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US energy firm Glenfarne Group has provisionally named Australian engineering firm Worley to provide engineering, procurement, and construction management (EPCM) services for the Alaska LNG pipeline project.
Glenfarne announced on Thursday a series of major advances that move Phase One of the Alaska LNG project from development into early execution.
The company noted that the provisional EPC contract follows Worley’s completion at the end of 2025 of Phase One engineering work sufficient for a final investment decision.
The conditional award remains subject to the completion of a definitive agreement.
Last year, Glenfarne signed definitive agreements with state-owned Alaska Gasline Development Corporation to become the majority owner of the giant Alaska LNG export project.
The project is designed to deliver North Slope natural gas to Alaskans and Alaska utilities and export up to 20 million tonnes of LNG per year.
Alaska LNG’s three subprojects include an 807-mile 42-inch pipeline, the 20 mtpa LNG export terminal in Nikiski, Alaska, and a North Slope-based carbon capture plant to remove and store seven million tons of carbon dioxide annually.
Pipeline construction
Glenfarne also announced conditional awards for pipeline construction and line pipe supply following a multi-round bid process that began with twenty participants.
The following companies and suppliers have received a conditional award for pipeline construction that includes comprehensive pricing and technical specifications and reflects specific roles in the multi-spread construction strategy for the Phase One pipeline and the Point Thomson Lateral.
These contractors include MasTec subsidiary Precision Pipeline, Quanta Services subsidiary Price Gregory International, a boint bid between Michels Pipeline and ASRC Energy Services – Houston Contracting Company, a subsidiary of ASRC Energy Services, a joint venture between Associated Pipe Line Contractors, Doyon Energy Services, and Cruz Construction, a JV between Barnard Pipeline and SICIM, and a JV between VINCI Construction subsidiary Spiecapag and U.S. Pipeline.
These awards remain subject to the completion of definitive construction agreements.
Glefarne noted that Phase One of Alaska LNG will require 700,000 metric tonnes of API 5L X70 line pipe for the main line and an additional 25,000 metric tonnes of line pipe for the Point Thomson Lateral.
Following a comprehensive multi-round competitive bidding process involving US and international pipeline manufacturers, Glenfarne executed preliminary agreements for approximately two-thirds of the needed line pipe to Corinth Pipeworks, and Europipe.
As previously announced, Posco International, a unit of South Korean steel producer Posco, has agreed to supply a portion of steel for pipeline fabrication.
Gas supply deals
Glenfarne also executed multiple agreements with North Slope producers for gas sales to the pipeline, ensuring natural gas supply for Phase One of the pipeline.
Among these agreements, Glenfarne has executed a gas sales precedent agreement with ExxonMobil for gas supply to the pipeline.
The company has also executed a gas sales precedent agreement with Hilcorp Alaska for additional volumes of gas to the pipeline.
This announcement adds to the previously announced agreement with Pantheon Resources.
In parallel, Glenfarne said it had advanced agreements with major in-state customers to anchor demand and ensure that North Slope gas is delivered first and foremost to Alaskans.
Glenfarne has signed a non‑binding letter of intent with Enstar Natural Gas Company for a 30‑year supply of natural gas from the Alaska LNG pipeline to Enstar.
The arrangement would be dependent on the negotiation of definitive agreements and approval by the Regulatory Commission of Alaska, it said.
Glenfarne also recently announced a letter of intent with Donlin Gold Mine encompassing the delivery of up to 50 MMcfd of natural gas per day and cooperation on the development and construction of a 315-mile-long natural gas pipeline and a power plant to supply energy to the mine.