AI powers up $13 bln natural gas deal
RRC•EQT agreed to acquire Range Resources in an all-stock deal valued at nearly $13 billion, creating the largest US natural gas producer. EQT estimates $325 million in annual cost savings and expects Appalachian gas demand to increase by 25 billion cubic feet over the next decade, largely from data centers.
1. Deal and savings
EQT’s roughly $13 billion acquisition of Range Resources would create the largest US natural gas producer. EQT estimates the merger’s adjacent territories could generate $325 million in annual cost savings. In the all-stock deal, EQT investors will own 73% of the combined company.
2. Demand and deal value
EQT estimates that savings, after tax and capitalized at 10 times, could be worth around $2.5 billion. The article says that is slightly more than the premium EQT is paying, while the savings do not fully cover the extra outlay for control. EQT also sees more than $300 million of strategic upside, including potential LNG exports.
3. Appalachian gas outlook
The Appalachian region produced nearly a third of US natural gas in 2025, but used only a portion, while limited pipeline capacity has contributed to a persistent discount. EQT expects regional demand to increase by 25 billion cubic feet over the next decade, largely from data centers. The article notes uncertainty about how many data centers will be built and where.
