Letter From The President

Fellow Alaskans,

The Alaska Gasline Development Corporation (AGDC) is moving forward at full speed. Throughout the second quarter of 2017, AGDC advanced Alaska’s integrated gas infrastructure and LNG export project significantly, particularly in project awareness and interest.

In early April, I had the pleasure of meeting with the President of the People’s Republic of China, Xi Jinping, in Anchorage. Our conversation centered on the mutually beneficial advantages that Alaska LNG offers both our countries. During our meeting, President Xi said, “China has 100 years of demand for natural gas,” to which I replied, “Alaska has 100 years of supply.” My meeting with President Xi has already led to productive engagements at senior levels with a number of Chinese LNG buyers and financial institutions.

As Alaska LNG continues to garner international interest from governments, LNG buyers, and financial institutions across the Asia-Pacific region, the project is gaining momentum at home with growing support from the Trump Administration. Over the past few months, I have had productive discussions with Vice President Mike Pence and Secretary of the Interior Ryan Zinke in Anchorage. I also had an opportunity to speak with Secretary of Commerce Wilbur Ross while participating in an invitation-only infrastructure summit at the White House. All of these conversations centered on how the Federal Government can help expedite Alaska LNG. It is evident the administration recognizes Alaska’s vast, proven natural gas resources are a vital component to the nation’s energy security. In an address to a gathering in Anchorage, Secretary Zinke may have put it best, “The only path for energy dominance is a path through the great state of Alaska.”

On April 17, AGDC moved America further down the path toward energy dominance when we filed an application to obtain a Natural Gas Act Section 3 permit with the Federal Energy Regulatory Commission (FERC) for Alaska LNG.

Again, on June 15, AGDC continued to progress the project when we commenced a capacity solicitation for foundation customers to reserve volume on the Alaska LNG system.

The event that resonates with me as the strongest indicator Alaska LNG is on the right path is AGDC’s signing of a memorandum of understanding (MOU) with the Korea Gas Corporation (KOGAS) in Washington, D.C. on June 28. This MOU, though non-binding, is a significant step forward in the commercial arena. (See AGDC & KOGAS Move Forward Together)

As AGDC charges into Q3, I’m excited to build on the momentum we have marshalled over the past few months. AGDC is going to demonstrate to the global LNG community, as well as to Alaskans, that Alaska LNG will clear the natural gas and financial markets as well as provide an acceptable netback. KOGAS already appreciates Alaska LNG as a prized resource. Moving forward, I expect an increasing number of LNG buyers and investors to recognize Alaska LNG as a golden opportunity to secure stable, low-cost, clean energy for generations.

 

Keith Meyer, President