EQT Corp., the largest natural gas producer in the U.S., has elected to suspend its quarterly dividend effective immediately, according to a March 26 release.
The company expects that the measure will save approximately $30 million per year, which will be used to pay down near-term debt maturities.
"The decision to suspend EQT's dividend is another action to display our commitment to our debt reduction strategy, which also includes utilizing substantial near-term free cash flow and asset monetization proceeds to reduce debt," said EQT President and CEO Toby Rice.
Prior to suspension, EQT was paying a quarterly dividend of 3 cents per share. On March 16, EQT also reduced its 2020 capital expenditure guidance to between $1.075 billion and $1.175 billion.