may 14 th 2009 calera corporation sequestering co 2 in the built environment

May 14th 2009

Calera Corporation

Sequestering CO2 in the built environment

2

Carbon cycle: Most of the carbon is sitting the form of carbonate rock

Calera Corporation

CO2

(Ca, Mg)CO3

Fossil Fuels: All fossil fuels = 4,000 B tons CO2

11B tons of CO2 emitted by power and cement industry per year Kyoto requires a reduction of 5B tons of CO2

conversion

Atmosphere:1700’s: 400 B tons CO2

Today: 700 B tons CO2

The built environment:32B tons of cement and aggregate used every year

Sedimentary Rocks & marine sediments:70-100 million B tons CO2

3

23 years of cement expertise, 3 successful medical device ventures founded and sold, worldwide penetration of high performance products

Calera Corporation

4

World class team with international expertise in Energy, Geology, Water, and Building Materials

Calera was founded in June 2007, by Brent R. Constantz, Ph.D. Calera has been funded by its unique investor Khosla Ventures

Top talent with credentials•70 people•18 PhD•14 MS•5 MBA•2 JD, 3 patent agents, 1 paralegal

Collective experience•Collectively built large scale projects in 15 countries around the world•Upwards of 100 SPE’s•Over 100 patents

Management Team•Successful entrepreneurs•Public company execs•Power, geology, water and building materials

Investors and Advisors•Khosla Ventures•Scientific Advisory Board•Carbon Advisory Board•Specialty Technical Advisory BoardCalera Corporation

5

Reactor

Flue gas

Cement &Aggregate

Fresher Water (stripped of Ca & Mg)

Saline Water

Power plant

The Calera Process: Mineral Carbonation

Calera Corporation

6

Coal is the problem to solve, however the cost of CCS for fossil fueled power generation remains prohibitive

95% - 100% 20% - 40% 10% - 15% 4% - 10% -

500

1,000

1,500

2,000

2,500

3,000

$-

$10

$20

$30

$40

$50

$60

$70

$80

$90 Quanity Cost

Mole Fraction of CO2 in Emission Stream

CO

2 E

mis

sio

ns

(M

T/Y

r)

Co

st

to C

ap

ture

& S

tore

CO

2

($/(

MT

CO

2))

95%-100% 20% - 40% 10 %– 15% 4% - 10%1) CO2 from Ethanol

Fermenters2) CO2 from steam reforming

at Refineries, Ammonia Plants, SNG Plants,

3) CO2 Separated from sour natural gas

1) CO2 from Cement Calcination2) Other chemical plants

1) Coal Fired power plants2) Oil & diesel generators

1) Natural gas fired power plants

2) Furnaces, small boilers, etc.

Quantity

Source: Natcarb - EIA - IPCC Special Report on Carbon Capture and Sequestration - Kurt House Analysis (MIT)

Calera Corporation

7

Novel technologies and integrated design allow for beneficial reuse atglobal industrial scale

Benefits of integrated solution: Lower capex and opex Partnering with top equipment suppliers and EPC firms to design for low

cost and large scale from beginning Modular plant design allows for rapid deployment worldwide and added

Intellectual Property protection

Breakthroughs:- Maximized

absorption efficiency with low energy use

- Mineral loading- Multi-pollutant

capture

Breakthroughs:- Novel chemistry- Novel material

science producing undefined polymorphs with cementitious properties

- Industrial scale and economics

Breakthroughs:- Ability to control

particle size and material density

- Reuse of waste heat

Absorb Precipitate De-water Dry/Produce

Calera Corporation

8

Calera technology is mature and ready for a demo scale project

Laboratory, Small Batch and Large Batch Scale– Has established the ability to efficiently capture and convert to mineral

carbonate with seawater and waste base sources– Generating 5 tons of product capturing 2.5 tons of CO2 per single batch

