Synagas Refiner 8 April 2010

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Technical and Market Analysis of Syngas Production & Applications via Multiple-Feedstock Gasification Technologies

zeus
SYNGAS REFINING
report
Editor’s Letter

Australia Gets Serious about UCG........................ 2

News Briefs

Africa/Middle East................................................... 3
Pearl GTL phase 2 start-up expected year-end 2011.

Americas.................................................................. 5
COSI Catalysts targeting FT liquids from biomass with new catalyst, pro-
cess. Gas Technologies LLC appoints Zeton Inc. to construct methanol
demo. Summit Power Group acquires land for Nowgen project. Biomass
pilot project awarded stimulus funding. Good Spring IGCC receives air
quality permit. BC Bioenergy Network provides US$1.5 million to Inter-
national Composting Corp. for waste to biofuel project. Accelergy, EERC
reach milestone in development of cleaner jet fuel. First all-engine flight
using biomass and conventional jet fuel blend. CVEC to pay fine over
allegations of using unapproved feedstock. Dove Creek Bioenergy plant
receives funding. Kruger Products begins operational trials on biomass
gasification system.

Asia......................................................................... 12
Datang International’s coal-to-syngas project approved. Indian firms to
form coal gasification joint venture. India seeks cooperation with US on
clean coal, UCG technologies. MoU for Punjab-area coal gasification
plant expected soon. Linde to build US$30 million hydrogen facility in
Gyeonggi, South Korea. Evergreen Energy updates on Inner Mongolia
coal-to-chemicals project.

Australasia............................................................. 16
UCG emerging from its shadow. Ambre Energy announces plans for
US$3.5 billion CTL plant in Felton. Regal Resources reaches milestone in
UCTL pilot plant. Collie-area coal-to-urea project gets government back-
ing. CRL demonstrate coal-to-hydrogen power using membrane.

Europe.................................................................... 21
Turkish aluminum recycling plant to use RODECS gasification equip-
ment. Polish laboratory promotes complex extraction of energy from coal.
Increasing hydrocarbon yield in biomass-to-liquids processes. BioGen
Power to build world’s largest waste gasification facility. Emerson to install
wireless monitoring network in Polish biomass plant.

Vol. VI, No. 7 A Publication of the Zeus Virtual Energy LibraryTM April 8 , 2010
zeus Editor’s Letter
SYNGAS REFINING
report
Australia Gets Serious about UCG
Technical and Market Analysis of Syngas
Production & Applications via Multiple-
Dear Reader,
Feedstock Gasification Technologies
In this issue, we see a number of developments in the growing coal gasification sphere in
ZEUS SYNGAS REFINING REPORT Australia. As a number of LNG projects advance supply to Asian markets, coal develop-
is published semi-monthly by ers intend to produce power, chemicals, fuels and fertilizers for domestic markets. Aid-
Zeus Development Corporation. ing this trend are advancements in underground coal gasification (UCG) technology.
Editorial Office
First, two large above ground gasification facilities have recently been pro-
2424 Wilcrest Dr., Suite 100 posed in Australia. In Western Australia, Perdaman Chemicals and Fertilisers plans
Houston, TX 77042 to build an estimated US$3.2 billion coal-to-urea facility. The facility is planned
Phone: 713-952-9500 near the Collie coal mine south of Perth. CO2 produced from the facility will be
Fax: 713-952-9526
captured and stored.
editorial@zeuslibrary.com
In Queensland, Ambre Energy has announced plans to build a US$3.5
Zeus Syngas Refining Report’s objective billion coal-to-liquids (CTL) facility. The plant might supply 20 percent of Queen-
is to collect, analyze, and disseminate sland’s demand for unleaded petrol when it comes online in 2014. It will utilize
information concerning the emerging coal from an open-cut mine, which will supply 4 million tons of coal per annum to
markets for products manufactured from
syngas. the project. Construction is slated to begin next year.
In late March, Cougar announced the start-up of its Flagship Kingaroy
Subscriptions are $947/year by first-class UCG project in Queensland. The company will undertake a series of trials on the
mail in the U.S. or $897/year electronic facility for use in feasibility work for a planned 400-MW power station, which the
PDF. (Texas residents, add 8.25% sales tax.)
company expects to be brought online in 2013. The facility will supply enough
To inquire about a subscription or for electricity to power 400,000 homes for 30 years.
information on advertising rates, please To the south of the Kingaroy project some 125 kilometers, Linc Energy’s
contact Zeus at (713) 952-9500 Chinchilla UCG project is set to come online late next year. That facility is de-
or via e-mail: signed to convert coal to 20,000 b/d of liquids. In addition, the company intends
subscriptions@zeuslibrary.com
to install a 200 to 400-MW power station at the site. Construuction is expected to
Zeus Development Corporation start once the liquids facility is online.
is a central source of expertise and critical Near Linc Energy’s coal tenements, Carbon Energy expects to bring online
analysis on technologies to develop a pilot 5-MW UCG power plant by mid-2010, followed by a 25-MW power station
remote reserves. Zeus is dedicated to
bolstering emerging industries
in 2012. The company is in discussions with partners to take power from the station.
by providing publishing, conference, and If successful, it anticipates development of a 300-MW upgrade to the facility.
market research services. Regal Resources’ pilot underground CTL facility near Melbourne was
commissioned April 6. The company states that the underground conversion of
© 2010 Zeus Development Corporation
low lank coal/lignite into hydrocarbon and gas products are highly likely to offer
ISSN# 1071-1198
significant cost advantages over competing coal-to-oil technologies. After conver-
Reproduction by any means is illegal sion underground, the liquid hydrocarbons are extracted from the below ground
and punishable by fines up to $50,000 coal seam with conventional oil field technology.
per violation. To acquire reproduction According to published estimates, Australia holds the world’s fifth largest
authorization, please contact:
Zeus Development Corp. reserves of coal, some 48.75 billion tons. Four developers there – Cougar Energy,
2424 Wilcrest Drive, Suite 100 Linc Energy, Carbon Energy, and Regal Resources – are among the world leaders
Houston, Texas 77042 trying to improve upon this 140-year-old concept. We look forward to keeping you
713-952-9500 informed and alert to these and other opportunities as they unfold.
subscriptions@zeuslibrary.com

Yours respectfully,
www.ZeusLibrary.com/ZSRR
The Editor
The Zeus Syngas Refining Report

2 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
News Briefs

Africa/Middle East
1. Pearl GTL Phase Phase II of the massive Pearl GTL
1
II Start-up Expected project in Qatar is planned to come
Year-End 2011
online by the end of next year,
according to Qatar’s Oil Minis-
ter Abdullah al-Attiyah, Reuters
reported March 22. The US$19
billion project will be the world’s
largest GTL facility, producing
140,000 b/d of liquid products.
Phase I is expected to be commis-
sioned by the end of 2010. Pearl GTL
is a joint development between Shell and
Qatar Petroleum.
Plant

Pearl GTL under construction. Source: Shell.

April 8, 2010 Zeus Syngas Refining Report 3


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
SCORECARD: AFRICA / MIDDLE EAST
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010

Qatar

Operational
Steps Toward Project Completion

Under Construction 

Permits Awarded 

Concept Proposed 

Advancement expected online


Phase 2 of
Pearl GTL

Setback
in 2011

Developing

Shelved

GASIFICATION INVENTORY: AFRICA / MIDDLE EAST


Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010
Qatar: • Oryx GTL

South • Secunda GTL • Mossel Bay GTL • Mossel Bay Semi-Commercial • Majuba Power Station
Operational Africa
• Sasolburg CTL Plant (FTSCU) 

Egypt: • Suez Ammonia Plant

Qatar: • Pearl GTL


Under Con-
struction Nigeria: • Escravos GTL

Iran • Narkangan GTL  

Nigeria • Mafutha CTL

UAE: • DEWA IGCC Project • Hydrogen Power Abu Dhabi


Proposed (HPAD)
South • Mafutha CTL
Africa:
Zambia: • Zambia Mini-Grid Biomass
Gasification Plant
Botswana: • CIC Energy’s Botswana CTL
Shelved

