Report: Pipeline From Alaska to Chicago More Profitable Than LNG Shipments to West Coast
Posted on Apr 26, 2006 in Liquefaction, Markets and Competition, Pipelines | Comments Off on Report: Pipeline From Alaska to Chicago More Profitable Than LNG Shipments to West Coast
A plan to deliver LNG cargoes from a proposed liquefaction plant in Alaska to the West Coast would be less profitable than piping the gas to the Chicago market, a report from PFC Energy says. The study, which was commissioned by the Alaska Department of Revenue, says the liquefaction project offers a netback of $3.17/MMBtu compared to a yield of $4.69/MMBtu by the Chicago pipeline plan. Details of the report are available in Monday’s Platts LNG Daily. [Subscription required]