During 2012, CONSOL Energy Inc. added 954 Bcfe (net to CONSOL) of proved reserves through extensions and discoveries. The company's estimate of drilling and completion costs incurred during 2012 directly attributable to extensions and discoveries was$440.7 million.

When divided by the extensions and discoveries of 954 Bcfe, this yields a drill bit finding and development cost of $0.46 per mcfe. This is the third consecutive year that CONSOL Energy has achieved sub-$0.50 per mcfe drill bit finding and development costs. The company believes this is among the lowest in the industry.

Total proved reserves, as of December 31, 2012, were a record 3.993 Tcfe, which represents a 15% increase from the 3.480 Tcfe at year-end 2011. Within the total proved reserves are approximately 88 Bcfe, or 2.2%, of oil, condensate, and liquids. Marcellus Shale reserves account for approximately 83 Bcfe, or 94%, of these heavier hydrocarbons.

CONSOL Energy replaced 611% of its 2012 gas production, when considering increases from extensions and discoveries of 954 Bcfe. Production in 2012 was 156 Bcfe (net to CONSOL).

Tags: CONSOL Energy Inc.