Chugach Electric extends gas agreement

Anchorage based electricity utility Chugach Electric Association has told the Regulatory Commission of Alaska that it has extended a gas supply agreement with Cook Inlet Energy LLC by five years from its previous expiry date of March 31, 2018, to March 31, 2023. The agreement is for non-firm supplies of up to 10,000 mcf per day of gas. Gas pricing under the agreement rises from $6.49 per mcf this year to $7.31 in 2023.

Chugach Electric has firm gas supplies through its part ownership of the Beluga River gas field on the west side of the Cook Inlet, and through supplies contracted from Hilcorp Alaska. The utility has non-firm supply agreements with Cook Inlet Energy and AIX Energy, to furnish any additional gas that the utility may need. The gas fuels gas-fired power plants in Anchorage and at Beluga on the west side of Cook Inlet.

- ALAN BAILEY