LARTC Presentation


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LARTC Presentation

  1. 1. Latin American Refining Technology ConferenceBiomass to Transportation Fuels via IH2 TechnologyCeleste McLeodCRI Catalyst Company, Houston, Texas, United StatesTerry Marker, Larry Felix, Martin Linck, Michael RobertsGas Technology Institute, Des Plaines, Illinois, United States
  2. 2. DisclaimerThe information contained in this material is intended to be general in natureand must not be relied on as specific advice in connection with any decisionsyou may make. None of CRI/Criterion Inc or any of its affiliated companies areliable for any action you may take as a result of you relying on such material orfor any loss or damage suffered by you as a result of you taking this action.Furthermore, these materials do not in any way constitute an offer to providespecific products or services. Some products or services may not be availablein certain countries or political subdivisions thereof. Latin American Refining Technology2/27/2012 2 Conference
  3. 3. Latin America• A Leader in 1st Generation Biofuel Implementation• Majority of countries have mandatory blending of ethanol Source: Hart Energy’s International Fuel and/or biodiesel Quality Center, January 2012• Research on cellulosic ethanol in certain counties, Brazil, Columbia, Argentina…• No mandates for 2nd Generation Biofuels Latin American Refining Technology2/27/2012 3 Conference
  4. 4. IH2 Technology Points Covered• IH2 Technology & Differentiation• Product Quality• Economic synergy from integration with existing operations• Commercialization Status Latin American Refining Technology2/27/2012 4 Conference
  5. 5. IH2 Design Principles• Produce fungible cellulosic hydrocarbon fuel/blend stock from a broad range of inedible/residual biomass feed at low cost• Requires no infrastructure other than road/rail transport into and out of the production site• Have minimal impact on the surrounding environment Latin American Refining Technology2/27/2012 5 Conference
  6. 6. IH2 Technology Design Elements• Feed Conditioning Unit: – Sized, mixed and dried to moisture contents between 10-45wt%• 1st Stage Catalytic Hydropyrolysis Reactor (bubbling fluidized bed) – Biomass meets catalyst and H2 at ~400C to remove >90% oxygen• Hydrogen Manufacturing Unit (HMU) – Converts C3- gases to renewable H2 sufficient to meet all requirements• Hydroconversion Reactor (low pressure fixed bed HT) – 1st stage product ‘polished’ over a second catalyst system Latin American Refining Technology2/27/2012 6 Conference
  7. 7. IH2 Technology Advantages & 11 Key DifferentiatorsAdvantages Green CO2Stand Alone or Synergistic Operation Light Gases 3) Renewable H2Feedstock Flexible Wood/Forest Hi Press Residue SteamDifferentiators HDO’d LiquidExothermic Ag Residue CellulosicLow Capital (low pressure, low TAN, simple) Hydrocarbon ProductLow Operating costs Gasoline, Jet and DieselHydrocarbon Yields 80-160 gal/ton MAF Garbage (MSW) 2) Bubbling Fluidized Bed Proprietary Catalyst 4) Fixed Bed Hydrotreater RangeSelf-sufficient internal “green” H2 Renewable H2 Proprietary Catalyst Hot Water Hydrocarbon 340-470C Renewable H2 >90% Green House Gas reduction* <500psig <500psig Energy Crops Eases logistical constraints (H2)High BTU HC (blend stock & ‘drop in’) N/S stream for FertilizerReplaces ‘whole barrel’ gas/jet/diesel AlgaeFungible in Fuel Pool Hydropyrolysis HydroconversionAttractive economics Char (burn)Integrating existing technologies 1) Feed Conditioning Sizing , Drying & FeedingRapid implementation * IH2 technology LCA Analysis conducted by Prof. Shonnard, et al Michigan Technical University; Feed stock dependent Latin American Refining Technology 2/27/2012 7 Conference
  8. 8. IH2 Liquid Yields and Feedstock Flexibility Wood PetroAlgae Aquaflow Bagasse Blue Marble Corn Stover Lemna Micro Algae Macro Algae Feed wt % C 49.7 46.3 43.1 43.1 34.0 40.2 Feed wt % H 5.8 5.8 6.1 5.0 4.43 5.0 Feed wt % O 43.9 35.7 20.4 35.3 23.6 35.7 Feed wt % N 0.11 3.7 6.5 0.34 4.6 1.0 Feed wt % S 0.03 0.3 0.7 0.10 1.9 0.05 Feed wt % Ash 0.5 8.2 23.1 16.2 29.4 18.1 Feed H/C 1.40 1.50 1.70 1.39 1.56 1.49 Typical % C4 + 28 30 46 30 35 21 Liquid Yield (MAF) C4+ Gallon/Ton 92 100 157 100 119 67 MAF Wt % Oxygen* <1 <1 <1 <1 <1 <1 TAN # <0.05 <0.05 <0.5 <0.05 <0.05 <0.05 Latin American Refining Technology2/27/2012 8 Conference