Pilot– Establishes continuous process at 1 ton per day of product (0.5 tons of CO2

from coal fired boilers– Will test efficiency and integration of individual process technologies – Testing on pulverized coal flue gas and site specific conditions and

materials

Demo– Takes flue gas from 20MW to 80MW of coal fueled host plant– Scales up in segments / modules

KPI hurdle

KPI hurdle

Pilot(Moss Landing)

Demonstration(20MW)

Full ScalePlant(s)

Chemistry, Laboratory and Batch Processes

Calera Corporation

9

CA pilots validate process, product and environmental feasibility

Pilot plants running large scale batch and continuous processes Flue gas simulator – Ability to test any type of coal and flue gas composition Producing material for product development and testing Demonstration of waste mineral utilization Monterey Bay Marine Sanctuary requires highest level of environmental

performanceMoss Landing Power Station

>1000 MW base load>1500 MW peaking

Fuel: Natural GasOperator: Dynegy

Calera Pilot andGlobal R&D150,000 sqft covered200 acres total60m gpd discharge permit

5m tons of mineral waste

Calera Corporation

10

Moss Landing Pilot Plant - Process Flow

Gas to LiquidAbsorber

AbsorberPump

RecirculationPump

InducedDraftFan

CO2 DepletedFlue Gas

BaghouseCoal

Air

PulverizedCoal

Hopper

Coal FiredBoiler Simulator

ForcedDraftFan

Screw Feeder

PrecipitatorWith

Pax Agitator

DewateringFeed Pump

Epuramat 1500

Water to Treatment

Wet Mill

Spray DryerFeed Pump

CementAggregate

Spray Dryer

Seawater

Moss Mag/Dolime

Moss Mag

SeawaterPump

Base FeedPump

Calera Corporation

11


Coal

Air

Seawater

Moss Mag/Dolime

PulverizedCoal

Hopper



PrecipitatorWith

Pax Agitator

Moss Mag

ForcedDraftFan

SeawaterPump

Base FeedPump

DewateringFeed Pump

Dewatering Wet Mill


AbsorberPump

RecirculationPump

InducedDraftFan


CementAggregate

Water to Treatment

Screw Feeder

Baghouse

Spray Dryer

Calera Corporation

12

Moss Landing Pilot Plant – Coal Boiler Simulator

Coal Fired Boiler Simulator (CFBS)

• Simulates time-temperature combustion history of full-scale utility boilers

• Capable of burning pulverized coal from anywhere in the world

• Capacity 1 MMBtu/hr• Generates flue gas

composition and temperature identical to full scale

Calera Corporation

13

Moss Landing Pilot Plant

Seawater Feed and Base Addition SystemsProvides continuous supplies of seawater and solid base to the process

Calera Corporation

14


Coal

Air

Seawater

Moss Mag/Dolime

PulverizedCoal

Hopper


Gas LiquidAbsorber

PrecipitatorWith

Pax Agitator

Moss Mag

ForcedDraftFan

SeawaterPump

Base FeedPump

DewateringFeed Pump

Dewatering Wet Mill


AbsorberPump

RecirculationPump

InducedDraftFan


CementAggregate

Water to Treatment

Screw Feeder

Baghouse

Spray Dryer

Calera Corporation

15

Moss Landing Pilot Plant – Gas Liquid Absorber

NSG PureStreamTM AbsorberHigh efficiency compact CO2 capture technology utilizes planar liquid jet technology.

CEMS

Calera Corporation

16


Coal

Air

Seawater

Moss Mag/Dolime

PulverizedCoal

Hopper



PrecipitatorWith

Pax Agitator

Moss Mag

ForcedDraftFan

SeawaterPump

Base FeedPump

DewateringFeed Pump

Dewatering Wet Mill


AbsorberPump

NeumannRecirculation

Pump

InducedDraftFan


CementAggregate

Water to Treatment

Screw Feeder

Baghouse

Spray Dryer

Calera Corporation

17

Moss Landing Pilot Plant

PrecipitatorPrecipitates absorbed CO2 into solids

Calera Corporation

18

Moss Landing Pilot Plant – Systems

Solid-Liquids SeparatorPrecipitates absorbed CO2 into solids and separates supernatant.

