Scenarios for Development of BioDME Supplies DME 4 Stockholm, September 7- 8, 2010
Ingvar Landälv, Chief Technology Officer, Chemrec AB
CHEMREC Energy to Succeed Content
• BioDME from Pulp Mills via Black Liquor Gasification • BioDME from Biomass through gasification • Supply and Demand Balance for a DME fuel system - Flexibility for BioDME producers - Guarantee DME availability in the fuel system - Flexibility for fossil DME producers • Conclusions
CHEMREC 2 Energy to Succeed Content
• BioDME from Pulp Mills via Black Liquor Gasification • BioDME from Biomass through gasification • Supply and Demand Balance for a DME fuel system - Flexibility for BioDME producers - Guarantee DME availability in the fuel system - Flexibility for fossil DME producers • Conclusions
CHEMREC 3 Energy to Succeed The Route via Gasification and Syngas to Automotive Fuels Syntetic CO2 Diesel (FTD) Coal Methanol Heavy oils
Natural Gas SyngasSyngas DME (DiMetylEter) (CO+H2)(CO+H2) Hydrogen Biomass
GASIFICATION Chemicals Black liquor SNG
CHEMREC 9/13/2010 4 Energy to Succeed Major Biomass Flow from the Forrest Today
TODAY Forest Logs Pulp Wood Saw- mill RecoveryPulp Boiler Wood Mill Products Pulp Mill Pulp
CHEMREC 9/13/2010 5 Energy to Succeed Major Biomass Flow from the Forrest With the BLG* Based Biorefinery Concept
TOMORROW (1) Forest Logs Pulp Forest Wood Residual Saw- mill RecoveryPulpCombined Recovery Boiler Wood Milland Fuel Generation Products Pulp Mill Fuel Pulp
* BLG: Black Liquor Gasification CHEMREC 9/13/2010 6 Energy to Succeed Chemrec Gasification Process DP-1 in Piteå, Sweden SULPHUR Black Liquor ABSORPTION C.W Atomizing medium BFW White/Green Liquor Oxygen GAS COOLER GASIFIER LP- BFW St.
CLEAN Raw Syngas SYNGAS
MP-Steam QUENCH FLARE
GREEN LIQUOR Condensate
Weak Wash CHEMREC Energy to Succeed 9/13/2010 7 The BioDME Block Flow Diagram
H2S / CO2 to mill First singl-pe ass MeOH MeOH synthesis Synthesis 2 featuring > 95% yield
Sulphur MeOH guard Synthesis 1
Amine wash MeOH (recycled) Gases DME MP steam DME synthesis CO shift Product
Raw MeOH
Carbon filter ~ 4 ton Evaporator DME/day DP-1 Water
9/13/2010 8 CHEMREC Energy to Succeed New BioDME Pilot - CAD Illustration
DP-1 Flare plant
Amine Wash
WGS, MeOH/DME, Distillation Carbon filter
CHEMREC 9 Energy to Succeed Current project status of Domsjö project
&
in collaboration
• Domsjö mill sulphite thick liquor gasified successfully in DP-1 • 500 MMSEK (~ 50 MM€) investment grant approved by Swedish Energy Agency (conditioned EU’s DG Competition approval) • Feasibility report complete (May 2010) • Technology for Gas Purification and MeOH/DME Synthesis selected. • Front-end Engineering Design (FEED) scheduled for Q3/10-Q2/11 for final investment decision in Q3 2011. CHEMREC Energy to Succeed The Energy Combine of Örnsköldsvik Domsjö Mill ÙÖvik Energy ÙÖvik Community -TODAY - Biomass District Domsj Övik heat Örnsköldsvik ö Pulp Energy Community Fiber wood Steam Power
Domsjö Fabriker Cellulose fiber Ligno sulfonate Ethanol Recovery boilers A sodium sulphite based mill
CHEMREC 9/13/2010 11 Energy to Succeed The Energy Combine of Örnsköldsvik Domsjö Mill ÙÖvik Energy ÙÖvik Community - TOMORROW - Biomass District Domsj Övik heat Örnsköldsvik ö Pulp Energy Community Fiber wood Steam Power
The sodium sulphite based mill
Cellulose fiber Ligno sulfonate Ethanol 300 t/d DME or 450 t/d Methanol
CHEMREC 9/13/2010 12 Energy to Succeed Domsjö Fuels Plant Build Up – Parallel Trains
1 x 100% Oxygen 3 x 50% 1 x 100% Air separation Steam CO2 Power Gasi- fication Thick Liquor and Rawgas Gas cooling Weak wash Quench Gas Conditioning H2S And Purification LS Green liq. Synthesis gas
Synthesis- and Distillation DME/Methanol
1 x 100% CHEMREC 9/13/2010 13 Energy to Succeed Preparations for industrial scale plants
Chemrec Gasifier Unit Status: • Gasifier, quench and gas cooler scale-up work complete • Gasifier black liquor nozzle scale- up work ongoing • Process Design Package work ongoing together with key suppliers
CHEMREC 9/13/2010 14 Energy to Succeed Preparations for industrial scale plants
Steam Drum Reactor
Y INAR IM Quench EL PR Final Coolers
CCC
Train #1 Train #2 Train #3
CHEMREC Energy to Succeed Location for Potential Pulp Mill Biorefineries in the US
