The TRW Gravichem process, a chemical desulfurization process to remove sulfur from coal, has been modified and evaluated by the Process Evaluation Office of the Department of Energy. The study was based on a revised version of the flowsheet which was received from TRW, and it was assumed that the coal was from the Lower Kittanning seam. Costs were determined for a commercial plant to produce 9902 tons per day of clean coal meeting the May 1978 EPA standards on sulfur emissions for new steam powerplants. Results of the study indicate processing charges of $20.36, $23.03, and $27.83 per ton of product assuming 12-, 15-, and 20-percent discounted cash flows (DCF) and 100 percent equity financing. With 33:67 debt-equity financing, again assuming 12-, 15-, and 20-percent DCF rates, the processing charges are $18.58, $20.33, and $23.50 respectively.