Biomass as Renewable Metallurgical Coke Don Hewson Managing - - PowerPoint PPT Presentation

CCRA Working Meeting

Biomass as Renewable Metallurgical Coke

CCRAPresentation13June2012.ppt

Don Hewson Managing Director, Industrial Liaison 12 to 13 June 2012 Toronto

Contents

• Objectives of this Presentation
• The Bowman Centre for Technology Commercialization
• Cennatek Bioanalytical Services at The Research Park
• Staffed by Industrialists
• Recent Biomass Studies
• The UWO Research Park -- London and Sarnia-Lambton
• Facilities at The Research Park, Sarnia-Lambton
• The University of Western Ontario -- Western Facts
• Follow Up
• Last Page

Objectives of this Presentation

• Review the capabilities of Western’s Research Park
• Describe recent work related to biomass composition and energy
• Learn more about the development of renewable metallurgical carbon
• Determine how to create joint projects with CCRA
• Begin to develop a project proposal for CCRA

The Bowman Centre for Technology Commercialization

• The Bowman Centre for Technology Commercialization
• Established at The Research Park in 2010
• Focussed on commercially driven applied research in energy opportunities and

environmental issues

• Industrial funding is matched 1:1, or better, by granting agencies
• Approximately 80 000 ft2 containing renovated and modernized laboratories, low-

and high-bay pilot plant, offices, meeting rooms, and library.

• Situated in a park setting on the eastern edge of Sarnia-Lambton’s petrochemical

industries and emerging bio-based industries.

The Bowman Centre for Technology Commercialization

• High-bay and low-bay pilot plant
• Laboratory space
• Room for large equipment

Shared Service Laboratory

Managed by Cennatek Bioanalytical Services

• The Shared Services Laboratory focuses on biomass

characterization, especially related to energy content, composition, and ash, and liquid fuels.

• See

http://cennatek.ca/

Staffed by Industrialists

• Don Hewson, Ph.D.
• 7 yr applied commercial research at The Park, 28 yr applied research Imperial Oil,

ExxonMobil

• Aung Oo, Ph.D.
• 4 yr applied commercial research and business at The Park, and 6 yr Imperial Oil
• Katherine Albion, Ph.D.
• 4 yr applied commercial research at The Park, research experience at Syncrude
• John Kabel, M.A.Sc.
• 4 yr applied commercial research at The Park, 20 yr food and biotech process industries

Recent Biomass Studies

• Ontario Power Generation
• Report on Energy Crop Options
• Assessment of Agricultural Residuals as Biomass Fuel
• Biomass Residuals for OPG Repowering
• Ontario Federation of Agriculture
• Business Case for Purpose-Grown Biomass in Ontario
• Alternative Technologies for Biomass to Energy (in Progress)
• Regional Farm Biomass Availability in Ontario (in Progress)
• Canadian Academy of Engineering
• Bio-Conversion Workshop
• Energy Pathways Task Force, Final Report
• Energy Pathways Workshop
• Canada: Winning as a Sustainable Energy Superpower

The UWO Research Park -- London and Sarnia-Lambton

Quick Facts

• The Research Park is a major initiative of the University of Western Ontario
• The London campus of The Research Park has been in business for over 15 years
• 50 companies and 2000 employees on both campuses
• 500,000 sq.ft. of space
• 300 acres of a natural campus-like park balanced for innovation, business, and well-being
• Two major buildings with the latest in innovation infrastructure completed
• Access to research, knowledge, people and resources through Univ. Western Ontario
• Research Park partners are: the University of Western Ontario, The County of Lambton, The City of

Sarnia, Sarnia-Lambton Economic Partnership

Follow Up

• Industrial funding is matched 1:1, or better, by granting agencies
• $15M NCE Bioindustrial Innovation Centre (operating grant)
• $10M Ontario (infrastructure grant)
• $5M (OCE, NRC, Trillium, CAE, Alberta Innovates, etc.)
• Learn more about the development of renewable metallurgical carbon
• Determine how to create joint projects with CCRA
• Begin to develop a project proposal for CCRA
• Visit us soon

Last Page

END

There really were only 66 years between the Wright Brothers first flight at Kitty Hawk in 1903, and Neil Armstrong Landing on the moon in 1969.

