Taking advantage of coal gasification technology

Taking advantage of coal gasification technology

Thursday, August 24th 2006

Prospects are excellent for North Dakota to take advantage of new, commercial coal gasification technology they saw operating in Europe, according to North Dakota Agriculture Commissioner Roger Johnson and Attorney General Wayne Stenehjem after returning from a trip to Europe on a fact finding visit.

”We saw advanced coal gasification plants with a strong track record of reliability using lignite coal,” said Stenehjem. ”We often hear about lignite’s disadvantages, yet senior executives from RWE, the second largest utility in Germany, told us that lignite is the preferred coal for their proposed 400-megawatt coal gasification plant.” ”It is obvious that Europe is ahead in commercializing the latest gasification technology, but North Dakota has the advantage in carbon capture and storage,” Johnson said.

The two officials joined 25 energy industry executives, state regulatory commissioners, environmental advocates and foundation representatives from 11 states last month on a coal technology and policy fact-finding tour of Germany and the Netherlands, organized by the Great Plains Institute (GPI) and sponsored by the Edgerton Foundation. Recently, they discussed what they had seen and heard on the trip in a public briefing in Bismarck. Also during the briefing, the Chicago-based Joyce Foundation awarded a $437,000 grant to GPI.

The week-long trip included tours of commercial-scale, dry-feed gasification plants. The gasification technologies featured during the visit can flexibly respond to changing markets over time by producing diverse energy products from different fuels: coal, renewable biomass and other carbon-rich fuels can be gasified to generate electricity, synthetic gas, liquid fuels, chemicals, fertilizer and hydrogen.

These plants can also dramatically reduce conventional air pollutants and have the capability to capture and store carbon dioxide (CO2) and mercury emissions. Senior Dutch and German government officials and industry executives briefed delegation members on policies and strategies for managing carbon dioxide as part of the European Union’s broader policy to reduce greenhouse gas emissions.

Delegation site visits and briefings also underscored the future potential for gasification technology to harness North Dakota’s renewable energy resources.

”The Dutch utility Nuon currently uses up to 30 percent biomass with coal in their 250-megawatt gasification plant, and they are planning a much larger 1200-megawatt combined gasification and natural gas plant that will co-gasify coal and biomass,” Johnson said. ”Even using a much smaller percentage of biomass at a future coal gasification plant in North Dakota could provide a real boost to farmers by creating an additional market for switchgrass or other farm-based fuel sources.” ”The low emissions potential of gasification technology can help make lignite coal a more attractive partner with wind energy and help build support in neighboring states for new energy projects and expanded transmission to export North Dakota power to markets in the east,” said Stenehjem.

Both officials are members of the State Industrial Commission, which recently awarded $10 million for an engineering and design study for a proposed gasification-based facility to produce liquid fuels and electricity from North Dakota lignite. The three industry partners in the project – Great River Energy, Falkirk Mining Co. (a subsidiary of North American Coal), and Headwaters Energy Services Corp. – participated in the European visit.

”This trip was of great value to our companies as we pursue the engineering and design of North Dakota’s first coal-to-liquids plant,” said Charlie Bullinger, senior principal engineer at Great River Energy’s Coal Creek Station. ”As a result of discussions with companies in Europe, we are now exploring new options for the facility, including the possible use of biomass with coal.” By awarding a $437,500 grant, the Joyce Foundation will support work that builds on the relationships established through GPI’s Coal Gasification Work Group.

”The Great Plains Institute is facilitating new partnerships among industry, state governments and the environmental community, of which this delegation visit is a prime example,” observed Steve Brick, the Foundation’s environment program manager. ”This grant will expand the capabilities of the Institute’s Work Group to advance policy and regulatory priorities needed to accelerate adoption of coal gasification with carbon capture and sequestration using the vast low rank coal resources of the Northern Plains.” Based in Chicago with assets of $800 million, the Joyce Foundation supports efforts to improve the quality of life in the Great Lakes region and makes approximately $30 million annually in grants. The Foundation’s support for GPI’s work is part of a recently announced $7 million clean coal initiative.

”We know the technology exists to use our region’s abundant coal to generate the power we need, without risking further damage to our environment,” said Joyce President Ellen S. Alberding. ”These grants will support those in industry, the public sector, and citizens groups who have had the vision to push for the cleanest possible coal technologies.” GPI, a nonprofit based in Minnesota and North Dakota, engages public and private leaders in crafting policies and projects to develop the region’s renewable and fossil energy resources, while reducing carbon dioxide and other emissions. The fact-finding trip is part of GPI’s ongoing work with industry, governmental and environmental leaders to foster the commercialization of low- and near-zero emission coal technologies as part of a broader regional energy strategy.

Copyright © 2006 Iowa Farmer Today

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