SRIC agrees to assign professionally qualified personnel to the preparation of the

Process Economics Programs reports and will perform the work in conformance with generally
accepted professional standards. No other warranties expressed or implied are made. Because
the reports are of an advisory nature, neither SRIC nor its employees will assume any liability for
the special or consequential damages arising from the Clients use of the results contained in the
reports. The Client agrees to indemnify, defend, and hold SRIC, its officers, and employees
harmless from any liability to any third party resulting directly or indirectly from the Clients use of
the reports or other deliverables produced by SRIC pursuant to this agreement

For detailed marketing data and information, the reader is referred to one of the SRI
Consulting programs specializing in marketing research. THE CHEMICAL ECONOMICS
HANDBOOK Program covers most major chemicals and chemical products produced in the
United States and the WORLD PETROCHEMICALS PROGRAM covers major hydrocarbons and
their derivatives on a worldwide basis. In addition the SRIC DIRECTORY OF CHEMICAL
PRODUCERS services provide detailed lists of chemical producers by company, product, and
plant for the United States, Western Europe, Canada, and East Asia, South America and Mexico.

CONTENTS

INTRODUCTION ........................................................................................................

1-1

1.1 REPORT FOCUS ................................................................................................

1-1

1.2 OVERVIEW AND ELEMENTS OF THE REPORT..............................................

1-2

1.3 GTL PROCESS STEPS ......................................................................................

1-3

Synthesis Gas Preparation.........................................................................................

1-4

Fischer-Tropsch Synthesis .........................................................................................

1-4

Product Upgrading......................................................................................................

1-4

1.4 FISCHER-TROPSCH PROCESS TECHNOLOGY OVERVIEW ........................

1-5

Reactors .....................................................................................................................

1-6

Reaction Mechanisms ................................................................................................

1-7

Heavy Paraffin Synthesis ...........................................................................................

1-7

1.5 FISCHER-TROPSCH CATALYSTS....................................................................

1-8

1.6 CURRENT COMMERCIAL INITIATIVES............................................................

1-10

SUMMARY .................................................................................................................

2-1

2.1 MARKETS ...........................................................................................................

2-1

2.2 FISCHER-TROPSCH PROCESS TECHNOLOGY.............................................

2-3

2.3 REFORMING TECHNOLOGY TO PRODUCE SYNGAS ...................................

2-6

2.4 F-T PRODUCTS AND GTL PRODUCT UPGRADING .......................................

2-8

2.5 FISCHER-TROPSCH PROCESS ECONOMICS................................................

2-10

Sasol...........................................................................................................................

2-11

Shell............................................................................................................................

2-11

ExxonMobil .................................................................................................................

2-11

Syntoleum...................................................................................................................

2-12

Economic Evaluation Of F-T Synfuel Process ...........................................................

2-12

2.6 CONCLUSIONS ..................................................................................................

2-15

iii

CONTENTS (Continued)

REMOTE GAS STRATEGIES ...................................................................................

3-1

3.1 NATURAL GAS ...................................................................................................

3-1

3.1.1 Reserves ..........................................................................................................

3-2

3.1.2 Size And Location Of Remote Gas Fields........................................................

3-2

3.1.3 Monetizing Stranded Gas .................................................................................

3-3

3.1.4 Sources Of Gas ................................................................................................

3-4

3.1.5 Methods For Transporting Gas Energy To Markets.........................................

3-5

Pipelines ...............................................................................................................

3-6

Liquefied Natural Gas...........................................................................................

3-6

Gas To Liquids .....................................................................................................

3-7

Compressed Natural Gas.....................................................................................

3-7

Gas To Wire .........................................................................................................

3-9

Gas To Solids .......................................................................................................

3-9

Small Scale Gas Fuel Applications ......................................................................

3-11

Conclusions ..........................................................................................................

3-11

3.1.6 Regional Natural Gas Market Activity...............................................................

3-12

United States ........................................................................................................

