In line with a determination by the Federal Government that a fluidized bed combustion process can efficiently convert the energy of coal to usable power in an environmentally acceptable manner, Georgetown University was awarded contract E(49-18)-2461 to construct and operate a demonstration plant. Construction of an atmospheric fluidized bed boiler for burning high-sulfur coals was completed in November 1979. Progress made during the second quarter of plant startup is reported. In the October through December 1979 quarter, the FBC boiler was operated for 694 hours during 9 separate runs. Of these additional hours of operation, 78 1/2 hours were on two beds, and the balance on one bed. Steam generation rates ranged from 18,000 to 80,000 lb/h. A peak generation rate of 56,000 lb/h was achieved on one bed alone. Boiler operations at levels in excess of 80,000 lb/h were precluded by the relatively mild Fall weather encountered, which limited the peak campus steam load to 80,000 lb/h. The boiler was operated through the first week in December at which time the plant was shut down for the balance of the Quarter for inspection and to complete various modifications, the most important of which were the installation of grid plate seals within the boiler, and modifications of the flyash reinjection blowers. With these modifications, the boiler is ready for extensive performance testing in January 1980. (LCL)