Trump announces South Korean investment plans for Alaska gas pipeline

President Donald Trump announced plans Wednesday for South Korean investment in a natural gas pipeline across Alaska, putting a long-sought energy project in the spotlight as Republican Sen. Dan Sullivan faces a competitive reelection race.

The proposed 807-mile pipeline would carry gas from Alaska’s North Slope to a liquefied natural gas export terminal in the southern part of the state. The White House said the project would eventually give Alaskans a reliable supply of gas and lower their energy costs. Commerce Secretary Howard Lutnick said the gas could also be exported to Asia.

Al Jazeera reported that $54 billion of the South Korean investment is slated for the Alaska project. Trump described the broader plans as nearly $200 billion in South Korean funding for projects that also include a Texas power plant and eight large-scale nuclear power plants. Further details of those investments were not clear.

“We’re thrilled to announce one of the largest energy infrastructure investments in American history,” Trump said at a White House event with Sullivan.

Officials said construction of the Alaska pipeline would take three years, with LNG exports beginning two years later, provided full financing comes through. It remained unclear how quickly South Korea’s government would approve the project or how much it would spend, CBS News reported.

The planned investments stem from a $350 billion trade and investment agreement with South Korea. Under the deal, the United States agreed to lower tariffs on South Korean cars, auto parts and other products. Al Jazeera reported that South Korea committed $150 billion to U.S. shipbuilding and $200 billion to other strategic sectors. Trump credited his tariff policy for the investment plans, saying, “Our trade agreement with South Korea, they have to invest hundreds of billions of dollars.”

Sullivan, who has advocated for the Alaska gas project and encouraged South Korean investment, said it could create an estimated 12,000 construction jobs and provide low-cost energy “for 50 to a hundred years.” He said Alaskans and the military would receive gas before exports went to Asian allies.

“Mr. President, this one is huge for Alaska,” Sullivan said, adding that he had worked on it “relentlessly.” Trump praised the senator’s role: “He’s got my ear, and he’s had my ear for a long time on Alaska.”

Sullivan, a two-term Republican, faces former Democratic Rep. Mary Peltola in November. Democrats need a net gain of four seats to take control of the 100-member Senate.

Wednesday’s announcement followed Trump’s unveiling Monday of plans for a $15 billion steel plant in Iowa, where Republican Rep. Ashley Hinson and Democratic state Rep. Josh Turek are competing for a Senate seat. Trump acknowledged earlier Wednesday that his administration had struggled to make its case to voters. “I’ve done a very bad job of explaining,” he said.

The other planned South Korean investments include a 6-gigawatt power generation facility in Encinal, Texas. Al Jazeera reported that South Korea’s Ministry of Trade, Industry and Resources identified it last week as the first project selected under the country’s $200 billion strategic investment program.