IH2† Technology: Hydrocarbon Fuels from Bio-Waste – An

Integrated Energy-Environmental solution

Dr. C.S. Laxmi Narasimhan, FRSC

General Manager, STCB

Dr Alan Del Paggion, VP-Upstream

& Renewables, CRI USA 5/11/2016 1

Integrated Hydropyrolysis & Hydroconversion †IH2 is a registered trademark of GTI

Biofuels and Bioenergy: Enablers for

Reducing Oil Import Dependence – organised

by Petrofed, New Delhi, May 2016

Disclaimer

CRI, Criterion and Shell Global Solutions are the trade names of a network of independent technology companies in the Shell Group. Where a company is identified by its trade name or “Shell”, the reference is used for convenience, or may be used where no useful purpose is served in referring to the company by name. The services and products of these companies may not be available in certain countries or political subdivisions thereof.

The information contained in this presentation is provided for general information purposes only and must not be relied on as specific advice in connection with any decisions you may make. No representations or warranties, express or implied, are made by the company or companies presenting these materials or its affiliates concerning the applicability, suitability, accuracy or completeness of the information contained herein and these companies do not accept any responsibility whatsoever for the use of this information. The companies presenting these materials and their affiliates are not liable for any action you may take as a result of you relying on such material or for any loss or damage suffered by you as a result of you taking this action. Furthermore, these materials do not in any way constitute an offer to provide specific services.

Copyright ©2015 Shell Oil Company. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical including by photocopy, recording or information storage and retrieval system, without permission in writing from Shell Oil Company or CRI Catalyst Company.

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• A highly flexible self-sufficient continuous

catalytic thermo-chemical process invented

by Gas Technology Institute (GTI) and jointly

developed with CRI to which CRI have

acquired exclusive license rights.

• Uses catalysts, hydrogen and heat in proven

refinery hardware to cost effectively1 convert

forestry, agricultural and sorted municipal

wastes into fungible hydrocarbon

transportation fuels petrol, kero and diesel

together with char, fertilizer, water and CO2.

• 11.50-3.50 USD/gallon FPMC; 160-400MM Capex 500 tonne/d

standalone - 2000 tonne/d integrated; No RINs, no credits included

3

-H2O +H2

Heat

400C

catalyst

Cellulose

An Overly Simplified View

IH2 technology takes only minutes to

achieve what Nature requires millions of

years to

5/11/2016

Molecules Are Identical to

Those in Fossil Fuels

But it does her one better by providing

refined fuel

IH2 Technology

IH2: the difference Hydrogen can make

4

PROCESS

• The IH2 technology is a catalytic thermochemical process that converts biomass

directly to high purity hydrocarbon fuels and/or blend stocks with GHG reductions

>65% & High energy content recovery (~70%) in all configurations, and it is cost effective

at small scale (<1000 t/d).

Municipal Waste

(up to 15%

plastic)

Wood/Forest

Residue

Energy Crops

Crop

Residue

Algae

FEED PRODUCTS

SELF-SUFFICIENT IN H2, LOW CAPITAL COST

BR

OA

D R

AN

GE

OF

FE

ED

ST

OC

KS

LOW PRESSURE, NO CORROSIVE INTERMEDIATES,

COMMERCIAL PROCESS ELEMENTS

HYDROPYROLYSIS in fluidized bed

! Renewable H2

Separation

Feed conditioning sizing, drying & feeding

HYDROTREATING in fixed bed

DR

OP

-IN

FU

ELS

, B

LE

ND

ST

OC

KS

Distilled

Hydrocarbons

High Pressure

Steam

Clean Water

Fertilizer

BioChar

Biogenic CO2

April 2016

5/11/2016

5

Exports

Biogenic CO2

High Pressure Steam

BioChar

Hydrocarbon Fuel

NH3 Fertilizer Concentrate

S Fertilizer

Lock

Hoppers

MSW Sorting,

Drying, Sizing,

Pelletisation

Siz

ed &

Drie

d/P

elle

tised

1st S

tag

e R

eacto

r

Hyd

rop

yro

lysis

2n

d Sta

ge

Re

acto

r

Hyd

roco

nve

rsio

n

Cyclones

Bio

Ch

ar R

em

ove

d

BioChar L

igh

t G

as

Phase

Separation

Wa

ter

Gas

Clean Up

Water

Clean Up

Distillation

SMR Renewable H2

Gasoline

Jet

Diesel

IH2 Process (Simplified)

