Breakthrough for Black Pellets

Financing the first commercial plant

Lars-Åke Svensson

Bioendev is world leading developer of technology for making biocoal / black pellets o Founded 2007 as “spin off” from Umeå

University

o The main owners • Umeå Energy – Swedish Municipality utility • Daiwa Energy & Infrastructure – Japanese

Investment Bank

o Strong IPR with seven (7) global patent families – in total 55 patents

o Currently operating a Demo-plant in Holmsund, Umeå. (2 ton/h)

What is torrefaction

Biomass

1M (1 mass unit)

1E (1 energy unit)

Torrefied biomass

0,7M 0,9E

Torrefaction

250-350°C

10-20 minutes

Torrefaction gas0,3M 0,1E

Energy for drying processes

Carbonisation Reaction under Heat

Source and Copyright: IBTC, www.Biomasstorrefction.org

17000190002100023000250002700029000310003300035000

0102030405060708090100

gcv

in J

/g

Volatiles in % (daf) 0 – 20% Char coal

(EN 1860-3)

84% (82 – 85) Dry Wood

Mass loss vs other uses in torrefaction

In kW/ton biocoal(bdb)Massloss Carbon % LHV (MJ/kg) Heat to other Heat used reactor

25% 55,6% 21,5 744 14530% 57,0% 21,7 943 14841% 60,5% 23,0 1 310 15448% 63,2% 24,4 1 487 15854% 68,0% 1 640 16356% 71,7% 25,7 1 674 164

Energy

Steel mill PCI

Heat for drying?Hot water for leaching?

Bio-oil?Gas?

BiocharCharcoal

FEEDSTOCKOur main Focus

Forest Residues (GROT)

Bark ChipsSawdust

Hardwood

Anything is

possible

Agricultural waste

Torrefied Biomass - Biocoal

o A bioenergy fuel that:• Ships like coal• Stores like coal – can be stored outdoors• Can have as much energy as coal• Behaves like coal in a coal power plant – Very grindable

o Combusts cleaner, gasifies easier and cleaner

o NCV highest of all solid biofuels and best adjustable

The use of Biocoal – NOW

o Coal plants (CHP, Power, etc)o Industrial use

• Papermills• Cement industry• Asphalt industry

o Smaller industry and residential use

RIGHT NOW!

The Breakthrough

o Holmsund Biocarbon Plant AB received 105 milj. SEK in grant from ”Klimatklivet” from The Swedish Environmental Protection Agency

o Bioendev will supply Torrefaction technologyo The plant will be a ”Zebra” - Producing both black

and white pelletso Fully Commercial with a capacity of 60 000 ton

black pellets or 80 000 ton white pellets or a mix.

o Tight schedule: Up and running 2020-06-30o Mayor parts must be settled by end March 2019

Case - Norrenergi

o Norrenergi AB is a Swedish district heating and -cooling company situated in Solna, just north of Stockholm.

o Annual heating distribution: • 1 TWh• Fuel: 99% renewables

o Test with 500 tons of Torrefied pellets in powder burner (WTS-burners)

o Possible to lift effect from previous max, 43 MW, to 55 MW with same levels of emissions.

o Scenario: To replace talloil pitch as top-load fuel.

Case - NCC Industry - Asphalt

o NCC has converted 19 of 32 Asphalt facilities to wood pellets or wood powder.

o NCC have developed their own milling system for making powder from wood pellets to feed converted coal powder burners.

o Asphalt facilities are situated far from mayor electrical grids and may not have electrical effect for large hammer mills

o The energy is used for drying and heating stone material in a rotary kiln.

Asphalt production site - NCC

Replaced with Biomass Powder Burner unit

Case - NCC Industry - Asphalt

o NCC sees many advantages with torrefied wood; grindability, increased energy content and storage and handling

o Bioendev has delivered 100% of the fuel, for the Umeå plant, for 2018 (ca 500 ton)

o Effect: • No need for top-load oil (fossil).• Effective grinding - low maintenance for the mill .• Low levels of CO emissions (2/3 of the white pellets

level) = effective combustion.• High production availability for the facility.

o Bioendev will supply the Umeå asphalt facility during 2019 and maybe other facilities also.

CASE - STEEL PROCESS

Fossil-free by 2045

Fossil reduction next year

CASE - The Steel making process

•The Blast Furnance Process (SSAB Luleå)

• Output (BF 3 at SSAB in Luleå): 2 milj ton iron/year

and uses ca 1,5 milj ton coal per year.

• The coal is NOT a energy source, It’s the Carbon

that’s essential. Cannot use untreated biomass in the

process

•Top charging of layers alternately• Ferrous layers• Coke layers

• Residual material (scrap, briquette, bricks)

• 5% Biocoal replacement in Briquettes gives of 35 000 ton/year

• Injection through the tuyeres• Hot blast air, Supplementary “fuels” as pulverised coal (PC), oil, gas,

plastics, dust

• 5% Biocoal replacement in PC means 30 000 ton Biocoal/year

From SSAB Steel book

Confidential

Bioendev/ Daiwa Market strategy

We will focus on sales and marketing at areas with large quantities of biomass at low cost that has to be transported a longer distance to the market or will benefit from Torrefaction from other perspectives.

Supply the Japanese

market

Punjab / Haryana

Case : India pilot leaching and torrefaction plant

• Energy from 35 million tons paddy are wasted every year

• It can be converted to biocoal and replace 21 million tons of fossil coal/year

Equals per year:• 48 million tons of CO2e reduction

• = GHG emissions from 10.2 million Indian cars

Case : India pilot leaching and torrefaction plant

o Partners in the two (2) year project:

• The Government of India represented by Office of Principal Scientific Adviser - Ministry of Science and Technology, Government of India

• Center of Innovative and Applied Bioprocessing (CIAB) andNational Agri-Food Biotechnology Institute (NABI) in Mohali

• Bioendev AB with Thermorefinery Technologies INC

• Bioendev Pilot-plant is currently under transport to Punjab.

• Supported by Business Sweden and IKEA

o Financing:

• The Government of India 50 %

• Bioendev AB 50%

Agro waste vs Woody biomass

Wood biomass Rice straw Punjab

LHV 19.20 MJ/kg d.b. 14.72 MJ/kg d.b.

Ash 0.32 % d.m. 21.47 % d.m.

Chloride (Cl) < 0.01 % d.m. 0,77 % d.m.

Potassium (K) 530 mg/kg d.m. 22333 mg/kg d.m

Sodium (Na) 27 mg/kg d.m. 2000 mg/kg d.m

Larger downrating

More deposits

More corrosion

In powder mode production ----- > < ---- In pellets mode production

Results *

Washing as a solution on deposits & corrosion

Thermochemical Conversion Process Original rice straw Leached rice straw

Ash Content 100% -80%(+/-10%)

HHV 100% +5% (+/- 2 %)

Chlorine Content 100% -99%

Reactive Alkali Metals Content 100% -99%

Reactive Sulfur Content 100% -50% to -90%

Reactive Phosphorus Content 100% -50% to -70%

* Trials by Thermorefinery Technologies INC and Electric Power Research Institute (EPRI), USA

Case - China

o Bioendev have signed joint development agreement with Great Resources, Jilin province • Set up joint venture company in China

• Convert one white pellet plant as a demo plant

Case – USA

o 3 strong projects on the US West Coast o 2 strong projects on the US East coasto Base for each project:

• Long term feedstock contracts (good price)• Good infrastructure• Port close to plant – Transport to Asia or

Europe

Torr-How by Bioendev

Ejector burner and boiler (left) andtorrefaction rum (right)

B

Thank you for listning

”Black is the new Black”