4 Zeus Syngas Refining Report April 8, 2010


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Americas
1. COSI Catalysts COSI Catalysts (COSI), as a result of a spin-out
Targeting FT Liquids of work by the University of South Florida,
from Biomass with is developing a new Fischer-Tropsch-
New Catalyst, Process based (FT) process to produce jet fuel
(initially) from biomass, Green Car
Congress reported April 5. Instead 11
of using an iron catalyst, COSI 6
9 2
has developed a new cobalt 4 5
catalyst with a silica-supported 7
eggshell design. According 10
to the company, cobalt has a 3 1,8
higher affinity towards long-chain
paraffinic production and shows
significantly less attrition, making it
suitable for the production of liquid
fuel fractions in a longer active catalytic
life. In addition, though iron catalysts
produce CO2 as a by-product, cobalt catalysts
produce mostly water, resulting in a greener, more
efficient method of catalyzing the biomass-to-liquids Plant
process. COSI has engineered the catalyst to be tun-
able via variation in the thickness of the eggshell design, thus creating a highly customizable
product. COSI states that this selectivity can be narrowed to a fine degree, eliminating the
need for additional unit operations, resulting in lower plant fixed and operating costs. COSI
also notes that the eggshell design reduces the cost of metal loading by 50% over currently
available technologies. Currently the technology is at bench scale, but COSI plans to begin
construction of a pilot scale plant using a licensed third party gasification system. The facility
would cost an estimated US$3 million.

2. Gas Technologies Gas Technologies LLC (GTL) announced March 31 an agreement reached with Zeton Inc. to
Appoints Zeton to provide engineering and design-build services for the GasTechno methane-to-methanol pro-
Construct Methanol cess demonstration plant. The GasTechno Process is a single step gas-to-chemicals technology
Demo which produces oxygenates from natural gas. Because syngas production is not necessary, the
process is considerably less complex, requiring significantly smaller capital investment com-
pared to traditional fuel and chemical conversion technologies. Utilization of Total Process
Integration puts heat and product streams to work, further improving process efficiency.
When applied to wet gas, the GasTechno Process can be integrated with a unique,
proprietary NGL plant, referred to as GasTechno NGL. GasTechno NGL maximizes eco-
nomic returns by operating a GasTechno plant side-by-side with a NGL-LPG plant based
on common use of OSBL equipment, Total Process Integration, and optimal operating
conditions. GasTechno NGL together with the GasTechno process can produce an attractive
product slate which includes: propane, butane, natural gas condensate, methanol, ethanol,
formaldehyde, and even electricity. The methanol and formaldehyde family of fuel and
chemical derivatives includes highly sought after products of fertilizer, gasoline, diesel, DME,
olefins, acetic acid, formic acid and many others under development.

April 8, 2010 Zeus Syngas Refining Report 5


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According to GasTechno, third party evaluation studies have concluded that the
facilities will be 50 to 70 percent cheaper in capital cost and up to 40 percent cheaper in
operational cost than other commercial GTL technologies. This allows the company to scale
down to small modular plants, competing with gas-to-electricity processes that use fuel cells
or existing natural gas pipeline delivery.

3.Summit Power Group Summit Power Group has acquired 600 acres of land in Penwell, TX to be used as the site for
Acquires Land for the Texas Clean Energy Project (“Nowgen”), CBS 7 News reported April 4. Groundbreaking
‘Nowgen’ Project on the estimated US$1.75 billion project is expected to begin in 2011, with first operations
expected sometime in 2014. The 400-MW facility will capture 90 percent of CO2 emissions.

4. Biomass Pilot Borgford Bioenergy has been awarded US$771,406 in grants and loans from the American
Project Awarded Recovery and Reinvestment Act, according to a posting on the Washington State Depart-
Stimulus Funding ment of Natural Resources’ website. Borgford Bioenergy will utilize the funds for the gasifica-
tion of woodwaste to produce biopower and biochar, a soil amendment to enhance wheat
production in northeast Washington. The project will create 27 jobs.

5. Good Spring IGCC Future Power PA Inc. (FPPI) received approval April 2 of plans submitted in accordance
Receives Air Quality with the Commonwealth of Pennsylvania’s provisions of the Air Pollution Control Act for
Permit the Good Spring IGCC project. Detailed engineering work specific to the site is expected
to commence shortly. Throughout 2009 FPPI’s Good Spring IGCC plant applied for all
requisite approvals for the power project. The approvals allow the next phase of engineering
to begin.
Good Spring IGCC strives to become an industry-leading electricity generation
plant using anthracite or similar feedstock and having carbon capture capabilities along with
record setting lows in emissions of particulates and climate impacting gasses per megawatt
of power created. With its own 55 million tons of feedstock on site, Good Spring IGCC is
capable of lower cost operations and avoiding sourcing of fuel from distant or mountaintop
removal locations, the company said.
FPPI is a joint venture between Future Fuels LLC of Houston, Texas and Immersive
Media Corp. of Calgary, Alberta, Canada.

6. BC Bioenergy The BC Bioenergy Network, a provincially-funded, industry led network supporting the
Network Provides growing bioenergy sector in British Columbia (BC), announced March 24 US$1.5 million
US$1.5 Million to ICC in conditional financing to the BC-based International Composting Corporation (ICC) for a
for Waste to Biofuel US$7.7 million project to convert municipal source separated organic waste into vehicle and
Project aviation biofuels. This is the first demonstration of these technologies in the world and will
help to develop and support the renewable bioenergy and biofuels industry within the B.C.
“Companies like ICC who are finding new ways to turn waste into fuel are demon-
strating why B.C. is a leader in clean technologies,” said Blair Lekstrom, Minister of Energy,
Mines and Petroleum Resources. “Together we are building a province of innovative solu-
tions and are establishing a green economy for the generations to come.” This project also
received US$2.5 million in support from the provincial Liquid Fuels from Biomass program
in April 2009.
The ICC Group, a BC-based bioenergy company headquartered in Victoria, will
use three known bioenergy technologies to convert separated organic waste into renewable
diesel for aviation and vehicle transportation fuels. These technologies include bioreactor fuel
preparation, which ICC Group has been developing in its Nanaimo facility for a number

6 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
of years, in cooperation with the Regional District of Nanaimo, as well as gasification and
catalytic conversion that uses the Fischer-Tropsch process.
The ICC Group is enhancing this gasification process through technological ad-
vancements in gas clean-up and purification, making it a cleaner process, less carbon-inten-
sive, with fewer GHG emissions. Located in Nanaimo, the project will integrate and validate
these technologies for the first time at small scale, and demonstrate that the technology can
produce clean and sustainable liquid biofuels from syngas, ICC said. The combination of
syngas upgrade and preparation for catalytic conversion on a small scale is the key for biofuel
production, possibly leading to the establishment of local biofuel production for communi-
ties of 100,000 inhabitants or more.

7. Accelergy, EERC Accelergy Corporation announced March 24 that it has begun production of its highly ef-
Reach Milestone ficient fuel from coal and biomass, to be evaluated by the United States Air Force (USAF)
in Development of as the industry benchmark for 100 percent synthetic jet fuel. To date, synthetic fuels have
Cleaner Jet Fuel required blending with petroleum feedstocks on a 50 percent basis to be suitable in aviation
applications. In 2009, Accelergy entered a cooperative research and development agreement
(CRADA) with the USAF for testing fully synthetic fuels that meet or exceed USAF JP-8
military jet fuel standards.
Following a mandate by the USAF to use 50 percent of its fuel from cleaner and
domestic sources by 2016, Accelergy is the first to provide 100 percent synthetic fuel that
can meet the USAF’s stringent JP-8 standards. The USAF currently uses JP-8 fuel in all of its
aircraft and has been looking for a commercially viable 100 percent synthetic alternative to
petroleum based fuels. The fuels will be produced at a pilot facility currently under construc-
tion at the Energy & Environmental Research Center (EERC) at the University of North
Dakota. Production from this facility will commence in the 3rd quarter of this year. Fuel
deliveries to the Air Force Research Labs will commence in late 2010.The pilot facility will
also provide a valuable tool for evaluating new coal and biomass feedstocks as the technology
moves towards commercial deployment.

