EQT is heavily hedged this year , but I believe lighter next year .. EQT shres have done well
I am curious as a landowner who should be receiving royalties from EQT, how badly will these hedges hurt landowners royalty checks? There is a big difference between $3 and $8 a mcf.
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CHK had a very good qtr ..... Huge Dividend .......
Hedges where in 'fashion' by most producers ... banks often required those hedges when they lent producers nthe money ... As those Debt levels go down , the amount of new hedges in the future will go down as well for now] ...
If a company is hedged and the price goes up, does the company absorb that loss? Will the landowners receive the going rate being paid?
Its my understanding as an Investor not a receiver of Royalties , that the Land owner payments are subject to the terms of the Lease .. Some leases have zippo deductions , some are heavy with transport costs ..... I doubt many leases are tied to the Henry Hub Spot price , but are tied in to the amount the Producer has received for the Gas .......
Thank you so much for reply. That is my understanding also. We are hopeful that the hedges will not affect our royalties. Time will tell
Best of luck Lynn ,, hopefully you get a very decent price ...
February, CHK paid $6.34 in Bradford Co. Seneca paid $4.04 in western Tioga.
Wow, Paleface, that's quite a difference, thanks for sharing.
Why's there no reply on your messages?