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U.S. Energy Corp. Reaches Final Investment Decision to Build Big Sky Carbon Hub Facility; Targets Commercial Operations in Q1 2027
HOUSTON, March 18, 2026 (GLOBE NEWSWIRE) -- U.S. Energy Corp. (NASDAQ: USEG) (“U.S. Energy” or the “Company”), an integrated energy company advancing a
About this update from U.s. Energy Corp.
[{"type":"text","content":"HOUSTON, March 18, 2026 (GLOBE NEWSWIRE) -- U.S. Energy Corp. (NASDAQ: USEG) (“U.S. Energy” or the “Company”), an integrated energy company advancing a diversified industrial gas, energy, and carbon management platform, today announced that it has reached a Final Investment Decision (“FID”) for the construction of its processing facility at the Big Sky Carbon Hub (“Big Sky”) in Montana, and executed an Engineering, Procurement, and Construction (“EPC”) agreement with CANUSA EPC under a fixed-scope EPC contract structure. FID marks the pivotal execution milestone unlocking commercial operations at the Company’s Big Sky Carbon Hub in Montana — capital spending has commenced.Facility designed for approximately 8.0 MMcf/d of inlet capacity, targeting ~12 MMcf of annual helium production and ~125,000 metric tons of refined CO₂ per year at initial operations.Company expects to qualify for approximately $85/metric ton in Section 45Q federal tax credits, supporting an estimated $130 million in Phase 1 tax credit value.Gathering pipeline installation to commence spring 2026; commissioning targeted for Q3 2026; initial helium sales and carbon management operations expected Q1 2027. “Today’s announcements represent the culmination of 18 months of deliberate, disciplined execution, and the beginning of what we believe will be a transformational chapter for U.S. Energy,” said Ryan Smith, President and Chief Executive Officer of the Company. “We have reached FID, signed our EPC contract with CANUSA EPC, and construction is underway at Big Sky. Our recent successful capital markets activity has pulled forward both the timeline and certainty of construction, and today we are putting that capital to work. CANUSA EPC brings precisely the construction and execution expertise required to deliver a complex, integrated industrial gas and carbon management facility on time and on budget. With three producing wells online, final engineering complete, a purpose-built plant site secured, and EPA MRV applications submitted, every element of a de-risked project is in place. Mr. Smith continued, “As global helium markets continue to tighten amid ongoing supply disruptions and increasing geopolitical uncertainty, we believe Big Sky is uniquely positioned to provide a secure, domestic source of this critical gas alongside its broader industrial gas and carbon...