  9. 9. IH2 Technology Product Property Comparison Fast Pyrolysis Oil IH2 product % Oxygen 50 <1.0 % Water 20 <0.2 TAN 100 <1 Stability poor Good Heating value (Btu/lb) 6560 18000 % Gasoline Non-distillable 54-75 % Diesel Non-distillable 23-46 Compatibility with hydrocarbon No Excellent refinery products Latin American Refining Technology2/27/2012 9 Conference
  10. 10. IH2 Technology Operating Modes• Full Stand Alone• Economically Integrated – Pulp & Paper / Forest Products – 1st Generation Ethanol – Algae – Refining – (Municipal Solid Waste) Latin American Refining Technology2/27/2012 10 Conference
  11. 11. IH2 Technology Synergy - Pulp & Paper / ForestProducts Green CO2 Light Gases 3) Renewable H2Consumes various feeds Wood/Forest Residue Hi Press slash Steam round wood HDO’d Liquid chips Ag Residue saw dust Cellulosic Hydrocarbon mill sludges Product Gasoline, Jet mixed feeds Garbage (MSW) 2) Bubbling Fluidized Bed 4) Fixed Bed and Diesel Proprietary Catalyst Hydrotreater Range Renewable H2 Proprietary Catalyst Hydrocarbon Hot WaterImproved site margins 340-470C <500psig Renewable H2 <500psig conversion of low cost feeds Energy Crops land fill/other cost avoidance N/S stream for Fertilizer export HP steam to mill Algae liquid hydrocarbon for sale or use Hydropyrolysis Hydroconversion Char (burn) 1) Feed ConditioningIH2 derived fuel 96% GHG Reduction* Sizing , Drying & Feeding Latin American Refining Technology 2/27/2012 11 Conference
  12. 12. IH2 Technology Synergy - Ethanol Plants Green CO2Consumes cellulosic residues bagasse Light Gases 3) Renewable H2 Wood/Forest stover Residue Hi Press Steam mixed feeds HDO’d Liquid Ag ResidueImproved site margins Cellulosic conversion of low cost feeds Hydrocarbon Product higher value use of cellulose Gasoline, Jet and Diesel 2) Bubbling Fluidized Bed 4) Fixed Bed Garbage (MSW) export steam offsets use of cellulose Proprietary Catalyst Hydrotreater Range Hydrocarbon Renewable H2 Proprietary Catalyst prevent market surplus DDGS 340-470C Renewable H2 Hot Water <500psig <500psig provides liquid fertilizer for use Energy Crops cellulosic hydrocarbon for sale or use N/S stream for Fertilizer AlgaeReduces site average C.I. of alcohol made Hydropyrolysis HydroconversionU.S. Department of Energy: Char (burn) 1) Feed Conditioning Corn ethanol averages 19% reduction Sizing , Drying & Feeding Cane ethanol averages 78% reduction IH2 derived fuels 93-97% reduction * Latin American Refining Technology 2/27/2012 12 Conference
  13. 13. IH2 Technology Synergy - Multiple Algae Scenarios Green CO2Consume post extractive residue Light Gases 3) Renewable H2 protein extraction (food & fuel) Wood/Forest Residue Hi Press lipid extraction (energy crop) Steam HDO’d LiquidConsume whole algae Ag Residue Cellulosic Useful for remediation Hydrocarbon Product Useful to simplify process for fuel Gasoline, Jet with mixed cellulosic/wood feeds Garbage (MSW) 2) Bubbling Fluidized Bed 4) Fixed Bed and Diesel Range Proprietary Catalyst Hydrotreater Renewable H2 Proprietary Catalyst Hydrocarbon 340-470C Renewable H2 Hot WaterImproved site margins <500psig <500psig conversion of low cost feeds Energy Crops export HP steam N/S stream for Fertilizer re-use of CO2/liquid fertilizer Algae use of low grade heat to ponds Hydropyrolysis Hydroconversion liquid hydrocarbon for sale or use Char (burn) 1) Feed Conditioning Sizing , Drying & Feeding Latin American Refining Technology 2/27/2012 13 Conference
  14. 14. IH2 Technology Synergy - Refining Option 1: Full Standalone Location Flexibility, Minimum Environmental Impact Maximum GHG reduction Lowest CI product Highest Capital Cost Option 2: Integrated with Refinery HT Minimum Environmental Impact Lowest CI product Maximum GHG reduction Lower Capital Cost Option 3 Integrated with Refinery H2 Higher Environmental Impact Reduced GHG reduction Higher CI product Lowest Cost Capital 25-30% lower than base case Latin American Refining Technology 2/27/2012 14 Conference
