<PAGE>
EXHIBIT 99(a)
National Fuel Achieves Record Earnings For Fiscal 2000
And Reports Fourth Quarter Results
(October 25, 2000) Buffalo, New York: National Fuel Gas Company ("National Fuel"
or the "Company") (NYSE:NFG) today reported record annual earnings for its
fiscal year ended September 30, 2000 of $127.2 million, or $3.25 per share
($3.21 per share on a diluted basis). This compares with earnings of $115.0
million, or $2.98 per share ($2.95 per share on a diluted basis) for the fiscal
year ended September 30, 1999.
Earnings for the quarter ended September 30, 2000 were $2.2 million, or
$0.06 per share (basic and diluted). This compares with earnings of $4.4
million, or $0.11 per share (basic and diluted), for the quarter ended September
30, 1999.
Bernard J. Kennedy, Chairman and Chief Executive Officer of National
Fuel, remarked: "We have known all along that companies with real assets can
deliver real earnings, thus providing real value for all. The success we see
here is testimony to that belief."
DISCUSSION OF FOURTH QUARTER EARNINGS
The decrease in earnings of $2.2 million for the quarter as compared
with the prior year's quarter was the result of a larger loss in the Utility
segment (which typically incurs a loss in the summer quarter) and lower earnings
in the Pipeline and Storage, Timber (which had a slight loss this quarter), and
Energy Marketing segments, and in Corporate operations. These decreased earnings
were offset in part by higher earnings in the Exploration and Production segment
and a lower loss in the International segment (which also typically incurs a
loss in the summer quarter).
The increase in the market price of National Fuel's stock during the
quarter ended September 30, 2000, while benefiting shareholders, carried with it
the required recognition of $6.6 million (after tax) of expense for stock
appreciation rights ("SARs"). This expense is spread across all segments, with
the greatest impact on the larger segments. On a fiscal year to date basis, the
expense related to SARs was $9.2 million (after tax), and reflects the stock
price increase from September 30, 1999 to September 30, 2000.
The Utility segment's fourth quarter fiscal 2000 loss was $11.2
million, or $5.6 million greater when compared with the fourth quarter of fiscal
1999. The current quarter's higher loss resulted mainly from various true-up
adjustments related to the September 30, 2000 conclusion of the two year rate
settlement with the New York State Public Service Commission ("NYPSC")
-more-
<PAGE>
National Fuel, 4th Quarter Earnings
2000 Fiscal Year Results
Page 2.
and from the SARs expense. As previously announced, a new three year rate
settlement agreement was recently approved by the NYPSC.
In the Pipeline and Storage segment, earnings of $4.9 million for the
quarter ended September 30, 2000 were down $4.8 million compared to the fourth
quarter of fiscal 1999. Reasons for the decrease included the SARs expense and
the fact that the fourth quarter of fiscal 1999 included the recovery of certain
project costs that had been previously written-off, and the recovery through
insurance of a previously expensed base gas loss.
The Timber segment had a slight loss of $0.04 million for the quarter
ended September 30, 2000, or $0.4 million less in earnings than last fiscal
year's fourth quarter. This decrease is the result of costs associated with this
segment's timber cruise (a study to determine the estimated board feet of
standing timber by tract and species) and costs related to the start up of new
kilns and a new sawmill.
The Energy Marketing segment's fourth quarter fiscal 2000 earnings of
$0.2 million were $0.2 million lower than the prior year's fourth quarter.
Although this segment recognized a $3.5 million after tax mark-to-market gain
from derivative activities (compared with a $0.7 million after tax hedging gain
in the prior year's quarter), it also accrued a loss contingency of $1.6 million
after tax on the unhedged portion of its fixed price sales contracts for sales
of natural gas to customers in fiscal 2001. In addition, greater interest
expense on higher debt balances coupled with higher operating expenses and lower
sales margins during the quarter contributed to lower earnings. With a higher
level of residential heating customers than in the past, this segment will
likely show seasonal losses during the summer months much like the Utility
segment.*
Earnings of the Corporate operations for the fourth quarter of fiscal
2000 of $0.4 million were down $1.2 million when compared with the fourth
quarter of fiscal 1999. The main reason is that the 1999 quarter included a gain
resulting from the demutualization of an insurance company. As a policyholder,
National Fuel received stock of the insurance company as part of its initial
public offering.
