National Fuel Gas Company 6363 Main Street, Williamsville, New York 14221 716-857-7000 www.nationalfuelgas.com NYSE: NFG National Fuel Gas Company Summar y Annual Repor t 2013 On the cover – The drilling rig pictured here is currently drilling 10 wells from this location in Lycoming County, Pa., with initial production commencing in 2014. Seneca Resources’ Marcellus Shale acreage was the primary driver of a 45% increase in total natural gas and crude oil production in 2013. Above – National Fuel Gas Midstream Corporation employees are reviewing expansion plans for the Trout Run Gathering System, which is designed to transport Seneca Resources’ Lycoming County production. National Fuel Gas Company 6363 Main Street, Williamsville, New York 14221 716-857-7000 www.nationalfuelgas.com NYSE: NFG National Fuel Gas Company Summar y Annual Repor t 2013 On the cover – The drilling rig pictured here is currently drilling 10 wells from this location in Lycoming County, Pa., with initial production commencing in 2014. Seneca Resources’ Marcellus Shale acreage was the primary driver of a 45% increase in total natural gas and crude oil production in 2013. Above – National Fuel Gas Midstream Corporation employees are reviewing expansion plans for the Trout Run Gathering System, which is designed to transport Seneca Resources’ Lycoming County production. UPSTRE A M Exploration & Production — Total Production (Bcfe) DOWNSTRE A M Utility — Investing in Safety ($ Millions) INVESTOR INFORMATION 83.4 67.7 49.7 145–165 120.7 2010 2011 2012 2013 $45.0 $44.3 $43.8 $48.1 2010 2011 2012 2013 2014* L AKE ONTARIO UPSTRE A M California Oil Production 2013 2,831 Mbbl L AKE ERIE MIDSTRE A M Investing in Infrastructure — Capital Expenditures ($ Millions) 2010 2011 $44.4 $146.2 2012 $224.2 2013 2014* $110.9 $215–$285 Gathering: $6.5 Gathering: $17.0 Pipeline & Storage: $37.9 Pipeline & Storage: $129.2 Gathering: $80.0 Pipeline & Storage: $144.2 Gathering: $54.8 Pipeline & Storage: $56.1 Gathering: $100–$150 Pipeline & Storage: $115–$135 * FORECAST UNITS OF MEASURE DEFINITIONS ARE LOCATED ON THE INSIDE BACK COVER OF THIS REPORT. Trustee for Debentures The Bank of New York Mellon Additional Shareholder Reports Additional copies of this report, Units of Measure Bcf Billion cubic feet (of natural gas) Attention: Corporate Trust the 2013 Form 10-K, and the 2013 Common Stock Transfer Agent and Registrar Wells Fargo Shareowner Services P.O. Box 64856 St. Paul, MN 55164-0856 Tel. (800) 648-8166 Website: 101 Barclay Street, 8W New York, NY 10286 Stock Exchange Listing New York Stock Exchange http://www.shareowneronline.com (Stock Symbol: NFG) E-mail: stocktransfer@wellsfargo.com Annual Meeting The Annual Meeting of Stockholders Financial and Statistical Report can be obtained without charge by writing to or calling: Paula M. Ciprich Corporate Secretary Tel. (716) 857-7548 Timothy J. Silverstein Bcfe Bcf equivalent (of natural gas and crude oil) Dth Dekatherm (Approx. 1 Mcf of natural gas) Mbbl Thousands of barrels (of crude oil) Mcf Thousand cubic feet (of natural gas) Mcfe Mcf equivalent (of natural gas and crude oil) MMcf Million cubic feet (of natural gas) Tcf Trillion cubic feet (of natural gas) Tcfe Tcf equivalent (of natural gas and crude oil) This report is printed on paper containing postconsumer fiber. The paper used in this report is also certified under the Forest Stewardship Council guidelines. NEW YORK Change of address notices and inquiries about dividends should be sent to the Transfer Agent at the address listed above. National Fuel Direct Stock Purchase and Dividend Reinvestment Plan National Fuel offers a simple, cost- effective method for purchasing shares of National Fuel stock. A prospectus, which includes details of the Plan, can be obtained by calling, writing or e-mailing the will be held at 9:30 a.m. (local time) Director, Investor Relations on Thursday, March 13, 2014, at Tel. (716) 857-6987 The Ritz-Carlton Golf Resort, 2600 Tiburón Drive, Naples, FL 34109. Stockholders of record as of the close of business on January 13, 2014 will receive in the mail formal notice of the meeting, proxy statement and proxy. Investor Relations Investors or financial analysts desiring information should contact: National Fuel Gas Company 6363 Main Street Williamsville, NY 14221 Independent Accountants PricewaterhouseCoopers LLP 3600 HSBC Center Buffalo, NY 14203 administrator of the Plan, Wells Fargo David P. Bauer Shareowner Services, at the address Treasurer listed above. Tel. (716) 857-7318 Timothy J. Silverstein Director, Investor Relations Tel. (716) 857-6987 E-mail: SilversteinT@natfuel.com National Fuel Gas Company 6363 Main Street Williamsville, NY 14221 PENNSYLVANIA Upstream: Western Development Area Acreage Upstream: Eastern Development Area Acreage Midstream: Interstate & Gathering Pipelines Midstream: Storage Fields Downstream: Utility Service Area This Summary Annual Report contains “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements should be read with the cautionary statements and important factors included in the Company’s Form 10-K at Item 7, MD&A, under the heading “Safe Harbor for Forward-Looking Statements,” and with the “Risk Factors” included in the Company’s Form 10-K at Item 1A. Forward-looking statements are all statements other than statements of historical fact, including, without limitation, statements regarding future prospects, plans, objectives, goals, projections, estimates of oil and gas quantities, strategies, future events or performance and underlying assumptions, capital structure, anticipated capital expenditures, completion of construction and other projects, projections for pension and other post-retirement benefit obligations, impacts of the adoption of new accounting rules, and possible outcomes of litigation or regulatory proceedings, as well as statements that are identified by the use of the words “anticipates,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “predicts,” “projects,” “believes,” “seeks,” “will,” “may” and similar expressions. Forward-looking statements include estimates of oil and gas quantities. Proved oil and gas reserves are those quantities of oil and gas which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible under existing economic conditions, operating