Vattenfall and the HYBRIT project 2018-09-13 Mikael Nordlander - - PowerPoint PPT Presentation

Vattenfall and the HYBRIT project

2018-09-13

Mikael Nordlander

…

1 Confidentiality –None (C1)

2

Fossil free within one generation

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Sweden - a good place to start 98 31 16

…% fossil free power generation …€/MWh average spot price in 2017 …TWh/yr electricity exported 2013-2017

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If you want to replace fossil fuels – it matters what you can squeeze out of a piece of land

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That’s why…we want to electrify everything

THE TRANSPORT SECTOR HEATING THE INDUSTRY

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To live up to the Paris Agreement, Swedish industry and transports need to be handled

32% 32% 9% 13% 14% Total GHG emissions 2016

Domestic transports Industry Power and heat Agriculture Other

36% 19% 16% 9% 5% 4% 2% 8% Industrial GHG emissions 2016

Iron- and steel Minerals (cement) Refineries Chemistry Pulp and paper Other metals Food Other

Source: Swedish Environmental Protection Agency

52.9 Mton 16.9 Mton

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Fossil free steel with SSAB/LKAB

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Close to complete elimination of CO2

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HYBRIT roadmap

9

2025-2035 2018-2024 2016-2017 Feasibility study phase Pilot phase Demonstration phase

2018

Pilot plant “green light” decision

2018-2020

Construction of pilot plant

2020-2024

Pilot plant trials

2016-2017

Feasibility study

2017

Joint venture formed

2017

Start of 4 year R&D program

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HYBRIT – prefeasibility conclusions

• No new major technical showstoppers identified
• However, significant development efforts required to
• vercome main challenges
• 20-30% increase in crude steel production cost
• Cost structure strongly dependent on prices of coking coal,

electricity and CO2 emission rights

• Further optimisation possible
• On the same level or better than competing alternatives
• Anticipated shift in prices and market demands make

fossil-free steel an attractive option

• Strengthened belief in the concept

 Proceed with pilot plant (decision Feb 2018)

+20-30%

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HYBRIT pilot plant - the next step

• Pre-engineering and design since January
• Location Luleå & Malmberget
• Direct reduction:

~1 ton/h DRI

• H2:

~600-700 Nm3/h (~3-4 MWe)

• Steel (EAF):

~10 ton/batch

• H2 storage:

TBD 2019

• Time schedule
• Start groundwork summer 2018
• Commissioning early 2020
• Test campaigns 2020-2024
• Total cost 2018-2024 ~150 M€
• Includes CAPEX + OPEX for whole test period
• Co-funded by Swedish Energy Agency

Direct reduction Electrolysis Steel (EAF) Pellets Malmberget Luleå Pellets

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H2 storage – an important part of the HYBRIT concept

• Underground H2 gas storage the most

cost effective storage alternative

• Salt caverns not available in Sweden
• Lined Rock Cavern (LRC) storage

promising alternative

• Natural gas LRC demo in operation in

Sweden (Skallen) since early 2000

• Main challenges are 1) the liner material

selection, and 2) rock mechanics at dynamic operation

12 Confidentiality –None (C1)

HYBRIT pilot plant – ground breaking ceremony June 20th 2018

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Thank you

mikael.nordlander@vattenfall.com

2018-10-22 Confidentiality –None (C1)

”The mind is like a parachute – it doesn’t work if it’s not open”

• Frank Zappa