Alaska LNG Project Faces Doubts Over Cost, Commercial Viability

President Donald Trump could unveil plans to tap South Korea's strategic investment package for about $54 billion to build the Alaska LNG project, a proposed $44.5 billion to $54.5 billion development to transport natural gas from Alaska's North Slope to an export terminal at Nikiski. The project, 75%-owned by Glenfarne Group with Alaska holding 25%, involves an 800-mile pipeline. It targets a pipeline final investment decision in 2026, export facility FID in 2027, and first exports in 2031 — a delay from the prior late-2025 goal. It has non-binding agreements for 13 million metric tons a year from buyers in Japan, South Korea, Taiwan, Thailand and TotalEnergies, but needs 3 million more tons in binding deals to secure financing. Industry skepticism persists over high capital costs, pipeline overruns and competition from lower-cost US Gulf Coast and Canadian exports. Analysts question whether supply agreements reflect commercial demand or political support.