- United Energy LNG and Power LNG announce a strategic merger to enhance small-scale LNG infrastructure in North America.
- The new entity, United Energy LNG (OTCMKTS: UNRG), will manage three advanced LNG production sites.
- The merger aims for a scalable, modular solution catering to industrial, power, and transport markets.
United Energy LNG and Power LNG have announced a strategic merger to form a scalable small-scale LNG platform aimed at serving industrial, power, and transport markets across North America. The merged entity, now operating under the United Energy LNG (OTCMKTS: UNRG) brand, will immediately take over a portfolio comprising three LNG production sites, all in advanced development stages. This initiative is aimed at expanding LNG access for high-demand domestic users.
The combined capabilities of United Energy's upstream operating experience and Power LNG’s engineering expertise set the stage for a new approach in the LNG sector. Unlike traditional large-scale projects, United Energy LNG focuses on modular and regionally targeted small-scale liquefaction units designed for distributed energy applications. This approach allows for faster project execution and reduced lead times and capital intensity.
The new entity seeks to address gaps in the U.S. LNG infrastructure landscape by introducing efficient virtual pipeline logistics, thereby bypassing existing pipeline constraints. With a stakeholder focus on underserved power generation sites and industrial sectors, the company aims to mitigate bottlenecks in LNG distribution networks.
United Energy LNG plans to reach financial close on its initial projects by Q1 2026, with commissioning anticipated by Q1 2027. Each facility aims for a targeted liquefaction capacity of up to 540,000 metric tons per annum (MTPA) at full deployment. The estimated capital investment is poised between $240–270 million across all sites, with projections targeting breakeven within 12-18 months post-commissioning.
The merger presents a unified strategy to unlock a projected $3+ billion market opportunity within the U.S. small-scale LNG sector, focusing on power, transport, and industrial segments needing cleaner fuel alternatives. As demand for energy transitions grows, United Energy LNG’s scalable hubs are set to play a crucial role in offering sustainable and distributed energy solutions, in line with its commitment to fueling America’s energy future effectively.
