The Indiana Gasification project will convert coal to syngas using a gasification process. The syngas will be processed and when finished will be substitute natural gas (SNG). SNG is chemically and physically the same as natural gas.

Indiana Gasification LLC has received an offer from the DOE for Loan Guarantee. The last few years has had its ups and downs and its bad times and good times for Indiana Gasification. Its been a roller coaster ride. Heres why:

The Indiana Gasification project was announced in 2006. In 2006 Indiana Governor Mitch Daniels supported the project. Good times!

Leucadia National Corporation is the project developer and, in late 2008, Leucadia announced it was withdrawing its permit application and abandoning the Indiana Gasification Project. Indiana Gasification LLC said that negotiations to sell the SNG to Indiana utilities for fuel were unsuccessful and the project could not go forward. Bad times!

In November 2009, the DOE announced that Indiana Gasification is a candidate for a loan guarantee. Good times again!! This proves the old saying “you can’t keep a good project down”.

The facility will capture 85% to 90% of the CO2. The CO2 will compressed and transported via pipeline to the Gulf coast where it will be used for enhanced oil recovery. When complete, the facility will be able to convert 12,600 tons per day of coal to 153 million standard cubic feet of SNG per day.