Process for converting coal

A process for preparing light oil from coal by two step hydrogenation, which comprises:

• (a) forming a slurry composed essentially of coal, a hydrocarbon solvent and a hydrogenation catalyst which is the catalyst stream from step (h) below:
• (b) subjecting the slurry to a primary fluidized-bed hydrogenation treatment to obtain a liquefied product;
• (c) withdrawing the liquefied product together with the hydrogenation catalyst from the primary hydrogenation treatment step;
• (d) subsequently, separating the ash content and the hydrogenation catalyst from the liquefied product;
• (e) subjecting at least a portion of the liquefied product to a secondary fluidized-bed hydrogenation treatment to convert the liquefied product to light oil while feeding fresh hydrogenation catalyst to the secondary hydrogenation treatment step, said fresh catalyst being a fine powder of a hematite or limonite type iron ore having a particle size of at most 40 .mu.m;
• (f) withdrawing the reaction product of the secondary hydrogenation treatment together with the hydrogenation catalyst;
• (g) separating the hydrogenation catalyst in the form of a catalyst stream composed essentially of the hydrogenation catalyst and a heavier distillate of the reaction product from the material withdrawn in step (f);
• and
• (h) circulating said catalyst stream to step a) to provide hydrogenation catalyst for the primary fluidized-bed hydrogenation treatment.