United Energy LNG and Power LNG Merge to Form Advanced Small-Scale LNG Platform

The strategic merger between United Energy LNG and Power LNG marks a significant development in the energy sector, creating a scalable small-scale LNG platform designed to serve industrial, power, and transport markets across North America. The newly formed entity, operating under United Energy LNG (UE LNG), is set to oversee a portfolio of three LNG production sites in advanced stages of development, with projects in Houston, Texas, and Independence, Kansas, already underway.

UE LNG's approach focuses on modular, nimble solutions that contrast with the traditional LNG developments requiring substantial investments and lengthy permitting processes. This strategy aims to provide faster project execution and cost-effective access to clean fuels for markets that have been historically underserved. The merger combines United Energy's upstream operating experience and public market presence with Power LNG's permitting progress and engineering capabilities, setting the stage for a scalable model of LNG delivery.

The implications of this merger are vast, offering a solution to the overlooked frontier of small-scale LNG in the U.S. energy landscape. With major players primarily focused on export, UE LNG's targeted approach to decentralized markets could revolutionize access to clean-burning natural gas for remote power generation sites, heavy-duty transportation, and industrial operations seeking lower-emission alternatives.

Financially, the merger is poised to make a significant impact, with targeted liquefaction capacity of up to 540,000 MTPA at full deployment and estimated capital investments ranging between $240–270 million across three facilities. UE LNG aims to reach financial close on its first three facilities by Q1 2026, with commissioning expected by Q1 2027, targeting a breakeven within 12–18 months post-commissioning.

This merger not only represents a strategic alignment of speed, innovation, and execution but also underscores a commitment to turning America's natural gas into clean, distributed power for a broader audience. By 2028, UE LNG aims to operate a network of scalable LNG hubs across the U.S., serving a portfolio of contracted customers and tapping into an addressable domestic market exceeding 2 billion cubic feet equivalent annually.