ELCOGAS IGCC plant: Clean coal technology. Experience and Future

May 14, 2004 (Postdam)OPET Network

Francisco García PeñaR&D Deputy Director

2

INDEX

! INTRODUCTION" The Elcogas company

! PUERTOLLANO IGCC POWER PLANT DESCRIPTION" Process description" Fuel and clean gas data" Main equipment. Gasifier" Main equipment. Gas turbine

! PROJECT MILESTONES

! OPERATIONAL DATA

! THE FUTURE OF IGCC TECHNOLOGY

3

INTRODUCTION

THE ELCOGAS COMPANY

European company established in April 1992 to undertake the

planning, construction, management and operation of a 335 MWISO IGCC plant located

in Puertollano (Spain)

4

INTRODUCTIONTHE ELCOGAS COMPANY

ELCOGAS shareholders and percentage of capital

at 31st December 2003

European Commission support

Thermie Programme creation to guarantee the future

availability of clean electricity using coal

Technological development

New alternatives for clean and efficient power generation with coal

Environmental demand

The growing social concern to the environmental impact of the classical coal power plants

More restrictive emissions limits

Strategic reasons at national level

Incorporation of the Puertollano Project to the Plan EnergéticoNacional 1991 - 2000:

. Energy primary source diversification

. Contribution to technological development

. Create/keep employment in the Puertollano area

THERMIE PROGRAMME: ELCOGAS opportunity

INTRODUCTION

6

PUERTOLLANO IGCC POWER PLANT DESCRIPTION

G

GAS TURBINE

200 MWISO

Flue gas to stack

SteamHeat Recovery

Steam Generator

G

STEAM TURBINE

135MWISO

Cooling tower

Hot combustion gasCondenser

Coal Petroleum CokeLimestone

Coalpreparation Gasifier

Slag

Sulphur (99.8%)

SulphurRecovery

Quench Gas

O2

Air

Clean syngas

Raw GasCoal - N2

HP Boiler

MP Boiler Waterwash

Fly ash

Claus gas

HP Steam

MP Steam

Air Separation Unit

N2

O2

Compressed air

Waste N2

Process description

Filtration Sulphur Removal

Tail Gas

Waterto treatment

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PUERTOLLANO IGCC POWERPLANT DESCRIPTION

Fuel

COAL PET COKE FUEL MIX(50:50)

Moisture (%w) 11.8 7.00 9.40Ash (%w) 41.10 0.26 20.68C (%w) 36.27 82.21 59.21H (%w) 2.48 3.11 2.80N (%w) 0.81 1.90 1.36O (%w) 6.62 0.02 3.32S (%w) 0.93 5.50 3.21LHV (MJ/kg) 13.10 31.99 22.55

Power output and emissions

GASTURBINE

(MW)

STEAMTURBINE

(MW)

GROSSTOTAL(MW)

NETTOTAL(MW)

POWEROUTPUT

182.3 135.4 317.7 282.7

GROSS NETEFFICIENCY(LHV) 47.12% 42.2%

EMISSIONS g/kWh mg/Nm3 (6% Oxygen)SO2 0.07 25NOx 0.40 150

Particulate 0.02 7.5

Main Design Data

8

PUERTOLLANO IGCC POWER PLANT DESCRIPTION

Raw and clean gas data

Actual average Design Actual average Design

CO (%) 59.26 61.25 CO (%) 59.30 60.51

H2 (%) 21.44 22.33 H2 (%) 21.95 22.08

CO2 (%) 2.84 3.70 CO2 (%) 2.41 3.87

N2 (%) 13.32 10.50 N2 (%) 14.76 12.5

Ar (%) 0.90 1.02 Ar (%) 1.18 1.03

H2S (%) 0.83 1.01 H2S (ppmv) 3 6

COS (%) 0.31 0.17 COS (ppmv) 9 6

HCN (ppmv) 23 38 HCN (ppmv) - 3

Raw Gas Clean Gas

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PUERTOLLANO IGCC POWERPLANT DESCRIPTIONMain equipment. Gasifier

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Main equipment. Gas turbine

Air intake

Air Compressor

Combustion chamber

Generator

Turbine

PUERTOLLANO IGCC POWERPLANT DESCRIPTION

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PROJECT MILESTONES

1992

Jun 1996

Oct 1996

Jun 1997

Mar 1998

Nov 2000

Mar 2004

Main contracts award

First synchronization of gas turbine

Commercial operation with natural gas

Performance test of the Air Separation Unit

First switch over from natural gas to coal gas

First 1,000 GWh produced with coal gas as IGCC

6,000 GWh produced with coal gas as IGCC

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OPERATIONAL DATA:Emissions

Natural gas (mg/Nm3 at 6% O2, dry)

29,2

4,2

291,7246,1

0,18,7

0

50

100

150

200

250

300

SO2 NOx Particles

EU Directive 88/609/EECELCOGAS Permit limitsELCOGAS 2003 average

Coal gas (mg/Nm3 at 6% O2 dry)

