 Marcellus wells. The production taxes unit
      rate for the nine months ended September 30, 2012, excludes the impact
      of the accrual for pre-2012 Marcellus wells.
      
      Includes $2.1 million and $114.6 million of capital expenditures for the
(c)   purchase of acreage and Marcellus wells from Chesapeake Energy
      Corporation and its partners during the three and nine months ended
      September 30, 2013, respectively.
      

EQT MIDSTREAM
RESULTS OF OPERATIONS
                                                    
                            Three Months Ended         Nine Months Ended
                            September 30,              September 30,
                            2013       2012           2013       2012
OPERATIONAL DATA
                                                                   
Gathered volumes (BBtu)       125,139     87,318         342,502     235,877
Average gathering fee       $ 0.73      $ 0.88         $ 0.76      $ 0.93
($/MMBtu)
Gathering and compression   $ 0.17      $ 0.24         $ 0.18      $ 0.26
expense ($/MMBtu)
Transmission pipeline         111,309     59,746         297,126     148,870
throughput (BBtu)
                                                                   
Net operating revenues
(thousands):
Gathering                   $ 91,825    $ 77,034       $ 260,631   $ 218,411
Transmission                  39,962      26,563         116,105     71,018
Storage, marketing and       8,165      5,362        23,426     34,956  
other
Total net operating         $ 139,952   $ 108,959      $ 400,162   $ 324,385
revenues
                                                                   
Unrealized gains (losses)
on derivatives
                            $ 3,449     $ (3,018  )    $ 6,411     $ (4,946  )
and inventory (thousands)
(a)
                                                                   
Capital expenditures        $ 111,593   $ 97,135       $ 254,205   $ 296,698
(thousands)
                                                    
FINANCIAL DATA (thousands)
                                                                   
Total operating revenues    $ 155,677   $ 120,484     $ 452,731    $ 362,630
Purchased gas costs          15,725     11,525     52,569        38,245  
Total net operating           139,952     108,959     400,162        324,385
revenues
                                                                   
Operating expenses:
Operating and maintenance     25,720      25,441      72,329         73,245
(O&M)
SG&A                          16,769      15,325      47,239         37,369
DD&A                         18,930     17,172     55,601        46,864  
Total operating expenses     61,419     57,938     175,169       157,478 
Operating income            $ 78,533    $ 51,021     $ 224,993    $ 166,907 

(a)  Included within storage, marketing and other net operating revenues.
      

DISTRIBUTION
RESULTS OF OPERATIONS

                                  Three Months Ended     Nine Months Ended
                                  September 30,           September 30,
                                  2013        2012       2013       2012
OPERATIONAL DATA
                                                                     
Heating degree days (30 year        98           115        3,507      2,836
average: QTD – 114; YTD – 3,649)
                                                                     
Residential sales and               1,363        1,266      15,907     12,726
transportation volumes (MMcf)
Commercial and industrial volumes  4,648      4,939     19,879    20,051
(MMcf)
Total throughput (MMcf)             6,011        6,205      35,786     32,777
                                                                     
Net operating revenues
(thousands):
Residential                       $ 14,687     $ 14,221   $ 88,614   $ 72,855
Commercial and industrial           6,179        6,499      33,823     32,182
Off-system and energy services     4,295      4,706     13,707    14,968
Total net operating revenues      $ 25,161     $ 25,426   $ 136,144  $ 120,005
                                                                     
Capital expenditures (thousands)  $ 9,710      $ 8,164    $ 24,873   $ 21,066
                                                                     
FINANCIAL DATA (thousands)
                                                                     
Total operating revenues          $ 36,118     $ 35,649   $ 246,281  $ 219,343
Purchased gas costs                10,957     10,223    110,137   99,338
Net operating revenues              25,161       25,426     136,144    120,005
                                                                     
Operating expenses:
O&M                                 11,034       10,549     32,087     31,010
SG&A                                8,118        7,955      27,482     26,397
DD&A                               6,096      6,237     18,216    18,767
Total operating expenses           25,248     24,741    77,785    76,174
Operating (loss) income           $ (87    )   $ 685      $ 58,359   $ 43,831

Contact:

EQT Corporation
Analyst inquiries please contact:
Patrick Kane – Chief Investor Relations Officer, 412-553-7833
pkane@eqt.com
or
Nate Tetlow – Manager, Investor Relations, 412-553-5834
ntetlow@eqt.com
or
Media inquiries please contact:
Natalie Cox – Corporate Director, Communications, 412-395-3941
ncox@eqt.com
 
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