The university has already dedicated more than $60 million over the past year to advance education and research related to energy, environment and sustainability and will be helped along over five years by the funding from Arch, Peabody and electric company Ameren which will kick in $2 million.

Laboratory facilities will be set up on the university campus for clean coal research which may include pilot-scale facilities to test more efficient, cleaner combustion of coal and approaches to capturing and storing carbon dioxide.

As part of the International Center for Advanced Renewable Energy and Sustainability, the consortium will become part of an international partnership of universities, industry leaders and foundations to advance carbon solutions.

“We are convinced technology is the answer, and we are confident the research led by the Consortium for Clean Coal Utilization will play a vital role in helping the world chart a successful course to a cleaner and more secure energy future," Arch chief Steven Leer said.

On top of the grant to Washington, Peabody has also committed $2 million each to Wyoming and Arizona universities.

The grant at the University of Wyoming will be used to support a Clean Coal Technology Center through the School of Energy Resources.

The grant will focus on economic and energy analysis and will support the Technology Center's work in advanced coal utilisation research and interdisciplinary undergraduate and graduate programs for energy-related careers.

The grant to the University of Arizona will be used to create the Institute of Mineral Resources, which will develop best practices in mining, safety and environmental stewardship. Key research efforts will include advancing mine safety technology and research on energy-efficient mining.