United Energy LNG and Power LNG signed Monday a merger agreement to form “a scalable small-scale LNG platform serving industrial, power, and transport markets across North America”.
United Energy LNG will survive as the expanded entity, immediately overseeing three liquefied natural gas (LNG) production sites in “advanced stages of development”, a joint statement said. The projects have an estimated capital of $240-270 million.
Concurrently United Energy LNG announced the start of the first phase of front-end loading (FEL-1), or early planning work, for the first project site, in Houston, Texas. It said the second project is “underway” in a confidential location while the third site, in Independence, Kansas, is scheduled to begin FEL-1 this month.
United Energy LNG plans to achieve financial close on the projects by the first quarter of 2026. It expects to commission the projects by the first quarter of 2027.
“The company is actively engaging with feedgas suppliers, utilities, and logistics providers to build out a nationwide virtual LNG delivery network”, the statement said. “The company estimates that its addressable domestic market exceeds 2 billion cubic feet equivalent annually, representing a $3+ billion opportunity in underserved power, transport, and industrial sectors”.
The combined entity targets a liquefaction capacity of “up to 540,000 MTPA at full deployment”, the companies said.
“While the majors are focused on megaprojects, we’re deploying modular, nimble solutions that get LNG to the people and industries who need it now”, said United Energy LNG chief executive Brian Guinn.
Power LNG chief executive Austin Terry said, “This merger represents the alignment of speed, innovation, and execution. By combining our development and operational expertise with United Energy’s capital platform, we’re unlocking a scalable model for delivering LNG where it’s needed most”.
The companies said, “Unlike traditional LNG developments requiring multi-billion-dollar investments and long permitting timelines, United Energy LNG is focused on scalable, regionally targeted solutions: small-scale liquefaction units designed for local and regional demand; modular deployment to reduce lead times and capital intensity; focused on inland, onshore, and distributed energy applications; virtual pipeline logistics to bypass pipeline constraints”.
“This approach enables faster project execution and cost-effective access to clean fuels
for underserved markets”, they added.
The combined entity targets to serve remote and underserved power generation facilities, heavy-duty transport and marine fueling networks, critical infrastructure and industrial emitters seeking alternatives to diesel and propane.
“Despite global LNG investment nearing $200 billion annually, small-scale LNG remains the least crowded, most overlooked frontier in U.S. energy”, the statement noted. “Major players focus on export, while decentralized markets remain stranded. That gap is UE LNG’s advantage”.
To contact the author, email jov.onsat@rigzone.com
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
element
var scriptTag = document.createElement(‘script’);
scriptTag.src = url;
scriptTag.async = true;
scriptTag.onload = implementationCode;
scriptTag.onreadystatechange = implementationCode;
location.appendChild(scriptTag);
};
var div = document.getElementById(‘rigzonelogo’);
div.innerHTML += ” +
‘
‘ +
”;
var initJobSearch = function () {
//console.log(“call back”);
}
var addMetaPixel = function () {
if (-1 > -1 || -1 > -1) {
/*Meta Pixel Code*/
!function(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=function(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version=’2.0′;
n.queue=[];t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t,s)}(window, document,’script’,
‘https://connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘1517407191885185’);
fbq(‘track’, ‘PageView’);
/*End Meta Pixel Code*/
} else if (0 > -1 && 94 > -1)
{
/*Meta Pixel Code*/
!function(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=function(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version=’2.0′;
n.queue=[];t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t,s)}(window, document,’script’,
‘https://connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘1517407191885185’);
fbq(‘track’, ‘PageView’);
/*End Meta Pixel Code*/
}
}
// function gtmFunctionForLayout()
// {
//loadJS(“https://www.googletagmanager.com/gtag/js?id=G-K6ZDLWV6VX”, initJobSearch, document.body);
//}
// window.onload = (e => {
// setTimeout(
// function () {
// document.addEventListener(“DOMContentLoaded”, function () {
// // Select all anchor elements with class ‘ui-tabs-anchor’
// const anchors = document.querySelectorAll(‘a .ui-tabs-anchor’);
// // Loop through each anchor and remove the role attribute if it is set to “presentation”
// anchors.forEach(anchor => {
// if (anchor.getAttribute(‘role’) === ‘presentation’) {
// anchor.removeAttribute(‘role’);
// }
// });
// });
// }
// , 200);
//});
