R-GAS High Ash, High AFT Test Results and Commercialization Status

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1 G A S T E C H N O LO G Y I N S T I T U T E R-GAS High Ash, High AFT Test Results and Commercialization Status 8 th International Freiberg Conference on IGCC & XtL Technologies Cologne, Germany Don Stevenson Executive Director, Advanced Energy Systems Gas Technology Institute 14 June 2016

2 Topics GTI Overview and gasification development Challenges of high ash + high AFT Chinese coals R-GAS gasifier technology Pilot plant gasifier test results Predicted commercial plant gasifier performance Commercial plant economics comparison Conclusions 2

3 GTI Overview ESTABLISHED 1941 Independent, not-forprofit established by the natural gas industry GTI tackles tough energy challenges turning raw technology into practical solutions Downhole to the burner tip including energy conversion technologies 3

4 Addressing Key Issues Across Energy Value Chain FOR A BETTER ENVIRONMENT AND A BETTER ECONOMY Expanding the supply of clean, abundant, and affordable natural gas Transforming natural resources into clean fuels, power, and chemicals Ensuring a safe and reliable energy delivery infrastructure Promoting the clean and efficient use of energy resources 4

5 GTI Gasification Development History Development Focus Supply Security Substitute Natural Gas (SNG) Industrial Fuel Gas Biomass, Renewables Syngas to Power - IGCC Syngas to Products Fuels, Chemicals, SNG R-GAS Pilot Plant FFTF 2016 AGTF Shanghai Plant RENUGAS Pilot Plant 1990 U-GAS Pilot Plant 1980 Early PDU HYGAS Pilot Plant 1970 Skive Zaozhuang Lab Facility Dr. James L. Johnson Yima

6 Challenges of High Ash + High AFT Coal Significant deposits of high ash, high ash fusion temperature (AFT) coals in China Anhui, Henan, Shaanxi Ash content >25% Ash Fusion Temperature > 1500 C Low reactivity (anthracite-like) Not suitable for coking, power, other applications Entrained flow gasifier limitations Exceeds thermal margin of membrane wall designs Blends, fluxes difficult logistics, costly, not a sure solution Fluidized and fixed bed gasifier limitations Low reactivity results in low carbon conversion Need Gasifier Technology Providing High Carbon Conversion Without Requiring Fluxes or Blends 6

7 Gasification Technology Development Platform Gasoline & Waste Water Tanks Syngas Compressor Cooling Tower O 2, N 2, and CO 2 Supply Chiller Acid Gas Removal Gasoline synthesis Syngas Conditioning Feed Storage Silo Stack Feed System, Gasification, Filtration Feedstock Unloading 5 MWth fluidized bed and entrained flow gasifiers at 400 psig, air- or O 2 -blown 20 TPD coal or biomass 800 lb/h natural gas POx Hot and ultra-hot gas filtration Catalytic syngas reforming Syngas compression to 1000 psig Sorbent and solvent acid gas removal TIGAS syngas to gasoline synthesis 7

8 R-GAS Gasification System R-GAS Attributes: (GTI) Dry feed for high efficiency, feedstock flexibility Rapid mix injector + plug flow reactor for 90% smaller volume Advanced cooling design for robust thermal margins, long component life Eliminates black water system Long MTBF, short MTTR for high availability 8

9 R-GAS Principles of Operation Dry feed system enables use of lignite, low rank feedstock Multi-Element Feed Splitter Uniform splitting assures good O2/coal ratio at each element Rapid mix injector Efficiently mixes O2 and coal for fast combustion/gasification Establishes plug flow to minimize recirculation, accelerate gasification Advanced cooled liner design Keeps metal temperatures below 550º C for long life High thermal margins make design robust for high Fusion Temperature ash Rapid spray quench Flexibility to provide dry syngas from 350º C to 700º C High degree of flexibility for process optimization Robust Design Offers Feedstock Flexibility and Process Optimization Capability 9

