The Keystone Project is proposed to be a facility that would eventually produce up to 67,000 barrels per day (bpd) of fuel-grade methanol from 2330 tons per day of bituminous coals. Initial production capacity of the plant, which could be on stream in early 1988, would be 13,300 barrels per day, could be expanded to the full 67,000 bpd capacity by the addition of unit additional process trains. This approach provides for a rapid and cost-effective implementation of the project with minimum risk. The Feasibility Study involved a comprehensive 18-month evaluation aimed at assessing the viability of the project from technical, economic, financial, marketing, environmental, health and safety, socioeconomics and business aspects. The work scope included seven tasks, which address important issues in the project: Preliminary Facility Design; Economic and Financial Analysis; Market Analysis; Siting Evaluation and Resource Assessment; Environmental, Health, Safety and Socioeconomic Assessments; Detailed Evaluation and Plan for Project Completion; and Program Management. The results provide a body of quantitative and qualitative information on which a decision can be made by interested investors whether to proceed with the project. The following work objectives were accomplished: a preliminary facility design and cost estimates based on a specific site were established; the size and nature of potential markets, probable product prices and key market regulatory issues were evaluated; the commercial feasibility of the project was determined based on economic and financial parameters, such as capitalization and debt structure, local and federal incentives and investor rate of return and cash flow; and environmental, health and safety, socioeconomics and related regulatory aspects of the project were evaluated. The results indicate that the project can be viable if given appropriate financial support from the US Synthetic Fuels Corporation.