Barclays CEO Energy-Power Conference September 12, 2013
CONSOL Energy Overview The Leading Diversified Fuel Producer in the Eastern United States Ticker: CNX Headquartered in Pittsburgh, Pennsylvania Company Founded in 1860 Approx. 9,000 Employees Market Cap = 7.3 billion(1) 2012…
CONSOL Energy Overview Core Values Safety In 2012, CONSOLs Coal Division saw safety exceptions drop 10%, from 150 to 134 In 2012, CONSOLs Gas Division worked the entire year without having recorded a lost-time incident CONSOL has…
CONSOL Energy Investment Thesis Ramping coal production: - BMX Mine longwall mine (5 mm tons) will start on April 1, 2014 Ramping gas/liquids production: 2014 guidance of 210 225 Bcfe represents growth of 22 30% from 2013 Liquids…
CONSOL Energy Overview Strategic Overview Our Four Main Investment Views 1. Once the BMX mine opens, we revert to a 5-6 per ton maintenance spending levels. We will continue to organically grow our gas business through the…
Operations Overview Coal Strength in Market Diversity CONSOL Ships To Four Continents Export Forecast For 2013: 5-10 MTs Capture Growth and Existing Markets 7
CONSOL Energy Overview Coal Contracted Position1 Q3 2013 2013 2014 2015 Estimated Coal Sales (millions of tons) 13.4 - 13.9 55.5 - 57.5 60.4 61.7 Est. Low-Vol Met Sales 0.7 -0.9 4.0-4.2 4.7 5.2 Tonnage: Firm 0.2 2.8 Avg.…
PJM Coal Inventory Our Domestic Coal Market Remains Solid PJM Coal Inventory Trailing 12 Months 5 Year Average 30 25 20 Tons (MM) 15 10 5 - Sep 12 Dec 12 Mar 13 Jun 13 Source: EIA, PIRA, and CONSOL analysis. 9
Operations Overview Coal Why CNX Coal CONSOL is participating in the growth of world coal markets Low-cost mines Dual rail service from Pittsburgh seam mines to Baltimore 100%-owned Baltimore terminal, with capacity of 16…
Gas Reserves of 4.0 Tcfe as of 12/31/12 (in Bcfe) 5,000 242 (527) 4,500 954 (156) 3,993 4,000 3,480 3,500 3,000 2,500 15% increase in proved reserves 2,000 105% increase in Marcellus Shale proved reserves 1,500 611%…
Reserve Replacement Gas 2012 All Sources Reserve Replacement: 5-yr Average 3,000% 2,500% Average: 364% 2,000% 1,500% 1,000% 500% 0% (1) CONSOL Energy is in top quartile across peer group for all sources reserve…
5-Year Average F&D Costs Gas 2012 All Sources F&D Costs: 5-yr Average (in /BOE) 35 30 Average: 25.80 25 20 15 10 5 0 (1) CONSOL Energy is in top quartile across peer group for all sources F&D Costs Source:…
Production Ramp Gas (in Bcfe) Gas Production 250 225 210 - 225 200 (1) 170 - 175 175 153.5 156.3 150 127.9 125 100 94.4 76.6 75 58.2 50 25 0 2007 2008 2009 2010 2011 2012 2013E 2014E In 2010, acquired 23…
2013 Marcellus Shale Drilling Program: 117 wells Large Acreage Position within Marcellus Fairway PA 87% of Acreage HBP Allowing for Development OH Flexibility 50% of approximately 600,000 gross acres NBL Operated 170,000 Gross…
2012 Marcellus Shale Results, by Area Southw est Pa. 2012 Average EUR/Well (Bcfe) 6.4 2012 Average Lateral Length (ft) 5,006 Central Pa. 2013E Expected Wells Drilled 22 2012 Average EUR/Well (Bcfe) 5.9 2012 Average Lateral Length…
Marcellus Shale Acreage Tract: Pittsburgh Airport Approximately 8,700 contiguous acres. 6 pads with up to 49 Marcellus and a potentially similar number of Upper Devonian Wells to be drilled. Spud first well before February 2015
Upper Devonian Exploration Well NV39F On a pad with 5 underlying Marcellus wells OH PA CONSOL MD WV Area Nineveh Core VA Wet Gas Dry Gas Washington County, PA - Drilled lateral length of 4889 - Fracd 17 stages in…
Operations Overview Gas Ohio Utica Shale Hess operates in four county area of Jefferson, Harrison, Belmont, and Guernsey CONSOL operates in surrounding areas 30,000 Core Acres, net to CONSOL 19
The Utica Sweet Spot..a.k.a The Pickle CHK Brown Publically reported IP data with all GPOR Wagner hydrocarbons converted to BOED CHK Buell GPOR Shugerts per foot of lateral CHK Henderson GPOR Boy Scouts Rex Guernsey U GPOR…
Our Assets, Strategy, and People Create An Investment Opportunity Coal and gas operations are long-lived, low-cost, and provide solid growth Our well-capitalized assets and highly trained personnel provide more consistent…
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