SK Innovation and SK E&S have announced their decision to merge, forming a comprehensive energy company that spans current energy sources like oil and LNG to future energy sources such as renewable energy, hydrogen, and small modular reactors (SMR). With assets totaling KRW 100 trillion and revenues of KRW 88 trillion, the merged entity will become the largest private energy company in the Asia-Pacific region. The merger aims to enhance portfolio competitiveness, strengthen financial/profit structures, and secure growth momentum through synergies in various energy sectors. This includes developing a comprehensive energy portfolio, improving financial stability, and integrating assets to bolster core competitiveness and profitability. The merger also aims to reduce profit volatility and increase EBITDA to KRW 5.8 trillion. By combining the strengths of SK Innovation and SK E&S, the new company will be well-positioned to address the challenges of the evolving external business environment and establish a leading position in future energy solutions. The merger is expected to be officially launched on November 1st, marking a significant step in the transformation of both companies into a powerhouse in the energy industry.