2025 Sustainability Report
Environment
Answering the call to energy.
Accountable solutions to meet growing demand.
Throughout 2025, global energy demand continued to accelerate, driven by powerful new market forces like AI, data centers and increased electrification. Meeting that demand requires more than reliable energy. It requires responsible operations, continuous innovation and practical carbon management. At BKV, we're advancing all three through a connected environmental strategy that delivers measurable results.
Step boldly. And leave a smaller carbon footprint.
Reducing emissions. Driving progress.
Our climate strategy is built around three interconnected efforts: reducing emissions across our operations, enabling future energy infrastructure through carbon management and power generation and developing lower-emissions products that help customers reduce their own carbon footprint. Together, these approaches strengthen our environmental performance while supporting reliable energy for a changing world.
Scaling carbon management.
Barnett Zero completed its second full year of operations in 2025, sequestering ~138,000 metric tons of CO₂ during the year and ~311,000 metric tons since startup. More than a successful project, Barnett Zero continues to demonstrate that commercial-scale carbon capture can be deployed safely, reliably and economically while providing a foundation for future CCUS development. That momentum continued in 2026, with two additional BKV carbon capture projects beginning operations and expanding our carbon management footprint.
Net Zero: Full speed ahead.
Raising the standard for lower emissions.
In 2025, BKV further reduced its multi-basin methane intensity to 0.14%, aligning with industry-leading low-emissions performance. Combined with continued investments in methane reduction initiatives across our operated upstream and midstream assets, we're demonstrating that responsible operations and operational excellence go hand in hand.
Race to 800:
Ambition in the pole position.
It was a challenging first quarter, with BKV averaging a production rate of 761 MMcfe per day. So when the Upstream leadership team raised that goal to 800 MMcfe per day, the reaction was predictable and palpable.
“At the time, it seemed fairly outlandish,” said Travis Lauer, Vice President of Upstream Asset Management. “There were some looks going around the room.”
Reaching 800 MMcfe by year-end would require performance at the upper end of expectations, strong execution across the organization and a healthy measure of favorable conditions along the way.
This ambitious initiative, named Race to 800, quickly evolved from a production target into something bigger—a company-wide rallying point that strengthened collaboration, encouraged innovation and reinforced a culture built around continuous improvement.
Ladies and gentlemen, start your engines
Eric Jacobsen, President, Upstream, initially came up with the idea. For him, it wasn’t just a matter of achieving a production target but also challenging the teams to find a way to get there.
Inspired in part by the 800-meter run—which requires speed and endurance—BKV developed a NASCAR-themed campaign that would track progress among Drilling & Completions (D&C), Restim, Barnett and NEPA.
Regular updates, visual scoreboards and company-wide communications allowed employees to track the race throughout the year. Team standings were shared at town halls and on internal platforms, creating visibility around progress and building excitement as the competition advanced.
While the race format added an element of friendly competition, employees soon recognized that success would require cooperation. "This wasn't something any one group could achieve on its own," said Lauer. "Everyone had to pull in the same direction."
Performance in the passing lane
Coming out of Q1, operational challenges, market realities and the complexities of managing assets across multiple regions posed some early speed bumps.
But by late spring, momentum began to build. New wells were outperforming expectations, production reliability was improving and operational teams were finding ways to optimize performance across existing assets. In May, BKV averaged more than 800 MMcfe per day for the first time.
"That's when you could really start to see that this was achievable," said Philip Antonioli, Chief of Staff to the President of Upstream.
Engagement grew. Teams closely monitored updates, celebrated successes and searched for opportunities to contribute incremental gains, with everyone from engineers to field personnel playing a role. Small improvements—whether through equipment optimization, process adjustments or operational efficiencies—began adding up.
This collective effort reflected the company’s dedication to continuous improvement, deeply embedded in BKV’s culture. "We continue to find ways to squeeze value out of assets that have been operating for decades," said Lauer. "It's pretty amazing."
Integration challenges
After working through midstream constraints and a drilling program that had yet to fully ramp up, teams encountered additional challenges in the second half of the year. While maintaining focus on its production objectives, BKV was also in the process of integrating assets from the Bedrock acquisition.
This would require significant time and attention from employees already working toward an aggressive target. To their credit, they adapted. Rather than slowing momentum, the added responsibilities reinforced the importance of communication, coordination and shared ownership.
According to Antonioli, the company's ability to balance multiple priorities demonstrated the strength of its collaborative culture, where employees are invited to contribute. "It's one thing to have lofty goals, but goals have to be heard and acted on. BKV empowers people to bring forward good ideas and execute them.”
A finish line. And a starting point for what comes next.
By year-end, BKV achieved its goal. The milestone was celebrated throughout the company, with D&C earning top honors for reaching its target first. Yet for participants, the most meaningful outcome was not the final number itself.
Race to 800 demonstrated what can happen when employees rally around a common challenge. It showcased the power of clear goals, regular communication and shared accountability. And it reinforced something that has always been fundamental to BKV’s DNA—the idea that ambitious objectives drive innovation and inspire people to think differently about what's possible.
"You let these ambitious goals set in. You start talking to some of your business partners, do some back-of-the-napkin math, and suddenly you realize there is a path to this,” said Lauer. “We have to be better than we were yesterday. But we always seem to find a way to make it happen."
