Nitrogen GasGeneration

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John Fyfe

CompAir FZE

Rastgar – Karachi 2016

Traditional Methods of Supply

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Traditional nitrogen supplies from typical gas companies

• Cylinder gas (single and manifolded cylinder packs -MCPs/Quads)

• Liquid nitrogen dewars (Mini Tanks)

• Bulk gas

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Cylinder gas – Individual cylinders• Individual cylinders

• Pressure : 180-300barg

• Typical capacity of 9m3

usable gas from a 230 barg cylinder

• Have to be chained in an outside store

• Often and auto change-over panel

• Difficult to transport –heavy

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Cylinder gas - Pallets• Manifolded cylinder pallet,

(MCP).

• 8-16 cylinders connected to common outlet

• Typical usable capacity of 150m3

• Storage pressure 180 to 300 barg

• Need fork-lift

• Change-over panel

• Normally at least 3 packs on-site – 1 empty, 1 in use and 1 full. Each charge rental.

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Mini bulk

Typical Sizes:

• 150, 200, 230, 950, 1500 and 2000 litres Liquid nitrogen @ minus 196 0C

• Re-filled on site from “cryotruck”

• 230 litre vessel = 140m3

usable gas

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Bulk gas

• Insulated vessel with evaporators

• Re-filled by tanker

• Located outside on concrete plinth to support weight

• Large stored volume for 1-2 weeks supply

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Traditional Supply Methods Summary

• Inconvenient

• Long term agreements

• You don’t know what you are getting

• Wasteful – Return to Gas Supplier gas that you have paid for.

• The most Expensive option.

The Future of Nitrogen Supply

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What is nitrogen gas?

• “A colourless, tasteless, odourless, inert gas that forms 4/5ths of the earth’s atmosphere”

A computer rendering of the nitrogen molecule N2.

How much nitrogen is in air?

• Nitrogen - 78%

• Oxygen - 20.9%

• Argon - 0.9%

• CO2 - 0.02%

• Other “rare” gases make up the balance Hydrogen, neon, helium, krypton and xenon

ARGON

OXYGEN

NITROGEN

The CompAir Alternative

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CN2 range Features and BenefitsFeatures Benefits

Highest efficiency, highest output nitrogen gas generator

Providing nitrogen gas at the lowest stable cost

Unique Energy Saving Technology (EST)

Minimised compressed air use, saving energy, money and the environment

Market leading low maintenance Long life technology; saving money, the environment and expensive factory down-time

Unique 5 year warranty The assurance of reliable gas supply to prevent expensive factory down-time

Unique industry compliance, food and pharmaceutical safe

Providing a third party validated industry compliant gas quality, ensuring process and product quality to preventexpensive product recalls

Gas quality control system Monitoring and controlling the gas parameters, to ensurehigh quality reliable gas to prevent expensive productionwaste and recalls

Remote monitoring Monitors the right gas quality from a central location toprevent expensive production waste and recalls

total

cost

time

Long term gas costs

Low initial cost but

high on-going costHigher initial cost

but lower on-going

gas cost

Highest initial

cost but lowest

on-going cost

Who can benefit from this technology?

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Where do we sell Nitrogen gas generators?

Pharmaceutical, Universities & Research

• Centralised system to feed a ring main supply for laboratories or other applications.

• Chemistry labs

• LC/MS suites,

• Spray drying

• Chemical engineering

• Hypoxic chambers.

• Purities : 10PPM to 5% +17

Pharmaceutical

• Primary product manufacturing –– Blanketing reactor vessels

– Blanketing product

– Product push through pipe-work

• Finished product– Filling

– Packing

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Pharmaceutical grade Nitrogen

• EIGA specification

• FDA Article 21

• CompAir N2 Generators independently tested by UKAS laboratory.

• Compliant with both.

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Food Industry: Why are gasses used?

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To reduce food waste at the retailer and consumer by

extending food shelf life via Modified Atmosphere

Packaging MAP

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Modified Atmosphere Packaging

• Food lasts longer

• Looks better

• Keeps taste

• Allows transportation

• It helps slow down bacterial growth and other spoilage mechanisms

Market segmentation

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N2 gas

Edible Oils

Nitrogen gas purity: 0,5% O2

Liquids

Nitrogen gas purity: 0,5% O2

Dairy & Grated Cheese

Nitrogen gas purity: 0,1%-0,5% O2

Dried Foods and Snacks

Nitrogen gas purity: 0,5%O2

(Coffee, Milk powder, Cocoa: 0,1-0,5%O2)

N2/CO2

gas mix

Bakery Products

Nitrogen gas purity: 0,1%-0,5% O2

Fresh Chilled Pasta

Nitrogen gas purity: 0,1%-0,5% O2

Cheese blocks/ sliced

Nitrogen gas purity: 0,1%-0,5% O2

Convenience foods

Nitrogen gas purity: 0,1%-0,5% O2

Raw Meat

Nitrogen gas purity:0,1% O2

Cooked and Dressed Vegetables

Nitrogen gas purity: 0,1%-0,5% O2

Cooked fish & Shellfish

Nitrogen gas purity: 0,1%-0,5% O2

Raw Fish & Shellfish

Nitrogen gas purity: 0,1-1,0% O2

Cooked Meat

Nitrogen gas purity: 500ppm – 0,5% O2

N2/ O2/ CO2

gas mix

Fresh Fruits & Vegetables

Nitrogen gas purity: 0,5-1,0% O2

Raw Fish & Shellfish

Nitrogen gas purity: 0,1-1,0% O2

O2/ CO2 gas mix

Raw Meat

TARGET

Specification for food grade nitrogen

• What is food grade Nitrogen?

