coal conversion to products - worldctx.comworldctx.com/wp-content/uploads/2010/07/p2'13...

CFFSKN – February 14, 2013 www.world-ctl.com 1

Serge PérineauWorld CTL

Coal Conversion to Products

World CTL


• Framework

– Energy Security & Logistics Stakes

– Technologies

– Environment

– Economics

• Current Development

– Commercial Units

– Projects and Operations

– International Co-operation

Coal Conversion to Products


Coal Conversion

Energy Security


50 000

60 000

70 000

80 000

90 000

100 000

110 000

120 000

A Growing Demand in Oil in the Medium Term

1985

Source: IEA’s World Energy Outlook 2012

1985 20352011

Transport

Power Residential

Industry

Heavy duty

Light duty

AviationRailMarine

Oil consumption (bbl/day)

« Current P

olicies » Scenario

450 ppm Scenario


Fossil Fuels: a Regional Security Issue

Source: BP Statistical Review 2011

Coal reserves modified for China, Indonesia, Mongolia

Reserves of Conventional Fossil Fuels (Reserves/Consumption)


Logistic Stakes

Spots with

logistic stakes


Coal Conversion

Technology


Technologies: conventional conversion routes

Gasification

Surface/Underground

Fischer-Tropsch

Liquid FuelsCoal

Synthetic Gas - CO+H2

Methanol

Dissolution Hydrotreatment RefiningLiquefaction

Indirect routes

Direct route

Majiata (Inner Mongolia)

Jamg (Shanxi, China)

Secunda (RSA)

Methanation Natural Gas

Great Plains, ND (USA)

Petrochemicals

Liquid Fuels

Liquid Fuels

Methanol To Gasoline

Lu’An (China)

Refining

Yitai

(China)

Methanol To Olefins

Baotou (I. Mongolia)


Coal Conversion

Environment


Environment: Coal is most controversial

March 2, 2009, Washington DC (Reuters)March 26, 2009, World CTL Conference

« Coal is My Worst Nightmare »Steven Chu, Nobel physicist, U.S. Energy Secretary


Three steps:

• Coal mining: need for a responsible sourcing

• Conversion itself

– Need for water: 1 to 2 m3 per barrel: an issue in several regions

– Ashes, gaseous and liquid noxious emissions: managed through classical chemical processes

• Combustion: synthetic fuels are purer than from conventional fuels.

Environment: Local Stakes

Source: Idaho National Laboratory (2007)

0% 20% 40% 60% 80% 100%

Sulfur oxides

Part. matter

(<10 ppm)

Nitrogen oxides

CO

Volatile org.


Global Issue: GreenHouse Gas Emissions

Case 1: Diesel produces from coal without CCS (Carbon Capture & Storage)

Well to Wheels emissions (grams of CO2 equivalent per mile):

0

100

200

300

400

500

600

700

800

900

Diesel from

crude oil

CTL diesel

w/o CCS

Sources: Idaho National Laboratory (2007) and U.S. DOE (2009) (marked *)

+63-100%


Global Issue: CCS & Biomass are CTL’s best allies

Case 2: Diesel produced from coal with CCS:

• CCS reduces by 90-95% the CO2 emissions within the CTL plant

• CCS is now included in most CTL projects.

Well to Wheels emissions (grams of CO2 equivalent per mile):

0

100

200

300

400

500

600

700

800

900

Diesel from

crude oil

CTL diesel

w/o CCS

CTL diesel

with CCS *

CTL diesel

with 30%

biomass

CTL diesel,

CCS & 30%

biomass

CTL diesel,

CCS & 15%

biomass *

Sources: Idaho National Laboratory (2007) and U.S. DOE (2009) (marked *)

-5-12% -4%

-46%

-30%

+63-100%

Reference: conventional diesel


CCS: Cost Breakdown

Capture

$25-75per

tonne CO2 Transport

Injection$1-5per

tonne CO2/100 km$1-2Per

tonne CO2

Source: IPCC - Intergovernmental Panel on Climate Change - 2005

In a CTL plant, CO2 is already captured


Coal Conversion

Economics


Crude Barrel Price Equivalent

2006

$/bbl - Crude Oil Equivalent

2007 2008

Rand

Shenhua

JP Morgan

U.S. DOE

U.S. DOE

U.S.

