Ikelic - Alliance Digital Repository

STATUS OF OIL SHALE PROJECTS (Underline denotes changes since June 1994)
COMMERCIAL PROJECTS (Continued)
Federal legislation was enacted to allow procurement of off-tract land that is necessary if the lease is to be developed by surface
mining. An application for this land was submitted to the Department of Interior in 1983. Based on the decision of the director of
the Colorado Bureau of Land Management, an environmental impact statement for the proposed lease for 84 Mesa has been
prepared by the Bureau of Land Management. However, a Record of Decision was never issued due to a suit filed the National
by
Wildlife Federation.
Rio Blanco submitted a MIS retort abandonment plan to the Department of Interior in Fall 1983. Partial approval for the aban
donment plan was received in Spring 1984. The mine and retort were flooded but were pumped out in May 1985 and June 1986 in
accordance with plans approved by the Department of the Interior.
Rio Blanco operated a $29 million, 1 to 5 TPD Lurgi pilot plant at Gulfs Research Center in Harmarville, Pennsylvania until late
1984 when it was shut down. This $29 million represents the capital and estimated cost operating for up to 5 years of operation.
On January 31, 1986 Amoco acquired Chevron's 50 percent interest in the Rio Blanco Oil Shale Company, thus giving
Amoco a
100 percent interest in the project.
In 1992, Rio Blanco closed its Denver office and moved all activities to the site.
Project Cost: Four-year process development program cost $132 million
- RUNDLE PROJECT Central
No cost estimate available for commercial facility.
Pacific Minerals/Southern Pacific Petroleum (50 percent) and Esso Exploration and Production
Australia (50 percent) (S-200)
The Rundle Oil Shale deposit is located near Gladstone in Queensland, Australia. In April 1981, construction of a multi-module
commercial scale facility was shelved due to economic and technical uncertainties.
Under a new agreement between the venturers, which became effective in February 1982, Esso agreed to spend A$30 million on an
initial 3 year work program that would resolve technical difficulties to allow a more precise evaluation of the economics of develop
ment. During the work program the Dravo, Lurgi, Tosco, and Exxon retorting processes were studied and tested. Geological and
environmental baseline studies were carried out to characterize resource and environmental parameters. Mine planning and
materials handling methods were studied for selected plant capacities. Results of the study were announced in September 1984.
The first stage of the project which would produce 5.2 million barrels per year from 25,000 tons per day of shale feed was estimated
to cost $645 million (US). The total project (27 million barrels per year from 125,000 tons per day of shale feed) was estimated to
cost $2.65 billion (US).
In October 1984 SPP/CPM and Esso announced discussions about amendments to the Rundle Joint Venture Agreement signed in
1982. Those discussions were completed by March 1985. Revisions to the Joint Venture Agreement provide for:
Payment by Esso to SPP/CPM of A$30 million in 1985 and A$12.5 in 1987.
Each partner to have a 50 percent interest in the project.
Continuation of a Work Program to progress development of the resource.
Esso funding all work program expenditures for a maximum of 10 years, and possible funding of SPP/CPM's share of subse
quent development expenditures. If Esso provides disproportionate funding, it would be entitled to additional offtake to
cover that funding.
The project is at a continuing low level with work in 1992 focusing on environmental land and resource management and further
shale upgrading and processing studies.
Project Cost: US$2.65 billion total estimated
- - SHC 3000 RETORTING PROCESS Estonian
Republic (S-230)
The SHC-3000 process, otherwise known as the Galoter retort, is a rotary kiln type retort which can accept oil shale fines.
Processing of the kukersite shale in SHC-3000 retorts makes it possible to build units of large scale, to process shale particle sizes
of 25 millimeters and less including shale dust, to produce liquid fuels for large thermal electric power stations, to improve operat
ing conditions at the shale-burning electric power stations, to increase (thermal) efficiency up to 86-87 percent, to improve sulfur
removal from shale fuel, to produce sulfur and other sulfur containing products (such as thiophene) by utilizing hydrogen sulfide of
the semicoke gas, and to extract valuable phenols from the shale oil water. Overall the air pollution (compared to direct oil shale
combustion) decreases.
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SYNTHETIC FUELS REPORT, JANUARY 1995