Calera Corporation

19


Coal

Air

Seawater

Moss Mag/Dolime

PulverizedCoal

Hopper



PrecipitatorWith

Pax Agitator

Moss Mag

ForcedDraftFan

SeawaterPump

Base FeedPump

DewateringFeed Pump

Dewatering Wet Mill


AbsorberPump

NeumannRecirculation

Pump

InducedDraftFan


CementAggregate

Water to Treatment

Screw Feeder

Baghouse

Spray Dryer

Calera Corporation

20

Moss Landing Pilot Plant – Systems

Wet Mill and Spray DryerModifies particle size and shape of precipitant and then dries final product.

Calera Corporation

21

Multi-pollutant Robustness and Control Potential

In Calera Process SO2 is absorbed in alkaline liquidand converted to sulfate

In Calera Process SO2 is absorbed in alkaline liquidand converted to sulfate

Actual retrofit costs can vary significantly due to complexity of engineering for existing systems configurations

Calera Process not sensitive to presence of other pollutants

Calera Process not sensitive to presence of other pollutants

Calera Corporation

Retrofit CapEx Costs *

SO2 ~ $ 325/kW - $ 450/kWNOx ~ $ 225/kW - $330/kWHg ~ $36/kW - $ 42/kWTOTAL ~$ 586kW - $822/kW

Retrofit CapEx Costs *

SO2 ~ $ 325/kW - $ 450/kWNOx ~ $ 225/kW - $330/kWHg ~ $36/kW - $ 42/kWTOTAL ~$ 586kW - $822/kW

(*)Sources: Sargent & Laundy (2007), DOE, Hoskins 2008 & PNM SJGS BART Analysis

22

Base Case Process Flow Diagram

Flue Gas In

Brine In

Base Manufacture

Natural, Waste Base Processing

CO2 Capture

Precipitation

Base Recovery Product

Processing

Calera Corporation

23

Mass and Energy Balance – Base Case Site

Coal for 200 MW

2,900 kta mineral

800 kta fly ash

780 m3/h brine(5.9 MGD)

188 MW power 402 kta CO2 emitted

2,336 kta Carbonate-rich

Aggregate

123 kta Cement

938 kta CO2 captured (70%)

PowerPlant

CaleraPlant

12 MW Sale

4,398 kta solids

1,938 kta Silica-rich

Mineral Residue(potential for

aggregate, other)

Calera Corporation

24

Mass and Energy Balance – Generation 2 Site

Coal for 200 MW

2,213 kta mineral

402 kta fly ash

41 kta salt(95% recovery)

<120 m3/h brine(<1 MGD)

160 MW power 402 kta CO2 emitted

2,183 kta Carbonate-rich

Aggregate

115 kta Cement

938 kta CO2 captured (70%)

PowerPlant

CaleraPlant

40 MW Sale

3,683 kta solids

1,485 kta Silica-rich

Mineral Residue(potential for

aggregate, other)

Calera Corporation

25

Go to market strategy: the business model relies on revenue streams

Project development co-invested with site host (CO2 emitter) Cooperating closely with cement, materials and architecture companies

Calera builds, owns and operates carbon capture facilities• Shared ownership with power, cement

and water partners

A partnership driven approach• Market entry will begin with most

progressive companies and regions, especially situations where carbon mitigation has high value

• Flexible technology allows broad range of sites

• Localized sourcing to suit range of sites and situations

Positioning: cost effective, low risk• Sustainable, stable and benign reuse of

CO2

• Low capex, partnership with EPCs• Several revenue streams:

• Product sales ($/ton-product)• CO2 off-take agreements ($/ton-CO2)• Off-take agreements for regulated

pollutants ($/ton-pollutant)

Products: Pipeline development• Carbon negative product pipeline to fit

needs for more sustainable building material

• Product distribution is very localized with high infrastructure needs

• Calera is partnering with cement companies, water suppliers and others in supply chainCalera Corporation

