The system of the invention comprises a two well system of gasifying coal in situ wherein the generated gas stream is directed to a gas separator, which, in turn separates hydrogen and carbon monoxide into separate streams. Hydrogen is directed to one type of fuel cell and carbon dioxide is directed to another with the resultant generation of electricity.
The method of the invention comprises establishing two wells into an underground coal deposit with a reaction zone in fluid communication with the wells. Coal is gasified both in oxidizing and reducing environments, with the produced gas stream separated into its component parts. Combustible gases are directed to fuel cells with the resultant generation of electricity.