US-based natural gas producer EQT is in advanced talks to purchase exploration and production company THQ Appalachia I (THQA) for approxiamtely $4bn including debt, reported Reuters, citing people familiar with the matter.

Backed by Tug Hill Operating and private equity firm Quantum Energy Partners, THQ Appalachia I focuses on assets in the Marcellus, Utica/Point Pleasant, and Upper Devonian plays in West Virginia.  

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The firm, which owns a significant leasehold position in the core of the Marshall and Wetzel counties in West Virginia, has a net production capacity of approximately 760 million cubic feet per day.

A potential transaction involving the sale of THQ Appalachia I and some midstream assets could be valued at nearly $5.2bn, reported Bloomberg News, citing people with knowledge of the matter.

The sale could also include Tug Hill’s XcL Midstream, a pipeline company engaged in transporting THQ Appalachia’s gas to market. XcL Midstream is led by Tug Hill CEO Michael Radler.

See Also:

Upon completion of successful negotiations, EQT is expected to sign an agreement with THQ Appalachia’s owners as early as this week, the sources said.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The talks, however, could still end without signing an agreement between the parties, reported Bloomberg News.

In June 2022, Reuters reported that Tug Hill Operating and Quantum Energy Partners were exploring the sale of THQ Appalachia I and appointed an investment bank to execute the sale process.

Last year, EQT acquired another natural gas producer, Alta Resources, in a deal worth $2.9bn, including debt.