Alaska's $65 Billion Natural Gas Pipeline

By Admin
With natural gas supplies booming in North America, Alaska proposes a plan to reach new markets where supplies are short and the fuel could be sold at...

 

With natural gas supplies booming in North America, Alaska proposes a plan to reach new markets where supplies are short and the fuel could be sold at a higher price.

The natural gas supply glut in Alaska has inspired a group of energy companies to potentially invest up to $65 billion to build an 800-mile pipeline to export the stranded natural gas to Asia. For the rest of America, however, the proposal could mean that the cheap, abundant source of domestic energy could end up costing more as it reaches the global market.

Increasing supplies in the global market could put pressure on natural gas shipped from other ports, and the industry may have to expand exports of low-priced US natural gas.

Until further analysis on the pros and cons of exporting natural gas are conducted, the US Department of Energy has delayed action on proposals from numerous gas export facilities. That report won't begin until after the election.

SEE OTHER TOP STORIES IN THE ENERGY DIGITAL CONTENT NETWORK

Why are gas prices so high?

Low Natural Gas Prices Force More Coal Plants to Close

Read More in Energy Digital's September Issue

Energy giants like Exxon Mobil, BP Plc, ConocoPhillips and TransCanada Corp back the mega project to transport liquefied natural gas from the state—a project that would take over 10 years to complete due to its massive size and the legal, political and financial implications. LNG exports from Australia, East Africa, the US, Gulf Coast and Canada will pose competition to the new venture as they enter the global market.

 

DOWNLOAD THE ENERGY DIGITAL IPAD APP

 

Share

Featured Articles

Gas-led recession a 'near certainty' in Europe

Centre for Economics and Business Research estimates the risk of a recession in Europe this winter at approximately 40%

ABB scoops global energy automation technology award

ABB excels in innovating subsea systems and electrification services and providing underwater control solutions according to Frost & Sullivan

INEOS Köln awarded €770,000 for green hydrogen study

State funding will support feasibility study for the construction of 100MW water electrolysis plant for green hydrogen at the INEOS site in Köln

UK receives £2.7bn upfront funding to boost grid capacity

Utilities

Poland and Germany best placed for gas-to-coal switch

Oil & Gas

Leclanché fire retardant additive cuts battery fire risk

Renewable Energy