Qilak LNG is Alaska's smaller natural gas project. It wants to play a part in Trump's Asia push.

Mead Treadwell, the Chief Executive of Qilak LNG who is hoping to develop an LNG project in Alaska wants to join President Donald Trump’s push to increase gas exports to Asian markets from the remote peninsula, she said.

The Trump administration wants to ship liquefied gas from Alaska's remote northern region to Japan, South Korea, and Taiwan via a 1,300 km (800 mile) pipeline worth $44 billion. This project is called Alaska LNG.

Treadwell told me by phone that there is a lot excitement in the United States about natural gas coming from Alaska. "We remind everyone on both sides of Pacific that Texas, Louisiana and Alaska have multiple LNG project."

He said that Qilak LNG is in talks with the Trump administration to obtain permits, and also to Japanese and South Korean companies about possible participation in a feasibility report.

Treadwell explained that "we have invited people with an interest in offtake deals to observe the feasibility study. These include both large and smaller offtakers from Asia, as well as a potential US offtaker and possibly two in the U.S .),".

Shigeru Shiba, the Japanese Prime Minister, met with Trump in late July to discuss the Alaska LNG 20-million-ton-per-annum project. This month, the project's developers will be touring Taiwan, Thailand and Japan to seek commitments.

"One is much bigger project." Treadwell stated that one project is much smaller. "The fact there are two different projects doesn't mean that one of them has to be killed."

He added that Qilak LNG aims to produce its first gas by the beginning of 2033. According to a recent presentation of the project, capital expenditures are expected to range from $1,000 to $1250 per ton liquefaction capability, which is around $4 to $5 billion.

A spokesperson for the U.S. Department of Energy said that President Trump's administration was committed to unlocking the full potential of Alaskan energy, but did not mention Qilak LNG. "LNG produced in Alaska has massive potential."

Analysts have questioned if LNG from Alaska is still a viable option, if sanctions are lifted on Russia's Arctic LNG 2 as a result a peace agreement Trump wants with Moscow on Ukraine.

Treadwell stated that it was reasonable to suggest that Asian buyers diversify their strategy in the north, regardless of what happens with Russia returning to the market. (Reporting from Katya Glubkova, Tokyo; Additional reporting from Timothy Gardner, Washington; Editing done by Lincoln Feast)

(source: Reuters)