3-12

Western Europe....................................................................................................

3-12

Japan ....................................................................................................................

3-13

China ....................................................................................................................

3-13

3.2 GTLS ROLE IN WORLD ENERGY MARKETS..................................................

3-14

3.2.1 Economic Comparison Of GTL To LNG...........................................................

3-18

3.3 NATURAL GAS CONVERSION PROCESS .......................................................

3-20

3.3.1 Indirect Conversion Of Natural Gas .................................................................

3-21

Synthesis Gas ......................................................................................................

3-21

Steam Reforming..................................................................................................

3-22

Partial Oxidation Reforming .................................................................................

3-23

Compact Reforming..............................................................................................

3-24

iv

CONTENTS (Continued)

Autothermal Reforming.........................................................................................

3-24

Catalytic Partial Oxidation ....................................................................................

3-25

Air Blown Autothermal Reforming ........................................................................

3-27

Heat Exchange Reforming ...................................................................................

3-27

Catalytic Membrane Reactors ..............................................................................

3-28

3.3.2 Synthesis Gas Requirements For Low Temperature Fischer-Tropsch

Synthesis ....................................................................................................................

3-28

3.3.3 Summary And Conclusion For Fischer-Tropsch Technologies .......................

3-29

3.3.4 Synthesis Gas Requirements For Methanol/DME ...........................................

3-29

3.4 GAS TO LIQUIDS TECHNOLOGIES..................................................................

3-31

3.4.1 Fischer-Tropsch Synthesis...............................................................................

3-31

Process Chemistry ...............................................................................................

3-32

Technology Description ........................................................................................

3-33

Product Uses ........................................................................................................

3-34

F-T Diesel Transportation And Distribution ..........................................................

3-34

3.4.2 Methanol ...........................................................................................................

3-35

Process Chemistry ...............................................................................................

3-35

Technology Description ........................................................................................

3-36

Alternative Methanol Technologies ......................................................................

3-37

Low Pressure Process.....................................................................................

3-38

Product Uses ........................................................................................................

3-39

Trends In Methanol Process Development ..........................................................

3-39

Mega Methanol ................................................................................................

3-40

Liquid Phase Technology ................................................................................

3-41

Methanol Transportation and Distribution ............................................................

3-41

Methanol Based Chemicals..................................................................................

3-42

Formaldehyde ..................................................................................................

3-42

Methyl Tertiary Butyl Ether (MTBE) .................................................................

3-43

Acetic Acid .......................................................................................................

3-43

Direct Methanol Fuels......................................................................................

3-44

3.4.3 Dimethyl Ether ..................................................................................................

3-45

CONTENTS (Continued)

Process Chemistry ...............................................................................................

3-45

Technology Description ........................................................................................

3-46

Product Uses ........................................................................................................

3-48

DME Transportation And Storage ........................................................................

3-49

3.4.4 Other Methanol Fuels And Chemical Derivatives ............................................

3-51

Methanol To Gasoline ..........................................................................................

3-51

Methanol To Olefins (MTO) ..................................................................................

3-52

Methanol To Gasolines And Diesel (MOGD) .......................................................

3-54

Topsoe Integrated Gasoline Synthesis (TIGAS) ..................................................

3-54

3.4.5 Ammonia...........................................................................................................

3-54

Process Chemistry ...............................................................................................

3-55

Synthesis Gas Production ....................................................................................

3-56

Alternative Stream Reforming Process ................................................................

3-56

Partial Oxidation ...................................................................................................

3-57

Cryogenic Separation ...........................................................................................

3-57

3.4.6 Synthesis Gas Purification ...............................................................................

3-57

Shift Conversion ...................................................................................................

3-57

Removal Of Carbon Dioxide.................................................................................

3-58

Removal Of Residual Carbon Monoxide And Carbon Dioxide ............................

