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Last updated on April 18, 2014 at 12:39 EDT

South Heart Gasification Project Embraces New Coal Beneficiation Technology

April 4, 2008

South Heart gasification project partners, Great Northern Power Development (GNPD) and Allied Syngas Corporation (Allied Syngas), have selected GTL Energy (USA) Limited to provide coal beneficiation technology for their proposed coal-gasification project in southwest North Dakota.

Coal beneficiation is the process of upgrading coal, such as North Dakota’s lignite, prior to the gasification process, making it a more efficient energy source with reduced emissions. In addition, removing the excess water from the lignite creates an alternative source of water, lessening the need from other sources.

GTL Energy’s proprietary process is a robust, low temperature beneficiating technology which has been thoroughly tested on coals from around the world. This technology will produce high quality stable briquettes with less moisture and higher energy content from the South Heart lignite.

“The beneficiated coal will yield a higher heating value, improving its energy efficiency, resulting in a smaller environmental footprint,” says Chuck Kerr, president and CEO of GNPD. “In addition, this process will reduce the water requirements for the plant. The GTL Energy technology enables us to further our mission to make the South Heart Gasification Project one of the cleanest coal-based plants in the world.”

“We are very pleased to be working with GNPD and Allied Syngas to bring together our coal upgrading technology with their advanced gasification system, completing a suite of clean energy solutions,” says Robert French, CEO of GTL Energy. “This technology allows us to use low-rank coal in an environmentally responsible way, while meeting growing energy demands.”

In addition to their commitment to establish a commercial installation of the GTL Energy process at South Heart, GNPD and Allied Syngas have committed to acquire a direct ownership position in GTL Energy. The parties will be working together closely on a number of other joint opportunities to develop clean energy resources.

About Great Northern Power Development (GNPD)

GNPD was created to develop energy projects incorporating the coal and lignite reserves owned by its affiliated partnership: Great Northern Properties Limited Partnership (GNP), the nation’s largest private owner of coal reserves. While GNP was formed solely for the leasing and management of its mineral land interests, GNPD was formed to assume the responsibility for all aspects of project development, including project management, financing, feasibility studies, permitting, land control, business development, and mine development. Both GNP and GNPD are headquartered in Houston, Texas.

About Allied Syngas Corporation (Allied Syngas)

Allied Syngas and its affiliate Envirotherm GmbH, a co-owner of the BGL gasification technology, are part of Allied Resource Corporation (“Allied Resource”). Formed in 1994, Allied Resource is a global technology-based industrial services company based on a growing number of technology innovations focused on environmental services, industrial processing and recycling. Headquartered in Wayne, Penn., Allied Resource also has substantial operations in Western Europe and China.

About GTL Energy Limited (GTL Energy)

GTL Energy (USA) Limited is a wholly owned subsidiary of GTL Energy Ltd, an unlisted company headquartered in Adelaide, South Australia. The subsidiary operates principally out of Colorado where it maintains its research and development facilities and programs specifically designed to clean and upgrade low rank coal and lignite from a number of countries. The GTLE process is a robust, economic pre-combustion technology for production of customized high grade fuels for cleaner, more efficient power generation and gasification, principally by removing moisture, ash and soluble salts.