Mike W. Bryant
Northern News Services

Yellowknife (Sep 20/02) - A proposed subsidy on Alaskan gas may not be dead after all.

Minister of Resources, Wildlife and Economic Development Jim Antoine was in Washington last week to convince the U.S. State Department, legislators, and oil and gas representatives, not to support a joint Senate-Congress energy bill that could give an Alaskan pipeline route up to $31 billion in subsidies and loan guarantees.

The GNWT is trying to sway U.S. administration to support the territorial government's own ambitions to have the cheaper Mackenzie Valley Pipeline built first.

Last June the U.S. Secretary of Energy, Spencer Abraham, threw cold water on the energy bill, saying the Bush administration was not in favour of subsidies, and might veto the bill if legislators attempt to pass it.

However, the bill is still heavily supported by the Alaskan State government and some oil and gas producers, and may be voted on as early as the end of September.