As members of the resource committees in the Alaska state Legislature are focusing on the mammoth, 40-year old dream of a large diameter natural gas pipeline, the relatively modest bullet line, or the Alaska Stand Alone Project, appeared to be moving along with a potential big investor.

The state-owned Alaska Gasline Development Corp., charged with making the bullet line a reality, announced today that the Japanese Resources Energy Inc., or REI, is interested in making a multibillion dollar investment in the line, and buying a large amount of LNG—as much as 150 MMscf per day—from  the state.

According to AGDC, REI visited the Anchorage offices on Wednesday to give a presentation which expressed interest in “exploring opportunities to assist with the financing of the ASAP project.” The investments include an LNG facility, local storage, export terminal and ocean transportation assets.

REI, made up of large businesses and a bank in Japan, has been in Alaska for years, trying to establish relationships and work with Alaska’s government to enter into a joint agreement to sell the state’s North Slope gas to Japan.

In 2012, then DNR Commissioner Dan Sullivan told the consortium that it should deal with AGDC. At the time, however, AGDC was, for various reasons, in no position to be dealt with. Now, however, the time appears ripe.

AGDC President Dan Fauske said that “REI would be an excellent anchor tenant” for the project as it heads to open season in 2015.

“Today’s presentation reaffirms our belief that we have a commercially viable project capable of delivering gas to Alaskans by 2020,” Fauske said.

Contact Amanda Coyne at amandamcoyne@yahoo.com