International Liquefied Hydrogen Supply Chain Utilizing Brown Coal

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1 27 th Clean Coal Day in Tokyo, Japan 10th, September, 2018 International Liquefied Hydrogen Supply Chain Utilizing Brown Coal 0 Kawasaki Heavy Industries, Ltd.

2 Products Ships/Marine Rolling stock Aerospace Gas Turbine/ Machinery Plants/ Environment Motorcycles and Engines Precision Machinery 2

3 Contents 1. Low-carbon to De-carbonation Society 2. Movement Toward Hydrogen Utilization 3. Concept of Hydrogen Supply Chain 4. Hydrogen Infrastructure Technology 5. Projects on Going 3

4 1. Low to De-carbonation COP21 (Paris Agreement) Dec Shifted from Low-carbon to de-carbonation society(global temperature rise less than 1.5 at most effort, as well as2 target) Became effective after 4 th, Nov nations and countries signed (as of 1 st, Dec. 2017) Target of CO 2 Reduction: Japan 26% by 2030 Advanced Nations including Japan 80% by

5 1. Low to De-carbonation Actions in Japan for COP21 (Paris Agreement) In order to achieve the CO 2 target at 2030, proportion of CO2 free power, i.e. nuclear and renewable energies, in the total power generation should be 44% or more Power retailers have to achieve the above composition ratio by law Creation of low-carbon power (non-fossil value) market has been opened since 18 th May

6 Power generation [%] 1. Low to De-carbonation Solutions to Increase CO2-free Powers 100 Gas turbine(gt) power generation will play an important role to enhance stability of the electricity grid, by compensating intermittent power from the renewable energies Output restriction Hydro, Nuclear (Base load) 2050 Fuel change from natural gas(ng) to hydrogen can also regulate fluctuation of renewable energies without CO2 emission. This will be a good combination with hydrogen production from excessive renewable power. 6

7 Contents 1. Low-carbon to De-carbonation Society 2. Movement Toward Hydrogen Utilization 3. Concept of Hydrogen Supply Chain 4. Hydrogen Infrastructure Technology 5. Projects on Going 7

8 Basic Hydrogen Strategy (Ministries cooperation Common scenario) 2. Movement Toward Hydrogen Utilization On December 26, 2017, the Ministerial Council on Renewable Energy, Hydrogen and Related Issues held its second meeting and decided on a Basic Hydrogen Strategy to accomplish a world-leading hydrogen-based society From HP. of Prime Minister's Office Hydrogen is an option as important as renewable energies (R.E.) Mass production from low cost sources: utilizing brown coal and foreign R.E. (Develop international liquefied hydrogen supply chain) Promotion of furl cell vehicles and hydrogen refueling stations Commercialization of hydrogen power generation and mass consumption of hydrogen (hydrogen consumption 10 mill. t/year, Power generation capacity 30GW) Leading to growth strategy to leveraged Tokyo Olympic Paralympic Games 8

9 Initiative by Global Companies Hydrogen Council 2. Movement Toward Hydrogen Utilization Composed of 39 leading companies from energy, transportation, manufacturing industry and trading sectors: 24 steering members (above photo + 3M, Bosch, China Energy, Great Wall Motor, JXTG Energy and Weichai) and 15 associate members. A global initiative advocates long term target to move to hydrogen utilizing new energy economy With understanding of importance of hydrogen on energy transition, Hydrogen Council aims to create effective action plan with Governments and other stakeholders 9

10 2. Movement Toward Hydrogen Utilization Hydrogen Introduction Vision 2050 Hydrogen Council & McKinsey Hydrogen market, 2.5 trillion dollars, creates 30 million employment allover the world Responsible for 18% of energy and 20% of CO 2 reduction CO 2 reduction of 6 billion t/year(50 billion t/year as of 2010 including feed stock) Hydrogen power generation of 1,500TWh/year (recent 10 years Japan:about 1,000TWh/year, the world:about 22,000TWh/year) Excessive renewable energy of 500TWh/year will be stored and utilized 10

11 Contents 1. Low-carbon to De-carbonation Society 2. Movement Toward Hydrogen Utilization 3. Concept of Hydrogen Supply Chain 4. Hydrogen Infrastructure Technology 5. Projects on Going 11

12 3. Concept of Hydrogen Chain Expected CO 2 -free H2 Supply chain Wind, Hydro, NG H2 Hydro H2 Hydro H2 Wind H2 Geothermal H2 12

