The Alaska Gasline Development Corporation (AGDC) and the Korea Gas Corporation (KOGAS) have agreed to cooperate on developing a liquefied natural gas (LNG) project in Alaska.
Under a memorandum of understanding (MOU) inked by the parties, the cooperation will include project investment, development, operations and other arrangements for the Alaska LNG pipeline project.
The project will feature an integrated gas pipeline and LNG infrastructure. It is expected to link the natural gas resource available on the North Slope of Alaska and the emerging LNG markets in Asia.
"AGDC gains the opportunity to move Alaska LNG forward with an internationally recognized natural gas infrastructure company.
“KOGAS gains the prospect of investing in Alaska LNG as well as participating in all aspects of project development and financing. The MOU is not exclusive and recognizes AGDC is in discussions with other parties to ensure timely development of Alaska's energy infrastructure and export project."
As part of the MOU, a joint committee will be established which will have the authority to make decisions and also to decide a framework for AGDC and KOGAS to work together on the possibility of the Korean company’s participation in all matters relating to the LNG development project.
The MOU covers specific areas such as Korean investment in the Alaska LNG project as well as the cooperation of KOGAS on the engineering, procurement, and construction of the LNG project components and operations.
In another development, KOGAS had signed a MOU with subsidiaries of Sempra Energy and Woodside Petroleum in connection with the development of the proposed Port Arthur LNG liquefaction project in Texas.
Image: AGDC President Keith Meyer and KOGAS president and CEO Dr. Seung-hoon Lee at the signing of a memorandum of understanding in Washington, D.C. Photo: courtesy of Neshan H. Naltchayan/Alaska Gasline Development Corporation.