Ice forming on pipelines built near the CD5, drilling site on Alaska's North Slope. Photo: Mark Thiessen / AP

Last night brought a couple of developments that signal potential for big new oil-and-gas projects in Alaska, but both come with plenty of caveats.

Why it matters: Officials in Alaska have long been searching for ways to revive the state's oil production, which has fallen to just a quarter of its late '80s peak, and to find a pathway for bringing large natural gas reserves to market.

China eyes big LNG investment: In a deal announced in conjunction with President Trump's trip to China, China pledged to invest in a major liquefied natural gas project in Alaska.

  • The joint development agreement is between Sinopec, Chinese state-owned CIC Capital Corp., Bank of China, the state of Alaska and the Alaska Gasline Development Corporation.
  • Via Reuters, U.S. officials said the plan would bring $43 billion in investment, create 12,000 jobs during construction and cut the U.S. trade deficit with Asia.

Reality check: Yes, the concept of the deal makes sense on both sides at a time when China's LNG imports have been rising. But in a short note circulated to reporters this morning, the prominent consultancy Wood Mackenzie cautions that the deal remains speculative and final investment decisions would be years away.

  • "The main issue for the Alaska LNG project is its high cost," said Kerry-Anne Shanks, WoodMac's head of Asia gas and LNG research.
  • "Sinopec may be able to secure cheaper LNG supply elsewhere," she said.

Next phase of ANWR battle set: Last night Senate Energy and Natural Resources chairwoman Lisa Murkowski, an Alaska Republican, announced that the committee would mark up legislation next Wednesday to authorize oil exploration on the coastal plain of the Arctic National Wildlife Refuge.

  • The bill that Alaska lawmakers unveiled is here.
  • It's moving under budget reconciliation, which means it's not subject to Senate filibusters.
  • GOP control of Washington means ANWR drilling advocates are closer opening the coastal plain of the refuge to drilling than at any time since the mid-2000s, when an effort fell just short.

Yes, but: Uncertainties abound. The effort is linked to GOP plans to move tax legislation through the budget reconciliation process, which could fall apart.

And as we noted here, modest oil prices and ample opportunities elsewhere create question marks around the level of industry interest in expensive Arctic projects that would also face litigation from environmentalists.

Go deeper

Los Angeles and San Diego public schools will be online only this fall

Alhambra Unified School District. Photo: Frederic J. Brown/AFP via Getty Images

Public schools in Los Angeles and San Diego, the two largest public school districts in California, will not be sending children back to campuses in the fall and will instead administer online classes only due to concerns over the ongoing threat of the coronavirus.

Why it matters: The two districts, which together enroll about 825,000 students, are the largest in the country thus far to announce that they will not return to in-person learning in the fall, even as the Trump administration aggressively pushes for schools to do so.

This story is breaking news. Please check back for updates.

Updated 35 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Aïda Amer/Axios

  1. Global: Total confirmed cases as of 2 p.m. ET: 12,984,811 — Total deaths: 570,375 — Total recoveries — 7,154,492Map.
  2. U.S.: Total confirmed cases as of 2 p.m. ET: 3,327,388— Total deaths: 135,379 — Total recoveries: 1,006,326 — Total tested: 40,282,176Map.
  3. World: WHO head: There will be no return to the "old normal" for the foreseeable future — Hong Kong Disneyland closing due to surge.
  4. States: Cuomo says New York will use formula to determine if reopening schools is safe.
  5. Politics: Mick Mulvaney: "We still have a testing problem in this country."

Cuomo: New York will use formula to determine if it's safe to reopen schools

New York Gov. Andrew Cuomo said Monday that schools will only reopen if they meet scientific criteria that show the coronavirus is under control in their region, including a daily infection rate of below 5% over a 14-day average. "We're not going to use our children as guinea pigs," he added.

The big picture: Cuomo's insistence that New York will rely on data to decide whether to reopen schools comes as President Trump and his administration continue an aggressive push to get kids back in the classroom as part of their efforts to juice the economy.