13 Concept of CO 2 -free Hydrogen Chains Stable energy supply while suppressing CO 2 emissions 3. Concept of Hydrogen Chain Resourcing country (Australia) Production of hydrogen at low costs from unused resources (brown coal) and/or abundant recyclable energy Brown coal CCS (CO 2 capture/storage) Affordable renewable energy Liquefaction/ loading CO 2 -free hydrogen Liquefied hydrogen cargo ships Liquefied hydrogen containers C JAXA Liquefied hydrogen storage tanks Utilizing country (Japan) Process uses Semiconductor and solar battery manufacture Oil refinement, desulfurization, etc. Transport equipment Hydrogen stations Fuel cell vehicles etc. Distributed power plants Hydrogen gas turbines Hydrogen gas engines Fuel cells etc. Electrical power plants Combined Cycle power generators etc. Hydrogen production Hydrogen transport/storage Hydrogen use 13

14 What is brown coal? 3. Concept of Hydrogen Chain It is young coal, plentiful, and occurs widely around the world Water content is high at 50-60% Since it naturally ignites easily when dried, transport is problematic, and it can only be used for on-site power generation Because it cannot be transported, overseas transaction is impossible and "unused resource" = "cheap" and "easy rights acquisition" only for mining rights Among the many hydrogen production methods, hydrogen production from brown coal is one of the most economical methods 14

15 Australian brown coal 3. Concept of Hydrogen Chain Latrobe Valley Brown coal mining site (open cut) There is a brown coal layer to the horizon. The layer has 250 meters or more thickness below the surface. Abundance of the brown coal corresponds to Japan's gross power generation for 240 years. 15

16 3. Concept of Hydrogen Chain Resources of Brown Coal in the World 7% 31% 20% 62% 16% Russia (157 Bt) 64% Europe(108 Bt) 16% 54% 30% China (115 Bt) 10% 7% 52% 46% 87% 93% Other Africa(1.7 Bt) 100% Other Asia(54 Bt) India (61 Bt) Indonesia (28 Bt) 34% 53% 13% Canada(6.6 Bt) 13% 41% 46% USA(237 Bt) 100% Columbia (6.7 Bt) 100% South Africa(30 Bt) 49% 48% 3% Australia(76 Bt) Lignite (Brown Coal) Bituminous Anthracite 93% 7% Other Latin America (7.9 Bt) Reference:WEC Survey of Energy Resources 2013 Sub-Bituminous 16

17 CCS/CO 2 Storage Sites 3. Concept of Hydrogen Chain (CCS: CO 2 Capture and Storage) MELBOURNE Brown Coal Mine (Latrobe Valley) ORBOST BAIRNSDALE MORWELL SALE 80 km WELSHPOOL The Commonwealth and Victorian governments are promoting the "CarbonNet" CCS Project Large-scale CO 2 collection capacity Source: CO2CRC /brochures.html 17

18 Liquefied Hydrogen ~ Large-scale Transport Methods for Hydrogen ~ Characteristics of liquefied hydrogen Extremely low temperature (-253 degrees C) 1/800 the volume of hydrogen gas 3. Concept of Hydrogen Chain Transport medium of proven practical use in industry and as rocket fuel High purity = no need for refinement (can be supplied to fuel cells by evaporation alone) JAXA Largest liquefied hydrogen tanks in Japan (Tanegashima Rocket Base) LNG ship (large-scale energy transport) 18

19 3. Concept of Hydrogen Chain LCA by Mizuho Information & Research Institute Well-to-Tank CO2 emission per 1Nm 3 -Hydrogen [kg-co 2 e/nm 3 -H 2 ] Japan Wind (Comp. H2 transport) Japan Wind (Liquid H2 transport) Japan PV (Comp. H2 transport) Japan PV (Liquid H2 transport) Production Transport/Storage Refueling Australia Lignite + CCS(Liquid H2 transport) Ref: 19

20 Contents 1. Low-carbon to De-carbonation Society 2. Movement Toward Hydrogen Utilization 3. Concept of Hydrogen Supply Chain 4. Hydrogen Infrastructure Technology 5. Projects on Going 20

