Interior Gas Utility to acquire all its natural gas from North Slope starting in October 2024

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Interior Gas Utility to acquire all its natural gas from North Slope starting in October 2024
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In Interior Alaska, 2,750 households and businesses rely on natural gas from IGU for heat.

Published: Mar. 8, 2024 at 3:36 PM AKSTFAIRBANKS, Alaska - Interior Gas Utility , which is responsible for providing natural gas as a heating source to thousands of homes and businesses around the Interior, is planning to change their source of Liquefied Natural Gas from Cook Inlet to the North Slope.

A number of storage facilities in Fairbanks and North Pole hold a large supply until it is ready to be transmitted across the area to heat homes and buildings. “We have a storage capacity of five and a half million gallons, and when you compare that during the worst cold snap that we’ve had this year, we have sent out 110,000 gallons, so total capacity: five and a half million, biggest two-day send out: 110,000,” said Sudduth.

A search for solutions began, which eventually led to the North Slope, and a partnership with Harvest Alaska, LLC. “They are currently building a liquefaction plant on the North Slope near Deadhorse. That liquefaction plant is set to come online here very shortly. The targeted commencement date is October of 2024, and when it comes online, we will be sourcing 100 percent of our liquefied natural gas from there rather than from the Cook Inlet,” she explained.

At this time, 8.9 billion cubic feet of natural gas is re-injected every day on the North Slope, Sudduth said. “This year. Interior Gas Utility is going to need 1.3 billion cubic feet. So everyday they re-inject almost eight times as much as we need in an entire year on the North Slope.”

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