Managing GHG emissions across the value chain

As the key link between U.S. natural gas producers and global markets, Cheniere is the fulcrum that enables the United States to export rapid, near-term GHG emissions reductions to our customers around the world.

The fact that we source and deliver natural gas from approximately 114 counterparties¹ illustrates that emissions reductions must be a collaborative, industrywide effort. In this context, the breadth of our supply chain and the global reach of our customer base mean that we enjoy unique leverage and influence in the industry. That is why we are leading efforts to engage with our suppliers and other value chain participants to support increased transparency and advance scientific research.

We are working to further enhance industry transparency and improve performance by encouraging collaboration across our supply chain. For example, key elements of our climate strategy include:

• A first-of-its-kind, life cycle assessment development using supplier-specific data published in a peer-reviewed scientific journal (co-authored by experts from the University of Texas at Austin, Queen Mary University of London and Duke University).
• Implementing a collaboration with natural gas suppliers to develop a robust quantification, monitoring, reporting and verification (QMRV) program at scale (supported by researchers from the Payne Institute for Public Policy at the Colorado School of Mines and Harrisburg University of Science and Technology).
• Completing a first-of-its-kind LNG shipping study to directly measure methane emissions on an operating LNG vessel.

In addition, we host an annual supplier sustainability workshop, to promote best practices on methane management and work with suppliers to assess the emissions profile of our supply chain. Also, in 2021, we co-hosted a seminar to engage academic, policy and private sector experts on climate policy and trends related to tracking and reducing methane emissions across the industry. This event — hosted in partnership with Gas Infrastructure Europe (GIE) and Marcogaz, the technical association of the European natural gas industry, the European Commission and the Florence School of Regulation — is an illustration of our efforts to increase dialogue and transparency across our industry. We also co-founded the Collaboratory to Advance Methane Science (CAMS), a research collaboration focused on methane emission reduction.

We are working with shipping providers to optimize the efficiency of our portfolio of charter vessels. Based on existing charter agreement, by the end of 2022, we expect 82% of CMI’s fleet to be made up of XDF/MEGI vessels, the most efficient vessels available on the market.