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Cement & CO2

Source: EPA 2004, International Energy Agency July 2008

Approximately 1 ton CO2 for each ton of cement

(Range 0.7 – 1.1)

Cement is inherently a heavy CO2 emitting process (since 1824)

Calera Corporation

27

Calera Business Model: Sequester CO2 from emitters and avoid CO2 emitted in the traditional making of concrete

Calera business model generates several revenues streams: – Building materials manufactured and sold– Carbon monetization of CO2 sequestered and avoided

– Softened water for RO

Calera generates revenue from providing carbon emissions solutions:– CARBON EMISSIONS REDUCTION:

• Power generation (~25% of worldwide emissions) and cement production (~7% of worldwide emissions) by converting CO2 into stable building materials

– CARBON EMISSIONS AVOIDED: • Displacing conventional concrete mix components with carbon neutral (or better)

materials• Reducing by 50% the energy demand for desalination process

Calera Corporation

28

Footprint = - 0.25t CO2/tMitigates fly ash

Calera is developing a line of carbon negative building materials being tested against existing industry standards for large markets

Carbonate Mineral SCM

(CM-SCM)

Reactive Carbonate Pozzolan (RCP)

Synthetic Aggregate (SA)

• Cement Displacement • Up to 20% of cement

blend

• Testing against ASTM C 1157 – Standard Performance Specification for Hydraulic Cement

• Replaces all sand and aggregate

• Adjustable particle size

• Testing against ASTM C 33 – Standard Specification for Concrete Aggregate

Footprint = - 0.5t CO2/tFootprint = - 0.5t CO2/t

~$25B ~$25B~$330BWorldwide market size:

• High performance, high value concrete

• Up to 50% of cement blend

• Testing against ASTM C 1157 – Standard Performance Specification for Hydraulic Cement

First 3 products:

Calera Corporation

29

Product Development Time

Sand &Aggregate3Bt

5 years1 year

$/ton

100

60

10

SCM 24Mt

Cement120Mt

Bricks20Mt

Drywall20Mt

Masonry Cement

4Mt

4 years3 years2 years0

Mineral Filler100Mt

Light Weight Agg.

200Mt

Concrete Blocks 50Mt

Soil Stabilization

100Mt30

Calera Mineral Carbonate can address a variety of large markets

U.S. MarketGlobal Market = ~10X

Calera Corporation

30

Similar to shipping coal– Cost + business model proven

Other factors to consider– Long term contracts– Offloading– Handling

Transportation considerations are important

Trucking

Barges

Rail

Coal and Chemicals are top rail categories by revenue

Calera Corporation

31

Concrete Carbon Footprint Calculator

Introduced at World of Concrete 2009by Calera Corporation

Calera Corporation

32

Carbon Footprint Basic Calculation

xPounds of Ingredient

Concrete Carbon

Footprint

Embodied CO2 of

Ingredient (per cubic yard)

sum all ingredients

First Carbonate Mineral concrete – July 2008

Calera Corporation

33

Embodied CO2 of Concrete Materials

Production TransportationEmbodied CO2 Per

Ingredient+ =

ton CO2 / ton material

Cement

Fine Aggregate (sand)

Fly Ash

Water

Coarse Aggregate (gravel)

0.86

0

0

0

0

0.016

0.01

0.045

0.013

0.013

0.876

0.01

0.045

0.013

0.013

Calera Corporation

34

Carbon Capturing Building Materials

Embodied CO2 Per

Ingredient

ton CO2 / ton material

Calera SCM

Calera Fine Aggregate

Calera Coarse Aggregate

- 0.50 0.05 - 0.45

- 0.45

- 0.45- 0.50

- 0.50

0.05

0.05

Production Transportation

+ =

Calera Corporation

35

Ordinary Concrete emits ~537lb CO2 / yd³ concrete

Ingredient lb CO2 / lb ingredient

lb ingredient / yd³ concrete

lb CO2 / yd³ concrete

Portland Cement

0.876 564 494.1

Water 0.01 282 2.8Fine

Aggregate0.013 1,300 16.9

Coarse Aggregate

0.013 1,800 23.4

TOTALS 3,946 537

Net CO2 Emissions Per Cubic Yard

100% OPC

Calera Corporation

36

0

100

200

300

400

500

600

Cement

Water

FineAgg.