BIOMASS RESOURCES IN ONTARIO

CCRA Bio-Carbon Working Meeting June 12-13, 2012 Ontario Investment and Trade Centre, Toronto Katherine Albion, Aung Oo, Don Hewson The Western University Research Park, Sarnia-Lambton Campus

Outline

1. Introduction 2. Summary of Studies on Biomass Resources i. Energy Crops ii. Agricultural Residuals iii. Business Case for Purpose-Grown Biomass iv. Biomass Residuals 3. Concluding Remarks 4. Discussion

Introduction

• Major drivers of the studies:
• The Ontario Government has legislated that coal cannot be burned

for power generation beyond 2014

• Diversification of agricultural products and markets
• Opportunity for Ontario’s agricultural sector to participate in the

energy market

• The studies were executed by the Western University Research Park,

Sarnia-Lambton, for Ontario Power Generation (OPG), the Ontario Federation of Agriculture (OFA), and others

• These techno-economic studies provide useful information to

stakeholders on resource estimates, supply chain issues, fuel quality and economics of agricultural biomass resources in Ontario

Energy Crops Study

Energy Crops Study

• Commissioned by Ontario Power Generation (OPG)
• Study period: November 2008 – April 2009
• Objectives of the study include:
• To identify energy crops suitable for Ontario
• To estimate biomass production from energy crops
• To determine the feasibility of developing an energy crop industry in

Ontario to provide biomass pellets for OPG’s generating stations

• The energy crop study was the first major techno-economic study to

determine the feasibility of utilizing agricultural biomass for large-scale power generation in Ontario

Benefits of Perennial Crops

All perennial crops result in:

• Soil improvement
• Reduced soil erosion
• Greater carbon sequestration
• Less chemical applications
• Productive for 15-20 years
• nce established

Mixed Energy Crops Scheme Identified

• Miscanthus, Switchgrass, and Willow SRC have the greatest potential for

commercialization:

• Most extensively studied and widely grown energy crops globally
• No serious disease/pest issues reported to date
• Perennial crops, non-invasive
• Mixed energy crops scheme would minimize the risk of unsteady biomass

supply

• Other native perennial grasses, such as tallgrass prairie, can also be

included in the fuel mix

Land Availability and Biomass Potential

• Conversion of hay land to energy crops was considered:
• Ontario has 5.4 Mha of agricultural land, of which about 1 Mha is used for

hay production

• Cattle industry in Ontario is declining (>18% drop from 2003 to 2009)
• Ontario is currently exporting hay to the US and other parts of Canada
• About 32%, provincial average, of hay land can be converted to energy

crops

• Conversion of less productive land to energy crops was considered:
• About 15%, provincial average, of cropland is considered less productive

land

• Total land availability and potential biomass production:
• 783,000 ha, or 15% of total agricultural land in Ontario, for energy crops
• Potential biomass production of 8.75 Mt/yr from yields on class 3 – 4 land

Estimated Biomass Production

500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 Southern Ontario Western Ontario Central Ontario Eastern Ontario Northern Ontario Province

Ontario Regions Potential Biomass Production ('000 DM t/yr) Converting major field cropland Converting tame hay land Converting tame or seeded pasture

Major Findings of Energy Crops Study

• Miscanthus, switchgrass and willow SRC are perennial energy crops

with the greatest potential for commercialization

• Energy crops, using ~ 15% total agricultural land in Ontario, can produce

8.75 Mt of biomass annually

• Supply chain components that require development are the production
• f biomass (it takes 2-3 years to establish the crops) and biomass

processing facilities

• Fuel quality of agricultural biomass could be an issue for combustion in

existing power plants

• Ontario farmers are interested in growing energy crops as a

diversification of their agricultural products

Agricultural Residuals Study

Agricultural Residuals Study

• Awarded by Ontario Power Generation
• Study period: April – November 2010
• Study objectives to:
• Determine the quantity of agricultural biomass residuals that are

achievable each year

• Evaluate ability to supply high quality fuel in various forms
• Examine the sustainable removal of agricultural residuals from

