In a major boost for U.S. energy infrastructure and Alaska’s economy, the Alaska LNG project has secured all necessary federal permits ahead of schedule, paving the way for what could become one of the largest natural gas developments in North America. This milestone, achieved under the Federal Permitting Improvement Steering Council’s oversight, marks the end of a federal review process that began in 2017 and positions the project for potential construction as early as next year.
With global demand for liquefied natural gas (LNG) on the rise, particularly from Asian markets, this development could enhance America’s role as a key energy exporter while providing affordable gas to Alaskan residents.
Project Details
The Alaska LNG project is an ambitious integrated initiative designed to tap into the vast natural gas reserves on Alaska’s North Slope. At its core is an 807-mile pipeline stretching from Prudhoe Bay to the Kenai Peninsula in south-central Alaska. This pipeline will transport natural gas from the North Slope fields, where reserves are estimated at over 35 trillion cubic feet, to a new liquefaction and export facility near Nikiski.
Key components include:Gas Treatment Plant: Located at Prudhoe Bay, this facility will process raw natural gas by removing impurities like carbon dioxide and water, preparing it for pipeline transport.
Pipeline Infrastructure: The 42-inch diameter pipeline will cross diverse terrains, including tundra, mountains, and rivers, with a capacity to move up to 3.5 billion cubic feet of gas per day.
LNG Export Terminal: A 20 million metric tons per annum (MTPA) liquefaction plant, complete with storage tanks and marine loading facilities, aimed at exporting LNG to international markets, primarily in Asia.
Phased Development: The project is structured in two phases. Phase 1 focuses on the pipeline for domestic supply, while Phase 2 encompasses the full LNG export capabilities.
The total estimated cost exceeds $40 billion, though independent analyses suggest it could climb to $50-60 billion due to inflation, supply chain issues, and environmental compliance.
Economically, the project promises to create thousands of jobs during construction, boost state revenues through royalties and taxes, and secure long-term energy affordability for Alaskans. It also aligns with broader goals of energy independence and supplying clean-burning natural gas to U.S. allies in the Pacific, reducing reliance on higher-emission fuels like coal.
Challenges have included environmental reviews, with groups like the Sierra Club pushing for updated impact statements in 2021, leading to permit renewals. However, the project’s reactivation under the FAST-41 program in February 2025 expedited the process, culminating in the final NOAA permit on December 10.
Companies Involved: Opportunities for Investors
The project’s leadership shifted significantly in early 2025 when the state-owned Alaska Gasline Development Corporation (AGDC) transferred a 75% stake to 8 Star Alaska, LLC, a subsidiary primarily owned by New York-based Glenfarne Energy Transition.
Glenfarne, founded in 2019, focuses on energy transition infrastructure and has emerged as the lead developer, handling front-end engineering, financing, and commercial agreements.
While Glenfarne is currently a private company, investors should monitor it closely for potential public offerings or mergers—its affiliated SPAC, Glenfarne Merger Corp. (NASDAQ: GGMC), trades around $10 per share and could serve as a vehicle for future listings.
Other key players offer more immediate investment avenues:
Baker Hughes (NYSE: BKR): In November 2025, Baker Hughes signed definitive agreements to supply turbomachinery equipment for the LNG terminal and made a strategic investment in the project.
As a leading energy technology firm, Baker Hughes stands to benefit from increased demand for LNG infrastructure globally, with its stock providing exposure to the project’s success.
Upstream Gas Suppliers: Major North Slope producers like ConocoPhillips (NYSE: COP) and ExxonMobil (NYSE: XOM) are potential gas suppliers, though no firm sales agreements have been announced yet. These companies already operate key fields such as Prudhoe Bay and could see revenue uplift from new export routes. ConocoPhillips, in particular, has a strong Alaskan presence and could negotiate offtake deals.
Offtake Partners: Japan’s JERA, one of the world’s largest LNG buyers, signed a letter of intent in September 2025 for potential LNG purchases, signaling strong Asian demand.
While JERA is not publicly traded in the U.S., it underscores the project’s market viability.
Glenfarne has also reported over $115 billion in strategic partner interest, which could attract additional investors from energy majors and infrastructure funds.
For risk-averse investors, publicly traded firms like Baker Hughes and ConocoPhillips offer indirect plays on the project’s progress.Timeline to Production and Market EntryWith federal approvals complete, the focus shifts to state-level authorizations in Anchorage, expected shortly.
Glenfarne anticipates a final investment decision (FID) for the pipeline phase by the end of 2025, followed by construction starting in late 2026.
The entire project is slated for completion in two phases over approximately six years.Phase 1 (Pipeline): First gas flow and domestic deliveries could begin as early as mid-2029, about 3.5 years from now.
Phase 2 (LNG Terminal): FID expected in late 2026, with full commercial LNG exports potentially starting in 2030 or 2031, roughly 5-6 years away.
Some estimates push full operations to 2031, depending on financing and construction pace.
This timeline assumes no major delays from financing, weather, or legal challenges. Once operational, the project could deliver gas to Alaskan markets in 2030 and ramp up LNG exports shortly thereafter, positioning it to capture a share of the growing global LNG market projected to exceed 500 MTPA by 2030.
Looking Ahead
The early completion of federal permitting under President Trump’s energy agenda highlights a renewed push for domestic energy projects.
As Sen. Lisa Murkowski noted, “This project is crucial for our future – it can help secure Alaska’s economy for the next generation.”
For the energy sector, Alaska LNG represents a strategic opportunity to diversify U.S. exports and strengthen geopolitical ties. Investors eyeing the space should watch for upcoming FIDs and partnership announcements, as this project could redefine Alaska’s role in the global energy landscape.
Source: justthenews.com, blackridgeresearch.com, glenfarneenergytransition.com, bakerhughes.com
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