Latest news with #AlaskaLNG
CNBC
6 hours ago
- Business
- CNBC
Trump administration convinced massive Alaska energy project will find investors despite steep cost
The Trump administration is confident that a massive liquified natural gas project in Alaska will secure investors despite its steep cost. President Donald Trump has pushed Alaska LNG as a national priority since taking office. Alaska has sought for years to build an 800 mile pipeline from the North Slope in the Article Circle south to the Cook Inlet where the gas would be cooled to liquid and shipped to U.S. allies in Asia. But Alaska LNG has never gotten off the ground due to an eyewatering price tag of more than $40 billion. Trump has been pushing Japan and South Korea in particular to invest in the project, threatening them with higher tariffs if they don't offer trade deals that suit him. "If you get the commercial offtakers for the gas, financing is pretty straightforward," Energy Secretary Chris Wright told CNBC's Brian Sullivan in Prudhoe Bay, Alaska. "There's countries around the world looking to shrink their trade deficit with the United States, and of course, a very easy way to do that is to buy more American energy," Wright said. Energy analysts, however, are skeptical of the project. Alaska LNG "doesn't have a clear cut commercial logic," Alex Munton, director of global gas and LNG research at Rapidan Energy, told CNBC in April. "If it did, it would have had a lot more support than it has thus far, and this project has been on the planning board for literally decades," Munton said. Wright said the project would be built in stages and initially serve domestic demand in Alaska, which faces declining natural gas supplies in the Cook Inlet. Interior Secretary Doug Burgum said the Department of Defense is ready to support the project with its resources. "They're ready to sign on to take an offtake agreement from this pipeline to get gas to our super strategic, important bases across Alaska," Burgum said of the Pentagon in a CNBC interview at Prudhoe Bay. Alaska LNG, if completed, would deliver U.S. natural gas to Japan in about eight days, compared to around 24 days for U.S. Gulf Coast exports that pass through the congested Panama Canal, Burgum said. It would also avoid contested waters in the South China Sea that LNG exports from the Middle East pass through, the interior secretary said. Wright said potential Asian investors have outstanding questions about the timeline and logistics of Alaska LNG. The pipeline could start delivering LNG to southern Alaska in 2028 or 2029, with exports to Asia beginning sometime in the early 2030s, Wright said. Glenfarne, the project's lead developer, told CNBC in April that a final investment decision is expected in the next six to 12 months on the leg of pipeline that runs from the North Slope to Anchorage. Glenfarne is a privately-held developer, owner and operator of energy infrastructure based in New York City and Houston
E&E News
15 hours ago
- Business
- E&E News
Trump's energy team heads to Alaska amid gas pipeline push
Sustainable energy may be getting top billing at a conference in Alaska this week, but much of the focus will be on a sprawling pipeline and natural gas export project. Alaska Gov. Mike Dunleavy (R) is scheduled to sit down at the confab with CEO Brendan Duval of the Glenfarne Group, the lead developer of the Alaska LNG project. Glenfarne assumed the role of top developer earlier this year, roughly five years after federal agencies approved the project and its planned exports. Three high-profile members of President Donald Trump's National Energy Dominance Council are also making the trek to Alaska — Interior Secretary Doug Burgum, Energy Secretary Chris Wright and EPA Administrator Lee Zeldin. And although a news release from Dunleavy's office didn't directly mention the Alaska LNG project, Burgum and Wright said Trump is taking a different approach than former President Joe Biden on the issue of Alaskan resources. Advertisement 'While the last administration tried to shut down Alaska at nearly every turn, President Trump understands that unleashing Alaska's energy potential is critical to restoring American energy dominance,' Wright said in the May 12 announcement released by Dunleavy's office.
