Shigeki Sakurai – Status of CCS – Presentation at the Global CCS Institute Members’ Meeting: 2011

Current CCS Activities in Japan

October 4, 2011

Shigeki Sakurai

Senior Executive Director

Japan Coal Energy Center

1

Contents

1. CCS Policy in JAPAN

2. CCS Significance in Coal Resources2. CCS Significance in Coal Resources

3. Current CCS Activities in Japan

4. Implementation by JCOAL

2

1. CCS Policy in JAPAN

(1) Basic Energy Plan (Cabinet Decision on June 18, 2010)

(2) Fundamental Viewpoint for Future energy Policy in light on the

Earthquake Disaster (Council on the Realization of the New Growth Strategy by METI on June 7, 2011)

(3) Future Agenda: “Four Pillars” and “Three Strategies” (on June 7, 2011)

(4) Future Directions of Coal Policy

(5) An Innovative Zero-emission Coal Fired Power Generation System

(6) CCS Technology Development Road Map

3

(Advanced thermal power generation)

� While accelerating the technology development aimed at the practical

application of CCS by around 2020, consider the introduction of CCS Ready in new

construction and expansion of coal-fired plants in the future. Also, consider CCS

introduction to coal fueled power generation by 2030, which is planned for future

practical application.

� Specific requirements of CCS ready will be studied using the EU Directive as

(1) Basic Energy Plan(Cabinet Decision on June 18, 2010)

� Specific requirements of CCS ready will be studied using the EU Directive as

reference. As the requirement for CCS ready permit approval of a thermal power

plant of more than 300,000kW, the EU Directive (June 2009) demands a survey of

whether (1) an adequate geological storage site for CO2 exists, (2) CO2

transportation is possible technically and economically, and (3) future

construction of CO2 capture/injection facilities is technically and economically

possible. If CCS was found technically and economically feasible as a result of

such a survey, space shall be secured for facilities necessary for CO2 capture and

injection.

4

� The importance of energy policy's fundamental policy 3E (Energy Security, Economic Growth,

Environment Protection) remains, but in addition to this, we must reaffirm that S (Safety obtainment) is

a major premise. Especially for nuclear energy, it is imperative that all possible measures are taken to

obtain safety.

� “Energy Security” requires not only a reduction in dependence on overseas resources, but also an

establishment of energy supply framework which is strong against domestic emergencies such as

natural disasters . To do so, we must take in consideration the potential risk where a reliance on large-

scale centralized power occurs, and must realize a double-track / multiple layered system with a

coexistence of decentralized power and non-electrical energy sources.

(2) Fundamental Viewpoint for Future energy Policy in light on

the Earthquake Disaster

From “3E” to “S+3E” Source: Council on the Realization of the New Growth Strategy by METI on June 7, 2011

coexistence of decentralized power and non-electrical energy sources.

� For "Demand side", added to the continued efforts for streamlining of energy consumption through

innovations in energy saving technologies, we must also rethink the way of society where limitless

increase in energy consumption is accepted, and transform to "energy/power saving model“.

� Short term (1~3 years): Removing fears of electricity supply is the priority task. Deploy safety supply

oriented policy in order to support “recovery and restoration” of affected areas and the “recovery of

Japanese economy”.

� Medium term (3~10 years)：Obtain a balance between economic growth and environmental protection

to aim for “sustainable growth" while under the premise of stable supply.

� Long term (10~20 years): Realization of world’s strongest energy supply/demand structure considering

the outcome of technological innovations.

Action based on time -line

5

Fossil fuelNuclear power

Renewableenergy

Energy saving

Realization of optimum supply structure Realization of energy/power saving demand structure

� On the foundation of "S+3E", have the "renewable energy" as a new pillar for the supply side alongside "fossil

fuels" and "nuclear power“, and strengthen the "energy saving" efforts on the demand side.

� Accelerate energy demand structure reform and economic growth through energy system reforms, energy

technology innovations, and international strategies.

(3) Future Agenda: “Four Pillars” and “Three Strategies”(Source; METI on June 7, 2011)

Energy system reform(Stable supply, competitiveness (participation by various entities)/ economic growth)

Energy technology innovation(renewable energy, fossil fuel, energy saving / low carbon)

International strategies

Obtainment of resources Contribute to global warming issues International cooperation

- Reduction of environmental

impact

- Ensuring of stable supply

- Obtainment of high level

safety

- Improvement of economic

growth through technical

innovation

- Maximum utilization of

potentials in natural resources

- Innovation of energy

saving technologies

- Transfer to energy saving

structure for a more

economic society

6

<1>Stable coal supply(Response to increase in coal demands in Asian

countries)

• Strengthening of strategic public-private undertakings in order to

obtain resources

Packaging of

system

infrastructure

exports and

resource

obtainment

(4) Future Directions of Coal Policy

Strengthen

multi-layered

relationships

through co-

development

of coal

utilization

technologies Japan to lead the world's coal

usage

(Source; METI on June 7, 2011)

