2
Vision StatementProvide solution to Electricity needs in
Africa and monetize Flared Natural Gas.
The solution utilizes Patented Virtual Pipeline
Technology (VPT) that will provide cost effective
Clean Natural Gas (CNG) which will be used to Power
Modular Power Plants and provide the cheapest
delivered energy (power, heat, fuel) solution
(compared to Petrol, Diesel, LNG) to end users.
3
ProposalUtilize currently Flared gas and Gas from existing gas
facilities (for example NGC) to generate Electricity
using a combination of modular clean gas processing
facility and Modular Power Plant.
This proposal includes Gas Gathering, Processing, Storage, Transportation
and Distribution to end users in pipeline disconnected places including
existing and modular Power Plants (proposed as a full package), Airport,
Hospitals, manufacturing industries, state and federal offices, homes in the
community and other power demanding establishments, etc.
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Flare Gas Capture and Processing
TEI Flare Capture solution entails capturing the entire flare stream and delivering it for centralized processing resulting in a solution that:Eliminates the greatest amount of flare of any competitive offering,Captures the highest % of NGLs of any competitive offeringMonetizes the residue gas stream rather than flaring it.
Currently - Flaring
TEI Technology
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Gas Conditioning – Monetizing By-Product
Process all flare capture without flaring condensates
and other by-products of Associated Gas
Propane/butane mix is extracted from gas stream
into sales condition for the local/regional market
Condensate stream (C5+) can be blended with Crude
for sales and monetization or as gasoline blendstock
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Solid Gas Separation Plant Technology
Technical Advantages Higher gas quality
Reduced C2+ content Only solution that can greatly reduce
ethane content in fuel gas, up to 95% Enables liquid NGL recovery (2x vs J-T
Economic Advantages Lower monthly costs
Process works at 35psig, low compression Higher diesel replacement due to clean gas Enables use of high efficiency power
generators that require clean gas (>80% methane) to operate
Less maintenance of equipment required
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Results of Patented Technology
Existing/Conventional Filling
ending temperature >180F 65% full
Patented Chill Fill* Technology Applied to CNG Trailers
ending temperature @ 59F 100% full
TEI compared to Existing Technology
>200% Capacity growth due to materials innovations - Cost dynamics improving due to carbon fiber economics
220mscf (II)
165mscf (I)
550mscf+ (IV) - 2015
CNG Requires Fast Trailer Turnaround
CNG transportation capacity Increased due to changes in materialsFor transportation equipment
CNG transportation is more cost effective
Existing in Nigeria
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Key Cost Elements of VPTPressure at Source of Gas
Determinant of cost of compression
Distance of gas source to End User Determines how much transportation is needed Transportation is biggest project cost
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Advantages of VPTHigher efficiencyVery attractive EconomicsLess initial Capex compared to competing
Technology Can be <10% of an LNG project Compression is very cheap Less distance makes project more attractive
Quickly achievable Typical project is in operation in less than a year Less commissioning and specialized expertise
needed for ongoing plant operations
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Distributed versus Centralized Power GenerationDistributed generation is much cheaper (in some cases 50%
cheaper) than centralized generation Cost per KW generated is much cheaper Modular construction (1.5MW in a fully packaged ISO 40’ container) Enables CHP (Combined Heat and Power) with efficiencies >70% @
1.5MW Centralized station combined cycle turbines <60% @ 500MW scale
Complexity in Distributed generation is much less No need to plan transmission lines and guard against electricity line theft
Distributed generation is built faster than centralized generation Faster return on investment Modular construction delivers energy where needed most, with fast install
1.5MW will power about 1,500 homes in a rural area Less in Urban homes with Air conditioning and other high power homes
Less interruption Station interruption doesn’t mean complete outage in the city Much easier maintenance
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Gas Storage System ExampleStorage Assembly Spec
- Footprint 105’ (W) x 105’ (L) x 50’ (H)- Can be expanded by 7.5MMSCF modules- Individual storage units are in ISO containers- Can be transformed to chassis/wheeled units- Vessels inside are designed with corrosion-
proof composites + stainless steel
VPT Storage System Advantages - Operability
• Service/part replacement – No cryogenic/special parts in the system• Refilling of storage can be achieved immediately from excess
pipeline pressure
- Lower operating expense (OPEX)• CNG storage consumes <0.5% of the energy input as compared to
other fuel gas technologies like LNG (>15%)
- Lower initial Investment (CAPEX)• Especially in cases <65MMSCF, • Substantially lower than other fuel gas - CAPEX of the compression
plant is <10% of an equivalent LNG liquefier
- High degree of safety in proximity• Requires <50’ to other fuels and locations - LNG requires >150’
sometimes >200’ in extreme cases to prevent pool fire and thermal radiation
VPT Storage System Advantages - Redeployment of equipment possible
• Can be deployed in remote locations with very high reliability
• Enables later extension of the System via VPT
• CNG can be constructed modularly
• Building blocks of 7.5mmscf possible
- Better uptime
• Simple compression system
• Fuel storage is stable (no boiloff) means fuel is always ready to consume
- Faster construction time
• End to end (engineering, manufacture, and build) can be achieved in <9mths
- Compared to LNG/Pipeline with 3+yrs, assuming no construction delays and upfront engineering and financing are fully secured
Site Installation – Plug and Play
