Jonah Energy deal to provide responsible gas

The one-year agreement is for 50,000 MMBtu/day and is priced at a premium to the applicable market index. (Photo: Jonah Energy.)

Jonah Energy’s assets and operations are located in the Greater Green River Basin in Sublette County, WY, and consist of 2,400+ producing wells and over 130,000 net acres located in the Jonah Field and surrounding area.

In 2020, Jonah Energy became the first U.S. operator to sign onto OGMP 2.0 (the United Nations Oil and Gas Methane Partnership 2.0), and in 2021 Jonah was the first U.S. operator to achieve OGMP’s gold standard rating for low emissions. The company has maintained its rating in 2022.

Jonah announced it had executed a 50 MMcf/d natural gas sales agreement to provide its gold-standard certified natural gas to a major natural gas utility company. Jonah Energy and its counterparty are both members of ONE Future, an organization comprised of 56 companies spanning the spectrum from upstream to midstream to downstream in the O&G sector.

The OGMP 2.0 certification process is based on the only comprehensive, measurement-based reporting framework for the oil and gas industry that improves the accuracy and transparency of methane emissions reporting.

The one-year agreement is for 50,000 MMBtu/day and is priced at a premium to the applicable market index.

“Natural gas is a critical element of the future clean energy needs of the US and the globe, but the market needs validation of responsible practices across the supply chain. We are pleased to enter into an agreement with a major utility that recognizes the benefit of a differentiated product produced with quantified low emissions and industry-leading conservation practices. Consumers are asking for cleaner energy supported by transparent reporting and stringent emissions management, and we are responding,” said Tom Hart, Jonah’s president and CEO.

The International Methane Emissions Observatory (IMEO) is the independent auditor of the OGMP 2.0 standards. Jonah is one of two oil and gas representatives on the Advisory Council to the IMEO, representing all OGMP 2.0 members worldwide.

In addition, Jonah and its counterparty are both members of ONE Future, an organization comprised of 56 companies representing the entire US natural gas value chain committed to a performance-based approach to reducing methane emissions.

“Jonah’s natural gas is clearly a premium and differentiated product, with benefits in carbon reduction like other low carbon products on the market. This transaction represents a shift in thinking and recognition that the differentiated natural gas market is beginning to take shape,” said Howard Dieter, Jonah Energy’s VP – EHS and Strategic Energy Initiatives.

Uplift Energy Strategy structured and negotiated this transaction and served as Jonah’s sole marketing agent. The strategy consists of handheld, drone based and aerial Leak Detection and Repair (LDAR) inspections, utilizing fixed monitors and an artificial intelligence platform to obtain direct emission source detection and quantification.