The first meeting takes place at noon at the Noel Wien Public Library. A second meeting is scheduled for 6 p.m. at the Carlson Center.
The deal involves the Alaska Gasline Port Authority, which is backed by the Fairbanks North Star Borough, Valdez and the North Slope Borough, incurring debt to buy Fairbanks Natural Gas, a company owned by Outside investors.
The Golden Valley Electric Association would buy the port authority’s gas and reportedly lower its rates an estimated 6 percent. Some Fairbanks-area businesses and residents would have a cheaper source for heat.
The estimated $250 million deal is pending approval of the GVEA board of directors, which meets next on March 29.
Conducting the presentations will be Borough Mayor Luke Hopkins, who belongs to the port authority board of directors, along with officials from GVEA and Fairbanks Natural Gas.
Another presentation will take place Wednesday at
6 p.m. at the North Pole City Hall.
The scheme works as long as the price of oil is about $55 per barrel or higher, according to officials working on the plan.
Hopkins told the Borough Assembly in January that the project is expected to create 150 construction jobs and 50 long-term, well-paying jobs in Fairbanks and on the North Slope.
A plant on the North Slope for liquefying natural gas would be built along with a storage facility in North Pole.
The plan to truck natural gas to Fairbanks is considered a bridge solution to lowering energy rates until a natural gas pipeline is built.
The deal is subject to approval from the Regulatory Commission of Alaska as well as the Borough Assembly.
The assembly in January gave access to $28 million worth of federal bonds to the port authority to help finance the project.
As my friend mentioned, BUILD THE PLANT UP NORTH AND SEND THE ELECTRICITY SOUTH TO THE INTERTIE.
This also creates jobs, AND keeps the hazmat off the roads.
Ya buncha suits had better start heeding the public opinion.
money for this bartos idea of trucking gas. The
way to move oil or gas over long distances is
by pipeline. This is a waste of money and time
when we should be all over the legislature to
fund a smaller bullet line tosouthcentral and
kenai. It can be shipped from kenai, no reason to go to valdez . The population density of the
state is not into valdez.
By the way, your cant is showing.
a whopping 6% decrease in your electric bill. That means my last 300 dollar bill would be reduced by a whopping 18 dollars. Are you people completely stupid, or just all part of the good ol boys that will get the millions in kickbacks and side deals on this nightmare. You tell us that the electric bills will go down 35% at a minimum and then we can consider talking about it. 6% indeed. What an absolute joke. Another way for the good ol boys to get their petrol dollar kickback. Cant you see through the smoke, before Luke's cronies go after it, too? Cmon, there cant be that many completely blind and stupid people in this town that they cannot see through this?
Why does everyone want to destroy what we have and replace it with the lower 48? It must be that same guilt mentality that makes liberals want to turn us into a 3rd world country, to make up for our misdeeds. Baah sheeple, baah.....
FNG should be worth billions, or at least in the minds of its founders, when they concocted this rotten egg in the 1990's.
1. Why are we informed of the meetings the day of?
2. Why is the most recent news on the AGPA website dated July 2008?
3. If AGPA has been working so hard, so long on this project and it's so in our interest, why is there no detailed info on their website?
4. What will we be paying to buy out FNG?
5. How were FNG's assets valued?
6. Who, with what expertise, set the value on FNG's assets?
7. What would FNG's assets be worth if this deal did not go through?
8. What was FNG's investment?
9. Under this deal, what will be their return?
10. How long would we be locked into this deal?
11. Would we be able to get out of it if there is a better alternative?
12. Where can we see the "deal"?
The deal that the is on the table will sell gas to the Port Authority for $1 per million BTU's for the duration of the contract. One million BTU's of heating oil costs $21. So if we can get the gas to town for less than $20 it will be cheaper.
The Port Authority is not a private company that is out to maximize profit. The Port Authorities goal is to lower the cost of energy to Alaska residents, big difference. This is not going to be the long term solution that we need, but it will bridge the gap until a real solution is brought online.
This is the same story we were told when FNG first opened, now look at the cost of gas here and now.
Raising my property taxes, the only income they have, will be paying for this stupid idea.
First you have to understand that there is no real market in Fairbanks . To pay for a project such as this you need a LOT larger market base to be able to price the product low enough to make it work. Sorry Charley, this is what happens when you elect people who do not know what they are doing. If they did they would have a REAL job.
Thanks Luke for looking past the binders.