The Office of Gov. Mike Dunleavy May 18 announced that the State of Alaska has signed a memorandum of understanding (MOU) with South Korea’s POSCO International Corp. to explore six development projects in Alaska spanning geothermal energy, green methanol, sustainable aviation fuel, rare earths, port infrastructure, and transportation.
“Alaska is open for business, and this agreement reflects the world-class investment opportunities our state offers,” Dunleavy said. “POSCO International is a global leader, and their interest in Alaska validates what we have long known – our resources, our geography, and our people position us for extraordinary economic growth. This is the kind of partnership that creates jobs, grows our economy, and secures Alaska’s future.”
Coming as the fifth annual Alaska Sustainable Energy Conference opens in Anchorage, the MOU follows POSCO International’s deeper move into Alaska through a strategic partnership with Glenfarne Alaska LNG.
Finalized in December, the Glenfarne-POSCO partnership includes a 20-year agreement for 1 million metric tons per year of liquefied natural gas, a pre-final investment decision capital investment in Alaska LNG, and steel from POSCO for a significant portion of the 807-mile pipeline proposed to deliver North Slope gas to Southcentral Alaska and global markets.
During this year’s conference at the Dena’ina Civic and Convention Center, POSCO International’s Won Young Kim is scheduled to join Glenfarne Alaska LNG’s Adam Prestidge and Enstar Natural Gas President John Sims in a plenary discussion on Alaska LNG project partnerships.
Signed by Dunleavy and POSCO International President and CEO Lee Kye-in, the two-year agreement provides a framework for the state and the Seoul-based company to exchange information, explore project terms, and negotiate definitive agreements for any or all of six project areas. These projects are:
• Mount Augustine Geothermal Energy Project – developing geothermal resources from Augustine Island in lower Cook Inlet, about 75 miles southwest of Homer and 180 miles southwest of Anchorage.
• Mount Augustine Green Methanol Project – leveraging geothermal energy from Augustine Island to produce green methanol as a clean fuel source.
• Point MacKenzie SynFuel Refinery Project – establishing a sustainable aviation fuel refinery at Point MacKenzie, across Knik Arm from Anchorage, along the Matanuska-Susitna Borough’s deep-water port corridor.
• Bokan-Dotson Ridge Rare Earth Project – advancing one of the most significant rare earth element deposits in the U.S., located 37 miles southwest of Ketchikan on Prince of Wales Island.
• Port MacKenzie Port Terminal Infrastructure Project – expanding terminal capacity at Port MacKenzie, across Knik Arm from Anchorage, to support increased cargo and industrial activity.
• Knik Arm Crossing & Expressway – progressing the long-envisioned fixed crossing between Anchorage and the Mat-Su Valley, including a proposed link from the Point MacKenzie area into Anchorage.
“This MOU marks an important step in building a long-term, strategic partnership between the State of Alaska and POSCO International,” said Lee. “Alaska’s abundant resources, strategic location, and strong development potential are closely aligned with our global capabilities in energy, infrastructure, and critical minerals. We look forward to working closely with Governor Dunleavy and the State of Alaska to explore these projects responsibly and create meaningful opportunities that can help strengthen supply chains and support sustainable growth for both parties.”