Equity Stake in Pipeline Project

FAIRBANKS- The State of Alaska is looking at a possible multibillion–dollar equity stake in a project to build a natural gas pipeline. The idea comes from a report commissioned by the state to see how Alaska could protect its royalty interest and ensure it receives maximum value for its natural gas. Natural Resources Commissioner, Joe Balash, said that Governor Sean Parnell supports an equity stake of 20%  to 30% of the total cost. One projection estimates the project costing $45 billion dollars, which means the state could pay between $9 and $13 billion. Buy–in would be necessary from the Legislature.