LARTC Presentation Final

Latin American Refining Technology Conference

Biomass to Transportation Fuels via IH2 Technology

Celeste McLeod CRI Catalyst Company, Houston, Texas, United States

Terry Marker, Larry Felix, Martin Linck, Michael RobertsGas Technology Institute, Des Plaines, Illinois, United States

04/15/2023 Latin American Refining Technology Conference

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Disclaimer

The information contained in this material is intended to be general in nature and must not be relied on as specific advice in connection with any decisions you may make. None of CRI/Criterion Inc or any of its affiliated companies are liable for any action you may take as a result of you relying on such material or for any loss or damage suffered by you as a result of you taking this action. Furthermore, these materials do not in any way constitute an offer to provide specific products or services. Some products or services may not be available in certain countries or political subdivisions thereof.


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Latin America

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• A Leader in 1st Generation Biofuel Implementation

• Majority of countries have mandatory blending of ethanol and/or biodiesel

• Research on cellulosic ethanol in certain counties, Brazil, Colombia, Argentina…

• No mandates for 2nd Generation Biofuels


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IH2 Technology Points Covered

• IH2 Technology & Differentiation • Product Quality • Economic synergy from integration with existing operations• Commercialization Status

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IH2 Design Principles

• Produce fungible cellulosic hydrocarbon fuel/blend stock from a broad range of inedible/residual biomass feed at low cost

• Requires no infrastructure other than road/rail transport into and out of the production site

• Have minimal impact on the surrounding environment



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IH2 Technology Design Elements

• Feed Conditioning Unit:– Sized, mixed and dried to moisture contents between 10-45wt%

• 1st Stage Catalytic Hydropyrolysis Reactor (bubbling fluidized bed)

– Biomass meets catalyst and H2 at ~400C to remove >90% oxygen

• Hydrogen Manufacturing Unit (HMU)

– Converts C3- gases to renewable H2 sufficient to meet all requirements

• Hydroconversion Reactor (low pressure fixed bed HT) – 1st stage product ‘polished’ over a second catalyst system


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AdvantagesStand Alone or Synergistic OperationFeedstock Flexible

DifferentiatorsExothermicLow Capital (low pressure, low TAN, simple)Low Operating costsHydrocarbon Yields 80-160 gal/ton MAFSelf-sufficient internal “green” H2

>90% Green House Gas reduction* Eases logistical constraints (H2)High BTU HC (blend stock & ‘drop in’)Replaces ‘whole barrel’ gas/jet/dieselFungible in Fuel PoolAttractive economics Integrating existing technologies Rapid implementation

2) Bubbling Fluidized Bed Proprietary Catalyst

Renewable H2

340-470C<500psig

1) Feed ConditioningSizing , Drying & Feeding

Hydropyrolysis Hydroconversion

4) Fixed Bed Hydrotreater

Proprietary CatalystRenewable H2

<500psig

HDO’d Liquid

3) Renewable H2Light Gases

Cellulosic Hydrocarbon

Product

Hi Press Steam

Hot Water

N/S stream for Fertilizer

Char (burn)

Green CO2

Ag Residue

Wood/Forest Residue

Garbage (MSW)

Energy Crops

Algae

Gasoline, Jet and Diesel

Range Hydrocarbon

IH2 Technology Advantages & 11 Key Differentiators

* IH2 technology LCA Analysis conducted by Prof. Shonnard, et al Michigan Technical University; Feed stock dependent

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IH2 Liquid Yields and Feedstock FlexibilityWood PetroAlgae

LemnaAquaflow

Micro AlgaeBagasse Blue Marble

Macro AlgaeCorn Stover

Feed wt % C 49.7 46.3 43.1 43.1 34.0 40.2

Feed wt % H 5.8 5.8 6.1 5.0 4.43 5.0

Feed wt % O 43.9 35.7 20.4 35.3 23.6 35.7

Feed wt % N 0.11 3.7 6.5 0.34 4.6 1.0

Feed wt % S 0.03 0.3 0.7 0.10 1.9 0.05

Feed wt % Ash 0.5 8.2 23.1 16.2 29.4 18.1

Feed H/C 1.40 1.50 1.70 1.39 1.56 1.49

Typical % C4 + Liquid Yield (MAF)

28 30 46 30 35 21

C4+ Gallon/Ton MAF

92 100 157 100 119 67

Wt % Oxygen* <1 <1 <1 <1 <1 <1

TAN # <0.05 <0.05 <0.5 <0.05 <0.05 <0.05


IH2 Technology Product Property Comparison

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Fast Pyrolysis Oil IH2 product

% Oxygen 50 <1.0

% Water 20 <0.2

TAN 100 <1

Stability poor Good

Heating value (Btu/lb) 6560 18000

% Gasoline Non-distillable 54-75

% Diesel Non-distillable 23-46

Compatibility with hydrocarbon refinery products

No Excellent


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• Full Stand Alone

• Economically Integrated– Pulp & Paper / Forest Products– 1st Generation Ethanol– Algae– Refining– (Municipal Solid Waste)

IH2 Technology Operating Modes


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Renewable H2

340-470C<500psig





<500psig

HDO’d Liquid



Product

Hi Press Steam

Hot Water


Char (burn)

Green CO2

Ag Residue

Wood/Forest Residue

Garbage (MSW)

Energy Crops

Algae


Range Hydrocarbon

IH2 Technology Synergy - Pulp & Paper / Forest Products

Consumes various feedsslashround wood chipssaw dust mill sludgesmixed feeds

Improved site margins conversion of low cost feedsland fill/other cost avoidanceexport HP steam to millliquid hydrocarbon for sale or use

IH2 derived fuel 96% GHG Reduction*

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Renewable H2

340-470C<500psig





<500psig

HDO’d Liquid



Product

Hi Press Steam

Hot Water


Char (burn)

Green CO2

Ag Residue

Wood/Forest Residue

Garbage (MSW)

Energy Crops

Algae


Range Hydrocarbon

Consumes cellulosic residuesbagassestovermixed feeds

Improved site margins conversion of low cost feedshigher value use of celluloseexport steam offsets use of celluloseprevent market surplus DDGSprovides liquid fertilizer for usecellulosic hydrocarbon for sale or use

Reduces site average C.I. of alcohol madeU.S. Department of Energy:

Corn ethanol averages 19% reductionCane ethanol averages 78% reduction

IH2 derived fuels 93-97% reduction *

IH2 Technology Synergy - Ethanol Plants



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Renewable H2

340-470C<500psig





<500psig

HDO’d Liquid



Product

Hi Press Steam

Hot Water


Char (burn)

Green CO2

Ag Residue

Wood/Forest Residue

Garbage (MSW)

Energy Crops

Algae


Range Hydrocarbon

IH2 Technology Synergy - Multiple Algae Scenarios

Consume post extractive residue protein extraction (food & fuel)lipid extraction (energy crop)

Consume whole algaeUseful for remediationUseful to simplify process for fuelwith mixed cellulosic/wood feeds

Improved site margins conversion of low cost feedsexport HP steamre-use of CO2/liquid fertilizeruse of low grade heat to pondsliquid hydrocarbon for sale or use


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IH2 Technology Synergy - Refining

Option 1: Full StandaloneLocation Flexibility, Minimum Environmental ImpactMaximum GHG reductionLowest CI productHighest Capital Cost

Option 2: Integrated with Refinery HTMinimum Environmental ImpactLowest CI productMaximum GHG reductionLower Capital Cost

Option 3 Integrated with Refinery H2

Higher Environmental ImpactReduced GHG reductionHigher CI productLowest CostCapital 25-30% lower than base case

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IH2 NREL 2000t/day (Wood)


4.7

17.7

6.8

44.0

36.6 Feed

1st Stage HP/ 2nd Stage HC

Fractionation

HMU

Utilities & Contingency @ 35%

Installed Equipment Costs $112.6mln

112.6

5.711.7

102.7 Installed Equipment Costs

Land/Develop

Permits & S/U

Standard Project Add-In's**

Total Capital Investment $232.8mln

91.31

7.8

2.14

17.3

5.9

29.6Wood $71.97/dry ton

Other Op Costs: Catalyst, Disposal, etc.