Japan Times
3 days ago
- Business
- Japan Times
Trump officials set for talks with Asia leaders on Alaska energy
Almost two dozen foreign officials are set to join top U.S. government leaders in meetings focused on Alaska's energy resources, as U.S. President Donald Trump encourages other nations to buy natural gas from the Frontier State. Foreign representatives visiting Alaska for the discussions in coming days are expected to include representatives from Japan, South Korea, Taiwan, Philippines, India and the United Arab Emirates, said people familiar with the matter, who asked not to be identified because they weren't authorized to speak publicly. The U.S. delegation will be led by Interior Secretary Doug Burgum, who's also the chair of Trump's National Energy Dominance Council; the panel's vice-chair, Energy Secretary Chris Wright; and Environmental Protection Agency Administrator Lee Zeldin, the people said. The trip is set to include visits to an oil pipeline and gas processing facilities on Alaska's North Slope as well as meetings with industry officials and indigenous people, they said. It comes as Trump moves to expand energy development in the state, a priority he outlined in an executive order hours after his Jan. 20 inauguration. And it coincides with a broad push by other nations to curry favor with the president, including through investment commitments, to ward off threatened tariffs. Trump has repeatedly touted the $44 billion Alaska LNG project, which is meant to transport natural gas across the state for export. Although it has been planned for decades, the project faces headwinds due to its large price tag, mammoth scale and the sheer challenge of constructing an 1,290 kilometer pipeline across Alaska. Trump pressed Japanese Prime Minister Shigeru Ishiba on the project during their meeting in February, winning his commitment to cooperate on strengthening energy security, "including increasing exports of United States liquefied natural gas to Japan in a mutually beneficial manner.' Representatives of the Philippines, Taiwan and South Korea also have been in talks with administration officials on the venture. Discussions are expected to unfold over several days, including during site visits at the prolific Prudhoe Bay oil field, which has pumped crude for roughly five decades, and where units of ConocoPhillips and Hilcorp Energy Co. have operations. Other conversations are expected in Utqiagvik and Anchorage, including as part of Governor Mike Dunleavy's Alaska Sustainable Energy Conference. Trump officials see the visit as a chance to highlight the administration's focus on unleashing Alaska's energy abundance and draw a contrast with policies under former U.S. President Joe Biden they say locked up the state's oil, gas and mineral potential. While Alaska LNG will be a significant portion of the discussions, a person familiar with the matter said, there's an opportunity to examine the state's resource potential and further policy shifts that can help deliver it.
Reuters
4 days ago
- Business
- Reuters
Japan to send a senior official to Alaska energy conference
TOKYO, May 30 (Reuters) - Japan's Economy, Trade and Industry Minister Yoji Muto said on Friday that a senior official will attend an energy conference in Alaska early next week, where the proposed $44 billion Alaska LNG project is expected to be discussed. Takehiko Matsuo, the ministry's Vice-Minister for International Affairs, will participate in the Alaska Sustainable Energy Conference, scheduled for June 3-5, Muto said. The conference starts the day after talks scheduled by the Trump administration, which invited officials from Japan, South Korea and Taiwan to Alaska to discuss projects including a vast gas pipeline, as Asian governments consider U.S. investments in the hopes of relief from Washington's tariffs. It was not immediately clear whether Matsuo would attend the event on June 2, which will be hosted by Trump's energy czar, Interior Secretary Doug Burgum, and Energy Secretary Chris Wright. Muto said Japan has been in communication with the U.S. regarding pipeline construction and other issues, adding, "I expect meaningful discussions will be held this time as well." Japan's biggest LNG buyer JERA has sent an "expression of interest" to Glenfarne in the Alaska LNG Project, Bloomberg News reported on Friday. Glenfarne is the development partner of state-run Alaska Gasline Development Corporation (AGDC). South Korea will send its Deputy Minister for Energy Policy and other energy ministry officials to the Alaska Sustainable Energy Conference, the ministry said on Thursday, as some Asian countries consider investing in the Alaska LNG project. Meanwhile, Friends of the Earth Japan said on Thursday that more than 150 groups from Japan and around the world sent an open letter to the Japanese Prime Minister urging the country not to join the costly Alaska LNG project. "For Japan, Alaska LNG is absolutely unnecessary. Japanese companies resold 37% of LNG they handled because Japan is buying LNG much more than it needs," said Hiroki Osada, a campaigner at Friends of the Earth Japan. "Starting another new LNG project is already a horrible decision considering this, but it is even more outrageous given it also exacerbates climate change beyond threshold, and destroys the indigenous way of life and the biodiversity in Alaska," he added.
