Commonwealth LNG and Kimmeridge Texas Gas Commit to Natural Gas Certification Under MiQ Standards

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Nov 01, 2024, 08:00 ET

Certified Emissions Data will Provide a Baseline to Inform the Pioneering Delivery of "Wellhead-To-Water" Net Zero LNG

HOUSTON and NEW YORK, Nov. 1, 2024 /PRNewswire/ -- Kimmeridge-backed Commonwealth LNG ("Commonwealth") and Kimmeridge Texas Gas ("KTG") today announced a commitment to obtain independent certification of their natural gas operations under the protocols developed by MiQ, the global leader in emissions certification. The initiative supports Kimmeridge's innovative ability to deliver a "wellhead-to-water" net zero cargo for Scope 1 and 2 greenhouse gas emissions (GHG) using Kimmeridge's secured LNG offtake from Commonwealth's facility. These efforts underscore Kimmeridge's dedication to environmental stewardship and position both portfolio companies at the forefront of industry transparency and reduced emissions.

The MiQ certification will involve a comprehensive, third-party audited assessment of both companies' natural gas operations, leading to a verification of total carbon emissions. An emphasis will be placed on methane emissions through the MiQ Standard's requirements on methane mitigation, monitoring, and measurement. Both companies will also work with their midstream partners to understand the emissions performance and advocate for certification. This process will provide a credible and transparent emissions profile across multiple segments of the natural gas supply chain, from production to liquefaction, supporting regulatory compliance with global purchasers. The certification process for Commonwealth will commence within one month of reaching full commercial operations, while KTG will complete its certification in 2025.

As part of this commitment, following Commonwealth's final investment decision and commencement of construction, Kimmeridge affiliate Chestnut Carbon will undertake a conservation-level afforestation project in Louisiana. This significant land acquisition and reforestation effort will enable Kimmeridge to deliver a fully verified "wellhead-to-water" net zero cargo upon operations launch.

Farhad Ahrabi, Commonwealth President and CEO, said: "As we prepare to enter the global LNG market, we recognize the growing demand for transparent, low-emission natural gas. The MiQ certification process will contribute to providing our customers with independently verified data on our product's greenhouse gas emissions performance. This commitment positions us as a trusted partner in the global energy transition."

Dave Lawler, KTG CEO, added, "Our commitment to seeking MiQ certification for our gas production underscores the critical importance we place on verifying every step of the natural gas value chain. This certification process will evaluate our current practices and help us to improve our operations continually, while setting the bar high for environmental responsibility and operational excellence – a standard we hope the rest of the industry will endeavor to meet."

Georges Tijbosch, MiQ CEO, said: "The certification commitments from Commonwealth and KTG reflect a proactive approach in the natural gas industry. With rising global demand for transparent and low-emission natural gas, particularly in response to new EU regulations, this initiative sets a new standard for the industry."

About Commonwealth LNG
Commonwealth LNG is a 9.5 mtpa liquefied natural gas (LNG) export terminal project located on the Calcasieu River at the Gulf of Mexico near Cameron, Louisiana. The project's leadership team is committed to building a world-class LNG facility by staying relentlessly focused on managing risk and lowering capital cost.

About Kimmeridge Texas Gas
Kimmeridge Texas Gas is a conventional producer of natural gas committed to accelerating carbon neutrality by developing environmentally responsible, low-cost energy assets. With approximately 162,000 net acres in Texas overlaying the dry gas window of the Eagle Ford Shale within Webb, La Salle, McMullen, Karnes, and Live Oak counties, the Company produces approximately 400 million cubic feet equivalent of natural gas and oil per day, selling into the South Texas market with access to Mexican export channels, to LNG terminals for global sales, and into pipelines directly servicing Gulf Coast petrochemical facilities.

About Kimmeridge
Founded in 2012 by Ben Dell, Dr. Neil McMahon and Henry Makansi, Kimmeridge is an alternative asset manager focused on the energy sector. The firm is differentiated by its direct investment approach, deep technical knowledge, active portfolio management, proven sustainability track record and proprietary research and data gathering.

About MiQ
MiQ is a climate tech non-profit foundation established to facilitate a rapid reduction in methane emissions from the oil and gas sector. MiQ's certification standard provides a credible, objective, and comprehensive method for assessing methane emissions management across the natural gas supply chain.

For more information, please contact:

Commonwealth LNG
Lyle Hanna
VP, Corporate Communications
346.352.3346

Kimmeridge or Kimmeridge Texas Gas
Daniel Yunger / Hallie Wolff / Emma Cloyd
[email protected]
917.574.8582 / 917.842.1127

MiQ
Sunny Uberoi
[email protected]
917.747.2018
Rory Grenham
[email protected]

SOURCE Kimmeridge