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$800 million coal-to-methanol plant will be build
lave na karmane
xyu

"Don Rigby, executive director of the Regional Economic Development Partnership, said it is estimated the plant will create 300 to 500 construction jobs and, when the plant begins production, it will have about 60 full-time permanent employees.

The coal will be converted to a synthetic gas using Synthesis Energy Systems' proprietary U-GAS technology. The synthetic gas will be used to produce about 720,000 metric tons of methanol annually. The methanol can be used as a feedstock for the chemical industry.

Tim Vail, president and chief executive officer of Synthesis Energy Systems, said he is proud of the progress his company has made toward the development of the first industrial-size gasification plant in the United States using U-GAS technology."

Well, they plan to convert METHANOL to gasoline. From 8 parts of methanol they will make 1 part of gasoline(((  Methanol, if used as a direct fuel in cars, itself could have produced the energy output compared to gasoline  in proportion 1/2:  4 times more efficient.
And the price tag of  $800 million it is 4 times HIGHER then prices for construction of methanol plants i read about before.
At my estimation, if METHANOL industry would've been PLANED to be created at the level to substitute 100% of oil consumption for the transportation needs in USA:  the price tag for EXACTLY SAME CAPACITY PLANT should be $100 million .
Someone somehow is OVERPRICING the project. Gasification of coal or biomass (wood, trash, anything like that) is a process KNOWN to mankind for 200 years.
At the plant that needs ONLY 500 construction jobs to build and JUST 60 full-time permanent employees for operation - $800 million sounds VERY SUSPICIOUS
 
 I realy would like to see their business plan.
By GEORGE HOHMANN

Two companies have formed a joint venture that will build an $800 million coal-to-gasoline plant - the state's first - at Benwood, Marshall County, officials announced today.

Gov. Joe Manchin and Sen. Jay Rockefeller, D-W.Va., joined officials of Consol Energy Inc. and Synthesis Energy Systems Inc. in making the announcement at a ceremony near the site.

"It's clearer than ever that one of the biggest issues our state and country faces is meeting our energy needs," Manchin said in prepared remarks.

"Technological solutions like this plant at Benwood will lead to more environmentally friendly ways to use our coal and hold the key to America's energy security."

Manchin's administration has written a state energy plan built around the idea that coal-to-liquids plants will be constructed in West Virginia.

Today's announcement goes a long way toward making good on Manchin's December 2005 vow to have a coal liquefaction plant built in the state "by the end of my first term," which is January 2009.

Rockefeller, D-W.Va., said the project will give West Virginia an opportunity to show the world that the state is a global leader in energy issues and modern coal technology.

Sen. Robert C. Byrd, D-W.Va., said, "America cannot meet its energy needs. West Virginia has the coal, the brains, and the determination to meet that challenge and demonstrate to the world that we intend to be part of the solution."

The plant will be built in the Marshall County Industrial Park, at the south end of Benwood, next to McMechen. The plant will use newly mined coal and mine waste from the normal preparation process at Consol's nearby Shoemaker mine.

The coal will be converted to a synthetic gas using Synthesis Energy Systems' proprietary U-GAS technology. The synthetic gas will be used to produce about 720,000 metric tons of methanol annually. The methanol can be used as a feedstock for the chemical industry.

It is also expected that the plant will be capable of converting the methanol into about 100 million gallons of 87-octane gasoline annually.

Consol and Synthesis Energy said Northern Appalachia Fuel is currently negotiating with ExxonMobil Research and Engineering to license ExxonMobil's proprietary methanol-to-gasoline technology.

The companies said the project as envisioned will include a river terminal where products will be stored in tanks for loading into barges for ultimate delivery.

Don Rigby, executive director of the Regional Economic Development Partnership, said it is estimated the plant will create 300 to 500 construction jobs and, when the plant begins production, it will have about 60 full-time permanent employees.

Consol and Synthesis Energy officials said they will develop the plant under a joint venture, Northern Appalachia Fuel Limited Liability Co.

The companies said their boards of directors have authorized funds for development activities, including the front-end engineering design package. The companies said each will contribute equally to this phase of the project.

The companies said Northern Appalachia Fuel is finalizing agreements with Aker Solutions US Inc., a subsidiary of Aker Solutions ASA, to perform the front-end engineering design.

The companies said the design will include a plan for carbon sequestration, which is the process of trapping carbon dioxide and pumping it underground.

Northern Appalachia Fuel will file for environmental permits and other permits necessary for construction at a later date, the companies said.

