Seneca Resources Exits California in Deal for Cash, Fewer Emissions

After more than three decades in California, National Fuel Gas Co. said its E&P segment will exit the state, noting the deal would add to its financial flexibility and offer a considerable reduction in emissions.

In its May 5 earnings release, National Fuel said that its E&P arm, Houston’s Seneca Resources Co. LLC, would sell its California portfolio for up to $310 million.

It was not by coincidence that National Fuel touted the environmental benefits of the sale. In a company presentation, National Fuel said the Seneca divestiture would “significantly reduce the company’s emissions,” including a 55% reduction in CO₂ equivalent.