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Powerfuel appoints feed contractor

14 September 2007 - Powerfuel Plc has announced that Powerfuel Power Ltd (Powerfuel) has appointed Jacobs Engineering UK Ltd (Jacobs) to carry out a full FEED (front end engineering design) package for its proposed 900 MW coal fired IGCC power station at Hatfield, South Yorkshire, with carbon capture and storage.

Jacobs has already completed a 9 month process design package for Powerfuel. The FEED work programme will provide greater technical definition and more accurate data for the overall IGCC facilities. This will enable Powerfuel to call for tenders for an engineering, procurement and construction contract to build the plant. The FEED work should be complete within 12 months.

Richard Budge, Chief Executive of Powerfuel Plc, said "We are pleased to continue our technical relationship with Jacobs. This new commitment maintains Powerfuel's leadership in bringing clean coal power generation and carbon capture to the UK market. Powerfuel has already secured its fuel supply, a gasifier licence with Shell Gas & Power Ltd., partial planning consent, and has a connection agreement with National Grid. This significant agreement for FEED work will take Powerfuel to the point where bids to construct our plant will be possible. Importantly, it puts Powerfuel in the best possible position to qualify for UK government support in its forthcoming competition for carbon capture and storage projects".

The Hatfield project will use British coal from the adjacent colliery. The use of proven gasification technology will enable harmful emissions to be minimised, and in particular capture ca 90% of the carbon dioxide released for transport to secure storage. The Hatfield power project remains on course to be fully operational by 2012. The large commercial scale of the project will significantly benefit the UK's security of power supply, increase the diversity of its fuel portfolio, and set an important precedent internationally.




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