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Date: Thu, 18 Dec 1997 21:31:37 GMT
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Welcome to Consolidated Natural Gas Company, (CNG).
Headquartered in Pittsburgh, Pennsylvania, CNG operates one of the nation's largest natural gas systems and markets natural gas and electricity throughout North America. We are a fully integrated natural gas system, which means CNG does everything from exploring and drilling for natural gas to delivering it to the burner tip on the kitchen stove.CNG is a publicly held corporation with over 35,000 registered stockholders and is listed on the New York Stock Exchange. Our company has $6 billion in assets and nearly $3.8 billion in annual operating revenues.
We encourage you to browse through the features available on our site.
- Learn about our new competitive electricity and gas offerings by viewing Peoples Plus and East Ohio Energy.
- Energy Choice programs reviews opportunities for customers of East Ohio Gas in Ohio and Peoples Natural Gas in western Pennsylvania to buy natural gas in the deregulated marketplace.
- Our Customer Center tells you, at a glance, what markets we reach and the products we can supply for each.
- The CNG Energy Index. This unique index forecasts and measures the weather's impact on residential energy requirements in 100 U.S. metropolitan areas.
- Shareholder and Financial gives you current and historical stock prices for CNG, access to key financial documents, information on our dividend reinvestment program, and other material of interest to individual shareholders and investment professionals.
- CNG News offers an up-to-the-minute, one-year file of all CNG press releases.
- Our Feature of the Week spotlights various items of interest throughout CNG.
We also have information on each of our principal subsidiaries.
- CNG Producing Company, New Orleans, Louisiana, the exploration and production subsidiary of CNG, is one of the country's largest independent natural gas and oil producers, with production in the Gulf of Mexico, Gulf Coast, Appalachian Basin and other major producing regions in the United States.
- CNG Energy Services Corporation, Pittsburgh, Pennsylvania, is one of the nation's largest full-service energy marketers. It provides natural gas, electricity, natural gas liquids and related products and services to a wide variety of retail and wholesale customers, including utilities, industries, commercial establishments and homeowners. Its Peoples Plus and East Ohio Energy units offer energy to retail customers in deregulated markets in Pennsylvania and Ohio.
- CNG Transmission Corporation, Clarksburg, West Virginia, operates a large interstate gas pipeline crucial to commerce and winter heating in the Northeast, Mid-Atlantic and Midwest states. CNG operates the largest network of underground natural gas storage fields in North America.
- CNG International, Reston, Virginia, guides CNG's participation in selected international energy markets.
CNG brings natural gas into homes and businesses through four natural gas utilities that serve nearly 2 million customers.
- The East Ohio Gas Company, Cleveland, Ohio, provides natural gas service to 1,182,000 customers in eastern Ohio.
- The Peoples Natural Gas Company, Pittsburgh, Pennsylvania, serves 337,000 customers in western Pennsylvania.
- Virginia Natural Gas, Inc., Norfolk, Virginia, serves 209,000 customers in the Hampton Roads area and other parts of Virginia.
- Hope Gas, Inc., Clarksburg, West Virginia, serves 114,000 customers in West Virginia.
How we came to be ...
CNG began almost 100 years ago when John D. Rockefeller's Standard Oil Company first started transporting natural gas. Standard's National Transit Company controlled rich natural gas fields in Pennsylvania and West Virginia. In 1898, Standard organized The Hope Natural Gas Company to produce, gather and transport this gas, and The East Ohio Gas Company to distribute the fuel to Ohio's expanding towns and industries. Thus was created an integrated system encompassing all facets of the gas industry -- a system that grew into the Consolidated Natural Gas Company of today.
By the 1940s, gas would be the key ingredient in at least 5,000 industrial processes. And with success came intensifying government regulation. The Public Utility Holding Company Act of 1935 required diversified holding companies such as Standard Oil Company (New Jersey) to divest themselves of their public utility subsidiaries. And in 1943 Standard spun off Consolidated to its shareholders as a completely independent, fully-integrated natural gas company. The new company -- with $211 million in assets to serve 750,000 customers -- came into being at the heart of World War II and served "the Arsenal of Democracy."
After the war, came a "Golden Age" for natural gas. CNG companies laid thousands of miles of new pipe to supply their fast-growing, prosperous markets. In 1951, CNG and Texas Eastern Transmission Corp. received international attention when they opened one of the world's largest underground gas storage facilities, the $40 million Oakford pool in western Pennsylvania. By the mid-1960s, CNG's storage system was so large the company began renting space to other gas utilities. Today, it is the biggest in the nation.
Suddenly, in the late 1960s, America faced an imminent energy supply crisis, and CNG became one of the first to sound the alarm. For the first time in its history, the company sent out its sales force to teach conservation. It also accelerated its drilling and lease acquisitions. Between 1968 and 1978, CNG would spend more than $1 billion on new supply projects in the Gulf of Mexico region and its home territory, the Appalachians.
Consolidated Natural Gas emerged from the energy crisis as one of the most active gas and oil drillers in the country. More than 6 percent of the nation's natural gas consumers now received all or part of their gas supplies from CNG. CNG first moved outside its traditional service area in a major way by selling gas and associated storage to pipelines and utilities serving the East Coast.
The face of the industry marketplace changed again in the 1990s when the Federal Energy Regulatory Commission began to deregulate key parts of the natural gas industry. Soon to follow would be parts of the electric industry. Now many consumers -- especially commercial and industrial customers -- can pick and choose the most competitive price for their energy source. To meet this need, CNG Energy Services was established in 1993 and began marketing electricity and natural gas throughout North America. And we haven't stopped there. In 1996, CNG International was established to extend our reach to participate in selected international markets.
In closing ...
In 1898 we were providing natural gas to heat homes and fuel industries in northeastern Ohio. Today we are providing energy solutions to people throughout the United States and even overseas. It's a changed marketplace, but our commitment to our customers' needs remains constant. Thank you for taking the time to read about our company and our success.
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