State: Bullet line won’t be cheap

Tim Bradnermorris News Service-Alaska, Peninsula Clarion

A state technical team has completed a first-phase cost estimate for a 24-inch natural gas pipeline that could be built from the North Slope to the state’s larger cities in Interior and southern Alaska.

The estimate was done in the event that a planned large-diameter pipeline by either TransCanada or Denali consortiums to the Lower 48 is substantially delayed.

Bob Swenson, manager of the Alaska in-state gas pipeline project, said capital costs for a 24-inch, 800-mile pipeline would range from $6.4 billion for a 24-inch pipeline moving 250 million cubic feet of gas daily to $10.9 billion if additional compression is added to increase the gas throughput to 1 billion cubic feet daily.
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