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Trump Threatens to Double South Korea's Costs Over Alaska LNG Deal Delays
M
Moneycontrol•05-10-2026, 08:44
Trump Threatens to Double South Korea's Costs Over Alaska LNG Deal Delays
- •President Trump warned South Korea of increased costs if it delays investment in the Alaska LNG project, stating he would "double it up" if they don't sign soon.
- •South Korea maintains no final investment decision has been made on the Alaska LNG project, citing ongoing reviews of commercial viability and legal procedures.
- •Trump's previous threats to increase tariffs if Seoul failed to deliver on investment commitments suggest a possible meaning behind his "doubling the cost" remark.
- •Seoul disputes Trump's announcement of its participation in the Alaska LNG project and an $8.4 billion enhanced oil recovery project, stating these were not finalized.
- •The Alaska LNG project faces questions about commercial viability due to high construction costs and challenging terrain, with estimated costs ranging from $44.5 billion to $54.5 billion.
Key Questions Answered
President Donald Trump warned South Korea that he could double its costs if it delays moving quickly on an investment in the proposed Alaska liquefied natural gas project.
Estimated project costs for the Alaska LNG development could reach $44.5 billion to $54.5 billion, which is significantly higher than comparable Gulf Coast LNG projects.
South Korea has already transferred $2.4 billion for the construction of a gas-fired power plant in Texas as part of its broader investment commitments under the US-South Korea trade deal.
