Wedoany.com Report-May 4, Japan, South Korea, and China are considering a joint feasibility study for the $44 billion Alaska liquefied natural gas (LNG) project in the United States, according to sources familiar with the matter. The project involves constructing a 1,300-kilometer pipeline to transport natural gas from Alaska’s Arctic Circle to a liquefaction facility for export, primarily to Asian markets.

Snow capped mountains are reflected in Kenai Lake outside of Cooper Landing, in Anchorage, Alaska.

The collaboration aims to ensure reliable energy supplies, as Alaska’s natural gas offers low geopolitical risk and a delivery time of about one week. A representative from Japan’s Agency for Natural Resources and Energy stated: “Investment in the project depends on whether it is economically viable.” However, concerns remain over the project’s substantial costs and the absence of participation from major U.S. energy companies, with Alaska’s local energy sector expected to lead.

During recent trade negotiations with the United States, South Korea proposed partnering with Japan, China, Vietnam, and other nations to assess the project’s feasibility, according to Japanese diplomatic sources. South Korea and China have state-owned energy companies ready to participate, while Japan would rely on private firms. Japanese energy companies pointed out that U.S. LNG, unrestricted by resale limitations, has previously allowed profitable resales to Europe during supply shortages caused by regional disruptions.

U.S. President Donald Trump, in a speech earlier this year, expressed expectations for Japan and South Korea to join the Alaska LNG project. Treasury Secretary Scott Bessent recently noted that investments from Japan, South Korea, and China could lead to favorable tariff adjustments in trade discussions. The three economies view potential involvement as a strategic opportunity to strengthen trade relations with the U.S. while addressing energy needs.

The project’s economic and logistical challenges are under close review. Japanese sources emphasized the importance of conducting a thorough assessment, given the venture’s scale. South Korea stressed the need to confirm the project’s viability before committing resources. As the feasibility study progresses, the collaboration aims to balance energy security with economic practicality, fostering sustainable energy cooperation in the region. The outcome of these evaluations will determine the extent of Japan, South Korea, and China’s participation in the Alaska LNG initiative.