Value Maximization through PRAJ's 2nd Generation Smart Bio Refinery Amol Sheth October, 17 th 2016
Discussion Points Technology development & commercialization Praj s 2G Ethanol Technology Innovative Tech. Value Maximization Praj Industries Ltd CONFIDENTIAL www.praj.net 2
Technology Development, Scale up & Commercialization Praj Industries Ltd CONFIDENTIAL www.praj.net
Praj R&D Capability Innovation Centre Overview 80,000 sq ft of Labs, Pilot Plants, and Offices 90 technologists - 25 PhDs, 65 Masters 5 Technology Centers of Excellence - Biology, Chemistry, Engineering 18 Well Equipped Labs Pilot Plants 1 MTPD (bone-dry) second generation ethanol pilot plant 1 multi purpose pilot plant Intellectual Property Granted Patents 16 Patent Applications Filed 7 Patents Applications in Progress - 8 FOCUS BIO Refinery Bio-Fuels, Bio-Chemicals Environment Health & Wellness Praj Industries Ltd CONFIDENTIAL www.praj.net 4
Praj expertise in technology scale-up 100 KLPD 6 KLPD (5.5 MGPY) 200 KLPD 1200 KLPD (110 MGPY) Praj s ethanol plants across globe Quick scale-up & commercialization expertize End to end solutions from feedstock processing to final product Integration engineering water/energy optimization Front end engineering & design (FEED) Process & equipment design SKID mounted systems Architectural & civil engineering Praj has rich expertise of over 3 decades of technology scale-up Praj Industries Ltd CONFIDENTIAL www.praj.net 5
Building success ladder 1G 1.5G 2G Praj s core competencies Technology & Integration engineering Engineering & Manufacturing Project & construction management Quick scale-up & technology Commercialization Research & Development 16 Patents Knowledge base of 750 References 75 countries 5 Continents Over 3 Decades of rich experience of ethanol industry along with Praj s core competencies enabled us in developing sustainable future ready technologies Praj Industries Ltd Confidential www.praj.net 6
Feedstock s 1G vs. 2G Technical Complexity Technical Complexity Technical Complexity SO What are these Sugars and Why Should I Care? C6 H12 O6 Hexose, Glucose is the main one C5 H10 O5 Pentose, Xylose is the main one www.praj.net
Feedstock mapping and testing Global Feedstock mapping 600 + samples of Lignocellulosic biomass from India, Latin America, N. America and Europe. 100 corn residue samples from USA. Feedstock type distribution 400 + samples across India : Sugarcane residues, Corn residues, Rice Straw, Cotton stalk. Accomplishments Validated analytical methods from NREL USA. Continuous Program Evaluation of newer feedstock's like Empty Fruit bunches from Palm, grasses, MSW etc. Comprehensive mapping of Cellulosic Feedstocks Regional & Seasonal Variability Praj Industries Ltd Confidential www.praj.net 8
Feedstock variation. Parameters Unit Test Values Bagasse Bagasse Pith Corn Residues Cotton Stalk Palm EFB Rice straw Total solids %w/w 70.0 47.0 90.97 91.78 87.48 85.68 93.3 Moisture %w/w 30.0 54.0 9.03 8.22 12.52 14.32 6.71 Glucan %w/w 38.0 34.80 29.04 30.57 31.82 32.2 32.0 Xylan %w/w 21.0 20.29 20.60 12.66 19.26 16.2 18.0 Arabinan %w/w 1.81 1.69 2.83 0.68 0.52 2.54 2.67 Acetate %w/w 2.74 2.43 2.14 2.51 1.57 1.2 1.52 Acid Insoluble lignin %w/w 19.0 22.8 16.11 21.18 18.0 11.0 14.0 Acid soluble lignin %w/w 4.0 4.5 4.45 3.16 4.17 3.2 3.5 Ash %w/w 3.0 5.52 7.02 7.60 8.25 16.0 12.5 Protein %w/w 2.5 2.67 3.41 5.26 4.24 4.5 5.5 Extractives (water) %w/w 4.0 2.47 4.66 10.14 10.57 16.0 15.0 Extractives (95% ethanol) %w/w 1.9 2.51 2.45 1.66 6.23 2.42 2.24 Wheat Straw Robust technology which can handle feedstock variation Analysis done using standard NREL lap method Praj Industries Ltd Confidential www.praj.net 9
India - State wise biomass availability State Total Biomass produced (MMT) Surplus Biomass available after current utilization (MMT) Surplus biomass CONVERTIBLE for ethanol production (MMT) Collectable Biomass (40%) of Convertible (MMT) Tamil Nadu 22.50 08.90 01.66 0.66 Rajasthan 29.90 08.60 00.25 0.10 Kerala 11.60 06.40 00.06 0.02 MP 33.30 10.30 02.03 0.81 Gujarat 29.10 09.10 04.92 1.97 Punjab 50.80 24.80 11.70 4.68 Karnataka 34.20 09.20 01.38 0.55 Orissa 20.10 03.70 01.30 0.52 West Bengal 36.00 04.30 00.77 0.30 Maharashtra 47.60 14.80 11.30 4.52 Chhattisgarh 11.30 02.10 00.43 0.17 Andhra Pradesh 24.90 04.30 00.26 0.10 Bihar 25.80 05.10 03.48 1.39 Haryana 29.10 11.30 02.07 0.83 Telengana 19.10 02.70 01.88 0.75 Uttrakhand 02.90 00.63 0.26 0.10 Uttar Pradesh 60.30 13.80 9.00 3.60 Jharkhand 03.60 00.89 0.43 0.17 Total 492.10 140.92 53.18 21.24 Praj Industries Ltd CONFIDENTIAL www.praj.net 10