methods and government regulations. Other estimates of oil and gas quantities, including estimates of probable reserves, possible reserves, and resource potential, are by their nature more speculative than estimates of proved reserves. Accordingly, estimates other than proved reserves are subject to substantially greater risk of being actually realized. This Summary Annual Report and the statements contained herein are submitted for the general information of stockholders and employees of the Company and are not intended to induce any sale or purchase of securities or to be used in connection therewith. For up-to-date investor information, please visit the Investor Relations section of National Fuel Gas Company’s Corporate Website at http://www.nationalfuelgas.com. If you would like to receive news releases automatically by e-mail, simply visit the News section and subscribe. i m o c . n o s d d a . w w w i n o s d d A y b i n g s e D UPSTRE A M Exploration & Production — Total Production (Bcfe) DOWNSTRE A M Utility — Investing in Safety ($ Millions) INVESTOR INFORMATION 83.4 67.7 49.7 145–165 120.7 2010 2011 2012 2013 $45.0 $44.3 $43.8 $48.1 2010 2011 2012 2013 2014* L AKE ONTARIO UPSTRE A M California Oil Production 2013 2,831 Mbbl L AKE ERIE MIDSTRE A M Investing in Infrastructure — Capital Expenditures ($ Millions) 2010 2011 $44.4 $146.2 2012 $224.2 2013 2014* $110.9 $215–$285 Gathering: $6.5 Gathering: $17.0 Pipeline & Storage: $37.9 Pipeline & Storage: $129.2 Gathering: $80.0 Pipeline & Storage: $144.2 Gathering: $54.8 Pipeline & Storage: $56.1 Gathering: $100–$150 Pipeline & Storage: $115–$135 * FORECAST UNITS OF MEASURE DEFINITIONS ARE LOCATED ON THE INSIDE BACK COVER OF THIS REPORT. Trustee for Debentures The Bank of New York Mellon Additional Shareholder Reports Additional copies of this report, Units of Measure Bcf Billion cubic feet (of natural gas) Attention: Corporate Trust the 2013 Form 10-K, and the 2013 Common Stock Transfer Agent and Registrar Wells Fargo Shareowner Services P.O. Box 64856 St. Paul, MN 55164-0856 Tel. (800) 648-8166 Website: 101 Barclay Street, 8W New York, NY 10286 Stock Exchange Listing New York Stock Exchange http://www.shareowneronline.com (Stock Symbol: NFG) E-mail: stocktransfer@wellsfargo.com Annual Meeting The Annual Meeting of Stockholders Financial and Statistical Report can be obtained without charge by writing to or calling: Paula M. Ciprich Corporate Secretary Tel. (716) 857-7548 Timothy J. Silverstein Bcfe Bcf equivalent (of natural gas and crude oil) Dth Dekatherm (Approx. 1 Mcf of natural gas) Mbbl Thousands of barrels (of crude oil) Mcf Thousand cubic feet (of natural gas) Mcfe Mcf equivalent (of natural gas and crude oil) MMcf Million cubic feet (of natural gas) Tcf Trillion cubic feet (of natural gas) Tcfe Tcf equivalent (of natural gas and crude oil) This report is printed on paper containing postconsumer fiber. The paper used in this report is also certified under the Forest Stewardship Council guidelines. NEW YORK Change of address notices and inquiries about dividends should be sent to the Transfer Agent at the address listed above. National Fuel Direct Stock Purchase and Dividend Reinvestment Plan National Fuel offers a simple, cost- effective method for purchasing shares of National Fuel stock. A prospectus, which includes details of the Plan, can be obtained by calling, writing or e-mailing the will be held at 9:30 a.m. (local time) Director, Investor Relations on Thursday, March 13, 2014, at Tel. (716) 857-6987 The Ritz-Carlton Golf Resort, 2600 Tiburón Drive, Naples, FL 34109. Stockholders of record as of the close of business on January 13, 2014 will receive in the mail formal notice of the meeting, proxy statement and proxy. Investor Relations Investors or financial analysts desiring information should contact: National Fuel Gas Company 6363 Main Street Williamsville, NY 14221 Independent Accountants PricewaterhouseCoopers LLP 3600 HSBC Center Buffalo, NY 14203 administrator of the Plan, Wells Fargo David P. Bauer Shareowner Services, at the address Treasurer listed above. Tel. (716) 857-7318 Timothy J. Silverstein Director, Investor Relations Tel. (716) 857-6987 E-mail: SilversteinT@natfuel.com National Fuel Gas Company 6363 Main Street Williamsville, NY 14221 PENNSYLVANIA Upstream: Western Development Area Acreage Upstream: Eastern Development Area Acreage Midstream: Interstate & Gathering Pipelines Midstream: Storage Fields Downstream: Utility Service Area This Summary Annual Report contains “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements should be read with the cautionary statements and important factors included in the Company’s Form 10-K at Item 7, MD&A, under the heading “Safe Harbor for Forward-Looking Statements,” and with the “Risk Factors” included in the Company’s Form 10-K at Item 1A. Forward-looking statements are all statements other than statements of historical fact, including, without limitation, statements regarding future prospects, plans, objectives, goals, projections, estimates of oil and gas quantities, strategies, future events or performance and underlying assumptions, capital structure, anticipated capital expenditures, completion of construction and other projects, projections for pension and other post-retirement benefit obligations, impacts of the adoption of new accounting rules, and possible outcomes of litigation or regulatory proceedings, as well as statements that are identified by the use of the words “anticipates,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “predicts,” “projects,” “believes,” “seeks,” “will,” “may” and similar expressions. Forward-looking statements include estimates of oil and gas quantities. Proved oil and gas reserves are those quantities of oil and gas which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible under existing economic conditions, operating methods and government regulations. Other estimates of oil and gas quantities, including estimates of probable reserves, possible reserves, and resource potential, are by their nature more speculative than estimates of proved reserves. Accordingly, estimates other than proved reserves are subject to substantially greater risk of being actually realized. This Summary Annual Report and the statements contained