Page 6 - NorthAmOil Week 28 2021

NorthAmOil COMMENTARY NorthAmOil

Chesapeake joins gas

certification push

Chesepeake Energy is the latest US natural gas producer

to announce that it will certify some of its output as

responsibly sourced gas

US CHESAPEAKE Energy announced this week Chesapeake has pledged to reduce the meth-
that it was partnering with a pair of non-profit ane intensity of its operations to 0.09% by 2025.
WHAT: environmental groups, MiQ and Equitable Ori- The company said MiQ certification would “pro-
Chesapeake has gin, to certify its Gulf Coast and Appalachia out- vide a verified approach to tracking this commit-
launched a collaboration put as responsibly sourced gas (RSG). The news ment”, as well as supporting Chesapeake’s overall
with two non-profit marks another US gas producer turning its atten- objective of achieving net-zero direct green-
groups to certify its gas tion to RSG, joining a small but growing group. house gas (GHG) emissions by 2035.
output from two shale Currently, producing RSG is expected to cost The MiQ Standard factors in methane inten-
regions. more, but some believe that such gas will become sity and detection, as well as company practices.
the standard over time. For now, though, there The EO100 Standard focuses on five principles:
WHY: are various obstacles to navigate, including the corporate governance and ethics; social impacts,
A small but growing lack of a widely accepted standard for certifying human rights and community engagement;
number of gas producers RSG. indigenous people’s rights; occupational health
are beginning to sell and safety and fair labour standards; and envi-
responsibly sourced gas. Chesapeake’s plan ronmental impacts, biodiversity and climate
Under Chesapeake’s new collaboration, its out- change.
WHAT NEXT: put will be certified using the MiQ methane “Leading a responsible energy future is core
Producers are hoping standard and the EO100 Standard for Respon- to Chesapeake’s values, and this partnership
that buyers will sible Energy Development, which the company marks another important step as we advance our
increasingly be willing to said covers a “broad range of environmental, focus on differentially lowering our methane and
pay for such gas. social and governance (ESG) criteria”. Chesa- GHG intensity in pursuit of achieving our pledge
peake’s Gulf Coast output – from Louisiana’s to reach net-zero direct emissions,” stated Chesa-
Haynesville shale play – will be certified first, peake’s board chairman and interim CEO, Mike
and is expected to be available from the end of Wichterich.
this year. This will followed by the certification
of Chesapeake’s Appalachia production, which Growing movement
is anticipated to be available from the second Chesapeake anticipates that it will become the
quarter of 2022. first gas producer to certify output across two

P6 www. NEWSBASE .com Week 28 15•July•2021