enfinity Praj s 2G Ethanol Technology Praj Industries Ltd CONFIDENTIAL www.praj.net
enfinity Praj s 2G Ethanol Technology Our technology brings infinite possibilities to the environment and energy challenges confronting mankind by making use of nature s endless resources. That s why we proudly call it..enfinity. Praj Industries Ltd CONFIDENTIAL www.praj.net 12
Bio-Refinery 2G ethanol/bio-chemicals plant processing biomass Feedstock Handling Feedstock Preparation Pretreatment System / Washing Enzymatic Hydrolysis / Liquefaction Fermentation Distillation & Dehydration Waste Water Treatment End to End integrated Process Addition of challenges Praj Industries Ltd Confidential www.praj.net 13
Pre-treatment Choice of pre-treatment is critical. It must take into account Solids concentration Compatibility with Feedstock Selection of enzymes Fermentation organism Limited size reduction to avoid high power requirement Praj Industries Ltd Confidential www.praj.net 14
Pre-treatment Pervasive impact on Size Reduction Feedstock cleaning & Washing Hydrolysis Fermentation Product Recovery Residue Processing Waste water treatment and water recycle potential Leading to overall impact on Project economics Praj Industries Ltd Confidential www.praj.net 15
Pre-treatment Following undesirable byproducts formed Furfural HMF Acetic Acid Phenolic Undesirable due to Lower sugar production and lower process efficiencies Inhibit enzymes and Inhibit fermentation microorganisms Aldehydes Gypsum Praj Industries Ltd Confidential www.praj.net 16
Pre-treatment Strategies to deal with? inhibitors and toxins MANAGE REMOVAL of Toxins/ Inhibitors Toxins/ Inhibitors Praj Industries Ltd Confidential www.praj.net 17
Removal of Toxins/Inhibitors Solid liquid separation - followed by Membrane Reverse Osmosis OR Activated carbon OR Ion exchange Impacts OPEX - water, energy and waste water treatment Adds CAPEX Compromises economics of the technology Praj Industries Ltd Confidential www.praj.net 18
Managing Toxins/Inhibitors Adopt suitable hydrolysis strategy Selection of enzymes Mode of operation Fed batch, Continuous, etc. Solids concentration Adopt suitable fermentation strategy Selection of tolerant yeast / micro-organism Mode of operation Fed batch, Continuous etc. Adapt culture / platform for WWTP Bio-methanation Impact of phenolic components Incineration of residues Impact of alkalinity Needs investment in technology development Praj Industries Ltd Confidential www.praj.net 19
Benefits of low solids concentration in pretreatment Better flow characteristics Better mixing efficiency More efficient enzyme use Higher enzymatic and fermentation efficiencies Fewer choking issues Far lower erosion issues & Process downtime Praj Industries Ltd Confidential www.praj.net 20
technology optimization journey 2009-15 Pilot Plant Operations 2014-15 Optimization on customer preferred biomass & Engineering package for commercial scale units 2016 Execution of 12 TPD 2 nd Gen Bio refinery & Commercial offerings Biomass to Bio refinery Operational since January 2009 Raw material processing capability Corn Cobs + Corn Stover Sugarcane Bagasse, Cane trash, Pith Rice straw, Wheat straw, Cotton stalk Technology optimization journey Praj Industries Ltd CONFIDENTIAL www.praj.net 21
Data on Feedstock processing at Pilot plant Sugarcane Bagasse 120 MT Corn Cobs 150 MT Corn Stover 60 MT Corn Residues (Mixed) 15 MT Palm Residues 5 MT Wheat Straw 5 MT Rice Straw 40 MT Bagasse Pith 20 MT Processed > 400 Metric tons of diverse feedstocks over a span of 3 years and over with 800,000 man hours of R&D spent on the pilot plant and still ongoing. Praj Industries Ltd www.praj.net Confidential 22
Technology Evolution via process flows Material Handling Washing Pre-treatment S/L Separation Detoxification Delignification Enzymatic Hydrolysis Co C6 Fermentation C5 Fermentation Distillation & Dehydration Waste Water Treatment 23
Praj Industries Ltd Confidential www.praj.net 24 End-to-End Holistic & Integrated solution Performance parameters at par with global benchmarks
