Milan: POSCO International Corp. has officially entered into a strategic partnership with Glenfarne Alaska LNG for the development of liquefied natural gas in Alaska, marking a significant milestone as the first South Korean company to collaborate on this major U.S. energy project, which has received backing from President Donald Trump.
According to Yonhap News Agency, POSCO International, a major gas importer in South Korea, signed the partnership with Glenfarne, the lead private developer of the Alaska project, during the Gastech conference held in Milan, Italy. The agreement is set to be finalized pending approvals from the respective boards of both companies.
Glenfarne revealed that the agreement includes initial terms for POSCO to supply a significant portion of the steel required for Alaska's 1,300-kilometer pressurized natural gas pipeline. This pipeline will connect Southcentral Alaska to a LNG export terminal in the southern part of the state.
Additionally, POSCO has signed a 20-year heads of agreement (HOA) to purchase 1 million tons of LNG per year on a free-on-board basis, marking the first HOA for Alaskan LNG. Glenfarne emphasized the importance of POSCO's involvement, with CEO Brendan Duval stating, "POSCO's participation in Alaska LNG adds tremendous momentum as we drive this signature North American LNG project forward at a rapid tempo."
Glenfarne Alaska LNG President Adam Prestidge also highlighted POSCO's role as a major steel company and leading LNG importer, noting its significance as a partner in the project.
The Trump administration has encouraged Seoul, Tokyo, and other Asian countries to invest in the Alaska LNG project, which aims to construct a 1,300-kilometer pipeline connecting the North Slope to southern Alaska for export primarily to Asian markets.
Previously, Glenfarne has signed partnership agreements with Taiwan's CPC, Thailand's PTT, and Japan's JERA for the project. This strategic partnership with POSCO further strengthens the international collaboration on the Alaska LNG initiative.