• Microcatalytic Coal Liquefaction to Fuels


• DMC Fuel Additive Production
• Greenhouse Gas Mitigation
Gasoline
Jet Fuel
Diesel

Algae Farm
Fuel Additives

Diagram illustrating Accelergy’s CBTL process. Source: Accelergy Corporation.

April 8, 2010 Zeus Syngas Refining Report 7


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
Utilizing proprietary micro-catalytic liquefaction technologies and direct biomass
conversion technologies, Accelergy’s integrated Coal-Biomass to Liquids (CBTL) process,
based in part on technologies developed by ExxonMobil Research and Engineering Com-
pany and the EERC, domestically produces a tunable range of low netcarbon fuels including
Jet-A, and military JP-5, JP-8 and JP-9 jet fuels. The CBTL process is unique in its ability
to maintain a high overall thermal efficiency while significantly reducing the greenhouse gas
emissions associated with comparable refining methods, the company said.

8. First All-Engine An Air Force test pilot flew an A-10 Thunderbolt II jet aircraft at Eglin Air Force Base March
Flight Using Biomass 25 on a blend of biomass-derived and conventional JP-8 jet fuel. This is the first flight of an
and Conventional Jet aircraft powered solely on a biomass-derived jet fuel blend. The biomass-derived fuel used for
Fuel Blend the event is referred to as hydrotreated renewable jet, or HRJ, and is part of a class of fuels
derived from either plant oil or animal fat feedstocks. The feedstock source of the biomass
powering the A-10 demonstration is camelina oil, a flowering plant in the same family as
mustard, cabbage and broccoli, but not used as a food-source.
Biomass-derived fuels offer the potential to reduce greenhouse gas emissions. While
additional testing will be conducted to explore the full extent of their benefits, test data show
that particulate emissions are reduced during combustion of biomass-derived fuels. This
event marks the next phase in the Air Force’s alternative aviation fuel program and represents
a milestone in worldwide development of alternative aviation fuels, paving the way for future
Air Force HRJ certification flight tests of the F-15 Eagle, F-22 Raptor and C-17 Globemaster
III to begin this summer. The A-10 demonstration flight supports the Air Force’s 2010 En-

An A-10C Thunderbolt II from Eglin Air Force Base, Fla., flies along the coast of Florida March 25, 2010, during
the first flight of an aircraft powered solely by a biomass-derived jet fuel blend. Source: USAF.

8 Zeus Syngas Refining Report April 8, 2010


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ergy Plan goal to be prepared to cost-competitively acquire 50 percent of domestic aviation
fuel from an alternative fuel blend by 2016.

9. CVEC to Pay Fine Chippewa Valley Ethanol Company (CVEC) has been fined US$120,000 by the Minnesota
Over Allegations of Pollution Control Agency (MPCA) over alleged violations involving its gasification system,
Using Unapproved West Central Tribune reported March 31. CVEC is reported to have used adulterated eight-
Feedstock
foot long wooden two-by-fours in the gasifier. The systems’ approved feedstock is corn cobs.
Although the company “strongly disagrees” with the conclusions drawn by MPCA, the
company plans to pay the civil penalty to put the matter to rest. The company’s testing of
the biomass char residue led CVEC to conclude that one of its wood suppliers had shipped a
load of adulterated wood that had been painted or treated. CVEC stated that the amount of
adulterated wood that was gasified is the equivalent of one two-by-four.

Chippewa Valley Ethanol Company (CVEC) is a 46 MM gpy corn ethanol plant located on the western edge of
town.  CVEC’s 975 cooperative owners live predominately within a 50 mile radius of the plant site. Source: CVEC.

10. Dove Creek U.S. Congressman John Salazar announced March 15 nearly US$300,000 in funding for San
Bioenergy Plant
Juan Bioenergy’s (SJB) Dove Creek biomass plant. The plant is a state-of-the-art oil extru-
Receives Funding
sion and integrated bioenergy production facility in Dove Creek, Colorado. Over four years,
local farmers have produced over 14 million pounds of sunflower, safflower and canola that
will be crushed for food grade oils and high-value animal feeds. The waste from the process,
primarily sunflower hulls, stems and leaves, is converted to syngas which is then combusted
in SJB’s boiler and gas generator, providing 100 percent of the process heat and 50 percent of
the power needed for the facility. Waste heat from the process will also be used in both SJB’s
biodiesel production process and greenhouse.

April 8, 2010 Zeus Syngas Refining Report 9


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
11. Kruger Products Construction has completed and operational trials have begun at Kruger Product’s (Kruger)
Begins Operational biomass gasification system by Nexterra, Pulp and Paper Canada reported March 24. Kruger
Trials on Biomass is Canada’s leading paper tissue manufacturer. Kruger operates facilities in Quebec, Ontario,
Gasification System Alberta, British Columbia, Newfoundland and Labrador, the United States and the United
Kingdom.
Nexterra’s turnkey gasification system will convert locally sourced wood residue into
syngas that will be fired directly into a boiler in place of natural gas. The Kruger installation
will produce 40,000 lbs/hour of process steam and displace approximately 445,000 giga-
joules of natural gas annually, the equivalent to the amount of natural gas used to heat 3,500
homes in Canada for a year.
Kruger anticipates significant benefits from the company’s investment in the gasifier,
expecting a reduction in provincial carbon emission taxes of US$380,000 in 2010. The heat
efficiency is expected to be double that of the mill’s 60-year-old hog-fuel boiler, which was
decommissioned in 2007, and temporarily replaced with a natural gas-fired boiler. Accord-
ing to Kruger, the Nexterra system will cost US$300,000 a year less to operate than the other
boilers. It will also reduce greenhouse gas emissions from the plant by more than 22,000 tons
per year, the equivalent of removing nearly 5,500 cars off Canadian roads.

SCORECARD: AMERICAS
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010

April 4 April 2 March 24


U.S U.S U.S

Operational 
Steps Toward Project Completion

Under Construction 

Permits Awarded   

Concept Proposed   
IGCC receives air

biomass gasifica-
erational trials on
land for Nowgen

Kruger Products

Advancement
Group acquires
Summit Power

quality permit
Good Spring

tion system

Setback
begins op-
project

Developing

Shelved

10 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
GASIFICATION INVENTORY: AMERICAS
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010
US: • Baton Rouge Oxochemicals Plant • Coskata BTL • Kingsport Integrated Coal Gasification • Rentech Product Development Unit
• Bay City Chemical Plant • Deer Park Chemical Plant Project • Sunoco Oxochemicals Plant
• Delaware Clean Energy Cogeneration • LaPorte Syngas Plant
• Baytown Syngas Plant Project • Taft Syngas Plant
• Chippewa Valley Ethanol Co. Waste-to- • Longview Gasification Plant • Texas City Dow Syngas Plant
• Eastman Oxochemical Facility
Ethanol facility • El Dorado Gasification Power Plant • Pinon Pine IGCC • Texas City Praxair Syngas Plant
• Coffyeville Nitrogen Plant • Great Plains Synfuels Plant • Polk County IGCC • Wabash River
Operational • Convent H2 Plant • JCI/USC Gasification System  • Producers Rice Mill • Westinghouse Plasma Corp’s Facility
Brazil: • Araucaria Ammonia Plant  

Canada: • Dockside Green Gasification System  • Long Lake Oilsands Updating Project • Swan Hills Synfuels ISCG Demonstration • Tolko Gasification Plant 
• Kruger Products Pulp and Paper Mill  • Sherbrooke Pilot Plant Plant  • Westbury Waste-to-Ethanol Demo
Dom. • Santo Domingo Syngas Plant  
Repub.:
US: • Carson Hydrogen Power Project  • Geismar GTL Plant  • RWE’s Biomass Gasification Facility • Sierra Biofuels Plant
• Edwardsport IGCC Project • Lima Energy IGCC Plant • Range Fuels’ Soperton Cellulosic
Under Con- • Geismar BTL Project • Orlando Gasification Project  Biofuels Plant
struction Brazil: • CompactGTL • Petrobras Brazil/Compact GTL Pilot 
Canada: • Edmonton Municipal Waste-to-Ethanol Plant • NorthWest Upgrading • Salaberry-de-Valley Field WTE • UNBC Gasification Plant 

