EQT Announces Marcellus Shale Well Results

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Sep 29, 2010, 07:00 ET

PITTSBURGH, Sept. 29 /PRNewswire/ -- EQT Corporation (NYSE: EQT) today announced the results of two recent Marcellus shale wells.

In Greene County, PA, EQT reported an average 30-day production rate of 22 MMcfe per day from the Cooper 590384 well. The well has a total lateral length of 9,000 feet, with 8,411 feet of stimulated pay, and was completed using a 28-stage frac. The direct well cost was approximately $7.1 million, with a preliminary estimated ultimate recovery of 18 Bcf. As noted on EQT's most recent conference call, this well was in process of being completed in late July.

EQT also announced today, the successful results of the Rosborough 590259 well in Armstrong County, PA. This well reported a 24-hour IP of 15 MMcfe from 4,060 feet of stimulated pay.

"These exceptional wells are the direct result of our culture of innovation at EQT," commented Steven Schlotterbeck, President, EQT Exploration & Production. "The success of the Greene County extended lateral well is an important step in our effort to decrease the development cost per Mcfe. In addition to extending the lateral, we are experimenting with closer spacing intervals than our current 1,000 foot lateral spacing design in Greene County.

"The results in Armstrong County, where EQT holds nearly 34,000 acres, are especially encouraging as this well employed a new completion design resulting in initial flow rates significantly better than nearby wells completed conventionally. The success of these two experimental wells is a testament to the quality of our acreage position and to the outstanding capabilities of the technical and operating teams at EQT," said Schlotterbeck.

EQT holds a 100% working interest and an 87.5% net revenue interest in both wells.

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 in this press release, such as "EUR" (estimated ultimate recovery), that the SEC's guidelines prohibit us from including in filings with the SEC. This measure is by its nature more speculative than estimates of reserves prepared in accordance with SEC definitions and guidelines and accordingly is less certain. Direct well costs do not include capitalized overhead.

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, and objectives, and anticipated financial and operational performance of the company and its subsidiaries, including guidance regarding the company's drilling program and technology, production and sales volumes, EUR, direct well costs, development costs, and the expected feet of pay. These 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. The company has based these forward-looking statements on current expectations and assumptions about future events. While the company 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 the company's control. The risks and uncertainties that may affect the operations, performance and results of the company's business and forward-looking statements include, but are not limited to, those set forth under Item 1A, "Risk Factors" of the company's Form 10-K for the year ended December 31, 2009, as updated by any subsequent Form 10-Qs.

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

EQT Corporation is an integrated energy company with emphasis on Appalachian area natural gas production, gathering, processing, transmission and distribution. Additional information about the company can be obtained through the company's web site, http://www.eqt.com; Investor information is available on that site at http://ir.eqt.com. EQT Corporation uses its web site as a channel of distribution of important information about the company, and routinely posts financial and other important information regarding the company and its financial condition and operations on the Investors web pages.