PacPyro Slow-Pyrolysis Technology: Waste to Energy and Biochar. Adriana Downie WasteMINZ Rotorua 2011

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PacPyro Slow-Pyrolysis Technology: Waste to Energy and Biochar Adriana Downie WasteMINZ Rotorua 2011

Technology Design Objectives Quality controlled product biochar (energy) Energy Efficiency Emissions control (air quality, greenhouse gases) Workplace Health and Safety Economic viability Traditional utilisation of residual rice hulls as charred soil amendment.

Product Optimisation

Technology Overview Creates clean electrical and thermal energy Solves organic waste problems Reduces landfill & waste hauling Increases sustainability and productivity of agriculture Mitigates greenhouse gases Sequesters atmospheric carbon long-term

PacPyro Project Value Areas Waste $ Disposal or tipping fee Biochar Energy $ Excess energy integrated into waste facility, embedded customer and/or grid Soil Amendment $ Carbon Storage $

Advantages for Organics Management Multiple Revenue Streams Volume reduction concentration of carbon and nutrients. Dry product. Access to broader markets. Improved Greenhouse Gas outcomes Feedstock Blends (plastics contamination, oversize)

The Waste Challenge Contamination Consistency Target waste that is of a quality that will make a quality biochar product of environmental benefit OR Reduce the volume of waste, achieve energy recovery, stabilise carbon and send char residue to landfill

Quality Waste Organics for Biochar Production

PacPyro Commercialisation Approach Technology Development and Demonstration Product Marketability Biochar and Bioenergy Lifecycle Sustainability and Risk Management Strategically Supported Commercial Readiness Project Delivery

Technology Development Daisy ~ 10kg batch dry biomass El Torro ~ 40kg/hr dry biomass

Pilot Scale Production

Commercial Greenwaste Project PacPyro has been offered $4.5 million dollars by the Victorian State Government to assist in building a project for the conversion of waste organics to renewable energy and biochar.

Site Viable Project Requirements Sustainable Feedstock Energy off-take Biochar off-take Stakeholders project structure Return hurdles that reflect first-of-kind project risk

PacPyro Commercialisation Approach Technology Development and Demonstration Product Marketability Biochar and Bioenergy Lifecycle Sustainability and Risk Management Strategically Supported Commercial Readiness Project Delivery

Key Attributes of Biochar Carbon Offsets Biochar production can result in a net sequestration of carbon. Soil Health some biochars have been scientifically demonstrated to improve soil health and improve crop yields.

Greenhouse Assessment

Key Attributes of Biochar Carbon Offsets Biochar production can result in a net sequestration of carbon. Soil Health some biochars have been scientifically demonstrated to improve soil health and improve crop yields.

Independent Third Party Trials PacPyro has worked closely with research institution of high reputation since 2006 on Agrichar TM biochar research. - MOU with Industry and Investment NSW - ARC industry linkage program with UNSW - Collaborative research partners on the DAFF National Biochar Research program headed by CSIRO - Member of the committee of the Australian and NZ Biochar Researchers Network - Founding members of the International Biochar Initiative - Key supplier of research grade biochar internationally

Peer-Reviewed Scientific Literature

Meta-Analysis of Biochar and Crop Productivity Statistically significant, benefit of biochar application to soils on crop productivity, with a grand mean increase of 10%.

PacPyro acquisition - ASX PacPyro acquired the global rights to the technology from Best Energies Inc. ASX listed company WAG has exercised their option to acquire Pacific Pyrolysis Pty Ltd. WAG is currently undergoing a capital raising for working capital, finalisation of technology licensing package and project delivery. Adriana Downie Kyoto, 2011

www.pacificpyrolysis.com www.anzbiochar.org

BIOCHAR AND BIOENERGY FROM WASTE ORGANICS A NEW ZEALAND PERSPECTIVE Author: Adriana Downie, Chief Technology Officer, Pacific Pyrolysis Pty Ltd adriana.downie@pacificpyrolysis.com Introduction Several local governments groups and corporations in New Zealand are considering the adoption of slow-pyrolysis technology for the management of waste organics under their management. Pacific Pyrolysis (PacPyro) have a proprietary technology solution that has been demonstrated on a pilot scale to convert a large range of waste organic feedstocks into bioenergy (electricity and thermal) and biochar. The identified potential for the technology in the New Zealand market is large. The abundance of low-grade organic residues, and requirements for; increased renewable energy at a distributed level, greenhouse gas emissions offsets, and locally produced agricultural soil amendments, provide a framework for the business case of slow-pyrolysis projects. PacPyro have been undertaking feasibility studies in New Zealand for clients that investigate the technical and economic viability of producing bioenergy and biochar from waste organic resources. The key drivers to such projects, the barriers to commercialisation, and the progress made to date will be discussed. Project feasibility parameters will be evaluated to assist waste managers to understand and assess the opportunity that utilising the technology may bring to their businesses. Progress has been made on understanding possible outlets for biochar products in the New Zealand market. The PacPyro Slow-Pyrolysis Technology PacPyro is a world leader in the development of waste to energy and biochar technology. Their award winning slow pyrolysis technology delivers an innovative 1