Greenfield Process – 3D Render

6 5/11/2016

Refinery, “Hard Assets” Integration

7

Gas

Clean

Up

Lock

Hopper

s

Bulk

Operations

Siz

ed

&

Drie

d

1st S

tag

e R

ea

cto

r

Hyd

rop

yro

lysis

2nd S

tag

e R

ea

cto

r

Hyd

roco

nve

rsio

n

Cyclones

Bio

Ch

ar R

em

ove

d

BioChar

Lig

ht G

as

Phase

Separation W

ate

r

Water

Clean

Up

Distillation

H2

Gasoline

Jet

Diesel

SMR

5/11/2016

8

Paper Mill, “Hard Assets” Integration

Paper Process Digestion, refining,

washing, paper

machines

Paper

He

at

LP Steam / Heat

Power

Fuel

90 gal/ton MAF 65% gasoline/ 35%

diesel

Char

Boiler/

Co-Gen

Wood Yard Handling, storage,

chipping, drying,

hammer milling

LP

Ste

am

or

Po

we

r to grid

Biomass Feedstock

Chips

Char

Multiple uses for low-grade heat or power

LP

Ste

am

/

Pow

er

5/11/2016

9

Bagasse

Cane Trash/

Sugar Cane Tops

Sugar

Cane Sugar

Factory Enhanced

Energy

Integration

Hot water

HP

Steam

Co-Gen

Sale to grid

Sugar Molasses

Fuels

Boiler

Char

LP Steam

Sugar Mill, “Hard Assets” Integration

5/11/2016

10

Hydrocarbon

Water

Total Liquid Product

2nd Gen Catalysts

Gas/Jet/Diesel Product

3rd Gen Catalysts

4Q09 “R5” 3Q10 “R25” 2Q12 “R60+”

Catalysts alone improve product fuel quality from wood at Lab Scale

Jet/Diesel Product

4th Gen Catalysts

1Q14 “R100”

Total Liquid Product

1st Gen Catalysts

Hydrocarbon

Water

Product Quality Evolution via New Catalysts

Feed and Products Agri & MSW

5/11/2016 11

5/11/2016 12

Finished gasoline (left), Finished diesel (middle) and water product (right)

all produced using CRI 4th Generation catalyst systems

Products from 4th Generation Catalysts

5/11/2016 13

US - Gasoline

• Meets ASTM D-4814-10b

• 86 Octane w/ E10

• S < 10-ppm

• Fully renewable RBOB

EU – Petrol

• EN 228: Petrol – Jan 2009

• RON 87 vs 95

• S ~10-ppm

• Blend Stock

World-wide Civil Jet Fuel Grade

• Meets global Jet A-1 specs

analyzed to date

• S < 2-ppm

• Freezing Point BDL

• No napthalenes

• Low aromatics – SPK

• Ability to allow aromatics

US - Diesel

• Meets ASTM D-975-11

• Cetane Number 44

• S < 10-ppm

EU Diesel

• EN 590:2009+A1:2010

• Cetane Number 48

• S <15-ppm

• Blend Stock

Current IH2 Process Fuel Quality

1.9

0.5

0.5

0.4 0.7

3.9

Bagasse Rice Cotton

Ragi+Jowar Maize Others

Focus Karnataka Through Examples

14 * TERI Report 2012IB09

2.1 million tonnes/a

transportation fuel

Agricultural Waste Example:

*7.9 Million tonnes/a

28wt%

*1.56 million tonnes/a

Total waste for all districts

0.6 million tonnes/a total

biomass component

0.16 million tonnes/a

transportation fuel

Municipal Waste Example

28wt%

76

37 25

24

6

41

Bagasse Rice Cotton Wheat Maize Others

Focus India Through Examples

15

• *Internal Shell Report 2013

55.7 million tonnes/a

transportation fuel

Agricultural Waste Example:

*199 Million tonnes/a

28wt%

*60 million tonnes/a

36.6 million tonnes/a

10.3 million tonnes/a

transportation fuel

Municipal Waste Example

28wt%

Reduce GHG emissions & Dependency on Petroleum imports

16 Date 5/11/2016

Reduced

CO2

emissions

CASE I- CURRENT STATUS

CASE II- IH2 OUTLOOK

• 200 million tonnes of waste biomass- wastefully incinerated in India – Generates large CO2, and other pollutants

