Sen. Giessel Supports Equity Ownership in Natural Gas Pipeline Project
The State of Alaska, as an equity partner, would help advance a gasline project
ANCHORAGE-Today, the Alaska Department of Natural Resources (DNR) released an analysis on the Alaska LNG project. This summer, DNR authorized an independent study on pipeline financial issues, to identify the fiscal options that will bring the greatest benefit to Alaska from a pipeline project. The result of that study advocates for an equity ownership in a gasline project. Senator Cathy Giessel, chair of the Senate Resources Committee, supports equity ownership by the State of Alaska in a natural gas pipeline project and is eager to review the findings and recommendations of this study.
“Last July, the Legislature held a week-long Natural Gas Symposium featuring presentations by PFC Energy. PFC Energy’s natural gas experts reviewed the world market, supply chain and fiscal issues. It was an excellent opportunity to hear information and ask lots of questions of these experts,” Senate Giessel said. “LNG projects are capital intensive, complex, multi-stakeholder investments. How a project is structured and how risk and reward are allocated can make or break a project. While PFC was not directive in making recommendations, the experts pointed out gas-producing jurisdictions around the world choose equity ownership as a very beneficial fiscal arrangement.”
Senator Giessel, a lifelong Alaskan, understands the decades Alaskans have been waiting to monetize natural gas and deliver gas to Alaskans. With a window of opportunity opening up for Alaska LNG to be sold on the world market, and Alaska as a potential equity partner, she is optimistic that this project is moving forward, bringing us closer to reliable and affordable gas for all Alaskans.
For more information, please contact Lindsay Williams in Senator Giessel’s office at 907-269-0181.
Posted: November 18, 2013