Cost and market outlook for a proposed 800-mi liquefied natural gas pipeline and processing complex in Alaska appear more promising, according to a new economic analysis, which also cites a potential boost from the just-enacted federal Infrastructure Investment and Jobs Act.
Energy market research firm Wood Mackenzie, working for the Alaska Gasline Development Corp., lowered its estimated cost for the Alaska LNG project from $45 billion to $38.7 billion, citing a reduction in expected construction costs, projected rise in global LNG demand and a new finance plan with 70% debt financing and third-party tolling.