Trump Signs 43 Billion Dollar LNG Deal with China
On his visit to China, President Trump reaffirmed his commitment to form agreements that reduce the trade deficit with China by signing a deal to help the LNG industry in Alaska with three Chinese companies.
The deal, which could be potentially worth $43 billion, involves Sinopec, the largest oil company in China, the sovereign wealth fund and one of China's largest bank. Sinopec, a state owned company, China Investment Corporation, Bank of China and Alaska Gasline Development
will work together to create 12,000 jobs in Alaska. The deal has the potential to reduce the US-China trade deficit by $10 billion a year.
The agreement aims to satisfy China's growing demands for cleaner forms of energy as the Chinese government pushes for cleaner skies and will also help to offload some of the excess gas that the US is producing.
As part of the cooperation, a gas treatment plant, a liquefication plant and an 800 mile pipeline will be built to produce and transport an estimated 20 million tons of LNG every year to be exported to China.