WASHINGTON, D.C. – A $2 million grant will be awarded to the University of Kentucky’s Center for Applied Energy Research for the development of coal-to-liquid technology.

Supporters, such as U.S. Rep. Hal Rogers and Rep. Geoff Davis, who helped secure the funding through the Energy and Water Appropriations Act, say furthering the development of the technology could reduce dependence on foreign oil and open new markets for Kentucky’s coal mining economy.

“We need to make a more concerted effort to wean ourselves from the stranglehold of unfriendly foreign countries and utilize the abundant resources here on American soil,” Rogers said in an announcement Wednesday. “I am confident that the ground-breaking research performed by scientists at UK-CAER will prove vital on both the national and local levels, particularly in the creation of high-paying jobs here in Kentucky.”

The funding is expected to enable researchers at the center to expand on their ongoing coal-to-liquid work by constructing a small-scale refinery to develop methods for coal liquefaction. To date, just over $4.4 million in funding has been given toward this effort.

Researchers have not yet offered a time-frame for how long such technology, once developed, could become feasible or economically viable, but Rogers foresees the process as one way to curb hardship during tough financial times.

“Rising energy costs create a huge burden on Kentucky’s hard-working families that are already struggling with economic uncertainty and job losses in these challenging times,” Rogers added.

Both Rogers and Davis have also been vocal in their support of the American Energy Act (HR 2846).

If passed, HR 2846 would authorize the Secretary of Energy to enter into price guarantee agreements with up to six coal-to-liquid projects that produce innovative transportation fuel.