DAILY MARKET REPORT QUICK LINKS. Monday, July 27, EQT Claims Utica Well has Highest IP Rate To-Date. KEY HUBS SNAPSHOT $/MMBtu for delivery

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1 Source: ICE and NGX z Monday, July 27, 2015 EQT Claims Utica Well has Highest IP Rate To-Date While a large percentage of U.S. gas production has been recently sourced from the highly prolific Marcellus Shale Play in recent years, another area in that vicinity that has been gaining ground quickly is the Utica Shale Play located in the Appalachian Basin. And in fact, just last week, the EQT Corporation announced the successful completion of fracked natural gas well. While the fracking of a gas well in itself isn t exactly big news, the 24- hour deliverability test of this well was indeed impressive. During the test, the well averaged 72.9 million cubic feet per day (MMcf/d) with an average flowing casing pressure of 8,641 PSI. This equates to a 24 hour Initial Production (IP) rate per 1,000 foot of lateral of 22.6 MMcf/d. According to EQT s research, this is the highest reported IP rate of any Utica well todate and the per-foot rate is more than double the previous high. Additionally, the company noted that they were able to flow this well directly into the sales pipeline without shutting-in production from their other wells. This was possible primarily because of the integrated nature of the company s upstream and midstream businesses. EQT s midstream group was able to reconfigure the gathering system to allow this capacity to be available, which likely would not have been possible on the thirdparty system. EQT s current plan is to produce this well to a choke controlled rate of approximately 24 MMcf/d to manage the stress on the proppant and to monitor the pressure decline so they can begin to better analyze the decline profile and Estimated Ultimate Recovery (EUR) potential of the well. As a side note, a proppant is a material that will keep an induced hydraulic fracture open in order to aid in the extraction of oil and gas from reservoir rocks. This is mainly used in the hydraulic fracturing process to increase the productivity of natural gas and oil wells. Currently the well is producing 26 MMcf/d and approximately 2,000 barrels of frac water per day with flowing casing pressure of 9,555 psi. CRITICAL FLOW HIGHLIGHTS MMcf/d Point Name Pipeline Region Current Volume Current Waddington Iroquois New England % AR to MS FEP Gulf Coast Onshore 1,054 (39) 4% AL to FL FGT Southeast 2, % NY LDCs Transco Northeast 597 (17) 3% Illinois LDCs NGPL Midcon 1, % Waddington Iroquois New England 55 (214) 79% NY LDCs Transco Northeast 609 (122) 17% La Plata B Northwest Pipe Northwest % Month Percent Waddington Iroquois New England % Ehrenberg El Paso Southwest %, an OPIS Company. Reproduction without permission is prohibited. For questions and sales contact us at support@pointlogicenergy.com or KEY HUBS SNAPSHOT $/MMBtu for delivery Hub Average Henry (0.098) AECO (0.044) Algonquin Citygates Carthage (0.093) Cg-Mainline (0.098) Chicago Citygates (0.073) Col Gas Tco (0.091) Demarc (0.083) Dominion-South (0.048) EP-Permian (0.142) EP-SJ Blanco (0.138) FGT-Z (0.087) Houston Ship Channel (0.092) Iroquois Katy (0.096) Kingsgate (0.129) Malin (0.114) Michcon (0.084) NGPL-Midcont Pool (0.101) NGPL-TXOK (0.094) Opal Plant Tailgate (0.127) Panhandle (0.101) PG&E - Citygate (0.119) SoCal Border (0.159) Socal-Citygate (0.147) Sonat-T (0.096) TETCO-M Transco (0.120) Transco-Z6 (NY) Ventura (0.083) Waha (0.137) QUICK LINKS Supply/Demand Report. 2 Critical Flow Report.. 3 Spot Market Price Summary Pipeline Informant... 6 Futures Market Price Summary.. 7 Weather Forecast Storage Forecast

2 DAILY SUPPLY/DEMAND REPORT Bcf/d SUPPLY Tue Wed Thu Fri Sat Sun Mon Current 7/21 7/22 7/23 7/24 7/25 7/26 7/27 Day Wellhead Production (0.07) Production Losses (0.01) 7.24 (0.05) Dry Production (0.07) Canada (Net Imports) (0.00) LNG Pipe Deliveries (0.12) 0.32 (0.01) Synthetic Fuels (0.02) (0.00) Total Supply (0.04) DEMAND MTD Jul From 2014 YTD Electric Power Plants Industrial Plants (0.36) Residential & Comm (0.50) Sub-Total Mexico Exports (0.00) Fuel and Pipe Balancing (1.53) 5.77 (0.70) 4.89 (1.87) Storage (0.58) (2.30) (1.11) 1.65 Total Demand (0.04) From 2014 CRITICAL FLOWS MAP MMcf/d 2

