Feedstock Diversification through Innovation Innovation Takes Root 2016 Ken Williams March 30, 2016

Transcription

1 Feedstock Diversificatio through Iovatio Iovatio Takes Root 2016 Ke Williams March 30, NatureWorks LLC

2 Feedstock Diversificatio though Iovatio Who is NatureWorks? Why is NatureWorks doig this? What feedstock(s) make sese? How log will it take? turig greehouse gases (GHG) ito performace products 2

3 Market ad Iovatio Progressio Durables 3D pritig Semi-durables Sigle Use 3

4 Properties: Over the last 10 years, NatureWorks has optimized Igeo grades towards specific applicatios Nowoves / Fibers Rigids Durables Food Serviceware Films Key Properties Key Properties Key Properties Key Properties Key Properties Rage of meltig poits/crystalliity levels Tuable hydrolysis Hydrophilic / moisture wickig Iheret odor resistace UV resistace Low bodig temp Stiffess Gloss, trasparecy Pritability Weight reductio (vs. PET) Stiffess Miscibility Improved flow Chemical resistace Stiffess Compostability High versatility for ijectio, extrusio & coatig processes Barrier Ø Ø Ø Grease Aroma Moisture Stiffess High gloss ad trasparecy Dead fold / twist retetio Grease, oil ad aroma barriers Chemical resistace High throughput 4

5 Igeo yields higher tha other commercial scale biopolymers yield similar to petro-plastics Igeo Bio PBS Bio PP Bio PET Bio PE Clarifyig Sugar to Polymer Yields Polymer Techology Overall Process Yield Sugar to PLA via lactic acid ad lactides Bio succiic acid ad 1,4-BDO from sugar Sugar to ethaol to propylee to PP Bio MEG + Bio PTA from sugar Sugar to ethaol to ethylee to PE Kg sugar for 1 kg polymer 80% % % % %

6 What all this has meat i the market 6 X 1 Billio lb Milestoe aggregate volume i the market as of

7 Feedstock Diversificatio though Iovatio Who is NatureWorks? Why is NatureWorks doig this? What feedstock(s) make sese? How log will it take? turig greehouse gases (GHG) ito performace products 7

8 Here s Why (To uderstad why, look at what s really ivolved ) Ca we structurally simplify this complex supply chai? What if we could do this i 1-step? 8

9 Market Drivers What really matters? 9

10 Feedstock Diversificatio though Iovatio Who is NatureWorks? Why is NatureWorks doig this? What feedstock(s) make sese? How log will it take? turig greehouse gases (GHG) ito performace products 10

11 NatureWorks is a compay formed with the missio of turig greehouse gases (GHG) ito performace products CO 2 CO 2 Additives (Modifiers) CO 2 CO 2 CO 2 1st Geeratio feedstocks are a short term Bridgig Tool usig CO 2 Igeo Itermediates Igeo Resis Adhesives Coatigs Pritig Toers Specialty Lactates Surfactats Plat Sugars Plats Maufacture 11

12 At the same time, we are committed to feedstock diversificatio: Ivestmet i iovatio ad R&D collaboratio to grow our Igeo feedstock portfolio. Performace materials made by trasformig whatever are the right, abudat, local resources 1 st Ge: GHGs to Lactic Acid via Ag Feedstocks 1st step 2d step Next Ge: GHGs to Lactic Acid Direct Coversio via Cellulosic Sugars Where we are today What we are cosiderig Next 3-6 years Next 3-6 years? Dextrose from cor starch Bridgig Crops Sucrose from locally abudat materials such as sugar cae CO 2 to lactic acid techology? CH 4 to lactic acid techology Ligocellulosics: Sugars from bagasse, wood chips, switch grass or straw. 12

13 Feedstock Food Chai Would you rather walk uphill or dowhill? *sugar(s)* today: cor à dextrose cellulosics à mixed 5 ad 6 carbo sugars CO2 à sucrose two step process; high CAPEX (?) CH 4 Eergy value of feedstock (higher is better) ca we covert abudat high eergy feedstock ito Igeo? Wood (cellulosics) *sugar(s)* HLA years lower feedstock cost, lower CAPEX? **ot to scale CO 2 Carbo oxidatio state Low titer, low productivity, 2D modular approach 13

14 Methae vs 1 st Ge Sugar to Lactic Acid (feedstock cost) : Methae oly feedstock that eables < $0.10/lb effective sugar price Cost Idifferece Curve Above lie, Methae preferred Below lie, 1 st Ge Sugar preferred Calculatio assumptios: 1 Heatig value of methae = 20,000 BTU/lb, methae to lactic yield = 80% of g/g theoretical / 90% sugar to lactic acid yield 2 Cor to sugar yleld = 34 lb/bu 14

15 Greehouse Gas Cotributors GWP time horizo 20 years 100 years Carbo Dioxide 1 1 Carbo Mooxide Methae IPCC AR5 Table IPCC AR5 p714 If the goal is reducig greehouse gas effects, capturig methae is the most effective use of resources. 15

16 Methae Sources 3/30/

17 Gulf Oil Spill Surprise: Methae Almost Goe Natural gas igrediet gobbled up by bacterial blooms, study fids. By Bria Hadwerk, for Natioal Geographic News, Jauary 6, 2011 After moths of speculatio about what will happe to the Gulf oil spill, it turs out Mother Nature has rolled up her sleeves ad dispatched with a lot of the gas released alog with it i just four moths 17

