Diversified Energy Company saw a significant decrease in its shares, dropping by 21%. The decline in stock value followed a request from four members of the U.S. House of Representatives Committee on Energy and Commerce for information regarding the company's well retirement and emissions policy.
As of 1440 GMT, shares had fallen by 285.50 pence to 1025 pence. This brings the total decline in shares to 56% for the year.
In response to the drop in share price, the FTSE 250 gas producer clarified that the request from the committee members was triggered by a media report from 2021. The report contained speculative and inaccurate descriptions of various aspects, including the company's approach to addressing emissions and well retirement.
The company emphasized that it has successfully decreased emissions by more than 25% since 2020. Additionally, it continues to implement industry-leading detection equipment and protocols to further reduce emissions. As part of their commitment, the company conducts detection surveys on all natural gas wells and retired a total of 214 wells in 2022.