HYDROGEN ENERGY CALIFORNIA Hydrogen Energy California Update - PDF document

1 1 HYDROGEN ENERGY CALIFORNIA

Hydrogen Energy California Update GASIFICATION TECHNOLOGIES CONFERENCE October 14, 2013  Project and Permitting Update  Design Development During FEED  Carbon Dioxide Emissions  Efficiency  Jim Loney , Fluor - jim.loney@fluor.com  Koichi Sakamoto , MHI - koichi_sakamoto@mhi.co.jp 2

Project Update  Fluor and MHI completed the Front End Engineering and Design  Permitting process continues with the California Energy Commission  HECA continues project development activities 3

Permitting Update  Hydrogen Energy California submitted an amended Application for Certification to the California Energy Commission on May 2, 2012  Permitting Milestones Achieved: – SJVAPCD Preliminary Determination of Compliance issued – CEC Preliminary Staff Assessment issued 28 June 2013 – SJVAPCD Final Determination of Compliance issued – Public Workshop occurred in September  Next Step is CEC Final Staff Assessment  Certification by the California Energy Commission is expected first quarter 2014  CEC Certification is the Authority to Construct 4

Design Developments  Please see the GTC 2012 HECA presentation for details of the HECA plant configuration. – Here is the link to the presentation: – http://www.gasification.org/uploads/downloads/Conferences/2012/presentations/GTC-2012-7-3.pdf  Design Developments: – Addition of Flux to the Gasifier Feed Stock – Reconfiguration of PSA Off-Gas Usage in the Power Block 5

Design Developments - Flux  Addition of Flux to Gasifier Feed  The original design basis did not include flux  MHI completed gasification testing of 133 tons of representative coal and coke samples in their 50 ton/day oxygen-blown gasifier at the Nagasaki R&D Center  Test results are very positive and indicate that the addition of about 1% flux will give optimum ash fusion temperature  Flux system will be designed for the addition of 0-3% flux for operational flexibility  Heat and Material Balances for the permit application were updated to reflect this change  Feedstock Consumption Increases Slightly (less than 1%) 6

Design Developments – PSA Off-Gas  All PSA Off-Gas was previously burned in the HRSG duct burner  The permit application used typical duct burner emissions rates  Duct burner suppliers did not offer emissions guarantees consistent with the values used in the permit application due to inexperience with PSA Off-Gas and concern about its low heating value  Process configuration was modified – PSA #2 Off-Gas compressed to match clean syngas pressure – PSA #2 Off-Gas blended with clean syngas flowing to Power Block – After blending, the combined stream flows to the GT and, only during On-Peak, to the HRSG duct burner  Duct Burners Now Burn Only Blended Fuel and Only During On-Peak  PSA #2 Off-Gas now compressed to ~500 psig; previously 50 psig  Net Efficiency Loss for On-Peak Operation  Net Efficiency Gain for Off-Peak Operation 7

Carbon Dioxide Emissions  Please see the link below for more details of the Carbon Dioxide Emissions Performance Standard Calculations and Efficiency Calculations http://docketpublic.energy.ca.gov/PublicDocuments/08-AFC-08A/TN200144_20130809T143916_Responses_to_PSADEIS_Information_Requests_Set_1.pdf  California SB 1368 Compliance – Standard is less than 1,100 pounds CO 2 per MW-h – Standard applies to utilities purchasing power under contracts with durations longer than 5 years  HECA Emissions: – Steady-State Operations 153 pounds CO 2 per MW-h  Excludes venting of EOR CO 2 and missions during start-ups and shut-downs  – Mature Operations 227 pounds CO 2 per MW-h  Includes Maximum Permitted Venting of EOR CO 2  Includes emissions during start-ups and shut-downs  – Early Operations 301 pounds CO 2 per MW-h  Includes Maximum Permitted Venting of EOR CO 2  Includes emissions during start-ups and shut-downs (more frequent during early operations)  – Emissions values account for carbon dioxide emissions attributable to power generation, not fertilizer production  Low carbon dioxide emissions are achieved by removal of 90% of the carbon compounds from the syngas 8

Carbon Dioxide Emissions Basis  SB 1368 Calculation Basis  Numerator: carbon dioxide emissions are allocated based on daily average consumption of the clean syngas  Denominator: Net Power – Export power was increased to account for auxiliary power consumed by the fertilizer complex – Gross generation was reduced by the gain due to steam integration with the fertilizer units – Auxiliary loads associated with the production of clean syngas was allocated between power and fertilizer according to syngas use 9

