TransGas Development Systems announced that it has filed an application for a permit with the West Virginia Department of Environmental Protection, Division of Air Quality, to construct a coal-to-liquids gasification plant in Mingo County, West Virginia. The Transgas coal-to-liquids project will produce gasoline.

The site is near Wharncliffe, WV in Mingo County about 80 miles south of Charlston, West Virginia. The facility is planned to convert 3 million tons of coal per year to syngas using the Uhde proprietary Prenflo gasification process using 2 – 1000 MWth gasifiers with direct quench. The facility will convert the syngas using a catalytic process to produce 6.5 million barrels per year of gasoline.

Financing has been difficult for most project developers/owners to arrange. Most developers/owners plan to finance their projects with debt. Transgas plans to issue an IPO and finance the project with investor equity from the sale of the stock.

This facility will provide high paying jobs and produce fewer emissions than traditional coal plants and improve the local economy.

Transgas Development Systems LLC announced it’s plans to build a coal-to-liquids plant in Mingo County, at Roanoke, West Virginia. The project is expected to cost $3 Billion and is scheduled to be completed in 2013. When complete, the plant will convert 3 million tons per day of coal to 6.5 million barrels per day of ultra clean gasoline.

Transgas has selected Uhde’s proprietary PRENFLO gasification technology. Transgas has signed a license agreement with Uhde Corporation of America. The plant will have two 1,000 MWth PRENFLO (TM) gasifiers in the Direct Quench version. The syngas will be converted to gasoline.

The project will meet or exceed the EPA standards and requirements for regulated pollutants. The facility will be carbon capture ready. It’s unknown if the project plans to sequester the CO2, transport the CO2 to oilfields for use in enhanced oil recovery operations or release the CO2 to the atmosphere.

Transgas is considering financing options other than the traditional solicitation of private, non-recourse financing for the project. It’s reported that one option Transgas is considering raising equity with a stock offering to raise funds to construct the project.