The JDA covers a number of project development phases. In the initial concept phase, which is expected to conclude during 2007, Monash Energy in conjunction with technical advisers from Anglo American and Shell, will carry out a study of the commercial and technical aspects, including carbon capture and storage. If successfully concluded, the study would form the basis for the feasibility phase and demonstration activities.
The Monash Energy project would involve the gasification - via Shell's proprietary coal gasification process - of Anglo American's brown coal from Victoria's Latrobe Valley for further conversion into clean transportation fuels, including virtually zero sulphur, synthetic diesel, using Shell's proprietary gas-to-liquids technology. A number of locations have been identified as potential sites for the storage of CO2 from the process.
"The combination of Anglo American's resource capabilities with Shell's technological leadership in clean coal energy will be important factors as we aim to progress the Monash Energy project from concept to feasibility stage. Anglo American is aiming to be at the forefront of the movement that is ensuring coal remains an important and sustainable energy source for the future. The development of technologies for clean coal and carbon capture are vital to addressing concerns around climate change." said Tony Redman, Technical Director of Anglo American and Chairman of Anglo Coal, at the JDA signing in Melbourne today.
Shell Gas & Power Executive Vice President for Global Businesses, Peter de Wit, said: "Shell is growing its clean coal energy portfolio from its strong position in China where we have granted 15 licenses for the use of our proprietary coal gasification technology. The Monash Energy project is evidence of our plan to expand our clean coal operations in other parts of the world and I hope today's announcement will be one of many for Shell in the growing clean coal energy sector."
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