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The 5th Clean energy Forum‐Coal Gasification 2009”

(Foreign Training Learning Report)

Domain : NETRA

Knowledge Management System

Area : COAL GASIFICATION

Key Words : Poly Generation, Emissions, Clean Fuel, Methanol, Oxygenates 


 
 
 

Submitted by : Shri S.Mahajan, DGM(CCT), EOC, Noida,


9650991419, smahajan@ntpceoc.co.in & Shri Shaswattam, DGM(NETRA),
9650992203.

17/09/2009
FOREIGN TRAINING LEARNING REPORT
 
 
 
1.  Program Details: 
“The  5th  Clean  energy  Forum‐Coal  Gasification 
1.1  Name of the program    
2009” 
1.2  Duration  April 1st to April 3rd 2009 
1.3  Country Visited  China 
China Decision Makers Consultancy, China  
CDMC  is  engaged  in  delivering  business 
intelligence  by  creating  opportunities  for 
knowledge  sharing  and  business  networking. 
1.4  Organizer    CDMC  claims  to  have  a  powerful  advisory  team 
including  China’s  highest‐ranking  government 
officials, illustrious scholars and industry experts 
and specialize in organizing events in partnership 
with influential Chinese organizations.  
Country: China 
 
Industry/ Company Interacted with: 
(i) Academics:  East  China  University,  Chinese 
Academy of Sciences,  
Name of the Industry/  (ii) R&D  Institutions:  TPRI,  NPCPI,  YCCC, 
1.5 
Company visited    Tapssoe  WAS  Technology,    Xi’an  Thermal 
Power Research Institute 
(iii) Business  Organizations:  GE,  Shell,  Worley 
Parsons,  Honeywell,  Nexant,  GreenGen, 
ZeroGEN,  
a) To  acquaint  the  participants  the  status  of 
coal gasification technology, with a particular 
Objective of the  emphasis on China 
1.6 
Program  b) To  acquaint  participants  with  Research  & 
Technology Development under taken in the 
field of coal gasification in China 
 
2.  Key Learning: 
(i) Research  &  Technology  Development  in  the  field  of  Coal  Gasification  in 
China 
(ii) Coal Gasification – The Chinese Perspective 
(iii) Poly Generation from Coal Gasification 

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A. Research & Technology Development : Coal
Gasification in China
 
A.1.  The Scale 
ƒ It is a huge program which is 
anchored by MOST (Ministry 
of  Science  and  Technology, 
China) 
ƒ In 11th Five‐Year Plan (2006‐
10)  of  China,  863  Major 
Project  on  R&D  and 
‘Demonstration  Plants’  of 
China’s indigenous IGCC and 
Co‐Production  Technology 
has been taken up.  
 
A.2.  The Goal 
Overall goal 
To form the clusters of advanced coal technologies, support the development of China’s 
energy  equipment  manufacturing  industry,  and  achieve  the  efficient,  clean,  and 
affordable use of coal. 
 
Stage goal:   2010 
ƒ RD&D of key technologies 
ƒ  Commercial demonstration of IGCC power plant 
ƒ  Demonstration of coal gasification based coproduction of oil and power 
Stage goal:  2015 
ƒ At  least  3  demonstration  plants  of  coal  gasification  based  co‐production  of  oil 
and power (300MWe,1 million tons of fuels and chemicals) 
ƒ The  pilot  plant  of  hydrogen  and  power  Co‐production  with  the  near  zero 
emissions of CO2 
Stage goal:  2020 
ƒ  Installed capacity of IGCC to reach 20 GWe~100 GWe 
ƒ  Clean fuel (Synthetic oil, SNG, Methanol, DME) and chemicals substitute directly 
and indirectly 55 million tons of crude oil on annual basis 
ƒ Demonstration  of  hydrogen  and  power  Co‐production    with  the  near  zero 
emissions of CO2 
 
A.3.  The Technology Development Network 
Almost  NIL  ‘One  up  manship’.  MOST  practically  controls  and 
administers the research and technology development. 
1. Research Institutes and Universities 
ƒ Institute of Engineering Thermophysics, Chinese Academy of Sciences 

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 -2-
ƒ Institute of Coal Chemistry, Chinese Academy of Sciences 
ƒ Xi’an Thermal Power Research Institute Co.Ltd 
ƒ Southeast University 
ƒ East China University Of Science And Technology 
ƒ Tsinghua University 
 
