Alaska Gasline Project Seeks Legislative Investment Amid Renewed Interest
JUNEAU — The Alaska Gasline Development Corporation (AGDC) is urging the Legislature to consider a substantial investment of up to $800 million in its proposed $44 billion gas pipeline project. This renewed interest follows President Donald Trump’s endorsement of the project, alongside potential investment interest from several Asian nations.
AGDC President Frank Richards presented the project to state legislators, emphasizing its full permitting status and eligibility for $28 billion in federal loan guarantees. Delegates from South Korea and Thailand plan to visit Alaska soon to explore the project further. The Trump administration is actively encouraging Asian leaders to participate, with representatives set to attend a June summit in Alaska.
Despite optimism from some lawmakers, skepticism remains regarding the project’s feasibility and costs. Richards indicated that Glenfarne, a New York-based company, has signed on as the lead developer. However, the terms of this agreement remain confidential. Some legislators have questioned Glenfarne’s experience in oil and gas, while others express concerns about the limited legislative oversight of AGDC, which was granted broad authority in a 2014 bill.
The project aims to address Southcentral Alaska’s anticipated natural gas shortfall while potentially generating significant revenue for the state. Legislative leadership is currently concerned about the feasibility of funding a 25% stake in the pipeline, particularly given Alaska’s strained revenue situation. Sen. Cathy Giessel expressed doubts, calling the $800 million investment “an absurd amount.”
While Richards projected a final investment decision by year’s end and a potential pipeline completion by 2030, many legislators remain wary. “I’ll believe it when I see it,” remarked Anchorage Democratic Sen. Bill Wielechowski, echoing sentiments that have persisted through various iterations of the pipeline project over the years.
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