CNX Resources Corporation announced it has closed the acquisition of the natural gas upstream and associated midstream business of Apex Energy II, LLC (“Apex”), a portfolio company of funds managed by Carnelian Energy Capital Management, L.P. (“Carnelian”), in the Appalachian Basin for total cash consideration of approximately $505 million, subject to certain adjustments including an effective date of October 1, 2024.
This strategic bolt-on acquisition expands CNX’s existing stacked Marcellus and Utica undeveloped leasehold in the CPA region and provides an existing infrastructure footprint that can be leveraged for future development. The acquisition is expected to be immediately accretive to CNX’s key metric of free cash flow per share.
CNX President and CEO Nick Deiuliis commented, “We look forward to demonstrating the unique CNX approach to operations and community relations to these new communities within the Apex footprint. We place a high priority on closely collaborating with our operating communities, local officials, and directly with residents to understand their needs and concerns. CNX’s Radical Transparency environmental monitoring and real-time disclosure initiative, in collaboration with Pennsylvania Governor Shapiro and the state Department of Environmental Protection, provides local communities and residents with an even greater level of transparency into our operations, which we believe is second to none in our industry. We look forward to bringing the Apex assets into the CNX family.”
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