GILBERT -- The technology to convert coal to oil, diesel fuel and gasoline has been around for more than 60 years. During World War II, Nazi Germany ran its economy largely on fuel derived from the coal mines of the Ruhr. Since World War II, the technology has languished in large part due to the availability of cheap oil. Today, however, as the nation and the world cast a worried eye at the reliability of oil supplies from the troubled Middle East and as the price of that oil has topped $100 a barrel, more and more people are asking why America isn't making better use of its own resources -- such as our plentiful coal supplies -- to lessen our dependence on foreign oil.Enter Transgas ... a company developed to commercialize coal-to-liquids technology.
"We are dedicated to independence, and we have seen in the past 30 years the increase in American dependency on foreign oil,” he said. “To convert coal to gas, we have had the technology for quite a few years and have had the skilled labor for it; yet, for multiple reasons, they have chosen to ignore our country’s assets. This ends today in Mingo County,” said Adam Victor, owner and president of Transgas.
Victor joined local and state political and economic development leaders Monday for the groundbreaking and dedication of a state-of-the-art coal-to-liquids production facility in Mingo County.
The Adams Fork Energy plant will be located on a 300-acre former surface mine near Wharncliffe . Construction is expected to begin in July and be completed in 2015. It is expected to result in some 3,000 construction jobs during the construction phase, with 300 permanent direct and approximately 1,000 indirect jobs once production begins. The plant is expected to produce 6.5 million barrels (273 million gallons) of synthetic gasoline per year, by converting 2.7 million tons of coal per year. By comparison, the United States uses approximately 20.6 million barrels of oil per day. The project has been in the works for nearly seven years.
“The state can be a leader and help the country to not be held hostage by its dependence on oil from foreign countries,” Manchin said. “Here, we can turn in our natural resources into liquid. What got me so excited about this project is the fact that it will turn into liquid which will run our trucks, machinery and cars."
Gov. Earl Ray Tomblin told the crowd that the project is another step in taking full advantage the state's resources to diversify and expand the state's economy.
“We are blessed in West Virginia with natural resources,” Tomblin said. “We will use these natural resources to turn into sure progress. The past few months, we have been announcing a lot of jobs coming to West Virginia. That’s why I am pleased to be here today to announce more jobs for the state. Too many times have people watched their friends and family leave West Virginia to get jobs.”
Authorities say the estimated cost for the site will be between $3 and $4 billion. The plant also will increase the tax base for the county. Mingo County Commission President John Mark Hubbard said the county’s tax base will triple.
“Think about what this will do for the county,” Hubbard said. “This will diversify the economy of the county and give us the opportunity to change the dynamics. I’m excited for what this means for all of us.”
LINKS
http://www.wowktv.com/story.cfm?func=viewstory&storyid=99130
http://dailymail.com/News/statenews/201105090595
http://bdtonline.com/local/x2023607523/MORNING-UPDATE-Groundbreaking-today-for-southern-West-Virginia-coal-to-gas-plant
http://www.wvva.com/Global/story.asp?S=14600847
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