gasification wpa
TRANSCRIPT
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Coal Gasification : A PRBOverviewMark Davies Kennecott Energy
Outline Background Our Interest
History Development of IGCC
Current status Commercial Technology
Poly generation - Synthetic Fuels
Issues for PRB
The Future
Questions ???
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Our Interest - Sustainable Development
development that meets the needs of the present
generation without undermining the capacity of futuregenerations to meet their needs.
Rio Tintos commitment to SD: Ensure our
businesses,operations and products contribute to
the global transition to sustainable development
Coals Sustainability Challenge
Economic and social criteria make a compelling case for coal the issue is environmental performance
Climate change concerns present a complex challenge for thecontinuing use of fossil fuels and coal in particular
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Integrated Gasification Combined Cycle (IGCC)
Twenty years ago oil refinery practice in North America and Europeunderwent a fundamental change as available crude became heavier
This had two implications: Asignificant increase in hydrogen demand to 'sweeten' the
heavier crude; and
Increased production of highly contaminated petcoke and heavyrefinery residues
Simultaneously, aerospace technology was being applied to the utilitysector to create natural gas fired turbines; and coal based IGCCstarted becoming a viable technology
IGCC is essentially ready for use by the coal industry, whichhas largely been spared the expense of its development
Impl icat ion Current commercial technolog ies were developed for
Petcoke
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Natural gas
Gas turbine
Heat recovery steam
generator Steam turbine
High efficiency
Low capital
Simple vs. PC plants Cookie-cutter design
Low emissions
Natural Gas Combined Cycle (NGCC)
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Integrated Gasification Combined Cycle (IGCC)
Gasification is essentially partial oxidation under pressure
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IGCC + Carbon Capture and Storage
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Current Commercial Technology
Slurry feed Refectory lined Quench available Not PRB capable
Slurry feedRefectory lined 2 Stage ???
Lock hopper feed Water cooled Syngas cooler PRB capable
at cost
Shell GE (Chevron Texaco)ConocoPhillips (E-Gas)
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Impact of Coal Type
1.00
1.05
1.10
1.15
1.20
1.25
1.30
1.35
1.40
5,000 6,000 7,000 8,000 9,000 10,000 11,000 12,000 13,000 14,000 15,000
Coal Heating Value, Btu/lb HHV
RelativeHeatRateorCapitalCost
IGCC Capital Cost (E-Gas)
IGCC Heat Rate (E-Gas)
PC Capital Cost
PC Heat Rate
WY PRBTX Lignite
Illinois #6
Pittsburgh #8
Source: EPRI
Any coal or biomass feedstock can be gasified
The issue is the econom ics!
Gasification is most efficient with low moisture, low ash
and high heating value feedstock's
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Issues for PRB
Indicative Cost of Electricity
0 5 10 15 20 25 30 35 40
Illinois coal
PRB Coal
Coal
Cost ($/MWhr)Capital Cost ($/MWh)
Other Fixed Costs ($/MWh)
Fuel Expense ($/MWh)
Variable O&M ($/MWh)
Capital cost disadvantage may be mitigated by fuel cost
Petcoke/PRB blends can be attractive New technology
DOE/Southern Transport Reactor Alternate slurry technology Commercial vendors have little ongoing development
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Polygeneration
Syngas is a prime petrochemical feedstockTraditionally produced byreforming natural gas
Natural gas from Syngas
Methane reformer CO + 2H2+ Catalyst
=> CH4+ clean up
Liquid chemicals from Syngas
Clean diesels
Methanol
Indicative breakevencurrenttechnology
Liquid Fuels $30 - $35 bbl
Synthetic natural gas - $5.50 - $7 /MBTU*
* Source DOE
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IGCC + CCS + Poly generation
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Barriers to IGCC Commercial Deployment
Cost 10-20% penalty for bituminous coal Traditional PC can meet current environmental standards IGCC financing costs higher than PC perceived risk
profile No reward for risk taking new plants largely being built
by regulated utilities Excess capacity in many regions - NGCC overbuild IGCC needs more project development than NGCC or PC
To date no standard IGCC design - this will change with GE
entry Lack of familiarity with IGCC in the power industry (it is a
chemical plant)
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Future Issues
Environmental regulation, community pressure, uncertaintyparticularly carbon
Sustained Federal research effort to resolve cost, reliabilityconcerns Especially on low-rank coals
Critical to establish viability and acceptability of carboncapture and storage e.g. FutureGen
Development of of integrated, optimized designs
GE/Bechtel ConocoPhillips/Fluor
Deployment incentives to overcome commercial penalty(e.g. incentives, production tax credits, etc)
Costs should come down as new plants are built and
improved designs become standard