herein are submitted for the general information of stockholders and employees of the Company and are not intended to induce any sale or purchase of securities or to be used in connection therewith. For up-to-date investor information, please visit the Investor Relations section of National Fuel Gas Company’s Corporate Website at http://www.nationalfuelgas.com. If you would like to receive news releases automatically by e-mail, simply visit the News section and subscribe. i m o c . n o s d d a . w w w i n o s d d A y b i n g s e D L AKE ONTARIO NEW YORK L AKE ERIE PENNSYLVANIA Upstream: Western Development Area Acreage Upstream: Eastern Development Area Acreage Midstream: Interstate & Gathering Pipelines Midstream: Storage Fields Downstream: Utility Service Area QUALITY ASSETS AND THE EXPERTISE TO DEVELOP THOSE ASSETS ARE THE MAJOR INGREDIENTS OF SUCCESS. WITH ONE OF THE MOST EXTENSIVE ACREAGE POSITIONS IN THE MARCELLUS SHALE, AND A GROWING, INTEGRATED PIPELINE SYSTEM THAT OVERLAYS THAT ACREAGE, NATIONAL FUEL HAS QUALITY ASSETS. NATIONAL FUEL’S WORK FORCE, OPERATING IN A CULTURE OF EFFICIENCY AND INNOVATION, HAS A PROVEN RECORD OF MAXIMIZING THE VALUE OF COMPANY ASSETS. IN 2013, THOSE INGREDIENTS ENABLED NATIONAL FUEL TO RECORD IMPRESSIVE EARNINGS AND ACHIEVE HISTORIC MILESTONES THAT POSITION THE COMPANY FOR CONTINUED SUCCESS. M ARCELLUS SHALE INTERSTATE PIPELINES 780,000 Net Acres 2,798 Miles UTILIT Y CUSTOMERS GATHERING VOLUMES 735,000 93.6 Bcf $702.9 M (up 26%) $115.4 M (up 20%) $533.1 M (down 23%) 2 OPERATING REVENUESNET INCOMECAPITAL EXPENDITURESNational Fuel Gas Company National Fuel’s Upstream business is conducted through its exploration and production subsidiary, Seneca Resources Corporation. For Seneca, 2013 was a year of superlatives, in both operational performance and, more significantly, the growth of its drilling inventory. Seneca’s operational performance in 2013 — a 57% increase in natural gas production — rightly speaks for itself. The big news for 2013, however, was Seneca’s “de-risking” of nearly 2,000 Marcellus Shale drilling locations in the company’s Western Development Area (WDA). These locations — representing more than 10 Tcfe of resource potential — are expected to be economical at natural gas prices below $4 per Mcf, and in some cases well below that price. Given Seneca’s natural advantages — large, contiguous acreage blocks, no royalties or lease payments, and a Seneca Resources’ 24-hour operations in the Marcellus Shale century of exploration and production experience in Appalachia — allow for significant operational efficiencies, leading to lower well costs and the ability to develop more we have long believed that Seneca’s Marcellus acreage was a source of tremendous potential. With regard to the WDA, we now horizontal wells during the year. have initial results that prove it. 3 UPSTREAMSummary Annual Report 2013 In the Eastern Development Area, significant historic fields have been producing for nearly production growth continues while Seneca 100 years — the economics remain extremely remains focused on optimizing its drilling favorable. A good complement to National Fuel’s and completion practices through improved Appalachian business plans, Seneca continues efficiencies and new technology. By adopting to look for opportunities to expand its operations a method of continuous improvement through in California. which best practices eventually become the norm, Seneca has achieved significant gains at all steps of its operations. Overall, Seneca should experience consistent production growth of 15 to 25% for many years to come. The company’s spending will be disciplined Of particular note is how Seneca manages and driven by rates of return. But most importantly, its water requirements in the completion Seneca will continue to apply best practices in process, during which the wells undergo technology, safety and environmental stewardship. hydraulic fracturing. This process uses water, and historically, the sole means of delivering water to the drill site has been by tanker truck, which is very costly, disruptive and inefficient. In Lycoming County, as an alternative to trucking, Seneca constructed a full-cycle water management system that uses pipelines to transport water from the source, to a system of reservoirs, and eventually to the well site. With these and other innovations now planned for Seneca’s WDA operations, expectations are that well economics for the WDA, while already favorable, will further improve. Like that of all Appalachian producers, Seneca’s growth continues to rely on the ability to find outlets for new production. Unlike its competitors, however, Seneca is able to coordinate its devel- opment, often concurrently, with the Company’s Appalachian gathering projects, assuring timely access to diverse markets. While geographically distant, Seneca’s California oil operations generate robust cash flows that are instrumental in funding operations in Appalachia. Even though production rates from Seneca’s California operations are modest — some of the 4 SAFET Y. ENVIRONMENTAL RESPONSIBILIT Y. BEST IN PR AC TICE . These themes are integral to Seneca’s business. An example of Seneca’s commitment to the environment and safe operations is the conversion of its Pennsylvania drilling rigs from utilizing diesel to cleaner-burning natural gas. In Pennsylvania, Seneca was the first to use liquefied natural gas (LNG) and gas from the field being developed to fuel rig operations. Studies have shown that rigs powered with natural gas produce far fewer emissions than diesel. Not only are the air quality advantages significant, but neighboring communities also benefit from quieter operations. National Fuel Gas Company 120.7 Bcfe (up 45%) 1.549 Tcfe (up 24%) Seneca Resources’ employee Ross Gonyer monitors a recently drilled well in the East Coalinga crude oil field in California. In early 2013, Seneca entered into an arrangement with the owner to take over operating control of this field. 5 TOTAL PRODUCTIONPROVED RESERVESSummary Annual Report 2013 National Fuel Gas Supply Corporation employee Bill Styche inspects a compressor engine at Buffalo Station in southwest Pennsylvania. This compressor station is part of National Fuel’s Line N system that has been expanded three times since 2011. 