3-58

3.4.7 Ammonia Synthesis..........................................................................................

3-58

3.4.8 Alternative Process Technologies ....................................................................

3-60

3.4.9 Product Uses ....................................................................................................

3-61

3.4.10 Trends In Synthetic Ammonia Plant Development.........................................

3-61

3.4.11 Ammonia Plant Retrofits.................................................................................

3-62

3.4.12 Transportation And Distribution......................................................................

3-63

3.5 DIRECT CONVERSION OF NATURAL GAS .....................................................

3-65

Oxidative Coupling Of Methane..................................................................................

3-66

Selective Oxidation Of Natural Gas To Methanol ......................................................

3-67

3.6 PHYSICAL CONVERSATION OF GAS TO LIQUIDS (LNG)..............................

3-67

vi

CONTENTS (Continued)

LNG Transportation And Distribution .........................................................................

3-70

Transportation Requirements.....................................................................................

3-70

LNG Regasification.....................................................................................................

3-71

3.7 MARKET DRIVERS FOR FISCHER-TROPSCH GTL ........................................

3-71

Alternative Diesel Fuels..............................................................................................

3-72

3.8 RATIONAL FOR INVESTING IN FISCHER-TROPSCH GTL TECHNOLOGY ..

3-73

INDUSTRY STATUS..................................................................................................

4-1

4.1 INTRODUCTION .................................................................................................

4-1

4.2 HISTORY OF F-T PROCESS .............................................................................

4-4

Sasol Process.............................................................................................................

4-9

The Shell Middle Distillate Synthesis .........................................................................

4-12

ExxonMobil Advanced Gas Conversation For The 21st Century (AGC-21) ...............

4-13

The Syntroleum Process ............................................................................................

4-13

The Rentech Process .................................................................................................

4-14

4.3 FUTURE OUTLOOK ...........................................................................................

4-15

The Energy Demand Driver........................................................................................

4-16

The Energy Supply Driver ..........................................................................................

4-16

4.4 CURRENT STATUS OF GTL PROJECTS .........................................................

4-18

4.5 DEVELOPMENT OF FISHER-TROPSCH MIDDLE DISTILLATE FUELS .........

4-23

Synthetic Diesel Fuel Characteristics.........................................................................

4-25

4.6 ENVIROMENTAL EMISSIONS ...........................................................................

4-27

Criteria Pollutants/Air Toxics ......................................................................................

4-28

Greenhouse Gas Emissions.......................................................................................

4-28

Water Treatment.........................................................................................................

4-28

Resource Consumption ..............................................................................................

4-29

Life Cycle Assessment ...............................................................................................

4-29

vii

CONTENTS (Continued)

Environmental Issues For Coal Based F-T GTL Plants .............................................

4-33

4.7 ALTERNATIVE NATURAL GAS BASED GTL PROCESS TECHNOLOGIES....

4-34

Sasols Slurry Phase Distillate Process......................................................................

4-34

Shell Middle Distillate Synthesis Process...................................................................

4-37

ExxonMobil Process Technology ...............................................................................

4-39

Syntroleum Process Technology................................................................................

4-41

TECHNOLOGY REVIEW`..........................................................................................

5-1

5.1 WELLHEAD GAS TREATMENT .........................................................................

5-1

GTL Feed Gas Desulfurization...................................................................................

5-2

5.2 REFORMING OPTIONS FOR FISCHER-TROPSCH.........................................

5-4

Steam Methane Reforming.........................................................................................

5-5

Adiabatic Prereforming ...............................................................................................

5-5

Partial Oxidation .........................................................................................................

5-7

Autothermal Reforming...............................................................................................

5-8

ATR Chemistry .....................................................................................................

5-10

ATR Reactor Design.............................................................................................

5-11

Fluidized Bed Autothermal Reforming..................................................................

5-13

Steam Methane Reforming + Autothermal Reforming ...............................................

5-14

Gas Heated Reforming...............................................................................................

