US-based Glenfarne Group has received an investment commitment exceeding $50bn (Won68.08tn) from South Korea to advance the Alaska LNG project towards construction and a final investment decision (FID).
The investment was announced by US President Donald Trump.
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The global energy infrastructure developer holds a 75% stake in Alaska LNG, whilst the State of Alaska retains the remaining 25% through the Alaska Gasline Development Corporation.
Glenfarne will collaborate with the US and South Korean governments to decide the financing structure and complete the outstanding steps required for the FID.
Commercial agreements currently account for 13 million tonnes per annum (mtpa) of the 16mtpa targeted to support the project.
Glenfarne CEO and founder Brendan Duval joined President Trump in the Oval Office for the announcement.
Duval said: “We came to Alaska to build this project, and every decision we make starts with what will move us closer to delivering affordable, reliable gas and long-term economic benefits for Alaskans.
“Today’s announcement brings together the capital needed to accelerate Alaska LNG to a final investment decision and construction. We are ready to deliver on the opportunity Alaska LNG represents for Alaska and the US.”
The project scope encompasses an 807-mile, 42in pipeline designed to transport natural gas from the North Slope for Alaskan domestic use, a North Slope gas treatment plant and a 20mtpa liquefied natural gas (LNG) terminal in Nikiski.
Glenfarne Alaska LNG president Adam Prestidge said: “For Alaskans, this is about getting to the point where we can put people to work and start building. Glenfarne has spent the past 18 months building the commercial, engineering, workforce and construction foundation for this project.
“This investment gives us the scale of capital needed, and we will keep working to make sure Alaska captures the jobs, economic opportunity and long-term value this project can create.”
In July this year, Glenfarne Global Commodities, the LNG marketing and trading arm of Glenfarne Group, signed a heads of agreement with BGN for the long-term supply of 1mtpa of LNG.
