SLH Corp. (SYNM) - From natural gas to crude oil Message Board

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Technology Stocks : SLH Corp. (SYNM) - From natural gas to crude oil

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To: James J. Franklin who wrote (24)	3/13/1998 1:05:00 AM
From: John M	Read Replies (2) of 281

James, The key to the Syntroleum process is that it uses air instead of oxygen. This eliminates an oxygen plant from the capital cost. The other real trick is the tremendous amount of heat which is generated by the reaction. This heat can be converted to steam and then electricity or heat for another process. These two aspects of the process are what has attracted the big boys to Sytroleum. The Sasol process has been around for a long time but it costs way too much to install. Exxon, Shell and RNTK use oxygen too. The key to success for this entire venture is the catalyst life. Catalyst should last at least 3 years between changeouts to make sense. Also, catalyst activity needs to stay high throughout the life for economic operations. I will be really happy to see Texaco's commecial plant built. My guess is that if that project is approved, Texaco will have decided that the catalyst issues are resolved and is willing to sink 50 million$ into a plant. Big oil companies don't drop that kind of cash without knowing the answer. I was just surfing through and thought I would pass this along.

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