Methanol as a Marine Fuel

Transcription

1 Methanol as a Marine Fuel Gregory Dolan, CEO Methanol Institute IMPCA Asian Methanol Conference Singapore 2 November 2016

2 01 WHO WE ARE

3 Global methanol representation The Methanol Institute (MI) was first formed in 1989 to represent US methanol producers in Washington. 27 years later, MI is truly a global trade association supporting the expansion of the methanol industry in every corner of the world from offices in: S i n g a p o r e Wa s h i n g t o n B r u s s e l s B e i j i n g

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5 02 Transition to Energy Resource

6 Alternative Fuel Drivers Scale: The feedstock base needs to be large enough to support global transportation market. Sustainability: There needs to be a viable pathway to low- or no-carbon transport, while reducing smog. Subsidy: Can t rely on government support forever, so someone needs to make money. Consumer: Demands seamless transition and ease of use. Methanol: Checks all the drivers!

7 Methanol: simplist of alcohols Simple molecule rich in hydrogen Can be produced from a wide range of feedstocks Building-block chemical used in countless industrial and consumer products Clean-burning, biodegradable fuel Potential to be 100% renewable

8 Methanol is a versatile fuel source Out of the ~75 million metric tons of methanol sold globally in 2016, energy and fuel uses represent 40% of total demand From , direct methanol fuel blending has increased at an annual rate of nearly 23% FUELS Neat fuel Low blends High blends GEM MTBE Biodiesel DME & OME MTG TECHNOLOGIES SI & CI engines Turbines Fuel cells Stoves SEGMENTS Road & non-road transportation Power & heat generation, and Marine

9 Methanol Fuel Examples Around the World Iceland M100 Trials Sweden methanol marine fuel USA methanol motorsport fuel UK EN228 low blend Denmark methanol fuel cells for vehicles China M15 to M100, Industrial Boilers Israel Power generation & M15 Standard Africa cooking stoves Egypt M15 Trials India Methanol Economy Roadmap New Zealand Introducing M3 Australia GEM fuel

10 03 MARINE FUELS

11 Marine Fuel in Transition Over 90,000 commercial vessels on world s oceans, consuming 370 million tons of bunker fuel (Heavy Fuel Oil and Middle Distillates). One container ship: SOx = 50 million cars 15 largest ships: SOx emissions = 760 million cars in the world

12 Environmental & Health Hazards NOAA: Globally shipping accounts for 60,000 deaths and US$330 billion in health costs NRDC: Shipping at intersection of high population, choking pollution, and rapid growth Source: Natural Resources Defense Council

13 Emissions regulations driving market The International Maritime Organization has adopted regulations for SOx and NOx that are transforming the shipping industry While SOx reductions may be met with low sulfur fuels, the combination of SOx and NOx reductions driving shipboard solutions

14 North American ECA SOx ECA Established in 2009, enforcement began in 2012 Encompass most US/Canadian coasts (>200 nautical miles) New-build vessels with keels laid after Jan 1, 2016 must also meet NOx to enter NA ECA

15 European ECA SOx ECA in Baltic Sea was adopted in 1997, enforcement began in 2005 ECA in North Sea was adopted in 2005 and enforcement began in : SOx < 0.1%

16 China ECZs July 1, 2015: Domestic Emission Control Zone for OGVs vessels in Hong Kong. Similar restrictions within 12 nautical miles of HK waters. April 1, 2016: Central government sets ECZ in: Yangtze River Delta (Shanghai/Ningbo) Peal River Delta (HK/ Shenzhen) Bohai Sea (Tianjin/Dalian) Jan 1, 2017, 05% sulfur for ships at berth in core port Jan 1, 2018, 0.5% sulfur for ships at berth in all ports within ECA

17 Options available to ship owners HFO +scrubbers MGO LNG Methanol

18 The Clear Alternative Marine Fuel Diesel Bunker Fuel Methanol Marine Fuel

19 Methanol is also a low flash point fuel Properties HFO MGO LNG Methanol Physical state liquid liquid cryogenic liquid liquid Boiling temperature at 1 bar [ o C] / Density at 15 o C [kg/m 3 ] (LNG shown at -/-160 o C) 989 Max Dynamic viscosity at 40 o C [cst] - 3,5-0,6 (at 25 o C) Lower heating value [MJ/kg] (at -160 o C, 1 bar) Lubricity WSD [μm] Vapour density air = 1 - >5 0,55 1,1 Flash point (TCC) [ o C] >60 >60 - / Auto ignition temperature [ o C] Flammability limits [by % vol. of mixture] - 0, Source: EMSA Study on the use of ethyl and methyl alcohol as alternative fuels in shipping

