Press Release: Alaska LNG Project Gains Momentum Amid Surging Global Demand
By Janet Weiss
Alaska’s North Slope natural gas is emerging as a pivotal resource in meeting both state and international energy needs. With its reliable and affordable supply, Alaska gas has the potential to transition the Railbelt away from high-emission heating sources and assist Interior communities plagued by pollution, particularly in Fairbanks, labeled as the “most polluted city in the nation” by the American Lung Association.
Internationally, countries like Japan, Taiwan, Korea, Thailand, and India are keen on securing liquefied natural gas (LNG) from Alaska as they aim to reduce coal dependency in response to their growing energy demands. Glenfarne, which recently took over the Alaska LNG project, is set to begin finalizing engineering work, which will clarify costs and enhance the project’s commercial viability.
Although preliminary agreements with prospective buyers have faced skepticism, they are critical in the long-term LNG contracting process, which typically spans 20 to 30 years. Recently, Taiwan has signed a preliminary agreement for 6 million tonnes of LNG, while Thailand plans to negotiate for up to 5 million tonnes, bringing total identified customer demand to approximately 65% of Alaska LNG’s export capacity.
The project’s renewed interest stems from strategic adjustments made by the Alaska Gasline Development Corporation (AGDC), which has phased construction to ensure supply continuity while addressing the Cook Inlet gas shortage. Phase 1 emphasizes establishing pipeline infrastructure, ensuring energy security for Alaska’s major population hubs.
Strong backing from federal figures, including President Biden’s environmental endorsement and significant federal loan guarantees, has bolstered the project’s appeal to potential buyers. With over a decade of involvement in its evolution, I am confident that Alaska LNG stands at the threshold of major breakthroughs.
Janet Weiss
Former President of BP Alaska
Vice Chair of the Alaska Gasline Development Corporation
Source
Photo credit mustreadalaska.com