21 Hydrogen Infrastructure Technologies 4. Hydrogen Technologies Production Brown coal hydrogen production Drying, pulverizing, and other lignite processing technology Hydrogen liquefier Plant/turbine technology Transport Storage Liquefied hydrogen cargo ships LNG ship technology Loading system Ultra-low temperature sealing system technology Liquefied hydrogen tanks Ultra-low temperature technology Tokyo Boeki Engineering Liquefied hydrogen container Ultra-low temperature technology Use Compressed hydrogen trailer Composite material-related technology Hydrogen gas turbines Stable, clean combustion technology 21

22 Hydrogen Liquefier Hydrogen production Transport/Storage 4. Hydrogen Technologies Hydrogen use Realization of a hydrogen liquefier by means of unique key hardware and expansion turbines Ultra-fast rotation Hydrogen gas bearings Liquefaction temperature: -253 degrees C 22

23 Liquefied Hydrogen Cargo Ship Hydrogen production Transport/Storage 4. Hydrogen Technologies Hydrogen use World s first liquefied hydrogen cargo ship toward realization Pilot ship Special dome structure for maintaining vacuum Stainless steel vacuum thermal insulation double hull High thermal insulation supporting structure Cargo tank December 2013 Basic certification obtained from Nippon Kaiji Kyokai Guideline to complement IGC code is being proposed to IMO by both Japan and Australia *IGC code: International regulations relating to the structure and equipment of vessels for transporting bulk shipments of liquefied gas IMO: International Maritime Organization 23

24 Approval of Safety Requirements 4. Hydrogen Technologies Interim recommendations were discussed on safety requirements for offshore carriage of liquefied hydrogen in bulk proposed by Japan. IMO MSC(Maritime Safety Committee, Parent Committee of CCC3) was held from 21 th to 25 th Nov., 2016 and approved the recommendations. Thus, IMO officially acknowledge the demonstration of liquefied hydrogen transportation between Japan and Australia. IMO: International Maritime Organization 24

25 Cryogenic Storage Hydrogen production Transport/Storage 4. Hydrogen Technologies Hydrogen use Liquefied hydrogen storage tanks Models Liquefied hydrogen storage tank specifications Storage capacity 540 m 3 Design pressure Design temperature Thermal insulation method Spherical double-hull tank MPa + Vacuum -253 C Vacuum pearlite thermal insulation JAXA JAXA 25

26 Land Transport of Liquefied Hydrogen Hydrogen production Transport/Storage 4. Hydrogen Technologies Hydrogen use Liquefied hydrogen transport container Models Liquid hydrogen transport container specifications Internal volume 45.6 m 3 Unladen weight Hydrogen load capacity Thermal insulation method Accessories ISO 40 ft container 22.3 ton 2.8 ton Vacuum lamination thermal insulation Pressure evaporator 26

27 Hydrogen Gas Turbine Hydrogen production Transport/Storage 4. Hydrogen Technologies Hydrogen use Application to hydrogen by exchanging combustor only, no modification of compressor and turbine Issue: stable combustion and suppression of NOx Compressor Combustor Turbine 27

28 Hydrogen Combustion Issues 4. Hydrogen Technologies Higher combustion temperature than that of natural gas (hot spot in the combustion chamber) Higher NOx emission Higher flame propagation velocity than that of natural gas Shorter flame quenching distance Structural burnout, flash back Red hot of nozzle Hydrogen fueled The nozzle after test Flash back with pre-mixed combustion 28

29 NOx over regulatory limit 4. Hydrogen Technologies Fuel Flexible Low NOx Combustion Flame behavior (Visualization test) Pure natural gas Pure hydrogen Hydrogen + Water splay Limit Natural 100% gas Hydrogen 0% 60% 40% 20% 80% 0% 100% Natural gas + Water splay Water/Fuel mass flow ratio [%] NOx suppressed less than the limit with water injection Supported by NEDO 29

30 Contents 1. Low-carbon to De-carbonation Society 2. Movement Toward Hydrogen Utilization 3. Concept of Hydrogen Supply Chain 4. Hydrogen Infrastructure Technology 5. Projects on Going 30

31 Progress of Hydrogen Project Technologies in Kawasaki Heavy Industries 2014 Strategic Energy Plan" 2020 Tokyo Olympics & Paralympics 2018 Kobe Hydrogen Gas Turbine Co-generation 5. Projects on Going 2030 Pilot demonstration Commercial chain LNG technology HySTRA JAXA Liquefied hydrogen technology 31

