*** 9710441 Farrar This Small Business Innovation Research (SBIR) Phase II project will explore a novel steam-plasma torch (SPT) that has broad commercial applications. Phase I identified various design parameters and conducted a laboratory feasibility test in which electrode wear was acceptably small. Phase II includes design and demonstration test of a prototype SPT and will focus on a robust SPT that will be efficient and cost-effective as a plasma spray device in advanced chemical conversion applications. Commercial applications of SPT include principally chemical conversion and materials processing. In addition, new applications are anticipated in hazardous waste destruction, waste to energy conversion (such as processing chemical industry tar and sludge residuals), conversion of methane to acetylene, powder synthesis, and thermal spraying of metals and ceramics. ***