FUTURE BIOREFINING 18.3.2015 MONA ÅKERHOLM-KAAPRO NESTEJACOBS.COM
Neste Jacobs in Brief Services Excellent Technology, Engineering and Project Services Experience 60 years in Hydrocarbon and Bio-Industries Personnel 1300+ in Finland, Sweden, Abu Dhabi, the Netherlands, Singapore Owners Neste Oil 60% Jacobs Engineering Group 40% Process Technology Process Technology Development Conceptual Process Design Licensor packages and services Process Design & Engineering Grassroots and Revamps Troubleshooting Process & Energy Optimization Process HSE Production Optimisation Real- time process optimization On-line product tracking Feedstock sourcing Operator training simulators 2
Who?
Concept development and facility design EXPERIENCE Long experience in the process development from idea to commercial scale Strong co-operation with client s R&D organisation Modelling and simulation of processes Guiding lab, bench and pilot scale tests to support the engineering SERVICES AND SUPPLIES Conceptual design and project viability assessment Process development from lab scale to industrial scale Project risk and process risk assessment Basic Engineering, Detailed design, Construction, Project management, commissioning and start-up management Scope of services: PDP, BE, FEED, EPCM, EPC, performance guarantees FACILITY DEVELOPMENT Concept creation Concept testing Concept modelling Plant modelling Plant construction 4
Filling the GAP between R&D and Commercial scale plant IDEA R&D? Commercial plant Cash Flow How? 5
Content General outlook on future biorefining Finding the right path? Cases and possibilities 6
General outlook Source: Agra CEAS calculations based on F.O. Licht data 7
Trends within fuel consumption Source:Joint European Biorefinery Vision for 2030, Star-COLIBRI 8
Trends within chemical production Source:Joint European Biorefinery Vision for 2030, Star-COLIBRI 9
Our conclusion of the future biorefining The future biorefinery will be a multiproduct facility with one main stream and side streams. Side streams may yield major part of revenues and earnings. Combustion value may destroy the feasibility of an investment Feedstock will mostly be cellulosic origin (wood, straw, corn waste etc) or waste/algae Networking with local providers and industry is a key factor for success New customers will enter the biorefining market: Pulp&paper industry, waste management companies, chemical companies, oil&gas companies, petrochemical companies 10
The future biorefinery 11
Finding the right path? Feedstock Processing Product 12
Pulp mill and renewable refinery side streams Kraft pulping Pulp 47% Softwood Chips Black Liquor 51% Lignin, hemicellulose &inorg. chemicals Hardwood Chips Chemicals Bark Sawdust Sulphite pulping Crude Tall Oil 1,7 2,5% Crude Sulphate < 0,2..0,3 % Turpentine Dissolving pulp 48% Black Liquor 51% More Extractives More C5 sugars Xylose 10-15 % Chemicals Extractives 0 1 % What? Source: L.D. Shackford, TAPPI, Pine Chemicals Review 2015, Neste Oil 13
Case 1, Microbial oil from straw PROCESS Microbial oil production and NEXBTL from straw Raw material logistics Straw handling and pre-treatment and fractionation Fermentation Product recovery SCOPE OF WORK Process R&D management Technology co-development with customer Extensive international R&D collaboration network Modelling: sourcing, logistics, process, unit operations Scale-up by modelling and pilot scale tests Product valorization Pre-engineering and feasibility study 14
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DOE (Department of Energy): biobased opportunities 16
Examples of Technology Co-development What? NEXBTL Renewable Diesel Technology Background Based on in-house innovations and Neste Oil strategy, Neste Oil decided to develop a HVO (Hydrotreated Vegetable Oil)- technology platform Program Due to extensive modelling effort no piloting was required savings in time and money All process segments were modelled; multiple methods were used Four commercial plants by this date Advantages Market entry was estimated to be two years faster than with conventional approach Larger market share due to early market entry Biopropane Background Expansion of innovative NEXBTL product family with biopropane for fuel and chemical applications Program The new unit will purify and separate biopropane from the NEXBTL side stream gases No piloting was included in the program First commercial unit in construction Advantages First commercial scale biopropane unit Significant added value of the side stream Drop-in Product is suitable for use in existing LPG applications 17
Examples of Technology Co-development What? Xylose Recovery Background Black liquor from Sulphite pulp mill containing lignin and C5 sugars is normally used for energy production Program Pilot plant was built to test various separation methods. Strong emphasis on automation technology Commercial production since 1990 s Advantages High yield Robust, yet flexible solution ARxPINUS Intelligent Tall Oil Technology Background Need of cost-efficient tall oil distillation process and design awakened research for rigorous modelling. NJ started systematical and comprehensive data compilation, supplemented by laboratory tests. Program Rigorous models developed and applied. 1st references in Finland and Sweden in 1990's. Several reference units in Scandinavia and Americas in 2000's. Several projects ongoing. Advantages Raw material variety using solid and proven design Superior proven technology with guaranteed performance. 18