US: • AES Power Plant • Good Spring IGCC. • Missoula WTL  • Rentech/Peabody Minemouth Joint Venture
• Accelergy/EERC CTL Facility • Great Lakes Energy Research Park • Montgomery WTE • Rockport IGCC
• Advanced Hydrogasification Project • Green River/PPI • Moss Point Energy Project • Schneider Bioethanol Plant
• Alaskan CTL Plant • High Plains Gasification Advanced • Naperville Green Fuels Depot • Secure Energy’s Decatur SNG Project
• American Clean Coal Fuels Biomass to Technology Center • NC12 SNG Project
• Silverado’s Lignite-to-Liquids Project
Liquids • Hopi Indian Tribe Project • NRG’s Somerset Gasification Project
• Anadarko / Trilateral Energy • Huntley IGCC  Retrofit Project • South Heart Coal Gasification Project
• ANGTL Alaska  • Hydrogen Energy California (HECA) Project • Natchez CTL Project • St. Lucie County WTE
• Appalachian Power IGCC • Hyperion Resources IGCC • New Bedford WTE • State of Indiana UCG Project 
• Bay Front Power Plant • Kemper County IGCC • Nowgen Plant • Sweeny SNG Project
• Borgford Bioenergy   • Kentucky Horse Park • Ohio River Clean Fuels Project • S4 Energy Solutions WTE
• Cash Creek IGCC Project • Kentucky NewGas • Oneida Tribe WTE Plant  • TXU Energy IGCC 1 
• Clearfuels Renewable Energy Facility • Lackawanna Clean Energy’s SNG Project • ORNL Gasification System  • TXU Energy IGCC 2
• Cleveland Road Transfer Station WTE  • Laurus Wyoming UCG  • Oswego SNG Project
• Taunton Waste Gasification Plant  
• Cook Inlet UCG • Leucadia Mississippi SNG • PEM Waste-to-Chemicals
• Taylorville Energy Center
• DKRW Medicine Bow Project • Leucadia’s Lake Charles Cogeneration • Peabody Energy / Arclight Capital
• Texas Clean Energy IGCC
Proposed • ECO Manufacturing WTE  • Limon Lignite Project • Peabody/GreatPoint SNG Project
• East Dubuque Fischer Tropsch • Lockwood Project • Port Hope Waste to Energy Plant • TransGas CTL Facility
• Edison IGCC Project • LoraxAg CTC Project • Power County Advanced Energy Center • TransGas Development Systems Coal-to-
• FFI CTL Project • Many Stars CTL • Power Holdings’ Coal-to-SNG Project SNG Project 
• Faustina Hydrogen Plant • Mesaba Energy Project • Project Apollo • University of California-Riverside Demo Plant
• Futuregen • Mingo County CTL Project • PurGen One • UOM-Morris Biomass Facility
• Gastech UCG Project Demo Plant • Mississippi Waste-to-Biofuels Plant • Renewable Energy Clean Air Project   • W2 Energy’s WTE Project

Brazil: • Micro-GTL Demo Facility

Canada: • Bruderheim IGCC • Genesee IGCC Project • Red Deer County Waste-to-Energy Plant • TransCanada’s Bell Plaine Polygeneration
• Canadian Natural Resources/North West • GV Energy’s Bio-Refinery • Salaberry-de-Valleyfield Waste-to-Diesel Plant Plant
Upgrading JV Refinery • ICC Waste to Biofuel Project 
• Sask Power IGCC • West Hawk Canadian CTL
• Dufferin County WTE • Laurus Energy Project-Alberta (LEP) 
• Energy Quest IGCC • Miramichi WTE • Stealth Ventures UCG
• Fox Creek CTL • Northern Clean Fuels • Swan Hills ISCG/Sagitawah Power Project
Peru: • Nueva Esperanza • Petrobras Brazil/Compact GTL Commercial 
Colombia: • Likuen Coal Liquefaction Project

US: • Agrium/Kenai, Alaska • Eastman Industrial Gasification Project • Malmstrom Air Force Base • Summit Power Frio County IGCC
• American Electric Power- Ohio IGCC • Eielson AFB CTL Project • Marshall County CTL • Summit Power Group-Lower Columbia
• American Energy Lignite CTL • Energy Northwest’s Pacific Mountain • Nueces IGCC IGCC
Energy Center • Rentech Energy Midwest Corp.
• Beaumont Chemical Facility  • Twin River Energy Center
• First Energy/Consol IGCC (REMC)
• CF Industries’ Nitrogen Complex • WMPI/Gilberton IGCC/CTL Project
Shelved • Florida Power & Light IGCC • Southern Company Florida IGCC
• Clean Coal Power Phase 1 • Hereford BTL Refinery • Wallula IGCC Project
• Southern Illinois University-Carbondale
• DKRW Bull Mountain Project • Indian River IGCC (SIUC) IGCC • Wyoming IGCC
• Delaware City Refinery • LaFontaine WTE Project • Steehead Energy IGCC • Xcel Energy IGCC Project
Brazil: • Biomass-IGCC Demonstration Plant

April 8, 2010 Zeus Syngas Refining Report 11


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
Asia
1. Datang Datang International Power Corp.’s proposal for
International’s Coal- the Fuxin Coal-to-Syngas project has been
to-Syngas Project
approved by China’s National Develop- 5
Approved
ment and Reform Commission. The
facility will be located in Fuxin,
6
in northeast China’s Liaoning
Province. The facility will have a 1
syngas output of approximately 4
400 MMcf/d. Total invest-
ment for the project could reach 2,3
US$3.6 billion.

2. Indian Firms to Form Indian firms Coal India Ltd., Gas


Coal Gasification JV Authority of India Ltd. and Rash-
triya Chemicals and Fertilizers plan to
launch a coal gasification joint venture (JV)
for the development of a gasification facility at the Plant
shut-down Talcher unit at a site owned by Fertilizer
Corporation of India, RTTNews reported March 25. The JV will have equal equity shares in
the project. According to Coal India Ltd., the gas would be used to make urea, provided it
met 30 percent of its requirement for ammonium nitrate, which it uses in the manufacture of
explosives. The JV has secured a mine in Kolkata for the venture. The mine could supply 3.7
million tons of coal per annum.

3. India Seeks India’s Coal Minister Sriprakash Jaiswal expressed the need March 30 of greater cooperation
Cooperation with US with the U.S. in the development of clean coal and underground coal gasification (UCG) in
on Clean Coal, UCG India, according to a Press Trust of India report. Jaiswal said in a meeting with an American
Technologies
delegation led by U.S. Senator Christopher Bond that development of India’s coal resources
through clean coal technologies was essential to meet the country’s growing demand for
power. “Issues relating to energy security were discussed in the meeting…it was further men-
tioned that Coal India Ltd. had issued a global Expression of Interest for strategic partner-
ships through formation of joint ventures for opening greenfield projects and equity infusion
with relatively long-term offtake agreements,” said an official statement.

4. MoU for Punjab-Area A memorandum of understanding (MoU) is expected to be signed soon between the Punjab
Coal Gasification Plant government, Pakistan and Pakistan Electric Power Company (Pepco) regarding a 50-MW
Expected Soon
coal gasification power project, Pakistan’s The News International reported March 25. The
pilot project would utilize Thar-area coal in pressure coal gasification. Pepco has sent a draft
resolution to the Punjab government and awaits ratification of the proposal by Chief Min-

12 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
ister Shahbaz Sharif. The project would help counter the electricity supply shortfall in the
Punjab province. Pepco has urged the timely signing of the draft proposal as power genera-
tion has become a matter of national interest amid the worsening energy crisis.

5. Linde to Build Linde plans to build a US$30 million hydrogen production plant in South Korea, Bloomberg
US$30 Million reported March 30. Linde and Gyeonggi province have signed a preliminary agreement for
Hydrogen Facility the construction of the facility, according to an e-mailed statement by South Korea’s Ministry
in Gyeonggi, South
of Knowledge Economy. Demand for hydrogen in South Korea is steadily growing as televi-
Korea
sion and monitor manufacturers transition to LED backlights, which shine brighter with less
power. According to the ministry, industrial gas demand in South Korea has increased 10
percent per year. Linde’s facility will be located in Gyeonggi province, south of Seoul. Linde
has thus far invested over US$270 million in South Korea since the late 1980s.