More than 100 suitable pulp mills In North America with 200-400 MW of Black Liquor per plant
Some 250 suitable pulp mills world wide CHEMREC 16 Energy to Succeed Content
• BioDME from Pulp Mills via Black Liquor Gasification • BioDME from Biomass through gasification • Supply and Demand Balance for a DME fuel system - Flexibility for BioDME producers - Guarantee DME availability in the fuel system - Flexibility for fossil DME producers • Conclusions
CHEMREC 17 Energy to Succeed The Route via Gasification and Syngas to Automotive Fuels Syntetic CO2 Diesel (FTD) Coal Methanol Heavy oils
Natural Gas SyngasSyngas DME (DiMetylEter) (CO+H2)(CO+H2) Hydrogen Biomass
GASIFICATION Chemicals Black liquor SNG
CHEMREC 9/13/2010 18 Energy to Succeed Major Biomass Flow from the Forrest including Direct Biomass Gasification
TOMORROW (2) Forest Logs Forest Pulp Residual Wood Saw- Direct Bio- mill mass RecoveryPulpCombined Recovery conver Boiler sion Wood Milland Fuel Generation Products Pulp Mill Fuel Pulp Fuel
CHEMREC 19 9/13/2010 Energy to Succeed Major Biomass Flow from the Forrest Enlarged Feedstock Base
Energy crops, TOMORROW (3) Forest Agricultural waste, etc Logs Forest Pulp Residual Wood Saw- Direct Bio- mill mass RecoveryPulpCombined Recovery conver Boiler sion Wood Milland Fuel Generation Products Pulp Mill Fuel Pulp Fuel
CHEMREC 20 9/13/2010 Energy to Succeed Synthetic fuels through gasification. Value Chain A as defined by EBTP1) 1) European Biofuels Technology Platform
Pre- treatment Final -pyrolysis Conversion Initial -Hydrotreatment - coarse prep. -Co-treatment -drying Conversion Transport -torrefaction - Feeding sys. Biomass Biofuels -grinding - Gasification Production **Final -CH4 ref’ng System Conversion - Tar handling - Particulate -Synthesis -black liquor * handling - reforming -Shifting -Cracking - Gas cleaning - hydrotreating -Etc Co-products - Distillation Co-located -Etc
*No pre- treatment necessary before gasification. **certain steps of final conversion may be located elsewhere CHEMREC 21 Energy to Succeed Synthetic fuels through gasification Examples European project developments (1) Source: EBTP
Choren Projects a. Beta plant,
~45 MWt / FT products / Under Start-up b. Sigma Plan Choren Beta Plant
~640 MWt / FT products / Start-up 14-15(?)
Bioliq pyrolysis plant
Lurgi MPG BioLiq Project gasifier
2 MWt / via DME to + HC:s / 2012
CHEMREC 22 Energy to Succeed Synthetic fuels through gasification Examples European project developments (2) Source: EBTP Chemrec development plant
Chemrec Projects a. BioDME ~3 MW / DME / Start-Up Sept 2010 t BioDME plant under construction b. Domsjö Biofuels
~200 MWt / DME and Methanol / Start-Up 2013 Pilot tests in UPM Project Chicago at IGT a. Pilot testing at IGT, Chicago
~5 MWt / syngas production / Ongoing b. Commercial Demonstration ~300 / FT products / Start-Up 2014/15 Gasification Module t Full sized plant Source: UPM, Andritz, Carbona CHEMREC 23 Energy to Succeed Synthetic fuels through gasification Examples European project developments (3) Source: EBTP
VVBGC Project (under re-financing & re-organisation)
~15 MWt / clean syngas / 2012-13
Neste-Stora Enso project
~ 12 MWt /part stream to FT / Gasification in operation
BioTfueL Project StoraEnso Pilot Plant ~ 12 MW / FT products / 2012 t CHEMREC 24 Energy to Succeed Production Cost as Function of Price of Biomass Source: Renew (2008)
60
n 50 Chemrec ie CHOREN W TU 40 FZK ren TU Wien Cho 30 Abengoa CFB Abengoa EF ec Chemr 20 CUTEC
~ 0.5 €/BtL production costs [€/GJ] lit. 10 ~ 75-95 € diesel per dry ton eqv. biomass as DME 0 0123456789 Total biomass provision costs at BtL plant [€/GJ]
CHEMREC 25 Energy to Succeed Scenario: All Planned Renewable Gasification Capacity in Europe to produce BioDME
Project Feedstock BioDME Prod. Start-up
(MWt) (Tonnes / year) Year Chemrec, Domsjö 200 100 000* 2014 UPM 300 180 000* 2014/15 Choren 640 380 000* 2014/15 BioLiq, StoraEnso 40 11 000* 2012/13 VVBGC and other IO minor projects AR Total N ~ 670 000 2015 CE A S * Different yield from different processes as well as different utilization
CHEMREC 26 Energy to Succeed Content
