KFx Inc. and Arch Coal Inc. have announced that KFx and Arch Western Resources LLC, a subsidiary of Arch Coal, have reached an agreement to pursue the development of a 700,000 tpy K-Fuel Plus(TM) plant. As currently proposed, KFx or its affiliate will finance the plant and, together with Lurgi South Africa (Pty) Ltd, construct and operate the plant at Arch’s Black Thunder mine located near Gillette, Wyoming. Under the proposed plan, Black Thunder mine will provide the facility site, utilities, coal transportation, and equipment infrastructure, as well as the coal feedstock for the K-Fuel Plus(TM) plant. The proposed plan is subject to final negotiation, approval, and license from K-Fuel, LLC, as well as ratification of definitive agreements by each company’s respective board of directors. Ted Venners, Chairman of KFx, commented,” This technology has been shown to significantly enhance the BTU content of western coal while offering the industry a product that is low in SO2, NOx, and mercury emissions.”
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