EQT Corporation agreed to acquire Range Resources in an all-stock merger announced October 26, 2026, creating a U.S. natural gas entity with a pro forma enterprise value exceeding $50 billion. The deal combines two Appalachian Basin producers to form the largest natural gas company in the United States.
The transaction, which received unanimous approval from both boards, will see each Range common share exchanged for 0.987 EQT common shares. Once completed, EQT shareholders are expected to own roughly 73 percent of the combined group, while Range investors will hold the remaining 27 percent.
30 Years of Inventory
The merger establishes a massive operational footprint. The combined entity will control nearly three million net acres and more than 3,700 miles of midstream infrastructure. According to the companies, the resulting business will have over 30 years of inventory.
Toby Rice, EQT president and CEO, stated that the combination creates a company uniquely positioned for the next era of natural gas
and provides growth optionality backed by contractual demand. Range president and CEO Dennis Degner noted that the deal will enhance Range shareholders’ ability to participate in a constructive long-term natural gas and NGL macro outlook.
This transaction brings together two of the highest-quality, longest-duration asset bases in North America and creates a company uniquely positioned for the next era of natural gas.
Toby Rice, EQT President and CEO
EQT Targets Breakeven Below $2 per MMBtu
Financial projections for the merger focus on cost reductions and cash flow growth. EQT expects the transaction to lower its unlevered free cash flow breakeven to below $2 per MMBtu.
- Base Annual Synergies: $325 million expected within two years.
- Long-term Synergies: Potential to exceed $600 million over the longer term.
- Credit Rating: The combined group is expected to have BBB-rated credit.
EQT Bets on AI Data Centers and Exports
The timing of the deal coincides with a shift in gas demand. While Henry Hub futures slid to about $2.51 on the day of the announcement, EQT is betting on long-term surges from power generation and AI data centers. The company is focusing on gas supply contracts for AI data centers and supporting power plants.
$EQT Corp. agreed to buy $RRC Range Resources Corp. in an all-stock deal that values the combined company at more than $50 billion.The deal will create the largest US natural gas producer, with more than 9 billion cubic feet equivalent of daily production. EQT expects $325…
This strategy is designed to capture the growth of power-hungry data centers and rising international exports. Rice indicated the combined company could potentially scale production to 17 billion or even 20 billion cubic feet a day if demand requires it.
Range Shares Surge as EQT Shares Drop
Immediate market response to the announcement was mixed. Shares of EQT dropped 4.6% in premarket trading, a decline attributed to merger arbitrage and dilution. Conversely, Range Resources shares rose 10.1% in premarket activity, eventually surging to their highest level since June 2015. This comes as Range shares have gained more than 51% so far this year.
The deal is the second-largest oil and gas transaction of 2026, trailing only Devon Energy’s $26 billion acquisition of Coterra Energy in February. The only comparable natural gas deal in recent years was Chesapeake Energy’s 2024 all-stock acquisition of Southwestern Energy for $7.4 billion, which created Expand Energy. The Range acquisition is intended to allow EQT to surpass Expand as the nation’s top producer, with Rice describing EQT as the undisputed leading natural gas platform in North America
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US gas consolidation is accelerating.EQT has agreed to buy Range Resources in an all-stock deal worth about $12.8bn, creating the largest pure-play Appalachian operator.The combination adds:- more than 9 bcfe/d of production- nearly 3 million net acres- over 30 years of…
Board Changes and the First Quarter 2027 Closing
The merger is expected to close in the first quarter of 2027, pending regulatory approvals and shareholder votes. EQT will remain headquartered in Canonsburg, Pennsylvania, and its executive management team will lead the combined company. To integrate Range’s leadership, two representatives with Range Resources including Dennis Degner will be added to the EQT board.
The agreement includes specific termination protections. The deal may be terminated if not completed by October 25, 2027, though it can be extended to April 25, 2028, under certain conditions. Closing is contingent upon shareholder approvals from both firms, HSR Act clearance, and the effectiveness of EQT’s Form S-4 registration statement.
EQT, Range Resources agree $50 billion-plus US gas giant mergerEQT Corp will acquire Range Resources in an all-stock deal valued at over $50 billion, including debt, creating the largest vertically integrated natural gas producer in the United States. The transaction is…
The transaction will follow a two-step process: first, a newly created subsidiary called Rhino Merger Sub Inc. will merge into Range, making it an indirect wholly owned subsidiary of EQT; subsequently, Range will merge into Rhino Merger Sub LLC. Legal and financial guidance for Range was provided by Gibson, Dunn & Crutcher, Evercore, and J.P. Morgan Securities.
While the boards approved the deal, some shareholders are already questioning the valuation. Ademi LLP announced it is investigating whether the buyout provides fair value to Range’s public shareholders and whether the board adequately protected their interests.
EQT said on Monday it will buy Range Resources in a $13 billion all-stock deal to create the largest US natural gas producer, betting on rising demand from LNG exports and power generation. https://t.co/7jKXRIaohB
$EQT $RRC EQT to buy Range Resources in $13 billion deal to create top US gas producerEQT said on Monday it will buy Range Resources in a $13 billion all-stock deal to create the largest US natural gas producer, betting on rising demand from LNG exports and power generation.…