Toby Rice, President & CEO, EQT Corporation

Toby Rice, President and CEO of EQT Corporation, sat down with Invest: to discuss how EQT has responded to unprecedented AI-driven energy demand and expanded LNG and infrastructure investments to drive sustainable growth, energy security, decarbonization, community engagement and long-term economic development in Pennsylvania and beyond. 

What changes over the past year impacted EQT and its operations, and in what ways?

The biggest shift has been the clearer picture of the energy demand coming to this region through AI and the need to meet rising power requirements. AI is something everyone is talking about, and it directly affects our business and how we operate. We are seeing an unprecedented level of natural gas demand emerging right in our backyard.

In the past 12 months, we announced 1.4 billion cubic feet per day of natural gas demand to support the power needs of two major facilities — one in Homer City, Pennsylvania, just east of Pittsburgh, and the other at the Bruce Mansfield site, on the west side of Pittsburgh. These are major opportunities that will generate significant economic growth for the region.

What was the strategic thinking behind the Olympus Energy transaction, and how does it complement EQT’s existing footprint?

Over the past six years, EQT has completed more than $20 billion in transactions. Each of these deals has made us better and bigger, and each has played a key role in our transformation. We’ve reduced our costs by 30%, increased our productive capacity by more than 50% and doubled the profitability of our business, measured on a free cash flow per-share basis. We’re excited to continue that track record with Olympus.

Olympus strengthens our ability to supply the AI revolution that is unfolding right here in Pittsburgh.

What does the Homer City redevelopment mean for EQT and for the region’s shift toward new energy applications?

This gives EQT the opportunity to grow our production by more than 10%. Given our scale, we produce the energy equivalent of more than 1 million barrels a day — all in natural gas form. Natural gas is a decarbonizing product and a cornerstone of energy security both for this region and globally. Being able to take that production base and demonstrate that we can grow it sustainably shows the magnitude of this impact on our business.

From a regional perspective, this could create more than 10,000 construction jobs. To put that into context, the Pittsburgh region is very familiar with the economic impact of the cracker facility. I believe Homer City will generate double that impact. This is a major opportunity for the region. The next 12 months give us the chance to demonstrate that Pittsburgh is the next American AI hub. And as significant as Homer City is, it’s only the first step — we intend to continue building out and attracting additional data center demand to the region.

How is EQT attracting and retaining skilled workers in Pittsburgh, and what strategies are helping ensure a strong local talent pipeline?

We have more than 1,500 employees and offer a very unique work experience. Our digital work environment allows us to be one of the few companies that is fully remote, which gives us access to top talent. Our operations jobs, however, are local — with 100% of our energy production located in the Appalachian region and centered in Pennsylvania. We invest more than $3.8 billion a year in maintaining and developing new assets in this region, which has generated a significant number of jobs and substantial economic stimulus for the state.

How do you see market forces shaping natural gas demand?

The biggest shift we see in the world today is electrification. Everything is electrifying, and that electricity requires energy to make it possible. Three major themes are driving this transition.

On the environmental front, the primary trend is the evolution of energy systems toward cleaner solutions. That shift is translating into coal retirements and replacement with natural gas. This is the biggest green opportunity we have in this country. It’s also why the United States is the world leader in reducing emissions, and I expect that progress to continue.

The second theme is the lack of energy security highlighted by the ongoing conflict between Russia and Ukraine. It underscored that energy security matters — and without it, you cannot transition. The United States will play a major role in providing global energy security while driving local economic growth through its LNG resources. America is the world’s leading LNG exporter, and we expect demand for domestic LNG to double over the next five years.

The third major theme driving tremendous demand is the surge in power needs. For the past 15 years, power demand was largely flat, with efficiency gains offsetting growth. That is no longer the case. We need substantially more power to meet data center demand — and data centers account for only about 40% of the total increase. The electrification of transportation and the return of domestic manufacturing are also accelerating electricity needs. Overall, we expect a 20% to 40% increase in demand for natural gas.

We are looking toward the future, and it has never been brighter.

AI-driven data centers are projected to require 50–75 gigawatts of additional power in the coming years. How is EQT preparing to meet this surge in demand?

That is an enormous amount of power. To put it in perspective, 75 gigawatts is equivalent to more than 15 New York Citys. The energy needed to support that growth must be affordable, reliable, clean and scalable — and it must be delivered quickly. When you evaluate all energy options against those attributes, we believe natural gas is the clear winner.

Some people express concerns about supply chains associated with natural gas. But over the past 15 years, natural gas demand has grown by more than 50%. In that same period, we increased natural gas–fired power generation in this country by more than 14 billion cubic feet per day. We have already demonstrated that we can deliver exactly what is being asked of the system right now.

Which community initiatives are you most proud of, and how do they reflect EQT’s role as both an energy leader and trusted partner?

We believe that the more energy we produce, the better the world will be. Our focus is on making that energy more affordable, reliable and cleaner. We have invested more than $70 million into our foundation and community giving that supports the places where we operate. Much of that funding goes toward building infrastructure, but we also support a wide range of nonprofit work throughout our communities.

Looking ahead, what are EQT’s top priorities, and how do you see the company evolving within the shifting global energy landscape?

In the short term, our main focus is continuing to evolve the energy systems we operate — replacing international coal with cleaner, more cost-effective natural gas while keeping pace with rising demand. We need to create an environment where technology companies can operate at full throttle without worrying about their energy supply. Winning the AI race is critical for us over the next five years, and that alone will help set the stage for this region and America’s success for decades to come.

LNG is also going to become an even bigger story globally. And moving forward, we intend to continue helping change the world from right here in Pittsburgh.