65°F Ambient Temperature CO 2 for EOR CO 2 CO 2 Urea Compression Urea / UAN Compression/ UAN (EOR) Purification Feedstock Dryer Exhaust to Atmosphere Coal and Coke CO 2 Clean Syngas 4,750 MMBTU/h HHV Cold Gas Efficiency 4,480 MMBTU/h LHV 82.3% HHV 74.1% LHV Coal Clean Syngas Sour Shift & PSA & Gasification AGR Coke LTGC Ammonia PSA Off-Gas 154 MMBTU/h HHV On-Peak Flux 257 MMBTU/h HHV Off-Peak PSA Off-Gas Acid 137 MMBTU/h LHV On-Peak Tail Gas 229 MMBTU/h LHV Off-Peak Gas Total Clean Syngas 3,910 MMBTU/h HHV 3,320 MMBTU/h LHV Power Block CTG Exhaust to Sulfur Combustion Atmosphere (CT / ST / HRSG) Air to CT Recovery Unit Off-Sites, Utilities, and Gasification Solids Water CTG Exhaust to Liquid Sulfur Treatment Feedstock Dryer Power Block Power Block 338.7 MW Net On-Peak Total Fuel to Power Block 416.0 MW Gross On-Peak 8,190 BTU/kW-h HHV On-Peak 2,774 MMBTU/h HHV On-Peak 6,668 BTU/kW-h HHV On-Peak 246.6 MW Net Off-Peak 2,027 MMBTU/h HHV Off-Peak 315.2 MW Gross Off-Peak 8,218 BTU/kW-h HHV Off-Peak 2,367 MMBTU/h LHV On-Peak 6,430 BTU/kW-h HHV Off-Peak Power Block 1,729 MMBTU/h LHV Off-Peak 338.7 MW Net On-Peak Power Block 6,989 BTU/kW-h LHV On-Peak 416.0 MW Gross On-Peak 246.6 MW Net Off-Peak 5,691 BTU/kW-h LHV On-Peak 7,011 BTU/kW-h LHV Off-Peak 315.2 MW Gross Off-Peak 5,485 BTU/kW-h LHV Off-Peak Net Basis: Generator Output minus Power Gross Basis: 10 Allocation of Auxiliary Loads per Generator Output SB1368 calculations (Page CS-7-1-2)

Hydrogen Energy California (08-AFC-8A) Responses to PSA/DEIS Information Requests Carbon Sequestration and Greenhouse Gas Emissions Table CS-7-1 Representative Heat and Material Balances Hydrogen-Rich Fuel Maximum Maximum Maximum Maximum Maximum Maximum Power Ammonia Power Ammonia Power Ammonia Production Production Production Production Production Production Daily Parameter Units On-Peak Off-Peak On-Peak Off-Peak On-Peak Off-Peak Average Ambient Temperature °Fahrenheit 97 97 39 39 65 65 65 Gross Power Generation (CT/ST) MW 421.8 320.9 409.1 309.2 416.0 315.2 382.4 Power Generation Fertilizer Contribution MW 3.5 11.3 3.5 11.3 3.5 11.3 6.1 Power Generation Less Fertilizer Contribution MW 418.3 309.6 405.6 297.9 412.5 303.9 376.3 Total Auxiliary Load MW 150.5 164.1 150.5 164.1 150.5 164.1 155.0 Gasification MW 12.1 12.1 12.1 12.1 12.1 12.1 12.1 Shift and LTGC MW 0.9 0.9 0.9 0.9 0.9 0.9 0.9 AGR MW 19.3 19.3 19.3 19.3 19.3 19.3 19.3 SRU MW 2.0 2.0 2.0 2.0 2.0 2.0 2.0 EOR CO 2 Compression MW 36.1 36.1 36.1 36.1 36.1 36.1 36.1 PSA and Ammonia Units MW 33.3 46.8 33.3 46.8 33.3 46.8 37.8 CO 2 Purification MW 6.1 6.1 6.1 6.1 6.1 6.1 6.1 Urea/UAN MW 6.0 6.0 6.0 6.0 6.0 6.0 6.0 Power Block MW 5.7 5.4 5.7 5.4 5.7 5.4 5.6 Water Treatment MW 6.4 6.4 6.4 6.4 6.4 6.4 6.4 Power Cooling Tower MW 4.0 4.0 4.0 4.0 4.0 4.0 4.0 Process Cooling Tower MW 9.7 9.7 9.7 9.7 9.7 9.7 9.7 Fertilizer Storage/Handling MW 0.6 0.6 0.6 0.6 0.6 0.6 0.6 Other Supporting Systems MW 8.3 8.7 8.3 8.7 8.3 8.7 8.4 Net Power Export MW 271 157 259 145 266 151 227 Notes: AGR = acid gas removal PSA = Pressure Swing Adsorption CO 2 = carbon dioxide SRU = sulfur recovery unit CT = combustion turbine ST = steam turbine EOR = enhanced oil recovery UAN = urea ammonium nitrate LTGC = low-temperature gas cooling 11 CS-7C – 2 R:\13 HECA\PSA_DEIS\IR\Resp IR Set 1.docx DOCUMENT SOURCE: http://docketpublic.energy.ca.gov/PublicDocuments/08-AFC-08A/TN200144_20130809T143916_Responses_to_PSADEIS_Information_Requests_Set_1.pdf

DAILY OPERATION MODES (updated from HECA 2012 presentation slides)  MAXIMUM POWER PRODUCTION (16 Hours/Day) FERTILIZER GASIFIER AMMONIA DRAW DOWN 28.7 100% 100% 60% STORAGE 71.3 POWER 100%  MAXIMUM AMMONIA PRODUCTION (8 Hours/Day) FERTILIZER GASIFIER AMMONIA BUILD 47.9 100% 100% 100% STORAGE 52.1 POWER 65% 12

DAILY OPERATION CYCLES (updated from HECA 2012 presentation slides)  On a daily average basis, 64.9% of the syngas energy is used to produce power.  MAXIMUM POWER PRODUCTION (16 Hours/Day) – Gasifier through AGR operates at 100% – 71.3% of syngas goes to the power block – PSA and ammonia plant operate at 60% – Urea and UAN operate at 100% and draw down from intermediate ammonia storage  MAXIMUM AMMONIA PRODUCTION (8 Hours/Day) – Gasifier through AGR operates at 100% – 52.1% of syngas goes to the power block – PSA and ammonia plant operate at 100% – Urea and UAN operate at 100% and inventory builds in intermediate ammonia storage 13

Path Forward  The next major milestone is the Certification by the CEC  Certification will release all subsequent project development activities 14