Pellets Energy Source and Commercial Opportunity for Europe and Central America

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• Pellets - Energy Source and Commercial
  Opportunity for Europe and Central America
• Felix Moser

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Making profit with Biomass in Central America

• 1. Production of solid biofuels
• Export to EU/US/Japan
• Medium and large scale production, minimum size
  20.000 t/a
• Fuel requirements
• Sustainability
• Physical properties
• Chemical properties
• Transport and logistics
• 2. Electric Power
• Regional supply for Industry
• Best case CHP-plant or combination with process
  heat supply
• Actual availability - working hours
• Reliability stable and continuous operation
• Maintenance and operation costs
• efficiency (electric and overall)

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Nature provides different solid biofuels, most of
them are for local use
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Why pellets?

• Advantages of pellets
• Very high energy density low transport and
  storage costs
• Pellets ca. 600 kg/m³ gt 2880 kWh/m³
• Wood-chips, dry ca. 300 kg/m³ gt 1020 kWh/m³
• Sawdust, wet ca. 200 kg/m³ gt 400 kWh/m³
• Homogeneous (water content,)
• Stable - no biologic degradation during storage
• Easy flowing
• pneumatic transport and/or with screws is
  possible

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European perspectives

• significantly increased attention to heat from
  biomass, also from the EU Commission
• establishment of high quality standards for
  boilers and pellets EU wide - scope to technology
  transfer
• international pellet market development
  regional woodchip supply
• use of agricultural residues
• biomass use for process heat in industry

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EU-pellet markets

• stoves
• Italy 400.000 t/a
• (USA 1 Mio t /a)

bagged, 15kg

• Central heating/ domestic
• Austria 300.000 t/a
• Germany 300.000 t/a
• Sweden 550.000 t/a

loose 1 - 15 t

• Power plants
• Denmark 300.000 t/a
• Belgium 650.000 t/a
• Sweden 900.000 t/a
• Netherland
• 1.400.000 t/a

large quantities gt 1000 t
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From wood to wood-fuels
timber ? sale
wood
saw dust, shavings

• side products
• log wood
• ? regional use
• wood chips
• industry or district heating (cold regions)

• side products
• bark
• power plant
• pellet production
• industrial wood chips
• paper- and board industry

• pellets
• loose
• in bags
• briketts

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We supply know-how for highest value added
sawdust dryer
Pellet plant
wood pellets
sawdust
shavings
Biomass heating plant
bark
heat for grid
saw mill /wood processing
wood from certified forests
wood dryer
Final products
Upgrade wastes to heat, power and fuels
timber
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Sustainable use of forests

• Use not more that regenerates

Every generation shall get the same benefits from
the wood
Only raw material from plantation
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Pellet production
Production in Austria
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Requirements for domestic heating

• competition with fossil fuels
• high quality
• competitive price (boiler and fuel)
• convenience !
• design and individual customer solutions
  (storage!)
• environmental conscious customers
• no contamination
• low emissions in all day use

Only best quality for small units! Certification
is necessary
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Standards and Certification schemes
Pellets criteria
Quality label
Nation. standards
Austria
Germany
Scan. Standards
CEN Standards
Prospective ISO-Norm
Italien
Frankreich
Italy
France
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Requirements for pellets / domestic use

• Currently new values in discussion!

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From first idea to pellet plant
some weeks
2 6 months
2 6 months
First Idea
Pre-feasibility check
Feasibility study
Validation
Due dilligence
investor There are several pre-conditions,
which have to be checked to decide, whether a
pellet production may by interesting
operator/ investor First basic information
concerning Raw material amount available,
location, partner, consultant, equity
Consultant (ofi) Provides a feasibility study
including raw material analysis, estimation for
size and technology for plant including rough
investment costs
operator/ investor Financing, collection of
information missing
Consultant (ofi) Bankable documents Eventually
detailed feasibility
Total investment costs including heat supply,
drying of raw material 25.000 t/a 2-3,5 Mio.
100.000 t/a 7-13 Mio.
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From first idea to pellet plant
3-6 month
4-6 month
Engineering
building engineering
comissioning start operation
optimization, QMS
Consultant (ofi) and local engineers Detail-Engin
eering, Building Permission, Tendering, selection
of gereral contractor
General contractor Construction, Site
supervision and site management
operator/ consultant
Operator/ consultant certification
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Pellets of alternative renewable ressource...