• BioDME from Pulp Mills via Black Liquor Gasification • BioDME from Biomass through gasification • Supply and Demand Balance for a DME fuel system - Flexibility for BioDME producers - Guarantee DME availability in the fuel system - Flexibility for fossil DME producers • Conclusions
CHEMREC 27 Energy to Succeed Concept for development of the BioDME market for heavy duty vehicles Number of heavy duty (short / medium term) vehicles running on DME
The 3000 Domsjö Project The BioDME Methanol 2000 Project - for low blend in gasoline - for RME/MTBE - for chemical use
1000 DME
Time 10 3Q 2010 2014 CHEMREC 28 Energy to Succeed Concept for development of the BioDME market for heavy duty vehicles Number of heavy duty (medium / long term) vehicles running on DME
16000 ? 12000
8000
4000 The Domsjö Project BioDME MeOH Project DME Time 10 ? 2010 2014 2018 2022 CHEMREC 29 Energy to Succeed Concept for development of the BioDME market for heavy duty vehicles Number of heavy duty (medium / long term) vehicles running on DME Production: 680 000 t DME/y 30 ton dieseleqv / truck, year 16000 Corresponds to apr. 15 000 HD trucks ? 12000
8000
4000
MeOH DME Time 10 ? 2010 2014 2018 2022 CHEMREC 30 Energy to Succeed How to meet the demand from a growing BioDME Fuel Market ? Alternate usage Alternate usage of renewable in the world MeOH MeOH market
BioMeOH Fossil MeOH Renewable Feedstock Dual Fuel Plants
BioDME DME Fossil DME Fuel
Blend into LPG
CHEMREC Energy to Succeed The Route via Gasification and Syngas to Automotive Fuels Syntetic CO2 Diesel (FTD) Coal Methanol Heavy oils
Natural Gas SyngasSyngas DME (DiMetylEter) (CO+H2)(CO+H2) Hydrogen Biomass
GASIFICATION Chemicals Black liquor SNG
CHEMREC 9/13/2010 32 Energy to Succeed Price Levels of some Key Commodities
Commodity € cents / kWh (approx.) Crude at 80 USD/bbl 3.5 Gasoline at refinery gate, 4.0 NW Europe (0.4€/lit) Diesel at refinery gate, NW Europe 4.0 (0.4€/lit) Methanol, contract price (average 3.6 Jan -09 to March -10) Rotterdam, (200€/t Ù 250 USD/t ) DME, estimate based on methanol 3.7-3.8 price
CHEMREC Energy to Succeed The Route via Gasification and Syngas to Automotive Fuels Syntetic Diesel (FTD) Coal Methanol Heavy oils
Natural Gas SyngasSyngas DME (DiMetylEter) (CO+H2)(CO+H2) Hydrogen Biomass
GASIFICATION Chemicals Black liquor CO 2 SNG to CCS CHEMREC 9/13/2010 34 Energy to Succeed PRINCIPLE: Net CO2 emission from GTL and BTL if CCS is applied. Case DME
400 Conventional gasoline Conventional diesel Biodiesel: Glycerin as chemical Biodiesel: Glycerin as animal feed Syndiesel: Coal 300 Syndiesel: Natural gas Syndiesel: Biomass Syndiesel: Black liquor DME: Coal NG to DME DME: Natural gas
e gases (g CO2 eqv / km) CO2 eqv (g e gases 200 DME: Biomass DME: Black liquor EtOH: Wheat, straw CHP, DDGS as AF Gasoline & EtOH: Sugar cane (Brazil) diesel EtOH: Wheat, straw CHP, DDGS fuel 100 EtOH: Cellulose EtOH: Wheat straw DME from EtOH: Wheat, coal CHP, DDGS as AF Black liquor EtOH: Wheat, coal CHP, DDGS fuel 0 EtOH: Wheat, NG GT+CHP, DDGS AF EtOH: Wheat NG GT+CHP, DDGS fuel 100 200 300 400 500 600 Total emission of greenhous Biogas: Municipal waste Total energy consumption (MJ / 100 km) Biogas: Manure
Source: EUCAR/CONCAWE/JRC
35 CHEMREC Energy to Succeed The chicken / egg problem has been resolved before!
Produce BioDME
Develop Market
Distribute the Fuel
Produce Fossil DME CHEMREC Energy to Succeed Summary and Conclusions 1
• Fuel generation at pulp mills has in various studies shown to have highest efficiency and lowest production cost compared to renewable fuels alternatives • BioDME will be produced from November 2010. Capacity 4 tons / day • An industrial demonstration plants planned to be in operation early 2014. Capacity 100 000 tons of DME or corresponding amounts of methanol • BioDME can be produced efficiently in biomass gasification based plants
CHEMREC 37 Energy to Succeed Summary and Conclusions 2
• BioDME production needs to be balanced with a second product, preferably BioMethanol • Fossil DME will play a role to secure DME availability in the DME fuel system • Fossil DME can be produced at competitive costs compared to fossil diesel in a crude oil price scenario > 50-60 USD/bbl
CHEMREC 38 Energy to Succeed With support from and in collaboration with… u! k Yo Than
www.chemrec.se CHEMREC Energy to Succeed