6 MIDSTREAMNational Fuel Gas Company National Fuel’s Midstream operations In southwest Pennsylvania, the Company are carried out by the interstate has provided a key link connecting pipeline and storage subsidiaries, Marcellus production to multiple markets National Fuel Gas Supply Corporation including the Northeast and Gulf Coast. and Empire Pipeline, Inc., and the For 2014, a fourth expansion since gathering subsidiary National Fuel 2011 will be completed, and additional Gas Midstream Corporation. projects are planned for the next As gas production in Appalachia several years. continues to increase, Northeast A clear advantage of National Fuel’s markets have become saturated with integrated business model is the supply, requiring many producers to system’s ability to build synergies find additional pipeline capacity for across operating segments. This is their growing output. The resulting amply demonstrated by National Fuel’s pent-up demand for pipeline capacity Appalachian development projects, presents a real opportunity for National where the Company’s upstream and Fuel. With nearly 3,000 miles of midstream businesses work as a unit. pipeline facilities, interconnections The Trout Run Gathering System, with most major Northeast pipeline for example, has been the catalyst operators, and a long history of building enabling Seneca’s recent, significant infrastructure in Appalachia, National production growth. Similarly, NFG Fuel’s midstream businesses are Midstream’s plans to develop a 1 Bcf uniquely positioned to meet the needs per day gathering system will enable of Appalachian producers. additional growth in production from In 2013, major expansion projects were completed, furthering a reconfiguration of the Company’s pipeline systems that commenced several years ago. Seneca’s Western Development Area. These coordinated efforts minimize costly delays and maximize the value of the Company’s investment. The Northern Access expansion project Demand for new pipeline capacity in has enhanced the Company’s ability the Marcellus Shale, from Seneca’s to ship gas to high-value eastern projects and third parties, will continue Canadian markets, where population to drive Midstream’s efforts to assist growth and electric generation projects producers in reaching diverse, high- should produce significant demand value markets. Together with growing opportunities. The Company’s ability to production from the Utica Shale that transport Marcellus Shale production will also be looking for these markets, into those valuable markets will present National Fuel’s midstream pipeline opportunities for additional investment in businesses are well-positioned for infrastructure with planned expansions sustained, long-term growth. in 2015 and 2016. 7 Summary Annual Report 2013 PIPELINE & STORAGE SEGMENT GATHERING SEGMENT O PE R ATING RE V E NUE S O PE R ATIN G RE V E NUE S $267.6 M (up 3%) $34.8 M (up 99%) NE T IN COME $63.2 M (up 4%) NE T IN COME $13.3 M (up 94%) C A PITA L E XPE NDITURE S C A PITA L E XPE NDITURE S $56.1 M (down 61%) TOTA L A S S E T S $1.246 B (up 0.2%) $54.8 M (down 32%) TOTA L A S S E T S $203 M (up 74%) S YS TE M THRO U G HPUT 579.8 Bcf (up 56%) S YS TE M THRO U G HPUT 93.6 Bcf (up 93%) INVESTING IN SAFET Y AND RELIABILIT Y National Fuel continues to invest substantially in an infrastructure modernization program to replace its legacy natural gas transmission facilities. These efforts are a key element of a comprehensive, proactive and long-term plan that is designed to ensure the ongoing safe and reliable transportation of natural gas for our customers and the communities in which we operate. 8 National Fuel Gas Company Above – The Utility continues to modernize its steel and cast iron infrastructure. Here, Utility employees Wiley Tothill and Sean Bannach The Utility and Energy Marketing segments, their current heating fuel. Likewise, industrial operated by National Fuel Gas Distribution customers are increasingly turning to natural gas Corporation and National Fuel Resources, Inc. not only because of its lower cost, but also for its undertake a routine insertion job in (NFR), perform National Fuel’s Downstream environmental benefits. which plastic pipe is inserted into the existing steel pipe, minimizing excavation damage. Left – Employees Jeff Fye and Ryan Swatsworth discuss progress on construction of the Hagerman compressor station, which is part of the NFG Midstream’s Trout Run Gathering System in Lycoming County, Pa. activities. This year the Utility launched an ambitious From the well bore to the burner tip, National program to replace its decades-old customer Fuel has operated in all stages of the natural information system. An investment of more gas business for more than a century. Today than $50 million, the new system will modernize the Company’s integrated businesses work and consolidate billing systems, improve billing together to bring gas from production areas data management, and provide other updates in Pennsylvania to retail markets throughout that are necessary to meet increasingly complex the Northeast. In our own backyard, National regulatory demands. Fuel’s downstream companies sell and deliver gas that is produced in the Marcellus Shale and transported through gathering and transmission facilities operated by National Fuel. The Company’s retail marketer, National Fuel Resources, completed another year of service to thousands of customers in New York and Pennsylvania. NFR continues to distinguish itself By increasing domestic supply, the industry’s by emphasizing attentive, customized service, ability to economically produce shale gas has transparent pricing, and a focus on long-term been enormously beneficial to consumers. customer relationships. In particular, prices have moderated, enhancing the appeal of natural gas compared to other fuels. In fact, the Utility is experiencing increased interest in natural gas service from rural applicants looking for savings over the cost of 9 DOWNSTREAMSummary Annual Report 2013 National Fuel Gas Company had a very successful 2013 fiscal year. From a financial standpoint, our earnings from continuing operations were the second highest in the Company’s history. From an operations standpoint, our subsidiaries continued laying