CNX Resources

Last updated
CNX Resources Corporation
Company type Public company
NYSE:  CNX
S&P 400 component
Industry Natural gas
Key people
Nicholas J. DeIuliis, CEO and President
Alan K. Shepard, CFO
Navneet Behl, Chief operating officer [1]
Products Natural gas
Production output
1.617 billion cubic feet of natural gas equivalent per day (2021)
RevenueDecrease2.svg $3,435 million (2023) [2]
Decrease2.svg $1,721 million (2023) [2]
Total assets Increase2.svg $8,626 billion (2023) [2]
Total equity Decrease2.svg $4,361 million (2023) [2]
Number of employees
470 (2023)
Website www.cnx.com
Footnotes /references
[3] [4]
CNX Resources Headquarters CNX Resources Headquarters.jpeg
CNX Resources Headquarters

CNX Resources Corporation is a natural gas company based in Pittsburgh with operations in the Appalachian Basin, primarily in the Marcellus Shale and Utica Shale in Pennsylvania, Ohio and West Virginia. It also develops coalbed methane properties in Virginia along with a methane capture and abatement program. The company also has extensive midstream operations and is one of the largest producers of natural gas in the United States.

Contents

History

1860 to 2017

CNX Resources traces its roots to Consolidation Coal Company, a coal mining company founded in 1860. [5] Dupont and Rheinbraun A.G. formed a joint venture in 1991. [6] [5] In May 1999, the company became a public company via an initial public offering. [7]

In 2010, the company moved its headquarters to Cecil Township, Washington County, Pennsylvania. [8] [9] The company also acquired the natural gas business of Dominion Resources in 2010, which increased its drilling properties and made it one of the largest natural gas production companies in the Marcellus Shale formation. [10]

In 2017, the company completed the corporate spin-off of Consol Energy and changed its name to CNX Resources Corporation. [11] Nicholas (Nick) J. Deiuliis, who was the President and CEO of Consol, continued in those same roles at CNX. [12]

2018 to 2021

In January 2018, the company purchased a 50% interest in CONE Gathering LLC from Noble Energy. [13] That year CNX entered a long-term agreement with Evolution Well Services to develop a 100% electric hydraulic fracturing fleet in the Appalachian Basin. [14] The agreement was extended in April 2022. [14]

In 2020 CNX acquired all outstanding common shares of CNX Midstream Partners LP. [15]

In 2021, the company created the CNX Foundation to administer its $30 million commitment to help those in the Appalachian Basin region achieve economic success. [16] CNX also created a mentorship academy for high schoolers in disadvantaged rural and urban areas. [17] [18] The focus is on exposing students to career opportunities and ensuring they secure a job or apprenticeship by their high school graduation. [17] Under the program, the students meet once a month, attend field visits with various regional employers, and have on-site visits and guest speakers. [17] [18] There is also coaching focused on resume creation, job interviews, civics and business, and dressing for success. [17] [18] The Bus Stops Here Foundation and the Builders Guild of Western Pennsylvania are original partners in the program. [18] CNX CEO Nick Deiuliis contributed $1 million of his 2022 compensation to support the academy and proceeds from his book Precipice are also supporting the academy. [19]

As of July 2022, the CNX Foundation had provided a $1 million grant to bring broadband to Greene County, [16] [20] $400,000 in career training, and $200,000 for technology needs in disadvantaged school districts with the Jerome Bettis Cyber Bus Project. [20] In addition to the Foundation, CNX works with local communities through programs like Domestic Violence Services and Food Helpers. [16]

2022 to present

In May 2022, CNX partnered with the Pittsburgh International Airport (PIT) to produce alternative fuels and electricity from natural gas wells that CNX operates on airport property. [21] [22] [23] PIT sits atop shale formations including the Utica and Marcellus, a natural gas reserve that runs under parts of New York, Pennsylvania, Ohio, West Virginia, Maryland, and Virginia. [24] CNX can produce compressed natural gas (CNG) onsite to fuel land fleet transportation, and liquefied natural gas (LNG) for various purposes. [21] [25]

CNX started partnering with PIT in 2013 and began drilling natural gas wells in 2014. [21] As of 2022, the partnership has supported a 5-generator, 20 MW micro-grid powered by natural gas, and a 3 MW solar array that provides 100% of the airport's electricity needs. [21] [26] [24]

In May 2022, CNX announced a partnership with Pittsburgh International Airport to produce compressed natural gas and hydrogen onsite to create alternative fuel. [14] In July, the company announced two other large deals: one with NewLight Technologies and the other with Dynamis. Under the NewLight deal, CNX committed to supply ultra-low carbon intensity methane as feedstock for the production of biomaterials for 15 years. [27]

As for Dynamis, CNX partnered with the company to bring the first electric-powered drilling rig to the Appalachian Basin. [14] The rig is fueled by onsite natural gas via high efficiency continuous duty natural gas reciprocating power generation, as well as battery energy storage technology. [14]

