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Stabilis Energy Completes Purchase of LNG Distributor Prometheus

Beaumont, TX-based Stabilis Energy LLC has completed the purchase of a majority interest in Prometheus Energy Group Inc., a leading turnkey natural gas fueling firm that last September announced its intention to buy Stabilis. The terms and value of the deal were not made public by the privately held companies.

With part of its business centered on supplying small-scale liquefaction capability for producing liquefied natural gas (LNG) for oilfield operations, Stabilis will get control of Prometheus's 20,000-gallon/d LNG production facility in Lisbon, UT, which was part of some swapping between the two companies last September.

"We got Prometheus' Lisbon LNG plant and Prometheus got Stabilis' Rock Mountain distribution business," Stabilis CFO Jim Reddinger told NGI Wednesday.

Stabilis officials said that Prometheus will operate as an independent LNG distribution subsidiary, providing mobile and stationary LNG facilities for a mixture of industrial, utility, pipeline, high-horsepower and other remote customers off the main pipeline grids. Five years ago, Stabilis began focusing on the Eagle Ford shale play for its LNG for high-horsepower oilfield applications.

A major producer of small-scale LNG, Stabilis intends to continue to emphasize the production of affordable and reliable supplies to a variety of customers.

Prometheus CEO Jim Aivalis said his company has been experiencing strong growth in demand for what he called "reliable and cost-effective natural gas solutions."

Operating an LNG supply and services business, Prometheus intends to focus on a North American LNG supply and services business aimed mostly in the Denver-Julesburg Basin in Colorado. Last fall, Stabilis touted the deal as providing "a platform for additional growth in small-scale LNG production."

Stabilis officials have said that the company plans to continue to provide transportation and logistics services required to move LNG supplies from its production facilities to customers with a fleet of LNG-carrying tractor-trailer trucks.

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