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CNX Completing $20 Million Fresh Water Pipeline To Serve Future Shale Gas Drilling, And Potentially Local Communities As An Alternative To The Westmoreland Municipal Authority

On April 9, the CNX Resources Corporation announced it is nearing completion of its Kiski Water Line project, which will serve the Company's local operational needs, reduce the local impact of natural gas development, and potentially optimize regional water resources by providing additional reliable water infrastructure to area communities.

The $20 million project is expected to be completed in June 2024 and will serve future natural gas development in the area.

During voluntary or mandatory water conservation periods, the 20" Kiski Water Line is expected to serve as the primary alternative to water purchased from the Municipal Authority of Westmoreland County (MAWC).

The water line also significantly reduces the need for CNX to utilize water trucking in the County, mitigating the community impact of the Company's local operations.

The project also offers unprecedented potential future opportunity to improve and optimize regional water infrastructure and resources.

With regulatory approvals and minor equipment modifications, the water line could be used to provide MAWC and the reservoir with optionality during Kiski River high flow periods.

Such activity could better position the Beaver Run Reservoir to maintain normal service during seasonally dry periods and mitigate drought and residential conservation risk.

The project significantly improves area water resource resilience. Other potential community applications that could benefit from the project include freshwater agricultural needs, industrial use, and other various community needs.

Realizing the project's full potential will require partnership and input from various stakeholders, and CNX looks forward to engaging in discussion with the Department of Environmental Protection, local officials, the business community, and the MAWC.

CNX Chief Operating Officer Nav Behl commented, "CNX is pleased to be able to make this significant investment in northern Westmoreland County communities and we look forward to engaging with local officials and other stakeholders to determine how the Company's investment can be leveraged to maximize benefits." Mr. Behl continued, "Since we began operating in the area fifteen years ago, CNX has remained steadfast in our commitment to improving lives and opportunities for area residents. Our approach to environmental stewardship mirrors that of our community investment across Appalachia: one of transparency and a dedication to protecting and improving the places where we live for future generations."

From January through mid-April 2024, CNX purchased approximately 53 million gallons of untreated water from MAWC that generated more than $500,000 in revenue to the water authority.

The total CNX 2024 withdraw represents approximately 2 ½ days of typical MAWC residential water usage.

In all of 2023, CNX's operations purchased approximately 10 million gallons of water, which is less than half of one day of typical MAWC residential usage, providing an additional $55,000 in revenue to the water authority.

Water revenue is only a portion of CNX's ongoing, overall economic investment in the local area.

Last year, CNX paid $1.2 million in natural gas royalties to area residents.

Over the last four years, CNX has paid more than $10.7 million in royalties to Westmoreland County residents, invested millions of dollars in public road and infrastructure upgrades (including within the MAWC's property), and supported emergency response and other important community programs through the CNX Foundation.

These CNX investments are in addition to Westmoreland County and its municipalities receiving nearly $1.4 million in 2023 impact fee revenues from CNX activities, or funds from the state's tax on natural gas that uniquely support local government, infrastructure, and community initiatives.

Related Articles - CNX:

-- DEP Issues Violation To CNX Gas Company For Withdrawing Over 1.8 Million Gallons Of Water For Fracking For 22 Days Without Permission [PaEN]

-- DEP Issues Violation To CNX Gas Company For Unauthorized Water Withdrawals For 17 Days From Beaver Run Reservoir In Westmoreland County [PaEN]

-- I ncomplete Application For CNX Midstream Slickville Fracking Wastewater, Natural Gas Pipelines Project In Westmoreland County Withdrawn By DEP [PaEN]

PA Oil & Gas Industry Public Notice Dashboards:

-- PA Oil & Gas Weekly Compliance Dashboard - April 6 to 12 - Rain Causes Multiple Landslides; Ignored Request To Clean Up Spill; Venting Gas [PaEN]

-- PA Oil & Gas Industrial Facilities: Permit Notices, Opportunities To Comment - April 13 [PaEN]

-- DEP Invites Comments On Proposed CNX Midstream Double 24-Inch, 14 Mile Long Gas Pipelines In Westmoreland County [PaEN]

-- DEP Posted 63 Pages Of Permit-Related Notices In April 13 PA Bulletin [PaEN]

Related Articles This Week - Gas:

-- DEP Issues $1.1 Million Civil Penalty To Equitrans For Violations Related To The Uncontrolled Venting Of 1.1 Billion Cubic Feet Of Gas From The Rager Mountain Gas Storage Area In Cambria County [PaEN]

-- New Penn State Study Shows Continuous Radioactive Radium Exposure From Oil & Gas Wastewater Poses A Threat To Aquatic, Human Health As It Accumulates In Aquatic Species [PaEN]