3 DAILY CRITICAL FLOW AND CHANGE MMcf/d Select Pipeline Throughputs Summary Pipeline or Segment Volume 1-Day 7-Day 30-Day Algonquin 1,291 (10) 20 (38) Alliance 1, (2) (115) Columbia Gulf (2) EPNG Ehrenberg 699 (12) EPNG Topock (43) (83) Fayetteville Exp 1,054 (39) (60) (86) Florida Gas 2, (161) (246) Kern River 2,317 (8) 34 (81) NGPL-LDCs 1, Northern Border 1,477 0 (80) (30) PEPL 1,048 (2) (81) (149) PG&E-LDC s 360 (7) (11) (44) REX-Seg (0) (9) (359) REX-Clarington Ruby 1,045 (14) SESH TC Foothills 1,535 0 (10) (412) Irquois-Waddington (78) 84 GTN 1,078 (6) (21) (187) Transco-NYC LDC s 597 (17) (119) 109 NWP-Westcoast Westcoast Energy 1,179 2 (57) 81 NG Fact: U.S. LNG exports that will by and large start to ramp-up by 2017, will serve the rising global demand for natural gas, which is by 2030 is projected to increase by as much as 60% compared to recent levels. REGIONAL FLOW SUMMARY Bcf/d Producing Basin Wellhead Receipts Basin or region Volume 1-Day 7-Day 30-Day West Coast (4) San Juan 2, (32) 39 Permian 6,194 (32) East Central 3,085 (40) South Central 4, Northeast 12,660 (18) Offshore 4,280 (2) Rockies 12,588 (38) Mid-Con 16,512 (80) (157) (248) Gulf Coast 16,619 (69) 14 (27) Other 381 (2) (11) 9 Total US 80,259 (72) 533 1,360 WCSB 17, (7) 984 ly Nuclear Capacity Inches Higher On the nuclear front, U.S. nuclear operating capacity increased 0.8% last Thursday, July 23 to 96.9% (94,919 MWe) from the previous Thursday, July 16, 96.1% (94,150 MWe) according to PointLogic Energy's week-on-week analysis. One noteworthy item was Omaha Public Power District's 480 MWe Fort Calhoun Station nuclear power plant was manually taken offline on July 21 to repair a leak in one of the reactor cooling pumps. Meanwhile, VEPCO's 827 MWe Surry Unit 2 in Virginia returned to service July 23. Today s latest Nuclear Regulatory Commission (NRC) data shows that out of 99 active US nuclear reactors; 3 reactors are in total shutdown mode, which means the reactor is producing zero megawatts (MW). There are 5 reactors are in partial shutdown, and 91 nuclear power plants that are fully operational. Tue Wed Thu Fri Sat Sun Mon MTD YTD Day Regional Flows From From 7/21 7/22 7/23 7/24 7/25 7/26 7/27 Jul Into California (0.24) Out of San Juan (0.04) Out of Rockies (0.04) Into Northeast (0.00) (0.67) (0.44) (0.50) (0.32) (0.30) (0.04) 0.26 (0.41) (0.79) 0.61 (0.47) Out of Gulf Offshore (0.00) Into North Central (2.21) 8.08 (0.29) Into Southeast Into US from Canada (0.00) Out of US to Mexico (0.00)

