Cleaning Up Coal: FMI NewCoal Inc. (Denver - USA)

Coal is still king in the United States, where the fossil fuel accounts for 52 per cent of power generation. That market share is expected by some to climb to 63 per cent by 2030, but the extent of growth will depend heavily on carbon pricing and regulations that target the combustion and mining of coal. America's existing fleet of coal-fired power plants was largely designed to use deep-mined, high-rank bituminous coals from the Illinois and Appalachian basins of the East Coast.

Illinois coal is typically high in sulphur content and production from both basins is in gradual decline. Caps on sulphur emissions and the rising cost of deep-mined coal have resulted in higher demand for low-sulphur sub-bituminous coals, such as from the Powder River Basin. The market for this cleaner-burning coal has doubled in the last 15 years and now makes up 400 million tons per annum, or 36 per cent, of total U.S. power plant coal. Sub-bituminous coal is mined from the surface, a much less expensive process, and for this reason it can be sold at a significant discount to deep-mined coal. Demand for these "low rank" coals has also picked up in Asia, where the coal is sourced from basins as wide apart as Indonesia and Alaska.

But there's one big catch: low-rank coal contains a lot of moisture, typically around 30 per cent water by mass. This lowers the heat content of the coal and therefore the efficiency and output of a power plant. The impact is even greater in power plants originally built to burn high-rank bituminous coals that have now switched to reduce emissions of sulphur. Newer power plants can be designed to burn sub-bituminous coal, but they tend to be larger and more expensive to construct and operate due to the increased mass flow in the boilers.

The challenge, then, has been to find an economical way of drying sub-bituminous coal -- a process called pre-combustion upgrading -- so that it has the same heat content as high-rank coals. It's no easy feat. Power plant operators demand that the upgraded coal be a stable and low-dust product. Denver-based FMI NewCoal Inc. has stepped up to this challenge with a coal-upgrading technology that has proven economical on a pilot scale. The company is in the process of commissioning a demonstration plant at the Western Research Institute in Laramie, Wyoming, that will have an annual product capacity of 20,000 tons.

The patent-protected technique developed by FMI NewCoal has lower construction and operating costs than rival approaches, and it reduces both moisture and possibly mercury content in coal. Emerald Technology Ventures recently invested in FMI NewCoal which, in a world of stricter regulation, promises to improve the economic and environment al use of coal.
Visit: www.fmifuel.com

Boosting Biogas: Schmack Biogas AG (Schwandorf - Germany)

Over the past decade Schmack Biogas AG has grown to become one of the most recognized and largest suppliers of anaerobic digestion systems, which turn biomass into a clean-burning, methane-rich renewable gas. The company, based in Schwandorf, Bavaria, offers turn-key systems and services, and for more than 10 years -- and with more than 200 plants under its belt -- has set the standard for highly efficient and reliable biogas plants. It's why agricultural businesses, professional investors, and utilities have come to rely on Schmack Biogas for its experience and know-how.

Biogas can be used in many ways. It's ideal as a fuel for combined heat and power plants (CHP) and large-scale power stations. It can also be used in residential boiler systems or as cooking fuel. When compressed, the gas can even be deployed as a fuel for vehicles. Anaerobic digestion (AD) is the process that turns liquid and solid biomass into biogas, with help from a cocktail of micro-organisms that accelerate the fermentation process. It happens all the time in nature, such as with the muck that settles at the bottom of lakes and ponds, swamps, peat bogs, or hot springs. Anaerobic digestion technologies were originally developed to treat waste water, but rising demand for renewable energy has dramatically expanded the market. The biogas itself is easy to store, can be produced 24 hours a day and year-round, and is highly versatile, making it a valuable product.

Most biogas plants today use a combination of locally sourced solid biomass, including corn silage, grasses and other agricultural residues. This reduces transportation distance and price volatility, and allows for seasonal feedstock storage. The renewable gas produced by these plants has a number of advantages over other biomass-derived products, such as ethanol or biodiesel. For example, a Schmack Biogas anaerobic digestion plant takes up dramatically less space than a plant producing corn-based ethanol or soy-based biodiesel. And energy-conversion efficiency equals or exceeds the targets being claimed with next-generation cellulosic ethanol technologies.

Feedstock flexibility also gives biogas plants a distinct advantage. Most ethanol or biodiesel plants require a pure source of feedstock, such as corn or soybeans. But the micro-organisms inside anaerobic-digestion systems work best when supplied with a balanced, diverse mix of feedstock.

Increasingly, biogas is making its way into conventional energy infrastructure. Germany's gas pipeline law now permits the injection of properly purified biogas, called "biomethane," into natural gas pipelines. This makes the renewable fuel available for all gas-consuming businesses and consumers. No surprise, then, that two of the largest utilities in Germany, E.ON and RWE Innogy, recently purchased biomethane plants from Schmack Biogas.

Schmack Biogas, an Emerald Technology Ventures portfolio company, is publicly listed on the Prime Standard in Frankfurt. Emerald led a financing at the end of December 2008 that raised EUR 6.35 million for Schmack Biogas. A total of 2.07 million new shares were subscribed to as part of the rights offering. The funds will be used for international expansion and working capital. Several existing and new investors, as well as members of the company's management board, participated in the transaction.
Visit: www.schmack-biogas.com