18 From Methae to Igeo 1 It starts with methae which is supplied directly to specialized bacteria called methaotrophs 2 Methaotrophs covert methae ito lactic acid through fermetatio NatureWorks coverts lactic acid moomers ito a family of Igeo plastics ad gree chemicals 3 18

19 We are committed to feedstock diversificatio: Ivestmet i iovatio ad R&D collaboratio to grow our Igeo feedstock portfolio. Performace materials made by trasformig whatever are the right, abudat, local resources Q R&D Partership Established Direct Coversio Next 3-6 years CH 4 to lactic acid techology 19

20 We are committed to feedstock diversificatio: Ivestmet i iovatio ad R&D collaboratio to grow our Igeo feedstock portfolio. Performace materials made by trasformig whatever are the right, abudat, local resources Successful coversio of methae to HLA Direct Coversio Melo Park, CA Jue 16, 2014 Calysta, Ic. ( today aouced it has successfully fermeted DOE AWARDS methae $2.5 MILLION ito lactic TO acid, NATUREWORKS uder a research TO TRANSFORM collaboratio BIOGAS INTO with THE NatureWorks. LACTIC ACID BUILDING Lactic acid BLOCK is the FOR buildig INGEO block for NatureWorks Igeo lactide itermediates ad polymers used i MINNETONKA, cosumer ad Mi., idustrial October products 30, 2014worldwide. -- The U.S. The Eergy joit Departmet s Office of Eergy Efficiecy ad Reewable Eergy, developmet program, started i Jue 2013 betwee Calysta ad Bioeergy Techologies aouced a grat of up to $2.5 millio to NatureWorks, is focused o creatio of a commercially viable NatureWorks, oe of the world s leadig suppliers of bioplastics, i support methae-to-lactic-acid of ogoig program that process. aims to sequester The key ad aims use are methae, providig a potet a structurally greehouse gas, simplified, as a feedstock lower cost for the Igeo compay s productio Igeo platform biopolymers ad diversifyig ad itermediates. NatureWorks feedstock portfolio. Next 3-6 years CH 4 to lactic acid techology 20

21 Lactic Acid Productio from Methae World s first demostratio of L-lactic acid productio from a egieered strai Fermetatio (2 liters) Growth (optical desity 600 m) Lactic acid accumulatio 21

22 We are committed to feedstock diversificatio: Ivestmet i iovatio ad R&D collaboratio to grow our Igeo feedstock portfolio. Performace materials made by trasformig whatever are the right, abudat, local resources $2.5 DOE BETO Grat for Biogas to HLA Direct Coversio DOE AWARDS $2.5 MILLION TO NATUREWORKS TO TRANSFORM BIOGAS INTO THE LACTIC ACID BUILDING BLOCK FOR INGEO MINNETONKA, Mi., October 30, The U.S. Eergy Departmet s Office of Eergy Efficiecy ad Reewable Eergy, Bioeergy Techologies aouced a grat of up to $2.5 millio to NatureWorks, oe of the world s leadig suppliers of bioplastics, i support of a ogoig program that aims to sequester ad use methae, a potet greehouse gas, as a feedstock for the compay s Igeo biopolymers ad itermediates. Next 3-6 years CH 4 to lactic acid techology 22

23 Lactic Acid Productio from Biogas I additio to methae, biogas cotais CO 2, H 2 S ad other compoets that may ihibit growth ad/or lactate productio. Our strais are able to grow ad produce lactate from biogas. Typical Biogas compositio: - 60 % methae - 39 % carbo dioxide - 1 % other gases L-lactate Methae diluted with either itroge or carbo dioxide produces similar amouts of L-lactate to biogas à o sigificat toxicity 23

24 We are committed to feedstock diversificatio: Performace materials made by trasformig whatever are the right, abudat, local resources Ivestmet i iovatio ad R&D collaboratio to grow our Igeo feedstock portfolio. Jue 2013: Log Term R&D Partership Established Betwee NatureWorks & Calysta Jue 2014: Lab Scale Lactic Acid Productio Demostrated October 2014: $2.5MM DOE Fudig Aouced Ja 2016 $1 MM ivestmet i ew MN based methae fermetatio lab, supported by state fudig Hirig fermetatio group, 6 skilled employees GENERATION NEXT Ad ext? CO 2 to lactic acid techology? CH 4 to lactic acid techology 24

25 Feedstock Diversificatio though Iovatio Who is NatureWorks? Why is NatureWorks doig this? What feedstock(s) make sese? How log will it take? turig greehouse gases (GHG) ito performace products 25

26 Big Picture Existig process: Cor wet mill C6 Sugars Fermetatio Lactide polymerizatio Igeo Targeted Process: Aaerobic Digestor Methae from Biogas Gas Fermetatio R&D focus of this project Lactide polymerizatio Igeo Natural Gas Pipelie Methae ARPA-E R&D Existig NatureWorks process 26

27 Timelie for Commercial Scale Maufacturig It always takes loger tha you thik. 27

28 NTR/ Calysta Collaboratio -- Recappig NatureWorks ad Calysta developig methae to lactic acid process (joit R&D effort) Expected cost: $multi-mm developmet cost Expected timelie: multi-year effort to pilot plat Goal: feedstock diversificatio, cost, LCA Real project with real $ curretly ivested that has potetial to lead the way towards sustaiable/reewable US biochemical idustry 28

29 Thak you! 29