Coarse Agg.

Total537 lb CO2

Net

CO

2 Em

issi

ons

(lb

)

Per Cubic Yard

Net CO2 Emissions of Ordinary Concrete

Calera Corporation

37

Use of high volume fly ash mix (50%) can help reduce to some extent the carbon footprint of concrete




Portland Cement

0.876 282 247.0

Water 0.01 271 2.7Fine

Aggregate0.013 1,225 15.9

Coarse Aggregate

0.013 1,800 23.4

Fly Ash 0.045 282 12.7TOTALS 3,860 302

Calera Corporation

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…but has some performance and workability problems

0

100

200

300

400

500

600

Total302 lb CO2

50% High Fly Ash Mix

• 44% Reduction in carbon footprint from traditional concrete OPC

• BUT Slower strength gain

Net

CO

2 E

mis

sio

ns

(lb

)

Cement

WaterFineAgg.

Coarse Agg.

Fly Ash

Calera Corporation

39

Carbon Capturing Concrete

Carbon Capturing Mix20% Calera SCM, 20% Fly Ash used as cement replacement

-100

0

100

200

300

400

500

600

Total

293 lb CO2

Net

CO

2 E

mis

sio

ns

(lb

)

Compared to 50% fly ash:

• Similar carbon footprint reduction

• No strength gaining issues

• Improved working propertiesWater

Fly Ash

Cement

Calera SCM

FineAgg.

Coarse Agg.

Calera Corporation

40

Carbon-Neutral Concrete

Carbon-Neutral Mix with 100% OPC, using mostly Calera fine aggregate

-600

-400

-200

0

200

400

600

Total

0 lb CO2

Net

CO

2 E

mis

sio

ns

(lb

)

Water

Cement

Calera Fine Agg.

FineAgg.

Coarse Agg.

Opportunities for cement companies to partner with Calera to manufacture “green & sustainable concrete” while maintaining their cement sales

Calera Corporation

41

Carbon-Neutral Concrete

Carbon Neutral Mix with High OPC Replacement

& Improved Working Properties

-600

-400

-200

0

200

400

600

Net

CO

2 E

mis

sio

ns

(lb

)

Total

-0 lb CO2

20% SCMA20% Fly Ash

•Replace a portion of fine aggregate with Calera Fine Aggregate

•Improved working properties

•No strength gaining issues

WaterFly Ash

Cement

Calera Fine Agg.

Calera SCM

FineAgg.

Coarse Agg.

Calera Corporation

42

“Negative-carbon” Concrete




Portland Cement

0.876 338 269.1Water 0.01 271 2.7

Fly Ash 0.045 113 5.1Calera SCM (0.450) 113 (50.9)Calera Fine

Agg.(0.450) 1,250 (562.5)

Calera Coarse Agg.

(0.450) 1,800 (810.0)TOTALS 3,885 (1,146)

Calera Corporation

43

Calera allows for carbon negative concrete mixes which sequester AND avoid CO2

-1200

-1000

-800

-600

-400

-200

0

200

400

600

Total:

Water Fly Ash

Cement

Calera Fine Agg.

Calera SCM

Calera Coarse Agg.

- 1,146 lb CO2/yd3 of concrete

Net

CO

2 Em

issi

ons

(lb

)

Reference Ordinary Concrete

537 lb CO2/yd3 of concrete

Net CO2 avoided = 1,683 lb CO2

Mix design:20% Calera SCM100% Calera Fine Agg. 100% Calera Coarse Agg.

