Progress in the design, construction, testing and evaluation of a pressurized fluidized bed pilot plant is reported. The initial layout of the main control panel arrangement was completed. Refinements to the front panel equipment arrangement and designation of cable penetration locations are in progress. Parts and materials have been specified and are being procured. Engineering design of the process piping has been completed and fabrication is awaiting FY 82 funding. The replacement ASTM A105 material flanges for the air exchange housing have been successfully welded to the stainless steel 409 housings. Fabrication of the air exchange housing is continuing on schedule. Heat exchange tube fabrication at Curtiss-Wright continues on schedule. A significant quantity of the material handling equipment has been received at site with the remainder scheduled for delivery in December/January. Initial review of the hot gas cleanup collector design drawings has been completed.