The process is actually adding hydrogen to coal to create hydrocarbon chains from the excess carbon within coal. Oil made this way is cleaner than oil pumped out of the ground. It is a completely honest discussion. We are talking about trying to produce the cleanest energy possible not in a lab. but in practice. In reality, there are many energy sources that need to be exploited to meet our energy needs. When considering the energy sources available there is not a single one that could meet all our needs, except for possibly nuclear. So please, let's have an honest discussion.
Also I disagree with your irreducible waste theory. History is replete with very ingenious ways of dealing with waste and turning a profit.
I would also offer the "coal tar" of 19th century London. Cooking coal gave off gas, which was used citywide for illumination. Since they didn't know what to do with the leftover goo, the gas company dumped it in the Thames. From 1812 to 1856, when chemists developed the production of aniline dyes, all that goop went into the river.
With this in mind, I question the demand that all radioactive materials should be placed beyond reach.