Glenfarne Alaska LNG and ConocoPhillips Alaska have signed a gas sales precedent agreement to supply natural gas from Alaska’s North Slope for Phase One of the Alaska LNG project.
The 30-year agreement will secure sufficient natural gas volumes to support a final investment decision for Phase One and meet Alaska’s domestic energy needs, according to Glenfarne.
Glenfarne is developing the Alaska LNG project in two financially independent phases. Phase One includes a 739-mile, 42-inch pipeline designed to transport natural gas to Alaska consumers, while Phase Two would add LNG export facilities in Nikiski.
The company said Alaska LNG has now signed agreements with all three major North Slope producers - ConocoPhillips, ExxonMobil and Hilcorp Alaska - as well as Great Bear Pantheon.
“All major North Slope producers have now committed enough natural gas to support a Phase One final investment decision. Today’s milestone agreement establishes the commercial terms for ConocoPhillips to supply gas and help Phase One of Alaska LNG provide energy security for Alaska,” said Adam Prestidge, President of Glenfarne Alaska LNG.
“ConocoPhillips shares Glenfarne’s commitment to developing Alaska’s resources for the long-term benefit of Alaskans.
“Our participation in Alaska LNG supports reliable access to responsibly produced North Slope natural gas while complementing our ongoing investment in Alaska,” added ConocoPhillips Alaska President Erec Isaacson.