National Fuel Gas doesn't cover the nation, but it does touch all the bases in its industry: The company explores for, produces, stores, transmits, and distributes natural gas. The diversified energy concern's public utility, National Fuel Gas Distribution (almost half of the company's annual sales) distributes gas to more than 732,000 customers in New York and Pennsylvania. National Fuel Gas has gas exploration, production, storage, and transportation units; it also engages in energy marketing, timber processing, and independent power activities. In 2010 oil and gas subsidiary Seneca Resources reported proved reserves of 428.4 billion cu. ft. of natural gas and 45.2 million barrels of oil
The unit explores for, develops, and purchases natural gas and oil reserves in Appalachia, California, the Gulf Coast, and the Southwest.
Its National Fuel Gas Supply subsidiary owns about 30 underground gas storage facilities and a 3,000-mile pipeline that runs from southwestern Pennsylvania to the New York-Canada border.
Growing its midstream assets to meet demand, in 2008 the company extended the Empire State Pipeline by building a 78-mile stretch from near Rochester to Corning. That year the company proposed building a new gas pipeline, the Appalachian Lateral, that will provide transportation and storage services to major Northeast market interconnects (primarily in Pennsylvania). It was still actively pursuing the project in 2010.
In 2010, despite an economy emerging from a recession, National Fuel Gas reported a sharp drop in revenues, primarily due to lower gas prices in the first half of the fiscal year and unusually warm weather weakening utility demand. On the flip side, the lower gas prices and lower volumes of gas purchased from third parties to meet demand, helped the company to post an improved operating income that year.
To raise cash, the company sold its landfill gas operations for a gain of $6.3 million. Horizon LFG owned and operated seven lnafill gas pipeline companies and has customers in six states. – less