News Releases for November 2005
November 1, 2005
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Hoeven Hosts Department Of Defense Officials Exploring Coal Liquefaction Capabilities
BISMARCK, N.D. – Gov. John Hoeven and partners in a Memorandum of Understanding (MOU) working toward building a coal-to-liquid fuels facility in the state met today with U.S. Department of Defense officials in North Dakota at the Governor’s invitation to discuss potential military uses for the coal-derived products. The Pentagon is especially interested in the clean jet and diesel fuels produced from coal liquefaction.
“North Dakota has enormous potential for coal-to-liquid production, and now, through discussions with the Department of Defense, we are identifying potential markets for the products developed with this cutting-edge technology,” Hoeven said. “The clean and plentiful liquid fuels we could produce here in North Dakota would help service our nation’s military, while capitalizing on opportunities to further expand our energy industry and overall economy.”
Hoeven and representatives from Headwaters, Inc., a Utah-based energy company, Great River Energy, North American Coal Corporation and Falkirk Mining Company met with Dr. Theodore Barna, assistant deputy under secretary of defense, and Dr. William Harrison III, senior advisor of the department’s Clean Fuels Initiative in the Office of the Secretary of Defense. They discussed the proposed liquefaction facility and possible military uses for the liquid fuels that would be produced.
In August, the Governor joined energy company officials to announce an MOU, arranged by the North Dakota Department of Commerce, to possibly build a coal-to-liquid plant in North Dakota, with an initial investment for the state of $750 million, and up to $3 billion over time, as well as the creation of hundreds of jobs. Shortly after that announcement, Hoeven invited Barna and Harrison to North Dakota to meet with him and the MOU partners to discuss the project and possible military contracts.
The proximity of the coal liquefaction facility to a new biodiesel plant Hoeven announced with ADM in October provides an opportunity to blend biodiesel and diesel coal, creating an additional biofuels synergy, according to Hoeven.
“Finding alternative sources of clean, quality jet and diesel fuel is an important mission for our nation’s military,” Hoeven said. “Given our vast natural resources and experience with coal gasification and power generation, North Dakota is a natural choice and is poised to become a leader in coal liquefaction production.”
Coal-to-liquid technology, or coal liquefaction, is a process that converts coal to liquid fuels like gasoline, diesel, jet fuel, lubricating oils and other commercial products. The proposed liquefaction facility represents an advance in the state’s comprehensive energy development effort as part of Hoeven’s and the Commerce Department’s mission to fully develop the state’s multiple energy resources. With large resources in coal, oil and gas, wind and biofuels, North Dakota is the sixth largest energy producing and exporting state in the nation.
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