Based on directed relation graph with error propagation methods, 39 species and 231 reactions skeletal mechanism were obtained from Mech_56.54 (113 species and 710 reactions) mechanism of methane. The ignition delay times, laminar flame propagation speed, and important species were calculated using the simplified mechanism at different pressures and equivalence ratios. The simulation results were in good agreement with that of detailed mechanisms and experimental data. The numerical simulation of the Bunsen burner jet flame was carried out using the simplified methane mechanism, and the simulation results well reproduced the temperature, flow fields and distribution of important species at flame zone. The compact methane reduced mechanism can not only correctly respond to its dynamic characteristics, but also can be well used for numerical simulation, which is of great significance in engineering applications.