TransCanada working on plans for Alaska LNG export project

21 February 2014 14:44 Source:ICIS News

TORONTO (ICIS)--TransCanada is working on plans for a possible liquefied natural gas (LNG) project in Alaska, the Canada-based energy infrastructure major said in a regulatory filing issued late Thursday.

TransCanada said that it recently signed a "heads of agreement" with the Alaska state government and three natural gas producers on the project which would, if realised, be sourced by gas from the Alaska North Slope.

A LNG project in Alaska, rather than a pipeline to Canada’s Alberta province, is "currently the best opportunity to commercialise Alaska North Slope gas resources," the company added.

"It is anticipated that two years of front end engineering will be completed before further commitments to commercialise the project will be made," TransCanada added without disclosing project capacities or timelines for completion.

US chemical firms have repeatedly expressed concerns about LNG exports, fearing that they will drive up domestic natural gas prices. Earlier this month, Dow Chemical urged US authorities to consider taking a pause in the LNG export approval process.

Additional reporting by Jessie Waldheim

By Stefan Baumgarten