Seneca Resources Corp.

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Description

Seneca Resources Corp., a subsidiary of National Fuel Gas Co., Williamsville, N.Y., (NYSE: NFG) has engaged Jefferies & Co. Inc. to explore joint-venture opportunities across a broad portion of its Marcellus shale acreage.

Seneca operates approximately 2,500 wells in western New York and northwestern Pennsylvania on approximately 738,000 acres of fee minerals, 260,000 acres of leased minerals and 100,000 acres of surface and timber rights throughout the region.

Daily gross production from Seneca-operated Marcellus wells as of June 30 was 30 million cubic feet per day. Net risked Marcellus resource potential ranges from 8- to 15 trillion cubic feet of gas.

National Fuel chairman and chief executive David F. Smith says, "In conjunction with those plans, we will continue to expand our investment in the infrastructure required to timely deliver gas into major markets. As I have said before, however, we will consider a joint-venture only if we feel we can significantly enhance the value of our position and be fully aligned with our new partner."

Contact William Marko, 281-774-2068, wmarko@jefferies.com.