  15. 15. IH2 NREL 2000t/day (Wood)Installed Equipment Costs $112.6mln Operating Costs Total $1.60/gal* 4.7 29.6 Wood $71.97/dry ton 17.7 Feed 5.9 Other Op Costs: 36.6 1st Stage HP/ 2nd Catalyst, Disposal, etc. Stage HC Fixed Cost 17.3 6.8 Fractionation 91.31 Depreciation HMU 2.14 Avg Income Tax Utilities & Contingency 7.8 @ 35% 44.0 *Includes $0.093/gal coproduct credit NREL Assumes Greenfield Development incl Land Acquisition, etcTotal Capital Investment $232.8mln • Equipment Cost - HMU is primary ~40% • Total Capital ~Double Installed Equipment Installed Equipment Costs 102.7 112.6 Land/Develop • Feed Stock ~55% of Operating Cost Permits & S/U Standard Project Add-Ins** • Minimum Fuel Selling Price – 1.60$/gal (2007 USD) 11.7 • Refinery Synergy w/Refinery H2 Supply 5.7** Prorated Expense (10%), H O & Construction (20%), Field • Reduces Capital Cost ~44.0MM$Expense (10%), Working Capital (10%) , Project Contingency (30%) • Estimated MSP $1.36/gal (2007 USD)Title: Techno-economic Analysis of the Integrated Hydropyrolysis and Hydroconversion • NREL Economics validated by Global Engineering &Process for the Production of Gasoline and Diesel Fuels from BiomassAuthor: Eric C. D. Tan Platform: Analysis Report Date: May 23, 2011 Construction Company Latin American Refining Technology2/27/2012 15 Conference
  16. 16. Financial Comparison Biofuels Production Technologies Process Capex Range Relative Cost per Gallon Gasoline Equivalent Fast Pyrolysis & $250-$287 million $3.41-$6.55/GGE Upgrading Cellulosic Ethanol $156-$391 million $5.15-$10.71/GGE via Fermentation Gasification & $500-$610 million $4.30-$4.80/GGE Fischer-Tropsch IH2 Process $125-$135 Million $1.30-$1.60/GGE Source: National Renewable Energy Laboratory Latin American Refining Technology2/27/2012 16 Conference
  17. 17. IH2 Technology Development• Bench Scale IH2 Technology – Since 2009 @ 0.5-kg/day Semi continuous • Multi feed stock testing • Catalyst development• IH2 Technology Pilot Plant – Start-Up in February, Continuous operation @ 50-kg/day • Demonstrate biomass handling and conveyance • Verify economics including catalyst consumption • Produce product in quantities for blending trials, engine testing, etc. • Confirm product valuation Latin American Refining Technology 2/27/2012 Conference 17
  18. 18. IH2 Commercial Timeline, Current• Set to execute 1st demo and commercial licenses 1Q 2012 – Initiating basic engineering 5t/d – Contracting basic engineering 330t/d• Significant interest from Asia• US Refining Industry looking to partner Latin American Refining Technology2/27/2012 18 Conference
  19. 19. IH2 Technology Conclusions• Converts virtually any (ligno)cellulosic biomass to produce high quality hydrocarbon fuels/blend stock at low cost• Offers Stand Alone & Synergistic Installation – Synergy benefits beyond solely hydrocarbon, which varies by industry – Refinery Synergy can reduce capital cost and fuel MSP• Fuel MSP at estimate of 1.60$/gal (2007$) − May further decrease based on feed selection and site requirements − Technology comparison - IH2 Derived Fuels cost advantaged − Typically less than U.S. bulk and rack pricing for regular/premium gasoline, evaluate upside by market• Commercial Implementation is progressing rapidly Latin American Refining Technology2/27/2012 19 Conference
  20. 20. IH2 Technology In Latin America• Latin America produced 32%* of the World’s Biofuels in 2010• Recognized Leader• IH2 Technology offers Latin America − Leadership potential in 2nd generation cellulosic Image Credit: C. Mayhew & R. Simmon (NASA/GSFC) renewable fuels − Strong Integration possibilities w/ Existing 1st Generation Biofuels & Refining base − Export Capacity could be aided by Carbon Intensity Reduction * Based on U.S. Energy Information Association data Latin American Refining Technology 2/27/2012 20 Conference
  21. 21. Gracias & Obrigada Latin American Refining Technology2/27/2012 21 Conference