Peat Resources conducting tests at Ontario Hydro

In its bid to capitalize on the vast peat lands of northern Ontario, a little-known company called Peat Resources (COATS) is conducting a series of burning tests through the research division of Ontario Hydro. The company is developing technology for the use of peat as an alternative fuel source. If developed successfully, peat fuel could help to reduce sulphur emissions that contribute to acid rain, as well as reduce Ontario’s need for coal imports estimated at more than $1.6 billion a year.

A test burning program, at a cost of nearly $650,000, is under way with funds being provided by joint venture partners Inco (TSE), Corona (TSE) and grants from the Ontario government.

The tests are part of a prefeasibility study being carried out on the economics of a large-scale mining and peat fuel production plant estimated to cost up to $100 million.

The initial phase of the project will include the construction of a $10-million pilot plant facility designed to treat up to 10,000 tonnes of peat per year. The larger-scale plant would treat up to a million tonnes per year.

Peat Resources has refined a method to combine mechanical treatment and thermal drying of peat in order to produce a low-moisture end product with characteristics similar to coal. The test burns being conducted by Ontario Hydro are expected to determine the dried peat’s combustion and handling characteristics.