Alaska gas pipeline

For the proposed pipeline from the Mackenzie Valley, see Mackenzie Valley Pipeline.
Alaska gas pipeline
Location
CountryUnited States, Canada
General directionnorth–south
FromAlaska North Slope
ToCalgary, Alberta
Runs alongsideAlaska Highway
General information
Typenatural gas
PartnersTransCanada Corp.
ExxonMobil
Technical information
Length1,715 mi (2,760 km)
Maximum discharge41 billion cubic meter per year

The Alaska gas pipeline is a joint project of TransCanada Corp. and ExxonMobil Corp. to develop a natural gas pipeline under the AGIA, a.k.a. the Alaska Gas Inducement Act, adopted by Alaska Legislature in 2007.[1] The project originally proposed two options during its open season offering over a three-month period from April 30 to July 30, 2010. An 'open season' in layman's terms is when a company conducts a non-binding show of interest or poll in the marketplace, they ask potential customers "if we build it, will you come?".

The first option was a pipeline from the Alaska North Slope through Alaska, the Yukon Territory, and British Columbia, and down to Alberta for a total distance of approx. 1,700 miles. Gas was then to be delivered through existing pipelines serving the major North American markets. The second option proposed was to transport natural gas from the North Slope to Valdez, AK, for a distance of approx. 800 miles. Once in Valdez, it would be converted to liquified natural gas in facilities built by others and then shipped to North American and International markets. An additional component to each option is a gas treatment plant (GTP) and Point Thomson natural gas pipeline. The proposed building site for the GTP would be at the North Slope's Prudhoe Bay facilities which then treats the gas to be shipped in the pipeline. The Point Thomson field would have approximately 58 miles of pipeline to connect natural gas supplies from the field to the plant and the pipeline.

Both options give Alaskan communities the opportunity to acquire natural gas from a minimum of five delivery points along the pipeline. An Alberta option provides for the ability to have local natural gas delivery in Canada.[2] TransCanada has secured state seed money and a license from the state of Alaska to build and operate a pipeline, but does not yet have federal approvals needed to start construction. On June 11, 2009, TransCanada announced it had formed an agreement with ExxonMobil to work together in bringing the gas to market.[3]

In May 2012 TransCanada formally closed their open season. TransCanada's license with the AGIA required that they file a complete application with the Federal Energy Regulatory Commission in October 2012 for a certificate to build and operate the pipeline. In May 2012 the state of Alaska granted TransCanada a two-year postponement of the deadline to give the company and North Slope producers more time to explore the best market for Alaska gas. By the summer of 2014 the project became more focused on export, so the state and TransCanada terminated their AGIA agreement.[4]

  1. ^ Loy, Weley (2008-01-04). "Palin picks Canadian company for gas line". The Anchorage Daily News. Archived from the original on 2008-09-04. Retrieved 2008-06-14.
  2. ^ "The Alaska Pipeline Project Begins Its Open Season". TransCanada Corporation. Archived from the original on 2015-09-19. Retrieved 2015-09-11.
  3. ^ "Alaska Politics Blog: It's on: Exxon and TransCanada announce pipeline partnership (Updated) | adn.com". Community.adn.com. 2009-06-11. Archived from the original on 2009-08-10. Retrieved 2010-05-26.
  4. ^ "Alaska natural gas pipeline project history | Arcticgas.gov". www.arcticgas.gov. Archived from the original on 2015-09-08. Retrieved 2015-09-11.