• bark
• miscantus
• straw
• nutshells
• palm kernal
• ricehusks
• bagass
• olivestones
• coffee residues

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...or for combustion

• Combustion of grain but also wood,
  shavings, demolition wood, bark, sunflower husk,
  straw, corn cob, rice husk, chicken dung, horse
  dung

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Best technology for biomass combustion

• for an individual boiler capacity from500 kW to
  20.000 kW

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• Plants for
• CHP co-generator
• district heating
• heat / steam for production
• Processes
• Equipped with heat exchangers for
• warm water (up to 95 C)
• hot water (over 95 C)
• low pressure steam (up to 1 bar)
• high pressure steam (up to 36 bar)
• high pressure hot steam (up to 450 C)
• thermic oil (up to 300 C)

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• complete turn key installations, incl.
• fuel discharge
• fuel feeding system
• furnace
• boiler
• flue gas dedusting system
• control and adjusting unit
• electro-installation
• waterside installation incl. piping
• building for boiler house and fuel
• storage

CFD-Model plant development (space velocity
m/s)
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Automatic fuel extraction
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Automatic heat-exchanger cleaning and multicyclone
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Fernwärme Pisz, Poland
Moving grate combustion units with air
pre-heater, 21 000 kW (District heating)
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• Construction of a CHP plant
• 2 x 10 000 kWtherm
• 5 000 kWel
• Göpfritz, Austria

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Construction of a CHP plant under Russian
conditions, Archangelsk, Russia
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TIWAG Längenfeld, Tirol, Austria
Co-generation (ORC-system), 6.500 kWtherm /
1.100kWel 4.000 kWtherm (warm water) for peak
load
F
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NUON, The Netherlands
Co-generation plant, 8.000 kWtherm / 1.370 kWel
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...a message
We dont own the land we live on...We just
borrow it from our children.
Indian proverb
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• Thank you
• for your kind attention!

Head of department Martin Englisch -
martin.englisch_at_ofi.at Pellet-Certification Phili
pp Koskarti - philipp.koskarti_at_ofi.at
International project management Angelika Rubick
- angelika.rubick_at_ofi.at Expert for Central- and
South America Felix Moser - felix.moser_at_ofi.at
ofi Austrian Research Institute for Chemistry
and Technology Franz-Grill Str. 5, Arsenal Objekt
213 A-1030 Wien Tel. [phone] Fax
43-1-7981601-480 www.ofi.co.at
www.pelletstesting.com
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Why renewable Energy ?

• Decrease of largest glacier in Austria

2000
Approx. 1900
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Why renewable Energy ?

• Biomass combustion in Austria
• Environmental arguments
• CO2 emissions (Kyoto protocol, Austria 13
  compared with 1990)
• Safety (compared with nuclear power)
• Regional energy source
• low emissions due to very strict environmental
  regulations
• Economic reasons
• Resources wood, other biomass, hydropower
• Cheaper compared with oil
• Independence from political instable regions
  (near east)
• Stimulates regional economy
• profits from marketing of residues (e.g. saw
  dust)
• safety of (energy-) supply
• predictable fuel costs

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From the pellet plant to the consumer

• Combustion
• sizing
• efficiency
• emissions
• conveniance
• availability
• service
• design

pellets industriel production 10.000 100.000
t/a ? economy of scale ? raw materials price
availability ? quality assurance

• logistics
• loose pellets
• Supply network
• Quality assurance

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Mischanthus
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Nutshell
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Palm seeds
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Olive Stones
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Rice husk
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Bagass