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STATUS OF COAL PROJECTS (Underline denotes changes since June 1994)<br />

COMMERCIAL AND R&D PROJECTS (Continued)<br />

- ENCOAL LFC DEMONSTRATION PLANT ENCOAL<br />

Corporation, United States Department of Energy (C-221)<br />

ENCOAL Corporation, a wholly owned subsidiary of Zeigler Coal Holding Company of Fairview Heights. Illinois, received funding<br />

from the Department of Energy's Clean Coal Technology Round 3 Program for a 1,000 ton per day mild gasification plant at the<br />

Buckskin Mine in Northeastern Wyoming. The government funded 50 percent of the original $72.6 million total cost. The<br />

demonstration plant utilizes the LFC technology developed by SGI International.<br />

The plant is designed to be operated as a small commercial facility and produce sufficient quantities of process derived fuel and<br />

coal derived liquids to conduct full scale test burns of the products in industrial and utility boilers. Feed coal for the plant js pur<br />

chased from the Buckskin Mine which is owned and operated by Triton Coal Company (a wholly owned subsidiary of SMC Mining<br />

Company, also a Zeigler subsidiary"). Other United States coals may be shipped to the demonstration plant from time to time for<br />

test processing, since the process appears to work well on lignites and some Eastern bituminous coals.<br />

A Permit to Construct was received from the Wyoming Department of Environmental Quality, Air Quality<br />

Division for the<br />

demonstration plant. It was approved on the basis of the use of best available technology for the control of SO , NO , CO,<br />

hydrocarbons and particulates. The plant is designed to have no solid or liquid wastes and source water requirements are very<br />

small.<br />

Ground was broken at the Buckskin mine site for the commercial process demonstration unit in late 1990. Construction was com<br />

pleted by mid-1992. The plant, built to process 1,000 tons of coal per day and produce 150,000 barrels of liquids per year plus<br />

180,000 tons of upgraded solid fuel, completed the first 24 hour integrated test run in June 1992. During this run it operated at<br />

about 70 percent of its capacity and made specification solid and liquid fuels. Following this initial run, the plant was operated in a<br />

test mode through June 1993. completing 15 runs of increasing duration.<br />

The plant was closed down for a period in 1993 for the completion of plant improvements and the installation of additional equip<br />

ment. In January 1994. the new equipment was commissioned and the operations and testing programs resumed. These programs<br />

culminated in a 68 day continuous run in April through June 1994. The plant was then declared operational, although it is now<br />

limited to 50 percent of its design capacity due to the capacity of the new equipment.<br />

Since that time the plant has been operating in a production mode. More than 4.200 hours of operation were logged in 1994.<br />

Seven unit trains, containing up to 90 percent PDF, the solid fuel, have been shipped to utilities in Hugo. Oklahoma and Mus-<br />

cateen. Iowa. Both customers were very satisfied with their test burns. Nearly 1,000.000 gallons of CDL. the liquid product, have<br />

been shipeed to various industrial customers. Some blending problems have surfaced, but the test burns were largely successful.<br />

ENCOAL received approval from the DOE for a two year extension of the operating phase of the project in October 1994. The<br />

$18,100.000 extension, shared equally by ENCOAL and the government, provides funds for the completion of the test bum<br />

program, processing of alternate coals, development of cost and design data for commercial application of the technology and<br />

achieving full capacity operation.<br />

A contract is in place with Wisconsin Power and Light for delivery of 30.000 tons of high-BTU. low-sulfur PDF for test burns at its<br />

coal-fired powerplants. Texpar Energy Inc. has agreed to buy up to 135.000 barrels of the CDL industrial fuel each year-<br />

Total Project Cost: $90.7 million<br />

- FIFE IGCC POWER STATION Fife<br />

Energy Ltd. (C-224)<br />

Fife Energy Ltd., a Scottish power company, is developing the United Kingdom's first integrated gasification combined cycle power<br />

station in Fife, Scotland. The IGCC to be employed at the facility is based on British Gas/Lurgi's slagging gasification technology,<br />

which converts up to 94 percent of the coal input into clean syngas. The IGCC will produce less than 10 percent of the U.S. stan<br />

dard for emissions in new power sources, said a Fife spokesperson.<br />

4-57<br />

SYNTHETIC FUELS REPORT, JANUARY 1995

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