This report summarizes the results of the first year's technical effort performed on a program identifying and evaluating alternative anode materials for use in molten carbonate fuel cells (MCFC) operating with high levels of sulfur contaminants in the fuel. A literature survey was performed on materials for use in the MCFC and on materials exhibiting good electrical conductivity at high temperature. A list candidate materials having a reported electrical conductivity in excess of 0.1 (ohm-cm)/sup -1/ was compiled. 19 candidate materials were selected, and nine have been tested for electrical conductivity and for stability in the molten eletrolyte. To date, only cobalt metal has proved to be stable under all test conditions. Several water-gas shift catalysts were also evaluated for their catalytic activity and sulfur resistance under conditions prevailing in the MCFC anode. 19 refs., 24 figs., 21 tabs