Synthetic Natural Gas: Coal Gasification, Methanation, and Pipeline-Grade SNG Specifications
Synthetic natural gas, abbreviated SNG and sometimes called substitute natural gas, is a manufactured methane-rich gas produced by converting a solid or heavy hydrocarbon feedstock, most commonly coal but also petroleum coke, heavy oil residue, or biomass, into a gas that is interchangeable with conventional pipeline natural gas. The purpose of SNG is to turn an abundant but hard-to-transport or lower-value carbon source into clean, high-heating-value methane that can move through existing natural gas pipelines, feed power plants, or supply industrial users without any modification to downstream equipment. The dominant route is coal gasification followed by methanation, a two-step thermochemical process. In the first step, coal is reacted with oxygen and steam at high temperature and pressure in a gasifier, producing synthesis gas, or syngas, a mixture rich in carbon monoxide and hydrogen along with carbon dioxide, methane, and impurities. Gasifier designs include fixed-bed, fluidized-bed, and entrained-flow types, and the choice depends heavily on coal rank, ash content, and moisture. The raw syngas is then cooled and cleaned to remove particulates, sulfur compounds, and other contaminants, and its hydrogen-to-carbon-monoxide ratio is adjusted through the water-gas shift reaction. In the second step, the conditioned syngas passes over a nickel catalyst in a series of methanation reactors, where carbon monoxide and hydrogen react exothermically to form methane and water. The methanated product is dried and compressed to meet pipeline specifications, typically a heating value near 37 to 39 megajoules per cubic metre, roughly 1,000 British thermal units per standard cubic foot, with tight limits on carbon dioxide, water, and sulfur. Heating heavy hydrocarbons or refining residues can also yield SNG through similar reforming and methanation chemistry. In the Western Canadian Sedimentary Basin (WCSB) context, SNG has historically been of interest because Alberta holds vast subbituminous coal reserves and a mature natural gas pipeline network, and because coal gasification pairs naturally with carbon capture, since the carbon dioxide stream from gasification and shift is concentrated and comparatively easy to capture and sequester. That linkage between SNG and carbon capture and storage is central to any modern economic case for the technology, given both the capital intensity of gasification plants and the carbon pricing regime under which any WCSB facility would operate. SNG is measured and reported in the same units as conventional gas, in e3m3 and Bcf, and is contractually indistinguishable from wellhead gas once it meets tariff specification and enters the grid.
Key Takeaways
- Manufactured Methane Substitute: SNG is a methane-rich gas made by converting coal, petroleum coke, heavy oil residue, or biomass into a product interchangeable with conventional pipeline natural gas. Once it meets tariff heating value and impurity limits, it flows through existing infrastructure and is contractually indistinguishable from wellhead gas.
- Two-Step Gasification and Methanation: The dominant route gasifies coal with oxygen and steam to produce syngas rich in carbon monoxide and hydrogen, then reacts that syngas over a nickel catalyst in methanation reactors to form methane and water. A water-gas shift step first tunes the hydrogen-to-carbon-monoxide ratio to the methanation stoichiometry.
- Pipeline Specification Target: Finished SNG must reach a heating value near 37 to 39 MJ/m3, roughly 1,000 Btu/scf, with strict limits on carbon dioxide, water vapour, and sulfur. Meeting the tariff specification is what allows the gas to enter a transmission system without derating downstream burners or compressors.
- Natural Fit With Carbon Capture: Gasification and the shift reaction concentrate carbon dioxide into a relatively pure stream, making capture far cheaper than post-combustion capture on a power plant. Any credible WCSB SNG economic case pairs the plant with carbon capture and storage to manage emissions and carbon pricing exposure.
- Capital-Intensive and Feedstock-Sensitive: Gasifier selection depends on coal rank, ash, and moisture, and the plants carry very high capital cost. SNG competes directly against low-cost WCSB shale gas from the Montney and Duvernay, so its economics historically hinge on carbon policy, feedstock cost, and long-term gas price outlook rather than on technology alone.
Gasifier Selection and Syngas Cleanup
The gasifier is the heart of an SNG plant, and its design is dictated by the feedstock. Fixed-bed gasifiers suit lump coal and produce syngas with more methane and tars; fluidized-bed units handle reactive low-rank coals and biomass well; entrained-flow gasifiers run pulverized coal at very high temperature and produce a clean, tar-free syngas but demand more oxygen. After gasification, the raw syngas must be cooled and scrubbed to remove particulates, then treated with an acid-gas removal system to strip hydrogen sulfide and carbon dioxide before methanation, because sulfur poisons the nickel methanation catalyst. For a hypothetical Alberta plant fed subbituminous Ardley coal, an oxygen-blown fluidized-bed gasifier would balance the coal's high moisture against acceptable oxygen consumption.
Methanation Chemistry and Heat Management
Methanation is strongly exothermic, releasing large amounts of heat as carbon monoxide and hydrogen combine into methane. Managing that heat is the central engineering challenge, because excessive temperature both damages the nickel catalyst and shifts equilibrium away from methane. Commercial plants use a series of adiabatic methanation reactors with intercooling, recycling part of the product gas to dilute the feed and limit temperature rise, and recover the reaction heat as high-pressure steam that drives the plant's own compressors and oxygen plant. The final methanation stages run cooler to push conversion toward completion, yielding a gas that after drying and carbon dioxide polishing meets the roughly 1,000 Btu/scf pipeline heating value target.
Fast Facts
The Great Plains Synfuels Plant in Beulah, North Dakota, commissioned in 1984, remains North America's only commercial coal-to-SNG facility, gasifying roughly 6 million tonnes of lignite a year into about 4.8 million cubic metres of pipeline gas per day. It also became an early carbon capture pioneer: since 2000 it has piped several thousand tonnes of captured carbon dioxide daily north across the border to the Weyburn oilfield in Saskatchewan for enhanced oil recovery, making it one of the first large-scale integrated gasification and carbon capture operations in the world.
Related Terms
Synthetic natural gas connects to natural gas, the conventional product it substitutes for and must match in specification, and to carbon capture and storage, since the concentrated carbon dioxide from gasification is what makes SNG's emissions manageable. It relates to heating value, the pipeline-tariff property SNG must hit to be interchangeable, and to enhanced oil recovery, because captured gasification carbon dioxide has historically been sold to WCSB and Williston Basin floods.
WCSB Field Scenario: Captured CO2 to a Saskatchewan Flood
A Saskatchewan enhanced oil recovery operator running a miscible carbon dioxide flood in a Weyburn-area Midale carbonate reservoir sourced a large share of its injection gas from captured SNG-plant carbon dioxide delivered by pipeline from a lignite gasification facility across the border. The concentrated carbon dioxide stream, a byproduct of turning coal into pipeline methane, was compressed to injection pressure and pumped into the reservoir to swell the remaining oil and reduce its viscosity, boosting recovery beyond what water flooding alone achieved.
The arrangement illustrates why SNG and carbon capture are economically linked in the WCSB region. The gasification plant gained a revenue stream and an emissions solution by selling its carbon dioxide, while the oilfield secured a reliable, competitively priced injectant. Weyburn-area floods have added tens of millions of incremental barrels over their lives on the strength of that supply.