the groundwork to assure the ongoing success of the Company. At National Fuel, we seldom measure success in increments of one fiscal year. We design our business plans to ensure sustainable growth for the long term. National Fuel has a great collection of assets There is no question that our Marcellus Shale and has worked hard through the years to build assets are increasingly defining the Company. the value of those assets through its integrated National Fuel’s position in the Appalachian Basin model. From the hydrocarbon reserves in the and, in particular, the Marcellus, now totaling ground to our transmission and distribution 780,000 net acres, is among the largest in the pipeline networks that deliver natural gas to our business. What makes our position unique, customers, your Company owns real, tangible, however, is that we own, rather than lease, the high-value assets. We also have nearly 2,000 oil and gas rights across nearly 80% of that employees, each of whom plays an important acreage. This stands in sharp contrast to other role in assuring the responsible development of Marcellus producers, who generally control their our assets, and who combine as a team to deliver acreage under leases, which increases costs and the results that drive the ongoing success of the limits flexibility. Our ownership allows National Company. The quality of our natural resource Fuel to profitably operate in the Marcellus at and human resource assets gives me confidence lower commodity prices than are required by that the tremendous success we achieved in our competitors. 2013 was not a one-time occurrence, but is the result of our business model, which is designed Seneca Resources, the Company’s exploration to deliver growth well into the future. and production subsidiary, divides its Marcellus 10 TO OUR SHAREHOLDERSNational Fuel Gas Company 43 YEARS OF DIVIDEND INCREASES Annualized Dividend Rate at Fiscal Year End Shale development areas into the Western Development Area (WDA) and the Eastern Development Area. The WDA is National Fuel’s legacy acreage, made up of properties the Company and its predecessors acquired during $1.50 the past 100 years of operating gas businesses in Appalachia. In the WDA, most of our oil and $1.08 $0.77 $0.39 1983 1993 2003 2013 INVESTING IN THE FUTURE Consolidated Capital Expenditures ($ Millions) $977 $935 $854 $717 $501 2010 2011 2012 2013 2014* *Forecast gas rights are owned in acreage blocks that are large and contiguous. We are deeply familiar with the territory, and our pipeline subsidiaries are constructing facilities that will open up new markets for Seneca’s production. With these advantages, we have always believed the WDA to be a source of great potential for National Fuel. In 2013, newly drilled wells and numerous production tests convinced Seneca’s engineers that a large drilling inventory in the WDA could be economically developed at a natural gas price of $4 per Mcf or lower. This is a significant, breakthrough development that gave us the confidence to commence a multi-year drilling program that, at today’s prices, could lead to 2,000 future wells and the potential to produce more than 10 Tcfe from these locations. Operationally, 2013 was one of the best years in the Company’s history. Seneca increased its total natural gas and crude oil production by 45%, reaching a record volume of 120.7 Bcfe. Along with current results, the future potential of Seneca’s acreage is expanding, as proved reserves continued their upward march, growing another 24%, to 1.549 Tcfe. Our pipeline subsidiaries transported an average volume of 2 Bcf per day, the highest in the Company’s history. This was achieved, in large part, due to expansions of the Company’s interstate and gathering pipeline infrastructure. These assets are situated strategically to support production from the Appalachian Basin, including the Marcellus and Utica shales. As a result, as that production grows, our pipelines will provide the pathways that Seneca and other producers need to reach retail markets. 11 Summary Annual Report 2013 FIVE-YEAR TOTAL SHAREHOLDER RETURNS At September 30* (Assumes Dividend Reinvestment) $200 $170 $140 $110 $80 $50 NFG S&P 500 Index PHLX Utility Sector Index SIG Oil E&P Index 2008 2009 2010 2011 2012 2013 *Assumes $100 invested on September 30, 2008 and reinvesting of dividends The Company’s excellent operational perfor- Given this rapid pace of development in the mance produced net income of $260 million, a Marcellus Shale, growing pains are inevitable. remarkable achievement given the low gas prices The influx of natural gas supply at certain that prevailed during the year. I applaud all of our locations in the region has created pipeline employees, in every business segment, for their bottlenecks and tremendous pressure on successful efforts to produce such impressive the prices we receive for our production. results. I recognize, however, that our competitors Seneca’s response has been two-pronged. are also generating efficiencies and reducing In the near term, Seneca’s ongoing hedging costs in a similar effort to maintain and grow program, which includes multi-year sales earnings. Our challenge will be to sustain, and agreements and other tools designed to increase, the edge we have over our competition. insulate Seneca from extreme price volatility, I believe our team is up to the task. continues to be effective. Looking forward, Seneca’s solution will be to secure long-term The growth in our production potential, as well firm transportation capacity. Here again, the as that of many of our peers, has changed the advantages of National Fuel’s integrated model landscape of the Northeast natural gas markets. are evident. With our operating expertise in Just a few years ago, projections for the success Appalachia and strategically located network of the Marcellus Shale appeared optimistic. Early of pipelines, we see significant opportunities aggressive forecasts of total production from this to further expand our system concurrently play were 10–12 Bcf per day by the end of this with Seneca’s growth. By coordinating its decade. That level has already been exceeded, development with the construction of National seven years ahead of schedule, and production Fuel gathering pipeline projects, Seneca’s forecasts for the Appalachian Basin have moved production can reach markets in a timely north of 20 Bcf per day — more than enough manner, through Company-owned facilities natural gas to supply the entire Northeast U.S. and interconnections with the interstate for all but the coldest days of the year. pipeline network. 