Synthetic Fuel Production Using Texas Lignite and a Very High Temperature Reactor for Process Heat

Two approaches for synthetic fuel production from coal are studied using Texas lignite as the feedstock. First, the gasification and liquefaction of coal are accomplished using Lurgi gasifiers and Fischer-Tropsch synthesis. A 50 000 barrel/day facility, consuming 13.7 million tonne/yr (15.1 million ton/yr) of lignite, is considered. Second, a nuclear-assisted coal conversion approach is studied using a very high temperature gas-cooled reactor with a modified Lurgi gasifier and Fischer-Tropsch synthesis. The nuclear-assisted approach resulted in a 35% reduction in coal consumption. In addition, process steam consumption was reduced by one-half and the oxygen plants were eliminated in the nuclear-assisted process. Both approaches resulted in a synthetic oil price higher than the March 1980 imported price of $29.65 per barrel: $36.15 for the lignite-only process and $35.16 for the nuclear-assisted process. No tax advantage was assumed for either process and the utility financing method was used for both economic calculations.