Ontario farms for use as a fuel alternative to coal

• First study to quantify the available agricultural residuals that can be

sustainably harvested in Ontario

Sustainably Harvestable Residuals

2.8 M tonnes/yr are available due to crop yield improvements and the application of manure

Field Crop Hectares Harvested Un-harvested Area (%) Surplus Residuals ('000 tonne) Surplus Residuals from Un-harvested ('000 tonne) Total Surplus Residuals ('000 tonne) Hay 971,082 2.73 397 55 452 Soybeans 893,580 0.62

• 3,029
• 12
• 3,041

Grain corn 692,319 2.99 3,537 197 3,734 Winter wheat 366,975 0.05 1,597 1 1,598 Fodder corn 122,788 1.57

• 432

57

• 375

Barley 82,822 5.47

• 141
• 2
• 143

Spring wheat 61,191 0.39

• 163
• 164

Mixed grain 53,499 13.65

• 212
• 19
• 231

Dry field beans 29,381 0.84

• 171
• 1
• 172

Oats 37,883 13.46

• 56
• 4
• 60

Fall rye 24,586 3.00

• 96
• 2
• 98

Tobacco 11,032 1.00

• 60
• 61

Canola 17,293 5.35

• 110
• 5
• 115

Provincial Total 1,324

Analytical Capabilities

• Shared Services laboratory offers

bio-materials focused analytical services to Research Park tenants and external clients

• Used to determine effects of

additives on biomass ash fusion temperatures

• Used to conduct extensive testing
• f the fuel properties of biomass

residuals samples

Fuel Improvement Options

• Options are available to improve fuel quality and decrease fouling and

corrosion in the boiler

• These include:
• Over-wintering
• Washing
• Use of additives
• The Research Park conducted analytical tests of various additives to

determine their effectiveness

• Our results showed that kaolin, at 3 wt%, was the most effective

additive to increase the ash melting temperature

• Densification options were examined, including briquetted, pelletized

and torrefied agricultural residual biomass

• Financial models were developed for each form of fuel

Major Findings of the Agricultural Residuals Study

• 2.8 M tonnes/yr of agricultural residuals can be sustainably harvested
• Corn stover and cereal straws are expected to be the major biomass

fuels in Ontario

• Fuel improvement options are available that can reduce combustion

challenges

• Supply chains require development. The missing component is the

aggregator to process the biomass into fuel

• The cost of agricultural residuals fuels is approximately 20% less than

for energy crops

• Maintaining the Soil Organic Matter and implementation of best

farming practices are critical for the sustainable use of agricultural residuals

Assessment of Business Case for Purpose- Grown Biomass

Business Case for Purpose-Grown Biomass

• Commissioned by the Ontario Federation of Agriculture (OFA)
• Study period: November 2011 – March 2012
• Objectives of the study include:
• To estimate the acceptable sale price of purpose-grown biomass for

producers

• To identify markets for purpose-grown biomass
• To determine the feasibility of developing the purpose-grown

biomass industry in Ontario for energy applications

• The business case study provided valuable information to the farming

community on the comparison of conventional cash crops and purpose- grown biomass crops

Economics of Ontario Major Crops

• Improvements to grain prices in recent years increases the opportunity

cost of agricultural land

Hay Soybeans Grain Corn Winter Wheat Acreage in Ontario ('000 acre) 2,472 2,316 1,857 932 Yield (Bushel/acre or Tonne/acre) 3.5 42 150 76 Price ($/bushel or $/tonne) 110 12 5 5.4 Straw (tonne/acre) 0.75 Straw Price ($/tonne) 60 Total Revenue ($/acre) 385 504 750 455.4 Seed ($/acre) 60 56 91 49 Fertilizers and Chemicals ($/acre) 60 65 138 76 Other Operating Costs ($/acre) 141 113 236 111 Total Variable Costs ($/acre) 253 234 465 236 Depreciation ($/acre) 19 25 28 30 Land Cost ($/acre) 100 100 100 100 Other Fixed Costs ($/acre) 16 21 24 28 Total Fixed Costs ($/acre) 135 146 152 158 Gross Margin (Rev. - Total Variable Costs) ($/acre) 132.3 270.0 285.0 219.4 Net Margin (Gross Margin - Total Fixed Costs) ($/acre)

• 2.7

124.0 133.0 61.4 Yield and Revenue Variable Cost Items Fixed Cost Items

Comparison of Production Cost & Margin

• Note: Moisture content of Sorghum ~ 80% at harvest is the issue,

development of overwinter Sorghum is 3-5 years away

Comparison with Other Energy Sources

• Natural gas price is expected to remain low due to strong supply
• Over 1 million tonne/yr of agri. biomass demand potential to replace heating
• il and propane in Ontario