4 DAILY BASIS MAP $/MMBtu TOTAL REGIONAL FLOWS MMcf/d 4

5 HENRY HUB SPOT MARKET PRICE SUMMARY $/MMBtu LCI Select Regional WACOG First Trade vs NYMEX Average Low High Last Trade vs NYMEX East Midcon West 29-Jun-15 Sunday $ $ $ $ $ $ $ $ $ $ , Jun-15 Monday $ $ $ $ $ $ $ $ $ $ ,000 June Averages $ $ $ $ $ $ $ $ $ $ ,960 1-Jul-15 Tuesday $ $ $ $ $ $ $ $ $ $ ,500 2-Jul-15 Wednesday $ $ $ $ $ $ $ $ $ $ ,100 3-Jul-15 Thursday $ $ $ $ $ $ $ $ $ $ ,200 4-Jul-15 Friday $ $ $ $ $ $ $ $ $ $ ,200 5-Jul-15 Saturday $ $ $ $ $ $ $ $ $ $ ,200 6-Jul-15 Sunday $ $ $ $ $ $ $ $ $ $ ,200 7-Jul-15 Monday $ $ $ $ $ $ $ $ $ $ ,600 8-Jul-15 Tuesday $ $ $ $ $ $ $ $ $ $ ,300 9-Jul-15 Wednesday $ $ $ $ $ $ $ $ $ $ , Jul-15 Thursday $ $ $ $ $ $ $ $ $ $ , Jul-15 Friday $ $ $ $ $ $ $ $ $ $ , Jul-15 Saturday $ $ $ $ $ $ $ $ $ $ , Jul-15 Sunday $ $ $ $ $ $ $ $ $ $ , Jul-15 Monday $ $ $ $ $ $ $ $ $ $ , Jul-15 Tuesday $ $ $ $ $ $ $ $ $ $ , Jul-15 Wednesday $ $ $ $ $ $ $ $ $ $ , Jul-15 Thursday $ $ $ $ $ $ $ $ $ $ , Jul-15 Friday $ $ $ $ $ $ $ $ $ $ , Jul-15 Saturday $ $ $ $ $ $ $ $ $ $ , Jul-15 Sunday $ $ $ $ $ $ $ $ $ $ , Jul-15 Monday $ $ $ $ $ $ $ $ $ $ , Jul-15 Tuesday $ $ $ $ $ $ $ $ $ $ , Jul-15 Wednesday $ $ $ $ $ $ $ $ $ $ , Jul-15 Thursday $ $ $ $ $ $ $ $ $ $ , Jul-15 Friday $ $ $ $ $ $ $ $ $ $ , Jul-15 Saturday $ $ $ $ $ $ $ $ $ $ , Jul-15 Sunday $ $ $ $ $ $ $ $ $ $ Henry Hub Traded Volume July Averages $ $ $ $ $ $ $ $ $ $ ,996 Current July Differences Day on Day VS. Month to Date Averages Day VS. '2014' Ave ($0.0980) ($0.1100) ($0.0800) ($0.0013) ($0.0884) ($0.1350) (156,000) $ $ $ ($0.0649) $ $ (294,996) ($1.2671) ($1.3563) ($1.4687) Nuclear Reactor Percent Operating Capacity 98% 97% 96% 95% 96.07% 96.40% 97.25% 96.85% 94.91% 94.69% 96.75% 94% 93% 21-Jul 22-Jul 23-Jul 24-Jul 25-Jul 26-Jul 27-Jul 5