5-15

Compact Reformer .....................................................................................................

5-16

Catalytic Partial Oxidation ....................................................................................

5-19

5.3 F-T SYNTHESIS PROCESS DEVELOPMENTS ................................................

5-20

New and Alternative Reactor Systems.......................................................................

5-22

Conventional Reactor Configurations ..................................................................

5-22

Monolith Reactor ..................................................................................................

5-23

Tank Reactor ........................................................................................................

5-25

Tubular Loop Reactor...........................................................................................

5-27

viii

CONTENTS (Continued)

Increased Heat Exchange In A Conventional Slurry Bubble Column Reactor ..........

5-28

Catalyst Separation ....................................................................................................

5-28

Catalyst Rejuvenation.................................................................................................

5-29

5.4 PRODUCT UPGRADING ....................................................................................

5-32

Alternative Product Upgrade Configurations ..............................................................

5-35

Split Feed Single Zone Hydroprocessing.............................................................

5-36

Single Feed Single Zone Hydroprocessing..........................................................

5-38

GTL ECONOMICS .....................................................................................................

6-1

6.1 BASES FOR ESTIMATES AND EVALUATION ..................................................

6-1

Sasol/Chevron ............................................................................................................

6-2

Shell............................................................................................................................

6-2

ExxonMobil .................................................................................................................

6-3

Syntroleum..................................................................................................................

6-4

ConocoPhillips ............................................................................................................

6-5

BP ...............................................................................................................................

6-5

6.2 COST ESTIMATES .............................................................................................

6-11

Capital Cost Summary................................................................................................

6-12

Production Cost Summary..........................................................................................

6-13

6.3 CONCLUSIONS ..................................................................................................

6-18

6.4 COST SENSITIVITIES ........................................................................................

6-18

CURRENT FISCHER-TROPSCH GTL PROCESS CATALYSTS ............................

7-1

7.1 REFORMING.......................................................................................................

7-2

Steam Reforming........................................................................................................

7-2

Support Participation In Catalytic Reactions ........................................................

7-2

Catalyst Deactivation............................................................................................

7-3

Promoters .............................................................................................................

7-4

Autothermal Reforming...............................................................................................

7-4

ix

CONTENTS (Continued)

Dry Reforming.............................................................................................................

7-6

7.2 FISCHER-TROPSCH SYNTHESIS ....................................................................

7-6

Performance Criteria: Conversion, Product Distribution, Lifetime.............................

7-7

Catalyst Composition..................................................................................................

7-9

Catalytic Metal ......................................................................................................

7-9

Support .................................................................................................................

7-9

Promoters .............................................................................................................

7-11

Reaction Variables .....................................................................................................

7-12

Feed Composition ................................................................................................

7-12

Temperature .........................................................................................................

7-13

Pressure ...............................................................................................................

7-13

Space Velocity......................................................................................................

7-13

7.3 HYDROPROCESSING........................................................................................

7-14

Catalyst Metal Components .......................................................................................

7-14

Catalyst Carriers.........................................................................................................

7-15

Hydroisomerization.....................................................................................................

7-15

FISCHER-TROPSCH CATALYSIS FOR HYDOCARBON FUELS ..........................

8-1

8.1 BACKGROUND...................................................................................................

8-1

8.1.2 Kinetics In Industrial Systems ..........................................................................

8-7

Factors Affecting Kinetics For Iron Catalysts .......................................................

8-8

Iron Kinetics ..........................................................................................................

8-9

Cobalt Kinetics......................................................................................................

8-10

8.1.3 Reactor Systems ..............................................................................................

8-11

Fixed Bed Reactors ..............................................................................................

8-12

Fluidized Bed Reactors ........................................................................................

8-13

Three Phase Slurry Bed Reactors........................................................................

8-13

Bubbles And Scalability ........................................................................................

8-14

Regeneration Approaches....................................................................................