2. Electric power/Chemical Design Institutes 
ƒ East China Engineering Science and Technology Co., Ltd 
ƒ Northeast Electric power Design Institute 
ƒ Zhejiang Power Electric Design Institute 
 
3. Manufacturers 
ƒ Nanjing Turbine & Electric Machinery Co., Ltd 
ƒ Harbin Boiler Co.,Ltd 
ƒ Hangzhou Boiler Co.,Ltd 
ƒ Shanghai Boiler Co.,Ltd 
ƒ Xinxin Heavy Industry Co.,Ltd 
 
4. Power Companies and Coal Companies (Demonstrations) 
ƒ China Huadian Group 
ƒ China Huaneng Group 
ƒ Dongguan Electochemical Industrial Co., Ltd 
ƒ Yankuang Group 
ƒ Lu’an Group 
 
A.4.  Fruits of Conviction: The Results so far 
Following China’s home grown technologies are being deployed 
 
 
 
 
1.  
2.  
S
m
o
k
e
l
e
s

 
 
 

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 -3-
 
A.4.  The Roadmap: Coal Gasification in China 

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B. Coal Gasification: Chinese Perspective 
 
B.1.  Business Perspective 
In China, oxygenates and ammonia are the two high volume business  
A.  High Volume  
ƒ Oxygenates 
ƒ Ammonia and fertilizer 
B. Low Volume 
ƒ IGCC 
ƒ FT liquids 
IGCC

Olefins

DME
Fuel

Oxygenates

Fuel
Gasification Methanol

Coal Syngas Olefins

Naphtha

FT Liquids Jet Fuel

High Current Volume


Diesel
Low Current Volume

Ammonia Fertilizer
 
 
 
 
B.2.  Technology Maturity 
Oxygenates, FT liquids and ammonia are considered of high technology maturities 
while IGCC requires longer development time in China 
A.  High Technology Maturity  
ƒ Oxygenates (methanol and DME) 
ƒ FT Liquids (naphtha, jet fuel and diesel) 
ƒ Ammonia and fertilizer 
B.  Low Technology Maturity (Long Development Timing) 
ƒ IGCC 

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 -5-
IGCC

Olefins

DME
Fuel

Oxygenates

Fuel
Gasification Methanol

Coal Syngas Olefins

Naphtha

FT Liquids Jet Fuel

High Technology Maturity


Diesel
Low Technology Maturity /
Long Development Time

Ammonia Fertilizer
 
 
B.3.  Technology Maturity 
Oxygenates and FT liquids aret high growth areas for coal gasification in China 
A.  High Growth in next decade  
ƒ Oxygenates  
ƒ FT Liquids  
B.  Low Growth in the next decade 
ƒ Ammonia 
ƒ IGCC 

IGCC

Olefins

DME
Fuel

Oxygenates

Fuel
Gasification Methanol

Coal Syngas Olefins

Naphtha

FT Liquids Jet Fuel


High Demand Growth
Diesel
Low Demand Growth

Ammonia Fertilizer

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 -6-
B.4.  Value Chain 
FT  Liquids,  Olefins  and  DME  have  the  highest  market  potential  for  coal 
gasification value chain in China 
IGCC

Olefins

DME
Fuel

Oxygenates

Fuel
Gasification Methanol

Coal Syngas Olefins

Naphtha

FT Liquids Jet Fuel

Highest Market Potential in China


Diesel
Limited Market Potential in China

To be further developed in China


Ammonia Fertilizer
 
 
B.5.  Value Chain 
As per ‘Five force business analysis’ of NEXANT, the Overall rating of gasification 
in  China  is  15  which  is  expected  to  be  19,  i.e  progressing  from  ‘Moderately 
Attractive’ to ‘Attractive’. 
 
  New Entran ts 2 ,3
Forces Driving Chinese
  z Technology is readily
Coal Gasification Business
  available, as are common
  feedstock - coal
z Many new entrants are
  Buyers 3 ,4
Suppliers government-sponsored
  3,4 z Buyer base with
z Many suppliers firms
  some large,
with differing
 
strategic 2 ,3 commercially savvy
 
intentions In dustry Comp etitors end-users who can
  readily
z Coal
z Coal-based suppliers tend apply price
 
available in China to be smaller scale than pressure
natural gas-based z Nonintegrated
 
producers buyers are unlikely
 
Substitutes z Wide range of strategic to have high power
 
z Limited threats 5,5 intentions – economic
  other Force Attractiveness Key
from value to social benefit 1 — Very Low
 
chemistries 2 — Low
 
z Competition is via 3 — Moderate
4 — Hi gh
derivatives 5 — Very High

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 -7-
C. Poly Generation from Coal Gasification: 
 
