The Trump administration is promoting a long-stalled $44 billion liquefied natural gas pipeline in Alaska, despite environmental concerns and financial risks. Officials handed a 75 percent stake to private firm Glenfarne Group in a no-bid deal, with the state already spending over $600 million. Critics warn of massive emissions and threats to endangered species.
In June, Energy Secretary Chris Wright, alongside Interior Secretary Doug Burgum and EPA head Lee Zeldin, toured northern Alaska to hype the Alaska LNG project. At Prudhoe Bay, Wright addressed oil workers, calling them “the greatest liberators in human history.” The proposed 800-mile pipeline would transport natural gas from the North Slope's 35 trillion cubic feet reserves to a Cook Inlet export terminal, potentially one of the largest U.S. infrastructure projects.
The idea dates to the 1960s, with over 23 proposals since, but harsh conditions and market volatility stalled progress. The Alaska Gasline Development Corp., formed in 2011, has spent about $600 million on planning without reaching construction. Major oil firms like ConocoPhillips and Exxon Mobil withdrew due to the steep $44 billion cost—possibly $70 billion per independent estimates—and lack of buyers. Last year, after Trump's election, state officials granted Glenfarne Group, a firm without LNG experience, a 75 percent stake in a secretive no-bid deal. The state floated an additional $50 million to Glenfarne, though not directly paid yet.
Project manager Brad Chastain insists, “There are no subsidies,” despite denied public records requests for the contract, cited as trade secrets. Backers seek $30 billion in federal loan guarantees, risking taxpayer funds. Governor Mike Dunleavy touts economic benefits and energy security, but protesters like Rochelle Adams of Yukon River Protectors declare, “Alaska is not for profit. Alaska is our homeland.”
Environmentalists highlight 1.5 gigatons of emissions over 30 years, plus methane leaks and threats to belugas and caribou. Thawing permafrost endangers infrastructure, with temperatures up over 6 degrees Fahrenheit. Youth plaintiffs sue, arguing it violates Alaska's constitution on sustainable resource management. Linnea Lentfer, 21, laments, “To see those things change in my lifetime is incredibly scary.” Recent permits allow harming 10 percent of Cook Inlet belugas. No binding buyer contracts exist, despite claims of Asian interest; Japan denied involvement. In December, the state proposed slashing project property taxes by 90 percent, straining local budgets.
Glenfarne plans a phased build starting with a $11 billion domestic line, but critics say it would run mostly empty without exports. Utilities doubt it solves supply shortages by 2027, favoring smaller alternatives. As global LNG floods markets by 2030, experts like Larry Persily call the economics “still bullshit.”