The nation's biggest natural gas well operator, Diversified Energy (LSE: DEC), recently announced an aggressive plan to reduce methane emissions throughout its infrastructure using Bridger Photonics’ Gas Mapping LiDAR. With a three-year commitment beginning in 2022, Bridger Photonics will deploy its state-of-the-art Gas Mapping LiDAR to detect, pinpoint, and quantify emissions across Diversified Energy’s upstream and midstream assets, which are located primarily in the northeast and central parts of the country.
“We are thrilled to support Diversified Energy’s strong commitment to emissions reduction,” said Pete Roos, President, and CEO of Bridger Photonics. “Our Gas Mapping LiDAR technology will help enable clean, safe, and streamlined oil and gas operations across Diversified’s infrastructure,” Roos added.
Who is Diversified Energy?
Diversified Energy is an independent energy company engaged in the production, marketing, and transportation of primarily natural gas-related to its synergistic US onshore upstream and midstream assets. While it may not be widely known, Diversified Energy is the largest natural gas well operator in the US. A recent article in Natural Gas Intelligence indicates that Diversified Energy operates 69,000 natural gas wells (plus midstream assets).
Diversified Energy was started “from scratch” in 2001 by Rusty Hutson, Jr, (also CEO) who grew the company using a business model that focuses on acquiring and extending the life of mature wells. This model is especially important in the energy industry today because it makes use of existing wells that may otherwise be abandoned.
How Will Gas Mapping LiDAR Help Diversified Reduce Methane Emissions and Reach ESG Goals?
Gas Mapping LiDAR will help Diversified Energy maintain responsible stewardship of these assets and meet their aggressive emissions reduction and Environmental, Social, and Governance (ESG) goals. Of Diversified Energy’s use of Bridger Photonics, Hutson states “We are proactively accelerating investments in advanced LiDAR technology that will enhance our ability to detect and repair fugitive natural gas emissions across our asset base.”
Gas Mapping LiDAR Proven on Complex Infrastructure Often Found in Appalachia
As with other prominent oil and gas operators, Diversified Energy rigorously tested multiple technologies before zeroing in on Bridger’s Photonics’ Gas Mapping LiDAR to reach their ESG goals. Such testing is especially important in the challenging topography of the Appalachian region. Diversified Energy conducted field trials in early 2021 to test the sensitivity and efficacy of Bridger Photonics’ Gas Mapping LiDAR. These trials consistently showed Gas Mapping LiDAR’s ability to detect emissions well below the EPA-defined leak of 500 parts per million (PPM).
As a result of these successful trials, Diversified Energy has elected to make an expanded investment in Bridger Photonics’ aerial emissions scanning. Diversified Energy indicates that it is committed to spending at least $3 million per year on aerial methane emissions scanning over the next three years, focusing initially on its Appalachian operations and expanding to cover recently acquired operations in the Central Region.
Gas Mapping LiDAR provides the “detection” portion of a streamlined and robust Leak Detection and Repair (LDAR) program that will help Diversified Energy achieve emissions reductions within the complex environment of the Appalachian Basin. This basin is characterized by mountainous terrain that can be more difficult and time-consuming to access with ground crews. In addition to proving its efficacy in this challenging terrain with the field trials, Bridger Photonics’ scans hold promise to reduce Diversified Energy’s site visits with ground crews by informing them which sites do not have detected emissions.
Provide Auditable Methane Emissions Data to Ensure Transparent Reporting
Diversified Energy will use the actionability of data provided with Gas Mapping LiDAR for both finding and reporting emissions. Gas Mapping LiDAR produces auditable measurement swaths along with accurate emissions quantification. With a commitment to transparent disclosure, Diversified Energy can use this data to baseline, track and report their emissions reductions initiatives.
Diversified Energy announced that it is “doubling down” on its emissions reduction commitment by stating it will document and publicly disclose the results of its emissions detection and repair activities. “Diversified’s plan to publicly release its measured emissions and repairs is, to my knowledge, a first in the oil and gas industry,” said Roos. “We applaud their leadership role in emissions reduction and we are proud to serve them.”
Bridger Photonics is excited to work with Diversified to help them reduce their methane emissions and reach their aggressive ESG goals.
Read the full press release here.
If you're interested in learning more about Gas Mapping LiDAR, contact Bridger here.