8-19

CONTENTS (Continued)

8.1.4 Geometric Features Affecting Reactor Productivity And Product

Distribution..................................................................................................................

8-19

Particle Size..........................................................................................................

8-19

Pore Size ..............................................................................................................

8-20

8.1.5 Catalyst Lifetime And Chemical Fate ...............................................................

8-20

8.2 F-T CATALYST TECHNOLOGY REVIEW FOR HYDROCARBON FUELS:

2000-2004...................................................................................................................

8-21

8.2.1 Introduction .......................................................................................................

8-21

8.2.2 Overview Of Portfolios For F-T Catalysts Technologies Patented By

Commercial R&D Groups In 2000-2004.....................................................................

8-22

8.2.3 Patent And Literature Review By Topic For New Catalyst Systems................

8-25

8.2.3.1 Catalyst Activation, Reduction, Deactivation, And Regeneration ...........

8-25

Oxidative Deactivation As A Function Of Cobalt Crystallite Size

(Sasol, Open Literature) ..................................................................................

8-26

Oxidative And Reductive Regeneration And Activation ..................................

8-28

Partially Oxidized Precursors To Co(0) ...........................................................

8-29

Aqueous Low Temperature Oxidation (ALTO, ExxonMobil) ......................

8-29

Low Temperature Slurry Activation Of Dispersed Active Metal

(DAM) Catalysts (ExxonMobil) ...................................................................

8-30

Reduction Of Higher Or Lower Oxides Than Co3O4 (Sasol) ...........................

8-31

Water (ExxonMobil, Open Literature) ..............................................................

8-32

Pre-Reduction Surface Cleaning (ExxonMobil)...............................................

8-33

Cobalt Particle Size And Reduction (IFP/Agip Petroli) ....................................

8-34

Reduction In The F-T Reactor (BP/Davy)........................................................

8-34

Reductant Gas .................................................................................................

8-35

Hydrogenation Without Hydrogenolysis (Shell, ConocoPhillips)................

8-35

CO With Cobalt (IFP/Agip Peroli/Eni) .........................................................

8-36

Decoking (ConocoPhillips) ..............................................................................

8-36

8.2.3.2 Attrition Resistance .................................................................................

8-37

Pre-Treatment To Protect The Support (IFP/Agip Petroli/Eni, Sasol,

ConocoPhillips) ................................................................................................

8-37

Inclusion of Titania In A Metal Oxide Support (Sasol, IFP/Agip Petroli)..........

8-40

Stronger Titania Supported Catalysts (Shell) ..................................................

8-41

Zirconia (Shell).................................................................................................

8-43

xi

CONTENTS (Continued)

Iron (Sasol, ConocoPhillips) ............................................................................

8-43

8.2.3.3 Dispersion And Intra-Particle Geometry..................................................

8-44

Dispersed Active Metal (DAM) Catalysts (ExxonMobil) ..................................

8-45

Dispersal Of Active Metal On Supports (ExxonMobil, ConocoPhillips,

Eni/Agip Petroli/IFP/Enitecnologie)..................................................................

8-45

Cobalt Amine Carbonate for Better Dispersion (ConocoPhillips, ICI,

Johnson Matthey, Sud-Chemie) ......................................................................

8-48

Eggshell Catalysts (Shell, Open Literature).....................................................

8-49

Sponge Catalyst (ConocoPhillips) ...................................................................

8-50

Pore Size (Statoil, ConocoPhillips, Open Literature).......................................

8-50

Mesoporous Support Materials...................................................................

8-51

Porosity And Supercritical Media (Open Literature) ........................................

8-52

Supercritical Reaction Media......................................................................

8-53

Size of Cobalt Particles or Clusters (Sasol, Open Literature) .........................

8-55

8.2.3.4 Catalyst Particle Shape (Shell, ConocoPhillips, Sud-Chemie) ...............

8-55

8.2.3.5 Supports ..................................................................................................

8-56

Low Surface Area Alumina (Statoil, Open Literature) .....................................

8-57

Cobalt-Aluminates As Support Material (ExxonMobil) ....................................

8-59

Support Modification With Carbon (Sasol) ......................................................

8-60

Fluorided Or Borated Supports........................................................................

8-60

Alternative Metal Oxide Supports (ConocoPhillips, Engelhard) ......................

8-61

Polyacrylate Matrix Structures (ConocoPhillips) .............................................

8-61

8.2.3.6 Promoters ................................................................................................

8-61

Promoters For Co (Shell, ExxonMobil, ConocoPhillips, IFP/Eni/Agip)............

8-62

Tantalum .....................................................................................................

8-62

Rhenium......................................................................................................

8-63

Water As A Promoter For Supported Cobalt (Open Literature) ......................

8-64

Promoters For Iron (Chevron) .........................................................................

8-65

8.2.3.7 Separation Of Catalysts (ConocoPhillips, Eni/Agip Petroli/IFP)..............

8-66

8.2.3.8 Impurities (Sulfur and CO2, Chevron, Conoco, Shell,

BP/Davy, Exxon) ..................................................................................................

8-68

8.2.3.9 Catalysts for coupled Reactions..............................................................

8-69

Hydrogen Management Through Catalysis (Shell) .........................................

8-69

xii

CONTENTS (Continued)

F-T And Hydroprocessing (Open Literature, Chevron, Agip Petroli/IFP,

BP/Davy, Akzo Nobel) .....................................................................................

8-70

Integration Of F-T with Alkylation (Chevron) ...................................................

8-75

8.2.3.10 Combinatorial ........................................................................................

8-75

8.3 DISCUSSION OF TEHNOLOGY FINDINGS ANTICIPATED TO

HAVE HIGH IMPACT ON KEY PERFORMANCE CRITERIA ...................................

8-77

(1) Demonstrated Impact...........................................................................................

8-77

(2) Simplicity Of Application.......................................................................................

8-77

(3) Catalyst Materials Costs ......................................................................................

8-78

8.3.1 Key Recent Findings And Innovations .......................................................

8-78

Site Density Matters More To Activity Than Support Surface Area.................

8-78

Surfactants Improve Dispersion ......................................................................

8-78

Pore Size Matters To Selectivity And Can Be Controlled................................

8-78

Cleaning The Pores Gives Higher Molecular Weight Products.......................

8-79

The Minimum Cobalt Crystallite Size Should Be Adjusted Upward

To Maintain Initial Activity, Particularly When Reduction Promoters
Are Used ..........................................................................................................

8-80

Easier Reducibility Than Conventional Matters Greatly ..................................

8-80

Low Temperature Slurry Oxidation Is A Step Toward in-Situ

Regeneration ...................................................................................................

8-81

Silica Marked Improves The Attrition Resistance of Co/Alumina

Catalysts ..........................................................................................................

8-82

Doughs Can Be Used to Make Attrition Resistant Catalysts...........................

8-83

Heat Treating Increases Attrition Resistance Of Fe Catalysts ........................

8-83

Polysilicic Acid Precursor To Silica Increases Attrition Resistance

Of Supported Fe Catalysts ..............................................................................

8-83

Asymmetric Particle Shapes Can Improve FB F-T Performance ....................

8-83

High Loadings Of Cobalt Can Be Achieved In A Single Impregnation............

8-84

Silver And Tantalum Can Promote C5+ Selectivity ..........................................

8-84

Water Can Do More Good Than Harm............................................................

8-84

8.4 FUTURE GOALS AND TECHNOLOGY IMPROVEMENTS ...............................

8-85

8.4.1 What Needs To Be Done And Prospective Approaches..................................

8-85

Lower The Reduction Temperature......................................................................

8-85

Alternative To High Temperature Oxidation .........................................................

8-86

xiii

CONTENTS (Concluded)

Sulfur Tolerant Cobalt Catalysts...........................................................................

