I'm honestly hoping it is, just to get it over with...
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Is anybody buying the Rice brothers b—s—? Rice is gutting EQT, for a purpose. He ran a little operation with easy access to production reserves, and low operations costs. When Rice Energy expanded he could not manage the costs, and low gas pricing and had to sell to EQT to stay alive in marcellous. EQT wanted to expand and made 2 mistakes! Overpaying by a factor of 15 for marginal gas fields, and not verifying strata structure or reserves. EQT always had good wells but in hard to produce locations, so production operating costs are higher. Rice used the higher production costs coupled with his supposed expertise to flim flam the stockholders. Rice has a 2 year non compete agreement, a ton of money from the sale to EQT, and a year to make good before the shareholders lynch him. Laying off workers and cancelling capex projects decreases expenses and releases operational funds. This is short term savings folks. To be competetive you need capex infrastructure and expansion to get the gas out of the ground and distributed to make money. Couple those issues with low gas prices, industry consolidation, and poor maintenance and expansion and you are doomed to fail. Rice is like Trump, cultivated media bad boy fighting for the good with his extensive industry knowledge and experience. None of it is true. I worked for EQT and Rice and they both are arrogant, ambitious, closed minded, clicqish, and vindictive places to work. Everything you read about EQT applies to Rice energy as well. Both companies have a lot of issues. Here is what will happen. Rice will force a sell off of ETRN and other assets. He and his brothers will reconstitute Rice Energy after decimating EQT. They will have another round of layoffs at the end of the year probably another 200. There will be dustup with the board and shareholders with Rice resigning because of no support. Rice will go on to the new RE company, and EQT will be acquired, probably by Chevron or another big player. Rice is playing for time, and using Trumpian accounting. The numbers do not add up! Firing 196 people will never give you 50 million in operational savings. Canceling upgrades and expansion, and transmission projects will not get the gas out of the ground and money in your pocket. Cancelling gas and well leases, allows rice to snap them up when his non compete contract ends. This will end badly! This is an honest observation and prediction from someone with personal experience with the companies and parties involved, I know the issues,problems, and personalities. This will probably happen, I predicted the Rice takeover, layoffs, hiring of old Rice cronies, and curtailing of projects last year when EQT split.
Don't expect it to happen soon. After all aren't they already WAY behind on their entire time line of what they laid out for everyone in an entire manifesto of what they were going to do as soon as they took over. LOL. So behind.
It’s happening now?
Wonder how Jeff Lo feels about the layoffs since his case has been dropped?
They might be doing them grim reaper style like they did right after the merger.
Good luck everyone.
Haven’t gotten any suspicious meeting requests yet
And good luck everybody!