The Energy and Environmental Research Corporation (EER), in cooperation with the University of Alabama (UA) and the Mining Division of Jim Walter Resources, Inc. (JWRI), was awarded a U.S. Department of Energy (DOE) contract to retrofit an existing fire-tube boiler to burn coal-water fuel (CWF). Atomization tests were performed on an EER nozzle using JWRI CWF prior to the boiler retrofit. The tests were performed at the Atomization Spray Test Facility located in the JWRI Training Center in Brookwood, Alabama. On the basis of these tests, atomization nozzles were selected for the full-scale combustion tests. The fire-tube boiler on the UA campus was retrofitted and was successfully operated for 800 hours on CWF. The CWF was made from Blue Creek coal fines produced by JWRI, which is located 45 min from the UA campus. JWRI produced 21,295 gallons (106·5 tons) of CWF and shipped this material to the boiler, where it was burned. This article describes the CWF that was used, including reports on the stability, rheology, and particle size. This article also describes the JWRI CWF pilot plant.