US Energy Secretary: "Discussing Alaska LNG Project with Korean and Japanese Companies"

Chris Wright, U.S. Secretary of Energy, announced that discussions are underway regarding the participation of Korean companies in the Alaska liquefied natural gas (LNG) pipeline construction project currently being promoted in the United States.

Chris Wright, U.S. Secretary of Energy. Photo by Yonhap News Agency

At a press conference held at the New York Foreign Press Center on the 24th (local time), Secretary Wright stated, "We are in discussions with several companies, including those from Japan, Korea, and other Asian countries." He continued, "The potential for the Alaska LNG project appears to be quite strong, and I believe the project should break ground within the next 12 months. While construction will take several years, the greatest advantage is that the shipping distance to our excellent allies in East Asia, such as Japan, is very short. Ultimately, the most important point is that the gas produced there will not be more expensive than gas exported from any other LNG terminal."

This project involves transporting natural gas extracted from the Prudhoe Bay gas field in northern Alaska via pipeline to a port near Anchorage, where it will be liquefied and then exported to Asia and other regions. The plan calls for installing a pipeline along an 807-mile (approximately 1,297 km) route running north to south through Alaska, as well as constructing liquefaction terminals and other infrastructure. The initial capital required for this project is estimated at about 45 billion dollars (approximately 64 trillion won).

Secretary Wright remarked, "Fortunately, 50 years ago, we built an oil pipeline from Alaska’s North Slope to the coastal region in just two years for oil exports. The gas pipeline will follow the same route, so most of the roads, support facilities, and pipeline paths already exist. Therefore, it will be much easier than constructing the first pipeline." He added, "I am confident that the investors in this project will likely be a mix of U.S. and Asian companies. The U.S. Department of Energy will provide partial support, such as credit guarantees."

As Secretary Wright mentioned, some Korean companies are considering participating in this project. Recently, Posco International became the first Korean company to officially announce its review of participation by signing a preliminary agreement with energy company Glenfarne, a private investor in partnership with the Alaska Gasline Development Corporation (AGDC), for LNG import and other matters. Among Posco Group affiliates, Posco E&C is also reportedly reviewing the project, given its experience in constructing LNG terminals both domestically and internationally.

This content was produced with the assistance of AI translation services.