Three-stage coal liquefaction process

A three-stage process for liquefying coal which comprises:

• forming a coal-solvent slurry by mixing subdivided coal with a solvent;
• passing said slurry through a dissolving stage free of external catalyst and contact particles at a temperature in the range of 400.degree.-480.degree. C. and at a slurry hourly space velocity in the range of 1-150 hr..sup.-1 to substantially dissolve said coal and produce an effluent comprising dissolved coal, solvent, insoluble solids and heptane insolubles;
• passing effluent containing the dissolved coal and the insoluble solids from said dissolving stage with added hydrogen through a first catalytic reaction stage containing a catalyst having a selectivity for converting heptane insolubles to lower molecular weight compounds, at a temperature in the range of 340.degree.-430.degree. C., a slurry hourly space velocity in the range of 0.5 to 5 hr..sup.-1, and a hydrogen partial pressure in the range of 35 to 700 atmospheres;
• recycling a portion of the effluent from said first catalytic reaction stage for use as solvent;
• and
• passing the remainder of said effluent from said first catalytic reaction stage through a second catalytic reaction stage containing hydrocracking catalyst and operating under hydrocracking conditions including a hydrogen partial pressure in the range of 35-700 atmospheres and at a temperature in the range of 340.degree.-430.degree. C.