CHEMREC
Energy to Succeed
Alternativa råvaror
&
alternativa drivmedel Alternativa råvaror
&
alternativa drivmedel
Ingvar Landälv, CTO, Chemrec AB
STORA MARINDAGEN Göteborg, 5 april, 2011
STORA MARINDAGEN
Göteborg, 5 april, 2011
CHEMREC
Production Principle
Production Principle
CHEMREC
Energy to Succeed
4/7/2011 3
The Route via Gasification to Fuels
Syngas Syngas (CO+H2) (CO+H2)
Natural Gas Natural Gas
Coal Coal
Biomass Biomass
Syntetic
Diesel (FTD)
Methanol
DME
DME ((DiMetylEterDiMetylEter))
Hydrogen
Black liquor Black liquor
Heavy oils Heavy oils
G A S IF IC A T IO N
CO
2Chemicals
SNG
CHEMREC
In Focus in this Presentation
Syngas Syngas (CO+H2) (CO+H2)
Natural Gas Natural Gas
Coal Coal
Biomass Biomass
Syntetic
Diesel (FTD)
Methanol
DME
DME ((DiMetylEterDiMetylEter))
Hydrogen
Black liquor Black liquor
Heavy oils Heavy oils
G A S IF IC A T IO N
CO
2Chemicals
SNG
CHEMREC
Energy to Succeed
Production Efficiency
&
CO 2 Emissions calculate as
“Well to Wheel”
scenarios
Production Efficiency
&
CO 2 Emissions calculate as
“Well to Wheel”
scenarios
CHEMREC
Well to Wheel CO2 emissions and total energy consumption for some different path ways
0 100 200 300 400
100 200 300 400 500 600
Total energy consumption (MJ / 100 km)
Total emission of greenhouse gases (g CO2 eqv / km)
6
Source: EUCAR/CONCAWE/JRC Gasoline &
diesel
Fuels fron coal, CtL
fr. Black liquor
US corn-based ethanol
Conventional gasoline Conventional diesel
Biodiesel: Glycerin as chemical Biodiesel: Glycerin as animal feed Syndiesel: Coal
Syndiesel: Natural gas Syndiesel: Biomass Syndiesel: Black liquor DME: Coal
DME: Natural gas DME: Biomass DME: Black liquor
EtOH: Wheat, straw CHP, DDGS as AF EtOH: Sugar cane (Brazil)
EtOH: Wheat, straw CHP, DDGS fuel EtOH: Cellulose
EtOH: Wheat straw
EtOH: Wheat, coal CHP, DDGS as AF EtOH: Wheat, coal CHP, DDGS fuel EtOH: Wheat, NG GT+CHP, DDGS AF EtOH: Wheat NG GT+CHP, DDGS fuel Biogas: Municipal waste
Biogas: Manure
Cellulosic Ethanol fr. farmed
wood
DME
fr. Nat Gas
CHEMREC
Energy to Succeed
Well-to-Wheel CO
2emissions and energy
consumption for different conversion pathways
Fuels 2010
-200 -100 0 100 200 300 400
0 100 200 300 400 500 600
Total WTW energy (MJ / 100 km)
WTW GHG emissions (g CO2 eqv / km)
Conventional gasoline Conventional diesel RME: Gly as chemical RME: Gly as animal feed Syn-diesel: CTL Syn-diesel: GTL Syn-diesel: Farmed wood Syn -diesel: Waste wood, Black liqour DME: CTL
DME: GTL DME: Farmed wood DME: Waste wood, Black liqour EtOH: Wheat, Straw CHP, DDGS as AF EtOH: Sugar cane (Brazil)
EtOH: Wheat, Straw CHP, DDGS as fuel EtOH: Farmed wood
EtOH: Wheat straw
EtOH, Wheat, Lignite CHP, DDGS as AF EtOH, Wheat, Lignite CHP, DDGS as fuel EtOH, Wheat, NG GT+CHP, DDGS as AF EtOH, Wheat, NG GT+CHP, DDGS as fuel Biogas, municipal waste
Biogas, liquid manure Biogas, dry manure
CTL
GTL- DME GTL-
Syndiesel
Ethanol (pure)
Chemrec Black Liquor Gasification
Biogas, liquid manure Biomass
Gasification Gasoline
and diesel
Source: WtW study Eucar/Concawe/JRC 2005, 2010 Vehicles (basis for EU RED/FQD default values)
CHEMREC
Price Perspective
(fossil and renewable) Price Perspective
(fossil and renewable)
CHEMREC
Energy to Succeed
US EIA Crude Oil Price Information
4/7/2011 9
Source: EIA(http://www.eia.doe.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=RCLC1&f=D)
CHEMREC
Current trend of NYMAX NG Price
4 USD / MMBtu = 13.6 USD/MWh
~ 9 öre / kWh
CHEMREC
Energy to Succeed
Price Levels of some Key Commodities
Commodity
(1€=9.3 SEK & 1$=6.5SEK)
öre / kWh (approx.)