Site installation example – Power generation can start within 24 hours of arrival
One Power Plant – 1.5MW Capacity
Multiple Power Plants installed
Simple secured fuel connectionFinal Installation – 7.5MW Total Capacity
1 2
3 4
Advantages of Modular UnitReliable Source of Power – engines can be repaired locallyCheaper than current Power generating Plants and IPPsDistributed Power generation is made possibleDurable – Can be utilized in remote locationsQuick mobility – Can be moved from place to placeQuick installation – Can start generating power quicklyQuick commissioning – < 24 hours of commissioningContinuous power for base loadPeak shaving and stand-by operationPower generation and cogeneration (steam and hot water)Scalable - Can be combined to generate higher power Higher Efficiency than central plants when using CHP
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Pipeline versus VPT Assumptions
• Cost of Pipeline (todays cost) = ~$1.5M/km• VPT cost of project at 200km delivery point –
Economics actually better at <200km distance (gas source to end user)
• Volume of gas delivered per project is 40MMSCF/D• Cost Price of gas calculated at $3 for both projects• Comparism done for 25km, 100km and200km
Pipeline• Operating cost for pipeline assumed to be 5%
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Return on Investment on Pipeline vs VPT for Gas Delivery
25KM Pipeline 100KM Pipeline 200KM Pipeline VPT0.00
10.00
20.00
30.00
40.00
50.00
60.00
Year 1 ROI in USD at 40MMSCF/D gas delivery
Cost of Gas Per 1MCF
$3
Cost of Diesel per Gallon
$4 1 gal = 4 litres. 1 litre = $1
Power Plant Capacity (MW)
Gas Requirement (MMSCF/D)
Cost of Gas ($)Diesel
Required (Gallon/D)
Diesel Cost
5 1 $3,000 7,367 $29,468 10 2 $6,000 14,734 $58,936 50 10 $40,000 73,670 $294,680
100 20 $60,000 147,340 $589,360 200 40 $120,000 294,680 $1,178,720
CONVERSION UNITS1 gal 134CF1000 gal of diesel 139MMBTU1SCF of gas 1,025BTU1MCF 7.4 Gal of diesel1 gal of diesel 138,690 BTU1MW 3,412,000BTU
Distance (KM) Typical Cost of Pipeline($M)
20 30100 150200 300300 450
Power Generation – Gas versus Diesel
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Fuel cost graph – Gas versus Diesel
5MW 10MW 50MW 100MW 200MW$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
Diesel ($)Cost of Gas ($)
Design Plant Capacity (MW)
Fuel Cost ($)
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Future Outlook Flared Gas processed and supplied to Power Plants for Electricity
supply. Health hazards from gas flare pollution will be greatly reduced. Technology ensures the realization of Government’s intention to
increase the national electricity generation and enhance economic activities.
Technology helps meet Power requirements in the country - Prepare country for future investment
Make Africa more attractive to major investors in the world Market Income generation - Take for instance, if 6MMscf/d of gas flared in
an oil field gathered and utilized. This will yield additional yearly revenue of $5.4 M (Five Million Four Hundred thousand US dollars) at gas price of $2.5 per 1Mscf
Monetizing high GOR wells - Instead of closing in high Gas-Oil-Ratio wells, Produced Hydrocarbon gas and stranded gas can easily be transferred to power plants to supply needed electricity
Volume of gas Transportable - Flexible Transportation medium helps break
the barrier of volume restriction. We can now transport higher volumes of
clean processed Natural gas over longer distances (either by barges/rail)
Efficiency - Provides higher efficiency of about 35% than other competing
providers in the market with the use of the Patented ChillFill technology
Flexibility – Can serve multiple users using the Cascade Delivery Technology
also patented. Minimal changes needed to existing Power generating plants
to convert to Dual Fuel. Plant retain Diesel capabilities as a back up
Scalability - This technology is completely scalable. We design to the need of
users. Technology can process NGL Streams to produce LPG also
Advantages of VPT over other Providers
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SummaryTHROTTLE ENERGY:
Shall assist the Nigerian Government enhance available power output from their current and future IPP projects
Supply and maintain steady gas from gas fields to Power Plants over a period agreed to by the Nigerian government.
Build gas storage for contingency supply for power Plants
Reduce cost of laying pipelines and other Oil and Gas Infrastructure
Guarantees start of operations within 12 months from procuring all approvals and consents required for the Project.
To capture flare gas and monetize it by direct supply to local and remote consumers, for electricity and other uses
Extend similar projects to supply electricity to neighboring countries
Prepare Africa for future investment and make Africa more attractive for major investments
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Business Target in AfricaGenerate Power using Modular Power Plants
Mobile unit - Power Plant can be moved from one place to another
Scalable - Cogeneration is possible (for instance, we can build from 1.5MW to 200MW)
Fuel - Can be built to pull from Gas storage facilities as back-up
Localized Power generation is made possible with this solution
Faster return on investment on Gas to Power projects
Significantly cheaper initial capital investment Equipment fabrication, delivery and commissioning is less
than 1 year Significant savings in operating cost (40-70%)
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Business Target in AfricaStop Gas Flaring in Africa
Provide Gas storage for remote locations and Users Capture Produced Hydrocarbon gas Monetize Flared gas for producers
Efficient and flexible Logistics Mobile unit Gas Compression and Power Plant
combination Lowest delivery fuel cost to end users Deliver Natural Gas to end users at requested
conditions Storage capacity provides uninterrupted supply of Gas
to produce power
Throttle Energy Inc.Houston, TX 77095
Email: [email protected]: +1.832.643.5111, +1.832.298.8400,
+1.281.415.1238 (USA)+234.809.037.9222, +234.816.668.1997,
+234.809.037.2222 (Nigeria)www.throttleenergy.com
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