12 National Fuel Gas Company Because of demands by Seneca and other Seneca’s total production nearly tripled, and, producers for pipeline capacity, we are to assure future demand for Appalachian continuing with an ambitious program to further production, the Company’s pipeline business develop our Appalachian pipeline systems. commenced an historic, transformational Over the next five years, we are planning more reconfiguration. In addition, during Dave’s tenure than $1.5 billion of capital spending, focused the Company continued to prioritize and invest primarily on expansion projects designed in pipeline safety, system reliability and all to connect Marcellus production to demand levels of customer service. Because of Dave’s markets in the Northeast and Mid-Atlantic — leadership and dedication, National Fuel is today where consumers are switching from oil to natural a better company for its investors, employees, gas — and in southern Ontario, Canada, where and the customers it serves. electric generation plants are increasingly being fueled by natural gas. I have never been more excited to be in the energy business. Thanks to ever-improving We continue to be impressed by the performance drilling technologies, the shale gas “revolution” of our California oil properties. Robust cash flows has changed the nation’s energy outlook for the from these assets help to fund our Appalachian better by increasing domestic supplies, stabilizing investments, and will do so for the foreseeable prices, and providing a reliable, long-term future. Although not a focus of significant future alternative to other, less environmentally friendly growth, we expect to increase oil production fuels. For the past few years, National Fuel’s CEOs through efficiency improvements, and we also have written in this space about how shale gas look to expand our holdings. is also changing your Company. The Company’s focus has shifted as we pursue the tremendous Although the Utility is a smaller percentage opportunities presented by our high-quality of National Fuel’s overall business than it was, natural resource assets, especially in the Marcellus even as recently as five years ago, it remains Shale. National Fuel’s model of doing business, the largest single customer of our pipeline however, has not changed. Our diverse, yet and storage business and continues to serve integrated businesses enable us to maximize an important role through its contribution to the value of the Company’s assets; we work to cash flows and the dividend. Both the utility attract and retain the best minds in the industry; and energy marketing businesses have a long and we focus on producing long-term value for tradition of providing safe, reliable and quality our shareholders. Guided by these fundamentals, customer service, and in delivering that service, I am confident that your Company is poised to the Utility consistently exceeds performance deliver many years of excellent performance. targets established by regulators. This past year brought change to National Fuel’s senior management with Dave Smith’s transition Ronald J. Tanski to Executive Chairman of the Board. During President and Chief Executive Officer his five years as Chief Executive Officer, Dave January 8, 2014 established National Fuel’s current course of business by focusing the Company’s attention and significant resources on development in the Marcellus Shale. Under Dave’s leadership, 13 Summary Annual Report 2013 UPSTREAM MIDSTREAM DOWNSTREAM SENECA RESOURCES CORPORATION Matthew D. Cabell President Barry L. McMahan Senior Vice President and Secretary John P. McGinnis Senior Vice President Cindy D. Wilkinson Controller Steven J. Conley Vice President Bradley D. Elliott Vice President Jeffrey J. Formica Vice President Douglas Kepler Vice President Justin I. Loweth Vice President Dale A. Rowekamp Vice President Kevin M. Ryan Vice President NATIONAL FUEL GAS SUPPLY CORPORATION John R. Pustulka President NATIONAL FUEL GAS DISTRIBUTION CORPORATION Anna Marie Cellino President David P. Bauer Treasurer Carl M. Carlotti Senior Vice President James R. Peterson Secretary and General Counsel Paula M. Ciprich Secretary Karen M. Camiolo Controller Richard E. Klein Treasurer Bruce D. Heine Vice President Jay W. Lesch Vice President Steven Wagner Vice President Sarah J. Mugel Vice President and General Counsel Ann M. Wegrzyn Vice President NATIONAL FUEL RESOURCES, INC. Joseph N. Del Vecchio Vice President Karen M. Camiolo Controller Ronald C. Kraemer Vice President EMPIRE PIPELINE, INC. Ronald C. Kraemer President David P. Bauer Treasurer James R. Peterson Secretary Karen M. Camiolo Controller NATIONAL FUEL GAS MIDSTREAM CORPORATION Duane A. Wassum President James R. Peterson Secretary David P. Bauer Treasurer Karen M. Camiolo Controller PRINCIPAL OFFICERS NATIONAL FUEL GAS COMPANY David F. Smith Executive Chairman of the Board Ronald J. Tanski President and Chief Executive Officer Matthew D. Cabell Senior Vice President James D. Ramsdell Senior Vice President David P. Bauer Treasurer and Principal Financial Officer Karen M. Camiolo Controller and Principal Accounting Officer Paula M. Ciprich General Counsel and Secretary Donna L. DeCarolis Vice President Business Development 14 National Fuel Gas Company DIRECTORS Philip C. Ackerman ³, ⁵^ Former Chairman of the Board of R. Don Cash ¹, ²^, ⁴ Chairman Emeritus and Director Rolland E. Kidder ¹, ⁴ Founder, former Chairman David F. Smith ³^, ⁵ Executive Chairman of the Board Directors, Chief Executive Officer of Questar Corporation. Former and President of Kidder of the Company, and former Chief and President of the Company. Chairman, Chief Executive Exploration, Inc., and former Executive Officer and President Director of Associated Electric Officer and President of Questar Trustee of the New York Power of the Company. Board member and Gas Insurance Services Corporation. Director of Zions Authority. Former Director of of the American Gas