Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
CAPTURING MOMENTUM AT PETERHEAD 
Capture technology selection 
and optimization process 
Devin Shaw 
Manager – Strategic C...
DEFINITIONS & CAUTIONARY NOTE 
Reserves: Our use of the term “reserves” in this presentation means SEC proved oil and gas ...
AGENDA 
 Journey to Peterhead Project 
 Why is Shell doing this? 
 3 reasons why 
 Shells’ history in CCS 
 Capture t...
RETROFIT PROJECT TO EXISTING POWER PLANT 
CCGT Power Plant 
Gas 
Turbine GT13 
Steam 
Turbine ST13 Vent Stack 
Flue Gas 
S...
THE 3 WHYS: 1) GOOD FOR SHELL 
Facility Re-Use Gas Advocacy CCS Competence 
• Replacement of “old” coal 
with gas is the q...
THE 3 WHYS: 2) GOOD FOR THE UNITED KINGDOM 
Prize for Britain Government Objective 
32Billi 
... by the 2020’s, private se...
THE 3 WHYS: 3) GOOD FOR THE COMMUNITY 
 Landmark project for the North-East of Scotland 
 Opportunity to diversify and s...
SHELL – DEVELOPING CCS DEMONSTRATION PROJECTS 
1O. OCACPAP 2. Barendrecht 3. Draugen 
  
4 ZeroGen 
5  
6  
4. 5. Long...
LEARN BY DOING: DE-RISKING INVESTMENT 
Quest TCM 
Peterhead 
Boundary Dam 
Aberthaw 
Shell involvement in CCS Projects: 
I...
HEALTH & SAFETY 
 Generation of HSE package for handling amine 
and degradation products, including: 
 Toxicology 
 Cor...
ENVIRONMENT 
 Supporting project for Permit to Operate 
 Complete mapping & characterization all of emission points on-g...
TECHNICAL DESCRIPTION 
CO2 @ 120 Bar(g) 
FEED is based on the following considerations (sample): 
Replacement of existing ...
CAPTURE TECHNOLOGY 
Shell Cansolv carbon capture technology selected by SSE 
Post-combustion capture from existing ~400 MW...
SIMPLIFIED OPERABILITY 
Typical Low Opex Line-Up 
Copyright of Royal Dutch Shell plc. 
14
PRE-FEED LINE-UP SELECTION 
Example: elements 
under design 
consideration in FEED 
15 
Copyright of Royal Dutch Shell plc...
POTENTIAL OPTIMIZATION SAVINGS – BREAKDOWN 
CAPEX 
Removal of Heat Recovery Equipment 
First Fill amine 
Reduction of pipi...
TARGET PERFORMANCE 
FEED is based on the following targets : 
Industry Repeatability 
85-90% CO2 capture rate 
Minimized e...
Q & A 
Copyright of Royal Dutch Shell plc.
Capturing Momentum at Peterhead: Capture technology selection and optimization process - UKCCSRC seminar given by Devin Sh...
Upcoming SlideShare
Loading in …5
×

Capturing Momentum at Peterhead: Capture technology selection and optimization process - UKCCSRC seminar given by Devin Shaw of Shell Cansolv, Edinburgh, 3 September 2014

UKCCSRC seminar given by Devin Shaw of Shell Cansolv, Edinburgh, 3 September 2014, on "Capturing Momentum at Peterhead: Capture technology selection and optimization process"

  • Be the first to comment

Capturing Momentum at Peterhead: Capture technology selection and optimization process - UKCCSRC seminar given by Devin Shaw of Shell Cansolv, Edinburgh, 3 September 2014