Pilot plants Alko, Helsinki, Finland Fermentation pilot plant Alko, Rajamäki, Finland Biomass fractionation pilot plant Cultor, Kantvik, Finland Sugar process pilot plant Finnish Red Cross, Helsinki Finland Pilot scale production units IUAKK, Porvoo Finland Distillation education pilot plant Neste Engineering, Porvoo Finland Pilot plant for reformulated gasoline Neste Engineering, Porvoo Finland Pilot plant or conductive polymers Neste Engineering, Porvoo Finland Pilot plant for organic synthesis Neste Engineering, Porvoo Finland Polyolefine pilot plant Pharmacia Upjohn, Sweden Pilot scale production units Primalco, Finland Pilot plant for biodegradable polymers Raisio Benecol, Raisio Finland Sterol hydrogenation pilot plant Roal, Rajamäki Finland Fermentation pilot plant Sterol Technologies, Finland Sterol extraction pilot plant Technical Research Center Fermentation pilot plant Technical Research Center, Finland Pilot plant for chemical synthesis Neste Oil Microbial Oli pilot plant 19
Neste Oil Singapore site On stream in 2010 Produces NExBTL renewable diesel for the European and North American markets Refining capacity of approx. 800,000 t/a Employs around 120 people 20
Mildola Oy - Edible oil refining unit PLANT Location: Kirkkonummi, Finland Refining plant of edible oils produced from rape seed, soya beans and sun flower seeds. New building integrated with the oil pressing facilities. Extension of utility systems and oil storage. Engineering 15 000 man hours. CONTRACT TYPE Design & build target price with incentives SCOPE OF WORKS Basic engineering Detailed design Procurement Construction Commissioning Start-up services PROCESS DESCRIPTION Refining and bleaching technology supplied by Alfa Laval Separation Technologies. 21 Mona Åkerholm-Kaapro 18.3.2015
Forchem Oy - CTO distillation plant PLANT Location: Rauma, Finland World s largest single-line dry distillation unit targeting 150.000 t/a TECHNOLOGY Dry vacuum distillation of crude tall oil with performance guarantees by Neste Jacobs PROJECT PERIOD August 2000 Basic engineering starts March 2001 Project implementation starts September 2002 Mechanically ready SCOPE OF WORKS Basic engineering EPCM services Equipment supply Automation and process information management system as turn-key delivery Start-up services 22
Oy Alko Ab - Biochemical plant PLANT Location: Rajamäki, Finland Fermentation plant for bulk industrial enzymes New facilities integrated with existing buildings and utility supply systems SCOPE OF WORKS Design & build (EPC) delivery including pilot testing, scale-up, engineering, procurement and construction of the facilities; commissioning, start-up and sterility & process performance guarantees. CONTRACT TYPE EPC, Lump sum turn-key with performance guarantees PROJECT PERIOD 1986-1987 23 Mona Åkerholm-Kaapro 18.3.2015
Roal Oy - Biochemical plant PLANT Location: Rajamäki, Finland Fermentation plant with up-stream and down-stream operations Product formulation Utility supply systems Effluent and solid waste treatment facilities cgmp and GAMP compliance CONTRACT TYPES Lump sum turn-key Design & build target price with incentives SCOPE OF WORKS Conceptual design Basic engineering Detailed design Procurement Construction EPC, Lump sum turn key delivery Process performance guarantees TIC 25 million Euro 50.000 engineering hours PROJECT PHASES Phase 1 1991 Basic engineering Phase 2 1992-93 Implementation Phase 3 2000-01 Expansion TECHNOLOGY Enzyme manufacturing Technology by Altia (Finland) and Röhm (Germany) 24
Altia Oyj - Ethanol plant PLANT Alcohol manufacturing plant utilizing barley as raw material, integrated facilities producing potable ethanol, barley starch, DDSG Location: Koskenkorva, Finland SCOPE OF WORKS Process design Mechanical engineering Piping design Project management Procurement Expediting Site supervision TECHNOLOGY Altia's technology PROJECT PERIOD Long term service supplier since 1994 25 Mona Åkerholm-Kaapro 18.3.2015
Suomen Sokeri Oy - Sugar refinery PLANT Sugar refinery and packing plant Location: Kantvik, Finland PROJECT DESCRIPTION Renovation project of the entire packing plant after fire damage. TECHNOLOGY Conceptual design IKB Industrieplanung Bergerhof SCOPE OF WORKS Detailed design Procurement Construction supervision Commissioning Start-up PROJECT PERIOD 2002-2003 26 Mona Åkerholm-Kaapro 18.3.2015
Danisco Sweeteners GmbH (DuPont) - Xylose recovery PLANT New xylose production unit built up in connection with the existing dissolved pulp mill of Lenzing AG Separation, crystallization and drying steps Location: Lenzing, Austria PERIOD Phase 1 1994 Basic Engineering Phase 2 1995-97 Design and build LEX Phase 3 1999 Expansion LEX 2 Phase 4 2006-07 Expansion LEX 4 SCOPE OF WORKS Basic engineering Detailed engineering Automation system delivery EPCM services CLIENT: Danisco Sweeteners GmbH Technology by Danisco Recovery process using several purification steps 27
NJ s approach to the challenges Evaluation of feedstock (availability, price, capacity, specification, certification) Evaluation of technology, what is commercially possible Evaluation of main product and valuable side streams Networking possibilities with local providers (other companies waste could be the other one s valuable raw material or utility) Integration of the complete biorefinery Adapting to a changing world! 28