$44 billion Alaska LNG project scores new offtake deal with Japanese player

October 27, 2025, by Melisa Cavcic

Glenfarne Alaska LNG, a subsidiary of Glenfarne Group, has boosted the commercial momentum of its Alaskan liquefied natural gas (LNG) export development through a deal with Japan’s energy utilities giant Tokyo Gas, representing the fifth agreement in seven months, totaling more than half of the project’s volume.

Rendering of the liquefaction facility in Nikiski; Source: Alaska LNG

The duo’s letter of intent (LOI) is for the offtake of one million tonnes per annum (mtpa) of LNG from the Alaska LNG project, adding commercial momentum to the progress made in developing the 20 mtpa project, which is perceived to be the only federally authorized export terminal on the U.S. Pacific Coast.

Ever since it became the lead developer of the project in March 2025, Glenfarne, as a majority owner together with its joint venture partner, the State of Alaska’s Alaska Gasline Development Corporation (AGDC), has worked to secure new offtake deals.

As the firm signed preliminary agreements with LNG buyers in Japan, Korea, Taiwan, and Thailand, including JERA, POSCO, CPC, and PTT, totaling 11 mtpa of capacity of the 16 mtpa, it expects to secure the rest to reach a financial close for the project.

Brendan Duval, Glenfarne’s Chief Executive Officer and Founder, commented: “This agreement validates the strength of Alaska LNG’s commercial offering and the importance of Alaska LNG as a strategically positioned supplier of affordable, clean LNG for U.S. Pacific allies.

“Tokyo Gas pioneered the LNG industry with their agreement to purchase LNG from Alaska fifty-five years ago and is one of the most respected voices in the industry. We welcome their participation in Alaska LNG.”

View on Offshore-energy.

Currently, Worley is completing the final engineering and cost validation for the project’s 807-mile pipeline. Consisting of a 42-inch diameter pipeline to transport natural gas from the North Slope to meet Alaska’s domestic needs and produce 20 mtpa of LNG for export, Glenfarne’s Alaska LNG is being developed in two financially independent phases to accelerate project execution.

While Phase One entails the domestic pipeline to deliver natural gas approximately 765 miles from the North Slope to the Anchorage region, Phase Two will add the LNG terminal and related infrastructure to enable export capability. The State of Alaska, through the Alaska Gasline Development Corporation, owns 25% of Alaska LNG.

“With abundant gas reserves and the Project’s geographic proximity to the Asian market, the project holds significant potential to enhance the stability of LNG supply in the region. Tokyo Gas’ Management Vision, ‘Compass 2030,’ emphasizes the transformation of the LNG value chain,” emphasized Tokyo Gas.