Bruce Nilles, national coal campaign director of the Sierra Club, said “it has huge consequences on the landscape and you release enormous amounts of carbon dioxide.”
However, Bob Kelly, Chairman of DKRW Advanced Fuels said today’s coal technology is cleaner than it’s ever been and it continues to improve. The cost of producing gasoline from this technology is very attractive right now considering the record-highs in oil prices. Kelly says the break-even pricing is $30 to $40 a barrel.
That's no small feat with crude expected to go as high as $170 a barrel this summer.
DKRW Advanced Fuels is currently private, but Kelly says it would be nice to get subsidies but that it’s not necessary for the bottom line.
“Let the market do the talking," Kelly said. "If we can’t, we can’t. If we can, we can.”
Nilles, meanwhile, does not expect these projects to go forward without federal subsidies.