A war-driven spike in global natural gas prices is creating new hope for Alaska’s long-sought gas pipeline, elected leaders say, even as the $38 billion project still lacks binding promises from customers and a clear picture of who would build it.
Gov. Mike Dunleavy and U.S. Sen. Dan Sullivan, both Republicans, spent time in Japan last week drumming up demand for the project, which would span 800 miles from Alaska’s North Slope oil fields to Cook Inlet, not far from Anchorage.
toward prewar levels long before then, as other export projects come online and governments cut fossil fuel consumption to hit emissions reduction targets., vice president at Texas-based energy analysis firm Enverus. “These are the uncertainties that, if I was funding the Alaska LNG project, I’d be wondering about.
The concept for the pipeline has evolved over the years, with iterations including a 1,700-mile overland route connecting to Canadian infrastructure that was pushed by Republican former Gov. Sarah Palin.
In a phone interview this week, Walker criticized Dunleavy for not pursuing the project more energetically. Officials pushing the project say the crisis in Ukraine and the resulting crunch in oil and gas supplies are creating new interest in Alaska gas among Asian buyers.Europe needs new sources to replace Russian imports it has given up, and some shipments are coming from places that previously sent gas to countries like Japan and Korea. That, in turn, has left buyers in those countries looking more seriously at Alaska, pipeline supporters say.
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