AmericA`s energy stArts Here.
America’s Energy Starts Here.
CONSOL: LARGEST underground
coal producer in the U.S.
Among the LARGEST natural
gas producers in Appalachia.
Coal production begins for CONSOL Energy.
For nearly 150 years,
CONSOL Energy has been the power behind the American economic engine.
Our company has grown and thrived by making sound business decisions along
the way. With the intent of ensuring CONSOL’s long-term strength and success,
these decisions have also been made with the best interests of our employees and
communities in mind.
CO RE VA
Through the many decades, CONSOL Energy has evolved into a diversified fuel
producer with operations that extend to our nation’s rivers, rails, pipelines, and
oceans. In fact, CONSOL maintains the only export terminal on the East Coast
serviced by two railroads. Today, we are an industry leader recognized for our
experience and innovative vision to create energy for the future.
We are proud to share the steps we’ve taken to become an industry innovator
within the coal and natural gas industries. Our commitment to research and
development is born out of our core values—safety, compliance and continuous
improvement—and compels us to identify opportunities and implement solutions
that drive mine safety, production, and utilization of our resources in smarter, more
Strategic acquisitions and partnerships with industry experts in natural gas
development have solidified CONSOL Energy as a key player in this exciting new
energy source. Our strong record of environmental stewardship and commitment
to community has enabled us to become the dynamic and accomplished energy
company we are today.
Our energy future is now. The collective decisions we make today, related to
domestic energy policy, will affect our nation’s economic and national security for
generations to come. Let us work together to power America’s economic rebirth,
take meaningful steps to control our energy future, and better understand that
America’s Energy Starts Here.
J. Brett Harvey
Chairman of the Board & Chief Executive Officer
When we say
‘America’s Energy starts here’
we mean it.
CONSOL Energy provides the fuel that helps
supply more than two-thirds of the
nation’s power supply and is one of the leading
diversified energy companies in the United
States of America. We are responsible for
mining more high-quality bituminous coal than
any other U.S. producer and we are among
the largest gas producers in Appalachia.
For nearly 150 years, CONSOL has supplied
the nation with the fuel to produce affordable,
abundant, reliable domestic energy. This red,
white, and blue energy supports our way
of life by delivering electricity 24/7, creating
family-sustaining jobs and keeping America
competitive in the global marketplace.
Consolidation Coal Company begins river
operations at docks in Elizabeth, PA.
U.S. Electricity Generation by Fuel
LESS THAN 1%
The company becomes the largest bituminous coal
producer in the United States, a distinction it retains today.
Electricity generated from coal is the very cornerstone of America’s
productivity and prosperity. Without it, our lives would be markedly different.
CONSOL Energy is one of the nation’s largest coal producers with more than
4.4 billion tons of proven and probable reserves. With 96% of its coal coming
from underground operations, the company is also the largest producer of
coal from underground mines.
Today’s mines are highly technical environments that require specialized
training. The days of pick axes and shovels have been replaced with
technologically advanced processes such as longwall mining, enhanced
safety protocols, the application of digital technologies and sophisticated
communications technologies such as those employed at CONSOL’s own
centralized Communications Center located at corporate headquarters. These
advances have made the mining process safer and more productive, having
improved the resource recovery in the longwall panel from 60% to 100%.
Consolidation Coal Company establishes the first
independent research and development facility
dedicated to the extraction and production of coal.
Nearly 50% of the Nation’s
Electricity Comes From Coal
The extraction of coalbed methane prior to mining begins in order
to enhance the safety and productivity of mining operations.
Electric Utilities: 74.5%
steel and coke: 2.2%
THIRD-PARTY SALES: 7.3%
The company opens Bailey Mine, located in
Greene County, PA, which is now the largest
underground mining complex in the world.
Construction of the only marine terminal on the East Coast served by two
railroads is completed. The company’s Baltimore Terminal can store more
than 1.1 million tons of coal on site, allowing it to export coal overseas.
The United States maintains 30%
of the world’s coal reserves, the
most of any nation in the world.
CONSOL Energy is one of the largest independent
natural gas exploration, development and production
companies in the United States. With the acquisition
of the exploration and production business of
Dominion Resources in 2010, we now have access
to more than 3.5 trillion cubic feet* of proven
clean-burning natural gas reserves, including coalbed
methane and shale beds.
CONSOL Energy is formed as a joint venture
between DuPont and RWE AG.
3.5 Tcf will
After years of ownership by outside organizations such as Conoco,
DuPont and RWE AG, CONSOL Energy begins trading on the NYSE
under the symbol CNX with the public offering of 20.6 million shares
of its total 80.3 million shares.