650

400

50

200 200

25

129,8

0,1715,60

100

200

300

400

500

600

700

SO2 NOx Particles

EU Directive 88/609/EECELCOGAS Permit limitsELCOGAS 2003 average

ELCOGAS power plant emissions in IGCC & NGCC modes

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Production: “Learning curve”OPERATIONAL DATA

Note: Major overhaul of gas turbine in year 2000 and 2003 (gas turbine & compressor)

IGCC, NGCC & TOTAL YEARLY PRODUCTION

335

911

1.3911.595

1.371

2.146

744

836

622

321

343

180

9

301

0

500

1.000

1.500

2.000

2.500

1998 1999 2000 2001 2002 2003 2004 aim

YEAR

GW

h

NGCC GWh

IGCC GWh

major overhaul

752

1,171

1,5331,712

1,938

1,672

2,326

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OPERATIONAL DATA

Costs

Note: Data for the year 2003

1.514.02376NG auxiliary consumption

5.950.995.994Petcoke13.45

5.9920.42.934Coal

IGCC

30.7130.714.027.649Natural gasGNCC

Total cost

(€/MWh)

Partial cost

(€/MWh)

Fuel cost

(€/GJHHV)

Heat rate (kJHHV/kWh)

FuelFuel mode

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Lessons Learned: Summary of improvements

Scale benefits

Simplification of control & control components

New higher efficiency gas turbine

Syngas preparation

Gas turbine

Oxygen storage removing Increase of liquid N2 storage capacity

Air Separation Unit

Equipment dimension decrease using enriched airSuper Claus Plant assessment Sulphur removal

Controlling filter removing/Scrubber resizing-Gas scrubbing and stripping

Fly ash recycle removal

Size adaptation by ratio fly ash/filter surface

Improvement of candle filter cleaning system.

Improvement of candle filter material and design.

Dry dedusting filter

Simplification of slag water circuit.Elimination of one slag lock hopper and

extractor.

Replacement of filtering system by settling system.

Slag handling

Removing auxiliary burners.Reduction of surfaces by increasing velocityOptimization of quench gas ratio

Recycling of fine slagHeat recovery surfaces

Quench compressor

Gasifier

Elimination of concrete building, coal storage and lock hopper system simplification

N2 savingCoal dust conveying, sluicing and feeding

Elimination of mixing equipment.Auxiliary consumption3 grinding trains for availability

Coal preparation

Cost reduction for manufacturing, erection and operation

Potential improvementsSystem / equipment

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THE FUTURE of IGCC TECHNOLOGY ! CO2 removal and sequestration! Hydrogen co-production! Coal gasification technology for Fuel Cells

GASIFICATIONGAS

CLEANING

CO + H2O CO2 + H2

COMBINEDCYCLE

FUEL CELLS

CHEMICALSYNTHESIS

COAL + RESIDUES + BIOMASS

CO2

AMMONIAMETHANOLGASOLINE

H2

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Cost of Electricity in IGCC vs. Subcritical PC power plants,

including environmental matters

2,63 2,40

0,710,68

1,141,33

-0,62

0,00

-0,18

0,08

-0,01

-1,50

-1,00

-0,50

0,00

0,50

1,00

1,50

2,00

2,50

3,00

3,50

4,00

4,50

5,00

cts

./k

Wh

S o lid w a s te s

C O 2 b io m a s s

C O 2 e ffic ie n c y

F u e l

O &M

In ve s tm e n t

IG C C : 3,67 c ts . /kW h Su b c ritic a l PC : 4,49 c ts . /kW h

Based on: Neville Holt, Gasification Technology Status - August 2002 EPRI (USA)

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0

500

1000

1500

2000

2,5 3 3,5 4 4,5 5 5,5 6

Natural gas cost (Euro/GJ)

Tota

l IG

CC

Pla

nt c

ost (

Euro

/kW

)

1300 Euro/kW

5,18 Euro/GJ (2,17cts. Euro/th)

COMPETITIVENESS LIMIT IGCC/NGCC

(2,17 cE/te)5,18 E/GJ

Based on: Neville Holt, Gasification Technology Status - August 2002 EPRI (USA)

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INTERNATIONAL CO-OPERATION

- Participation in US DOE initiatives of co-operation agreements for international development of new technologies:

" CO2 Capture and storageCSLF - Carbon Sequestration Leadership Forum

" Hydrogen and Fuel Cell technologiesIPHE - International Partnership for the Hydrogen Economy

- ELCOGAS is a member of the European Commission delegation to collaborate in:

" R&D European Strategy definition " To propose the demonstration of the feasibility of these technologies in ELCOGAS

! EUROPEAN COMMISSION AND USA

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HyNet:ELCOGAS collaborates in this European Thematic Network, that advises to the Commission in its strategy of promoting the development of Hydrogen technologies

CHINA:Researchers training in the Dynamic Simulator of ELCOGAS, and support to the development of an Operation and Maintenance tool

RUSSIA:European Commission request to disseminate the ELCOGAS IGCC technology in Russia, as a part of the CARNOT project

! OTHER CO-OPERATIONS

INTERNATIONAL CO-OPERATION

ELCOGAS IGCC plant: Clean coal technology. Experience and Future

May 14, 2004 (Postdam)OPET Network

Francisco García PeñaR&D Deputy Director