Alaska Gas My Ass: Putin vs Parnell and Walker

A catchy Alaskan phrase I decided to use to play off of the slogan Canada My Ass, Its Alaska's Gas.

I have written extensively about Gazprom, Putin and how Alaska will not, will never, even if hell freezes over, compete with Russia when it comes to selling natural gas to Asia whether it be Japan, China or some remote chain of islands in the South Pacific named Vanuatu.

It's a political season and you have Bill Walker pimping an all Alaskan pipeline pumping LNG to Asia - and Sean Parnell pimping a pipeline pumping LNG to Japan.

Both are wrong and a LNG pipeline built to pump LNG to Asia will fail. It will fail even when it will have to be heavily subsidized by the PFD.

Here is why:

Bringing Alaska North Slope Natural Gas to Market  (US Energy Information Administration 2009)

The LNG option is further undermined by the fact that there are large reserves of stranded natural gas elsewhere in the world that have a significant competitive advantage both because of their proximity to large consumer markets and because they would not require construction of an 800-mile supply pipeline through difficult terrain. Although there is definite interest in the LNG export option in Alaska, current advocates of the project have not yet secured letters of intent from potential buyers to purchase the LNG, nor do they have ownership of low-cost AD reserves, extensive experience in the management of large-scale projects, or strong financial backing. Finally, if shale deposits in the rest of the world turn out to be as rich in natural gas as those in the United States, worldwide demand for LNG could be reduced considerably from the levels that were expected just a few years ago. 

China and Russia’s US$400-billion natural gas deal ‘complicates’ new LNG projects

Japanese Lawmakers to Lobby Abe for Russian Gas Pipeline

Japan's LNG imports fall

Japan spot LNG contracted in June falls to $13.80/mmBtu (June 2014)

Japan spot LNG contracted in August falls to $11.40/mmBtu  (August 2014) 

What about Putin's use of energy as a weapon: 

Poland stops reverse gas flow to Ukraine, Kiev blames Russia

Russia’s Gazprom Cuts Poland Natural Gas Supply

There is no way in hell any Governor in Alaska going to go head to head with Putin on selling gas.

Moreover, not much attention was placed by Alaskans on Ukraine - too bad, because it shed light on how strong Putin is - sanctions by many nations didn't deter him - and he has proven himself to be ruthless.

Alaska gas? My ass - there isn't enough people in Alaska to pay for a failed gas pipeline before it is even built and a Governor smart enough to take on Putin.