In the Exploration and Production segment, earnings for the quarter
ended September 30, 2000 were $13.0 million, up $8.8 million from the prior
year's fourth quarter. Earnings from the recent Canadian acquisition of Tri Link
Resources, Ltd. (now known as National Fuel Exploration Corp. ("NFE") and
significantly higher oil and gas prices in the current quarter were the main
reasons for higher earnings. NFE added $5.5 million to earnings this quarter.
-more-
<PAGE>
National Fuel, 4th Quarter Earnings
2000 Fiscal Year Results
Page 3.
Weighted average prices (after hedging) for oil and gas production increased 72%
and 9%, respectively, for the quarter ended September 30, 2000 compared with the
same quarter of last year. An 83% increase in oil production was largely
attributable to production from NFE's Canadian wells.
The International segment's loss for the fourth quarter of fiscal 2000
of $4.3 million was $1.4 million lower than the loss in the prior year's
quarter. The improvement in the current year was caused mainly by higher margins
and the further decline in the exchange rate of the Czech koruna (which reduced
the loss).
DISCUSSION OF ANNUAL RESULTS
The increase in earnings of $12.2 million for the fiscal year ended
September 30, 2000 as compared with the prior fiscal year was mainly the result
of higher earnings in the Exploration and Production segment as significantly
higher oil and gas prices, as well as earnings from the recently acquired NFE,
drove up earnings. In addition, the Utility segment's earnings were up a little
over 1% as various factors offset one another. The Timber and International
segments also had higher earnings. The Timber segment's fiscal 2000 earnings
reflect a gain on the sale of land and standing timber, which occurred in the
second quarter of fiscal 2000. The International segment's earnings increased as
a result of lower O&M and additional consideration received on the sale of a
previous project.
Increased earnings of these segments were offset in part by lower
earnings in the Pipeline and Storage and Energy Marketing segments and in
Corporate operations. In the Pipeline and Storage segment, higher SARs expense
was a significant cause of lower earnings. Also, this segment's earnings were
negatively impacted in the current year by a new state income tax resulting from
recently enacted tax law changes in New York State. In addition, the prior
year's earnings included interest income and a reduction in income tax related
to the final settlement of Internal Revenue Service audits of years 1977 - 1994.
These items did not recur in the current year. The Energy Marketing segment's
earnings are down due mainly to mark-to-market losses on derivative instruments,
lower margins on marketing activities, the accrual of a loss contingency, as
discussed in the quarter above, and higher expenses, including interest. Lower
earnings from Corporate operations mainly resulted from the gain recognized in
fiscal 1999 on the demutualization of an insurance company, as discussed above,
offset in part by higher earnings on various financial investments in the
current year.
-more-
<PAGE>
National Fuel, 4th Quarter Earnings
2000 Fiscal Year Results
Page 4.
Mr. Kennedy added: "We are pleased that our expansion in the Canadian
energy arena has provided such strong returns in a relatively short period of
time. We expect the solid performance of our Exploration and Production segment
to continue through fiscal 2001.* This performance, together with the continued
strong contributions from our regulated segments, supports our outlook for
record earnings in fiscal 2001 in the $4.25 to $4.35 per share range.*"
The Company will host a conference call on Thursday, October 26, 2000
at 11:00 a.m. (Eastern Time) to discuss this announcement. To access this call,
please go to the Company's home page at its website
http://www.nationalfuelgas.com and click on the words "Conference Call". For
those unable to listen to the live broadcast, a replay will be available at the
same website beginning about one hour after the call. In addition, the call will
be recorded and a toll-free replay will be available for playback by telephone
approximately one hour after the call at 1-800-944-3033.
National Fuel is an integrated energy company with $3.2 billion in
assets comprised of the following six operating segments: Utility, Pipeline and
Storage, Exploration and Production, International, Energy Marketing, and
Timber. Additional information about National Fuel is available on its Internet
Web site: http://www.nationalfuelgas.com or through its investor information
service at 1-800-334-2188.
--------------------
* This statement is a "forward-looking statement" as defined by the Private
Securities Litigation Reform Act of 1995. While National Fuel's expectations,
beliefs and projections are expressed in good faith and are believed to have a
reasonable basis, actual results may differ materially from those in the
forward-looking statement. Furthermore, such statement speaks only as of the
date on which it is made, and National Fuel undertakes no obligation to update
the statement to reflect events or circumstances after the date on which it is
made or to reflect the occurrence of unanticipated events. In addition to
other factors, the following are important factors that could cause actual
results to differ materially from the statement: changes in economic
conditions, demographic patterns and weather conditions; changes in the
availability and/or price of natural gas and oil; inability to obtain new
customers or retain existing ones; significant changes in competitive
conditions affecting the Company; governmental/regulatory actions, initiatives
and proceedings, including those affecting financings, allowed rates of
return, industry and rate structure, franchise renewal, and
environmental/safety requirements; unanticipated impacts of restructuring
initiatives in the natural gas and electric industries; significant changes
from expectations in actual capital expenditures and operating expenses and
unanticipated project delays; occurrences affecting the Company's ability to
obtain funds from operations, debt or equity to finance needed capital
expenditures and other investments; uncertainty of oil and gas reserves;
ability to successfully identify and finance oil and gas property acquisitions
and ability to operate existing and any subsequently acquired properties;
changes in the availability and/or price of derivative financial instruments;
inability of the various counterparts to meet their obligations with respect
to the Company's financial instruments; regarding foreign operations - changes
in foreign trade and monetary policies, laws, and regulations related to
foreign operations, political and governmental changes, inflation and exchange
rates, taxes and operating conditions; significant changes in tax rates or
policies, in rates of inflation or interest; significant changes in the
Company's relationship with its employees and the potential adverse effects if
labor disputes or grievances were to occur; and/or changes in accounting
principles and/or the application of such principles to the Company.
Analyst Contact: Margaret Suto (716) 857-6987
Media Contact: Julie Coppola Cox (716) 857-7079
-more-
<PAGE>
Page 5
<TABLE>
<CAPTION>
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
(Thousands of Dollars, except per share amounts)
Three Months Ended Twelve Months Ended
September 30, September 30,
(Unaudited)
------------------------------- --------------------------------
SUMMARY OF OPERATIONS 2000 1999 2000 1999
---------------------
-------------- --------------- ------------- ----------------
<S> <C> <C> <C> <C>
Operating Revenues $ 249,278 $ 190,791 $1,425,277 $ 1,263,274
-------------- --------------- ------------- ----------------
Operating Expenses:
Purchased Gas 61,705 28,652 503,617 405,925
Fuel Used in Heat and Electric Generation 8,330 8,478 54,893 55,788
Operation and Maintenance 91,932 79,144 350,383 328,800
Property, Franchise and Other Taxes 17,684 17,642 78,878 91,146
Depreciation, Depletion and Amortization 39,484 31,958 142,170 124,778
Income Taxes - Current (27,235) 3,418 35,210 50,798
- Deferred 30,464 1,119 41,858 14,031
-------------- --------------- ------------- ----------------
222,364 170,411 1,207,009 1,071,266
-------------- --------------- ------------- ----------------
Operating Income 26,914 20,380 218,268 192,008
Other Income 2,772 4,442 10,408 12,343
-------------- --------------- ------------- ----------------
Income Before Interest Charges and Minority
Interest in Foreign Subsidiaries 29,686 24,822 228,676 204,351
Interest Charges 28,339 21,313 100,085 87,698
Minority Interest in Foreign Subsidiaries 871 924 (1,384) (1,616)
-------------- --------------- ------------- ----------------
Net Income Available for Common Stock $ 2,218 $ 4,433 $ 127,207 $ 115,037
============== =============== ============= ================
Earnings Per Common Share:
Basic $ 0.06 $ 0.11 $ 3.25 $ 2.98
============== =============== ============= ================
Diluted $ 0.06 $ 0.11 $ 3.21 $ 2.95
============== =============== ============= ================
Weighted Average Common Shares:
Used in Basic Calculation 39,290,766 38,805,534 39,116,921 38,663,981
============== =============== ============= ================
Used in Diluted Calculation 39,930,180 39,246,318 39,583,100 39,041,728
============== =============== ============= ================
</TABLE>
<PAGE>
Page 6
<TABLE>
<CAPTION>
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT INFORMATION
(Thousands of Dollars)
Three Months Ended Twelve Months Ended
September 30, September 30,
(Unaudited)