32 Pilot Demonstration Structure 5. Projects on Going Hydrogen production plant Port side plant NEDO portion Australia portion NEDO portion Gasification Brown coal Gas refining Trailer Liquefaction Loading LH2 carrier Unloading Power generation Australia Japan NEDO portion: consisting of gasification in Australia, H2 carrier and unloading terminal in Japan supported by NEDO, performed by HySTRA Australia portion: consisting of gas refining and loading terminal in Australia supported by Australian Governments Hydrogen Production Plant: consisting of gasification and gas refining in Latrobe Valley Port side plant: consisting of trailer, liquefaction and loading terminal in Hastings 32

33 Technical Research Association Name of TRA: CO2-free Hydrogen Energy Supply-chain Technical Research Association (Abbreviation: HySTRA) Established date: February in 2016 Member: KHI, Iwatani Corporation, Shell Japan, J-Power President: Eiichi Harada(Executive Officer, KHI) 5. Projects on Going 33

34 Pilot Demonstration 5. Projects on Going Entrance to commerce Brown coal gasification technology On-shore base for liquefied hydrogen technology for loading/unloading between ships J-Power Marine transport technology for large volumes of liquefied hydrogen Technology demonstration of feasibility in fiscal 2020 when the Tokyo Olympics is held HySTRA Supported by NEDO (New Energy and Industrial Technology Development Organization) HySTRA 34

35 Liquefied Hydrogen Cargo Ships 4. Hydrogen Technologies Hydrogen production Transport/Storage Hydrogen use Vent Mast Diesel Electric Propulsion System Cargo Machinery & Motor room Loading Station Cargo Containment System With Steel Tank Cover HySTRA 35

36 Pilot Demonstration(LH 2 Terminal) 5. Projects on Going Loading System LH 2 * Storage Tank Vent Stack *LH 2 : Liquefied Hydrogen **BOG : Boil Off GAs BOG Compressor Trailer Station BOG** Holder Pipe Rack Terminal site Computer Graphic of Liquefied Hydrogen Terminal in Kobe Air Port Island 36

37 Australian Portion Launched 5. Projects on Going Australian portion subsidization was announced in Latrobe Valley on 12, April Prim minister Turnbull and ministers attended the event METI and NEDO attended from Japan Kawasaki Heavy Industries, J-POWER, Iwatani Corp, Marubeni and AGL attended from the private sector 37

38 Hydrogen Power Station in Kobe 5. Projects on Going Power and heat management system using hydrogen as a fuel. Power Generation: 1 MW class Partners: Obayashi (Leader), Kawasaki, Kobe City, KEPCO, Iwatani, Osaka University(~2017) Supported by NEDO Hydrogen Power Station 38

39 Hydrogen CGS* Demonstration at Kobe (*) CGS=Co-generation System Energy Delivery Port Island 5. Projects on Going International Exhibition Center Demonstration Site Port Island Sport Center Former Refuse Incineration Plant Port Island Sewage Treatment Plant 熱 : Heat Bidirectional Steam Supply Hydrogen CGS Energy Center Energy delivery capability Power :1,100 kw Heat :2,800 kw 電 : Power Kobe City General Hospital Hydrogen fueled gas turbine heat and power supply to the city residential area have been achieved in April 2018 (World first!). 39

40 Fuel Gas Blend Unit Liquefied Hydrogen Storage Tank Combustor Pressurization Evaporator Evaporator 5. Projects on Going Hydrogen Gas Turbine CGS System Flow Diagram Water Injection (for NOx Reduction) Steam (Supply to Community) Heat Recovery Boiler Exhaust Gas Inlet Air Liquefied Hydrogen Lorry Hydrogen Gas Compressor Natural Gas Compressor Genetator G Gas Turbine Feed Water Power (Supply to Community) 40

41 conclusions Role and Effect of CO 2 -free Hydrogen Chains 1 Stable Supply Hydrogen from fossil fuel linked with CCS will realize vast and affordable energy supply Contribute energy security (Australian brown coal corresponds 240 years of gross generation in Japan) 2 Environmental No CO 2 emissions when used (only water is emitted) "Ultimate clean energy" 3 Improvement of Industrial Competitiveness Wide use of hydrogen brings Industrial growth Hydrogen production started from fossil fuel gradually shifted to the renewables Deployment of Infrastructure export Sustainability! 41

42 Thank you for listening Kawasaki, working as one for the good of the planet Kawasaki Heavy Industries, Ltd. Corporate Technology Division , Kaigan, Minato-ku, Tokyo Tel: Fax: