TheThe statusstatus ofof thethe FutureGenFutureGen zerozero emissionemission coalcoal powerpower plantplant

BriefingBriefing toto representativesrepresentatives ofof thethe CSLFCSLF TechnicalTechnical GroupGroup AprilApril 3,3, 20062006

JosephJoseph GioveGiove IIIIII ProgramProgram ManagerManager OfficeOffice ofof CleanClean CoalCoal U.S.U.S. DepartmentDepartment ofof EnergyEnergy

1 U.S. Department of Energy 2 Tomorrow’sTomorrow’s EnergyEnergy PlantPlant

TheThe goalgoal ofof thethe FutureGenFutureGen researchresearch projectproject isis toto establishestablish thethe technicaltechnical feasibility,feasibility, economiceconomic viabilityviability andand broadbroad acceptanceacceptance ofof co-producingco-producing electricityelectricity andand hydrogenhydrogen fromfrom coalcoal withwith essentiallyessentially zerozero emissions,emissions, includingincluding carboncarbon (sequestration).(sequestration).

U.S. Department of Energy 3 RD&DRD&D toto MeetMeet TechnologyTechnology ChallengeChallenge

TraditionalTraditional AdvancedAdvanced TechnologyTechnology ResearchResearch InventionsInventions

CryogenicCryogenic SeparationSeparation OO22 MembranesMembranes AmineAmine ScrubbersScrubbers HH22 Membranes,Membranes, “Clathrate”“Clathrate” CO CO22 SeparationSeparation oror AdvancedAdvanced SolexolSolexol GasGas StreamStream Clean-UpClean-Up “Dirty”“Dirty” Shift Shift ReactorReactor SyngasSyngas TurbineTurbine HydrogenHydrogen TurbineTurbine FuelFuel CellCell ($4,000/kW)($4,000/kW) SECASECA FuelFuel CellCell ($400/kW($400/kW design)design) EOREOR basedbased SequestrationSequestration TechnologyTechnology (including in-situ CO2 monitoring) ExistingExisting GasifierGasifier AdvancedAdvanced TransportTransport ReactorReactor SystemSystem IntegrationIntegration “First“First ofof aa Kind”Kind” System System IntegrationIntegration PlantPlant ControlsControls “Smart”“Smart” Dynamic Dynamic PlantPlant ControlsControls &&

COCO22 ManagementManagement SystemsSystems U.S. Department of Energy 4 TheThe FutureGenFutureGen “Alliance”“Alliance”

•The Alliance presently consists of nine organizations representing over 15% of the U.S. -fired electricity generation and over 40% of the U.S. coal production, plus a coal-based utility in . •As an open consortium (both domestically and internationally) the Alliance is geographically diverse, currently including both eastern and western domestic coal producers and coal-fueled electricity generators, as well as a utility in China. It includes producers and users of a full range of coal types.

• Peabody Energy • CONSOL Energy Inc. • Foundation Coal Holdings • Kennecott Energy Company, a (Formerly RAG) member of the group • • BHP Billiton • China Huaneng Group • Anglo American

U.S. Department of Energy 5 ProjectProject ScheduleSchedule -- Key Key EventsEvents

Supporting Research* Major Project Site Milestones Characterization Design / Construction

Shake- /Operation Follow-on down Testing Fiscal Year 2003 2005 2007 2009 2011 2013 2015

* Supporting research includes research embedded in the FutureGen project and additional research in FE’s carbon sequestration, IGCC, turbines, and fuel cell R&D programs.

U.S. Department of Energy 6 ProgressProgress andand NextNext StepsSteps

ƒƒ AA cooperativecooperative agreementagreement hashas beenbeen signedsigned withwith thethe FutureGenFutureGen IndustrialIndustrial AllianceAlliance Inc.Inc. toto initiativeinitiative thethe firstfirst phasephase ofof thethe project.project. ƒƒ TheThe AllianceAlliance issuedissued aa draftdraft RFPRFP SolicitatiSolicitationon onon FebruaryFebruary 14,14, 2006,2006, andand aa FinalFinal RFPRFP waswas issuedissued onon MarchMarch 7,7, 20062006 ƒƒ TheThe DOEDOE issuedissued anan AdvancedAdvanced NOINOI onon FebruaryFebruary 16,16, 20062006 ƒƒ TopTop prioritypriority forfor FutureGenFutureGen isis toto base-libase-linene thethe plantplant designdesign andand startstart thethe sitesite selection/evaluationselection/evaluation processprocess throughthrough thethe issuanceissuance ofof aa competitivecompetitive sitesite solicitationsolicitation ƒƒ AssessAssess cutting-edgecutting-edge technologytechnology readinessreadiness forfor inclusioninclusion ƒƒ StartStart preliminarypreliminary designdesign workwork ƒƒ DevelopDevelop testtest scopescope forfor validatingvalidating FutureGenFutureGen ƒƒ ConductConduct planningplanning activitiesactivities forfor permittipermittingng processprocess (some(some preliminarypreliminary workwork hashas alreadyalready begun)begun) ƒƒ ContinueContinue NEPANEPA (environmental(environmental compliancompliance)ce) activitiesactivities includingincluding plansplans forfor publicpublic scopingscoping ƒƒ ConductConduct outreachoutreach toto garnergarner publicpublic acceptancacceptancee andand toto bringbring additionaladditional participantsparticipants intointo thethe projectproject bothboth domesticallydomestically andand inteinternationallyrnationally (coordinate(coordinatedd teamteam efforteffort ofof DOE/Alliance)DOE/Alliance)

U.S. Department of Energy 7 Back-upBack-up SlidesSlides

U.S. Department of Energy 8 FutureGenFutureGen Systems Systems

Oxygen Gasification Gas Cleaning Gas Stream Cleanup Oxygen Membrane Power

High Efficiency Turbine Gasifier

Fuel Cell Coal Process Heat/Steam Electricity H2 Fuel Products/ Byproducts Liquids CO2 H /CO Conversion Utilization 2 2 Fuels/Chemicals Separation Fuels and CO2 Chemicals Sequestration Figure 2 Coal Seams Saline Reservoir Enhanced Oil Recovery U.S. Department of Energy 9 FutureGenFutureGen GoalsGoals

ƒƒ Design,Design, constructconstruct andand operateoperate aa 275275 MWMW prototypeprototype plantplant thatthat producesproduces electricityelectricity andand hydrogenhydrogen fuelfuel whilewhile sequesteringsequestering COCO22 atat anan annualannual raterate ofof 1-21-2 millionmillion metricmetric tons.tons. ƒƒ SequesterSequester atat leastleast 9090 percentpercent ofof CO2CO2 initiallyinitially andand upup toto 100100 percentpercent sequesteredsequestered eventuallyeventually ƒƒ ProveProve thethe effectiveness,effectiveness, safety,safety, andand permanencepermanence ofof COCO22 sequestrationsequestration throughthrough validatingvalidating thethe technologytechnology atat largelarge scalescale underunder realreal worldworld conditionsconditions..

ƒƒ EstablishEstablish technologytechnology stanstandardsdards andand protocolsprotocols forfor COCO22 measuring,measuring, mitigatimitigation,on, andand verificationverification ƒƒ ValidateValidate thethe engineering,engineering, economic,economic, andand environmentalenvironmental viabilityviability ofof advancedadvanced coal-based,coal-based, zerozero emissionemission technologiestechnologies forfor commercialcommercial readinessreadiness inin 20202020 U.S. Department of Energy 10 SummarySummary RemarksRemarks

ƒƒ FutureGenFutureGen isis aa keykey researchresearch stepstep towardstowards provingproving thethe feasibilityfeasibility ofof aa zero-emissionzero-emission coalcoal option.option. ƒƒ AA cooperativecooperative agreementagreement hashas beenbeen signedsigned withwith thethe FutureGenFutureGen IndustrialIndustrial AllianceAlliance toto initiativeinitiative thethe firstfirst phasephase ofof thethe project.project. ƒƒ TheThe cooperationcooperation andand supportsupport ofof allall internationalinternational stakeholdersstakeholders (government,(government, industry,industry, environmental)environmental) willwill bebe neededneeded forfor FutureGenFutureGen toto bebe successfulsuccessful andand accepted.accepted. ƒƒ TheThe potentialpotential benefitsbenefits ofof aa zero-emizero-emissionssion coalcoal optionoption areare enormousenormous withwith respectrespect toto energy,energy, environmentalenvironmental andand economiceconomic security.security. ƒƒ WeWe inviteinvite youryour participationparticipation inin FutureGenFutureGen U.S. Department of Energy 11 AdditionalAdditional InformationInformation

• MAIN FUTUREGEN WEBSITES http://fossil.energy.gov/programs/powersystems/futuregen/ http://www.futuregenalliance.org/

• GENERAL www.netl.doe.gov www.eia.doe.gov www.epa.gov www.climatescience.gov

U.S. Department of Energy 12 PotentialPotential benefitsbenefits toto InternationalInternational GovernmentGovernment PartnersPartners inin FutureGenFutureGen

ƒƒ ForFor 1%1% ofof thethe projectproject investmentinvestment,, thethe governmentgovernment wouldwould getget thethe followingfollowing throughthrough theirtheir participatparticipationion inin thethe GovernmentGovernment SteeringSteering CommitteeCommittee (GSC):(GSC): ƒƒ FirstFirst handhand informationinformation forfor governmentgovernment officialsofficials ƒƒ OpportunityOpportunity toto getget infoinfo translatedtranslated andand disperseddispersed forfor itsits useuse withinwithin itsits publicpublic domain.domain. ƒƒ DetailedDetailed sitesite tourstours ofof thethe plant,plant, construction,construction, andand operationsoperations toto getget firstfirst handhand experienceexperience ƒƒ TheThe opportunityopportunity toto sitsit onon technicaltechnical sub-committeessub-committees underunder thethe GSCGSC inin severalseveral specificspecific areasareas -- to to provideprovide technicaltechnical adviceadvice ƒƒ MakeMake suggestions,suggestions, influenceinfluence andand adviseadvise onon thethe testingtesting scopescope ƒƒ AdvocacyAdvocacy forfor testtest articlesarticles inin platformplatform fromfrom theirtheir laboratories,laboratories, ƒƒ OpportunityOpportunity toto knowknow firstfirst handhand thethe typetype ofof equipmentequipment toto bebe orderedordered (competitively)(competitively) ƒƒ PromotionPromotion ofof aa government’sgovernment’s internationalinternational imageimage asas aa leaderleader onon ClimateClimate ChangeChange andand coalcoal sustainability.sustainability. U.S. Department of Energy 13