Glenfarne Signs Tentative LNG Sales, Steel Deals with Japanese, Korean Firms for Alaska Pipeline

Glenfarne Alaska LNG, the majority owner of the proposed trans-Alaska natural gas pipeline project, has signed a letter of intent with Japan's largest electric company, JERA Co., to supply 1 million tons of liquefied natural gas per year for 20 years, marking a significant step toward securing funding and advancing the multibillion-dollar pipeline. The 807-mile pipeline will transport gas from Alaska's North Slope to a liquefaction plant on the Kenai Peninsula, with an expected capacity of 20 million tons, supported by additional agreements with state-owned companies from Taiwan and Thailand. Glenfarne owns 75% of the project, with the state-owned Alaska Gasline Development Corporation holding 25%, and plans to make a final investment decision on the pipeline's first phase by the end of 2025 and on the export facilities by the end of 2026. The project aligns with President Donald Trump's energy policy focused on American energy dominance and energy independence, with potential federal loan support from the U.S. Department of Energy and possible investment from Japan following a recent trade deal. Steel supply for the pipeline will be partly provided by South Korea's POSCO International Corporation, which has also signed terms to purchase LNG from the project. Despite high costs and logistical challenges associated with Alaska’s remote location, these agreements provide preliminary commercial commitments for over half of the pipeline’s third-party LNG capacity, improving the project's financial viability.