$54 Billion Pledge to Fund Alaska LNG Facility Amid Midterm Election Push

South Korea's $54 billion pledge may soon be used to finance an Alaska liquefied natural gas (LNG) facility, as well as several other major US projects. This move is part of a flurry of economic and investment announcements ahead of November's midterm elections, with President Donald Trump seeking to bolster his administration's economic record.

The Alaska LNG project would be the first such US project with direct access to Asia, the fastest-growing market for liquefied natural gas. Japan's two biggest LNG importers, JERA and Tokyo Gas, have signed preliminary deals to buy a combined 2 million tonnes per year from Alaska LNG if it is built.

South Korean officials have been working with US counterparts to identify projects for the $350 billion strategic investment package pledged by Seoul under a trade deal last year. The two sides have discussed several potential investments, including nuclear power and a gas-fired power project in Texas.

Kim Sung-won, a South Korean opposition lawmaker, expressed caution about the proposal, stating that US investments should be structured in a mutually beneficial way to create opportunities for South Korean companies and secure stable energy supply chains. He emphasized that the National Assembly would closely examine the profitability and fiscal risks of US investment projects.