  1. 1. CAPTURING MOMENTUM AT PETERHEAD Capture technology selection and optimization process Devin Shaw Manager – Strategic CCS Projects Copyright of Royal Dutch Shell plc.
  2. 2. DEFINITIONS & CAUTIONARY NOTE Reserves: Our use of the term “reserves” in this presentation means SEC proved oil and gas reserves. Resources: Our use of the term “resources” in this presentation includes quantities of oil and gas not yet classified as SEC proved oil and gas reserves. Resources are consistent with the Society of Petroleum Engineers 2P and 2C definitions. Organic: Our use of the term Organic includes SEC proved oil and gas reserves excluding changes resulting from acquisitions, divestments and year-average pricing impact. Resources plays: our use of the term ‘resources plays’ refers to tight, shale and coal bed methane oil and gas acreage. The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate entities. In this presentation “Shell”, “Shell group” and “Royal Dutch Shell” are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to subsidiaries in general or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this presentation refer to companies in which Royal Dutch Shell either directly or indirectly has control, by having either a majority of the voting rights or the right to exercise a controlling influence. The companies in which Shell has significant influence but not control are referred to as “associated companies” or “associates” and companies in which Shell has joint control are referred to as “jointly p p j j y controlled entities”. In this presentation, associates and jointly controlled entities are also referred to as “equity-accounted investments”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect (for example, through our 23% shareholding in Woodside Petroleum Ltd.) ownership interest held by Shell in a venture, partnership or company, after exclusion of all third-party interest. This presentation contains forward-looking statements concerning the financial condition, results of operations and businesses of Royal Dutch Shell. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Royal Dutch Shell to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as ‘‘‘‘anticipate’’’’, ‘‘‘‘believe’’’’, ‘‘‘‘could’’’’, ‘‘‘‘estimate’’’’, ‘‘‘‘expect’’’’, ‘‘‘‘intend’’’’, ‘‘‘‘may’’’’, ‘‘‘‘plan’’’’, ‘‘‘‘objectives’’’’, ‘‘‘‘outlook’’’’, ‘‘‘‘probably’’’’, ‘‘‘‘project’’’’, ‘‘‘‘will’’’’, ‘‘‘‘seek’’’’, ‘‘‘‘target’’’’, ‘‘risks’’, ‘‘goals’’, ‘‘should’’ and similar terms and phrases. There are a number of factors that could affect the future operations of Royal Dutch Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this presentation, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments including potential litigation and regulatory measures as a result of climate changes; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; and (m) changes in trading conditions. All forward-looking statements contained in this presentation are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional factors that may affect future results are contained in Royal Dutch Shell’s 20-F for the year ended 31 December, 2013 (available at www.shell.com/investor and www.sec.gov ). These factors also should be considered by the reader. Each forward-looking statement speaks only as of the date of this presentation, 3 September, 2014. Neither Royal Dutch Shell nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this presentation. There can be no assurance that dividend payments will match or exceed those set out in this presentation in the future, or that they will be made at all. We use certain terms in this presentation presentation, such as discovery potential potential, that the United States Securities and Exchange Commission (SEC) guidelines strictly prohibit us from including in filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our Form 20-F, File No 1-32575, available on the SEC website www.sec.gov. You can also obtain this form from the SEC by calling 1-800-SEC-0330. Copyright of Royal Dutch Shell plc.
  3. 3. AGENDA  Journey to Peterhead Project  Why is Shell doing this?  3 reasons why  Shells’ history in CCS  Capture technology  Selection Criteria / Drivers  Technical Description  Performance objectives  Q&A Copyright of Royal Dutch Shell plc. 3
  4. 4. RETROFIT PROJECT TO EXISTING POWER PLANT CCGT Power Plant Gas Turbine GT13 Steam Turbine ST13 Vent Stack Flue Gas Steam Existing N HRSG13 CO2 Amine New HRSG Heat Recovery Steam Generator DCC Direct Contact Cooler SCR SCR Selective Catalytic Reduction (DeNOx) DCC Absorber De-hydration O2 Removal Mods/ Wells Phase Reclaimer 1st Stage Compression Dense Offshore Pipeline 2nd Stage Compression Compression and Transport and Capture (Cansolv) Copyright of Royal Dutch Shell plc. p Conditioning p Storage 4
