"Of his newest project -- to create an alternative to petroleum-based fuels for the Air Force -- Sayre said algae produces oil that contains twice the energy of ethanol made from other plants.

Researchers say that a pond the size of New Jersey could produce enough fuel to supply the transportation needs of the country. By contrast, an area larger than the United States would be needed to grow enough corn to meet the nation's energy needs.

Eric Jarvis, a senior scientist at the National Renewable Energy Laboratory in Golden, Colo., said algae can be grown in the ocean or a desert pond, grow and feed on wastewater or literally eat air pollutants produced by a power plant." (Emphasis - JtM)

Called SASOL, yet?

"Ethanol from coal? If it works, it could solve three major problems for the energy industry.

Researchers at Louisiana State University, along with colleagues from Clemson University and Oak Ridge National Laboratories, are trying to develop catalysts and processes that would allow energy companies to convert coal into a mix of carbon monoxide and hydrogen, and then convert those gases into ethanol.

The ethanol could then be used as a liquid fuel additive or, alternatively, shipped as a liquid and then be converted into hydrogen for hydrogen fuel cells, said LSU's James Spivey, who is heading up the project.

Right now, ethanol is primarily made out of corn or sugarcane. It's expensive and time-consuming to make, a problem. A gallon of ethanol derived from plant matter also only has around two-thirds of the energy content of a gallon of gas. A gallon of ethanol derived from coal-created synthetic gases could provide more energy.

"You could avoid an energy penalty" with coal ethanol, Spivey said.

The U.S. is also sitting on massive reserves of coal that dwarf even the oil reserves of Saudi Arabia. Coal-fired power plants, however, are a major source of pollution. Using coal (in tightly controlled factory situations) to make ethanol would solve the issue of how to exploit the domestic coal supply in a way that doesn't harm the environment drastically, problem number two.

Problem number three, of course, is the hydrogen transportation problem. Hydrogen corrodes pipelines and the extremely small size of hydrogen molecules makes it tough to come up with pipelines that don't leak. Transporting it as a liquid helps solve that.

Now they just have to find the catalysts.

The Department of Energy and ConocoPhillips are underwriting the $2.9 million cost of the project.

Meanwhile, others such as Silverado Green Fuel, are looking at ways of making liquid fuels with coal particles..."

They are confusing some issues in this story, and some of the statements are incorrect, i.e:

-- You don't need to transport hydrogen if you're just making liquid fuels directly from syngas. And, you shouldn't get free hydrogen in syngas, in any case. It's far too reactive to exist in a free state in the hot organic fume of syngas.

-- There's no difference in the energy content of a gallon of pure ethanol derived from coal versus a gallon of ethanol derived from biomass. Ethanol is ethanol - though the H20 content might be higher in the bio-based product, and require some additional energy input for distillation.

-- They don't have to find the catalysts. The South Africans have already done that, and it looks as if good old Canadian nickel will turn the trick nicely.

In any case, now you have some additional universities you can call: Clemson, whom we've alerted you to previously, and Louisiana State, whom we might also have mentioned regarding their sugar cane-to- fuel research. And, we think we sent you some contacts at Oak Ridge pertaining to cellulose to liquids.

We did most definitely tell you about ConocoPhillips CTL technology, and alerted you to their overseas activity - i.e., in China's project to get 88 Coal TL plants online