Post on 04-Feb-2016
description
Bureau of Economic GeologyJackson School of Geosciences
The University of Texas at Austin
Texas FutureGen:Texas FutureGen:A win for the region A win for the region
Ian Duncan
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100
80
60
40
20
0
Per
cen
tag
e o
f to
tal
mar
ket
Year
1850 1900 1950 2000
H/C>4 (Natural Gas, Hydrogen, Nuclear, Sustainables)
H/C<1 (Wood, Coal)
H/C~2 (Oil)
U.S. Data: Annual Energy Review 1999 (EIA, 2000)World Data: International Energy Annual 1999 (EIA, 2000)
Global Consumption Trends
THE US IS THE SAUDI ARABIA OF COAL
What are the Implications for the Oil Industry
• High oil prices and National Security will drive gasification of coal and production of synthetic diesel for DOD
• Environmental NGO’s driving power companies to decarbonize fuel…. CO2 sequestration
• Relatively cheap CO2 available for EOR
FutureGenPreliminary Federal Requirements
• Design, construct, operate a 275-megawatt plant to produce electricity, hydrogen, and > one million metric tons per year of CO2 with near-zero emissions.
• Establish capability to sequester at least 90 percent of plant’s CO2 emissions.
• Demonstrate fuel flexibility (coal, lignite etc)
• Prove the effectiveness, safety, and permanence of CO2 sequestration.
• Establish standardized protocols for CO2 measuring, monitoring, and verification.
FutureGenCommercial Details
• $1 billion DOE award
•$750 million from DOE
•$250 million from a private consortium
• Initial RFP expected early 2006
• 30 day review and comment period
• 120 day proposal preparation period
• 120 day proposal evaluation period
• Award of the project is expected late summer of 2006
• This is subject to change…..
FutureGenIGCC w/ CO2 Capture
Coal
Petroleum Coke
Refinery Co-products
Gasifier
Oxygen
Modified from Eastman Chemical
Slag/Soot
Electricity
Steam
Syngas
Combustion Turbine
SteamTurbine
Sulfur
Hydrogen
Particulate Removal
Solids and Co-products
SteamShift
ReactorH
CO2
CO2
Sulfur
FutureGen Texas - Overview•Early leadership by Commissioner Michael Williams and the Clean Coal Council and Foundation
•Commissioner Williams created FGT team and asked the Bureau of Economic Geology to lead
•Legislative action in 2005 session and support from state leadership
• State wide selection process, level playing field
• Broad stakeholder involvement and community buy-in
FutureGen Texas – The Texas Advantage
Texas holds great cards: • excellent geology for sequestration success,
• largest coal user in country, • largest hydrogen market,• largest producer of methanol and ammonia,
• most extensive hydrogen pipeline, • most experience in CO2 pipelines,
• largest CO2 sequestration and EOR potential
Honorable Rick PerryGovernor of Texas
Texas FutureGen Advisory Board
Honorable Michael Williams Chair
Operations Site Selection Proposal ResponseLegal Relations
BEG Strategic Coordination – Scott W. Tinker
•Federal
•State
•Public
•CO2
•Permitting
•EOR
•IGCC
•Fuels
•Transport
Subsurface Thickness
Data SourceBEG
CO2 Brine Storage
CO2-EOR CO2-EOR Qualified ReservoirsQualified Reservoirs
Data SourcesBEGRRC
EOR Candidates
Data SourceBEG
Coal Resources
Data SourcesBEGRRC
USGS
Half of the nation’s reserves are in low btu coal, lignite and
pet coke
Refineries
Transmission Line Density
More dense
Less dense
Coal-firedPowerplantCoal-firedPowerplant
Refineries
Transmission Line Density
More dense
Less dense
Additional Parameters
•Refineries: Oil and Gas Journal, Dec. 23, 2002 issue •Non-attainment areas: TCEQ•Transmission line density: ERCOT and CEE•Pipelines: Texas Railroad Commission digital database•Summer Load, peak 2005: ERCOT and CEE•Railroads, Power plants: TXDOT digital database, Public Utility Commission of Texas•Lignite belt: Kaiser, W. R., Ayers, W. B., Jr., and La Brie, L. W., 1980, Lignite resources in Texas: BEG RI 104, 52 p.•Lignite mines: Texas Railroad Commission, digital data base•Fort Worth Sub-bituminous Basin: USGS digital data base
Preliminary Screening
600 km0
200 400 mi0
Alberta
Mexico
Commercial Propagation
For FutureGen to succeed:
For an impact on a scale that matters
in a time frame that matters —
Requires:
(1) flexible fuels
(2) near-term propagation of FutureGen-like facilities.
Needs
• National support for national problem…
• Outreach and Public Education
• Talented well trained work force
• Knowledge of what happens when we scale from 1 Mt to 1 MMt to 1 GT?
Summary• Climate change is the driver• Governments create incentives
and support research• Industry implements at
commercial scales• Science and engineering are vital
– implementation costs are huge– timing is critical– missteps are costly
• Start in regions where impact can be felt the soonest and the most
Thanks!