New Alaska venture plans to ship LNG to Asia through Arctic

KOTZEBUE, Alaska (AP) – A new company has announced plans to ship liquefied natural gas from Alaska’s North Slope to Asian markets.

Alaska Public Media reported Wednesday that former Alaska Lt. Governor Mead Treadwell is the CEO of Qilak LNG, which expects to partner with Exxon to ship the fuel on ice-breaking tankers from Point Thomson.

Company President David Clarke says Qilak’s project would be much cheaper than the proposed Alaska LNG pipeline project.

Officials say the early cost estimate for the project is about $5 billion.

Officials say Qilak would not need state funding as a subsidiary of Dubai-based Lloyds Energy, which has been focused on LNG since forming in 2013.

Clarke says shipping LNG through Arctic waters has become more feasible due to the reduction of sea ice caused by climate change.

Information from: KOTZ-AM.