LNG Project Information
The Alaska LNG project would be among the world’s largest natural gas development projects. And the single largest component — the gas liquefaction plant and marine terminal — would be built in Nikiski, on the Kenai Peninsula.
Though a construction decision by the project sponsor is likely a few years away, depending on the development's economic feasibilty and permitting, the Kenai Peninsula Borough is working to understand the project’s potential impacts on residents, services and the local economy. The borough mayor’s office is working with the project sponsor and state and federal regulators to ensure community needs are addressed.
The mayor’s office prepares regular updates for posting to this website, sharing information about the project and also global gas markets so that residents can better understand the issues affecting the megaproject — its design and construction planning, permitting and economics.
North Slope oil and gas producers ExxonMobil, ConocoPhillips and BP led the project development team 2013-2016, but then individually decided to slow down spending toward permitting, engineering and design as a global oversupply of LNG and weak prices led to unfavorable market conditions for such a large investment. By the end of 2016, the companies collectively had spent more than $500 million on preliminary engineering and design, but were reluctant to spend substantial additional money in the weak market. In late 2016, the state of Alaska, led by the legislatively created Alaska Gasline Development Corp. and encouraged by the governor, took over management of the project in hopes of keeping it on schedule to a mid-2020s in-service date.
The state development corporation believes Alaska LNG may be able to succeed in a competitive global marketplace with federal tax breaks, lower-cost loans and a different financial structure than a private-sector managed project.
The Alaska LNG development, estimated in 2016 at $45 billion, includes a massive plant on the North Slope to cleanse the gas of carbon dioxide and other impurities; approximately 804 miles of 42-inch-diameter pipeline from Prudhoe Bay to the west side of Cook Inlet and across to Nikiski; and the liquefaction plant, storage tanks and shipping terminal at Nikiski.
The pipeline would be built to carry 3 billion to 3.5 billion cubic feet of natural gas per day. Alaskans would use some of this gas, and running the compression stations along the pipeline and operating the LNG plant would consume more of the fuel. The liquefaction plant would have the capacity to make up to 20 million metric tons a year of LNG (about 2.5 billion cubic feet a day of gas).
The Alaska Gasline Development Corp. in April 2017 filed an application with the Federal Energy Regulatory Commission to start the environmental impact statement process, which could last at least two years. The corporation hopes for a FERC decision by December 2018, to allow a final investment decision by the state -- and any partners -- in 2019, with construction to start later that year. The state's timeline assumes it is able to sign up customers, investors and financing on long-term contracts to underpin the multibillion-dollar development.
LNG Project Maps
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LNG plant site map The Alaska Gasline Development Corp. in April 2017 provided the Federal Energy Regulatory Commission with a site map of the LNG plant in Nikiski, showing locations for the three liquefaction trains, two LNG storage tanks, material offloading facility and north and south plant entrances. |
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Marine terminal site map A 3,300-foot-long trestle would extend out to two LNG carrier loading berths in deep water, as shown in this drawing filed by the Alaska Gasline Development Corp. with federal regulators in April 2017. The temporary barge dock (material offloading facility) for use during the construction project would be built north of the LNG carrier loading berths and later dismantled at the completion of construction. |
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Kenai Spur Highway reroute map The Alaska Gasline Development Corp. in April 2017 filed with the Federal Energy Regulatory Commission a map of eight possiblealternatives for relocating the Kenai Spur Highway around the LNG plant site. The alternatives on the map run from north to south, such as Alternative ADF starts with Option A at Island Lake Road and the Kenai Spur Highway and heads south to Option D and then Option F back to the highway south of Milepost 19. |
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Project overview map The Alaska LNG project would include eight compressor stations along the 804-mile pipeline route from Prudhoe Bay to the liquefaction plant in Nikiski. The project also includes a 60-mile pipeline from the Point Thomson field to the gas treatment plant that would be built at Prudhoe Bay. |
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Proposed Cook Inlet dredging disposal sites In its April 2017 filing with federal regulators, the Alaska Gasline Development Corp. presented a map showing its proposed Cook Inlet disposal areas for dredged material from the marine offloading facility that would be built adjacent to the LNG plant construction site in Nikiski. |
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Cook Inlet pipeline landing site in Nikiski The undersea pipeline from near Beluga on the West Side of Cook Inlet would come ashore on the Kenai Peninsula a couple of miles northeast of Boulder Point, near Suneva Lake, as proposed in this map provided to federal regulators by the Alaska Gasline Development Corp. |
50th Anniversary
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Please join us for a 50th Anniversary Celebration BBQ
August 14, 2014 4:00PM – 7:00PM at Kenai Peninsula College - Kenai River Campus (map)
Food + Friends + Fun!
Musical Guest: Troubadour North
Ceremony: Guest speakers and KPC time capsule
Grand Prize: Drawing for special grand prize giveaway
Kenai Peninsula College Open House:
- • Paramedic & Nursing Labs
- • Residential Housing
- • Career and Technical Education Center
Interactive Kiosks: Each organization showcases our rich history and commemorative items for purchase
- • Kenai Peninsula Borough: Historical photos for viewing, Tshirts, Timeline posters, 50th lapel pins
- • Kenai Peninsula College: Historical photos for viewing and book for sale
50th Anniversary event sponsors
Tesoro Alaska
Peninsula Clarion
Turquoise Broadcasting
KSRM Radio Group
KWAVE/KBAY
Odom - Coke Cola
Research Tools
About Us
Welcome to the Kenai Peninsula Borough Mayor's Office
The Mayor’s Office is located at the Borough Administration Building,
144 N. Binkley Street in Soldotna.
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- Peter A. Micciche |
Efficiencies Reports
The identification and execution of strategies that result in efficiencies and cost savings within the departments of the Kenai Peninsula Borough has been a focus of Mayor Navarre's administration. The employees of the Kenai Peninsula Borough have made great strides every year towards that end. The annual efficiencies reports are available online at the below links or can be requested from the Mayor's office.
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Kenai Peninsula Borough Calendar
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