6. Evergreen Energy To further the letter of intent (LOI) to build a commercial scale reference K-Fuel plant in In-
Updates on Inner ner Mongolia, as announced in January, Evergreen China, a Sino-U.S. joint venture between
Mongolia Coal-to-
Evergreen Energy Inc. and Chinese industry investors, has signed a three-way agreement with
Chemicals Project
an integrated utility/chemical manufacturer and a large Chinese design institute to assess
project scope and schedule for incorporation into a commercial agreement.
The Inner Mongolia K-Fuel facility is expected to consist of a single processor train
to upgrade sub-bituminous coal that will produce feedstock for a slurry-type gasifier produc-
ing methanol and urea as end products within an integrated chemical facility. Design and
construction of the chemical/fertilizer facility has already commenced and the K-Fuel plant
would address a key project need to improve gasifier efficiency and capacity.
“A project of this magnitude takes time, yet Evergreen Energy continues to make
significant progress,” said CEO of Evergreen Thomas Stoner. “Now we have incorporated
the design team that will complete the detailed engineering into the process. In addition,
the application of K-Fuel as a pre-treatment for gasifier feed provides another market for
Evergreen’s proprietary coal upgrading technology. The coal chemical industry accounts for
50 percent of the Chinese chemical industry output, and K-Fuel will allow owners to cap-
ture greater profits through the efficient use of low-grade feedstock not directly suitable for
gasification. Successful completion of the project will expand the interest in K-Fuel technol-
ogy from coal and conventional power producers to chemical manufacturers and owners of
integrated gasification combined cycle facilities.”
Since signing the LOI in January 2010, preliminary testing and analysis has been
conducted to characterize product quality and performance and to provide process design in-
formation. Based on positive results, the three parties are moving forward with more detailed
engineering analyses. This technical work will support the commercial agreement negotia-
tions, including evaluation of options for integrating the K-Fuel plant into downstream pro-
cessing units, development of a detailed design basis, validation of the site-specific heat and
material balance, and definition of utility requirements. In an effort to accelerate the design
and construction schedule, U.S. and China based engineers have also begun to pre-qualify
key equipment and service suppliers that will support the technology implementation.

April 8, 2010 Zeus Syngas Refining Report 13


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
SCORECARD: ASIA
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010

China

Operational
Steps Toward Project Completion

Under Construction

Permits Awarded 

Concept Proposed 

Advancement
Fuxin syngas

Setback
approved
project

Developing

Shelved

Now available in the Zeus Virtual Energy Library:

LNG Statutes & Regulatory


frameworks Database
Global Outlook: The Changing Legal Frameworks
Led by the escalation of both international environmental awareness and resource
nationalism, the global landscape of energy law and policy is rapidly changing. Zeus’
Database of Statutes and Regulatory Frameworks captures the progression of global energy
statutes, policies and regulations to serve as an aid to energy professionals looking to quickly
assess development and service opportunities in a variety of countries.

The database is separated into two sections, the U.S. and International, which covers some
25 countries. With this tool, users can study the statutes and regulations that govern the
hydrocarbon and broader energy sectors in world markets involved in LNG trade. Whether
you may be seeking to understand regional/national developments or global trends, the Zeus
Virtual Energy Library™ can aid in your research.

complimentary Access online: www.ZeusLibrary.com/LNG/Regulatory

14 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
GASIFICATION INVENTORY: ASIA
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010
China: • Anglo’s Shanxi CTC Project • Hebei Zhongjie Group • Qianjiang Huarun Chemical Co. • Tianjin Soda Plant
• Anqing Chemical Plant • Hefei City Chemical Plant • Quilu Complex • Urumqi Ammonia Plant
• Anyang Zhenyuan Group • Heliongjiang Chemical Complex • SES Hai Hua Gasification • Wei-he Coal Chemical Co.
• Beijing Oxochemicals Plant • Henan Jinding Chemical Co. • SH-1 Plant
• Shaanxi Ammonia Plant • Weihe Chemical Fertilizer Plant
• Bejing Shiyan Complex • Henan Xinhong Petrochemical Co.
• China 1 Chemical Plant • Henan Yima Group • Shaanxi Ammonia Plant (Eastman • Weihe Chemical Fertilizer Plant Phase II
Chemical’s) • Wison Chemical Plant
• China 2 Chemical Plant • Henan Zhongke Chemical Co. • Shandong Dongming Petrochemical Group
• China 3 Chemical Plant • Hohhot Ammonia Plant • Wuhan Coking and Chemical Plant
• Shandong Henrui Chemical Co.
• China 4 Chemical Plant • Huainan Chemical General Works • Shandong Jiutai Group • Wujing Coking and Chemicals
• China 5 Chemical Plant • Hubei Biocause Pharmaceutical Co. • Shandong Yuhuang Chemical Co. • XinXing CTM Project
• Dahua Complex • Hubei Fertilizer Plant • Shanghai Chemical Plant • XinXing Coal Chemical Technology CTM
• Dalian Ammonia Plant  • Jilin Ammonia Plant • Shanghai Coking and Chemical Plant • Xinneng Group (Bengbu) Co.
• Daqing Oxochemicals Plant • Jiutai Group (Guangzhou) Co. • Shanxi Coal Company Methanol Plant
• Fushun Oxochemicals Plant • Jiutai Group (Zhangjiagang) Co. • Xinneng Group (Zhangjigang) Co.
• Shenbei Coal Gasification Project
• Fujian Refinery Ethylene Project  • Jujiang Ammonia Plant • Yankuang Project
• Shenhua, Majiata Chemical Plant 
• GE Haolianghe, Heilongjiang  • Kaixiang Chemical Plant • Shenhua Plant • Yongcheng Project
• Golden Nest Baodan CTL Pilot Plant • Lanzhou Ammonia Plant • Shenhua Yinchuan Chemical Complex • Yueyang Gasification Plant
• Golmund Refinery • Liuzhou Chemical Plant • Shenmu Coal to Chemicals • Yueyang Petrochemical Co.
• Golmund Refinery 2 • Lunan Ammonia Plant • Shuanghuan Chemical Plant • Yuntianhua Chemical Plant
• Hai Hua Gasification Plant  • Lutianhua DME Complex • Sichuan Lutianhua Group
Operational • Harbin Chemical Plant • Mongolia UCG 
• Yunzhanhua Chemical Plant
• Sinopec Jinling Plant
• Zhenhai Ammonia Plant
• Hebei Jichun Group • Nanjing Ammonia Plant • Sinopec Nanjing Chemical Industries Plant
• Hebei Jinyuan Chemical Co. • Ningxia Syngas Plant • Sinopec Qilu • Zhijiang Gasification Plant
• Hebei Kaiyue Group • Puyang Chemical Plant • Sinopec Wuhan, Hubei  • Zhong Yuan Dahua Chemical Plant
• Hebei Yutai • Puyang Fertilizer Plant • Tianhe Chemical Co. • Zibu Methanol/Oxochemicals Plant

India: • Bathinda Ammonia Plant   • Nangal Ammonia Plant   • Neyveli Syngas Plant   • Sanghi IGCC Plant
• Japan Consortium Demo GTL Plant  • Narmada Ammonia/Methanol Plant   • Panipat Ammonia Plant
Japan: • Methanol Facility   • Omuta Chemical Plant   • Yokkaichi Syngas Plant
• Nakoso IGCC Plant • Ube City Ammonia Plant
• Negishi IGCC • Ube City CO Plant  
Malaysia • Shell Bintulu II  GTL • Shell Bintulu SMDS  GTL
Vietnam: • Ha Bac Fertilizer Plant
S. Korea • CO Plant • Naju Ammonia Plant   • Yochon Chemical Plant  
Singa-
pore • Chawan Refinery   • Singapore Syngas Plant  

