The South Korean government has agreed to continue working with the United States government on a potential investment in the Alaska LNG project by the major gas-importing country, as part of their trade deal.
President Donald Trump said on his Truth social media platform on Wednesday the two countries “agreed to commence working together on the 50 Billion Dollar ALASKA LNG PROJECT”. Lead developer Glenfarne Group LLC pegged the South Korean investment at over $50 billion. Seoul, however, has not announced a definitive figure.
“The United States and Korea have agreed to commence working on the Alaska LNG project, subject to meeting commercial reasonableness under the Strategic Investment MOU and all applicable domestic legal requirements”, said a statement posted on the U.S. Commerce Department’s website, referring to a broader 2025 agreement for South Korean investment in U.S. energy projects.
“In developing the project, the United States will facilitate the favorable involvement of Korean vendors and suppliers. The United States intends to provide assurances, to the extent possible, regarding offtake agreements at economically viable prices granting Korea priority access to Alaska LNG produced by this project”.
South Korean President Lee Jae-myung said on X, as translated from Korean, “Regarding the Alaska LNG project among the investment projects announced by the U.S., it was decided to commence working on the preconditions that 1) commercial viability is confirmed and 2) it complies with South Korean legal procedures”.
Alaska LNG holds an Energy Department permit to export 20 million metric tons per annum of LNG, or 2.55 billion cubic feet a day of natural gas equivalent according to Alaska LNG, to both FTA and non-FTA countries. The project secured authorization November 2014 for the portion for countries with a free trade agreement (FTA) with the U.S. and August 2020 for the non-FTA portion.
On December 11, 2025 the Federal Permitting Improvement Steering Council announced the completion of permit renewal for the project, which would process gas from the North Slope for both the domestic and overseas markets, following a review of environmental opinions.
New York City-based Glenfarne said in a press release Wednesday it will “work with the U.S. and Korean governments to finalize the investment structure and complete the remaining steps required to reach FID”.
“Today’s announcement brings together the capital needed to accelerate Alaska LNG to a final investment decision and construction”, said Glenfarne chief executive and founder Brendan Duval.
Alaska LNG is planned to proceed in two phases. The first phase would supply gas to the domestic market via a pipeline to the Anchorage region.
Earlier this year ConocoPhillips signed a long-term deal to supply gas produced on Alaska’s North Slope to the state under phase 1 of Alaska LNG.
With the 30-year “gas sales precedent agreement” with Houston, Texas-based ConocoPhillips, “Alaska LNG has now secured precedent agreements for sufficient volumes to support a Phase One final investment decision and supply enough natural gas to meet Alaska’s energy needs”, Glenfarne announced May 18.
“Alaska LNG now has agreements with all three major North Slope producers: ConocoPhillips, ExxonMobil (NYSE: XOM), Hilcorp Alaska, as well as Great Bear Pantheon LLC, a wholly owned subsidiary of Pantheon Resources plc (AIM: PANR)”, Glenfarne added.
Glenfarne previously said it aims to mechanically complete the 739-mile, 42-inch pipeline 2028 and start gas delivery 2029.
Alaska LNG’s phase 1 would “strengthen long-term energy security and address looming supply shortfalls resulting from declining Cook Inlet production”, Glenfarne said, announcing the agreement with ConocoPhillips.
“Phase 2 will add the LNG export facilities in Nikiski”, Glenfarne added.
For the overseas portion of Alaska LNG’s production, Glenfarne has announced preliminary long-term agreements with Taiwan’s state-owned CPC Corp, Japan’s JERA Co Inc and Tokyo Gas Co Ltd, South Korea’s POSCO International Corp, Thailand’s state-owned PTT Exploration and Production Public Co Ltd and France’s TotalEnergies SE.
Announcing the latest offtake agreement February 26, 2026, Glenfarne said it “intends to contract 80 percent, or 16 MTPA [million metric tons per annum], of Alaska LNG’s 20 MTPA volume to finance the project and now has 13 MTPA accounted for under preliminary long-term agreements with TotalEnergies, JERA, Tokyo Gas, CPC, PTT and POSCO”.
At the end of 2025 Sydney, Australia-based Worley Ltd completed “engineering work sufficient for a final investment decision”, Glenfarne said January 22, 2026.
The January announcement also said Glenfarne has provisionally selected Worley for engineering, procurement and construction management services for Alaska LNG.
The update also announced conditional awards for pipe supply and construction.
On November 10, 2025 Glenfarne said it had contracted Baker Hughes to supply refrigerant compressors and power generation equipment for Alaska LNG. Baker Hughes has also committed to investing in Alaska LNG.
Glenfarne took over Alaska LNG last year as lead developer. The state government’s Alaska Gasline Development Corp retains 25 percent.
source: rigzone.com