CONSOL Energy is among the leading eastern U.S. natural gas
producers, with extensive acreage in the Marcellus and Utica
Shales. It is estimated that more than 500 trillion cubic feet
of natural gas is contained in these stretches of rock that run
through parts of Pennsylvania, New York, Ohio and West Virginia.
CONSOL Energy also has operations in the Chattanooga, Huron
and New Albany shales, expanding our reserves into Tennessee,
Virginia, Kentucky, Indiana and Illinois. Technological advances
in horizontal drilling and hydraulic fracturing have enabled
CONSOL and others in the natural gas industry to tap into the
significant potential of these shale beds.
CONSOL Energy is responsible for mining more high-quality bituminous
coal than any other U.S. producer and is also responsible for key
initiatives to improve mine safety. As a result of capturing methane from
our coal seams to increase the safety and productivity of our mines,
we are now capturing what was once a waste product and putting it to
beneficial use as an alternative energy source. CONSOL has been the
leading producer of this form of natural gas in the Appalachian Basin
since the 1980s.
The concept is simple—by drilling gas wells into the coal seams that are
eventually mined, maximum production capacity is achieved between
coalbed methane and coal mining operations.
STATES THAT USE MORE COAL
TO GENERATE ELECTRICITY HAVE
LOWER ELECTRICITY RATES
Figures to the right show average retail electricity
prices in 2010 in cents per kilowatt-hour.
The company announces a joint venture with Allegheny
Energy to construct an 88-megawatt, coalbed-methane-fueled
electricity generating facility in southwest Virginia.
CONSOL Energy receives the U.S. Environmental
Protection Agency’s “Climate Protection Award.”
Information provided by the American Coalition for Clean Coal Electricity
CNX Marine Terminal Inc. begins operation
as a break bulk and general cargo and
warehouse provider at Baltimore facilities.
The company wins the first of its National Awards for Excellence in Surface Mining
given by the U.S. Department of the Interior’s Office of Surface Mining for its
innovative reclamation practices. The distinction was also received in 2003 and 2004.
Consol by the numbers
cubic feet of gas production
tons of coal produced
year end 2010
safety awards presented to
CONSOL operations in 2011
employees hired annually
average since 2007
salary for entry level coal and
gas employee with appropriate
level of education
additional jobs generated
hours worked by CONSOL’s
gas division without a
Larry Panrell, pictured left, is a continuous miner
operator at CONSOL’s Robinson Run Mine.
He is approaching his 37th year with the company.
CONSOL Energy is named one of “America’s
Most Admired Companies” by Forbes Magazine.
CNX Gas is formed to focus on natural gas exploration, development,
production and gathering in the Appalachian Basin of the United States.
19 million tons
In 2011, River Operations moved an excess of
of coal by river.
The company becomes the largest river operator along the Monongahela with the purchase
of Mon River Towing, bringing the river fleet to 18 towboats and more than 650 barges.
Baltimore Marine Terminal
Baltimore Marine Terminal
• Exported a record-breaking 12.9 million net
tons of coal in 2011 to global customers.
• An $11 million expansion project is
currently underway at CONSOL Energy’s
Baltimore Marine Terminal that will
increase the company’s export capability
from 14 to 16 million tons.
• CONSOL’s River Division currently consists
of a fleet of 24 towboats ranging in horse
power from 800–3200hp and operates a
fleet of 600 open hopper barges.
• The primary business of this division is
coal transportation; however it moves some
aggregates and liquid products.
• Treated more than 24 billion gallons
of water affected by acid mine drainage
from both closed and active mining
facilities in 2011.
• The Buchanan mine water treatment plant,
using reverse osmosis and crystallization,
treated 255 million gallons of water in 2011.
The RO/Crystallization process extracted
NaCl from the mine water, which was then
processed to produce nearly 5,000 tons
of granular and ASTM-grade road salt
sold to contract purchasers for their use
in remediating winter weather issues on
OTHER DivisionS INCLUDE
In conjunction with the U.S. Dept. of Energy, a new, retrofit emissions control
technology system is being demonstrated by CONSOL’s Research and Development
team at the coal-fired, electricity generating AES Greenidge station in New York.
• Gas Division
• Land Division
• Research & Development
• Coal Division
• Fairmont Supply
Photo courtesy of the National Wild Turkey Federation
As the owner of more than 430,000 acres of land in the United States and Canada, we continue to
cultivate cooperative partnerships with local and national organizations to better care for our land and
natural resources. Our goal is to apply effective conservation techniques to restore depleted mine areas
and enhance active sites to have lasting benefits.
