South Korean Lawmakers Urge Review of $54 Billion Alaska LNG Project

South Korean lawmakers are calling for a thorough review of the commercial viability of the Alaska LNG project before making an investment decision. The project involves constructing a 1,300-kilometre pipeline running south through the state at a cost estimated by the White House to be $54 billion.

Lawmakers have also pointed to the need for an additional review of the economic feasibility of a separate $120 billion project involving the construction of eight nuclear reactors in the United States.

Han Jeong-ae, a lawmaker from the Democratic Party of Korea, said that the country's investment in the Alaska LNG project has not yet been confirmed. According to her, a decision will be made after a sufficient assessment of commercial feasibility in accordance with domestic legal procedures.

Park Ji-hye, also from the Democratic Party of Korea, expressed doubts about the project's prospects due to a potential decline in demand for fossil fuels. She warned that if demand for natural gas falls faster than expected, large pipelines and gas liquefaction facilities could become stranded assets, making it nearly impossible to recoup substantial initial investments.