10 Pilot Plant Gasifier Test Program Test Objectives Completed Demonstrated performance 99% carbon conversion Pilot Plant Started Dec tons per day High cold gas efficiency Formed protective slag layer Demonstrated particulate removal Tested 8 different feedstocks Verified operating environments Validated computer models Obtained preliminary life data Established operating procedures >1100 hours Hot-Fire Testing to date Injector Gasifier 10

11 Chinese Coal Analysis Proximate and Ultimate 11

12 Chinese Coal Test Campaign Timeline Aug 2014 Initial short duration exploratory testing of two Chinese coals: identified need for slag bath Sep 2014 Initiated slag bath design/modification May 2015 Completed slag bath design/mod verification with ~50 hours accumulated testing with 2 Chinese coals and PRB July 2015 GTI acquisition of Aerojet Rocketdyne energy technology completed Aug 2015 MOU signed between GTI and Chinese partner Jun 2016 Initiated long duration (100 hrs ea) of two Chinese coals (on-going now) 12

13 Analysis of Pilot Plant Test Solids Products Uniform slag coverage on gasifier walls Typical coarse slag particles 13

14 Solids Analysis Confirms >99% Conversion 14

15 80% CGE Expected for Commercial Gasifier 15

16 R-GAS vs Current Technology 90% smaller reactor volume allows for factory integration and enables modularization High CGE: 2-4% > than other dry feed, 7%-9% > than slurry GE Gasifier Size Comparison Siemens GTI 6m OD x 30m L 6m OD x 20m L 3m OD x 14m L ~ 50 Tons Lower capex: ~15-25% plant cost reduction vs. lowest cost entrained flow tech 15%-25% reduction in cost of product (power, chemicals, liquids) 3,000 TPD Capacity GTI s R-GAS Technology is Game-Changing 16

17 Economics of China-base Plant Parameter R-GAS TECHNOLOGY Dry Feed (Western) Dry Feed (PRC Domestic) Slurry Units Capex ,000 RMB Annual Revenue ,000 RMB/yr Annual Cost ,000 RMB/yr Annual Profit ,000 RMB/yr Syngas Cost RMB/kNm 3 Payback yr FIRR % Study performed by East China Engineering Science and Technology Co. 15%-29% Cost Of Syngas Advantage 17

18 Planned 800 TPD Demonstration Plant Yangquan Business & Needs ~$31.5B Sales (2014), #3 Coal Chemical in China, 6 new gasification projects ~300 operating (Lurgi) gasifiers, only use 15% own coal (fines), retrofit opportunity Constructing plant with HT-L gasifiers, but prefer to use 50% own coal (hi AFT issue) Sell low quality coal to power/steel plants vs higher value production Proposed Demo Site (Qingxu) Yangquan Coal Mining Group Taiyuan, Shanxi, China Plant Owner & Project Developer East China Engineering Science and Technology Co. Hefei, Anhui, China Design Institute (EPC) 18

19 GTI-Yangquan MOU Signing In conjunction with 1 st Annual DOE/NEA Clean Coal Industry Forum held in Billings, MT August 2015 Officiated by: Dr. Julio Friedmann Principle Deputy Assistant Secretary for the Office of Fossil Energy, US DOE Mr. Shi Yubo - Vice Administrator, National Energy Administration Mr. Yan Wenquan Vice GM, Yangquan Coal Group Mr. Eddie Johnston VP R&D, Gas Technology Inst. 19

20 Conclusions Successfully gasified high ash (>25%), high AFT (>1500 C) anthracitic Chinese coal with >99% carbon conversion No flux and no coal blending needed Highest efficiency, lowest cost entrained flow gasifier technology 15%-30% lower cost of syngas relative to lowest cost Chinese and Western gasifier technologies Long-duration pilot plant testing of Chinese coals underway in preparation for demonstration plant design activity R-GAS technology ready for commercial-scale demonstration 20

21 DON STEVENSON Executive Director, Advanced Energy Systems Gas Technology Institute 5945 Canoga Avenue Woodland Hills, CA O: (818) M: (213)