EQT Midstream is poised for significant
growth in the coming years due to drop-downs from EQT Corp, increasing
investments in transmission, storage and gathering systems and its ability to capitalize on the increasing Marcellus production.
EQT
Midstream Partners (EQM)
is the midstream arm of one of the leading natural gas producers at the
Appalachian Basin EQT Corporation (EQT). EQT
Midstream owns, operates and develops midstream assets in the region. EQT
Midstream's primary assets are the Equitrans Transmission and Storage System
and the Equitrans Gathering System. The business provides its services to EQT
Corp as well as other companies. The partnership was formed by EQT Corp in
June-2012. EQT is the general partner and owns 44.6% of the equity interest (2%
GP and 42.6% LP interest).
(figure 1)
EQT
Midstream's primary assets and its association with a leading player at
Appalachian Basin makes it a premier midstream operator in the region. The firm
is in a good position to capitalize on the growing demand of Marcellus' supply.
Equitrans
Transmission and Storage System is
the life and blood of EQT Midstream. It includes 700-mile FERC-regulated
interstate pipeline system which connects with other pipelines and distribution
companies. By the end of 2012, the system had a throughput capacity of 1.4 TBtu/day,
which has now increased to 2.1 TBtu/day. In 2012, the system's throughput rose
by 53% from a year ago to 606 BBtu/day. Equitrans Gathering System includes
2000 miles of FERC regulated low-pressure gathering lines that connects with
other transmission and storage systems.
(figure 2)
The business
has typically earned more than 85% of its revenues from Equitrans Transmission
and Storage System and more than 12% from Equitrans Gathering System.
Quarterly
Results and outlook
In its last …
read full article with figures at Seeking Alpha