<2>Technological innovations

towards zero emissions

• Promotion of high-efficiency thermal power

generation and CCS

• Multipurpose usage of low grade coal

<3>Worldwide development of

CCT

• International contribution towards CO2

reduction

• Utilization of bilateral credit mechanism

Further strengthening of ties with coal producing and coal consuming

countries

usage

7

Off-gas(Returning to the smoke stack)

[Geological Storage] [Geological Storage] [ Transportation][ Transportation][Separation & Capture][Separation & Capture][Coal Gasification & [Coal Gasification &

Combustion]Combustion]

- Storage potential and

cost investigation

(several areas around

� As a response to global warming issue, coal fired power generation is strongly demanded

to reduce CO2 emissions.

� Coordinating high-efficiency coal fired power generation and CCS (Carbon Capture and

Storage) in order to realize a complete system.

(5) An Innovative Zero-emission Coal Fired Power Generation System

（Source; METI(March, 2008))

Compressor

Storage Tank Facilities

Coal Gasification Power Plant

-Verification tests in order to

expand

the range of compatible coal types.

-Development and verification of

oxygen separation devices

Exhaust Gas

CO2Concentration：

7～40%

Liquefaction Facilities Injection

Well

Pump & Carburetor

Storage Tank

FacilitiesTransportation by Ship

CO2Recovery Device

(several areas around

the country)

- Verified in the U.S.

CO2CO2

Chemical separation and

absorption methods of CO2

[Ge

olo

gica

l Sto

rag

e]

8

2,000sJPY

/t-CO2

1,000sJPY/t-CO2 (Adoption of separation membrane)4,200sJPY

/t-CO2

2000 2010 2020 2030 2040 2050

- Chemical Absorption, Physical absorption/adsorption,Membrane

separation,Utilization of unused low-grade exhaust heat to

Drastic reduction of capture costDrastic reduction of capture costCO2

Capture

(6) CCS Technology Development Road Map

(Source; “Cool Earth Innovative Energy Technology Program”, METI(March, 2008))

separation,Utilization of unused low-grade exhaust heat to

regenerate absorbent etc.

- Size increase in separation membrane, Successive production

Pilot study on

geological storage

Pilot study on

geological storageLarge-scale demonstrationLarge-scale demonstration

Full-scale domestic implementation of underground storage

- Aquifer, Depleted oil and gas field, Coal seam

- Transportation technologies

Geological

Storage of

CO2

Leap in storage potentialLeap in storage potential

9

2. CCS Significance of Coal Resources

(1) Potential of CCS

(2) Significance of CCS(2) Significance of CCS

(3) Future Market of CCS

10

(IEA, “Energy Technology Perspectives 2010”)

� The technical global potential of CCS is about 2 trillion tons (equivalent to 70 years CO2

emission at the current level) (IPCC Special Report on CCS)

� It is estimated that 19% of the emission reduction in 2050 will be made by CCS

(1) Potential of CCS

Contribution of individual technologies in global warming countermeasures

11

(2) Significance of CCS

（source）IEA CO2 Emissions from Fuel Combustion (2009)

Global CO2 emissions by Sector CO2 emission

(billion tons/year)Share

Total Global CO2 emissions 28.96 100.0%

From power generation 10.90 37.6%

From Coal-fired power generation 8.68 30.0%

� 30% of the world’s CO2 emission are from coal-fired plants

� In addition to efficiency improvement of coal-fired plants, capture/storage of CO2

emitted from them is a very important agenda when considering global CO2 emission

reduction. Furthermore, the same technologies can be used for other large emission

sources (iron making, cement production, etc).

12

(3) Future Market of CCS

（source）IEA Technology Roadmap 2009M

t C

O2

/yr

10

Gt

CO

2/y

r

power

10

Gt

CO

2/y

r

Investment

Every 10 years

(Billion $)

industry

Upstream

Power sec.

Indu.+ ups. sec.

Total

biomass. gas

13

3. Current CCS Activities in Japan

(1) Implementation by J-POWER and others (Three major CO2

Capture technologies from thermal power plants)

(2) Implementation by Toshiba (PCF)

(3) Implementation by Hitachi(3) Implementation by Hitachi

(4) Implementation by RITE

(5) Implementation by Japan CCS

(6) Implementation by Nippon Steel Eng. Co. and Chiyoda Co.