solution that redefines best practice for waste and low grade feedstock management by achieving the co-production of bioenergy and carbon products. The PacPyro technology converts biomass residues, such as kerb-side collected organics, into renewable energy and a proprietary biochar called Agrichar, which has been proven by independent trials to increase food production and sequester carbon over long periods of time. PacPyro s slow pyrolysis technology provides carbon negative (removes CO 2 from the atmosphere) renewable energy through sequestration of carbon, long-term, via stabilisation into biochar. The PacPyro technology platform is based on slow-pyrolysis, which is the thermochemical decomposition of organic material at elevated temperatures in the absence of oxygen. The feed material is dried and fed into an externally heated kiln. As the material passes through the kiln, it reacts to produce an off-gas (syngas), which is continuously removed from the kiln and utilised for its energy value in much the same way as natural gas or liquid petroleum gas (LPG). The pyrolysis syngas can be piped to a local consumer of thermal energy such as steam boilers, dryers and absorption chillers, or can be converted to electricity using a reciprocating engine generator. The electricity is then available for local consumption, embedded into existing operations, or can be distributed to a much broader market through the power supply network. A portion of the syngas produced is used to sustain the process. This makes the pyrolysis plant highly efficient. Minimal external utility inputs are required, even for wet, low energy feed materials. PacPyro has an operational continuous flow slow pyrolysis pilot demonstration facility (see Figure 1 below), at the Somersby Advanced Engineering Facility north of Sydney. 2

Figure 1: PacPyro Demonstration Facility PacPyro has process and mechanical designs for 48 (2 tph) and 96 (4 tph) dry tonne per day commercial units (PyroChar 2000 and PyroChar 4000 respectively). Three dimensional modelling of the 48 tonne per day unit design can be seen below. Figure 2: PyroChar 2000 plant, designed for municipal green waste and wood waste blends Solution Delivery Project Drivers PacPyro has conducted several feasibility studies on the application of their commercial scale pyrolysis process for local government and industry partners. The ability to combine process engineering and mechanical design expertise with commercial business development, economic modelling and project financing 3

capability is a core competitive strength of PacPyro. Areas where PacPyro aim to provide solutions by delivering project using their technology are set out in the table below: Provide waste management solutions for a wide range of source separated organic wastes destined for landfill or low value applications. Waste Management Improving the efficiency of existing manufacturing and industrial processes through transformation of waste products to usable energy and products. Decreasing mass and volume and hence haulage cost of bulky and wet organics. Reducing the carbon liability associated with organics waste management. Provide access to cheaper/more competitive energy pricing and reducing the impact of the escalating costs (financial and social) of fossil fuel based energy. Energy Security Securing access to a more dependable or redundant energy supply. Utilising renewable energy from sustainable local project resources, which are not influenced by international political and market pressures. Achieve reduction in carbon liability (greenhouse gas emissions mitigation and sequestration). Minimising and/or avoiding environmental rents Meet demand for renewable energy. Delivers on need for land remediation or rehabilitation. Reduce run-off and nutrient leaching (from fertiliser usage) into water ways. Reduce requirement for landfill (avoid levies). Increased productivity with decreased inputs. Improving agronomic outcomes through biochar Improved soil health for degraded soils. Water security through improved water holding capacity of soils. 4

Corporate Commitment to green image Improved environmental footprint. Achieve sustainability credentials for products. Achieve vertical integration of energy from waste. Extending the life of urban landfills. Land Use Reduced agricultural clearing through increased productivity per hectare. Decreased requirement to mine fossil fuels and new energy resources. Atmospheric Greenhouse Gas Achieve the complementary blending of emission mitigation with the drawing down of carbon from the atmosphere into long term terrestrial sinks. The Business Case What makes a feasible project? PacPyro have been working with clients to conduct feasibility studies for commercial projects, utilising their technology, with the aim to establishing one or more commercial demonstration projects in the coming years. As is the case with commercialising new technology in any industry, overcoming the return hurdle required for a first-of-kind project is challenging as it must be high to mitigate the unknown elements of the project. Projects implementing the technology can derive revenue stream from one or more of the following: Biochar sales; Energy sales such as electricity or thermal energy generated from syngas products; Environmental offsets such as policy driven fiscal incentives for greenhouse gas emissions abatement, renewable energy generation, waste reduction (avoided landfill levies), etc; Organics waste management charges - perhaps offsetting landfill tipping fees. 5

PacPyro have found that for the first projects to reach their financial targets it is necessary for all of the above revenue streams to be achieved. However if one or more of the revenue streams is performing above market rates, due to some niche circumstance, then this takes the pressure off the other sources of revenue. Biochar Markets It is proposed that biochar be sold into the higher value home gardening and horticultural markets as an ingredient in growing media or potting mixes or as a product in its own right. Products that are currently well established in this market include materials such as; perlite, vermiculite, rockwool, scorcia, peat, hydroton (clay pebbles), coir, horticultural barks. PacPyro have been world leaders in fostering the scientific development of biochar products as soil amendments through the production and provision of biochar to research groups, actively collaborating in research programs and through publishing findings in the peer-reviewed scientific literature. The biochar product from the PacPyro pyrolysis process continues to attract scientific, political and industry attention due to its demonstrated benefits as a soil amendment that can beneficially sequester carbon. PacPyro s technology platform ensures the production of a highly quality controlled and sustainable, Agrichar TM biochar product. PacPyro brings a wealth of biochar research knowledge, developed as a result of its collaborations with many research institutions of high regard, to their projects. This enhances the marketability of biochars produced by the PacPyro technology. 6

