EQT Corporation has signed a definitive agreement for the purchase of roughly 99,000 net acres in southwestern Pennsylvania and 10 horizontal Marcellus wells, located in Washington County, PA, from Chesapeake Energy Corporation and its partners for approximately $113 million, subject to closing conditions. The acreage includes 67,000 Marcellus acres and 32,000 dry Utica acres. Of the total purchase price, $60 million is allocated to the undeveloped acreage, while the remaining $53 million is for the existing Marcellus wells. The transaction is expected to close on May 30, 2013.

The acquisition includes approximately 25,000 acres within EQT's core Marcellus development areas of Washington, Greene, and Allegheny counties. This core acreage is conducive to development through the Company's preferred use of multi-well pad drilling and extended laterals. The remaining 42,000 Marcellus acres are unlikely to be developed due to near-term lease expirations or a scattered footprint.

Tags: EQT Corporation