Crude at 100 / 120 USD/bbl 40 / 47
An oil price difference of 200 USD / ton ~11 Diesel at refinery gate (4.5 SEK/l) 46 Diesel at refinery gate (5.5 SEK/l) 56 Methanol at plant gate (NG at 2 USD/MMBtu
corresponds to ~20% of the production cost)
27
Methanol, contract price Rotterdam, typical average (200€/t)
34 DME, estimate based on methanol price,
contract, NW Europe
37
Natural gas price, 2/4 USD/MMBtu 4.4 / 8.8
Typical Swedish biomass price 2010 ~18
CHEMREC
Methanol-Gasoline Price Comparison US $ / MMBtu, USA 2005 - 2010
44 öre / kWh
33 öre/kWh
NOTE:
Methanol priced as a chemical commodity and not as a fuel in the huge fuels market
CHEMREC
Energy to Succeed
Bioenergy to FT Diesel and DME
Source: Renew 2008 (Cost level 2005)
0 10 20 30 40 50 60
0 1 2 3 4 5 6 7 8 9
Total biomass provision costs at BtL plant [€/GJ]
BtL production costs [€/GJ]
Chemrec CHOREN
FZK TU Wien
Abengoa CFB Abengoa EF
CUTEC
19-20 öre/kWh
~ 60 öre / kWh
CHEMREC
Some comments to the fossil market for
methanol and DME
Some comments to the fossil market for
methanol and DME
CHEMREC
Energy to Succeed
4/7/2011 15
The Route via Gasification and Syngas to Automotive Fuels
Syngas Syngas (CO+H2) (CO+H2)
Natural Gas Natural Gas
Coal Coal
Biomass Biomass
Syntetic
Diesel (FTD)
Methanol
DME
DME ((DiMetylEterDiMetylEter))
Hydrogen
Black liquor Black liquor
Heavy oils Heavy oils
G A S IF IC A T IO N
CO
2Chemicals
SNG
China Leading Global Methanol Industry
(Source: Methanol Institute)
• World production 2010 about 45 million tons
• China world’s largest methanol producer and consumer.
• China over 120 methanol plants, many small and inefficient.
• Curtailing natural gas-based production.
• Coal-based production
accounts for 85% of growth
• Has a large idling DME production capacity
Year Tons Gallons
2004 6,000,000 2 Billion 2007 15,000,000 5 Billion 2009 25,000,000 8.3 Billion 2012 37,000,000 12.3 Billion
Source: MMSA
CHEMREC
Energy to Succeed
A way to go green
BioMethanol and BioDME A way to go green
BioMethanol and BioDME
CHEMREC
The Route via Gasification and Syngas to Automotive Fuels
Syngas Syngas (CO+H2) (CO+H2)
Natural Gas Natural Gas
Coal Coal
Biomass Biomass
Syntetic
Diesel (FTD)
Methanol
DME
DME ((DiMetylEterDiMetylEter))
Hydrogen
Black liquor Black liquor
Heavy oils Heavy oils
G A S IF IC A T IO N
CO
2Chemicals
SNG
CHEMREC
Energy to Succeed
Overall Scope Illustration
Biomass
19
Black liquor
Syngas generation
and cleaning
DME production
DME Distribution
& filling
Vehicle field test
Industrial use Fuel
injection development
Vehicle
production Vehicle
production 3G vehicle
development
Fuel properties
CHEMREC
BioDME Consortium
- Plant engineering,
construction and operation - Plant owner
BioDME Project Coordinator - Engine development
- Vehicle manufacturing - Field test responsible - DME injection system
development
- Laboratory support to plant operation
- DME production technology provider
- DME distribution - DME fuel specification
- Fuel Additive development
CHEMREC
Energy to Succeed
3 trucks for DME4 in Stockholm 10-09-06
06.30 Göteborg
14.30 Stockholm
Source: Volvo
CHEMREC
Stockolm BioDME filling Station
Investment 180 000€
CHEMREC
Energy to Succeed
The BioDME project at the Smurfit Kappa Kraftliner Mill in Piteå. The Chemrec concept.
23
1
7
4
2 3
9
5
6 8
CHEMREC
The BioDME project at the Smurfit Kappa Kraftliner Mill in Piteå. The Chemrec concept.
1.
Pulpwood feedstock is chopped into wood chips2.
Wood ships are fed to the digester together with white liquor and become a fiber rich stream (pulp) and a stream containing the rest, thin liquor3.
After further processing pulp becomes paper in the paper machines4.
Thin liquor is turned into black (thick) liquor in the evaporators5.
Black liquor (BL) is burned in the recovery boiler ..BUT6.
