Consolidation Coal Company
| 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 eartern United States .
The company's origin began in the early 19th century when a 14-foot thick seam of bituminous coal refered to historically as the "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 unit the Baltimore and Ohio Railroad reached Cumberland in 1842. In 1850, the opening of the Chesapeake and Ohio Canal from Cumberland to Washington, DC provided anouther 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 companys 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 productiod in the early 1900's was premium smithing coal (as in blacksmith) that was specially processed and delived in box cars to custemers throughout the United States and Canada.
Sharply declines in coal demand after 1920, reflecting downturns in the economy recurrent labor problems and the extensive replacement of coal by the petroleum, lead to futher consolidations and merges in the coal industry. In 1945, Cosolidated Coal Company merged with the Pittsburg Coal Company and the corporate headquarters was moved from Cumberland to Pittsburg. In 1966 the Contintental Oil Company (Conoco) purchased the assets of Consolidation Coal Company, and 1981 Dupont purchased Conoco. The Consolidation Coal Company continued to exist as a subsidary of Dupont until 1998 when the subsidary 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.
Time Line
- In the early 19th century, a 14-foot thick seam of bituminous coal refered to historically as the "The Big Vein" was discovered in the Georges Creek Valley. This coal region became 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 were mining the Georges Creek Valley in Western Maryland, producing over 60 million tons of coal between 1854 to 1891.
- 1860 Consolidation Coal Company formed with merger of several smaller coal mining firms in the Georges Creek Valley.
- 1864 Consolidation Coal Company formally incorporated in Cumberland, Maryland following the Civil War.
- 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, acquired by DuPont.
- 1991 RWE A.G, through its direct and indirect wholly owned subsidiaries Rheinbraun A.G. and Rheinbraun U.S.A. GmbH , purchase 50 percent of Consolidation Coal. CONSOL Energy Inc. formed as 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 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 began 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.
References
- Brugger, " Maryland: A New Guide to the Old Line State", Johns Hopkins University 1999, ISBN 0801859808
- Ablert 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, Maryland coal mining and railroad related photographs. These are primarily from the early 1900's. 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.)
