By systematically analyzing the natural gas composition, carbon isotopes, and source rock characteristics in the Yongfeng sub-sag of the Bogda Mountain front belt, natural gas characteristics were determined, and the genetic types and sources of natural gas were investigated. The research results indicate that methane is the main component of natural gas in the Yongfeng sub-sag, with low levels of heavy hydrocarbons and a high drying coefficient. These characteristics make it dry gas, which refers to natural gas with a methane content of over 95%. The ethane carbon isotope δ13C2 of natural gas is −28.5‰ and belongs to oil type gas. The methane carbon isotope δ13C1 of natural gas is −58.6‰~−59.4‰, has a relatively depleted methane carbon isotope value, shows significant differences from the surrounding natural gas methane carbon isotope, and belongs to the category of biogenic gas. The Permian Lucaogou Formation is the main source rock in the study area, with good organic matter abundance. The microscopic components of kerogen are mainly composed of sapropelic formations and the organic matter type is I–II1. The source rock has a high maturity and has reached the mature stage, mainly consisting of oil and wet gas. The ethane carbon isotope of natural gas in the Yongfeng sub-sag shows as oil type gas, which is consistent with the kerogen type of the Lucaogou Formation source rocks, indicating that the natural gas mainly comes from the Lucaogou Formation source rocks. Based on comprehensive data and information on natural gas composition, carbon isotopes, and burial history of the source rocks, it is believed that some of the crude oil generated from the Lucaogou Formation in the early stage underwent biodegradation due to tectonic uplift, resulting in biogenic methane and the formation of crude oil biodegraded gas.