CPC to invest up to US$4.4 billion in Alaska LNG project

Taipei, Oct. 14 (CNA) The Ministry of Economic Affairs on Wednesday confirmed that state-owned CPC Corp., Taiwan will invest up to US$4.4 billion in an Alaska liquefied natural gas (LNG) project and buy 6 million metric tons of LNG a year once production begins.

If the project proceeds on schedule, it could begin supplying LNG to Taiwan as early as 2032, the ministry said in a news release.

The partnership with the project's U.S. developer is expected to diversify Taiwan's LNG supplies, give Taiwan more flexibility in managing supply and distribution, strengthen energy security and deepen ties with the United States, the ministry said.

Alaska's location allows LNG to be shipped directly to Taiwan across the Pacific Ocean, offering an alternative transport route that could help mitigate geopolitical risks and diversify supplies, it added.

The partnership will be based on mutual benefit and shared prosperity, and CPC is continuing to work out details of the purchase and investment, the ministry said.

Earlier Wednesday, Premier Cho Jung-tai (卓榮泰) told reporters that the government had been working since the start of the year to ensure stable supplies of oil, electricity and natural gas. He also called on the public to show greater support for state-owned utilities.

In February, CPC Chairman Fang Jeng-zen (方振仁) said the company planned to increase its U.S. LNG purchases to about one-third of its total imports.