Thursday, June 11, 2009

N.W.T. fears pipeline guarantee for Alaska

N.W.T. fears pipeline guarantee for Alaska

CALGARY - The Northwest Territories is worried a little-noticed plan to boost U.S. federal loan guarantees for an Alaska gas pipeline to $30 billion US could raise yet another impediment to the construction of the Mackenzie Valley pipeline.

Bob McLeod, the territory’s minister of industry, tourism and investment, said he will ask the senior Canadian politician in charge of the Mackenzie project to talk to U.S. officials about the proposal to boost the backstop by two-thirds, as spelled out in a comprehensive energy bill.

Backers of the $16.2-billion Mackenzie line through the territory have said the project could face years of delay if the larger Alaska pipeline moves forward first.

Related Links:

U.S. bill threatens Canadian pipeline

CALGARY - A U.S. bill bumping up a federal loan guarantee to build an Alaska natural gas pipeline could push a Canadian Arctic gas initiative even further back, according to analysts.

If approved by the U. S. Congress, Monday's bipartisan deal would increase the loan guarantee for the Alaska pipeline to$30 billion US from $18 billion set in 2004. It also made clear Washington would cover up to 80 per cent of the total project costs if the pipeline owners defaulted in the financing.

Government of Canada Support to Identify Job Opportunities Linked to Pipeline Project

The Government of Canada is sponsoring a research project that will help identify job opportunities for the Alaska Gas Pipeline.

No comments: