Diversified Energy Company PLC (LSE:DEC, OTCQX:DECPF), responding to share price volatility, noted in a stock market statement that it has received inquiries from members of the United States House of Representatives Committee on Energy and Commerce, relating to the company’s well retirement processes and emissions.
In London, DEC shares were down 254p or 19.38% changing hands at £1,056.50 per share.
It comes a day after the company's shares joined the New York Stock Exchange.
Today, in a statement, DEC said: “The company is reviewing the letter and intends to engage in a positive and open manner, as it has continuously done, by providing information regarding the company's peer-leading environmental and operational actions that underpin its responsible asset stewardship approach.”
DEC added: “One of the reasons cited for the information request was a 2021 media report that broadly speculated and inaccurately described numerous items, including how the company addresses emissions and well retirement.
“Diversified has previously provided information on these topics and continues to transparently disclose all sustainability-related information, including emissions and well retirement, in its filings and annual sustainability reports.”
“The company has been awarded a gold rating by the Oil & Gas Methane Partnership (OGMP) and Project Canary, two of the leading independent emissions monitoring programs for its measurement-driven approach across its asset footprint.
“The company has also dramatically reduced its reported Scope 1 emissions by more than 25% compared to 2020 and continues to deploy emissions best-in-class detection equipment and protocols, which includes completing emissions detection surveys on all its natural gas wells.”
DEC, meanwhile, highlighted its commitment to engaging openly and positively with stakeholders, along with a proactive approach to responsible asset stewardship.
The company added that it has expanded its well retirement unit, Next LVL Energy, which saw the retirement of approximately 214 wells in 2022.
It said that the company’s commitment to environmental stewardship extends to collaborating with state governments within its Appalachian operations to retire state-owned orphan wells effectively and responsibly.
DEC added: “As a company that is part of the solution to a broader challenge of aging infrastructure that many industries face, including the energy industry, a core thesis of the unique and differentiating value we create is making the necessary time and monetary investments into the assets to improve their environmental and operating performance.
“The ownership and stewardship of mature assets allow us to be part of the solution, and Diversified and its employees are very proud to be doing our part for the energy industry in the United States.
“Working with other stakeholders, such as governments, the technology industry, and the energy industry, we will continue to drive positive changes and improvements to our assets.”