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Juneau, Alaska - Governor Palin and Chugach Electric Association are pleased to announce that Chugach has a new, long-term natural gas contract with ConocoPhillips. The new seven-year contract is designed to fill 100 percent of Chugach's unmet needs through April 2011, approximately 50 percent of Chugach's unmet needs from June 2011 through December 2015, and approximately 25 percent in 2016.
“This is a big victory for consumers, who are facing huge energy challenges,” Governor Palin said.
In signing the contract for 66 billion cubic feet of gas, ConocoPhillips has satisfied the final provision of the 2008 Kenai LNG settlement agreement among ConocoPhillips, Marathon Oil, and the State of Alaska. This will also allow Alaska to better supply the lower 48 with its growing energy needs. “I want to acknowledge the contribution of several state personnel who played a key role in mediating this important contract,” Governor Palin said. “This will allow Chugach to continue supplying electricity to the Railbelt, as operations continue at the Kenai LNG plant.”
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