Obama Plans US Energy Shut-Down -- The Chinese Are Not Nearly So Foolish

Image SourceWithout energy, an entity will die. This is true for plants, animals -- and for nations.

During the campaign, Obama promised to shut down coal fueled power plants -- and he is doing just that.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: If somebody wants to build a coal-fired plant, they can. It's just that it will bankrupt them because they're going to be charged a huge sum for all that greenhouse gas that's being admitted. _R&D

Under the Obama administration, offshore oil, oil shales, nuclear power, and other reliable forms of baseload power are not having much success either. Obama seems to believe that shutting down the US energy supply will make him a better leader, and the US a better country.

The Chinese are a good deal more intelligent, apparently, and understand that a nation's energy supply is the life's blood of its industry. That is why the Chinese are planning a vast new energy future for the 21st century.

Brian Wang has covered China's ambitious nuclear energy plans. China has large contracts with Areva, Mitsubishi, Westinghouse, and other nuclear power contractors, to build a large array of newer generation, safer nuclear power plants.

China is also becoming a leader in the implementation of clean coal gasification power.

Under a memorandum of understanding (MoU) between Shell and Shenhua, the two parties will explore opportunities to jointly develop more advanced coal gasification technology. In addition, they will discuss the possible application of carbon capture and storage (CCS) technology. A joint working team will be set up to implement the agreement.

Shenhua has built the world’s first million-tonne level direct coal liquefaction project in China’s Inner Mongolia, equipped with two gasifiers using Shell’s coal gasification technology to produce hydrogen from coal.

The Shell-Shenhua MoU was signed alongside government meetings between China and the Netherlands on sustainable energy cooperation. Officials from the National Energy Administration of China and the Ministry of Economic Affairs of the Netherlands witnessed the signing, after their meeting concluded with a memorandum of understanding on cooperation in the field of energy between the two government departments.

Shenhua Coal to Liquid and Chemical Co. Ltd. is a subsidiary company to Shenhua Group Corporation Limited. Shenhua Group is the world’s largest coal company. It not only builds coal-to-liquid and coal-chemical projects, but also develops CCS, hydrogen power and renewable energy technology.

Shell has been developing and commercializing coal gasification technology since the 1970s with a total of 26 licensing agreements signed worldwide. Shell has signed 19 licensing agreements with different Chinese users. Eleven plants using Shell coal gasification technology, including Shell’s joint venture with Sinopec in Yueyang of Hunan Province, have been started up.

Gasification equipment. The SCGP is a dry-feed, oxygen-blown, entrained flow coal gasification process which has the capability to convert virtually any coal or petroleum coke into a clean medium Btu synthesis gas.

In SCGP, high pressure nitrogen or recycled syngas in used to pneumatically convey dried, pulverized coal to the gasifier. The coal enters the gasifier through diametrically opposed burners where it reacts with oxygen at around 1,600 °C. The gasification temperature is maintained to ensure that the mineral matter in the coal is molten and will flow smoothly down the gasifier wall and out the slag tap. The hot syngas exiting the gasifier is quenched to below the softening point of the slag and then cooled further in the syngas cooler. _GCC

China is the world's larges coal producer, and the US has the largest coal reserves. Australia, Russia, and India also have large coal reserves.

Using gasification, it is possible to turn any type of coal -- even low quality coal -- or carbonaceous material, into clean synthesis gas. Syngas can be fired like natural gas, or turned into more complex fuels, chemicals, or polymers.

China's system of government and economy once suffered under tremendous disadvantages with respect to the government and economy of the US. As the government of the US continues to eviscerate the US economy, any advantages the US enjoyed are beginning to slip away.

Even under a global regime of poverty, someone will be on top. At the rate the Obama administration is going, the one on top will be China.

Cross-posted to Al Fin Energy