NOVELTY - Conversion of carbonaceous material to a stream of methane and carbon monoxide rich gas comprises heating carbonaceous material in a fluidized bed reactor (54) using hydrogen as fluidizing medium and using steam at a temperature and pressure to generate a stream of methane and carbon monoxide rich gas but at a temperature low enough and/or at a pressure high enough to enable the carbonaceous material to be fluidized by the steam and/or hydrogen.    USE - Conversion of carbonaceous material, e.g. municipal waste, biomass, wood, coal, or natural or synthetic polymer, to a stream of methane and carbon monoxide rich gas for producing a liquid fuel.    ADVANTAGE - The improved, economical alternative method of conducting hydro-gasification operates the hydro-gasification in a fluidized bed reactor. Use of a fluidized bed to conduct hydro-gasification provides extremely good mixing between feed and reacting gases, which promotes both heat and mass transfer. This ensures an even distribution of material in the bed, resulting in a high conversion rate compared to other types of gasification reactors.    DETAILED DESCRIPTION - An INDEPENDENT CLAIM is included for a carbonaceous material-to-synthesis gas conversion apparatus comprising a kiln-type reactor (52) having input(s) and an output; a slurry pump connected to an input of the reactor; source(s) of hydrogen; connection between hydrogen source and an input of the reactor; a fluidized bed reactor having a fluidizing zone and an input below the fluidizing zone and another input connected to the output of the reactor; a source of steam; and a connection between the steam source and the hydrogen source to the fluidized bed reactor input below the fluidizing zone.    DESCRIPTION OF DRAWING(S) - The figure shows a schematic flow diagram where a steam hydro-gasification reaction is conducted using a two-stage steam hydro-gasifier comprising a kiln-type reactor and a fluidized bed reactor.    Kiln-type reactor (52)    Fluidized bed reactor (54)    Input (56, 62, 64)    Output end (80)