Abstract: The subject invention is an integrated process for economically drying and briquetting coal to produce strong briquettes. The subject invention utilizes a conditioner to output dried coal having a selected moisture content and temperature and mean particle size and size distribution for briquetting. The conditioner reduces the moisture content of coal particles by contacting them with steam. The preferred conditioner fluidizes a bed of coal particles with steam generated during the coal drying process. The moisture content of the dried coal is in the form of steam which fills the pores and inter-particle void spaces of the coal particles. The moisture content of the dried coal is controlled by supplying heat to heat exchange tubes in the coal bed in response to coal bed temperature. The bed temperature is related to the moisture content of the dried coal.

Abstract: Coal is heated between about 95.degree. and 250.degree. C. to evaporate moisture, but not volatile hydrocarbons. The dried coal is heated to a temperature between about 400.degree. and 700.degree. C. to recover volatile hydrocarbons and to form char, the char is treated with hydrogen at a temperature between about 700.degree. and 1000.degree. C. to form methane, and the methane is decomposed to form pure carbon and hydrogen, which is recycled to treat the char.