CO2 +

Toxic gases

80 million tonnes per year imported

20 million tonnes per year imported

• Potential to reduce petroleum imports by four times

Potential to produce 60 million tonnes per

year

Positive Impact for India

IH2 process provides farmers, municipalities and the

energy sector with a cost effective means to:

• Meet growing energy demands with local

resources

• Reduce overall dependence on imported energy

• Meet policy obligations

• Create jobs1, stimulate domestic investment

• Stimulate foreign investment

• Create distributed rural fuel production or…

• Liquify biomass for centralized upgrading

• Monetize urban/rural wastes

• Reduce carbon footprint and reduce particulates2

17

1In addition to 55-62 direct jobs created on site, up to another one hundred indirect jobs could be

created in the area of feedstock cultivation, harvesting, transport, fuel transport, sales and

equipment manufacturing as most clients will purchase hardware locally. 2Converting wastes directly to CO2 versus landfilling where a portion will produce CH4 a 20x

more potent GHG. Also, converting agri residues to fuel vs burning in field reduces particulates.

Swatch Bharat, Energy Independence & Make in India

• Create / enhance biomass pre-treatment facilities at source for shipment

– Sorting, drying, sizing and pelletization

• Demonstration of IH2 Technology – Q1 2017

• Commercial scale IH2 Technology- 500-1000 tonne/day - subsequently

• When technology is proven, transition to local fabrication–Make in India

• Biomass feed stock diversity marketing and management

• Talent Development: Engineers/ Scientists (Chemists, Biologists)/ Plant

Technicians will be required to take forward this technology for a variety of

applications

5/11/2016 18

Road Map to Deployment in India

Status

19

0.02L/day

Bangalore

EE 2nd Stage Test

1L/week

Bangalore

MBU

20L/day

Chicago

IH2-50 Pilot Plant

Prove the Science

200,000L/day

3D IH2-500tpd

Prove the Reliability

& Profitability

2,000L/day

3D IH2-5000 Prove the Engineering &

Hardware

Do

lla

rs R

isk

ed

Scale

India is the home for the Shell demonstration

unit and a contender for first commercial

deployment of IH2 technology. CRI is also

deploying in North America, Northern and

Western Europe, ANZAC, SE Asia and China

5/11/2016

IH2-50 C4+ Liquids Production 2012 - 2015

5/11/2016 20

800

990

2600

400

Total 4790

Architect’s View of NTC Bengaluru

5/11/2016 21

5/11/2016 22

Goals of NTCB Showcase Plant

• Technology demonstration

• Continuous technology

improvement

• Generating fuel for trials and

certification

IH2 5 tonne/day Process Demo (Simplified)

23

Process design, process assurance, intellectual property rights, MBU (0.5kg/hr semi continuous) and IH2-

50 pilot (50kg/d continuous) scale testing. www.gastechnology.org

Experimental fluidization dynamics, cold flow modeling, solids handling.

www.psri.org

Exclusive FEED provider for the IH2 process at commercial scale.

Supplier of reformer technology for 1000 tonne/day and above. www.kbr.com

Suppliers of wood yard technology and biomass drying/sizing www.andritz.com

www.astecindustries.com

Exclusive FEED provider for the IH2 process at 5mt/d feed and below. Turnkey provider of Bangalore

MBU and EEFB units, GTI IH2-50. www.zeton.inc

Supplier of reformer technology for 500 tonne/day plants and below

www.lindeengineering.com

Hydrocarbon fuel specifications, qualifications, process safety and design considerations, demonstration

unit funding and site host, etc www.shell.com

Financial support.

www.energy.gov/eere/

Engine testing partner to perform required emissions and engine testing

www.swri.org

Solids handling experts, lock hopper designs www.jenike.com

www.thomasandmuller.com

Regulatory agency for D-code pathways, emissions guidelines, etc. Consent needed prior to sale of IH2

fuels in US. www.epa.gov

LCA support, Prof Shonnard

www.mtu.edu

Alliance Partners

5/11/2016 23

Thank You!

5/11/2016 24