Trump Unveils USD 54 Billion South Korean Investment In Alaska Energy Project
US President Donald Trump on Wednesday announced plans for South Korea to invest about USD 54 billion in a long-delayed Alaska liquefied natural gas project, promoting the deal alongside Republican Senator Dan Sullivan as he faces a competitive reelection race in the state.
Trump said the investment was part of the broader USD 350 billion US investment package agreed under the 2025 trade deal with South Korea, which reduced US tariffs on South Korean automobiles and other products to 15 per cent. However, South Korean officials said the Alaska project has not been finalised and remains subject to a review of its commercial viability.
The proposed project involves an 807-mile (1,300-kilometre) pipeline carrying natural gas from Alaska's North Slope to a liquefied natural gas export terminal in the southern part of the state. The gas would then be shipped to Asian markets. The project is expected to cost as much as USD 55 billion.
Trump said the project could create thousands of jobs and help lower energy costs for Alaskans. Project developer Glenfarne Group CEO Brendan Duval said construction could take about three years once financing is secured.
But questions remain over whether the Korean investment will materialise. South Korea's Industry Minister Kim Jung-kwan said Seoul would invest only if the project's commercial viability is established. Korean officials were also absent from Trump's White House announcement.
The Alaska project is part of a wider package of investments Trump unveiled. South Korea is expected to put USD 120 billion into eight nuclear power plants and about USD 22 billion into a natural gas-fired power plant in Texas, according to US and South Korean announcements.
The Alaska LNG project has been pursued for decades but repeatedly stalled because of its enormous cost and questions over its commercial viability. Glenfarne has secured preliminary agreements for 13 million metric tonnes of LNG annually but still needs additional commitments to move toward final financing.
Trump strongly praised Sullivan during the Oval Office event, crediting the senator with advancing the project. Sullivan, who is seeking another term, has made the Alaska LNG project a major priority. His Democratic challenger is former congresswoman Mary Peltola.