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Murkowski Proposes Natural Gas Alliance


February 25, 2004
Wednesday - 1:15 am

Speaking to a meeting of his fellow governors in Washington, DC, Governor Frank Murkowski on Tuesday announced he is forming an "Alaska Gas Support Alliance" among

gas-producing and gas-consuming states.

"Over the upcoming weeks and months, I will be reaching out to governors across the nation to join with me in evaluating the economic and strategic benefits of bringing Alaska gas to Lower 48 consumers," Murkowski said. "Through this support alliance, I hope to educate governors from producing states that the arrival of Alaska gas in 2010 will be to the benefit of their constituents - that a rising tide will lift all boats. I also will look to governors from consuming states to join with me in evaluating the benefits of access to large volumes of secure, domestically-produced gas."

Murkowski said an Alaska Gas Support Alliance could be extremely helpful in getting consuming states together with producing states to understand how Alaska's gas supply could fit into the overall national gas marketing picture. "Would Alaska benefit from building a natural gas pipeline? Of course, we would. But so would virtually every state in the nation. Construction of the gas pipeline would create jobs and business opportunities all across the country. Bringing Alaska's natural gas to market would be good for consumers, and stem the flood of energy dollars going off-shore," he said.

Although liquified natural gas will become more important in the marketplace, Murkowski warned of the danger of American gas suppliers and consumers becoming dependent on LNG coming from foreign sources, as we now depend on those sources for the majority of our crude oil supplies. "It is already too late to do anything about our insatiable thirst for foreign oil," he said. "We are now sending $70 billion a year of our hard-earned money overseas to support this oil habit. Do we want to get into the same boat with gas?"

Alaska has proven natural gas reserves of 32 trillion cubic feet, with an additional 100 tcf estimated to be found on the North Slope. While Alaskan supplies are 1,800 miles from market, that market is increasing in demand each year. And it is taking significantly more effort to find enough gas to replace the decline in reserves, currently about 13 billion cubic feet per day.


Source of News & Soundbite:

Office of the Governor
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