We have recently synthesized nanometer-size iron sulfide catalysts using a reverse micellar system. These particles are 40-70 nm in size and were used in laboratory-scale coal-liquefaction experiments. The catalyst particles were impregnated in situ on coal particles. The catalyst loading was 1.67% with respect to coal. The Liquefaction run was carried out at 400 degrees C for 30 min, at a pressure of 1000 psia H-2(g) measured at ambient temperature (corresponding to approximately 2000 psia at reaction conditions), in the absence of any solvent or hydrogen donor. The total conversion, as well as the yields of asphaltene plus preasphaltene and oil plus gas, increased after the run, relative to a thermal (noncatalytic) run. The activity of the micellar catalyst is slightly less than that of a nonmicellar catalyst, However, a slightly higher selectivity to oil plus gas is observed with the micellar catalyst.