Assessment Accelerates Momentum for Only Permitted West Coast LNG Project
FOR IMMEDIATE RELEASE
Wednesday, June 29, 2022
ANCHORAGE, AK (June 29) – A new report, published ahead of schedule by the Biden Administration, documents the significant benefits of the Alaska LNG Project.
The report, “Alaska LNG Project Draft Supplemental Environmental Impact Statement” (SEIS), published by the U.S. Department of Energy (DOE), examines the effects of Alaska LNG and its conclusions validate previous federal authorizations for the project. The new report also documents that ample quantities of North Slope natural gas exist to support Alaska LNG and identifies important socioeconomic benefits resulting from Alaska LNG.
Alaska Gasline Development Corporation President Frank Richards said, “With this report, the Biden Administration confirms that Alaska LNG can deliver environmental benefits globally and provide environmental and socioeconomic benefits for Alaskans. As the world turns away from Russian energy, LNG investors, developers, and customers are all searching for reliable, low-emissions energy sources. Alaska LNG, the only permitted LNG project on the West Coast, is poised to safely deliver to allies across the Pacific and enable other U.S. LNG projects to strengthen service to European nations in need.”
DOE notes two distinct environmental advantages Alaska LNG has over competing LNG projects. Alaska LNG’s shorter shipping routes to Asia produce fewer emissions. The “shortest distance between the Gulf Coast and China is 140% longer than the route from Alaska to China.” Alaska natural gas generates fewer emissions than gas produced elsewhere because it is produced alongside oil. Gas and oil produced independent of each other generate higher overall emissions. About 75% of North Slope gas is “associated gas” versus only about 40% of Gulf Coast gas.
The report notes the critical role natural gas will play in meeting global emissions reductions: “[N]atural gas is projected to continue to be a significant source of energy around the world, and for electricity generation, it is likely to be paired with carbon capture technology to help countries meet decarbonization goals…” and “[C]oal is currently the largest source of energy for many Asian countries, these countries are trying to move away from coal to be able to meet their climate goals.”
DOE confirms there is more than enough identified North Slope natural gas to support Alaska LNG over the project’s lifespan without requiring development of new fields. The report determined that 41.1 trillion cubic feet of natural gas is readily available on the North Slope, exceeding the volume required by Alaska LNG for in-state and export use. Enough natural gas is produced on Alaska’s North Slope each day to meet the daily energy needs of California, Oregon, and Washington. Today however this gas is reinjected into the ground because there is no present infrastructure to deliver it to market.
DOE reports that important socioeconomic benefits from Alaska LNG will occur, including increased employment opportunities, wage increases, and state and local government tax revenues generated from increased materials purchases, payroll expenditures, and property and other taxes.
The DOE draft SEIS findings, published on June 24, confirm the conclusions of the comprehensive 2020 Federal Energy Regulatory Commission Environmental Impact Statement. Together, the two reports span 6,000 pages and seven years of cooperation between all major federal agencies.
The draft SEIS, previously scheduled to be published on July 1, is available online: https://www.energy.gov/nepa/articles/doeeis-0512-s1-draft-supplemental-environmental-impact-statement-june-24-2022. The DOE is scheduled to publish a final EIS on November 14, 2022, and a record of decision on February 13, 2023.
Click here to download a PDF of the full Press Release.
For Immediate Release 22-179
June 4, 2022 (Anchorage) – Alaska Governor Mike Dunleavy yesterday concluded a trade mission to Japan. The Governor met with Japanese companies, utilities, and government ministries about procuring Alaska’s natural gas while also assessing the state’s potential to export various new sources of fuel. Governor Dunleavy’s meeting comes at a time when Japan is pivoting towards an energy transition that Alaska can supply in the coming decades, including blue and green hydrogen, at a time of great geopolitical instability.
“Alaska and Japan have a trade partnership going back over fifty years to the first LNG export from Nikiski to Japan,” said Governor Dunleavy. “The natural gas of the Cook Inlet literally turned the lights on in cities across Japan and powered the economic engine that lifted that nation’s postwar society into a critically powerful western ally. There appears to be, due to the shift across the world away from older fuel sources, and the simultaneous need for supplies that are not risked due to political instability, a role that Alaska natural gas could play. Alaska can supply Japan with another fifty of natural gas and clean hydrogen for decades to come.”
Governor Dunleavy’s journey came on the heels of the inaugural Alaska Sustainable Energy Conference, which showcased the multifaceted ways the state can produce various sources of fuel for both the state, and the world, in an environmentally safe manner. The Governor conducted the trip along with the First Lady, Rose Dunleavy, and members of the Alaska Gasline Development Corporation, marked the Governor’s second foreign trip during his administration; the Governor’s first was also to Japan in 2019, marking the 50th anniversary of the first LNG shipment from Nikiski to Tokyo.
For four days, Governor Dunleavy and the Alaska delegation held meetings with representatives of JERA, the Japanese Ministry of Economy, Trade, and Industry (METI), the Japan Oil, Gas and Metals National Corporation (JOGMEC), the Japan Bank for International Cooperation (JBIC), along with Tokyo Gas and TOYO Engineering. Meetings were also held with the Mitsubishi Corporation, the Chiyoda Corporation, well as INPEX and Mitsui O.S.K.Lines, Ltd.
Media Contact: Shannon Mason, Deputy Press Secretary, shannon.mason@alaska.gov, (907) 310-7697