• Is ultra low oxygen necessary?

• European Industrial Gases Association – EIGA / JECFA

• Directive 89/107/EEC

• Specification for Nitrogen used on or in products “ingested by humans”

• Nitrogen – E941

• Document – 125/06 refers

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PSA and EIGA food grade gas specification

• Typical PSA nitrogen gas generator purity specification

• Test results from independent UKAS test laboratory

• Also fully complies with FDA Article 21 for material compatibility

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Component Standard N2

E941

GD N2 PSA

Achieved

Assay EC >99% 99.15%

Inert Gas

Odour EC

Moisture EC <0.05% <0.01%

CO2 EC 1.12ppm

CO EC <10 vppm < 1ppm

NO/NO2 EC <10 vppm Below

detection

<0.5ppm

THC EC <100 ppm Below Limit

of Detection

Residual

Gases (O2)

EC 1% O2 0.85%

CompAir

CompAir Nitrogen Generating – The Benefits

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Typical cost comparison

To calculate payback depends on local market conditions, typical example

• Liquid costs comprise:– 37 PKR per m3 for the nitrogen gas (20m3/hr)

– 740,000 PKR rental for tank and ancillary equipment

– 5000 PKR per delivery (50 deliveries per annum)

– 10% Boil off 326000PRK per annum

• ∴ annual costs are – gas 20m/hr x 37 PKR x 4,400 hours = 3,260,000 PKR

– rental 740000 PKR = 740,000 PKR

– delivery 50 x 5000 PKR = 260,000 PKR

– Boil off = 325,000 PKR

– Total = 4,600,000 p/y

CN2 typical capital costs example

To produce 20Nm3/hr Nitrogen at < 0.5% O2

• Generator costs comprise:

2,900,000 PKR CN2- 35P Nitrogen Generator

500,000 PKR Pre-treatment system

592,000 PKR Buffer tanks and ancillary pipe work

4,000,000 PKR Total

Typical Capital cost 1st year assuming above flow and purity *

CN2 running costs example

To produce 20Nm3/hr Nitrogen at < 0.5% O2

• Generator requires:– Compressed air of 68Nm3/hr at 7 barg

– To produce 1 Nm3 of air you require 0.111 kw/hr of power

– 68Nm/hr of air x 0.111 kw = 7.54 kw/hr

– 7.54kw/hr x 4,400 hours = 33,176 kw per annum

– Assuming 11 PKR per kw/hr electricity cost this would give a running cost of 390,000 PKR per annum

– Servicing costs 140,000 PKR per annum

– Total Operating Costs 530,000 PKR

Liquid cost 4,600,000 PKR p.aGenerator cost 4,600,000 PKR incl 1st year running costs

Payback 4,600,000 PKR = 1.0 year4,600,000 PKR

PKR

Year

Typical Payback Example

1 2

3700K

7400K

11100K

14800K

3

Annual cost 4,600,000

3 year cost 13,700,000

Annual cost incl. maintenance 530,000

3 year cost incl. capital 5,600,000

Generator

CompAir Nitrogen Generating – Questions

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Al Shaihani – Snack Food Company

Muscat - OMAN

Case Study Al Shaihani - Oman

• Bulk Liquid Supply

• Flow rate 307m3/hr

• 0.5%

• Approx cost $0.2 per m3

• 3 times weekly

• Evap rental $500 per month

• Approx $100 month handling fee

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Company: Al Shaihani – Snack Food Company

One of the largest Snack Food producers in the Middle East

More than 80% of their products are Exported out of Oman (GCC)

Currently a Gardner Denver Customer (8 Compressors)

But also a user of all other Compressor Brands

Problem: More than 40% of all product is wasted due to oxidation during shipping,

Solution: Nitrogen to displace Oxygen would prevent Oxidation

Requirement

37 Filling lines equating to

Flow: 307nm/hr Nitrogen

Purity: 99.5% (0.5%)

Pressure: 7.5barg

CompAir Differentiation

Support Local (Oman)

Spares Local (Oman)

Warranty 5 years

Brands CompAir

Pipe Work Transair

Commissioning CompAir

Payback - Less than 1 year!!

In Summary

Proposal

Post Commissioning

Post Commissioning

CompAir – the only compressor company in the world to save you more money than you will ever

spend with us…..

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Thank you!

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