Israel Hernandez with members of Clean Coal Technologies, Inc. and Shanxi POAR Environmental

Israel Hernandez with members of Clean Coal
Technologies, Inc. and Shanxi POAR Environmental

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China Buys Clean Coal Technology From U.S.

Israel Hernandez, assistant secretary for trade promotion and director general of the U.S. Commercial Service presided over the signing of a significant agreement to help address China’s increasing interest in reducing coal-generated pollution. The deal between Clean Coal Technologies, Inc. (CCTI) of Coral Springs, Fla., and Shanxi POAR Environmental in China represents some of the most advanced clean coal technology in the world to be sold to China. The agreement was signed in Washington, D.C., on Friday, Oct. 19.

“President Bush is committed to supporting U.S. companies with some of the most innovative and cutting-edge U.S. technologies to protect the environment,” said Hernandez. “This agreement is a win-win for trade and the environment which can be vital to creating a better quality of life around the world for all people.”

The agreement, estimated at $100 million for the first coal plant, is expected to lead to additional sales of this clean coal technology as China works to improve environmental conditions in preparation for the Olympics and beyond. Over the next five years, China expects to add nearly 200 coal plants, fueling billions of dollars in demand for clean coal technologies.

The U.S. Commercial Service offices in Ft. Lauderdale, Fla. and China helped Clean Coal Technologies to develop its relationship with Shanxi POAR Environmental. Through these efforts, CCTI participated in a series of ongoing meetings arranged with key decision-makers in China, developed an understanding of intellectual property protection issues, and built on a relationship that proved to be a key step towards securing the deal.

“China was our top priority because of its high energy needs and demand for clean coal technology, and the Commercial Service was instrumental in bringing this to fruition,” said CCTI President Larry Hunt. “We expect this deal to be only the beginning of a growing relationship that will boost our economies and create new jobs in the United States and China.”

CCTI’s patented technology removes up to 90 percent of the more than 300 contaminating compounds from the coal prior to burning, including carbon monoxide, methane and ethanol. The combination of heat and different atmospheric pressures removes pollutants in six to 18 minutes, a much faster turnaround time than the 13 hours required by heat alone. The first plant in Shanxi Province, China, is expected to be outfitted by late 2008.

Hunt also sees excellent opportunities in 14 “second tier” cities identified by the U.S. Commercial Service. These cities, though comprising only 8 percent of China’s total population, account for over 19 percent of China’s GDP and over 50 percent of China’s total imports—and represent robust opportunities for U.S. businesses.

This agreement highlights the Commercial Service’s contribution to promote clean energy under the Asia Pacific Partnership for Clean Development and Climate (APP). APP was created in 2006 by six Asia Pacific countries, including the U.S. and China, to work together to promote clean energy among its members. In addition to clean coal, APP also targets coal mining, clean power generation, fossil fuels, renewable energy sources, and manufacturing of aluminum, steel, and cement.

With its network of offices across the United States and in more than 80 countries, the U.S. Commercial Service of the U.S. Department of Commerce's International Trade Administration utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. For more information, visit www.Export.gov.