Biocoal for Renewable Biomass Power GenerationBiomass ... · Hardgrove Grindability Index All...
Transcript of Biocoal for Renewable Biomass Power GenerationBiomass ... · Hardgrove Grindability Index All...
RD3 4RD3-4
Biocoal for Renewable Biomass Power GenerationBiomass Power Generation
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AcknowledgementAcknowledgement
Project funding provided by customers of Xcel Energy through acustomers of Xcel Energy through a
grant from the Renewable Development FundDevelopment Fund.
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Why Biocoal?Why Biocoal?
• Coal is the largest source of energy for electricity – $340B Global Market
• Coal use is expected to continue to grow for many years• Coal use is the second largest greenhouse gas source• Regulatory mandates to increase renewable energy and
curb greenhouse gas emissions• Large existing infrastructure and generation capacity
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– Over 1,200 coal powered plants in the U.S. alone
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Raw Biomass: ChallengesRaw Biomass: Challenges
• Pulverized coal power plant modifications required• Transportation and storage modifications required• Poor Hardgrove Grindability Index (HGI)g y• Propensity of raw biomass to rot• Pellets fall apart when exposed to moist environmentsp p• Relatively low bulk and energy densities
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OpportunityOpportunity
Opportunity for an industrial scale process technologythat produces a product from raw biomass that iscompatible with existing coal infrastructure and supplyp g pp ychains: Torrefaction
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BiocoalBiocoal• Torrefaction mild pyrolysis: 200 – 320° C without oxygen• Upgrades raw biomass into a coal-like substance or “biocoal”• Increased energy (30%) and bulk density• Increased grindability (HGI 2.5X) over raw biomass• Less biologically active – easier import / export
h d h b l k b l d l b b• More hydrophobic – lacks ability to readily absorb moisture• Leverages coal transportation and storage infrastructure
N h i l bi d i d d bi l
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• No chemicals or binders required to produce biocoal
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Project ScopeProject Scope• Develop, optimize and demonstrate a torrefaction and p p
densification (“biocoal”) process to improve storage capabilities, handling, usability and uniformity for the
d f bl b l d l hproduction of renewable baseload electricity, heat, or syngas.D l f d l d di f h• Develop a fundamental understanding of the underlying economics of the overall process from the field to post combustion ash analysis
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field to post combustion ash analysis.
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Fall 2008 Biomass CollectionFall 2008 Biomass Collection
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Pilot Scale (10 MT/Day) Mass Balance
HEAT RECOVERY GAS DRYING
BIOMASS: 641 KGS/HOURWATER: 641 KGS/HOUR
WATER: 641 KGS/HOUR
BIOMASS: 641 KGS/HOUR
TORREFACTION
TORREFIED BIOMASS417 KGS/HOUR
INERT GAS
TORREFIER OFF GAS VOLATILES: 224 KGS/HOUR
HEAT RECOVERY
DENSIFICATION
TORREFIED BIOMASSTORREFIED BIOMASS417 KGS/HR
COOLING MEDIUM
COOLING MEDIUM COOLING
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FINAL PRODUCT417 KGS/HR
TO CUSTOMERNOTE: Representation of10 MT / day pilot plant 7
Biocoal: Similar to CoalBiocoal: Similar to CoalBiocoal
(Corn Stover)Sub-Bituminous
Coal(Corn Stover) CoalCaloric Value (btu/lb.) 8701 8313Fixed Carbon (%) 26.8% 34.6%V l il (%) 64 6% 28 7%Volatiles (%) 64.6% 28.7%Ash (%) 7.6% 8.2%Sulfur (%) 0.1% 0.7%Moisture (%) 1.1% 28.5%Bulk Density (lbs/ft3) >45 >45Hardgrove Grindability Index >35 50
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Hardgrove Grindability Index >35 50All Values are on an "As Received" basis
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Pilot Scale Pulverized Coal Co-Firing TrialPilot Scale Pulverized Coal Co Firing Trial
• Successfully completed in August 2009• Tested torrefied and densifed corn stover• Co-firing at 10% & 30% with sub-bituminous coal• Flue gas composition (O2, CO2, CO, SO2, NOx)• Fouling potential through the use of fouling probesg p g g p• Heat flux measurements & electrostatic precipitator ash
collection
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Emissions Reduction vs Baseline (100% Coal)Emissions Reduction vs. Baseline (100% Coal)
SO2(lb/ b )
NOx(lb/ b )(lb/mmbtu) (lb/mmbtu)
10% Bi l (C S ) 17 0% 15 6%10% Biocoal (Corn Stover) 17.0% 15.6%
30% Biocoal (Corn Stover) 30.0% 28.3%
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Stoker Grate Co-firing Trials: District EnergyStoker Grate Co firing Trials: District Energy
• 10% trial successfully completed in March 201030% l f ll l d J l 2010• 30% trial successfully completed in July 2010
• Torrefied and densifed corn stover biocoal tested• Co firing at 10 & 30% ratio with high rank eastern sub• Co-firing at 10 & 30% ratio with high rank eastern sub-
bituminous coal• Flue gas composition (O2, CO2, CO, SO2, NOx)g• Boiler operating parameters (heat rate, over-fire, etc.)• Visual empirical inspection in stoker against baseline
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Emissions Reduction vs Baseline (100% Coal)Emissions Reduction vs. Baseline (100% Coal)
SO2(lb/ b )
NOx(lb/ b )(lb/mmbtu) (lb/mmbtu)
10% C S Bi l 11 7% 34 3%10% Corn Stover Biocoal 11.7% 34.3%
30% Corn Stover Biocoal 23.81% 41.30%
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Commercialization EconomicsCommercialization Economics• Production costs: $17.85 USD / ton• Feedstock costs: $132.83 USD / ton• Price of biocoal: $151.27 USD / ton (FOB Plant)
E i d i l l l i• Estimated commercial scale plant construction cost– $31.28 M USD (Year 2011) turn-key – without CHP system
150 000 ton / annum biocoal production capacity– 150,000 ton / annum biocoal production capacity– 60% debt – 40% equity capital structure– Interest Rate: 7.0% Debt / Required IRR: 15.0% Equity
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– Estimates do not include land or site improvement costs
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Biocoal Production CostsBiocoal Production Costs
% USD / Ton$ Raw Feedstock
32.6% $ 5.75 Utilities25 5% $ 4 50 Salaries & Benefits25.5% $ 4.50 Salaries & Benefits5.7% $ 1.00 General & Admin.18.1% $ 3.20 Main. Expense18.1% $ 3.20 Depreciation
100.0% $ 17.65 Costs$ 1 02 mmbtu
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$ 1.02 mmbtu
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Co-Firing Economic Sensitivity AnalysisCo Firing Economic Sensitivity Analysis
Negative Baseline Positive-20% -10% 0% +10% +20%
Biomass Price ($/ton) (1) $57.90 $65.14 $72.38 $79.62 $86.86Biomass Moisture (%) (2) 13.6% 15.3% 17.0% 18.7% 20.4%
Natural Gas ($/mmbtu) (3) $3.50 $3.94 $4.38 $4.82 $5.26Coal Delivered ($/mmbtu) (4) $1.51 $1.70 $1.89 $2.08 $2.27
Debt Interest Rate (%) (5) 5.6% 6.3% 7.0% 7.7% 8.4%Equity Required Rate (%) (6) 12.0% 13.5% 15.0% 16.5% 18.0%Biocoal Plant (M $USD) (7) $25.03 $28.15 $31.28 $34.41 $37.54
CO2 Value ($/MT) (8) $1.60 $1.80 $2.00 $2.20 $2.40SO2 Value ($/ton) (9) $13.27 $14.93 $16.59 $18.25 $19.91
NOX Value ($/ton) (10) $36.02 $40.53 $45.03 $49.53 $54.04Hg Abatement ($/lb.) (11) $26,776 $30,123 $33,470 $36,817 $40,164
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g ($ ) ( ) $ , $ , $ , $ , $ ,REC Value ($/MWh) (12) $2.00 $2.25 $2.50 $2.75 $3.00
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Sensitivity Analysis: 10% Co-FiringSensitivity Analysis: 10% Co Firing0.050
(¢/k
wh)
0.020
0.030
0.040
of E
lect
rici
ty (
0.000
0.010
ange
in P
rice
o
-20%-10%0%10%
Cha 10%
20%
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Economic Model Input Variables16
Est Yearly Emission Reductions: Sherco Unit #1Est. Yearly Emission Reductions: Sherco Unit #110% Co-Firing 30% Co-Firing
CO480,464 1,441,391 (tons)
CO2( )
10.3% 30.8% (%)
SO1,074 1,937 (tons)
SO2( )
15.8% 28.4% (%)
668 1,181 (tons)NOx
668 1,181 (tons)17.0% 30.0% (%)
9 28 (lb )
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Hg9 28 (lbs.)
5.2% 15.6% (%)
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Estimated Economic Impact: 30%Estimated Economic Impact: 30%• Investments: $156.4 million – debt and equity• Annual Payments to Minnesota Biomass Suppliers: $103.2 million• Direct Full-Time Jobs Created: 75+• Indirect Jobs Created: 75+ (Harvesting, Storage & Transport)J ( g g p )• Annual CO2 Emissions Avoided: 1,441,391 tons CO2
• Annual Renewable Power Generated: 1,306,485 MWh– Enough for 151,015 HomesEnough for 151,015 Homes
• Annual Increase in Residential Electric Customer Bill: $9.90• Average Price of Electricity for Xcel Customers: $0.07797
I i El i i P i 1 10%
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• Increase in Electricity Prices: 1.10%
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Project Results:Project Results:• Proved technical feasiblity of collecting corn stover biomass• Proved technical feasibily of continuous biomass torrefaction
and densification to produce biocoalP d bi l fi i h d d ifi i k• Proved biocoal finished product specifications meet known minimum requirements for use in pulverized coal boilers, stoker grates, and gasification systems
• Proved feasiblity and statistically relevant reductions in emission profiles during use in conversion technologies.P d i f ibl l i l i
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• Proved economics are feasible at lower inclusion rates at existing pulverized coal electricity production facilities.
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Project Conclusions:Project Conclusions:• Biocoal (corn stover), while some technical questions remain,
for the generation of renewable, near carbon neutral baseloadelectric power in existing pulverized coal electricity power generation facilities appears to be economically and technicallygeneration facilities appears to be economically and technically feasible at lower inclusion rates.
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Questions?Questions?
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Contact Information:
Kevin P. Grotheim, BSME, MBABepex International, LLC
333 Taft Street NEMinneapolis, MN 55413
+1 612 627 [email protected]
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