Quarterly / Earnings Reports | First Quarter (1Q) Update | Drilling Activity | Drilling Program-Rig Count

CNX Resources' Output Up 36% YOY; Credits Accelerated Utica Ops

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CNX Resources reported its Q1 2018 results.

Highlights:

- Q1 2018 production of 1,439.0 Mmcfe (up +36% YOY and up +11% from 4Q17)

• Sold 129.5 Bcfe of natural gas, or an increase of 36% from the 95.0 Bcfe sold in the year-earlier quarter, driven primarily from Utica Shale volumes.

- In the first quarter of 2018, CNX operated three horizontal rigs and drilled 19 wells:

• two Utica Shale wells in Monroe County, Ohio; seven Marcellus Shale wells in Greene County, Pennsylvania; and 10 Marcellus Shale wells in Washington County, Pennsylvania.

Utica Output Up 184%

Utica Shale volumes, including liquids, in the 2018 first quarter were 43.5 Bcfe, approximately 184% higher than the 15.3 Bcfe in the year-earlier quarter, and which is consistent with the company's previously stated expectations that Utica Shale volumes would ramp in the fourth quarter of 2017 and the first quarter of 2018, driven primarily from TIL activity in Monroe County, Ohio.

In addition to the production, the ramp in Monroe County volumes also benefited overall Utica Shale total production costs, which were $1.60 per Mcfe in the just-ended quarter, or a $0.56 per Mcfe improvement from the first quarter of 2017 total production costs of $2.16 per Mcfe.

Marcellus Output

Marcellus Shale volumes, including liquids, in the 2018 first quarter were 65.9 Bcfe, approximately 14% higher than the 58.0 Bcfe produced in the 2017 first quarter.

The increased production is due to new Marcellus Shale wells coming on line late in 2017 and during the first quarter of 2018.