Leading Natural Gas Producers Become First Subscribers Providing Liquidity on World’s First
Electronic Trading Platform for Certified Natural Gas and Certificates
CHICAGO, Ill., 12 June 2023 — CG Hub, the world’s first commodities trading platform focused exclusively on certified natural gas and certified natural gas certificates, today announced that Seneca Resources Company, LLC (Seneca) and Northeast Natural Energy (Northeast) have joined its certified natural gas platform. Effective immediately, Seneca and Northeast will be providing access to over 1 billion cubic feet per day of certified natural gas liquidity through CG Hub.
The first commodities trading platform of its kind to create a marketplace for certified natural gas and related certificates, CG Hub was developed in collaboration with MiQ, creator of the industry standard independent audit certification for methane gas emissions. Supporting primary and secondary market trading in natural gas and related certificates that have been certified by MiQ, CG Hub creates a transparent, centralized platform for bids and offers, along with a detailed audit trail of certification details and methane emissions levels for each transaction.
“Goodwill and commitments to sustainability are one thing, but getting true, industry-wide buy-in for certified natural gas also requires market-driven financial incentives to do the right thing,” said Georges Tijbosch, MiQ Chief Executive Officer. “CG Hub will play a key part in the commercialization of certified natural gas and we are delighted to see so many future-facing businesses working to drive change in global methane emissions.”
Currently, approximately one-third of the total U.S. natural gas supply has been independently certified. With major explorers, producers and utility companies rapidly moving to certify their supply chains, the market for certified natural gas is expected to grow exponentially in the coming months, with certified supply commanding a price premium over non-certified natural gas. As the only trading hub for this fast-moving marketplace, CG Hub is poised to become a foundational component in the industry’s transformation to certified natural gas.
“Seneca has committed to being a leader in the transition to certified natural gas, with 100% of our natural gas production certified under Equitable Origin’s EO100TM Standard for Responsible Energy Development and under the MiQ Standard for Methane Emissions Performance with an ‘A’ certification grade,” said Justin Loweth, Seneca President. “Joining the CG Hub is the next natural progression for this exciting evolution; we look forward to rapidly scaling trading activity in our certified natural gas and certified natural gas certificates along with the team at CG Hub.”
“As the first company in West Virginia to achieve an ‘A’ rating under the MiQ standard, we are committed to reducing methane emissions and are serious about the sustainability of our supply chain,” said Mark A.T. Williams, Senior Vice President, Business Development, Northeast Natural Energy. “By participating in the CG Hub marketplace, we look forward to playing an important role in fostering an active market in certified natural gas.”
“Certified natural gas is the bridge to the future of sustainability. By creating a trading platform that supports a vibrant and dynamic marketplace in certified natural gas, we believe CG Hub will play a critical role in driving market-led transformation of the natural gas industry,” said Jon Olson, CG Hub Chief Executive Officer. “We’re proud to welcome Seneca and Northeast as liquidity providers on the platform and we expect to be announcing several more liquidity providers in the coming weeks.”
Eliminating oil and gas methane emissions is crucial in the fight against climate change. Methane is a much more potent greenhouse gas than carbon dioxide, and it has a much shorter lifespan in the atmosphere. Efforts to reduce methane emissions can most significantly slow climate change in the short term. These agreements demonstrate the participants’ intent to reduce methane emissions and to take meaningful action on climate change.