Taiwan • Kaohsuing Syngas Plant   • Mai Liao Refinery  

China • DOW/Shenhua Coal-to-Olefins • Henan Kiaxiang Complex • Sasol/Shenhua CTL • Sinopec DME
Under Con- • GreenGen • Huayi Coal-to-Methanol Project • SES/Yima Chemical PlantProject • Yitai CTL
struction Philip- • Spectrum’s MSW Recycling Facility and Gasification System
pines:
China: • Anyang Zhenyuan Chemical Co. • GAIL&Huashan’s Coal-to-Methanol • Lu’An Mining’s Xinjiang CTL Project • Shenmu II
• Baota Petrochemical Group Complex • MTG Demo Plant • Tianhe Chemical Co.
• Bingchang Complex • Guizhou Chemical Plant • Ningxia Coal-to-Methanol Project • Tianjin Chemical Plant
• CME International • Guizhou Tianfu Chemical Co. • Ningxia Hui CTL Plant • Universe Coal-based Clean Fuel Project
• Canda WTE Plant • Hainan Complex • OGX CTL Plant • West Hawk IGCC/CTL Project
• Cash CTL • Hongkong Xiexin Group • SES/Golden Concord Chemical Plant
• Huainan Chemical Plant • Xilinguole League CTC Facility
• China National Coal Group • Shaanxi CTC Project
• Chongqing Chemical Plant • Inner Mongolia Chemical Plant  • Xinjiang Project
• Shanghai Coal to Methanol
• Chongqing Minsheng Gas Co. • Inner Mongolia K-Fuel Facility  • Shanxi Lanhua Chemical Plant • Xin’ao Group
• Cougar Energy/Direct Invest  • Jincheng City Coal-to-Urea Project • Shanxi Lanhua Sci-Tech Venture Co. • Yulin CTL
• Datang Hexigten SNG Project • Jiutai Group • Shanxi SNG Project • Yunnan Jiehua Group
• Datang Huayin SNG Project • Lanhua DME Complex • Shenhua Baotou Coal-to-Chemicals Complex • Yushen Chemical Complex 1
• Dow Shenhua Coal-to-Chemicals Plant • Linfen Tongshida Co. • Shenhua Baotou Coal-to-Chemicals Complex • Yushen Chemical Complex 2
India: • Barmer Regasthan UCG • Jindal Talcher CTL Project • Orissa CTL • Reliance/Headwaters CTL Plant
• GAIL/Coal India Fertilizer Project • Linc/Shi-Vani’s UCG Project • Paradip Gasification H2/Power Plant • Singareni UCG Project
• GAIL/Rajasthan UCG • Matix Fertilisers and Chemicals CBM-to- • Ramgarh UCG • Surat Plasma Gasification Project
• Gujarat UCG Ammonia Plant • RIL’s Jamnagar Refinery IGCC Project • Talcher Unit Coal-to-Urea 
Proposed • Jindal Steel & Power DRI Plant • ONGC / Shell Gasification Project • RIL’s Petcoke Gasification Project • Tata, Sasol CTL JV
Indone-
sia: • Indonesian CTL Plant • GE IGCC • Sasol CTL
Paki- • Thar Province UCG • Pepco Coal Gasification
stan:
Philip- • H&WB CTL Facility • Dumaguete WTE
pines:
S. Korea • Gyeonggi Province Hydrogen Plant • Taean IGCC No. 1
Sri • Colombo WTE
Lanka:
Thai- • Velocys/PTT GTL  
land:
Uzbeki- • Sasol/Uzbekneftegaz/Petronas
stan
Vietnam: • Red River Delta UCG Project • Sao Nam Petro DME Factory • VinaChem’s Fertilizer Plant

April 8, 2010 Zeus Syngas Refining Report 15


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
Australasia
1. UCG ‘Emerging According to LimeStreet Capital Resources Fund
From Its Shadow’ Manager Stephen Bartrop, underground
coal gasification (UCG) is finally com-
ing of age, but is an often overlooked
younger brother to coal seam gas
(CSG) development, The Age
reported April 6. In the past three
years, stories about UCG have
grown significantly. There are
similarities between UCG and
CSG, but “given that for one 2
cubic meter of coal you get 20 1
times the amount of energy out
of a coal seam through UCG than 4 3
through CSG technology, it really is 5
just a matter of time before it [UCG]
comes into its own-which will have huge
implication for Australia’s vast coalfields,”
Bartrop said.
Cougar Energy Managing Director Len Plant
Walker, one of the pioneers of UCG development in
Australia, said that rising energy demand has put the technology into play. “When I founded
Linc Energy in 1996, or even when I founded Cougar more than two years ago, there was
very limited interest in UCG,” Walker said. The genie is out of the bottle now, Walker con-
tinued, and is unlikely to be put back in. “There was very little going overseas in UCG a few
years ago. Apart from Linc Energy, Carbon Energy and ourselves, which are the big three in
the space, I have counted six or seven other listed companies that have recently popped up
and which are all promoting UCG in different ways,” Walker said. Walker emphasized, how-
ever, that UCG development is not suitable for export like CSG, and this is a key difference.
UCG is aimed at supplying domestic markets.
In March, Cougar announced start-up of its Flagship Kingaroy UCG project in
Queensland. The company will undertake a series of trials for use in pre-feasibility and feasi-
bility work for a planned 400-MW power station expected online in 2013. The facility will
supply enough energy to power 400,000 homes for 30 years. Walker hopes to secure US$300
million in equity and debt funding by early 2011 to finance the project.
Approximately 125 kilometers southwest of the Kingaroy project is Linc’s Chinchilla
UCG project, which will convert coal to 20,000 b/d of liquids, 10 percent of Australia’s
current fuel consumption. The company is hopeful, however, of putting in a power station
in South Australia as well. The power station would produce 200 to 400 MW of electricity,
with construction to start by year-end 2011.
Near Linc Energy’s coal tenements is a site where Carbon Energy expects to bring
online a 5-MW UCG power plant by the middle of 2010. Once operational, the company
may then announce plans for a 25-MW power station, which would take 18 months to
build. “We are in discussions with potential partners now who will take power from the plant
but also look to own the power station, and we would sell gas into that. Hopefully those pro-

16 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
spective partners will join us for the 20-MW plant but also the further 300-MW upgrade,”
said Andrew Dash, Carbon Energy’s managing director.
All three companies believe UCG is the next big thing. The market’s appetite for
UCG technology will be tested over the next couple of years as developers try to secure
financing for UCG project proposals.

2. Ambre Announces Ambre Energy announced March 24 its intention to construct Australia’s first coal-to-liquids
Plans for US$3.5 facility at Felton, ending months of speculation on its plans. Ambre Energy Director, Michael
Billion CTL Plant in van Baarle, said the project, AmbreCTL, represented a US$3.5 billion investment in the re-
Felton gion in its first three to four years, and could meet 20% of Queensland’s demand for unleaded
petrol by 2014.“Ambre Energy has access to commercially-proven ExxonMobil technology
which will enable us to produce 940 million liters of high quality unleaded petrol and 150
million liters of LPG from Felton coal each year for the next 35 to 40 years,” he said.
AmbreCTL will utilize an open-cut coal mine to supply four million tons per an-
num of feed coal, producing unleaded petrol and LPG via the gasification of the coal, subse-
quent conversion
into methanol,
and further
conversion to
high quality
fuels. The project
will require
1,170 workers

Conceptual
illustrations of the
AmbreCTL plant.
Source: Ambre
Energy.

during a two-year
construction phase
beginning in 2011,
and will sustain
approximately 540
positions once
operational. The
facility will be lo-
cated at Felton, 30
kilometers south
of Toowoomba,
Queensland Aus-
tralia.
Previously, the company planned to build a coal to dimethyl ether (DME) facility
for US$480 million, but, after investigating overseas and domestic markets, the company
found that there was not a sufficiently developed market for DME. This finding led the com-

April 8, 2010 Zeus Syngas Refining Report 17


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
pany to focus on “highly accepted” unleaded petrol products, rather than attempt to build a
DME market.

