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Further Alaska gas pipeline and LNG project agreements announced
Alan Bailey for Petroleum News
On Nov.10 Glenfarne Alaska LNG LLC and Baker Hughes announced a strategic alliance for advancing the project for building a natural gas pipeline from the North Slope to the Cook Inlet for the export of Alaska liquefied natural gas.
Glenfarne has selected Baker Hughes to supply refrigerant compressors for the LNG terminal and to supply power generation equipment for a gas treatment plant on the North Slope. Baker Hughes has also committed to a strategic investment to support the Alaska LNG project, the company has said.
"Baker Hughes is a welcome partner for Alaska LNG because of their leadership in LNG compression technology," said Brendan Duval, CEO and founder of Glenfarne. "Their participation reflects Alaska LNG's momentum and its ability to attract global partners to achieve national and state energy objectives."
"Baker Hughes is pleased to support Alaska LNG with our gas technology solutions," said Lorenzo Simonelli, chairman and CEO of Baker Hughes. "Natural gas and LNG provide secure, affordable, and reliable energy, and we look forward to continuing our collaboration with Glenfarne to bring lower-carbon natural gas from Alaska to the global market."
Federal government support The company chief executive officers joined with Secretary of the Interior Doug Burgum and Secretary of Energy Chris Wright to make the announcement.
"American LNG is not just an energy source, it's a strategic asset that powers our economy, strengthens our alliances, and secures our nation's future," said Doug Burgum, Secretary of the Interior and Chairman of the National Energy Dominance Council. "By forging this strategic alliance and investment in the Alaska LNG Project, we're strengthening our nation's energy security while advancing a bold vision for U.S. energy independence and global competitiveness."
Alaska LNG has the potential to be one of the most significant energy infrastructure projects in our nation's history," said Energy Secretary Chris Wright. "Today's investment announcement is an important step forward for the project, prosperity in Alaska, and the energy security of America and our allies. The Trump administration remains committed to unleashing Alaska's energy potential, including by supporting Alaska LNG."
Two phase project Glenfarne plans to develop the Alaska LNG project in two independent phases. Phase one involves the construction of an 807-mile, 42-inch-diameter pipeline for shipping natural gas from the North Slope to Southcentral Alaska, to meet Alaska's domestic natural gas requirements. Phase two will add the LNG export terminal and associated infrastructure, to enable the annual export of 20 million tonnes of LNG.
Engineering company Worley anticipates completing the engineering and cost analysis for the pipeline in December, thus enabling a final investment decision for the pipeline project. A final investment decision for the LNG export phase of the project is expected in late 2026.
Since March Glenfarne became the lead developer for the project the company has secured preliminary commercial commitments with leading LNG buyers in Japan, Korea, Taiwan and Thailand for the purchase of 11 million tons per annum of LNG, Glenfarne says.
-ALAN BAILEY
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