8-87

Separation Of Fines..............................................................................................

8-87

Expand Research On Mixed Metal Species.........................................................

8-88

Expand Research On Dual-Function Systems.....................................................

8-88

Use Coupled Reactions To Alter The Effective ASF Distribution In F-T

And To Intensify The Overall GTL Process..........................................................

8-88

8.4.2 F-T Catalysts Of The Future.............................................................................

8-90

APPENDIX A: PATENT SUMMARY TABLES..................................................................

A-1

APPENDIX B: DESIGN AND COST BASES ....................................................................

B-1

APPENDIX C: CITED REFERENCES...............................................................................

C-1

APPENDIX D: PATENT REFERENCES BY COMPANY..................................................

D-1

xiv

ILLUSTRATIONS

3.1

World Leading Gas Resource Holders.................................................................. 3-5

3.2

Global LNG Supply And Demand Forecast .......................................................... 3-16

3.3

Concept Map Of Natural Gas Based Energy Transport Technologies ................. 3-18

3.4

LNG System Area Capital Cost............................................................................. 3-19

3.5

Conceptual Routes For Conversions Of Gas Liquids ........................................... 3-21

4.1

F-T Reactor Characteristics .................................................................................. 4-10

4.2

Development Status Of GTL Process Technologies............................................. 4-18

4.3

Crude Oil Price ...................................................................................................... 4-24

4.4

Schematic Of The Sasol GTL Process.................................................................. 4-35

4.5

Schematic Of The Shell GTL Process................................................................... 4-38

4.6

Schematic Of The ExxonMobil AGC-21 GTL Process.......................................... 4-40

4.7

Schematic Of The Syntroleum GTL Process ........................................................ 4-43

5.1

Compact Reformer ................................................................................................ 5-16

7.1

Production Distribution Plots For The Fischer-Tropsch Reaction ......................... 7-8

8.1

Comparison Of FTS Gas Phase With Supercritical Phase ................................... 8-54

8.2

Effect Of Additional Promoters Of The Productivity Of Co/Re/Alumina

Catalysts (US 20020010221A1)............................................................................ 8-65

8.3

Light And Heavy Fuel Cuts From The Co/Ta Catalyst For F-T And
Hydrocracking (EP 0967262) ................................................................................ 8-74

xv

TABLES

2.1

Total Fixed Capital Cost,$/bpd .............................................................................. 2-13

2.2

Production cost, $/bpd........................................................................................... 2-13

2.3

Projected Total Fixed Capital Cost, $/bpd............................................................. 2-14

2.4

Projected Production Costs, $/bpd........................................................................ 2-14

2.5

Estimated F-T GTL Profitabilities .......................................................................... 2-15

3.1

Major Gas Reserve Locations (By Country).......................................................... 3-3

3.2

F-T GTL And LNG Economic Comparisons.......................................................... 3-20

3.3

Comparative Conversions For Methanol, Methanol/DME, And DME ................... 3-46

3.4

Physical Properties Of DME And Other Fuels ...................................................... 3-49

3.5

GTL Diesel Fuel Compared To Swedens Class I Diesel Fuel ............................. 3-73

4.1

F-T GTL Pilot/Demonstration Scale Plants ........................................................... 4-21

4.2a

F-T GTL Commercial Plant Feasibility Studies/Projects Under Development

(First Wave) ........................................................................................................... 4-21

4.2b

F-T GTL Commercial Plant Feasibility Studies/Projects Under Development

(Second Wave)...................................................................................................... 4.22

4.3

F-T GTL Projects Under Discussion ..................................................................... 4-22

4.4

World Reserves Of Carbon Relative to Oil............................................................ 4-23

4.5

Thermal Efficiencies Of Producing Liquid Fuels From Methane........................... 4-23

5.1

Typical GTL Feed Gas Compositions ................................................................... 5-2

5.2

Routes To Carbon Formation................................................................................ 5-6