Source: Calera analysis

Calera Corporation

44

-1200

-1000

-800

-600

-400

-200

0

200

400

600

Calera’s value proposition

Economically viable CO2 control solution (avoided cost of allowances)

Carbon negative concrete (offsets revenue streams + products sales)

537 lb CO2/yd3 of concrete

Water Fly Ash

Cement

Calera Fine Agg.

Calera SCM

Calera Coarse Agg.


Net

CO

2 Em

issi

ons

(lb

)


Carbon negative concrete (CO2 avoided)

CO2 control solution (CO2 conversion)

+

+Sales of carbon negative

concrete

Value streams

Calera Corporation

45

Calera Net CO2 Avoided (Capture – Emissions + Displacement) can be more than 100% of CO2 emitted by power plant

Conservative life cycle analysis shows total CO2 avoided is higher than the total emissions of the power plant by ~7%

Alternative cases show scenarios of up to 40% above total 3rd party studies in progress with Harvard/MIT and others

7% >> up to 40%

Calera Corporation

46

To maximize revenue from CO2 solutions, Calera has initiated an effort to quantify, verify and certify the carbon footprint of its technology

Capture CO2- Performance

- Continuous Process

Monitor- Tracking technology

- Mass Balance Analysis

Quantify- Write methodology

- Apply as a new protocol

Monetize- Bank/trade

- Retire

Certify- Registry selection- Registry approval

Verify- 3rd party verifier audit

Calera has engaged leading carbon markets experts(Carbon Advisory Board – Carbon Symposium)

Pilot runningInstrumentation and analytics in place

Carbon life cycle analysis

Next steps

Source: Calera analysis

Calera Corporation

47

Calera is a mature, profitable and sustainable solution to climate change

Calera Pilot andGlobal R&D

(Ca, Mg)CO3

-1200

-1000

-800

-600

-400

-200

0

200

400

600

A financeable project with revenue streams

The largest natural storage of CO2

A continuous process proven at pilot facility

The first carbon negative concrete

WaterFly Ash

Cement

Calera Fine Agg.

Calera SCM

Calera Coarse Agg.



Net CO2 Emissions (lb)

Carbon negative concrete

(CO2 Avoided)

+CO2 control solution

(CO2 conversion)

+ Sales of carbon

negative concrete and softened water

Calera Corporation

48

Endorsements

“You really ought to be able to replace most of the world’s need for cement, with the by-product of sequestering most of the world’s power plant emissions of CO2 - that would be game changing”

- Carl Pope, President, Sierra Club

“Calera’s process for creating cement from sequestering the CO2 from power plants is the most promising approach currently on the table”

- Marcia McNutt, President and CEO, Monterey Bay Aquarium Research Institute“The Calera process shows great promise for green cement and sustainable concrete”

- Paulo Monteiro, Phd., Professor, Author of Concrete

“Calera’s products, including cementitious materials and aggregates, are of great interest to the building industry as well as governmental agencies.

- Gottfried, Founder: U.S. and World Green Building Councils

“The ability of your process to capture of particulates, nitrogen oxides, sulfur dioxide, mercury, and other pollutants will give utilities an opportunity for one stop shopping as they face multiple emission‐reduction challenges.” - Thomas B. Carter, Senior Vice President, Government Affairs, National Ready Mixed Concrete Assn.

“The Calera product not only provides an appropriate repository for CO2, but can be used further for something constructive.”

- James R. O’Neil, Prof. Emeritus, University of Michigan and 2004 Goldschmidt Medalist “My view is their ideas are creative and demand careful debate and demonstration projects to see what they can do at large scale. Could be a significant new way to help us invent our way out of some the climate change problems we're facing.”

- Professor Stephen H. Schneider, Stanford University

Calera Corporation

may 14 th 2009 calera corporation sequestering co 2 in the built environment

Documents

calera process

mw of coal

pulverized coal flue

calera technology

b tons of cement

tons of product

dynegy calera pilot

power plants