Business Wire
7 days ago
- Business
- Business Wire
Glenfarne Announces Partnership With Worley and Commencement of Final Engineering for the Alaska LNG Pipeline
ANCHORAGE, Alaska & NEW YORK--(BUSINESS WIRE)--Glenfarne Alaska LNG, LLC ('Glenfarne'), a subsidiary of Glenfarne Group, LLC, and majority owner and lead developer of Alaska LNG, a joint venture with the State of Alaska's Alaska Gasline Development Corporation, has selected Worley to undertake additional engineering and prepare a final cost estimate for the Alaska LNG Pipeline in sufficient detail to achieve Final Investment Decision for the Pipeline. This work has commenced and will utilize and supplement the extensive package of previously completed engineering work and update the cost of the pipeline. Worley has also been selected as the preferred engineering firm for the Cook Inlet Gateway LNG import terminal and project delivery advisor to Glenfarne across the Alaska LNG projects. 'The declining gas production from Cook Inlet risks Alaska's energy security, as well as U.S. national security and military readiness. Prioritizing the development and final investment decision of the pipeline is essential to solving the natural gas shortages which are already impacting the state,' said Brendan Duval, CEO and Founder of Glenfarne Group, LLC. Concurrently with the final engineering work, Glenfarne has launched a strategic partner selection process to partner with global companies that support Glenfarne's execution efforts and have complementary expertise to help deliver the Alaska LNG project. 'Glenfarne is pushing Alaska LNG forward with expediency engaging prospective strategic partners. We are particularly proud to be expanding our relationship with Worley to Alaska LNG from our existing partnership on the Texas LNG project. Worley is one of the world's largest and most experienced engineering and project delivery firms with a long history of success in Alaska,' Duval added. Worley has been supporting customers in Alaska for 60+ years, delivering engineering, logistics, procurement, fabrication and construction, operations and maintenance (O&M), and field services, including for many of the projects and clients on the North Slope. Worley's deep Alaskan relationships include teams in Anchorage and a jointly owned partnership formed in 1972 between NANA NORTH, LLC, a wholly owned subsidiary of NANA Regional Corporation - one of 13 Alaska Native Corporations created by the Alaska Native Claims Settlement Act of 1971, and Worley Services (USA), Inc. 'As a full project delivery company with a strong track record in Alaska and supporting LNG projects, we're honored Glenfarne has chosen Worley to help deliver the Alaska LNG project," said Mark Trueman, President Americas, Worley. "Our specialist team is well placed to support Glenfarne in moving this vital project forward, improving energy security for Alaska and the world.' The Alaska LNG Pipeline is an 807-mile 42-inch pipeline capable of transporting enough natural gas to meet both Alaska's domestic needs and supply the full 20 million tonnes per annum ('MTPA') Alaska LNG export facility. The pipeline will be constructed in two phases. Phase One will deliver natural gas approximately 765 miles from the North Slope to the Anchorage region. Phase Two adds compression equipment and approximately 42 miles of pipeline under Cook Inlet to the Alaska LNG Export Facility in Nikiski and will be constructed concurrently with the LNG export facility. Glenfarne anticipates a final investment decision on the Alaska LNG Pipeline in 2025. Glenfarne Group, LLC is the owner of Texas LNG, which recently announced that its capacity is fully sold out. A final investment decision is expected later this year. Glenfarne Group, LLC's other affiliates include the largest importer of LNG into Colombia and Magnolia LNG, a late-stage LNG export project located in Lake Charles, Louisiana. Beyond LNG, Glenfarne Group, LLC owns 50 operating assets in the energy sector across five countries. Together with Alaska LNG, its permitted LNG portfolio totals 32.8 MTPA of capacity under development. About Glenfarne Group, LLC Glenfarne Group is a privately held developer, owner, and operator of energy infrastructure assets based in New York, New York and Houston, Texas, with offices in Anchorage, Alaska; Panama City, Panama; Santiago, Chile; Bogota, Colombia; Barcelona, Spain; and Seoul, South Korea. Through its subsidiaries, Glenfarne owns and operates 50 energy infrastructure assets through three core businesses: Global LNG Solutions, Grid Stability, and Renewables. The company's seasoned executives, asset managers, and operators develop, acquire, manage, and operate energy infrastructure assets throughout North and South America. For more information, please visit About Worley Limited Worley is a leading global professional services company of energy, chemicals and resources experts. With around 50,000 employees in 45 countries, we partner with customers to deliver projects and create value over the life of their assets. We're bridging two worlds, moving towards more sustainable energy sources, while helping to provide the energy, chemicals and resources needed now. Worley Limited is headquartered in Australia and listed on the Australian Securities Exchange (ASX: WOR).
