U.S. Department of Energy selected Hydrogen Energy International LLC for $308 million in funding from the American Recovery and Reinvestment Act. The project is a joint venture between BP and Rio Tinto.

This is part of the third round of the Clean Coal Power Initiative (CCPI). The initiative was made possible by President Bush when he signed the 2005 Energy Act and is designed to increase investment in low-emission coal technology by demonstrating advanced coal-based, power generation technologies. The goal of CCPI is to accelerate the readiness of advanced coal technologies for commercial deployment, ensuring that the United States has clean, reliable, and affordable electricity and power.

Hydrogen Energy International is a BP Alternative Energy and Rio Tinto joint venture. The companies will design, construct, and operate an integrated gasification combined cycle power plant that will take blends of coal and petroleum coke, combined with non-potable water, and convert them into hydrogen and CO2. The CO2 will be separated from the hydrogen using the methanol-based Rectisol process. The hydrogen gas will be used to fuel a power station, and the CO2 will be transported by pipeline to nearby oil reservoirs where it will be injected for storage and used for enhanced oil recovery. The project will be located in Kern County, California and will capture more than 2,000,000 tons per year of CO2.

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