CPC Corporation (CPC Taiwan), a Taiwanese state-owned energy company, has signed a letter of intent (LoI) with Alaska Gasline Development Corporation (AGDC) for the purchase of liquefied natural gas (LNG) and potential investment in the Alaska LNG project.
The agreement outlines plans to secure long-term LNG supplies while exploring upstream investment opportunities. It initiates negotiations on procurement volumes, pricing mechanisms, and potential financial participation in the project.
The Alaska LNG project is a US government-backed initiative designed to commercialise natural gas reserves from the North Slope region.
Developed by AGDC in partnership with Glenfarne Group, the project is expected to become a key LNG export facility, offering direct supply routes to Asian markets. It holds federal approvals granted under both the Trump and Biden administrations and is the only permitted LNG export terminal on the US West Coast.
The facility is expected to process and transport approximately 3.5 billion cubic feet of natural gas per day, with supply sourced primarily from the Prudhoe Bay and Point Thomson fields.
The project’s location eliminates the need for transit through the Panama Canal, reducing shipping distances and logistical complexities for buyers in the Asia-Pacific region. In addition to exports, a portion of the gas will be allocated for domestic consumption within Alaska, supplying industrial and residential markets.
AGDC president Frank Richards said: “Alaska LNG is broadly supported at federal, state, and local levels because of this project’s significant strategic, economic, and environmental benefits.
“Alaska LNG will annually strengthen the US balance of trade by approximately $10bn, create thousands of jobs, and eliminate up to 2.3 billion tons of carbon emissions over the project’s 30-year authorisation.”
Taiwan’s Ministry of Economic Affairs stated that the agreement with AGDC supports diversification of the country’s energy supply and strengthens cooperation with the US energy sector. The ministry confirmed that discussions on procurement volumes, delivery schedules, and financial structuring would proceed in the next phase of negotiations.