enfinity Performance over the years 261 Yield (Liters / Ton ) of Feedstock 284 254 302 264 317 342-347 333-338 325-330 270 275 290 68.0 Conversion Cost (Rs/Liter) 208 182 Bagasse Bagasse Corn Cob 38.1 26.0 Corn Cob 19.0 18.1 17.6 16.5 15.3 17.0 15.7 14.6 13.5 12.6 11.7 2011 2012 2013 2014 2015 2016 (P) 2017 (P) 2011 2012 2013 2014 2015 2016 (P) 2017 (P) Praj has made significant performance improvements over last three years Praj Industries Ltd Confidential www.praj.net 25
Summary : Technology highlights Proprietary robust end to end process Multi-feed capability Pre-treatment Efficient degradation of biomass to sugars Better biological processing ability Efficient enzymatic hydrolysis Performance in spite of inhibitors No detoxification steps leading to lower capex and opex Thermally integrated process to achieve low net energy usage Water recycled; achieve zero process liquid discharge Enzyme Flexibility Co- Fermentation Intellectual Property Proven technology on multiple enzymes High yields with different enzyme strains Yeast strain for efficient utilization of C5 (pentose ) and C6 (hexose) sugars Higher yield Lower reaction time Higher tolerance to solids Enfinity Technology Process patent filed and already granted in India, SA, Kenya; pending approval in other countries Praj Industries Ltd Confidential www.praj.net 26
Summary Feedstock Handling Feedstock Preparation System / Washing Pretreatment Enzymatic Hydrolysis / Liquefaction Fermentation Distillation & Dehydration Waste Water Treatment End to end process and energy integration Integrated 2G Bio refinery for Biofuels & Biochemical Good integration, key to success Praj Industries Ltd CONFIDENTIAL www.praj.net 27
Innovative Integrated Bolt-on model Praj Industries Ltd Confidential www.praj.net 28
Integrated Bolt-On Existing Sugar Factory Existing Cogeneration Existing 1G Bioethanol complex 2G Bolt-On Module Many 1G ethanol plants operate 150-200 days / annum Additional 150-180 days operation using 2G bolt-on module Results in year round operations of bio-ethanol complex Higher asset utilization Fewer unit operations hence lower capex Substantial increase in ethanol production at lower capex Fermentation Distillation Dehydration Utilities Pre-treatment Enzymatic Hydrolysis Hydrolyzed slurry Praj Industries Ltd Confidential www.praj.net 29
Grain Fiber to Cellulosic Ethanol Pretreatment Fiber Existing Starch to ethanol Co-product: Bio Oil & DDGS Ethanol 1 G Technology Fiber to Ethanol Hydrolysis Patented Technology Starch Slurry (with Separated bound starch) SELECTIVE GRIND & FIBER SEPARATION TECHNOLOGY Fiber Up to 8 % increase in ethanol yield compared to conventional technology CORN Praj Industries Ltd Confidential www.praj.net 30
Value Maximization through PRAJ s 2 nd Gen SMART Bio refinery Praj Industries Ltd CONFIDENTIAL www.praj.net 31
Praj Approach... Process Know-how Understanding Feedstock Ethanol & Ethanol based Chemicals Beverage Alcohol Fuel Alcohol Biochemicals Furfural Xylitol Co-Products CO2 Recovery Liquid /Solid Pretreatment & Fermentation Technologies Waste water treatment & recovery Pharma Alcohol Ethylene Propylene Acetic Acid Ethyl Acetate Ethyl Levulinate Levulinic acid Lactic acid Succinic acid Acetic acid Bionutrients Bio-CNG Biogas to Power Praj Industries Ltd CONFIDENTIAL www.praj.net 32
Multi-Feedstock, Multi Product SMART Bio Refinery Multi-Feedstock Molasses CO 2 Multi-Product Fuel Industrial grade Alcohol Ethanol 1 st Gen Next Gen Juice Grain Lignocellulosic MSW BIO-REFINERY Bio Fertilizers DDGS Biogas Lignin cake Pharma Rectified grade Spirit Ethanol Bio-Chemicals Bio-Jet Fuel Praj Industries Ltd CONFIDENTIAL www.praj.net 33
Multi-Feedstock, Multi Product SMART Bio Refinery Multi-Feedstock Multi-Product 2 nd Gen Rice/Wheat Straw Corn Residues CO 2 Fuel Industrial Ethanol 220-325 Alcohol Liters Rectified Bio-CNG Spirit 90-100 KG Sugarcane Residue Bio-Chemicals* Cotton Stalk Biomass cost ~ INR 2000 5000 / MT Bio Fertilizers Power export 250-400 Kwh Note: 1) Liquid CO2 market price of INR8/Kg 2) Bio-CNG price INR 50/KG 3) Bioethanol price INR 46.50/Liter 4) Power price INR 4/Kwh 5) Carbohydrate content in biomass assumed at ~55% * Bioethanol yield will reduce when sugars are diverted for bio chemicals Total Revenue potential ~ INR 17,000 23,000 / MT Praj innovative 2G Bio refinery provides higher returns Praj Industries Ltd CONFIDENTIAL www.praj.net 34
Headquarter : PRAJ Tower, Pune - India Thank You (amolsheth@praj.net / info@praj.net / +919890300107) A truly global Organization with multiple & diverse business sectors Praj Industries Ltd www.praj.net 35