The Government of Alberta, Canada, through the Alberta Energy Research Institute (AERI), is providing C$8.83 million (US$7.0 million) toward a $30-million underground coal gasification (UCG) project with Swan Hills Synfuels of Calgary. Swan Hills Synfuels expects the project to demonstrate the ability to manufacture synthetic gas from Alberta’s coal resources, with the future potential of utilizing the coal seams for carbon capture and storage.
The project in north-central Alberta aims to develop a commercial operation that produces clean, synthesis gas for power generation. The deep formations could also store carbon dioxide after the coal is turned into gas. Underground coal gasification has been used commercially outside of North America for close to 40 years with minimal surface impact when compared to traditional coal mining and production.