20 Different parameters determine choice of fuel Economy Supply Technology Regulations

21 Examples of vessels running on methanol MOL, WL, Marinvest Stena Lines Swedish Maritime Administration, MI Methaship, LeanShips, a.o. 7 chemical tankers 1 RoPax Ferry 1 pilot boat cruise ship, ferry, a.o. 2-stroke 4-stroke high speed projects MAN Wärtsila Volvo, Scania, FiTech various new build retrofit retrofit new build operational operational testing design DNV GL/ClassNK Lloyds Register various

22 Methanol fuel cells improve electrical efficiency As part of the Pa-X-ell project Meyer Werft installed a Serenergy high temperature methanol fuel cell system demonstrator on board the Mariella The system electricity at higher efficiencies than a typical diesel system [source: Serenergy]

23 Source: Stena Line Dual fuel engine technology ensures flexibility Engines converted for methanol combustion Ballast tank converted to methanol fuel tank Double walled fuel pipes Pump room Pilot fuel assisted diesel combustion concept Methanol is ignited by a small amount of diesel pilot fuel Crew and passenger safety top priority Safety measures include a.o. double walled pipes, ventilation, high pressure oil valves, nitrogen blanketing

24 Wärtsilä Methanol - Diesel on engine piping Toni Stojcevski / Wärtsilä

25 Methanol Injector - the heart of the methanol adaptation ACCUMULATOR BLOCK CONTROL BLOCK TRANSFER BLOCK The methanol injector allows the engine to run on methanol ignited by pilot fuel or on pure diesel.

26 Phi T Maps NOx & PPM soot NOx soot NOx Zero particulates, much lower NOx Source: SAE , Svensson et al., Lund University Methanol Fuel Typical Diesel Fuel Toni Stojcevski / Wärtsilä

27 Methanol is clean burning Using methanol as a marine fuel reduces emissions of: Source: Stena Lines Emission reductions when compared to alternative fuels currently available (fuel oil)

28 Methanol is easy to handle Liquid at atmospheric pressure Available in many ports around the world and along rivers Low infrastucture cost Flexible, modular system Environmentally friendly as it is biodegradable

29 Available in many ports around the world Methanol storage capacity estimates (thousand tons)

30 $ / tonne Methanol is economically viable $1,200 $1,100 $1,000 $900 $800 $700 $600 $500 North America (West Coast) MGO Europe MGO $400 China (Shanghai) MGO Middle East MGO $300 Methanol (Energy Equivalent) $200 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Source: Platts and IHS Chemical, Methanol converted to MGO energy equivalent at factor of 2.16

31 Recent Studies EU Joint Research Centre LNG and Methanol Most Promising alternatives to bunker fuel. May 2016 European Maritime Safety Agency Investment costs for retrofits and new builds for methanol same range exhaust gas after treatment and less than LNG. June 2016 European Sea Ports Organisation Methanol shows promise as an emissions solution for the shipping industry. July 2016

32 05 CONCLUSIONS

33 Methanol... is plentiful, available globally can be made 100% renewable runs well in existing engine technology and has potential for further optimization complies with increasingly stringent emission reduction regulations requires only minor modifications to current bunkering infrastructure is biodegradable! safe handling can rely on long history and experience in shipping and industry cost are relatively modest and drop as experience mounts shows slight regional price variation

34 A picture says more

35 BONUS: Methanol as Diesel Substitute D i e s e l E m i s s i o n s U n d e r A t t a c k The low hanging fruit for methanol fuel blending may be the diesel substitution market for heavy-duty trucks and buses Methanol Institute looking at research agenda for dual-fuel compression ignition engines and dedicated spark ignition engines MI Member Fuel Injection Technologies of China working with Beiben Trucks and Yuchai engines in China MI sponsoring work in Finland to convert Scania ED95 engine to MD95

36 06 CONTACTS

37 CONTACTS MSF MAINTAINS A PRESENCE IN OVER 60 COUNTRIES MANY OF THESE COUNTRIES CEO MI HAS TARGETED FOR METHANOL gdolan@methanol.org POISONING OUTREACH PROGRAMS, MSF HAS EXISTING OPERATIONS, TO INCLUDE: F F F F F F F F F F G R E G D O L A N C H R I S C H AT T E R T O N COO cchatterton@methanol.org D O M L AV I G N E Director of Government Affairs dlavigne@methanol.org L A R R Y N AV I N Senior Manager External Affairs navin@methanol.org E E L C O D E K K E R Chief EU Representative edekker@methanol.org K A I Z H A O Chief China Representative kzhao@methanol.org A P R I L C H A N Executive Manager achan@methanol.org S H E E VA N O S H I R VA N Executive Assistant snoshirvan@methanol.org

38 SINGAPORE (HQ) WASHINGTON D.C. BRUSSELS BEIJING 10 Anson Road #32-10 International Plaza Singapore Reinekers Lane Suite 205 Alexandria, VA (703) Square de Meeûs B-1000 Brussels Belgium #511, Pacific Sci-tech Development Center Peking University No. 52 Hai Dian Rd. Beijing , China