Pfeifer & Langen GmbH & Co. KG Feedstock options for industrial BioTech A view from a European Sugar Company Eugen Langen 1833-1895 Emil Pfeifer 1806-1889 Valentin Pfeifer 1837-1909 Düsseldorf, April 2013 Dr. Timo Koch, Pfeifer & Langen GmbH & Co. KG 1
P&L in Europe Lage Glinojeck Appeldorn Elsdorf Jülich Key numbers: Established in 1870 Family owned ~2.000 employees >1 bn turnover Sroda Gostyn Mieska Gorka Euskirchen Radechiv Könnern Sugar Production (12 units) sales office (9 units) Oradea 2
From field to factory A survey of our value chain soil Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization sugar beets raw juice 1 thick juice 2 sucrose beet parts beet pulp molasses 1: 17% sucrose; 2: 64% sucrose pellets 3
From field to factory Growing sugar beets the farmers part ~ 50 kg soil ~ 35 kg Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 1 t sugar beets ~ 1 t raw juice 1 ~ 270 kg thick juice 2 ~150 kg sucrose ~ 10 kg beet parts (18%DS) ~ 255 kg beet pulp (22 % DS) ~25 kg molasses 1: 17% sucrose; 2: 64% sucrose pellets 4
The sugar beet Some facts about sugar beets Within Top 10 of worlds agro commodities 10 % of worldwide sugar beet production in Germany Share of worlds sugar production: 20% harvested in autumn Water: 76,5 % Dry Substance (DS): 23,5 % Sucrose: 16,5 % Pulp: 3,7 % N-Compounds: 1,0 % Ash: 0,5 % rest: ~1,8 % 5
European sugar beets comparing yields on the field 1 Top 25% suppliers: 16,5 t/ha in 2011 5 t/a 1: Source: FAO Stats; sugar, starch or potential yield by cellulose hydrolysis 10 t/a carbohydrate per hectare and year 6
From field to factory Washing beets generates a first by-product ~ 50 kg soil ~ 35 kg Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 1 t sugar beets ~ 1 t raw juice 1 ~ 270 kg thick juice 2 ~150 kg sucrose ~ 10 kg beet parts (18%DS) ~ 255 kg beet pulp (22 % DS) ~25 kg molasses 1: 17% sucrose; 2: 64% sucrose pellets 7
Beet parts A typical side product. the beet in small size beet parts (pressed, 18% DS) Composition: 6-8% sucrose 10-12% non sugar components (up to 3% ash) Today: - feed for cattle - price range: 3-8 /t Storage: - by silage up to 12 month Opportunities: - 2nd generation biomass 8
From field to factory Extracting the sucrose generates the couppled product ~ 50 kg soil ~ 35 kg Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 1 t sugar beets ~ 1 t raw juice 1 ~ 270 kg thick juice 2 ~150 kg sucrose ~ 10 kg beet parts (18%DS) ~ 255 kg beet pulp (22 % DS) ~25 kg molasses 1: 17% sucrose; 2: 64 % sucrose pellets 9
Beet pulp Cellulose, hemicelluloses and pectin the second generation feedstock beet pulp (pressed, 22-24% DS) Today: - feed for cattle - substrate for biogas plants 1 - price range: 12-26 /t Storage: - by silage up to 12 month Opportunities: - 2nd generation biomass, pectin source 2 beet pulp (dried, molasses added, 90% DS) Today: Storage Opportunities: - feed for cattle - price range: 160-200 /t - bulk, several years - energy source - use as fiber material 3 1: Source: http://www.nordkurier.de/cmlink/nordkurier/lokales/anklam/anklamer-zuckerfabrik-baut-biogasanlage-1.407925 2: Edwards, Meredith C.; Doran-Peterson, Joy; Applied Microbiology and Biotechnology (2012); 95(3); 565-575. 3: Finkenstadt, V.L., Liu, L.S., Willett, J.L.; Polymers and the Environment (2006); 15(1);1-6. 10
From field to factory The first sugar syrup ~ 50 kg soil ~ 35 kg Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 1 t sugar beets ~ 1 t raw juice 1 ~ 270 kg thick juice 2 ~150 kg sucrose ~ 10 kg beet parts (18%DS) ~ 255 kg beet pulp (22 % DS) ~25 kg molasses 1: 17% sucrose; 2: 64% sucrose pellets 11
Raw juice The performance feedstock Raw juice (17-19% DS) a party for microorganisms Composition: 15-17% sucrose ~ 1,8% non sugar components Today: - intermediate product in sugar production Storage: - not stable Opportunities: - easy to ferment sugar source with lots of nutrients for over the fence production 1 - favorable for lactic acid fermentation 2 1: Manzke, E., Schmidt, P. V., Rieck, R., Senge, B. und Steiner, B.; Zuckerindustrie (1992); 117; 12; 984-90. 2: Visser, D., Van Breugel, J., De Bruijn, J. M. und A'Campo, P.; (2007); EP1870474.2. 12