Association Limited. Company Director Bancorporation, Associated the Independent Oil and Gas (Executive Committee), American since 1994. Electric and Gas Insurance Association of New York and Gas Foundation, Gas Technology Robert T. Brady ², ³, ⁴^ Executive Chairman and former Chief Executive Officer and President of Moog Inc. Director of Moog Inc., Astronics Corporation Services Limited and the the Pennsylvania Natural Gas Institute (Executive Committee), Ranching Heritage Association. Association — both Appalachian the Business Council of New York Former Director of TODCO based energy associations. State (Chairman and member of (The Offshore Drilling Company). Former Executive Director of the the Executive Committee), the Company Director since 2003. Robert H. Jackson Center, Inc. Buffalo Niagara Enterprise (past Company Director since 2002. Chairman and member of the and M&T Bank Corporation. Stephen E. Ewing ¹, ², ⁵ Member of the UB Council Former Vice Chairman of DTE (State University of New York at Energy. Former President and Craig G. Matthews ¹^, ³, ⁵ Former President, Chief Buffalo), member of the Board of Chief Operating Officer of MCN Executive Officer and Director the Buffalo Niagara Partnership Energy Group Inc. and former of NUI Corporation. Former and member of the Governor’s President and Chief Executive Vice Chairman, Chief Operating Regional Economic Development Officer of Michigan Consolidated Officer and Director of KeySpan Council of Western New York. Gas Company. Director of Corporation. Board member of Former Director of Seneca Foods CMS Energy. Trustee and past Republic Financial Corporation. Corporation. Company Director Chairman of the Board of The Member and former Chairman since 1995. Skillman Foundation. Chairman of of the Board of Trustees of the Auto Club of Michigan (AAA) Polytechnic Institute of New and Vice Chairman of the Board York University, member of the of the Auto Club Group (AAA). National Advisory Board for Former Chairman of the American the Salvation Army and founding Gas Association, the National Chairman of the New Jersey Petroleum Council, the Midwest Salvation Army Board. Company Gas Association and the Natural Director since 2005. Gas Vehicle Coalition. Company Director since 2007. David C. Carroll ⁴ President and Chief Executive Officer of Gas Technology Institute. Former Director of Versa Power Systems, Inc. Member of the Society of Gas Lighting. Chairman of the steering committee for the 17th International Conference and Exhibition on Liquefied Natural Gas in Houston (2013) and will become President of the International Gas Union in June 2015 as the United States prepares to host the 2018 World Gas Conference in Washington, D.C. Company Director since 2012. Executive Committee), the State University of New York at Buffalo Law School Dean’s Advisory Council, and The Buffalo Sabres Foundation. Company Director since 2007. 1 Member of Audit Committee 2 Member of Compensation Committee 3 Member of Executive Committee 4 Member of Nominating/Corporate Governance Committee 5 Member of Financing Committee ^ Denotes Committee Chairman 15 Summary Annual Report 2013 FINANCIAL AND OPERATING HIGHLIGHTS National Fuel Gas Company Year Ended September 30 Operating Revenues (Thousands) (1) $ 1,829,551 $ 1,626,853 $ 1,778,842 $ 1,760,503 $ 2,051,543 Net Income Available for Common Stock (Thousands) 260,001 (2) 220,077 (3) 258,402 (4) 225,913 (5) 100,708 (6) Return on Average Common Equity (7) 12.5% 11.4% 14.2% 13.5% 6.3% 2013 2012 2011 2010 2009 Per Common Share Basic Earnings Diluted Earnings Dividends Paid Dividend Rate at Year-End Book Value at Year-End $ $ $ $ $ 3.11 3.08 1.47 1.50 26.23 $ $ $ $ $ 2.65 2.63 1.43 1.46 23.52 $ $ $ $ $ 3.13 3.09 1.39 1.42 22.85 $ $ $ $ $ 2.78 2.73 1.35 1.38 21.27 $ $ $ $ $ 1.26 1.25 1.31 1.34 19.74 Common Shares Outstanding at Year-End 83,661,969 83,330,140 82,812,677 82,075,470 80,499,915 Weighted Average Common Shares Outstanding Basic Diluted 83,518,857 83,127,844 82,514,015 81,380,434 79,649,965 84,341,220 83,739,771 83,670,802 82,660,598 80,628,685 Average Common Shares Traded Daily 385,586 558,000 534,526 411,256 551,327 Common Stock Price High Low Close $ $ $ 69.27 48.51 68.76 $ $ $ 64.19 41.57 54.04 $ $ $ 75.98 48.67 48.68 $ $ $ 54.42 42.83 51.81 $ $ $ 48.30 26.67 45.81 Net Cash Provided by Operating Activities (Thousands) $ 738,572 $ 659,010 $ 653,952 $ 447,032 $ 611,818 Total Assets (Thousands) $ 6,218,347 $ 5,935,142 $ 5,221,084 $ 5,047,054 $ 4,769,129 Capital Expenditures per Statements of Cash Flows (Thousands) Volume Information Utility Throughput – MMcf Gas Sales Gas Transportation Pipeline & Storage Throughput – MMcf Gas Transportation Gathering Volume – MMcf Gathered Volume Production Gas – MMcf Oil – Mbbl Total – MMcfe Proved Reserves Gas – MMcf Oil – Mbbl Total – MMcfe Energy Marketing Volume Gas Average Number of Utility Retail Customers Average Number of Utility Transportation Customers Number of Employees at September 30 $ 703,461 $ 1,035,007 $ 814,278 $ 443,101 $ 313,633 67,903 69,149 64,099 61,027 73,857 66,273 68,760 60,105 69,414 59,751 579,802 371,139 319,954 301,366 352,182 93,598 48,562 29,988 6,812 – 103,693 2,831 120,679 1,299,515 41,598 66,131 2,870 83,351 988,434 42,862 1,549,103 1,245,606 46,875 587,760 147,431 1,912 45,756 599,106 133,467 1,874 50,467 2,860 67,627 674,922 43,345 934,992 52,893 609,126 122,474 1,827 30,345 3,220 49,665 428,413 45,239 699,847 58,299 619,897 108,850 1,859 22,284 3,373 42,522 248,954 46,587 528,476 60,858 624,149 103,176 1,949 (1) Excludes discontinued operations. (2) Includes a $4.9 million refund provision. (3) Includes elimination of other post-retirement regulatory liability of $12.8 million. (4) Includes gain on sale of unconsolidated subsidiaries of $31.4 million. (5) Includes gain on sale of Horizon LFG, Inc. of $6.3 million. (6) Includes impairment of oil and gas producing properties of ($108.2) million. (7) Calculated using average Total Comprehensive Shareholder Equity. 