Conoco Submits Alaska Pipeline Proposal

ConocoPhillips Friday proposed to build a $30 billion natural gas pipeline from Alaska to the lower 48 U.S. states.

The company said it submitted a proposal to Alaska Governor Sarah Palin to build a pipeline that would move about 4 billion cubic feet of natural gas per day.

It said it would make significant investments, without state matching funds, to advance the project.

Alaska's North Slope contains 35 trillion cubic feet of known natural gas and is believed to hold many more times that in undiscovered reserves.

The company also said it plans to approach other parties to explore their participation in the project.

Chief Executive James Mulva told the Wall Street Journal he is willing to partner with a pipeline company and hopes to join with Exxon Mobil and BP on transporting natural gas from Alaska's North Slope region.

The three major producers have previously sought direct negotiations with the state to hammer out fiscal terms they say are needed to reduce the risks of such a massive project.

ConocoPhillips said Bechtel Oil, Gas and Chemicals will provide Engineering and technical support for the early stage of the project.