Figure 3: Agrichar TM Biochar made from crop residue (wheat straw) and an SEM micrograph showing the highly developed porous structure of Agrichar TM biochar. Some benefits of biochar products have been set out in the table along with quantitative estimates of the benefits concerned. It is noted that not all biochars have the same impacts in all soils and the crop productivity results depend on many factors including soil, biochar, crop, and climate. Table 1: Biochar Advantaged and Benefits Advantage Increase water holding capacity of the soil Example of Potential Benefit 27% in field water capacity (Chan et al., 2007) Increase biomass (crop) production Up to 320% (Nehls, 2002) Increase soil carbon levels Improve fertiliser use efficiency Increase proportional to quantity of biochar introduced (1-2% increases easily achieved with standard application rates). Further consequential labile carbon accumulation has been observed (Van Zwieten et al., 2010c). Nitrogen inputs can be reduced by up to 7

90% while achieving the same crop growth response (Van Zwieten et al., 2010a). Increase soil ph Decrease aluminium toxicity Decrease tensile strength Change microbiology of the soil Decrease emissions from soil of the greenhouse gases Increases of up to 2.6 ph units observed (Van Zwieten et al., 2010b). Inhibiting levels of aluminium can be reduced to below detection limits using biochar for soil remediation (Van Zwieten et al., 2008). Tensile strength of hard setting soils reduced by 70% (Chan et al., 2007). Biochar has been demonstrated to improve mycorrhizal colonisation (Solaiman et al., 2010). Up to 86% reduction of applied nitrogen lost as N 2 O observed (Van Zwieten et al., 2009). Complete suppression of CH 4 observed (Rondon et al., 2005). Improve soil conditions for earthworm populations Increase CEC, especially over the longterm Earthworms have shown a preference for ferrosol soil amended with biochar (Van Zwieten et al., 2010b). Increases in CEC of approximately 300% have been measured in biochar treated soils over the long term (Downie et al., 2011). 8

Conclusions PacPyro are making significant progress in commercialising their slow-pyrolysis technology for the conversion of waste organics to bioenergy and biochar. There is significant potential for the New Zealand waste management sector to benefit for the utilisation of such technology to deliver a number of solutions. Establishing a commercial-scale demonstration project, along with developing markets for biochar products will be critical to reducing the technical and commercials risks associated with the technology so that it can be rolled-out extensively into multiple project opportunities. References Chan, K.Y., Van Zwieten, L., Meszaros, I., Downie, A., Joseph, S., 2007. Agronomic values of greenwaste biochar as a soil amendment. Aust J Soil Res 45, 629-634. Downie, A.E., Van Zwieten, L., Smernik, R.J., Morris, S., Munroe, P.R., 2011. Terra Preta Australis: Reassessing the carbon storage capacity of temperate soils. Agriculture, Ecosystems Environment 140, 137-147. Rondon, M.A., Ramirez, J., Lehmann, J., 2005. Charcoal additions reduce net emissions of greenhouse gases to the atmosphere. Third USDA Symposium on greenhouse gases and carbon sequestration, Baltimore, p. 208. Solaiman, Z.M., Blackwell, P., Abbott, L.K., Storer, P., 2010. Direct and residual effect of biochar application on mycorrhizal root colonisation, growth and nutrition of wheat. Aust J Soil Res 48, 546-554. Van Zwieten, L., Kimber, S., Downie, A., Morris, S., Petty, S., Rust, J., Chan, K.Y., 2010a. A glasshouse study on the interaction of low mineral ash biochar with nitrogen in a sandy soil. Aust J Soil Res 48, 569-576. Van Zwieten, L., kimber, S., downie, A., Sinclair, K., Chan, K.Y., 2008. Field assessment of Biochar: Agronomic performance and soil fertility. International Biochar Initiative, Newcastle, UK. Van Zwieten, L., Kimber, S., Morris, S., Chan, K.Y., Downie, A., Rust, J., Joseph, S., Cowie, A., 2010b. Effects of biochar from slow pyrolysis of papermill waste on agronomic performance and soil fertility. Plant Soil 327, 235-246. Van Zwieten, L., Sinclair, K., Slavich, P., Morris, S.G., Kimber, S., Downie, A., 2010c. Influence of biochar on soil fertility, carbon storage and biomass production in a subtropical pasture: results from a 3 year field study. International Biochar Conference, Rio De Janeiro, Brazil. Van Zwieten, L., Singh, B., Joseph, S., Kimber, S., A., C., Chan, K.Y., 2009. Biochar and Emissions of Non-CO2 Greenhouse Gases from Soil. In: Lehmann, J., Joseph, S. (Eds.), Biochar for Environmental Management: Science and Technology. Earthscan, London. 9