--------------------------------------------- ---------------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
-------------- -------------- -------------- -------------- ------------- --------------
<S> <C> <C> <C> <C> <C> <C>
Operating Revenues
------------------
Utility $ 102,419 $ 96,505 $ 5,914 $ 846,459 $ 807,355 $ 39,104
Pipeline and Storage 41,459 42,108 (649) 169,659 168,783 876
Exploration and Production 84,255 41,544 42,711 238,070 146,994 91,076
International 11,751 9,880 1,871 104,736 107,045 (2,309)
Energy Marketing 25,368 16,835 8,533 133,929 99,088 34,841
Timber 8,239 7,007 1,232 39,172 31,117 8,055
-------------- -------------- -------------- -------------- ------------- --------------
Total Reportable Segments 273,491 213,879 59,612 1,532,025 1,360,382 171,643
All Other 39 229 (190) 5,345 1,765 3,580
Intersegment Eliminations (24,252) (23,317) (935) (112,093) (98,873) (13,220)
-------------- -------------- -------------- -------------- ------------- --------------
Total Consolidated $ 249,278 $ 190,791 $ 58,487 $ 1,425,277 $ 1,263,274 $ 162,003
============== ============== ============== ============== ============= ==============
Operating Income (Loss)
Before Income Taxes
-----------------------
Utility $ (11,429) $ (840) $ (10,589) $ 126,157 $ 120,283 $ 5,874
Pipeline and Storage 11,224 18,471 (7,247) 65,155 72,104 (6,949)
Exploration and Production 35,571 12,418 23,153 94,908 42,215 52,693
International (5,016) (5,814) 798 12,938 12,861 77
Energy Marketing 420 336 84 (12,000) 3,036 (15,036)
Timber 866 1,587 (721) 11,220 9,745 1,475
-------------- -------------- -------------- -------------- ------------- --------------
Total Reportable Segments 31,636 26,158 5,478 298,378 260,244 38,134
All Other (870) (444) (426) (425) (857) 432
Corporate (623) (797) 174 (2,617) (2,550) (67)
-------------- -------------- -------------- -------------- ------------- --------------
Total Consolidated $ 30,143 $ 24,917 $ 5,226 $ 295,336 $ 256,837 $ 38,499
============== ============== ============== ============== ============= ==============
Net Income
----------
Utility $ (11,182) $ (5,562) $ (5,620) $ 57,662 $ 56,875 $ 787
Pipeline and Storage 4,852 9,671 (4,819) 31,614 39,765 (8,151)
Exploration and Production 12,967 4,145 8,822 34,877 7,127 27,750
International (4,324) (5,720) 1,396 3,282 2,276 1,006
Energy Marketing 152 324 (172) (7,790) 2,054 (9,844)
Timber (42) 323 (365) 6,133 4,769 1,364
-------------- -------------- -------------- -------------- ------------- --------------
Total Reportable Segments 2,423 3,181 (758) 125,778 112,866 12,912
All Other (582) (323) (259) (371) (162) (209)
Corporate 377 1,575 (1,198) 1,800 2,333 (533)
-------------- -------------- -------------- -------------- ------------- --------------
Total Consolidated $ 2,218 $ 4,433 $ (2,215) $ 127,207 $ 115,037 $ 12,170
============== ============== ============== ============== ============= ==============
</TABLE>
<PAGE>
Page 7
<TABLE>
<CAPTION>
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT INFORMATION (Continued)
(Thousands of Dollars)
Three Months Ended Twelve Months Ended
September 30, September 30,
(Unaudited)
------------------------------------------- ----------------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
------------- ------------- ------------- ------------- -------------- --------------
<S> <C> <C> <C> <C> <C> <C>
Depreciation, Depletion
and Amortization:
-----------------------
Utility $ 8,927 $ 8,213 $ 714 $ 35,842 $ 34,215 $ 1,627
Pipeline and Storage 5,765 5,653 112 23,379 22,690 689
Exploration and Production 21,526 15,209 6,317 69,583 55,750 13,833
International 2,799 2,573 226 11,110 10,473 637
Energy Marketing 59 50 9 209 165 44
Timber 376 256 120 1,948 1,476 472
------------- ------------- ------------- ------------- -------------- --------------
Total Reportable Segments 39,452 31,954 7,498 142,071 124,769 17,302
All Other 31 3 28 97 7 90
Corporate 1 1 - 2 2 -
------------- ------------- ------------- ------------- -------------- --------------
Total Consolidated $ 39,484 $ 31,958 $ 7,526 $ 142,170 $ 124,778 $ 17,392
============= ============= ============= ============= ============== ==============
Expenditures for
Long-Lived Assets
------------------
Utility $ 12,698 $ 16,376 $ (3,678) $ 55,799 $ 46,974 $ 8,825
Pipeline and Storage 6,266 11,773 (5,507) 35,806 (1) 34,873 933
Exploration and Production 59,836 17,106 42,730 280,049 97,586 182,463
International 3,460 9,830 (6,370) 9,767 33,412 (23,645)
Energy Marketing 70 41 29 89 302 (213)
Timber 2,128 902 1,226 13,542 52,314 (38,772)
------------- ------------- ------------- ------------- -------------- --------------
Total Reportable Segments 84,458 56,028 28,430 395,052 265,461 129,591
All Other 118 9 109 3,725 69 3,656
------------- ------------- ------------- ------------- -------------- --------------
Total Consolidated $ 84,576 $ 56,037 $ 28,539 $ 398,777 $ 265,530 $ 133,247
============= ============= ============= ============= ============== ==============
</TABLE>
(1) Includes $1.2 million in a stock-for-asset swap.