Conservation and wildlife partnerships include groups such as the Ruffed Grouse Society and the National
Wild Turkey Federation. In addition to our conservation partnerships, we work with our armed forces and
veteran support organizations—giving back to those who have sacrificed so much for us. We established
partnerships with the U.S. Air Force and West Virginia Air National Guard to designate air-drop zones and
have wildlife and land management agreements with Wounded Warriors and Hunters Helping Soldiers.
CONSOL Energy becomes a Founding Partner of CONSOL Energy Center,
home of the National Hockey League’s Pittsburgh Penguins.
Virginia Reclamation Award
CONSOL was awarded the Appalachian
Regional Reforestation Initiative’s
Excellence in Forestry Award for its work
in West Virginia at Fola Surface Mine 6.
CONSOL planted more than four million
trees on the property through various
CONSOL Energy was awarded the 2010 Best
Combination Mining Award from the Virginia Division
of Mined Land Reclamation and the Virginia Mining
Association for reclamation of its 73-acre VP No. 4 mine
site near Dismal, VA.
Green Holdings Lists Coal Mine Methane Abatement
Project with the Climate Action Reserve
CONSOL Energy will host the project which will abate ventilation
air methane emissions from its Enlow Fork Mine operation in
southwestern Pennsylvania. It is estimated that it will destroy
the equivalent of 190,000 metric tonnes of carbon dioxide on an
Establishment of the Dents Run Wildlife Management Area
CONSOL Energy has leased 1,226 acres of land to the West Virginia Division
of Natural Resources to establish a new wildlife management area in western
Marion County. Dents Run WMA will provide hunting opportunities for deer,
wild turkey, squirrel, waterfowl and other game species. In addition, a 30-acre
impoundment will provide the public with warm-water fishing opportunities.
The West Virginia Operations of
CNX Gas received the Oil & Gas
Reclamation Award for first place
in category one from the West
Virginia Division of Environmental
Protection Office (WVDEP).
We have donated nearly 150,000 acres of land
to conservation efforts in the past 25 years.
PennsylvaniA State game lands
dedicated to heroes of Flight 93
Much of the land, a reclaimed surface mine, was donated by Consol
Energy and Waste Management to the U.S. National Park Service.
As a result of a $3.475 billion acquisition of Dominion Resource’s E&P business, CONSOL
Energy is among the largest, fastest growing, and lowest cost producers of natural gas in the
Appalachian Basin. In addition, CONSOL has a leading position in the strategic Marcellus
Shale fairway by tripling development assets to approximately 750,000 acres.
CONSOL and the Community
At CONSOL Energy, we take seriously the role we can play in
improving the life of communities in which we operate and where
our employees live. Through transparency and constant dialogue,
we strive to make our presence as harmonious with local activity as
possible and to mitigate any issues that may arise in a timely manner.
Economically speaking, realized benefits are multiple and begin with
money spent locally by our employees and contractors on goods and
services and extend to the hundreds of millions of dollars in payroll,
production, and property taxes we pay. CONSOL is committed to
creating opportunity for our local communities.
Our commitment doesn’t end with
economic opportunity. Each year,
CONSOL Energy invests more than
six million dollars, as well as time
and resources, to help improve and
grow the communities in which we
operate. Organizations we are proud
to support are emergency responders,
schools, conservation and scouting
groups, veterans’ organizations
and youth-related causes. Whether
through monetary grants, in-kind
donations, or volunteerism, our
mission is to become a vital part of
the communities we call home.
CONSOL Energy records its best safety year and is
recognized with 17 awards related to safety performance.
CONSOL has provided family-sustaining jobs for nearly 150 years
Ray O. Hulderman
Deceased, Section/Shift Foreman,
Dispatcher, retired 8/1/2009
Gary L. Hulderman
Gary Hulderman, Jr.
Shuttle Car Operator
“CONSOL has standards, and they’re higher than most in the industry. That’s
why I’m happy to have worked for this company for so long. I saw a lot of
changes over the years, and all were for the better. To be honest, I wish I
never retired. Working underground was some of the best fun I ever had.”
–Raymond “Bugs” Hulderman
“This company has been good to me and good to my family. I work
side-by-side with my son and wouldn’t rather be any place else. Coal
mining is a lifestyle, and I’m living better now than I ever thought possible.”
–Gary L. Hulderman
“I don’t have a job. I have a career. I came for the heritage and the benefits
that reward my work. It feels good to know I’m actually contributing to
something bigger than myself. The coal we mine at Loveridge is used all
over the world, and that’s something to be proud of.”
–Gary Hulderman, Jr.
1000 CONSOL Energy Drive, Canonsburg, PA 15317