Consol and Synthesis Energy said they have signed a memorandum of understanding with the state and the Regional Economic Development Partnership, a division of the Ohio Valley Industrial and Business Development Corp. Under the terms of the memorandum, the state and the partnership will provide financing and tax incentives to the project over a 10-year period.

Consol Energy is the nation's largest producer of bituminous coal. The company is headquartered in Pittsburgh, Pa. Consol traces its roots to Fairmont.

"This project has the potential to transform West Virginia from a major coal-producing state to a national energy center as well," said J. Brett Harvey, president and chief executive officer of Consol in prepared remarks.

"By converting some of our region's abundant, high-BTU coal into gases and liquids, not only will we create economic value for the state, but we will help West Virginia become the linchpin of American energy security."

Synthesis Energy System builds, owns and operates coal gasification plants that use its proprietary U-GAS fluidized bed gasification technology to convert coal and coal wastes into higher value energy products, such as gasoline and ammonia.

The company licenses the U-GAS technology from the Gas Technology Institute. Synthesis Energy has offices in Houston, Texas and Shanghai, China.

Tim Vail, president and chief executive officer of Synthesis Energy Systems, said he is proud of the progress his company has made toward the development of the first industrial-size gasification plant in the United States using U-GAS technology. He thanked the state and the Regional Economic Development Partnership for their support.

"Together with our partner, Consol Energy, Synthesis Energy Systems will be taking a first step toward securing energy independence in the U.S. as we convert raw and residual coal from Consol's Shoemaker mine and plant into gasoline in an environmentally responsible and cost-efficient manner," Vail said.

ARTIST'S SKETCH COURTESY OF CONSOL ENERGY AND SYNTHESIS ENERGY SYSTEMS This is a conceptual artist's rendering of the $800 million coal-to-gasoline plant that Consol Energy Inc. and Synthesis Energy Systems Inc. plan to build along the Ohio River at Benwood, Marshall County. The plant will use coal and coal otherwise not recovered in the normal preparation process from Consol's nearby Shoemaker complex. The coal will be converted to a synthetic gas using Synthesis Energy Systems' proprietary U-GAS technology. The synthetic gas will be used to produce methanol and the methanol can be converted to 87-octane gasoline.

Originally published by DAILY MAIL BUSINESS EDITOR.

(c) 2008 Charleston Daily Mail. Provided by ProQuest Information and Learning. All rights Reserved.tracking

Story Source: Charleston Daily Mail

http://www.istockanalyst.com/article/viewiStockNews+articleid_2450009&title=Officials_Announce_800.html


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Carbon Tax Will Define Lowest Cost Power

(Anonymous)
Wind power is 6 cents/KW. Solar is 12 cents/KW. Boone Pickens uses his natural gas line to his house to liquefy the gas in his garage for use in his car. He said it costs him $1/gallon of gas equivalent. Hard to imagine competing with that $1 price for gas from this syn process, let alone the high carbon emission cost to mine and produce the syn fuel to start with.

Sound like CO2 sequestration in deep saline aquifer proposed is dubious and expensive at best, and carbon tax credits are coming.

Without CO2 sequestration, it would be exactly the same CO2 mass balance to liquefy the natural gas burned in gas power plants (used for 60% of electric power generation), and burn the coal. Not too bright of a plan then is it until we run out of natural gas which is abundant for the next 20 years at least?

the problem with n-gas is: USA has only a fraction of its reserves

n-gas is also a resource like oil: ME and Russia have like 90% of it:
so if we use n-gas it is better then oil, of course,

but it will increase VALUE of our adversary's commodity

In Ukraine you can have n-gas tank installed in your trunk for i guess $500
in addition to regular tank

my friend just recently bought a brand new car and had in done

something like every 5th pump has n-gas available

Well, methanol is cheaper in terms of:

u can re-do one of the underground regular gas tank at the gas station to carry methanol: cost is $20,000

so, station will carry 89, 87 and methanol

what do you think?

syn process or gasification, right?

methanol is sold now at around $1.60 a gallon

If we create a huge methanol industry at the volume of 500 billion gallons a year- i think price will be very low

My feeling is that n-gas is a palliative that has certain time limitations(reserves) and since Middle East and Russia have most of it: they will have a leverage to control price

interesting to know your opinion

May i suggest this too:

http://xyu.livejournal.com/672216.html

Not 8 parts to 1 part

(Anonymous)
Correct Ratio is 2.5 gal MeOH to 1 gal Gasoline

be more specific?

Robert is it you?
Anyway thanks and respect!
God Bless

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