http://www.engineeringnews.co.za/article.php?a_id=129246

Coal to liquids Sasol making progress on the globalisation of its coal-to-fuels 
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Published: 28 Mar 08 - 0:00
 Petrochemicals company Sasol’s coal-to- liquids (CTL) feasibility studies in 
China are on track and advancing, international energy cluster GM Lean Strauss 
has confirmed.
 “We are making progress in China. In December, the board approved a second 
stage in the feasibility study that we are currently running in China. “Moving 
into the second stage of the feasibility study was supported by the fact that 
we have [made adequate] progress on the commercial enablers,” he added.
 Owing to huge interest from emerging economic giants, such as China and India, 
as well as the US, Sasol’s CTL technology has emerged as a strong contender in 
the energy sector.
 The growing interest in CTL stems from coal-rich countries attempting to 
diversify their transport-fuel mix away from reliance on crude oil imports, and 
a requirement to guarantee energy security.
 Sasol CEO Pat Davies visited China in Sep-tember to strengthen ties with that 
country. An office has also been established in that coun- try, and includes 
staff members who are CTL specialists.
 The feasibility study was conducted for projects planned to be undertaken in 
the Shaanxi and Ningxai provinces, in central China.
 Sasol plans to construct two plants that will be able to produce 80 000 bbl/d, 
at an estimated capital cost of $5-billion to $7-billion.
 China’s coal, according to Strauss, is of a  high quality, and “superior” to 
that of South Africa.
 “We expect the feasibility study to be com- pleted at the end of next year,” 
Strauss said.
 Sasol was also implementing projects in India and the US, but Strauss noted 
that the opportunities the company was exploring in those countries were still 
in the prefeasibility stages.
 The company has established a representative office in India to enable further 
advancement of CTL in that country, and technical studies are said to be 
possible only on dedicated coal reserves.
 Sasol has established at least one CTL plant in India, and a feasibility study 
has been con- ducted on a proposed 80 000-bl/d CTL plant, which the company 
says will cost between $6-billion and $8-billion.
 In the US, Sasol indicates that it is targeting five of that country’s 
coal-rich states, although Strauss said that capital costs were its main 
constraints in operating in that country, as it was a high labour-and 
construction-cost environment.
 A CTL plant could generate at least 37 000 jobs during the construction period 
of five years, and over 15 000 jobs could be created during its 25-year 
lifespan.
  
Edited by: Martin Zhuwakinyu


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