  5. 5. THE 3 WHYS: 1) GOOD FOR SHELL Facility Re-Use Gas Advocacy CCS Competence • Replacement of “old” coal with gas is the quickest and cheapest way to meet near CO2 Peterhead CCS– key to Shell’s competence development programme Off h St • The recently depleted Goldeneye reservoir has more than sufficient capacity for term emission targets • With CCS at the appropriate time, gas will be part of the long term solution – a “Destination Fuel” • Offshore Storage • Depleted Reservoir • Post Combustion Capture • Gas+CCS the project • The existing wells are relatively new (<10yrs) and in good condition • Pipelines are recent and in good d dii condition. Copyright of Royal Dutch Shell plc. 5
  6. 6. THE 3 WHYS: 2) GOOD FOR THE UNITED KINGDOM Prize for Britain Government Objective 32Billi ... by the 2020’s, private sector electricity companies can take Billion £/Annum investment decisions to build CCS equipped fossil fuel electricity generation facilities without Government capital agreed Without CCS, the additional costs to run a decarbonised subsidy at an contract for difference strike price that is competitive with the strike price for other low carbon generation UK economy in 2050 will be technologies” £32Billion. Source: UK Energies Technology Institute technologies Copyright of Royal Dutch Shell plc. 6
  7. 7. THE 3 WHYS: 3) GOOD FOR THE COMMUNITY  Landmark project for the North-East of Scotland  Opportunity to diversify and sustain North Sea industry and skills  Potential for development of a CCS industry in the region  Learning opportunities for young people – growing up alongside an important new industry Copyright of Royal Dutch Shell plc. 7
  8. 8. SHELL – DEVELOPING CCS DEMONSTRATION PROJECTS 1O. OCACPAP 2. Barendrecht 3. Draugen   4 ZeroGen 5  6  4. 5. Longannet  6. Gorgon  9. Peterhead 7. TCM 8. Quest   Copyright of Royal Dutch Shell plc. IN UK CCS COMPETITION 8
  9. 9. LEARN BY DOING: DE-RISKING INVESTMENT Quest TCM Peterhead Boundary Dam Aberthaw Shell involvement in CCS Projects: Industrial scale projects in operation Industrial scale projects in construction Planned industrial scale project (FEED) e o s a o Demonstration p ojec s, projects, jo joint dus y industry pa e s ps partnerships Involvement through Shell Cansolv technology Lanxess CISA Gorgon Copyright of Royal Dutch Shell plc 9
  10. 10. HEALTH & SAFETY  Generation of HSE package for handling amine and degradation products, including:  Toxicology  Corrosivity  Compatibility with PPE  HAZIDs performed, HAZOPs to come  Challenges: Lack of available data applicable for such a project (FOAK)  Outcomes: Data generated to date indicates that the Shell Cansolv CO2 Capture system is can be operated with a low HSE risk Copyright of Royal Dutch Shell plc. 10
  11. 11. ENVIRONMENT  Supporting project for Permit to Operate  Complete mapping & characterization all of emission points on-going  Waste-Water strategy to be developed/confirmed in parallel  Dispersion modeling commenced using 3rd party specialists Challenges: Lack of existing application specific regulations challenging Outcomes: Working with local authorities and 3rd party specialists will enable permit to operate, ensure minimal impact and share knowledge Copyright of Royal Dutch Shell plc. 11
  12. 12. TECHNICAL DESCRIPTION CO2 @ 120 Bar(g) FEED is based on the following considerations (sample): Replacement of existing steam turbine (higher efficiency) Gas/Gas Heat Exchanger pre-treatment to cool down fluegas by preheating treated gas Concrete Rectangular Absorber construction Dense Phase on-site compression Full Sparing with exclusion of CO2 Compressor (cost consideration) Low H2O spec & O2 removal mandated due to existing well design 12 Copyright of Royal Dutch Shell plc.
  13. 13. CAPTURE TECHNOLOGY Shell Cansolv carbon capture technology selected by SSE Post-combustion capture from existing ~400 MWe CCGT New solvent DC-201 selected by Shell, Based on Improved loading & energy consumption CAPEX savings (based on above) Lower Solvent costs Simplified line-up selected  Ultra cooled fluegas (86-95 °F)  Enabled by constant sea water temp  No Absorber Inter-cooling  No Heat Recovery Equipment (ex MVR)  Optimization of equipment design tower height vs other (eg pressure drop)  Smaller piping/regeneration equipment 13 Copyright of Royal Dutch Shell plc.
  14. 14. SIMPLIFIED OPERABILITY Typical Low Opex Line-Up Copyright of Royal Dutch Shell plc. 14
  15. 15. PRE-FEED LINE-UP SELECTION Example: elements under design consideration in FEED 15 Copyright of Royal Dutch Shell plc.
  16. 16. POTENTIAL OPTIMIZATION SAVINGS – BREAKDOWN CAPEX Removal of Heat Recovery Equipment First Fill amine Reduction of piping Reduction of pumps and H/Xs Smaller stripper Reduction of LA tank Removal of interstage cooling OPEX (per annum) Electricity Cooling water Maintenance 16 Copyright of Royal Dutch Shell plc.
  17. 17. TARGET PERFORMANCE FEED is based on the following targets : Industry Repeatability 85-90% CO2 capture rate Minimized energy consumption Maximized operability 85-90% availability Full reliability Simplified operations for users 17 Copyright of Royal Dutch Shell plc.
  18. 18. Q & A Copyright of Royal Dutch Shell plc.

×