Slide 1: Transformational Acquisition of Equitrans Midstream
Transformational Acquisition of Equitrans Midstream Creating the Premier, Vertically Integrated Natural Gas Business March 11, 2024 3/10/20 1 24 1
Slide 2: Creating the Must-Own Energy Company
Creating the Must-Own Energy Company Providing investors the best risk-adjusted exposure to natural gas + Strategic Combination Creates America’s First Vertically Integrated Natural Gas Business Prepared to Compete in a Global Market FORTIFIES THE BASE BUSINESS AND UNLEASHES THE UPSIDE ✓ Unrivaled i
Slide 3: Equitrans Merger Creates the Premier American Natural Gas Company
Equitrans Merger Creates the Premier American Natural Gas Company Solidifies EQT as the lowest cost natural gas producer, driving robust free cash generation in all commodity price environments + >$35 B ~$23 B $7.5 B Enterprise Equity Long-Term Value Value Debt Target ~6.3 Bcfe/d >8.0 Bcfe/d ~90% Up
Slide 4: Infrastructure Ownership Has Been a Core Focus of EQT's M&A Strategy
Infrastructure Ownership Has Been a Core Focus of EQT’s M&A Strategy Every acquisition since management takeover included margin-enhancing midstream assets STRATEGIC PATH INTENTIONALLY STRONG TRACK RECORD OF INTEGRATING ASSETS WITH SET THE STAGE FOR THE CREATION MARGIN-ENHANCING INFRASTRUCTURE OWNER
Slide 5: Pro Forma EQT Has Unmatched Cost of Supply and Free Cash Flow Durability
Pro Forma EQT Has Unmatched Cost of Supply and Free Cash Flow Durability Integrated business model drives differentiated free cash flow durability and a resilient credit profile even at low prices NYMEX GAS PRICE NEEDED TO GENERATE FREE CASH FLOW(1) $/MMBtu $3.50 VERTICAL INTEGRATION MATERIALLY $3.0
Slide 6: Integration Transforms Inventory, Further Differentiating Unparalleled Asset Base
Integration Transforms Inventory, Further Differentiating Unparalleled Asset Base Materially lower cost structure means quality of inventory depth gets even deeper EQT HOLDS UNPARALLELED INVENTORY DEPTH(1) Gross operated Appalachian locations BREAKEVEN PRICING 4,000 <$2.50 ETRN Acquisition Reduces $
Slide 7: Integrated Model Uniquely Positions EQT to Thrive Amid Gas Price Volatility
Integrated Model Uniquely Positions EQT to Thrive Amid Gas Price Volatility Midstream cash flow provides a structural hedge, unlocking differentiated upside by limiting need to hedge FREE CASH FLOW PER SHARE ACCRETION PROFILE(1) % FCF/Share Accretion vs Standalone Hedged Business Model(2) Volatility
Slide 8: Unrivaled Free Cash Flow Conversion Materially Differentiates EQT's Business
Unrivaled Free Cash Flow Conversion Materially Differentiates EQT’s Business Premium assets trade at premium multiples 2025 FCF(1) CONVERSION VS. VALUATION (UNHEDGED) VALUATION UNDERPINNED BY HIGH CASH CONVERSION 11.0x > Valuation multiples reflect the quality of the underlying 10.0x business’ cash
Slide 9: Achievable Synergies Informed By Direct Knowledge of Equitrans Assets
Achievable Synergies Informed By Direct Knowledge of Equitrans Assets High confidence base synergy capture with material upside potential ENHANCED STRATEGIC ALIGNMENT DRIVING STRONG SYNERGY POTENTIAL $ MM per annum $175 “ A significant portion of Equitrans’ gathering systems are legacy Rice Midstrea
Slide 10: High Confidence Pathways to Achieve Material Debt Reduction
High Confidence Pathways to Achieve Material Debt Reduction Free cash flow, asset sales provide low risk path to $5+ billion of debt repayment post close with full vetting from rating agencies PRO FORMA DEBT PROFILE AND TARGETS $B UNWAVERING COMMITMENT TO INVESTMENT GRADE CREDIT › EQT has fully vett
Slide 11: Transaction Summary
Transaction Summary › On March 11, 2024, EQT announced the acquisition of ETRN in an all-stock transaction • 0.3504 shares of EQT stock for each share of ETRN stock, representing an implied value of $12.50 per ETRN share based on the TRANSACTION volume weighted average price of EQT common stock for
Slide 12: EQT + Equitrans is the Must-Own Energy Company
EQT + Equitrans is the Must-Own Energy Company World class, vertically integrated natural gas company creates unparalleled investment opportunity EQT + ETRN COMBINATION CREATES THE MUST-OWN ENERGY COMPANY › Top U.S. natural gas producer with long-term <$2.00/MMBtu breakeven pro forma drives durable
Slide 13: Cautionary Statements and Non-GAAP Definitions
Cautionary Statements and Non-GAAP Definitions 13 13
Slide 14: Cautionary Statements
Cautionary Statements This presentation contains “forward-looking statements” within the meaning of the federal securities laws. Forward-looking statements may be identified by words such as “anticipates,” “believes,” “cause,” “continue,” “could,” “depend,” “develop,” “estimates,” “expects,” “foreca
Slide 15: Information About Proxy Solicitation
Information About Proxy Solicitation IMPORTANT INFORMATION FOR INVESTORS AND SHAREHOLDERS; ADDITIONAL INFORMATION AND WHERE TO FIND IT In connection with the proposed transaction between EQT and Equitrans, EQT intends to file with the U.S. Securities and Exchange Commission (“SEC”) a registration st
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures ADJUSTED OPERATING CASH FLOW, FREE CASH FLOW, FREE CASH FLOW YIELD AND FREE CASH FLOW PER SHARE Adjusted operating cash flow is defined as net cash provided by operating activities less changes in other assets and liabilities. Free cash flow is defined as adjusted operati