Natural Gas News – February 22, 2018
Natural Gas News – February 22, 2018
EQT, The Biggest US Natural Gas Producer, is Spinning Off Its Pipeline Business
CNBC reported: EQT, the nation’s biggest natural gas producer, will spin off its pipeline business into a new publicly traded company, the Pittsburgh-based driller announced Wednesday. The transaction represents something of a consolation prize to investors who objected to EQT’s purchase of Rice Energy last year. Opponents led by activist investor Barry Rosenstein’s Jana Partners had contended that splitting EQT’s natural gas production and transportation businesses would better reward EQT shareholders. The spinoff will create the third-largest U.S. natural gas gathering company, according to EQT. The company says the deal will allow the two pure-play companies to attract an investor base attuned to their businesses, simplify financial results and more efficiently allocate capital. Before their combination, both EQT and Rice operated midstream businesses — which transport oil and gas from wells to processing, transportation and shipping facilities — through limited partnerships. For more on this story visit cnbc.com or click http://cnb.cx/2ENdigv
NYMEX March Natural Gas Continues Upward Trend For Second Consecutive Day
Platts reported: The NYMEX March natural gas futures contract was up for the second straight day in morning trading Wednesday, as the market continued to rally from the heavily bearish trend experienced so far in the month of February. As of 11:15 am EST, the March contract was trading at $2.671/ MMBtu, up 5.5 cents from Tuesdays close. So far on Wednesday, the March contract has traded in a range of $2.565-$2.680/ MMBtu. The NYMEX front-month contract’s recent upward momentum has helped it recover from the rapid decline felt thus far in the month of February as total losses since February 1 are now 18.5 cents, a 6.5% drop. This upward movement in price could be partly attributed to a forecast of colder weather in the coming weeks. For more visit platts.com or click http://bit.ly/2oii2Ax
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