A Message from
the CEO

Nick DeIuliis
President and Chief Executive Officer

In last year’s report, we made what was characterized by some as a controversial decision to proudly extol the virtues of the natural gas economy and the values of the region we have called home for 155 years. Conventional wisdom within our industry dictates that you keep your head down, keep your opinions to yourself and, if anything, lean towards apologetic statements rather than lauding the noble work our dedicated team do on behalf of society. At CNX, we choose to follow a different path—one that celebrates the vast economic, environmental and geopolitical benefits brought about by the Appalachian natural gas revolution.

To those in search of a report that provides a roadmap of our demise as a company and an industry, you have come to the wrong place. Those reports exist in droves.

By contrast, this report highlights the proactive measures we are adopting that have propelled our status as one of the most responsible and innovative companies in the industry, and does so in a way that shuns the flawed ideological agenda that has pressed too many of our friends and colleagues into positions of submission.

With a deepening focus on Environmental, Social, and Governance (ESG) from many external stakeholders, we proudly meet that focus head on and offer concrete metrics that support our strong belief that prudent business decisions and driving value for all our stakeholders is congruent with corporate responsibility and ESG goals.

This report continues to illuminate our approach and view that a steadfast, relentless commitment to best-in-class safety, environmental compliance and employee diversity increases efficiencies, reduces costs, improves margins, and ultimately drives long-term net asset value (NAV) per share.

We heavily favor measurable, tangible performance metrics over abstract, aspirational goals. The most notable example of this commitment is the reduction of our carbon intensity (Scope 1 and 2 emissions) by over 90 percent from 2011 through 2018—a reduction few companies across any segment of the economy can claim. And, at the same time we undertook proactive steps to de-carbonize our own operational footprint, natural gas similarly allowed the United States to reduce carbon emissions by nearly 15 percent over 2005 levels.

As others continue to outline targets and goals that may or may not be realistic, we have made the decisions and executed the strategies which have quantifiably accomplished these goals. While these actions and core principles closely align with ESG goals, most importantly they are also directly linked to driving efficiencies, safeguarding our license to operate and growing NAV per share.

Additionally, during 2019, we continued to execute on the company’s strategic and operational goals, and our commitment to responsible business practices including:
  • Culture: Our safety culture is ingrained in every CNX employee and contractor. No job or activity is considered a success if we compromise the safety of our employees, service providers, neighbors, or environment. We are proud of achieving an Employee Total Recordable Incident Rate of zero in 2019 compared to the recently published OSHA industry average for oil and gas extraction of 0.8 in 2018.
  • Stewardship: Continuously improving the efficiency of our business aligns with our vision to be a leader in environmental stewardship. A prime example is our results from the partnership with the Evolution Well Services frac fleet. Because of our exclusive focus on advanced electric frac technologies, we have driven efficiencies to new levels in terms of the length of time needed to complete a well which, in turn, has significantly reduced our measurable emissions, employee exposure hours, and noise pollution by utilizing the companies’ innovative technologies, powered directly from on-site natural gas.
  • Performance: This report highlights how new technologies, innovative practices and a collaborative team drives the success of CNX. The team’s vision for excellence increases our ability to reach new heights both in the office and in the field. In 2019, CNX drilled the longest lateral in our history and implemented processes that allow for the team to increase efficiency.
  • Community: As one of America’s oldest and most storied energy companies, we greatly value the communities in which we have lived and operated for generations. The concentrated Appalachian footprint that we call home, and those communities within, have given us, in some cases, three and four generations of families who have been part of our team. In 2019, CNX was honored to receive the Corporate Citizen Award from the Pittsburgh Business Times in recognition of our numerous community contributions, many of which are highlighted in this report.

CNX is a proud company and our team enjoys total conviction that the work we do matters greatly for society. We are primed to lead on responsible business practices and continue to stand ready to advance and defend our unyielding belief that natural gas is a cornerstone fuel that will play a key role in America’s and the world’s energy economy for generations to come. We welcome the debate around the future of energy and hope this report serves to further that important discussion.

Nick DeIuliis
President and Chief Executive Officer

CNX Corporate Responsibility Reports Downloads

2019 Corporate Responsibility Report