The project will have a capacity to produce up to 20 million metric tonnes per annum (MMTPA) of LNG for export
The authorisation allows AGDC to site, construct and operate the Alaska LNG project. (Credit: Pixabay/Martinelle)
The Alaska Gasline Development Corporation (AGDC) has secured conditional approval from the US Federal Energy Regulatory Commission (FERC) for the $45bn Alaska LNG project.
The authorisation allows AGDC to site, construct and operate the Alaska LNG project, which will liquefy and export LNG.
In a press statement, the US FERC said: “The Alaska LNG Project is the last remaining LNG project before FERC covered by the Fixing America’s Surface Transportation Act (FAST-41 Act). The Commission took action today ahead of the scheduled June 4, 2020, final decision set by the statute.”
Alaska LNG Project has capacity to export 20 MMTPA of LNG
Planned to be built in Nikiski, an industrial town located on Alaska’s Kenai Peninsula, south-west of Anchorage, the project involves liquefaction facilities designed to produce up to 20 million metric tonnes per annum (MMTPA) of LNG for export.
The project also includes an approximately 807-mile-long pipeline capable of transporting up to 3.9 billion cubic feet of gas per day to the liquefaction facilities; a gas treatment plant in the Prudhoe Bay; and two additional natural gas pipelines connecting production units to the gas treatment plant.
The gas produced by the project will be exported to nations with which the US has signed a Free Trade Agreement (FTA).
Earlier, a conditional approval has also been granted by US DOE to export 20 MMTPA of natural gas to nations that do not have an FTA with the country.
Alaska Governor Mike Dunleavy said: “Today’s federal authorization is a key step in determining if Alaska LNG is competitive and economically beneficial for Alaska. I commend the AGDC team for their diligence.
“The ongoing project economic review and discussions with potential partners will determine the next steps for this project.”
AGDC President Frank Richards said: “This approval, a major milestone in the development of the project, signifies the completion of a rigorous and comprehensive evaluation that has engaged environmental and energy experts at dozens of federal and state regulatory agencies.”
Recently, the staff of the FERC has issued final environmental impact statement for the Alaska LNG project.