Grant and Mineral could fuel jobs with coal

For many years I have advocated turning coal into motor fuels. During the last election cycle I started working on the idea of what it would take to get a group together to make that happen on top the Allegheny Front. The coal located on top the mountain is the closest in West Virginia to the east coast markets, and it is the type that lends itself well to being converted in to liquid fuel. This makes the Potomac Highlands a natural for a location of a conversion plant. The Fischer-Tropsch process has been around for over 100 years and Germany used it during World War II to run the last few years of the war when her oil supplies were cut off. There is very little new science involved, and with oil remaining above $35 per barrel for the foreseeable future it is economically desirable because coal based gasoline would be cheaper.

In mid-August the Coal-to-Liquid Coalition is planning a summit in Beckley, WV. Congressman Nick Rahall (D) WV-3rd wants the Defense Department to get involved since they are the single largest purchaser of fuel in the US. 2.5 billion gallons annually. Rahall wants the Defense Department to purchase coal based fuels. I understand the reasoning for wanting to get the government involved, and that is basically to take the uncertainty out of the market place. When the private sector builds a plant it wants to know that it will make a profit, and with a government contract from the Defense Department that uncertainty is gone. Now normally I like the idea of government staying out of things, but I like the idea of our government buying domestic instead of foreign.

I think the Economic Development directors of Grant and Mineral should attend this meeting. It would be a good opportunity to see what can and needs to be done. Nobody ever got anything sitting there waiting for it to be handed to them, and if the Potomac Highlands is not aggressive in marketing itself to the world, then the world will pass us by. Armed with knowledge you start marketing your idea.

There are many large consumers that could be approached to purchase coal based fuels. Some of the largest private consumers of fuel in the US are the rail roads. CSX alone purchased in excess of two billion dollars worth of fuel last year. This would be a excellent place to start putting together a group of a possible project. You need a diverse group from coal mining companies, to the ones that own the nozzle you put in the end users tank and everybody in between. Together you can have an integrated approach that benefits everybody in the chain, and you take out much of the uncertainty. The Potomac Highlands have an opportunity knocking, but we need to answer the door.