Consolidation Coal Company
From Wikipedia, the free encyclopedia
| Consolidation Coal Company | |
|---|---|
| Type | Private before 1966 and a subsidiary thereafter until 1999 |
| Founded | Cumberland, Maryland 1864 |
| Headquarters | |
| Industry | Coal Railroad |
The Consolidation Coal Company was established in 1864 and headquartered in the city of Cumberland, Maryland for the first 85 years (1864-1945) where the company became the largest bituminous coal company in the eastern United States.
The company's origin began in the early 19th century when a 14-foot thick seam of bituminous coal referred to historically as "The Big Vein" was discovered in the Georges Creek Valley of Western Maryland. This coal region became famous during the industrial age for its clean-burning low sulfur content that made it ideal for powering ocean steamers, river boats, locomotives, and steam mills, and machines shops. However, coal production did not become important until the Baltimore and Ohio Railroad reached Cumberland in 1842. In 1850, the opening of the Chesapeake and Ohio Canal from Cumberland to Washington, D.C. provided another route for coal shipments. Over 21 million short tons of coal were transported on the canal before it closed in 1923. By 1850, almost 30 coal companies were mining the Georges Creek Valley, producing over 60 million tons of coal between 1854 to 1891. The Consolidated Coal Company was formed as a consolidation of the many coal mine and railroad companies of Western Maryland founded during the rush years. The Cumberland and Pennsylvania Railroad was owned by the Consolidation Coal Company.
Western Maryland's coal production rose about 1 million short tons in 1865, exceeded 4 million short tons by the turn of the century, and reached an all time high of about 6 million short tons in 1907. A small amount of the coal production in the early 1900s was premium smithing coal (as in blacksmith) that was specially processed and delivered in boxcars to customers throughout the United States and Canada.
Sharp declines in coal demand after 1920, reflecting downturns in the economy, recurrent labor problems and the extensive replacement of coal by petroleum, led to further consolidations and mergers in the coal industry. In 1945, Consolidated Coal Company merged with the Pittsburgh Coal Company, and the corporate headquarters was moved from Cumberland to Pittsburgh. In 1966 the Continental Oil Company (Conoco) purchased the assets of Consolidation Coal Company, and in 1981 DuPont purchased Conoco. The Consolidation Coal Company continued to exist as a subsidiary of Dupont until 1998 when the subsidiary was purchased from Dupont by Rheinbraun. As of 1999 the company has renamed itself to Consol Energy, reflecting the diversification of the business into other forms of energy.
Contents |
[edit] Time line
- In the early 19th century, a 14-foot thick seam of bituminous coal referred to historically as "The Big Vein" is discovered in the Georges Creek Valley in Western Maryland. This coal region would become famous for its clean-burning low sulfur content that made it ideal for powering ocean steamers, river boats, locomotives, and steam mills, and machines shops. By 1850, almost 30 coal companies would be mining the Georges Creek Valley, producing over 60 million tons of coal between 1854 to 1891.
- 1860 Consolidation Coal Company is formed with the merger of several smaller coal mining firms in the Georges Creek Valley.
- 1864 Consolidation Coal Company is formally incorporated in Cumberland, Maryland.
- 1927 Consolidation Coal Company becomes largest bituminous coal producer in the United States, a distinction it retains today.
- 1945 Consolidation Coal merges with Pittsburgh Coal Company.
- 1966 Continental Oil Company (Conoco) acquires Consolidation Coal Company.
- 1981 Conoco, along with subsidiary Consolidation Coal Company, is acquired by DuPont.
- 1991 RWE A.G, through its direct and indirect wholly owned subsidiaries Rheinbraun A.G. and Rheinbraun U.S.A. GmbH, purchases 50 percent of Consolidation Coal. CONSOL Energy Inc. is formed as a subsidiary of DuPont Energy Company and Rheinbraun affiliates.
- 1998 CONSOL Energy purchases shares of its common stock from DuPont Energy. After this transaction, Rheinbraun A.G. and Rheinbraun U.S. GmbH together own about 94 percent and DuPont Energy 6 percent of outstanding shares of common stock.
- 1999 CONSOL Energy stock begins trading on NYSE under the symbol "CNX," with the public offering of 20.6 million shares of its total 80.3 million shares.
- 2000 CONSOL Energy purchases extensive coalbed methane reserves and facilities in southwestern Virginia from MCN Energy Group Inc.
- 2001 CNX Ventures announces agreement on joint venture with Allegheny Energy to construct 88-megawatt, coalbed-methane-fueled electricity generating facility in southwestern Virginia, which begins operating in 2002. Acquires coalbed methane gas production and gathering pipeline facilities in southwest Virginia from Conoco.
- 2002 Through subsidiary CNX Marine Terminal Inc., begins operation as a break bulk and general cargo and warehouse provider at facilities in Baltimore.
- 2003 Completes sale of Canadian coal assets and port facilities to Fording Inc.
[edit] References
- Brugger, Maryland: A New Guide to the Old Line State, Johns Hopkins University 1999, ISBN 0801859808
- Albert L. Feldstein, "Feldstein's Historic Coal Mining and Railroads of Allegany County, Maryland", Publisher Albert L. Feldstein, 2000, ISBN 0-9701605-0-X (This book consists of 135 historic Allegany County coal mining and railroad related photographs. These are primarily from the early 1900s. Accompanying each depiction is an historical narrative with facts, figures, dates and other information. Included within this number are 23 biographies of individuals associated with the history of coal mining in the region.)
[edit] See also
US Coal Companies
