
Luke Saugier
20:04 - 20:32
"North Star is one of the fields where we have a signed gas sale precedent agreement with Glenfarn to supply gas for Phase 1."
“North Star is one of the fields where we have a signed gas sale precedent agreement with Glenfarn to supply gas for Phase 1.”
We would need to work with AOGCC and get their permission to sell this gas resource. I misspoke in front of, I think, the House Finance Committee and said we didn't need their permission. We do. But I'm very confident that we would get to agreement with AOGCC to sell the North Star gas. And North Star is one of the fields where we have a signed gas sale precedent agreement with Glenfarn to supply gas for Phase 1.
Three major North Slope producers told the Alaska Senate Finance Committee they signed gas sale precedent agreements for Alaska LNG Phase 1 and will sell at the lease line. That structure means midstream pipeline and treatment costs won't be deductible against oil production tax.