6 PIPELINE INFORMANT STORAGE NOTICE From 7/14/15 thru 7/24/15, the Mid-Con Region has averaged storage injections of.427 Bcf/d which is a 53.3% decline when compared to the prior 30-day period's build of.92 Bcf/d and is 49.4% lower over the s eas on-to-date mean of.85 Bcf/d. PointLogic Energy's s torage flow model is reporting the Producing Region's current 5-day (7/20-7/24/15) storage injection rate is.23 Bcf/d which is 91.5% slower over the preceding 30-day rate of 2.7 Bcf/d and 90% weaker compared to the month-to-date pace of 2.4 Bcf/d. The Eastern Consuming Region's current 14-day storage volume is 6.61 Bcf/d which is 10% lower than the season-to-date build of 7.3 Bcf/d. Cumulative storage injections since April 1st are Bcf, down marginally by 1.6% over last year's net of Bcf for the same period. For storage week ending July 24, 2015, the PointLogic Energy Storage model is estimating a net build of (+) 57 Bcf to Underground Storage for the Lower 48 States. Regionally, our projections are as follows: East (+) 44 Bcf, Producing (+) 7 Bcf & West (+) 6 Bcf. PointLogic Energy's storage flow model is reporting Tres Palacios Storage accrued the largest net withdrawals of (1.048) Bcf in the Producing Region for week ending 7/24/15 which accounted for 19.3% of the total draws of (5.427) Bcf in the region. For flow week ending 7/23/15, Stage Coach Storage accrued net withdrawals of (.26) Bcf which was driven by withdrawals of (.22) Bcf from 7/20/15 thru 7/23/15. This is also a notable flip from the prior week's build of.104 Bcf. The Texas Eastern interconnect at CNG Leidy Storage #2 averaged withdrawals of (.075) Bcf/d for week ending 7/23/15 which was a 46% decline over the preceding week's mean of (.14) Bcf/d. Season-to-date, net withdrawals stand at (13.53) Bcf, up 406% over last year's total of (2.67) Bcf. Lodi Storage on the California Gas Trans. Pipeline reported a net storage volume of (.31) Bcf for week ending 7/24/15. This is notable in that is a 181% flip from the prior week's build of.38 Bcf. Season to date, inventory stands at 2.3 Bcf which is 68% smaller than last year's stock of 7.15 Bcf CRITICAL NOTICE AND MAINTENANCE HIGHLIGHTS Effective 7/24/15, Equitrans is experiencing an unplanned outage at its Smithburg Compressor Station. All meters upstream of the Smithburg Compressor Station must be shut in immediately. Equitrans will notify impacted parties when they can turn back in line. Equitrans is continuing the maintenance at its Underwood Compressor Station until approximately the week of August 10, The following producers must remain shut in: 23833, 23677, 23641, , 24104, 24177, 24123, 24259, 24476, , and Equitrans will be performing pipeline maintenance on W-7606 pipeline for one-day only on 7/27/15. During the one-day maintenance period for this project, producers must shut in meters: , , 21549, 23279, and W El Paso Natural Gas will perform mechanical inspections at Casa Grande 1B from 7/27 thru 7/31/15. From an estimated base capacity at Casa Grande HP West of 564 MDth/d, the estimated capacity reduction will be 81 Mdth/d allowing for an maximum operating capacity of 483 MDth/d. Dominion has planned an outage effective 7/27 thru 7/31/15 at both Orma Station and Lightburn station for 8K hr. inspection. Additionally, Stuart Station will is undergoing the same inspection from 7/27 thru 7/31/15. Northern Natural Gas's Force Majeure at the Bushton compressor station in Rice County, KS will conclude on 12/1/15. Capacity from 7/23-7/31 for the Field to Demarc Allocation Group (#831) will be as follows: 115,000 Dth/d (Field to Demarc-D) & 80,000 Dth/d (Beatrice North-D). Effective 7/23/15, Texas Eastern Transmission has lifted its restriction on the Lebanon Lateral except for the following two locations: Lebanon / Red Lion (DRN# ) & Lebanon / COLGA INT (DRN# 38843). The res trictions for thes e 2 locations will continue through 8/3/15. Effective 7/25-7/29/15, Transco will be performing modifications on the SELA - Line C between Mosquito Bay Junction Platform & Station 62 (Gibson, LG), shutting-in the West Leg. 31 meters attached to the leg can not flow into Transco with capacity impacted by 200,000 Dts. 6

7 FUTURES SUMMARY $/MMBtu Natural Gas WTI Oil Month Open High Low Settlement Volume Prior Open Interest Settlement Aug (0.040) 63,726 38, Sep (0.042) 79, , (0.31) Oct (0.043) 26, , (0.31) Nov (0.042) 20, , (0.32) Dec (0.038) 12,376 75, (0.33) Jan (0.040) 10,403 92, (0.33) Feb (0.038) 1,968 19, (0.32) Mar (0.035) 4,440 46, (0.31) Apr (0.027) 3,605 50, (0.31) May (0.027) 1,049 19, (0.32) Jun (0.026) , (0.33) Jul (0.023) , (0.34) Aug (0.023) , (0.35) Sep (0.022) 328 7, (0.36) Oct (0.022) , (0.38) Nov (0.019) 77 5, (0.39) Dec (0.017) 112 8, (0.39) Jan (0.016) 129 7, (0.40) YTD FUTURES VS. CASH $/MMBtu Futures Cash Month Settle Average Low Avg. High Avg. March $ $ $ $ April $ $ $ $ May $ $ $ $ June $ $ $ $ July $ $ $ $ More NG Futures Price Oscillation on Tap Part of the short-lived strength in prompt-month natural gas futures that lifted prices early last week, which peaked at a high of $2.951 last Thursday (7/23) stemmed from false-alarm coast-to-coast hot temperature forecasts produced by the Global Forecasting System (GFS) coupled with a somewhat supportive weekly storage injection when compared to the year-over-year storage data. However, once the GFS model corrected to a cooler scenario and the knee-jerk reaction to the storage number quieted-down, the August gas futures contract fell 4 to close at $2.776/MMBtu on Friday. This week, more of the same lackluster action is on tap, which is likely to keep prices oscillating in the recent range. In other news, last week s Baker Hughes natural gas rig count for the week ended July 24th showed that active U.S. natural gas rigs declined by 2 rigs reducing the total rig count to 216 gas rigs. This week s rig data is weighed against 318 active gas rigs 12 months ago. WTI Slips amid Supply Concerns, Dollar Strength September WTI futures lost 31 closing at $48.41/bbl on Monday. WTI fell to 3-month lows, bottoming at $47.72 amid global supply concerns and continued strength in the U.S. dollar index. Meanwhile, the Baker Hughes reported that U.S. oil rigs reversed its downward trend by gained 21 rigs last week to 659 rigs for the week of July 24, Presently oil rigs are still off by roughly 58% in the last year. 7

