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The Department of Energy on November 6 signed an agreement with a private venture to build a $2.3 billion plant that will demonstrate both hydrogen-fueled power generation and carbon sequestration.
The plant, to be built in California's Kern County, will demonstrate conversion of coal and petroleum coke into a hydrogen-carbon dioxide gas blend. The hydrogen will be used to fuel a 250-megawatt combustion turbine power plant. Ninety percent of the CO2, or 2 million tons per year, will be injected into the nearby Elk Hills oilfield, where it will be used for enhanced oil recovery. Sequestration is due to begin in 2016. (DOE graphic above illustrates how gasification works in concept.)
In addition, the plant will use brackish water for its process water needs, minimizing demand for fresh water, which is always at a premium in the southern San Joaquin Valley.
DOE signed the agreement with Hydrogen Energy California LLC, which is jointly owned by BP Alternative Energy, Rio Tinto, and Hydrogen Energy International. The federal government will front $308 million of the cost, or 11 percent.
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