boiler rating, maintenance, reliability, and availability. DOE, through the University of North Dakota Energy and Environmental Research Center, also is supporting the development of refuse-derived fuel/coal slurry fuels. DOE is managing a boiler conversion program at the Pennsylvania State University for the U.S. Department of Defense, with the objective of developing commercial CWS technology. The program will provide a military base with a commercially engineered CWS conversion system for firing its oil/gas-fired boilers.

Demonstration projects using CWS include a CCT (Clean Coal Technology) Round V program to demonstrate clean coal diesel technology. The diesel system will use a CWS produced from Ohio coal by a two-stage coal cleaning and slurrying process. Another CCT program is demonstrating the combustion of injected coal in the tuyeres of two blast furnaces at Bethlehem Steel. Blast furnace coal injection technology, where granulated or pulverized coal is injected into a blast furnace in place of natural gas (or oil) as a fuel supplement or reductant to lower the coke rate and hot metal cost, may incorporate CWS technology in the future. A University of North Dakota project on power generation from an Alaskan coal-water fuel has demonstrated the preliminary process economics of a concentrated low-rank coal-water fuel. The second phase of the program is aimed at developing a low-cost indigenous replacement for the imported diesel fuel used in many native villages of the Alaskan interior.

While a specific breakdown of DOE funding for coal-liquid mixture R&D is not provided in the FY 1995 budget request, the overall funding for the AR&TD Coal Utilization Science program is projected to decrease from $3.1 million in FY 1994 to $2.2 million in FY 1995. Part of this decrease is due to a reallocation of some projects to other coal program budget lines. A more detailed discussion of DOE's advanced research budgets appears in Chapter 9.

Findings

COM and CWS technologies are either commercially available or on the verge of commercialization. Aside from some niche market opportunities, the private sector currently has little current interest in adopting these technologies. However, if oil or gas prices increase significantly above current or projected near-term levels, COMs are available for commercial application. At that time, there may be a need for programs that assist the private sector in taking CWS technology to the marketplace.

COALBED METHANE RECOVERY

Background

The coal formation process occurs when organic debris is converted to coal and various by-products, including water and methane (CH4) gas. The latter may



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