National

ResearchCouncilU.S. National

Coal Council

2009

JGC

JGC

PEIPEI

Technology providers

NRCNal

Acad.Yitai

2010 2011

IFP: Europe

IFP: USA

IFP: China

2012

Shenhua

Source: World CTL

GTC

SEI

RIL

Asiachem

Crude yearly average import price (source IEA)


Sensitivity Analysis

Source: U.S. DOE 2007

Variation of the Return on Investment in % for +/-25% variation of…

Other parameters: CO2 impact, subsidies, discount rate,…


Capital Expenditure

2006

x000$ / daily bbl

2007 2008

Shenhua

JP Morgan

DOE

DOE

NCC

2009

PEI

Technology providers

Scully Capital

SSEB

NRC

NalAcad.

2010 2011

Reported Capex - 40-50,000 bpd unit

2012Source: World CTL

Jindal

RIL

OIL 44


Coal Conversion

Current Developments


Many Projects, Several Demonstration Plants

Philippines

Mongolia

ArckaringaMmamabula

Waterberg

Tata Sasol

Assam

Irkutsk

SecundaSasolburg

Operations

Projects

Geleximco

Clinton

Ordos*

Fox Creek

SNG

CTL&Chem

4.3 Mm3/d20,000 bpd

160,000 bpd

Great Plans, ND

Bumi & Sasol

Spitfire Oil

L&M Lignite

Monash Latrobe

4,000 bpd

Lu’An*

4,000 bpdYitai*

Serafimovskiy

JAMG*

Baotou

600,000 tpa

Leuna

RIL Jamnagar

JSPL

NFL Coal India

Lubimbi

* In 2011 and 2012, Yitai, Lu’An, JAMG and Shenhua have anounced large extensions

KIER

Posco

Methanex

2,500 bpd


CTL projections

Source: U.S. Energy Intelligence Agency (2009)

0

50

100

150

200

250

300

350

2011 2020 2030202520152009

CTL

Oil shale

BTL

2011 2020 2030202520152009

750

900

250

200

150

100

50

0

2,750

Sources: China Coal Information Institute (2009) and Shenhua (2010)

x000 barrels/day

2,700

700

Forecasts published in

• the U.S.A.

• the P.R. China

Shenhua

110 kbpd

Shenhua

442 kbpd

x000 barrels/day


2004-2012 Gasification Plant Startups

China

U.S. 0

42

Source: Gasification Technologies Council, 2012


CTL projections: International Energy Agency

Shenhua 442 kbpd

Sources: IEA – World Energy Outlook 2011

x000 barrels/dayIndia (World CTL’12)JSPL: 80,000Tata Sasol: 80,000NFL/Coal India: 5,000RIL: 80,000

China (decided, 2012)Shenhua: 60,000Lu’An: 40,000JAMG: 25,000Yitai: 10,000

A significant increase, but volumes will remain low.


International Co-Operations and World CTL

• A balanced program for CTL stakeholders: Coal, Oil, technology providers, project

holders, research centers, suppliers.

• Rates of satisfaction: ranked “excellent” or “good” by 95-98% of participants

The global leading hub on Coal & Petcoke conversion to

Liquid Fuels, SNG and Chemicals


Top Speakers and World CTL Award

Presentations, networking, appraisal


World CTL Conference Locations

2009Washington D.C.

2008 & 2011Paris

2010 & 2012: Beijing2013: Shanghai

2012: New Delhi2013: Mumbai


• Coal is fully available.

• Coal conversion answers energy security and logistics concerns.

• CTL will remain marginal on a global basis.

• Environment is a key issue. Technology improvement, CCS and

Biomass are CTL’s best allies.

• Several Demonstration Plants are now in operation. Extensions in process.

• CTL is highly competitive at current energy prices, although capital intensive.

• China has taken the lead, Korea and India also active.

• International Co-Operations keep developing. World CTL is

committed to support this trend.

Conclusion


[email protected]

Thank you.

coal conversion to products - worldctx.comworldctx.com/wp-content/uploads/2010/07/p2'13...

Documents