Coal Slurry A New Commodity?

Pumping coal to market may help Appalachian coal operators increase their share of the eastern seaboard fuel business. Transporting it by pipeline is already an accomplished fact, but until recently it had to be dewatered to be used in boiler furnaces. The campaign for these eastern markets was begun in earnest last November by the widely publicized announcement of successful plant-scale firing of a central station boiler with coal slurry pumped to the burners. This latest advance makes coal similar to oil and gas in convenience in handling and controlling at the consumption end of the pipeline. Slurry could be considered a new commodity for the fuel market. HUGE POTENTIAL MARKET The heaviest concentration of power plants in the U.S. is along the line Washington, Baltimore, Philadelphia, New York and Boston which makes this region the best hunting ground for selling pipelined coal brought from western Pennsylvania and northern West Virginia. Furthermore, if this region is assumed to consume 125 million tons of coal annually, on a comparable basis, the consumption of oil and gas would be about 180 million tons. Even if all of this fuel is not consumed in central stations, it is still a very big market for coal at the right price. Consolidation Coal Co. and Texas Eastern Transmission Co. are trying to line up customers in this area so that a pipeline can be built. This is not to say that there are not many other areas in the U.S. that could not be supplied advantageously by a mine-to-market pipeline.