Developments in Victorian Brown Coal (Lignite) Dr Peter Redlich Director Energy Technology Innovation

Transcription

1 Developments in Victorian Brown Coal (Lignite) Dr Peter Redlich Director Energy Technology Innovation

2 Victoria s i Energy & Resource Development Focus Supporting an affordable, secure and sustainable energy supply Maintain the competitive advantage provided by Victoria s secure, reliable, competitive electricity and gas markets Maintain Victoria's reputation as a stable and attractive investment environment Ensure ongoing development of Victoria's investor owned electricity and gas markets Maximise development opportunities for our world class energy resources Increased investment in world scale mineral & petroleum resources Facilitate an economically responsible and well-managed transition to reduced d emissions i for our energy sector

3 Victoria s Business Environment Australia: Land mass 7,687,000 sq km Population 22 million GDP US$1,100 billion South Eastern states: 67% of the population 65% of all economic activity Victoria: 3% Australia s s land mass 25% Australia s GDP 25% Australian population Source: ABS 2011 Map

4 Victorian Brown Coal

5 Victorian i Brown Coal Properties: WATER % weight moisture 60 70% Moisture content ranges between 60-70% Ash content usually ~2% or lower Average Net Wet Specific Energy: 8 MJ/kg Average Gross Dry Specific Energy: 26.6 MJ/kg CARBON 67% OXYGEN 25% Hydrogen 5% Sulphur & Nitrogen >1% Ash ~2%

6 Victorian Brown Coal Allocation and Market Engagement Process Victorian i Government is seeking industry views Market engagement g process to understand local and international interest Possible formal tender process To secure medium to long-term economic development Announcement in late 2013

7 Victoria s Brown Coal Resource For further information o on Victoria s brown coal resource or the brown coal allocation process contact: Mr Chris Brooks Executive Director Earth Resources Development Department of State Development Business and Innovation chris.brooks@dsdbi.vic.gov.au

8 Prospective Value-added Products from Victorian Brown Coal Various Combustion Technologies Solids Upgrading (Inc. Drying) Gasification to Syngas CO + H2 Direct Liquefaction High T&P Synthetic Routes Water Ammonia Methanol Hydrogen Methane Fischer Tropsch Urea Synthetic Natural Gas Indirect Liquefaction Electricity Production Export Quality Upgraded Coal Fertilizers Fine Chemicals & Transport Fuels Fuel Cells (Electricity) Liquefied Natural Gas Transport Fuels & other products Transport Fuels Carbon Dioxide Sequestration Technologies

9 Energy Technology Innovation Strategy t (ETIS) Drive energy and related greenhouse gas reduction technologies down their respective cost curves A coordinated approach across RDD&D Industry chooses the technologies Technologies must have technical risk (pre-commercial)

10 Energy Technology Innovation Strategy t (ETIS) Over A$430m toward driving i pre-commercial technologies to market uptake A$193.5m for large pre-commercial demonstration projects ($110m for CCS to CarbonNet) A$39.7m for R&D including $16m for Brown Coal Innovation Australia A$6m for the Otway pilot Carbon storage project - 65,000 tonnes stored A$41m for a broad based efficient energy technology support (including coal) A$90m Advanced Lignite Demonstration Program (A$45m Victoria / A$45m Federal)

11 Victorian Government Brown Coal Technology Programs Coal Utilisation Steps Research & Development Strategic Applied Pilot Demonstration Large Scale / Precommercial Deployment Coal Benefication Monash Lignite for Waste-water Cleanup Aquex: Brown Coal Dewatering Coal Processing Carbon Capture CSIRO Modelling of Dried Brown Coal Combustion KEPCo projects BCIA (2010+) HRL Advanced Flaw Detection HRL Boiler Optimisation HRL Advanced Materials Assessment Monash Advanced Gasification Monash Oxy-fuel Combustion (ETIS BCRD ) IP Carbon Capture Plant Advanced Lignite Demonstration Program Transport & Storage LV PCC Project -CSIRO -CO2CRC CarbonNet Storage Otway project CarbonNet

12 Brown Coal Innovation Australia (BCIA) State Industry Established 2009 $21M funding to BCIA Victorian i DPI ANLEC R&D Members BCIA Board Commonwealth (ANLEC R&D) Senior Management Team Research Advisory Committee R&D Grants R&D Skills International links & Member programs Communications Improving efficiency Research Fellows Workshops Commissioned Reports Non-power uses of coal PhD studentships Newsletters Information access Carbon Capture Lignite Research Institute Travel funding / Member events (in planning) Conference Sponsorship Positioning brown coal for a brighter future

13 CO2CRC Otway Basin CCS Pilot Project Australia s first demonstration of injection and geological storage of CO2 Development and implementation ti of monitoring i and verification regime 65,000 tonnes of CO2 stored in a depleted gas field

14 Advanced d Lignite it Demonstration ti Program (ALDP) A$90 million ($45m Victoria / $45m Federal) Fit-for-purpose coal upgrading with low emission outcomes Commercial product stream Plausible pathway to market Maximise the benefits to Victoria Technologies most relevant to Victoria s Latrobe Valley lignite Announcement expected later in 2013

15 CCS around the world Source: GCCSI 2012

16 CarbonNet Investigating the potential for large-scale multi user CCS network in Gippsland, Victoria Close proximity to Victoria s coal resource A$1.1 billion on offer through the Australian Government CCS Flagships Program 10s of billions of tonnes of coal & Victoria s i power generation hub World class carbon storage potential CarbonNet concept map

17 CarbonNet reducing risks Demonstrating storage certainty Recognised as best quality storage reservoir in Australia Detailed appraisal planning underway Assessing capture and transport options: Capture options by sector Assessing pipeline options Approvals pathways Providing regulatory certainty Implementing Global CCS Institute s Regulatory Toolkit with 35 regulators to test and clarify responsibilities and readiness Advancing applied science through research Additional A$51.6 million Australian government funding to CarbonNet s lead research organisation (CO2CRC)

18 CarbonNet -storage certainty t ng Stage 1 Region nal Screeni St tage 2 Pros spective Stor age Site Scr reening Victoria wide approach 3 attractive regions - Gippsland, Bass, Otway Basins Gippsland Basin preferred Nearshore Zone 14 Prospective Storage Sites 6 Prospective Storage Sites 5 Prospective Storage Sites 3 Prospective Storage Sites Prioritised Storage Site Two-stage process Regional Site specific Initial technical screening Technical and non-technical assessment: criteria developed to identify prioritised storage site Consolidation of site characteristics DNV endorsement

19 International Collaboration First International Low Rank Coal Industry Symposium April 2010: 154 delegates 16 countries represented Four Days (plus Site Visits) Established International Low Rank Coal Industry Network Second International Low Rank Coal Industry Symposium April 2012: 300 delegates 23 countries represented Industry focus 3 Days (plus Site Visits) Third International Low Rank Coal Industry Symposium April 2014

20 Thank You Questions?