Fixed Cost

Depreciation

Avg Income Tax

Avg ROI

Operating Costs Total $1.60/gal*

*Includes $0.093/gal coproduct credit

NREL Assumes Greenfield Development incl Land Acquisition, etc

** Prorated Expense (10%), H O & Construction (20%), Field Expense (10%), Working Capital (10%) , Project Contingency (30%)

• Equipment Cost - HMU is primary ~40%• Total Capital ~Double Installed Equipment • Feed Stock ~55% of Operating Cost• Minimum Fuel Selling Price – 1.60$/gal (2007

USD)

• Refinery Synergy w/Refinery H2 Supply• Reduces Capital Cost ~44.0MM$ • Estimated MSP $1.36/gal (2007 USD)

• NREL Economics validated by Global Engineering & Construction Company

Title: Techno-economic Analysis of the Integrated Hydropyrolysis and Hydroconversion Process for the Production of Gasoline and Diesel Fuels from BiomassAuthor: Eric C. D. Tan Platform: Analysis Report Date: May 23, 2011


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Financial Comparison

Process Capex Range Relative Cost per Gallon Gasoline Equivalent

Fast Pyrolysis & Upgrading

$250-$287 million $3.41-$6.55/GGE

Cellulosic Ethanol via Fermentation

$156-$391 million $5.15-$10.71/GGE

Gasification & Fischer-Tropsch

$500-$610 million $4.30-$4.80/GGE

IH2 Process $125-$135 Million $1.30-$1.60/GGE

Biofuels Production Technologies

Source: National Renewable Energy Laboratory

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IH2 Technology Development


• Bench Scale IH2 Technology– Since 2009 @ 0.5-kg/day Semi

continuous • Multi feed stock testing • Catalyst development

• IH2 Technology Pilot Plant– Start-Up in February, Continuous

operation @ 50-kg/day• Demonstrate biomass handling and

conveyance• Verify economics including catalyst

consumption• Produce product in quantities for

blending trials, engine testing, etc.• Confirm product valuation

IH2 Commercial Timeline, Current

• Set to execute 1st demo and commercial licenses 1Q 2012– Initiating basic engineering 5t/d– Contracting basic engineering 330t/d

• Significant interest from Asia

• US Refining Industry looking to partner

Latin American Refining Technology Conference 1804/15/2023

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IH2 Technology Conclusions

• Converts virtually any (ligno)cellulosic biomass to produce high quality hydrocarbon fuels/blend stock at low cost

• Offers Stand Alone & Synergistic Installation– Synergy benefits beyond solely hydrocarbon, which varies by industry– Refinery Synergy can reduce capital cost and fuel MSP

• Fuel MSP at estimate of 1.60$/gal (2007$) − May further decrease based on feed selection and site requirements− Technology comparison - IH2 Derived Fuels cost advantaged − Typically less than U.S. bulk and rack pricing for regular/premium gasoline, evaluate upside

by market

• Commercial Implementation is progressing rapidly


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IH2 Technology In Latin America

• Latin America produced 32%* of the World’s Biofuels in 2010

• Recognized Leader

• IH2 Technology offers Latin America− Leadership potential in 2nd generation cellulosic

renewable fuels − Strong Integration possibilities w/ Existing 1st

Generation Biofuels & Refining base− Export Capacity could be aided by Carbon

Intensity Reduction


* Based on U.S. Energy Information Association data

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Gracias & Obrigada

LARTC Presentation Final

Technology

Transcript of LARTC Presentation Final