Bill Walker on Gas Prospects

Yes, there is a market for Alaska's liquid natural gas and no, don't expect the big oil producers to help get it there.
That was the advice of Bill Walker, General Counsel for the Alaska Gasline Port Authority as he met yesterday with local and state leaders and members of the media.

In a move aimed at being more transparent in their processes, AGPA revealed several non–binding letters of interest from several of the largest LNG buyers in the Asian market, all interested in being involved with LNG exports from Alaska.

AGPA estimates the volume of gas necessary to satisfy the Asian buyers at 2 point 8 billion standard cubic feet per day, on top an expected in–state use of point 5 (.5) BCFD.

Walker says the thinking behind having big oil producers build and maintain a pipeline is faulty, as their oil leases don't stipulate any such thing.

Instead, he says the state could build a line to tidewater and producers would be required to sell at the beginning of the well–head.