North Slope LNG project clears federal permits, pipeline work to begin soon

Survey crews and pipeline contractors could soon become the first visible sign of Alaska LNG’s latest push on the North Slope, after the project cleared key federal hurdles and lined up tentative sales commitments totaling 13 million tonnes a year. For Prudhoe Bay, Point Thomson and the borough’s contractors, the question now is how quickly paper approvals turn into boots on the ground.

The project’s ownership changed hands on March 27, 2025, when Alaska Gasline Development Corporation signed definitive agreements giving Glenfarne Alaska LNG, LLC a 75% stake in 8 Star Alaska, LLC and making Glenfarne the lead developer through front-end engineering and final investment decision. AGDC kept 25%. The line is designed to carry North Slope gas to Alaska utilities and export up to 20 million tonnes of LNG a year through an 807-mile pipeline that would be 42 inches in diameter.

Federal steps moved in parallel. On April 11, 2025, AGDC and Glenfarne filed with the Federal Energy Regulatory Commission to transfer the project’s section 3 authorization and Presidential Permit to 8 Star Alaska. Three days earlier, the National Marine Fisheries Service said it had received an application for marine mammal take authorization tied to Cook Inlet construction beginning January 1, 2026. Earlier Bureau of Land Management actions had already built the federal environmental record, and the route was described as crossing roughly 230 miles of federal lands.

The commercial side also advanced. On May 27, 2025, Glenfarne said final engineering had started and that Worley had been selected to prepare a final cost estimate. On June 23, 2025, Glenfarne announced a Cooperation Agreement with PTT Public Company Limited of Thailand covering strategic participation and procurement of 2 million tonnes a year over 20 years. By then, Alaska LNG said it had reserved 50% of its available third-party LNG offtake capacity to investment-grade counterparties.

That matters because the sales book is still not the same thing as a built project. The planned 13 million tonnes a year of deals are significant, but they still fall short of the full 20 million-tonne export design and do not guarantee an immediate buildout on the North Slope. AGDC says a phased approach could deliver gas to Southcentral Alaska as soon as 2029, a timeline that would be watched closely in Anchorage, Nikiski and across the railbelt.

Supporters argue the urgency is real. AGDC has said Cook Inlet gas has historically traded around $6 to $8 per MMBtu, a recent supply contract increased prices by 50%, and projected LNG import costs could run $12 to $15 per MMBtu. A January 29, 2025 presidential order directed agencies to prioritize Alaska LNG permitting and infrastructure for economic and national security reasons, giving the project new federal momentum after years in which ExxonMobil, ConocoPhillips and BP all exited the original venture. For the North Slope, the next test is whether that momentum produces contracts, jobs and field work soon enough to matter.