In 2023, the CNX Foundation donated $1 million to help establish a substance recovery unit at Penn Highlands Mon Valley Hospital. [28] The Foundation also donated $1 million for broadband access for just over 100 homes and businesses in Greene County, Pennsylvania. [29]

In April of that year, CNX and Sapphire Technologies announced a plan to develop a FreeSpin In-line Turboexpander creating clean, or zero-emission, electricity by tapping into pressures used in producing natural gas. [30] In November, CNX announced a collaboration with the state of  Pennsylvania. [31] CNX volunteered to be the first company to offer “radical transparency” regarding its safety measures. [31] This includes collecting and reporting real-time data on air emissions and water quality at 9 sites (three additional pending) and two well pads, disclosing all chemical use, and expanding buffer zones. [32] [31]

In 2023 and again in 2024, CEO Nick Deiuliis donated an additional $1.5 million of his compensation to the academy in 2023 and again in 2024 [33] bringing his total donation to $4 million. [34]

In April 2024, CNX and Deep Well Services launched a new oilfield services joint venture company, AutoSep Technologies. [35] The company will provide automated conventional flowback operations to the oil and gas industry. [35] It is part of the CNX New Technologies unit. [36] Another initiative under this unit is CNX’s work with NuBlu Energy to start producing lower-carbon compressed natural gas and liquefied natural gas. [36]

In May 2024, CNX and KeyState Energy signed a letter of intent for a project that would make sustainable, hydrogen-based aviation fuel at Pittsburgh International Airport from coal-mine methane gas. [37] [38] The formal approval of the project depends on the approval of federal hydrogen production tax credits under the Inflation Reduction Act of 2022. [39] [37]

Methane Abatement

The company's methane abatement program captures methane released from coal and the surrounding rock strata from mining activities. Coalbed methane is a greenhouse gas emitted from both active and closed (or abandoned) underground and surface coal mines that would be emitted to atmosphere if not for capture and abatement programs. [40] To further reduce gas emissions, CNX was the first driller in the Appalachian Basin region to eliminate diesel engines from their hydraulic fracturing fleet and switched to all-electric. [41] [42] [43]

Awards and recognition

In 2020 and 2022, CNX Resources was named to Newsweek's annual "America's Most Responsible Companies" list. [44] [45] [16] In 2021, the company received an ESG Top Performer award from Hart Energy. [46] [47]

CNX also received the Washington County Community Foundation's Charles C. Keller Excellence Award for Corporate Philanthropy. [16]

