P07 Supporting the Transformation of Forest Industry to Biorefineries Soucy

Supporting the Transformation of Forest Industry to Biorefineries and Bioeconomy

IEA Joint Bioreﬁnery Workshop, May 16th 2017, Gothenburg, Sweden

Eric Soucy Director, Industrial Systems Opmizaon CanmetENERGY

1 CanmetENERGY Three Scientific Laboratories across Canada

CanmetENERGY is the principal Areas of Focus: performer of federal non- § Buildings energy eﬃciency nuclear energy science & § Industrial processes technology (S&T): § Integraon of renewable & § Fossil fuels (oil sands and heavy distributed energy oil processing; ght oil and gas); resources § Energy eﬃciency and improved § RETScreen Internaonal industrial processes; § Clean electricity; Varennes § Buildings and Communies; and § Bioenergy and renewables.

Areas of Focus: § Oil sands & heavy oil processes § Tight oil & gas Areas of Focus: § Oil spill recovery & § Buildings & Communies response § Industrial processes § Clean fossil fuels Devon § Bioenergy § Renewables

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4 CanmetENERGY-Varennes Industrial Systems Optimization (ISO) Program

SYSTEM ANALYSIS SOFTWARE SERVICES

Research INTEGRATION EXPLORE TRAINING Identify heat recovery Discover the power of Attend workshops with opportunties in your data to improve world class experts Knowledge plant operation Knowledg Industrial e Transfer projects

COGEN I-BIOREF KNOWLEDGE Maximize revenues Access to publications Evaluate biorefinery from cogeneration and industrial case strategies systems studies

5 Process Optimization in Pulp and Paper Industry Approach Combining Several Systems Analysis Tools

Innovation Through Integrated Solutions

6 Process Optimization in Pulp and Paper Industry Advanced Data Analytics

§ Valuable process knowledge is hidden in historical database v Large amount of data is available in mills v Diﬃcult to fully understand the links and interacons between data § Data analyc techniques can help extract this knowledge v Stascal analysis to explain process variability and improve operaon v Stascal models to maintain performance over me

7 Process Optimization in Pulp and Paper Industry Utility Systems

Most cogeneraon systems are not used in an opmal way

8 Process Optimization in Pulp and Paper Industry

Utility Systems (cont’d) COGEN A detailed model of the utility system is used and the optimal steam path that minimizes the total operating cost is determined: optimize existing system and maximize economic benefits from steam savings

è Beneﬁts will be maximized year-round by considering contractual, operaonal and environmental constraints on diﬀerent me periods

9 Forest - Pulp and Paper Industry Context

§ Pulp and paper industry is in an on-going transformaon to increase profitability: § Lower producon costs à Energy efficiency projects, reduce cost of GHG emissions, reduce losses, improve operaons § Increase annual revenues à Install new turbines and produce addional "green" power § Diversify producon à Change product grade; Add biorefinery technologies Opmizing energy integraon is essenal to reduce operang costs, lower GHG emissions, add new revenues and prepare pulp and paper mills for the low-carbon economy. Pulp mills are perfect host site for biorefinery technology integraon!

10 Optimizing Existing Assets in Pulp & Paper mills: FPInnovations – CanmetENERGY Successful Partnership

Resolute Ganeau Canfor Taylor Resolute Alma

West Fraser QRP Resolute St-Felicien

Kruger Corner $50M+ in savings/revenues Brook West Fraser Cariboo

Port Hawkesbury Paper Domtar Kamloops

AV Cell Nakawic Zellstoﬀ Celgar Castlegar Resolute Thunder Bay Kruger Brompronville 11 Forest Biorefinery R&D Program

§ Objectives

v Develop updated biorefinery and bioenergy technology map, as well as current and emerging market trends of bioenergy, biofuels, biochemicals, and biomaterials

v Develop systems engineering models and decision-making tools to evaluate the most promising biorefinery products/technologies that, when optimally integrated to an existing industrial site, will result in radically improved economic performance and environmental footprint

v Develop state-of-the-art retrofit and design solutions to enable the transformation of traditional forest markets through incremental implementation of biorefineries

12 Biorefinery Focus Areas

Bioplastics Bioenergy Biofuels Biochemicals Biocomposites

• Technological • Markets • Markets • Markets intelligence • Rich-Sugar streams • Tannins • Bioenergy • Data analysis La Tuque • Biobutanol • Lignin-based polyols • Cogeneration • Organic acids • Carbon fiber

CFS, BELT, UQTR, NRC, CRIBIQ, Forest CFS, FPInnovaons, FPInnovaons, CÉPROCQ, CRIBIQ, UQTR, COOPs, Domtar, Enerlab, pulp and paper mills Polytechnique Montréal, Forestry COOPs Pure Lignin Environment Université Laval, VTT Technology Ltd., Arbiom

13 I-BIOREF: A Biorefinery Pre-Feasibility Analysis Software

14 I-BIOREF: Why such tool?

q How can a company succeed in idenfying a strategy to enter the bioeconomy that is robust for future market scenarios, and at the same me, yields high margins? q What are the benefits of integrang a biorefinery technology into an exisng mill? q In an integrated biorefinery, what are the impacts on the exisng mill? q Under what condions does a biorefinery project becomes economically and environmentally viable? Make the analysis easier, faster and… cheaper !