5.3

Typical Operating Conditions For A Gas Fired POx Unit ....................................... 5-7

5.4

Syngas Technology Comparisons......................................................................... 5-18

5.5

F-T Reactor Product Spectra ................................................................................ 5-32

5.6

Typical Distillation Range For LTFT Syncrude Fractions...................................... 5-34

5.7

Process Configuration Options For F-T Product Upgrading ................................. 5-36

5.8

Basic Properties Of Alternative Diesel Fuels ........................................................ 5-39

6.1

Sasol Process For Liquid Hydrocarbons From Natural Gas By Autothermal

Reforming And F-T Synthesis
Design Basis.......................................................................................................... 6-7

xvi

TABLES (Continued)

6.2

Shell Process For Liquid Hydrocarbons From Natural Gas By Partial

Oxidation And F-T Synthesis
Design Basis.......................................................................................................... 6-8

6.3

ExxonMobil Process For Liquid Hydrocarbons From Natural Gas

By Autothermal Reforming And F-T Synthesis
Design Basis.......................................................................................................... 6-9

6.4

Syntroleum Process For Liquid Hydrocarbons From Natural Gas By

Autothermal Reforming And F-T Synthesis
Design Basis.......................................................................................................... 6-10

6.5

Total Fixed Capital Cost, $/bpd ............................................................................. 6-12

6.6

Projected Total Fixed Capital Cost, $/bpd............................................................. 6-12

6.7

Production Costs, $/bbl ......................................................................................... 6-13

6.8

Projected Production Costs, $/bbl ......................................................................... 6-13

6.9

GTL Total Fixed Capital Cost Comparison ........................................................... 6-15

6.10

GTL Production Value Comparison....................................................................... 6-16

6.11

Estimated F-T GTL Profitabilities .......................................................................... 6-18

6.12

Product Value Cost Sensitivities, /gal.................................................................. 6-19

6.13

Sasol Process For Naphtha & Middle Distillates

Total Capital Investments ...................................................................................... 6-20

6.14

Sasol Process For Naphtha & Middle Distillates

Production Costs ................................................................................................... 6-21

6.15

Shell Process For Naphtha & Middle Distillates

Total Capital Investments ...................................................................................... 6-23

6.16

Shell Process For Naphtha & Middle Distillates

Production Costs ................................................................................................... 6-24

6.17

Exxon AGC-21 Process For Naphtha & Middle Distillates

Total Capital Investment........................................................................................ 6-26

6.18

Exxon AGC-21 Process For Naphtha & Middle Distillates

Product Costs ........................................................................................................ 6-27

6.19

Syntroleum Process For Naphtha & Middle Distillates

Total Capital Investment........................................................................................ 6-29

6.20

Syntroleum Process For Naphtha & Middle Distillates

Production Costs ................................................................................................... 6-30

xvii

TABLES (Concluded)

8.1

Elements Of F-T Mechanisms............................................................................... 8-4

8.2

Patent Topic Coverage On Fischer-Tropsch Catalysts For Production

Of Hydrocarbon Fuels In 2000-2004 ..................................................................... 8-23

8.3

Selectivities For Chevron Invented Catalysts Versus Common

F-T Catalysts ......................................................................................................... 8-72

A.1

AGIP, AGIP Petroli, Eni, Enitecnologie, IFP: F-T Catalyst Patents....................... A-6

A.2

BP Exploration Operating Company and Davy Process Technology:

F-T Catalysts Patents ............................................................................................ A-12

A.3

Chevron F-T Catalyst Patents ............................................................................... A-15

A.4

ConocoPhillips F-T Catalyst Patents..................................................................... A-20

A.5

ExxonMobil F-T Catalyst Patents .......................................................................... A-39

A.6

Sasol F-T Catalyst Patents.................................................................................... A-53

A.7

Shell F-T Catalyst Patents..................................................................................... A-60

xviii