Tuesday, December 16, 2008

ConocoPhillips/Peabody Coal To Natural Gas Project

ConocoPhillips and Peabody Energy (CPPE) have selected a site in Muhlenberg County for developing Kentucky NewGas (KNG), a state-of-the-art energy center that will transform coal into clean natural gas. Kentucky NewGas would increase our domestic supply of natural gas by 60-70 billion cubic feet per year. Additionally, it would create tremendous economic benefits for the region, creating 1,200 skilled jobs during a four-year construction process, 500 long-term jobs and nearly $100 million in local and regional economic benefits each year. CPPE has submitted its application for an air permit to the state.

This state-of-the-art "mine-mouth" gasification project would use ConocoPhillips proprietary E-Gas technology to produce clean synthesis gas that is transformed into natural gas. Kentucky NewGas will meet regulatory standards to protect the environment, including adoption of low emissions design criteria.

The companies are working with a diverse group of industry, academic, governmental and non-governmental organizations to advance development of a regulatory and legal framework that would make carbon storage viable and enable competitive project economics. AAEA supports the project.


ConocoPhillips is an integrated energy company with interests around the world. Headquartered in Houston, Texas, the company has approximately 33,600 employees and $185 billion of assets. More information.

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