A part stream (~1 % ) is gasified in Chemrec´s DP-1 gasifier.Note: At full scale 100% of the BL will be gasified
7. Raw synthesis gas from DP-1 is purified, shifted , compressed and finally converted into 4 t/d BioDME in the new BioDME plant
8. To compensate the mill for the loss of BL energy which has been gasified extra biomass is fed to the mill
9. The biomass is converted into power and heat in an efficient H&P boiler
CHEMREC
Energy to Succeed
New BioDME Pilot - CAD Illustration
25
WGS, MeOH/DME,
Distillation
Carbon filter Amine
Wash
DP-1 plant Flare
CHEMREC
Energy to Succeed
26
Pictures from site March 2011
CHEMREC
Energy to Succeed
Current project status of Domsjö project
• Domsjö mill sulphite thick liquor gasified successfully in DP-1
• 500 MMSEK (~ 50 MM€) investment grant approved by Swedish Energy Agency
• Feasibility report complete (May 2010)
• Technology for Gas Purification and MeOH/DME Synthesis selected.
• Front-end Engineering Design (FEED) scheduled for Q1/11-Q4/11 for final investment decision in Q4 2011.
&
in collaboration
CHEMREC
Biorefinery site in Örnsköldsvik
CHEMREC
Energy to Succeed
What Volumes and timeframes?
(renewable)
What Volumes and timeframes?
(renewable)
CHEMREC
Concept for development of the BioDME market for heavy duty vehicles
(short / medium term)
1000 2000 3000
The BioDME
Project
~ 600 t/a
The Domsjö
Project
3Q 2010 2014
Methanol (max 140 000 t/a) - for low blend in gasoline - for RME/MTBE
- for chemical use
DME
(max 100 000 t/a)
Number of heavy duty vehicles running
on DME
10 Time
Comment:
The Domsjö plant is planned to produce both products to enable DME production to follow DME market build up.
CHEMREC
Energy to Succeed
Concept for development of the BioDME market for heavy duty vehicles
(medium / long term)
31
4000 8000 12000
DME
Number of heavy duty vehicles running
on DME
10 Time
2014 2010
16000
The Domsjö Project
2018 2022
?
?
BioDME
Project MeOH
CHEMREC
Scenario for production of Methanol and DME in Sweden 2015 - 2030
2014 2015 2016 2017 2018 2019 2020 2021 - 2030
20 15
5 10
TWh/y
0
0.8
7
17*
2015 – 2020
4 plants on black liquor 2 plants on direct biomass Average size: 1.15 TWh
2020 – 2030
5 plants on black liquor 2 plants on direct biomass Average size: 1.4 TWh
*17 TWh av ca 90 TWh totalt
CHEMREC
Energy to Succeed 4/7/2011
Biomass Potential Sweden, TWh/year
(Presented at “Kommissionen mot oljeberoende” Jan 2006 )
0 10 20 30 40 50 60 70 80
2004 2014 2024 2034 2044
TWh
2050 73 TWh
This information generated out of some 8 different sources such as SLU, Skogsindustrierna, Skogstaxeringen etc.
CHEMREC
34
Production Potential for DME/methanol
(Presented at “Kommissionen mot oljeberoende” Jan 2006 )
0 10 20 30 40 50 60 70 80
2004 2014 2024 2034 2044
TWh
DME/Methanol, via black liquor DME/Methanol, biomass gasific.
DME/Methanol, total production
2050:
48 TWh
2020:
10 TWh
CHEMREC
Energy to Succeed
A concept for a DME / methanol Market Build-Up
A concept for a
DME / methanol
Market Build-Up
CHEMREC
An important Price Difference
Commodity öre / kWh
(approx.)
Crude at 100 / 120 USD/bbl 40 / 47
An oil price difference of 200 USD / ton ~11 Diesel at refinery gate (4.5 SEK/l) 46 Diesel at refinery gate (5.5 SEK/l) 56 Methanol at plant gate (NG at 2 USD/MMBtu
corresponds to ~20% of the production cost)
27
Methanol, contract price Rotterdam, typical average (200€/t)
34 DME, estimate based on methanol price,
contract, NW Europe
37 Natural gas price, 2/4 USD/MMBtu 4.4 / 8.8 Typical Swedish biomass price 2010 ~18
Price ∆ :
~ 400 USD/ton
of oil
CHEMREC
Energy to Succeed
A way to meet the demand from a growing BioDME Fuel Market
BioDME
BioMeOH
Fossil DME Fossil MeOH
Alternate usage of renewable
MeOH
Alternate usage in the world MeOH market
Blend into LPG Dual Fuel
Plants Renewable
Feedstock
Fossil Feedstock
DME Fuel
1
1
2 3 3
4
CHEMREC
A way to meet the demand from a growing BioDME Fuel Market
(see illustration on previous page)1. The producer of BioDME need a second outlet for his plant to secure cash flow from the new plant while the BioDME market is under development. A marginal extra investment can be added to enable combined production of both
BioDME and BioMethanol.
2. To always meet demand from the market there must be a second source of DME, generated from fossil methanol.
3. Methanol can be shipped from ports like Rotterdam to a suitable location(s) e.g. along the Swedish west/east
coast(s) and there be dehydrated to DME after which it is shipped to smaller terminals.
4. DME has a second usages namely as substitute for LPG up
to a level of 20%.
CHEMREC
Energy to Succeed 39
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