Abstract

This report describes the progress made during this reporting period of a project to demonstrate that the air pollution from a traveling- grate stoker being used to heat water at one of MPEC`s central heating plants in Krakow, Poland can be reduced significantly by (1) substituting the unwashed, unsized coal currently being used with a mechanically cleaned, double-sized stoker fuel and by (2) optimizing the operating parameters of the stoker. It is anticipated that these improvements will prove to be cost-effective and hence will be adopted by the other central heating plants in Krakow and, ideally, throughout Eastern European cities where coal continues to be the primary source of fuel. EFH Coal Company has formed a partnership with two Polish institutions -- MPEC, a central heating company in Krakow, and Naftokrak-Naftobudowa, preparation plant designers and fabricators -- for the execution of this effort. The terms of a long- term contract for the procurement of 750,000 tons of 20 mm x 0 raw coal for the new plant have been negotiated with the Katowice Holding Company. This draft contract currently is still under legal review. The negotiated price is near that of the Polish government`s established price of $32/ton. Biprostal, an engineering firm located in Krakow, continued performing the many environmental and permitting activities that are required by the various levels of the Polish government before the plant can be constructed and operated. The search for markets for utilizing surplus production from the new plant continues. Because of the unanticipated delays encountered during the onset of the project with forming the EFH Coal/Polish partnership and in negotiating long-term raw coal supply contracts, a third 90-day, no-cost time extension was requested.

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