3. Regal Reaches Regal Resources Limited (Regal) announced April 6 that the Oak Park Pilot Plant has suc-
Milestone In UCTL cessfully been commissioned and the company is now ready to validate its coal-to-liquids
Pilot Plant technology, with testing on coals expected to commence during April. The plant has pro-
duced “Water with Supercritical Properties” (WSP). WSP is of vital importance to Regal’s
Underground Carbon to Liquids (UCTL) and Surface Carbon to Liquids (SCTL) processes,
and the Pilot Plant is believed to be the world’s first facility to test the use of WSP for the
conversion of coal to liquid hydrocarbons. During the performance testing at the Pilot Plant,
a water flow rate of 0.02 liters per second with a pressure of 25 MPa and a temperature
of 3760Co was achieved, and delivered through a nozzle thereby creating WSP. Testing of
samples of brown coal with WSP will now commence within the Surface Reaction Vessel
(SRV) at Oak Park.
According to Regal, It has been widely documented that supercritical water con-
verts coal to liquid hydrocarbons. Water in this state (temperature of approximately 3700C,
pressure 22Mpa) acts as a solvent to break the carbon-carbon bonds in the coal, and acts as a
reactant to donate hydrogen to the coal. The reaction converts coal containing 5% hydrogen
to liquid hydrocarbons with approximately 13 percent hydrogen. It has been verified through
independent research that supercritical water maintains its supercritical properties for at least
two seconds once it passes through a nozzle at high speed. This is the critical unproven com-
ponent of the UCTL and SCTL technologies that testing at Oak Park intends to verify, and
verification will result in the production of liquid hydrocarbons.

UCTL is a new process invention that occurs within the underground coal seam (“in situ”), whereby low rank coals
are liquefied into crude oil substitute product at 3000C. A substantive heat by-product is returned to the surface
potentially creating further commercial applications such as electricity generation. Source: Regal Resources.

18 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
Implementation of conventional supercritical water technologies for liquefaction
presents significant engineering challenges and are not regarded as being economically viable.
The UCTL and SCTL processes overcome many of the economic constraints of produc-
ing supercritical water by replacing pressure with velocity while maintaining the supercriti-
cal properties of water within the process. The liquids produced from the SRV tests will be
subject to laboratory testing. The purpose of these tests will be to establish whether liquid
hydrocarbons have been produced, to analyse the liquid hydrocarbons and to assess their
value. Uhde Shedden, in consultation with Regal, will be assisting with this work.

4. Collie-Area Coal- Plans to build a coal-to-urea fertilizer facility in Collie, Western Australia has received major
to-Urea Project Gets project facilitation (MPF) status by the Australian government, TCE Today reported March
Government Backing 31. The plans were proposed by Western Australia-based Perdaman Chemicals and Fertilis-
ers. The proposed US$3.2 billion facility would be built south of Perth, in the vicinity of the
Collie coal mine. A separate feasibility study is underway on the capturing and sequestration
of CO2 produced from the facility and several other nearby industrial sources. The govern-
ment’s MPF award does not grant final approval, but allows Perdaman Chemical and Fertilis-
ers to coordinate development of the project at all government levels and fast-tracks responses
to issues raised by project proponents.
Samsung Engineering and Indonesian firm Inti Karya Persada Tehnik have signed a
heads of agreement to perform engineering, procurement and construction services for the
project, while Shell will provide the facility’s gasification systems and technology. Haldor
Topsoe will supply the ammonia and urea synthesis technologies, while Stamicarbon will
supply the granulation process technology. The project will create 2,000 jobs during con-
struction, and will require 200 positions once online.

5. CRL Demonstrates CRL Energy in Lower Hutt has successfully demonstrated the full chain from coal to hydro-
Coal-to-Hydrogen gen-fuelled electricity using a palladium-based membrane. Chief Executive Rob Whitney
Power Using said the palladium-based membranes, supplied by the Energy Research Centre of the Neth-
Membrane erlands (ECN), were used in a unique experiment to convert coal gas to hydrogen with the
high-purity level required by a fuel cell.
“New Zealand has an abundant supply of coal, this membrane experiment and our
gasification technologies has shown that, combined with carbon dioxide capture and storage
(CCS), we can use this resource in an environmentally friendly way. Hydrogen is the cleanest
fuel available, producing only water as a by-product,” said Whitney.
The experiment was part of a Foundation for Research, Science and Technology-
funded project aimed at developing hydrogen production technology utilizing New Zea-
land’s abundant coal and biomass resources. From coal, a hydrogen rich gas is produced by
gasification. In subsequent steps, the gas is desulphurised, passed through a water gas shift
reactor, compressed, and fed to the ECN membrane to produce the clean hydrogen which
is converted into electricity in a fuel cell. The project demonstrated conclusively that using
the palladium-based membrane technology (registered as “Hysep” by the Dutch) the whole
chain, from coal to electricity can be realized, the company said.
The fuel cell for the experiment was designed and supplied by Crown Research
Institute IRL.
Senior researcher for the project, Tana Levi, said that the successful experiment
couldn’t be timelier as resources of oil around the world become limited. “We are very
pleased with the results. The membrane has performed above expectations, and we look for-
ward to the future when we may have a commercially viable means of hydrogen production.”

April 8, 2010 Zeus Syngas Refining Report 19


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
SCORECARD: AUSTRALASIA
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010

March 24 April 6 March 31


Australia Australia Australia

Operational 
Steps Toward Project Completion

Under Construction 

Permits Awarded 

Concept Proposed  

a US$3.2 billion
announced for
Oak Park Pilot
Advancement
plans for CTL

commissions

coal-to-urea
announces

Setback

project
Ambre

Regal

Developing

Plans
Plant
plant

Shelved

GASIFICATION INVENTORY: AUSTRALASIA


Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010
• Brisbane Industrial Gas • Oak Park Pilot Plant 
Australia: Complex
Operational
• CEL Bloodwood Creek
• Chinchilla UCG

Under Con- Australia: • Kingaroy UCG Project


struction

• Altona CTL Facility • Gippsland UCG • Zerogen • Clinton Project


Australia: • Ambre CTL  • Japan/Australia Joint Coal- • Scaddan Energy Project • Orroroo UCG
• Clean Global Energy UCG to-Gas Project  • SunState Coalseam UCG/GTL
• Collie Urea Project • Metallica CTL Project • Valley Coalseam UCG/GTL
• Gailee Basin CTL • VCR CTL Project • Wandoan Project
Proposed

New • Solid Energy Lignite-to-Urea


Zealand: Plant

Australia: • Anglo American CTL


Shelved
• L&M Group

20 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
Europe
1. Turkish Aluminum The Board of Directors of the Overseas Private
Recycling Plant to Use
Investment Corporation approved US$75
RODECS Gasification
Equipment million for the construction of an alu-
4
minum recycling facility in Turkey 2 3,5
that will use U.S. technology to
process up to 41,000 tons of 1
secondary aluminum annually.
The facility will use both used
beverage cans and clean alumi-
num scrap as inputs for its recy-
cling operation. The aluminum
recovered by the facility will be
sold under contractual arrangements
to primary and secondary manufactur-
ers in Turkey, or on the local spot market
at international commodity prices.
The facility will employ state-of-the-art Plant

RODECS equipment, which is able to gasify all


organic material from scrap metal, thereby transforming low quality contaminated metal
scrap into clean, high-value metal in an environmentally-friendly process. The RODECS
system gasifies, rather than burns, the materials so that the scrap metal is cleaned with mini-
mal yield loss. In so doing, it is able to rid the aluminum of oil, paint, plastic, polyethylene,
paper and water.

2. Polish Laboratory The Complex Extraction of Energy from Coal (CEEC) method of combined coal gasifica-
Promotes Complex tion and renewable energy production was presented at a conference held at the Polish
Extraction of Energy
from Coal Embassy in Brussels March 25. The process is based upon UCG. The novel technology in-
volves installation of a Super Daisy Shaft containing a series of connected distribution pipes
underground. The pipes will be used to inject propellants to fracture the coal seam as well as
to transport steam and hot gas for the pyrolitic coal processing and syngas extraction. The
proponent of the technology is Professor Bohdan Zakiewicz for the Polish Laboratory for
Radical Technologies.
Projects based upon the technology would have an expected production life of ap-
proximately 25 years. Once the plant’s production life has ended, the underground chamber
would be back-filled with biomass to avoid subsidence and contamination of water, particu-
larly by contaminants such as mercury. “There are many environmental advantages to this
method, as well as being economically viable. We believe that it could be an excellent alterna-
tive to over-ground coal gasification used in CO2 capture and storage given its potential to

April 8, 2010 Zeus Syngas Refining Report 21


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
reduce the negative effects of coal exploitation on the environment,” said Professor Zakie-
wicz. The Polish laboratory plans to build a pilot plant using the method that is scheduled
to start operations in 2012. The 30-MW plant will cost an estimated US$94 million. The
predicted cost of power generation is US$0.0268/kWh.

