Ikelic - Alliance Digital Repository

STATUS OF COAL PROJECTS (Underline denotes changes since June 1994)
COMMERCIAL AND R&D PROJECTS (Continued)
FRONTIER - ENERGY COPROCESSING PROJECT Canadian
Energy Developments, Kilborn International (C-225)
The Frontier Energy project is a commercial demonstration of a state-of-the-art technology for the simultaneous conversion of
high sulfur coal and heavy oil (bitumen) to low sulfur, lean burning, liquid hydrocarbon fuels plus the cogeneration of electricity for
export. Two main liquid hydrocarbon products are produced, a naphtha fraction which can be used as a high value petrochemical
feedstock or can be processed further into high octane motor fuel and low sulfur fuel oil that can be used to replace high sulfur coal
in thermal powerplants. Cogenerated electricity, surplus to the requirements of the demonstration plant, is exported to the utility
electrical system.
Frontier Energy is a venture involving Canadian Energy Developments of Edmonton, Alberta, Canada and Kilborn International
Ltd. of Tucson, Arizona.
The technology being demonstrated is the CCLC Coprocessing technology in which a slurry of coal and heavy oil are simul
taneously hydrogenated at moderate severity conditions (temperature, pressure, residence time) to yield a low boiling range
(C -975 degrees F) distillate product.
The CCLC Coprocessing technology is being developed by Canadian Energy Developments Inc. in association with the Alberta Of
fice of Coal Research and Technology (AOCRT) and Gesellschaft fur Kohleverflussigung GmbH (GfK) of Saarbrucken, West
Germany.
Two integrated and computerized process development units (PDUs), 18-22 pounds per hour feed rate, are currently being
operated to confirm the technology in long duration runs, to generate operating data for the design of larger scale facilities and to
produce sufficient quantities of clean distillate product for secondary hydrotreating studies and market assessment studies.
Canadian Energy and GfK are planning to modify an existing 10 ton/day coal hydrogenation pilot plant to the CCLC Coprocessing
configuration and to use it to confirm the coprocessing technology in large pilot scale facilities while feeding North American coals
and heavy oils. Data from this large pilot scale facility will form the basis of the design specification for the Frontier Energy
Demonstration Project. Frontier expects the coprocessing plant to be under way in the spring of 1994.
The demonstration project will process 1,128 tons per day of Ohio No. 6 coal and 20,000 barrels per day of Alberta heavy oil. An
unsuccessful application was made for Clean Coal Technology (CCT) funds in Round III. The project intends to file an application
for CCT funds in Round V.
- GE HOT GAS DESULFURIZATION GE
Environmental Services Inc. and Morgantown Energy Technology Center (C-228)
This project was designed to demonstrate the operation of regenerable metal oxide hot gas desulfurization and particulate removal
system integrated with the GE air blown, coal gasifier at the GE Corporate Research and Development Center in Schenectady,
New York.
Construction of the demonstration facility was completed by 1990 and several short duration runs were done to allow a long dura
tion (100 hour) run to be completed in 1991. The facility gasifies 1700 pounds per hour of coal at 280 psig. Outlet gas temperature
ranges from 830-1 150F.
During a 4.5 hour period in a 60 hour run the hot gas cleanup system achieved an overall sulfur removal of 95.5 percent.
- GREAT PLAINS SYNFUELS PLANT Dakota
Gasification Company (C-240)
Initial design work on a coal gasification plant located near Beulah in Mercer County, North Dakota commenced in 1973. In 1975,
ANG Coal Gasification Company (a subsidiary of American Natural Resources Company) was formed to construct and operate the
facility and the first of applications were many filed with the Federal Power Commission (now FERC). The original plans called
for a plant designed to produce 250 million cubic feet per day to be constructed by late 1981. However, problems in financing the
plant delayed the project and in 1976 the plant design was reduced to 125 million cubic feet per day. A partnership named Great
Plains Gasification Associates was formed by affiliates of American Natural Resources, Peoples Gas (now MidCon Corporation)
Tenneco Inc., Transco Companies Inc. (now Transco Energy Company) and Columbia Gas Systems, Inc. Under the terms of the
partnership agreement, Great Plains would own the facilities, ANG would act as project administrator, and the pipeline affiliates of
the partners would purchase the gas.
In January 1980, FERC issued an order approving the project. However, the United States Court of Appeals overturned the FERC
decision. In January 1981, the project was restructured as a non-jurisdictional project with the synthetic natural gas (SNG) sold on
an unregulated basis. In April 1981, an agreement was reached whereby the SNG would be sold under a formula that would esca
late quarterly according to increases in the Producer Price Index with a cap during the first 5 years of operation equal to the
energy-equivalent price of No. 2 Fuel Oil, a cap during the fifth through tenth year of operation equal to the pipelines highest
10 percent gas purchases or the average border price paid by the pipelines and after the tenth year, the only remaining price cap
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SYNTHETIC FUELS REPORT. JANUARY 1995