Washington (Platts)--20Feb2009

The US Department of Energy is seeking proposals for projects that would
develop tools and protocols for monitoring the storage of CO2 in geologic
formations, a process whose success is considered critical for the expansion
of coal-fired electric generation in the US.

DOE said it may offer up to $24 million for the projects, which would be
part of the department's Carbon Sequestration Program, depending on
congressional appropriations for fiscal 2009. Project sponsors would be
required to provide at least 20% of the projects' funding.

"Geologic storage is considered to be a key technological solution to
mitigate CO2 emissions and combat climate change," DOE said in a statement on
the funding opportunity request.

Consistent with the Obama administration's campaign to promote new jobs,
DOE said it expected the sequestration projects to provide 160 full-time jobs
annually and continue for four years.

Among the objectives of the DOE solicitation are the development of tools
and protocols for monitoring, verifying and accounting for CO2 stored in
geologic formation, and the improvement of tools for predicting the behavior
of the stored CO2.

The deadline for applications is April 17.

--Bill Loveless, bill_loveless@platts.com