From field to factory The storable syrup ~ 50 kg soil ~ 35 kg Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 1 t sugar beets ~ 1 t raw juice 1 ~ 270 kg thick juice 2 ~150 kg sucrose ~ 10 kg beet parts (18%DS) ~ 255 kg beet pulp (22 % DS) ~25 kg molasses 1: 17% sucrose; 2: 64% sucrose pellets 13
Thick juice The All round substrate Thick juice all season available, easy to handle Composition: 68% DS 64% sucrose 4% non sugar components (Amino acids, salts, etc.) Today: - intermediate product in sugar production - ethanol production Storage: - bulk, in tanks, up to 9 month Opportunities: - all season available feedstock for over the fence production concepts - good properties in whole cell fermentation processes 1 1: Calabia, B. P. und Tokiwa, Y.; Biotechnol. Lett. (2007); 29; 9; 1329-1332. 14
From field to factory The most well known by product ~ 50 kg soil ~ 35 kg Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 1 t sugar beets ~ 1 t raw juice 1 ~ 270 kg thick juice 2 ~150 kg sucrose ~ 10 kg beet parts (18%DS) ~ 255 kg beet pulp (22 % DS) ~25 kg molasses 1: 17% sucrose; 2: 64% sucrose pellets 15
Molasses The crude oil of sugar industry all season available, yeast industry s favorite molasses Composition: 74-77% DS 47-48% sucrose 30% non sugar components (3% betaine, proteins, ash, etc.) Today: - substrate for yeast production - substrate for ethanol production Storage: - bulk, tank Opportunities: - use as substrate for ethanol fermentation (and ETBE) 1 1: Šárka et al., Zuckerindustrie (2012), 138, 2, 105-111 16
From field to factory Crystalline sucrose ~ 50 kg soil ~ 35 kg Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 1 t sugar beets ~ 1 t raw juice 1 ~ 270 kg thick juice 2 ~150 kg sucrose ~ 10 kg beet parts (18%DS) ~ 255 kg beet pulp (22 % DS) ~25 kg molasses 1: 17% sucrose; 2: 64% sucrose pellets 17
Crystalline sugar Just pure like Crystalline sugar Composition: white sugar 99,5 S < raw sugar Today: - used for food - used in chemical industry - used for fermentation processes (ethanol, etc.) Storage: - bulk, silo Opportunities: - for enzyme processes/ chemical conversion requiring high purities Price/ market: EU market is devided: 1. Quota system: for food use 2. Out of quota: 1 for non food industrial applications 1: fabricator needs a licence 18
Crystalline sugar Sugar prices for out of quota sugar (industrial non food) 1. 1: source: http://ec.europa.eu/agriculture/sugar/presentations/price-reporting_en.pdf 19
Crystalline sugar Some of the triggers that affect the price Oil price Inco Terms National regulations Energy price Price Transportation costs Demand from food/feed business Weather NY#11 (raw sugar) London No.5 (white sugar) Market regulations Product quality 20
Final comments and conclusion Yield increase on the field is still one of the most important factors Agro-industrial value chain today focused on Food & Feed application Sugar industry for BioTech: Supply safety Synergy effects with over the fence production Lowering dependency from agricultural markets BioTech for sugar industry: Increasing plant utilization Synergy effects with over the fence production New products for new markets 21
Sugar beet industry is more than just first generation sugar Chance favors the prepared mind Louis Pasteur (1822 1895) Contact details: Dr. Timo Koch, Pfeifer & Langen GmbH & Co. KG Phone: + 2274 701 415 E-mail: timo.johannes.koch@pfeifer-langen.com 22
Thank you! 23
A sugar factory as a production site On example of the sugar factory Könnern Stockyard for Beets Sugar Production Sugar Silo Thick Juice tank Water Reservoir Waste Water Treatment Power Plant 3 x 100,000 m³ Supply by sugar beet 4-stages biological 72 t COD/d*. h: 89 % 20 MW Siemens turbine 160 t/h Steam 24 * COD: Chemical Oxygen Demand
A sugar factory as a production site Daily production of the sugar factory Könnern 900 t soil 630 t Carbo-Kalk (CaCO 3 ) Cleaning Extraction Purification Concentration Crystallization 18.000 t sugar beets 18.000 t raw juice 4.900 t thick juice 2.700t sucrose 180 t beet parts 4.600 t beet pulp 450 t molasses pellets 25