3. Increasing Researchers from the Karlsruher Institut fur Technologie (KIT) in Germany have demon-
Hydrocarbon Yield in strated increased hydrocarbon yield and energy efficiency in a Fischer-Tropsch biomass-to-
Biomass-to-Liquids
liquids process through the use of hydrophilic membranes, which enable the in situ removal of
Processes
water from the catalyst bed. The findings were described in a paper published March 30 in the
journal Energy & Fuels. Overall yields of synthetic fuel production from coal or natural gas are
lower than fuel yields from traditional petroleum refining. Given the shortage of arable land
and water in many countries, the need to maximize fuel yield per unit of land is increased. In
addition to a focus on high-yield agriculture and forestry feedstocks, a focus on increasing ef-
ficiencies in biomass processing are required to improve yields, said the researchers.

4. BioGen Power to BioGen Power has received planning permission to build the world’s largest waste gasification
Build World’s Largest facility to be fueled by residual waste, MRW.CO.UK reported April 7. The facility will have
Waste Gasification
a yearly processing capacity of 160,000 tons of waste, generating 83,300 MW of electricity.
Facility
Energos will supply the gasification technology for the facility. This is the fifth BioGen Power
plant to receive approval, three other projects await planning decisions. The company aims to
treat 1.5 million tons of waste per annum when 12 of its gasification plants are operational.

5. Emerson to Install Emerson Process Management’s Smart Wireless network with Rosemount wireless trans-
Wireless Monitoring mitters is being used to enable thermal monitoring of biomass gasification pre-combustion
Network in Polish
chambers at the Elektrownia Stalowa Wola S.A. power plant located in the city of Stalowa
Biomass Plant
Wola, Poland. New temperature data is being transmitted over a WirelessHART network to
operators to ensure that the ceramic walls of the chamber are not damaged by stress fractures
through overheating.
Both power and heat are produced by the Elektrownia Stalowa Wola gasification
system using forest waste wood (including chips and dust) and other biomass material from
agriculture. The organic waste passes through a 9 meter long by 3.5 meter diameter rotating
pre-combustion chamber where it is heated using natural gas to a temperature between 280 –
360°C. The carbonized particles that are produced are burnt in a fluidized bed which releases
energy for steam generation. The pre-combustion chamber is made from a ceramic material
which is protected from damage by a layer of insulation.
Elektrownia Stalowa Wola S.A. (part of Tauron Energy) wanted to further safeguard
the equipment by measuring the temperature of the chamber walls so that they could be
alerted to any potential problems. Should temperatures go beyond 350°C, an alarm is trig-
gered and the operator can adjust the amount of air going into the chamber or reduce the
heating of the biomass. If required, the fuel for the chamber can be shut down completely.

22 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
Should the operator not react in time, the system can shut down automatically.
Two sensors have been installed within the insulation material to provide the tem-
perature measurements of the chamber walls. Because the pre-combustion chamber rotates,
a slip ring assembly would be required to connect the sensors. However, dirt, carbon dust,
and other forms of contamination build up in this area which can lead to flash over (arcing
between the rings or to ground) and damage the connections between the lead and the rings.
Two Rosemount WirelessHART temperature transmitters have been installed on the
rotating chamber delivering measurements from the sensors every 30 seconds. This provides
the operator with the information needed to protect the chamber from overheating. A fur-
ther transmitter has been installed nearby and acts as a router, strengthening the self-organiz-
ing wireless network by providing an extra route for signals to pass through. The device also
measures the ambient temperatures.
Measurement data from the sensors is sent via a Smart Wireless gateway to the exist-
ing Emerson Ovation expert control system that controls the biomass gasification process.
Elektrownia Stalowa Wola S.A. is currently considering increasing the number of measure-
ments on the rotating chamber to increase its knowledge of the process. The wireless tem-
perature measurements will then be used as part of the control of the burning process.

SCORECARD: Europe
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010

April 7
U.K.

Operational
Steps Toward Project Completion

Under Construction

Permits Awarded

Concept Proposed 
BioGen Power

Advancement
largest waste
build world’s

gasification

Setback
plans to

facility

Developing

Shelved

April 8, 2010 Zeus Syngas Refining Report 23


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
GASIFICATION PROJECT INVENTORY: Europe
Gasification Project Advancements & Setbacks w March 25, 2010 through April 8, 2010
Bosnia &
Herzegovina • Gorazde Chemical Plant.
Czech
Republic: • Most Gasification Plant. • Thermoselece Vresova SNG Facility • Vresova IGCC Plant

Finland: • Kymijarvi Power Station‑ • Oulu Syngas Plant-I • Pietarsaari Kiln • Varkaus Gas Plant

France • Lavera Plant • Pont-de-Claix Chemical Plant

• Brunsbüttel Chemical Plant • Ludwigshafen Methanol Plant • SAR Plant-II • Schwarze Pumpe Power/Methanol
• Fondotoce Gasification Plant • Ludwigshafen Oxochemicals Plant • Schwarze Pumpe IGCC Plant III
• Gelsenkirchen-Scholven Ammonia/ • Marl Oxochemicals Plant • Schwarze Pumpe Power/Methanol • Stade Syngas Plant, Wesseling
Germany: Methanol Plant-VI
Methanol Plant • Marl Oxochemicals Plant II Plant
• Leuna Methanol Anlage • Oxochemicals Plant • Schwarze Pumpe Power/Methanol • Ville Methanol Plant
• Ludwigshafen H2 Plan • Rüdersdorf Cement Kiln Plant II • Wesseling Syngas Plant.

• Agip IGCC • Gela Ragusa H2 Plant • Ravenna Syngas Plant • Sulcis IGCC Project
Italy:
Operational • api Energia S.p.A IGCC Plant • Priolo IGCC Plant • Sarlux IGCC Plant

Netherlands: • Americentrale Fuel Gas Plant • Buggenum IGCC Plant • Pernis Shell IGCC/Hydrogen Plant

Norway: • Energy Recovery Facility

Poland: • Lotos Refinery

Portugal: • Barreiro Ammonia Plant • Rodao Mill

Serbia: • Kikinda Chemical Plant

Spain: • Cartagena Syngas Plant • Puertollano IGCC Plant

Sweden: • Norrsundet Mill • Stenungsund Chemical Plant.


• Billingham Oxochemicals Plant. • Hull Syngas Plant • Wilton GTL
UK:
• Dargavel Energy from Waste facility • Westfield IGCC

France: • CEA Wood-to-Biofuels Pilot Project


Under Con- Nether-
• Magnum Project
lands:
struction
UK • Isle of Wight WTE Plant • Powerfuel’s IGCC Power Station • New Earth Solutions

Azerbaijian: • Azerbaijan Methanol Company’s Gas-to-Methanol Facility.

Finland: • Metso’s WTE Facility • UPM-Kymmene’s 2nd Gen. Facility

France: • Mecsek Hills Gas Project

Germany: • Shwarze Pumpe Industrial Facility • Siemens IGCC • RWE Power Plant

Hungary: • UPM Wood-to-Biofuels Facility.


Italy: • ARE’s B-IGCC
Proposed
Poland: • GE/Polish Utility IGCC • Paruszowiec UCG 

Russia • Kermerovo CTL

Sweden: • BioDME
• Birmingham WTE • East London Sustainable Energy Facility • Resource Recovery Solutions’ Waste-to-
• Bootle WTE • Green Lane Eco Park Energy Plant
UK: • Boston WTE
• British Airways/Solena Group Jetfuel Plant • New Earth Solutions Group Recovery • Wellingborough Biomass Gasification Facility
• Cyclamax WTE Power Plant. • Wigan Wte

Belgium: • Antwerp Coal to Chemicals


Shelved
Sweden: • Värnamo IGCC Demonstration Plant

24 Zeus Syngas Refining Report April 8, 2010


Reproduction by any means is illegal and punishable by fines of up to $50,000 per violation. Copyright ©2010 by Zeus Development Corporation.
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