See also

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References

  1. ↑ "CNX Resources Promotes Navneet Behl To Replace Chad Griffith As COO". November 2022.
  2. 1 2 3 4 "United States Securities and Exchange Commission Form 10-K" (PDF). December 2023.
  3. ↑ "CNX Resources Corporation 2021 Form 10-K Annual Report". U.S. Securities and Exchange Commission.
  4. ↑ "CNX Promotes Alan Shepard to CFO as Donald Rush Assumes New Role". June 2022.
  5. 1 2 "History of CONSOL Energy Inc". FundingUniverse.
  6. ↑ "COMPANY NEWS; Du Pont Agrees to Sell Half of Coal Operation" . The New York Times . Associated Press. November 28, 1991. ISSN   0362-4331.
  7. ↑ Guzzo, Maria (May 10, 1999). "Consol IPO brings less than expected". American City Business Journals .
  8. ↑ "Consol Energy Corporate Headquarters". U.S. Green Building Council.
  9. ↑ "Consol moving to Southpointe". Pittsburgh Post-Gazette . April 19, 2006.
  10. ↑ Maher, Kris; Casselman, Ben (March 16, 2010). "Coal Giant Consol Is Latest to Buy Gas" . The Wall Street Journal . ISSN   0099-9660.
  11. ↑ Dezember, Ryan (November 29, 2017). "One of America's Oldest Energy Producers Splits in Two" .
  12. ↑ "CNX Resources completes spin-off of Consol Energy". Observer-Reporter. 2019-11-30. Retrieved 2022-09-25.
  13. ↑ Federoff, Stacey (January 4, 2018). "CNX closes deal to acquire interest in Cone Midstream Partners". American City Business Journals .
  14. 1 2 3 4 5 "CNX, Dynamis Introduce Appalachia's First Next Generation Electric-powered Drilling System | Hart Energy". www.hartenergy.com. 2024-08-27. Retrieved 2024-06-11.
  15. ↑ "CNX to acquire all outstanding common shares of CNX Midstream for $357 million". www.bizjournals.com. Retrieved 2022-08-31.
  16. 1 2 3 4 5 Tecklenburg, Dorothy (2022-06-09). "CNX builds community connections through philanthropy". Observer-Reporter. Retrieved 2022-09-08.
  17. 1 2 3 4 Zito, Salena (2022-03-06). "An energy company shows students the path to prosperity". Washington Examiner. Retrieved 2022-09-08.
  18. 1 2 3 4 Gough, Paul J. (2021-04-07). "CNX CEO Launches Mentorship Academy For Urban, Rural Disadvantaged Youth". Pittsburgh Business Times. Retrieved 2022-09-08.
  19. ↑ Gough, Paul J. (2021-12-16). "CNX CEO DeIuliis will put $1M in compensation to Mentorship Academy". www.bizjournals.com. Retrieved 2022-10-09.
  20. 1 2 Gough, Paul J. (2021-07-01). "CNX Foundation launched to invest $30M commitment to community". www.bizjournals.com. Retrieved 2022-09-15.
  21. 1 2 3 4 Blackmon, David (2022-05-28). "Airport And Gas Producer Partner In Near-Term Aviation Carbon Reduction Solution". Forbes. Retrieved 2022-09-30.
  22. ↑ "CNX, Pittsburgh International Airport Form Partnership to Convert Natgas into Alternative Fuel". www.hartenergy.com. 2022-05-24. Retrieved 2022-09-30.
  23. ↑ Doughty, Nate (2022-05-20). "Pittsburgh International Airport looks to broaden on-site natural gas use with CNX partnership". www.bizjournals.com. Retrieved 2022-10-04.
  24. 1 2 Tegler, Eric (2021-07-21). "Pittsburgh Airport's Microgrid Is A Worthy But Tough To Duplicate Example Of Resiliency". Forbes. Retrieved 2022-10-04.
  25. ↑ Veazey, Matthew (2022-05-27). "CNX, Pittsburgh Airport to Showcase Natural Gas Aviation Potential with Utica Project". Natural Gas Intelligence. Retrieved 2022-10-11.
  26. ↑ Fiorilli, Natalie (2019-10-18). "PIT Will Be First Major U.S. Airport Powered Entirely by Microgrid". Blue Sky PIT News Site. Retrieved 2022-10-11.
  27. ↑ "CNX investing in company that makes bioplastics out of greenhouse gasses. CNX will supply the gasses". Pittsburgh Post-Gazette. Retrieved 2022-08-25.
  28. ↑ "CNX commits $1 million to Penn Highlands Mon Valley". Observer-Reporter. Retrieved 2024-07-19.
  29. ↑ "Greene kicking off next step in broadband expansion". Observer-Reporter. Retrieved 2024-07-19.
  30. ↑ "CNX Partners with California Co. to Produce Clean Electricity | Marcellus Drilling News". marcellusdrilling.com. 2023-04-19. Retrieved 2024-05-29.
  31. 1 2 3 "Governor Josh Shapiro, CNX president announce historic collaboration in natural gas industry". WPXI. 2023-11-02. Retrieved 2024-05-29.
  32. ↑ "Pennsylvania to partner with natural gas driller on in-depth study of air emissions, water quality". WHYY. Retrieved 2024-05-29.
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  34. ↑ Lightholder, Blake (2024-02-22). "How $4 Million from one CEO is Transforming Southwestern PA's Workforce". Positive Energy Hub. Retrieved 2024-07-26.
  35. 1 2 "Deep Well Services, CNX Launch JV AutoSep Technologies | Hart Energy". www.hartenergy.com. 2024-08-27. Retrieved 2024-07-12.
  36. 1 2 Gough, Paul J. (25 April 2024). "CNX launches 2 ventures to tap potential of new tech in natural gas". Pittsburgh Business Times. Retrieved 12 July 2024.
  37. 1 2 Gough, Paul J. (15 May 2024). "CNX Resources, KeyState Energy considering sustainable aviation fuel hub at Pittsburgh International Airport". Pittsburgh Business Times.
  38. ↑ "CNX plans $1.5B hydrogen fuels plant at Pittsburgh airport, but wants federal tax credit to build it". AP News. 2024-05-15. Retrieved 2024-07-05.
  39. ↑ "Pittsburgh companies want a place for coal gas and the state's other resources in hydrogen incentives". Pittsburgh Post-Gazette. Retrieved 2024-07-05.
  40. ↑ "About Coal Mine Methane". www.epa.gov. 2015-12-08. Retrieved 2022-09-20.
  41. ↑ Gough, Paul J. (2021-06-22). "Here's how CNX, a major gas producer, made a huge reduction in methane emissions". www.bizjournals.com. Retrieved 2022-09-20.
  42. ↑ Gough, Paul J. (2019-07-03). "CNX up and running with the region's only all-electric hydraulic fracturing unit". www.bizjournals.com. Retrieved 2022-09-20.
  43. ↑ Whitfield, Stephen (2021-03-16). "Are electrically powered fleets the future of fracking?". Drilling Contractor. Retrieved 2022-09-20.
  44. ↑ "Here are the 20 most responsible companies in Pennsylvania, according to Newsweek". The Patriot-News . December 8, 2020.
  45. ↑ "America's Most Responsible Companies 2021". Newsweek . November 24, 2020.
  46. ↑ "Top ESG Performers Recognized at Energy ESG Conference". www.hartenergy.com. 2021-11-29. Retrieved 2022-10-06.
  47. ↑ Carey, Liz (2022-04-29). "CNX, Evolution Well Services announce long-term Appalachian contract". Pennsylvania Business Report. Retrieved 2022-10-06.
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