<TABLE>
<CAPTION>
DEGREE DAYS
Percent Colder
(Warmer) Than:
Three Months Ended September 30 Normal 2000 1999 Normal Last Year
-------------------------------
------------- ------------- ------------- -------------- --------------
<S> <C> <C> <C> <C> <C>
Buffalo, NY 199 222 114 11.6 94.7
Erie, PA 100 179 94 79.0 90.4
Twelve Months Ended September 30
Buffalo, NY 6,932 6,312 6,180 (8.9) 2.1
Erie, PA 6,230 5,657 5,607 (9.2) 0.9
</TABLE>
<PAGE>
Page 8
<TABLE>
<CAPTION>
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
Utility Throughput - (millions of cubic feet - MMcf)
Three Months Ended Twelve Months Ended
September 30, September 30,
-------------------------------------- -----------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
----------- ---------- ----------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Residential Sales 5,430 4,979 451 68,196 71,177 (2,981)
Commercial Sales 887 830 57 12,312 13,885 (1,573)
Industrial Sales 1,347 1,166 181 4,276 4,144 132
----------- ---------- ----------- ------------ ------------ ------------
7,664 6,975 689 84,784 89,206 (4,422)
----------- ---------- ----------- ------------ ------------ ------------
Off-System Sales 1,917 2,275 (358) 12,833 12,469 364
Transportation 11,119 10,621 498 71,862 64,086 7,776
----------- ---------- ----------- ------------ ------------ ------------
20,700 19,871 829 169,479 165,761 3,718
=========== ========== =========== ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
Pipeline & Storage Throughput- (MMcf)
Three Months Ended Twelve Months Ended
September 30, September 30,
-------------------------------------- -----------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
----------- ---------- ----------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Firm Transportation - Affiliated 13,095 13,090 5 113,241 108,250 4,991
Firm Transportation - Non-Affiliated 41,149 46,757 (5,608) 178,577 191,992 (13,415)
Interruptible Transportation 14,531 3,962 10,569 21,730 8,061 13,669
----------- ---------- ----------- ------------ ------------ ------------
68,775 63,809 4,966 313,548 308,303 5,245
=========== ========== =========== ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
Energy Marketing Volumes
Three Months Ended Twelve Months Ended
September 30, September 30,
-------------------------------------- -----------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
----------- ---------- ----------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Natural Gas (MMcf) 3,969 5,223 (1,254) 35,465 34,454 1,011
=========== ========== =========== ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
International Sales Volumes
Three Months Ended Twelve Months Ended
September 30, September 30,
-------------------------------------- -----------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
----------- ---------- ----------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Heating (Gigajoules) 757,717 544,628 213,089 10,222,024 10,047,042 174,982
=========== ========== =========== ============ ============ ============
Electricity (Megawatt hours) 235,783 241,151 (5,368) 1,147,303 1,138,980 8,323
=========== ========== =========== ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
Timber Board Feet (Thousands)
Three Months Ended Twelve Months Ended
September 30, September 30,
-------------------------------------- -----------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
----------- ---------- ----------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Log Sales 1,931 1,677 254 9,370 6,902 2,468
Green Lumber Sales 1,788 1,774 14 8,193 8,541 (348)
Kiln Dry Lumber Sales 1,644 1,589 55 6,987 5,711 1,276
----------- ---------- ----------- ------------ ------------ ------------
5,363 5,040 323 24,550 21,154 3,396
=========== ========== =========== ============ ============ ============
</TABLE>
<PAGE>
Page 9
<TABLE>
<CAPTION>
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
EXPLORATION AND PRODUCTION INFORMATION
--------------------------------------
Three Months Ended Twelve Months Ended
September 30, September 30,
---------------------------------------- --------------------------------------
Increase Increase
2000 1999 (Decrease) 2000 1999 (Decrease)
----------- ----------- ------------- ----------- ---------- -------------
<S> <C> <C> <C> <C> <C> <C>
Gas Production/Prices:
---------------------
Production (MMcf)
Gulf Coast 7,813 7,285 528 32,760 28,758 4,002
West Coast 1,072 1,138 (66) 4,374 3,977 397
Appalachia 1,092 1,050 42 4,344 4,431 (87)
Canada 175 - 175 192 - 192
----------- ----------- ------------- ----------- ---------- -------------
10,152 9,473 679 41,670 37,166 4,504
=========== =========== ============= =========== ========== =============
Average Prices (Per Mcf)
Gulf Coast $ 4.43 $ 2.62 $ 1.81 $ 3.29 $ 2.15 $ 1.14
West Coast 5.48 2.56 2.92 3.62 2.28 1.34
Appalachia 3.81 2.49 1.32 3.16 2.44 0.72
Canada 2.51 - 2.51 2.52 - 2.52
Weighted Average 4.44 2.60 1.84 3.31 2.20 1.11
Weighted Average after Hedging 2.49 2.29 0.20 2.61 2.24 0.37
Oil Production/Prices:
---------------------
Production (Thousands of Barrels)
Gulf Coast 389 351 38 1,415 1,373 42
West Coast 718 676 42 2,824 2,633 191
Appalachia 2 3 (1) 9 10 (1)
Canada 771 - 771 899 - 899
----------- ----------- ------------- ----------- ---------- -------------
1,880 1,030 850 5,147 4,016 1,131
=========== =========== ============= =========== ========== =============
Average Prices (Per Barrel)
Gulf Coast $ 31.44 $ 20.32 $ 11.12 $ 28.27 $ 15.18 $ 13.09
West Coast 27.31 15.76 11.55 23.87 11.62 12.25
Appalachia 28.49 18.86 9.63 25.12 14.73 10.39
Canada 29.40 - 29.40 29.28 - 29.28
Weighted Average 29.02 17.33 11.69 26.03 12.85 13.18
Weighted Average after Hedging 27.41 15.98 11.43 22.85 12.96 9.89
</TABLE>
<TABLE>
<CAPTION>
PROVED DEVELOPED AND UNDEVELOPED RESERVES:
Oil (Thousands Total
Gas (MMcf) of Barrels) (MMcf Equivalents)
------------------------------------------------------- -------------------------
<S> <C> <C> <C>
Beginning of Year 320,792 75,819 775,706
Extensions and Discoveries 34,641 3,932 58,233
Revisions of Previous Estimates (8,001) 4,000 15,999
Production (41,670) (5,147) (72,552)
Purchase of Minerals in Place 3,349 41,320 251,269
Sales of Minerals in Place (7,444) (227) (8,806)
----------- ----------- -------------
End of Year 301,667 119,697 1,019,849
=========== =========== =============
</TABLE>
<PAGE>
Page 10
<TABLE>
<CAPTION>
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
Quarter Ended September 30 (unaudited) 2000 1999
------------------------------------- --------------------- ---------------------
<S> <C> <C>
Operating Revenues $ 249,278,000 $ 190,791,000
===================== =====================
Net Income Available for Common Stock $ 2,218,000 $ 4,433,000
===================== =====================
Earnings Per Common Share:
Basic $ 0.06 $ 0.11
===================== =====================
Diluted $ 0.06 $ 0.11
===================== =====================
Weighted Average Common Shares:
Used in Basic Calculation 39,290,766 38,805,534
===================== =====================
Used in Diluted Calculation 39,930,180 39,246,318
===================== =====================
Twelve Months Ended September 30
Operating Revenues $ 1,425,277,000 $ 1,263,274,000
===================== =====================
Net Income Available for Common Stock $ 127,207,000 $ 115,037,000
===================== =====================
Earnings Per Common Share:
Basic $ 3.25 $ 2.98.25
===================== =====================
Diluted $ 3.21 $ 2.95.21
===================== =====================
Weighted Average Common Shares:
Used in Basic Calculation 39,116,921 38,663,981
===================== =====================
Used in Diluted Calculation 39,583,100 39,041,728
===================== =====================
</TABLE>