8 CURRENT DEGREE DAY FORECAST WEATHER SUMMARY Cooling Degree Days PREVIOUS DAY FORECAST ANALYSIS Cooling Degree Days Big Pattern on Tap: Cool Coming to Central U.S. and Midwest, Heat Returns to West This week is all about pattern transitions in large areas of the U.S. as a bout of above-normal temperatures consuming parts of the Northeast and the upper-midwest will have New York City dealing with possible 90-degree temperatures, while the Windy-city (Chicago) is slated to see some the hottest few days of the summer thus far. However, following the hot temperatures comes an impressive pool of cool that will not only knock down the heat, but will also usher in stormy conditions. Further south, it s the same story in terms of big cooling degree days (CDD s) this week as swath of above-normal conditions will dominate from Texas to the Midwest. But, as noted above, the forthcoming cooler Fri Sat Sun Mon Tue Wed Thu Ending Ending Ending Ending 7/23 7/24 7/25 7/26 7/27 7/28 7/29 7/30 7/30 8/6 8/13 Eastern 1, , (301) 693 (95) Western , (210) Production 1, , ,235 (247) 1,125 (110) Totals 3, , ,041 (410) 2,626 (415) Fri Sat Sun Mon Tue Wed Thu Ending Ending Ending Ending 7/23 7/24 7/25 7/26 7/27 7/28 7/29 7/30 7/30 8/6 8/13 Previous Day 3, , ,046 (406) 2,627 (419) (7) (7) (2) (1) (1) (1) (5) (4) (1) 4 % (1.5) (1.4) (0.4) (0.2) (0.0) (0.7) (0.2) 1.0 (0.0) (1.0) temperatures will be prevalent throughout 45% of the country through potentially mid-august. During the 1-to-5 day (July 27 through Aug 1) forecast; below-normal conditions will be wrapping-up in the West and Pacific-NW, while Texas to Maine see summer heat. In the 6-to-10 day (Aug 1 through Aug 6) outlook, below-normal temperatures transition into the Plains, Midcontinent, Midwest, and upper-midwest. Heat builds back into the West. Texas cools off. In the 11-to-15 day (Aug 6 through Aug 11) outlook; the pool of cooler temperatures remains prevalent throughout the Central and upper Midwest, while transitioning deeper into the Northeast. 8

9 STORAGE FORECAST SUMMARY EIA Ending ly Bcf Cumulative Bcf EIA Est. Percent Last Year Surplus/(Deficit) Capacity Full ly Last Year 5 Year Last EIA release 17-Jul , , % Daily FORWARD GAS STORAGE FORECAST Total 17-Jul ,837 4, % 18-Jul ,847 4, % 19-Jul ,858 4, % 20-Jul ,864 4, % 21-Jul ,870 4, % 22-Jul ,877 4, % 23-Jul ,885 4, % Next EIA release 24-Jul ,885 4, % (31) 9 EIA Ending ly Bcf Cumulative Bcf EIA Est. Percent Last Year Surplus/(Deficit) Capacity Full ly Last Year 5 Year 31-Jul ,927 4, % Aug ,987 4, % Aug ,065 4, % End of Summer 30-Oct ,897 4, % Storage Trumps 5-yr Average Again Once again, in keeping with the recent trend of natural gas storage out-performing the 5- year average; last week s storage data report under-performed against the under the year-over-year storage data, but bested the 5-year average when the Energy Information Administration (EIA) reported its storage data for the week ended July 17. The EIA s report showed a 61 Bcf increase with the inclusion of the Administration s reclassification of stocks. The reclassifications from working gas to base gas resulted in a decrease of working gas stocks of approximately 7 Bcf in the East region for the week. Therefore, the implied flow for the week was an increase of 68 Bcf to working gas stocks, bringing total working storage inventory to 2,828 Bcf, which widened this year s surplus to the prior fiveyear average by 8 Bcf to 81 Bcf. Either way, the report came in under the year-over-year build of 92 Bcf, but trumped the 5-year average of 53 Bcf Summer 2015 ly Storage Levels Year Average Est

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