Major Findings of Business Case Study

• At current yields, the acceptable price of purpose-grown biomass ranges

from $ 104 – 149/tonne at the farm gate to be comparable with major cash crops in Ontario

• Production cost is sensitive to biomass yield
• Miscanthus is the lowest cost biomass due to its higher yield
• With improvements to grain prices, the opportunity cost of agricultural land

is increasing; More risk-sharing mechanisms would help to develop the purpose-grown biomass industry

• Purpose-grown biomass has a wide rage of potential applications, space

heating to bio-carbon and bio-products; Bio-composite materials sector currently offers the most attractive price for agricultural biomass

Biomass Residuals for OPG Repowering Program

Biomass Residuals Study

• Awarded by Ontario Power Generation
• Study period: February – October 2011
• Objectives included the evaluation of the:
• Ability to supply biomass in pelletized or torrefied forms
• Biomass residual fuel properties
• Suitability of various industrial residual biomass for use as a fuel

at OPG

• This study examined the use of biomass residuals from the lumber,

residential, IC&I sectors as well as C&D debris, for use as a fuel. Also examined were European practices that can be applied to Ontario

Biomass Residuals Availability

Source Type Current Surplus Sent to Landfill (M tonne/yr) Assumed Diversion for Energy Use (%) Biomass as Solid Fuels (M dry tonne/yr) Approximate Moisture Content (wt%) Lumber mills Bark, Sawdust, Shavings, Ends 0.56 95 0.35 35 Hog piles 1.15 95 0.71 35 Residential Paper 1.00 60 0.51 15 Organics 0.97 N/A N/A 90 Wood 0.26 60 0.14 15 Institutional, Commercial & Industrial Paper 1.84 75 1.17 15 Organics 0.58 N/A N/A 90 Wood 0.48 75 0.32 15 Construction & Demolition Wood 0.41 80 0.30 15 Total 3.50

Wood and paper are clean residuals that can be diverted from landfill

Analytical Test Results

• Analytical testing of the fuel properties of 27 biomass residuals
• samples. Tests included: Proximate Analysis, Ultimate Analysis, Water

Soluble Alkalis %, Elemental Composition and Alkali Index

• Based on test results, the most desirable biomass fuels include:
• Wood (low ash, high HHV, low Cl, low alkali, low N/S: pallet, poplar,

pine, maple, spruce, then ash, fir and cedar)

• Bark (high HHV, low Cl: spruce, then maple, pine, oak, ash, fir,

cedar)

• Cardboard (low ash, high HHV, low alkali, but higher Cl)
• DDG (high HHV, low Cl, but high N/S)
• Undesirable biomass fuels include:
• Bone meal (high ash)
• Magazine paper (high ash, low HHV)
• Office paper (high alkali)
• Newspaper (high ash)
• Household organics (high ash, low HHV)

Major Findings of the Biomass Residuals Study

• Biomass residuals sourced in Ontario and diverted from landfill are

estimated to be 3.5 M tonnes/yr

• Consistent and homogeneous fuels can be produced through careful

source separation and blending, guided by fuel specifications and quality control

• The supply chain for biomass residuals is well developed
• Economic models show that the cost for biomass residuals is less

than for agricultural residuals

• It is feasible for OPG to use biomass residuals as a renewable fuel

Concluding Remarks

• Biomass resources available to produce bio-carbon:
• If 15% of total agricultural land is used for growing energy crops,

approximately 8.75 million tonnes of biomass can be produced annually

• It is estimated that 2.8 million tonnes (about 20% of total aboveground

residues) can be sustainably harvested annually

• 3.5 million tonnes of biomass residuals can be diverted from landfill

annually

• Assessment of forestry biomass, quantity and economics, would provide a

better picture of total biomass resources in Ontario

• Biomass characterization and R&D into processing and utilization are

necessary for specific applications

• Development of the supply chain will require collaboration with stakeholders,

the farming community, agricultural organizations and the forestry sector

• Thank You.

Discussion

• What are CCRA’s bio-carbon goals to 2015?
• How can we help CCRA achieve these goals?