15 Approach

Market assessment and Computer Modeling, technological intelligence Simulation & Optimization of Integrated and Standalone § Mapping of resources Biorefineries utilization in pulp and paper Modeling, algorithms mills development, simulation, and experiments § Data on available biomass § Experiments and competitive pricing strategy • Extractives • Pre-treatment/fractionation § Market data on bioenergy, • Detoxification of cellulosic biochemicals and hydrolysates biomaterials • Sugar extraction and § Critical review of Canadian fermentation • Lignin recovery from black bioenergy and biorefinery liquor demonstration projects • Full characterization of lignin § Extensive technological properties from various intelligence on biorefinery sources (up to 90 samples) Outputs: processes and innovations § ASPEN Plus® Modeling § Prefeasibility scenarios for integrated and • Pre-treatment/fractionation standalone biorefineries • Lignin recovery • Sugar extraction and § Industrial case studies fermentation § Guidelines, engineering rules and expert tips • Separation/purification for designing and implementing biorefineries § Multi-criteria analysis § Knowledge, know-how and technology transfer • Technical performance • Economic viability • Environmental footprint • Risk assessment 16

I-BIOREF: Multi-Criteria Analysis

§ Technical performance criteria § Modeling and simulaon on v Ulity and chemical consumpon Aspen Plus® v Impacts on the ulity and chemical v Pretreatment and fraconaon of consumpon of the exisng mill lignocellulosic biomass: Sugar § Economic viability criteria recovery yield and energy requirements v Does the project meet the v Integrated system for diversified profitability thresholds? bioproducts porolio v Under which circumstances does it become profitable/unprofitable? § Experimentaon § Compeveness criteria v Recovery of bioacve extracves v Pretreatment of lignocellulosic v Access to biomass biomass v Performance in a volale market v Fraconaon of lignin § Environmental footprint criteria v Lignin funconalies and colour v Environmental impacts (LCA) v Fermentaon of mixed sugars model v Energy and GHG intensies and sugar stream extracted from lignocellulosic biomass

17 I-BIOREF Software: What it does? q Comprehensive mass and energy balance, and chemical balance q I-BIOREF supports decision-makers in selecting viable biorefinery q 6 economic metrics (PBP, IRR, NPV, ROCE, ROI, solutions EBIDTA) q I-BIOREF evaluates the benefits of integrating commercially q 2 competitiveness metrics (CAB, RTMU) available biorefinery processes v Competitive access to biomass q I-BIOREF provides several criteria to assess the biorefinery project v Resistance to market uncertainties from different perspectives q 17 LCA-based metrics q I-BIOREF performs sensitivity analysis to evaluate the impacts on resources utilization v Mid-point impact category (carcinogens, respiratory inorganics, land occupation, etc.) v Damage category (climate change, human health, ecosystem quality, etc.)

q Pulp and paper processes: Kraft and TMP q Biomass pretreatment processes: Steam explosion; Liquid hot water; Acid hydrolysis; Alkaline hydrolysis; Instant controlled pressure; Organosolv; Torrefaction q Pre-extraction processes

Supercritical fluids (e. g. CO2); Hot water;, Enzymatic q Lignin recovery processes: LignoBoostTM; LignoForceTM q Sugar streams conversion processes: Detoxification; Fermentation; Separation/Purification q Thermochemical processes: Gasification; Pyrolysis; Catalysis

I-BIOREF is not a process simulaon soware!

18 Forest - Pulp and Paper Industry Concluding Remarks § Process opmizaon is key to design highly-efficient Biorefinery pulp mills § Leveraging on exisng assets is key in supporng the transformaon § In retrofit situaons, steam and water savings of 10 to 20% are possible cost- effecvely. Increased power generaon is also typical § Develop a long term vision for implemenng energy saving projects and robust biorefinery technologies: v Permits a gradual implementaon that migate the implicaon of short-term modificaons over long-term high impact soluons v Analysis of biorefinery pathways for integraon at exisng mills v Analysis of biorefinery pathways and how mill exisng assets can evolve to reduce implementaon costs, notably by debolenecking key process equipments v Assessment of economic and environmental impacts of biorefinery technology integraon into exisng or new industrial facilies § Decision support system includes knowledge-based systems and emphasizes flexibility and adaptability to accommodate changes in the environment and the decision-making approach of the forest industry v Opportunity to create a new IETS-Annex on “Decision Support Tools for Evaluang Bioeconomy Transformaon Strategies” 19 Thank you for your time and attention!

For further informaon, please contact: Eric Soucy, Director Industry Program, CanmetENERGY − Varennes Tel.: +1 450 652 4299 | Email: [email protected]