U.S. Energy Corp Expands Its Carbon Capture Platform with Acreage Acquisition

Deal News | Apr 16, 2025 | Globenewswire

U.S. Energy Corporation announced the completion of a strategic acquisition that involves purchasing approximately 2,300 net acres with CO2 rights, costing $0.2 million, from an unnamed privately held company. This acquisition in Montana is designed to strengthen U.S. Energy's carbon capture, utilization, and storage (CCUS) initiatives, especially around the Kevin Dome structure. An active Class II injection well included in the purchase is pivotal for the upcoming industrial gas processing facility, enabling CO2 sequestration and thus advancing the company’s environmental strategy. This development is integral to U.S. Energy's commitment to delivering clean, domestically sourced helium. CEO Ryan Smith has emphasized the company’s dedication to low-emission gas operations and carbon footprint reduction. Future plans include submitting a Monitoring, Reporting, and Verification (MRV) plan to the EPA. U.S. Energy, through this acquisition, aims to enhance US-based industrial gas and carbon management, noting significant risks and uncertainties involved in realizing expected synergies.

Sectors

Energy
Environmental Services

Geography

United States – U.S. Energy Corp. operates and has completed the acquisition within the United States, specifically focusing on Montana.
Montana – The acreage involved in the acquisition, including the Kevin Dome structure, is located in Montana.

Industry

Energy – The acquisition is directly related to U.S. Energy's operations in the energy sector, focusing on industrial gas production and carbon capture.
Environmental Services – The deal emphasizes U.S. Energy Corp's commitment to carbon capture, utilization, and storage (CCUS) as part of their environmental strategy.

Financials

0.2 million – The cost of acquiring approximately 2,300 net acres with CO2 rights and an active Class II injection well.

Participants

Name	Role	Type	Description
U.S. Energy Corporation	Acquirer	Company	A growth-focused energy company aiming for carbon capture and low-emission gas production.
Privately Held Company	Vendor	Company	The seller of the acreage and injection well, although specific details about this company are not disclosed.
U.S. Environmental Protection Agency (EPA)	Regulatory Body	Government	Regulates the Class II injection well permits under the Safe Drinking Water Act.