Results of research on thermal conversion of cotton gin trash using fluidized bed gasificaton (FBG), series cyclone gas cleanup and staged combustion of low Btu gas are presented. Emphasis was placed on the evaluation of the evaluation of the char collected by the series cyclone system immediately following the FBG. This char contained 20 to 40% carbon and was found to be activated carbon with an Iodine Number of 300 compared to 1000 for commercial activated carbon. The market price for commercial activated carbon is $2000/ton. If $200/ton could be obtained for the CGT activated carbons, a gross income of $1,600,000 could be realized for a 1 year operation of a 1.5 MW cogeneration facility.