C.1.  Overview 
Polygeneration  from  coal  offers  a  highly  flexible  process  concept  with  a  multi‐faceted 
value premise:  
ƒ The conversion of coal to both power and synthesis gas (syngas) 
ƒ Syngas then converted to chemicals and/or liquid fuels.   
ƒ An integrated approach offers a strategy to truly maximize value‐added from coal.   
ƒ In  Polygeneration  from  Coal,  the  gasification  of  coal  produces  synthesis  gas 
(syngas)  that  can  be  used  for  the  generation  of  electricity  in  conventional 
integrated gas/steam turbine combined cycle (IGCC) systems, and for concurrent 
production of commodity chemicals/fuels  

 
 
C.2.  Advantages of Poly‐generation 
a) Feed Flexibility 
The  gasifier  can  operate  on  coal  or  other  hydrocarbon  source  feedstock,  with 
superior environmental performance 

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 -8-
b) Peak Period Optimization 
ƒ Production shiftable to/from power or chemicals/liquid 
ƒ To optimize peak electric power and facility revenue 
c) Economy of Scale 
Sharing the facilities between power and chemicals/liquid fuels improves scale 
and efficiency of the capital investment and operations support 
d) Additional Economic Potential 
Syngas produced in the gasifier has other applications (town gas, cogen) 
Liquid Fuels
Gashol

F - T synthesis
Olefins
Ethanol
DME
CO
Acetic Acid
CO + H2 H2
Gasifi Formaldehyde
Methanol
cation
Ammonia
UREA
Power & Steam
Ammonium
SNG
Nitrate VCM
Coke
Production BDO
Calcium
Coal Coke Acetylene
Carbide
VAM

Acrylic
Naphthalene &
Coal Tar
Derivatives
Liquid Fuels

Particulate Gas Shift Synthesis Gas


Removal Cleanup Reactor Conversion

Fuels and
Chemicals
Gasifier
Particulates
Carbon Dioxide
Sulfur By-product Hydrogen
Sequestration
Separation
Gaseous
Constituents Solid By-product Hydrogen
Combustor
Air Separator
Air Electric
Oxygen Power
Coal, Compressed Air Fuel Cells
Petroleum coke, Solids Gas
Biomass, Turbine
Waste, etc. Air
Electric
Power
Generator
Air
Heat Recovery
Steam Generator
Steam

Solid By-product Steam Stack


Generator
Electric
Steam Turbine Power

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 -9-
3.  NEW CONCEPTS COVERED: 
ƒ Coal Gasification for Polygeneration 
ƒ Coal to Liquid Fuel Generation 
ƒ Research & Technology development needs in Coal Gasification & IGCC 
 
4.  NEW TRENDS/PRACTICES: 
ƒ Research & Technology development Model of China 
ƒ Technology  Adoption,  adaption,  reverse  engineering  and  IPR  practice  in 
China  
 
5.  APPLICATION OF LEARNING: 
5.1  SELF:  
ƒ Knowledge & Competence on Polygeneration 
ƒ Knowledge & Competence on Cola to Liquid Technology 
ƒ Process design for Coal Gasifier Pilot Plant  
ƒ Update  on  International  efforts  in  the  field  of  Coal  Gasification  & 
IGCC. 
5.2  SECTION/DEPARTMENT:   
ƒ Process development & Process Modeling of IGCC Power Plant 
5.3  ANY OTHER DEPARTMENT OF NTPC: 
ƒ Engineering  of IGCC Power Plant 
5.4  COMPANY LEVEL:  
ƒ Knowledge on IGCC process & plant 
 
 
6.  ADOPTABLE PRACTICES IN NTPC: 
6.1  IN DEPARTMENT/SECTION:  
ƒ Design and set up of Pilot Plant of Coal Gasifier 
6.2   IN ANY OTHER DEPARTMENT/SECTION: 
ƒ Setup of IGCC Plant ‐ Engineering 
6.3  COMPANY LEVEL: 
ƒ Setup of IGCC Plant ‐ Engineering 
 
7.0 COUNTRY LEVEL: 
Development  of  a  Research  center  catering  to  the  needs  of  Coal  Gasification  in 
power sector 
 

China Tour Report- Coal Gasification 2009, Shaswattam DGM(NETRA), Emp No: 005509 - 10 -