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Medicine Bow Fuel & Power LLC (MBF&P), a wholly owned subsidiary of DKRW Advanced Fuels LLC (DKRW), has awarded SNC-Lavalin GDS, Inc.
Robert Kelly, executive officer of DKRW and MBF&P, stated, "We selected SNC-Lavalin because of its process engineering expertise in gasification and syngas conversion to fuels, its experience in thermal power plants and for its extensive experience with oil sands in northern Alberta from which we expect to learn a great deal about designing and building a facility of this size in a rather remote region of Wyoming.
DKRW's equity interest in the new Mexican pipeline system will be available to natural gas suppliers and other investors as the project proceeds.
"We believe this agreement for the long-term supply of a Fischer-Tropsch, ultra-low-sulfur diesel product is the first of its kind," said Jon Doyle, DKRW Advanced Fuels' chief operating officer.
"We are pleased to reach another important milestone in the development of the Medicine Bow project," said Bob Kelly, DKRW Advanced Fuels' chairman.
Steve Leer, president and chief executive officer of Arch Coal, said, "We are impressed with the work that DKRW Energy is doing to put America's vast coal resources to work in new and increasingly clean ways.
Robert Kelly, DKRW Energy managing partner for the project, said, "The use of our domestic coal resources to produce synthetic refined petroleum products and electric power through indirect coal liquefaction will be a major new industry in the United States.
"This agreement is an important step in the development of Sonora Pacific LNG," said Tom White, DKRW Energy managing partner for the project.
DKRW Advanced Fuels LLC (DKRW), headquartered in Houston, Texas, is forming an alliance with SNC-Lavalin GDS Inc., also of Houston, and SNC-Lavalin Constructors Inc., of Bothell, Wash., to develop, design and construct a number of coal-to-liquids fuel projects valued in excess of a billion dollars, it was announced today.