Natgas producer EQT posts smaller than expected Q2 loss on higher sales volumes
EQT Corp 
EQT posted a smaller-than-expected second-quarter loss on Tuesday, as the natural gas producer benefited from higher sales volumes, sending shares up nearly 1% after the bell.
Natural gas prices (.NGc1) rose in April and May, prompting some drillers, including EQT and Chesapeake Energy (CHK.O), to boost output so far in June and July.
EQT is the nation's biggest gas producer, but Chesapeake is on track to take its place after its planned merger with Southwestern Energy (SWN.N).
Total sales volume for the April-June quarter rose to 508 billion cubic feet equivalent (bcfe), compared with 471 bcfe in the year-ago quarter, well above EQT's prior forecast of 455 bcfe to 505 bcfe for the quarter.
Average realized prices rose to $2.33 per thousand cubic feet equivalent (mcfe) in the reported quarter, from $2.11 per mcfe a year earlier.
The U.S. Energy Information Administration (EIA) expects domestic natural gas production to decline for the rest of the year, while demand will rise to record highs.
If the EIA's projection is right, 2024 would be the first time output declines since 2020, when the COVID-19 pandemic cut demand for the fuel.
EQT left its full-year sales volume forecast of 2,100 bcfe to 2,200 bcfe unchanged. Last month, EQT had reinstated the 1 bcf/d of natural gas production it had previously curtailed.
Smaller peer Range Resources 
RRC, which beat second-quarter profit estimates, also left its annual production forecast unchanged, adding that it expects production to be near the high-end of its forecast range of 2.12 bcfe/d to 2.16 bcfe/d.
Earlier this week, EQT closed its acquisition of Equitrans Midstream. The firm expects the deal to result in about $150 million of savings relative to initial expectations, accelerate synergies and commence a deleveraging plan.
EQT, which operates in the Appalachian Basin, posted an adjusted loss of 8 cents per share in the April-June quarter, compared with analysts' estimate of a loss of 20 cents per share, according to LSEG data.
