EQT Signs Third Deal to *Buy* LNG – This One Commonwealth LNG
EQT Corporation, at one time the largest natural gas producer in the U.S. (now #2 behind Expand Energy), keeps the LNG hits rolling in. Two weeks ago, the company announced that it had signed a binding contract to buy 2 million tonnes per annum (MTPA) of LNG from Phase 2 of Sempra’s Port Arthur LNG project (see EQT Announces Deal to *Buy* LNG from Sempra’s Port Arthur LNG). That deal launched the company into becoming an LNG trader, not just a gas producer. Then, last week, EQT announced a second deal to buy LNG, this time 1.5 MTPA from NextDecade’s Rio Grande LNG export facility (see EQT Announces Deal to *Buy* LNG from Rio Grande LNG Train 5). And now, for a third week in a row, EQT has announced another deal, a third deal, to buy LNG. This time, EQT will buy 1.0 MTPA from Commonwealth LNG. Read More “EQT Signs Third Deal to *Buy* LNG – This One Commonwealth LNG”
We have a second “producer does a deal to buy (not sell) LNG” story today. ConocoPhillips, a huge oil-focused driller, announced a deal to buy 1.0 million tonnes per annum (MTPA) of liquefied natural gas (LNG) from the Rio Grande LNG project. How does this news tie into the Marcellus/Utica? It doesn’t do so directly, but it does so indirectly. First, this deal shows that EQT is not the only driller to move into the role of LNG trader. Others are now doing it, too. A trend? Second, EQT signed its own deal with Rio Grande for 1.0 MTPA of LNG just last week (see 
Diversified Energy, which owns significant assets in the Marcellus/Utica region (and other regions, too), is…diversified! The company owns approximately 8 million acres of leases with close to 70,000 oil and gas wells, mostly conventional wells (by number of wells). However, the company now produces over 40% of its production from shale wells. The company’s business model is to buy already-drilled, lower-producing wells on the cheap and find ways to make them more productive. They do a great job at it. Diversified also owns midstream (pipeline) assets in addition to a well-plugging subsidiary called Next LVL. Earlier this morning, the company announced a deal to acquire Canvas Energy (the entire company) for $550 million. 
For the week of August 25 – 31, the number of permits issued to drill new wells in the Marcellus/Utica decreased from the previous week. There were 19 new permits issued across the three M-U states last week, down from 30 issued two weeks ago. Pennsylvania issued just six new permits, with two going to CNX Resources in Greene County. Another two went to EQT (including Rice Drilling), also in Greene County. Seneca Resources and Formentera Operating both received a single permit in Cameron and Lycoming counties, respectively. 
Last week, MDN brought you the news that Freeport Township, located in Greene County, PA, declared a Disaster Emergency on June 23, 2025 (see 
Range Resources sunk the very first Marcellus well back in 2004. It was the beginning of the shale revolution in the northeast. Range CEO Dennis Degner spoke at the recent Hart Energy DUG Appalachia Conference in Pittsburgh (August 27th). He discussed driving sustainable growth in the Marcellus/Utica region. The number one way to do that? More pipelines. But what about the coming Constitution Pipeline that will flow another 660 MMcf/d of Marcellus molecules out of northeastern Pennsylvania into New York and beyond? 
On Oct. 1, 2024, Chesapeake Energy announced that its buyout of and merger with Southwestern Energy in a $7.4 billion deal had been completed (see 
Wow! Here’s a bombshell rumor. Antero Resources, the country’s fifth-largest natural gas producer and largest producer in West Virginia, is preparing to market its Ohio Utica assets, hoping to fetch $900 million to $1 billion. That’s according to an exclusive report by Hart Energy, which spoke to “multiple sources” who requested anonymity. Antero owns 82,000 acres of leases in the Utica/Point Pleasant shale of eastern Ohio, in “the most prolific part of the play,” according to the company’s website. 
Some interesting comments about the “deep” Utica Shale in Pennsylvania were made during last week’s Hart Energy DUG Appalachia event, held in Pittsburgh. Including this one, from Mike Hillebrand, CEO of Huntley & Huntley: “The deep Utica, watch out folks. The deep Utica will probably be the next up-and-coming deep shale play here in Pennsylvania.” Hillebrand also broke some big news by announcing Huntley & Huntley, which recently completed the sale of its Olympus Energy subsidiary to EQT for $1.8 billion, is working on its next startup, which will focus on “deep Utica and Tier II Marcellus.” 
ExxonMobil issued its annual Energy Outlook yesterday, a report that peers into the crystal ball to predict where the energy sector is headed from now until 2050. The company bets its future on what it thinks will happen. In this latest report, Exxon projects that global natural gas demand will rise by over 20% by 2050, as it replaces coal in industry and meets growing electricity needs in developing countries. Based on that view, the company plans to grow its production by 18% over the next five years. Exxon predicts that global oil demand will plateau after 2030, although it is expected to remain above 100 million barrels per day. The crystal ball suggests that gasoline demand will drop 25% due to the rise of electric vehicles (we beg to differ). However, demand for distillates for transportation is expected to remain strong. 
This is a “man bites dog” kind of story. EQT Corporation, now the second-largest natural gas producer in the U.S. (not far behind Expand Energy), has been pushing LNG (liquefied natural gas) for years. Since 2022, we’ve called EQT CEO Toby Rice the “apostle of LNG,” spreading the LNG gospel far and wide in an effort to expand U.S. LNG exports (see