16 National Fuel Gas Company UPSTRE A M Exploration & Production — Total Production (Bcfe) DOWNSTRE A M Utility — Investing in Safety ($ Millions) INVESTOR INFORMATION 83.4 67.7 49.7 145–165 120.7 2010 2011 2012 2013 $45.0 $44.3 $43.8 $48.1 2010 2011 2012 2013 2014* L AKE ONTARIO UPSTRE A M California Oil Production 2013 2,831 Mbbl L AKE ERIE MIDSTRE A M Investing in Infrastructure — Capital Expenditures ($ Millions) 2010 2011 $44.4 $146.2 2012 $224.2 2013 2014* $110.9 $215–$285 Gathering: $6.5 Gathering: $17.0 Pipeline & Storage: $37.9 Pipeline & Storage: $129.2 Gathering: $80.0 Pipeline & Storage: $144.2 Gathering: $54.8 Pipeline & Storage: $56.1 Gathering: $100–$150 Pipeline & Storage: $115–$135 * FORECAST UNITS OF MEASURE DEFINITIONS ARE LOCATED ON THE INSIDE BACK COVER OF THIS REPORT. Trustee for Debentures The Bank of New York Mellon Additional Shareholder Reports Additional copies of this report, Units of Measure Bcf Billion cubic feet (of natural gas) Attention: Corporate Trust the 2013 Form 10-K, and the 2013 Common Stock Transfer Agent and Registrar Wells Fargo Shareowner Services P.O. Box 64856 St. Paul, MN 55164-0856 Tel. (800) 648-8166 Website: 101 Barclay Street, 8W New York, NY 10286 Stock Exchange Listing New York Stock Exchange http://www.shareowneronline.com (Stock Symbol: NFG) E-mail: stocktransfer@wellsfargo.com Annual Meeting The Annual Meeting of Stockholders Financial and Statistical Report can be obtained without charge by writing to or calling: Paula M. Ciprich Corporate Secretary Tel. (716) 857-7548 Timothy J. Silverstein Bcfe Bcf equivalent (of natural gas and crude oil) Dth Dekatherm (Approx. 1 Mcf of natural gas) Mbbl Thousands of barrels (of crude oil) Mcf Thousand cubic feet (of natural gas) Mcfe Mcf equivalent (of natural gas and crude oil) MMcf Million cubic feet (of natural gas) Tcf Trillion cubic feet (of natural gas) Tcfe Tcf equivalent (of natural gas and crude oil) This report is printed on paper containing postconsumer fiber. The paper used in this report is also certified under the Forest Stewardship Council guidelines. NEW YORK Change of address notices and inquiries about dividends should be sent to the Transfer Agent at the address listed above. National Fuel Direct Stock Purchase and Dividend Reinvestment Plan National Fuel offers a simple, cost- effective method for purchasing shares of National Fuel stock. A prospectus, which includes details of the Plan, can be obtained by calling, writing or e-mailing the will be held at 9:30 a.m. (local time) Director, Investor Relations on Thursday, March 13, 2014, at Tel. (716) 857-6987 The Ritz-Carlton Golf Resort, 2600 Tiburón Drive, Naples, FL 34109. Stockholders of record as of the close of business on January 13, 2014 will receive in the mail formal notice of the meeting, proxy statement and proxy. Investor Relations Investors or financial analysts desiring information should contact: National Fuel Gas Company 6363 Main Street Williamsville, NY 14221 Independent Accountants PricewaterhouseCoopers LLP 3600 HSBC Center Buffalo, NY 14203 administrator of the Plan, Wells Fargo David P. Bauer Shareowner Services, at the address Treasurer listed above. Tel. (716) 857-7318 Timothy J. Silverstein Director, Investor Relations Tel. (716) 857-6987 E-mail: SilversteinT@natfuel.com National Fuel Gas Company 6363 Main Street Williamsville, NY 14221 PENNSYLVANIA Upstream: Western Development Area Acreage Upstream: Eastern Development Area Acreage Midstream: Interstate & Gathering Pipelines Midstream: Storage Fields Downstream: Utility Service Area This Summary Annual Report contains “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements should be read with the cautionary statements and important factors included in the Company’s Form 10-K at Item 7, MD&A, under the heading “Safe Harbor for Forward-Looking Statements,” and with the “Risk Factors” included in the Company’s Form 10-K at Item 1A. Forward-looking statements are all statements other than statements of historical fact, including, without limitation, statements regarding future prospects, plans, objectives, goals, projections, estimates of oil and gas quantities, strategies, future events or performance and underlying assumptions, capital structure, anticipated capital expenditures, completion of construction and other projects, projections for pension and other post-retirement benefit obligations, impacts of the adoption of new accounting rules, and possible outcomes of litigation or regulatory proceedings, as well as statements that are identified by the use of the words “anticipates,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “predicts,” “projects,” “believes,” “seeks,” “will,” “may” and similar expressions. Forward-looking statements include estimates of oil and gas quantities. Proved oil and gas reserves are those quantities of oil and gas which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible under existing economic conditions, operating methods and government regulations. Other estimates of oil and gas quantities, including estimates of probable reserves, possible reserves, and resource potential, are by their nature more speculative than estimates of proved reserves. Accordingly, estimates other than proved reserves are subject to substantially greater risk of being actually realized. This Summary Annual Report and the statements contained herein are submitted for the general information of stockholders and employees of the Company and are not intended to induce any sale or purchase of securities or to be used in connection therewith. For up-to-date investor information, please visit the Investor Relations section of National Fuel Gas Company’s Corporate website at http://www.nationalfuelgas.com. If you would like to receive news releases automatically by e-mail, simply visit the News section and subscribe. i m o c . n o s d d a . w w w i n o s d d A y b i n g s e D National Fuel Gas Company 6363 Main Street, Williamsville, New York 14221 716-857-7000 www.nationalfuelgas.com NYSE: NFG National Fuel Gas Company Summar y Annual Repor t 2013 On the cover – The drilling rig pictured here is currently drilling 10 wells from this location in Lycoming County, Pa., with initial production commencing in 2014. Seneca Resources’ Marcellus Shale acreage was the primary driver of a 45% increase in total natural gas and crude oil production in 2013. Above – National Fuel Gas Midstream Corporation employees are reviewing expansion plans for the Trout Run Gathering System, which is designed to transport Seneca Resources’ Lycoming County production.