14

4 Partnership: J-POWER/MHI

4 Method: Chemical Adsorption (KS-1)

4 Gas flow rate: 1,750Nm3/h

4 CO2 Capture rate: 10 t/day

4 Test period: July ‘06 – October ‘08

Post-combustion

PCF

PCF

J-POWER

Matsuhima P/S

4 Partnership: J-POWER,IHI, Mitsui corp.,

CS Energy, ACA, Xstrata Coal, Shlumberger





Pilot Plant

Oxyfuel

Combustion

Pre-Combustion

Coal Gasification

Callide A P/S in QL, Australia

J-POWER Wakamatsu Research Institute,

EAGLE plant

4 Fund: Australian Gov. and Japanese Gov.

4 Plant Capacity: 30MWe

4 CO2 Capture rate: Up to 75t/d

4 Storage: Depleted gas field / Saline Aquifer

4 Test period: August ‘11 – Mid ‘14

4 Partnership: J-POWER/NEDO

4 Method: Chemical Adsorption (MDEA)

4 Gas flow rate: 1,000Nm3/h

4 CO2 Capture rate: approx. 20 t/d

4 Test period: Nov. ‘08 – March ‘10

Demo. Plant

Pilot Plant15


・CO2 Capture rate : 10 tons /day

・Capture Technology : Post –combustion, amine absorption

・Operating Hours to Date : 5,255 hours ( as of July 2011 )

16


17

(3) Implementation by Hitachi

18

(3) Implementation by Hitachi

19

(4) Implementation by RITE(Research Institute of Innovative Technology for the Earth)

� Technological development for preventing global warming• Turning fossil energy into clean energy

• Fluid energy production from renewable resources

• CO2 fixation using plants

� Support policymaking by Japan and other countries• Proposal of modeling-based global warming strategies for the near to distant

future

� Geological Storage Capacity Estimation� Geological Storage Capacity Estimation• Many aquifers and some depleted oil/gas reservoirs were investigated for a

CO2 storage reservoir.

• Detail site characterization of candidate sites for large scale demonstration are

being conducted (JCCS).

� Nagaoka Project• 10,000 tons of CO2 were injected into a deep saline aquifer and various kinds

of monitoring were applied to identify CO2 migration and distribution.

• Those monitoring is on going now.

20

Sedimentary Layers around Japan

� Based on data of Government funded preliminary

seismic and drilling survey for exploring of natural

resources


Geophysical Prospecting line

21

Geophysical Prospecting line

(except depth

/lithofacies)

Boundary of sea area

(Natural gas field)

(more than 800m in

thickness)

Shallower than

200m in depth

Shallower than

1000m in depth

Nagaoka test site

• FY2000-2007 by METI, Japan

• Injected 10,400 ton CO2

(2003.7-2005.1)

• Reservoir; Pleistocene sandstone

• permeability ave. 7mD

• porosity ca.23%

• 48oC, 11MPa

Active oil and gas field Active oil and gas field at Minami Nagaokaat Minami Nagaoka(Teikoku Oil)(Teikoku Oil)


CO2 Storage in Nagaoka field

22

Tokyo

RITE (Kyoto)5000m Gas production5000m Gas production

1,100mReservoir

Niigata

(5) Implementation by Japan CCS Co. Ltd.(Shareholders are 36

companies, Electric power, Petroleum, Engineering, Ian and Steel and other companies)

� Outline of Japan CCS Co. Ltd.

Established through investment by power, steel, oil, oil development, chemical

and other companies in May 2008 with the aim of conducting research &

development and surveys for practical application of the technologies for the

separation, collection, transportation and geological storage of carbon dioxide

(CCS) in Japan.

� Survey Status of Candidate Sites for CCS Demonstration Project

Tomakomai (Hokkaido)

�Elastic wave exploration was carried out from October 2009 to September 2010.

Nakoso-Iwaki oki

Kitakyushu

Tomakomai

�Elastic wave exploration was carried out from October 2009 to September 2010.

�Test wells were drilled from November 2010 to June 2011. Now date obtained from the drilling

are under analysis.

Nakoso-Iwaki oki (Fukushima)

�Pipeline survey was conducted in July-August 2009.

�Negotiation for survey well drilling have been made with the local fishery

cooperatives.

� In light of the Great East Japan Earthquake of March 11, 2011, survey at the site

and negotiations for them are suspended at the moment.

Kitakusyu (Fukuoka)

�Test boring was conducted from May to October 2010.

�Currently the data obtained through the test are under analysis to

assess the storage performance 23

� The Australia/Japan joint demonstration project to do a gasification of low rank coal (Brown Coal) which the utilization at the

state of Victoria in Australia is expected in the future, to produce substituted natural gas (SNG) and to implement CO2 capture

and storage (CCS)

� The implementation for demonstration research of highly efficient pyrolysis technology which is developed by national project

in Japan

Entrained Flow gasifier

Drying &Pulverizing

Brown Coal

Fuel, Chemicals

SNG, FT-oilNH3, CH3OH

Fuel, Chemicals

SNG, FT-oilNH3, CH3OH

Power GenerationIGCC, Gas Engine,

Fuel Cell

Power GenerationIGCC, Gas Engine,

Fuel Cell

Gas (H2 , CO, CH4)

Steel makingSteel makingChar

【【【【Pyrolysis】】】】Coal + Heat�� CO,H2,CH4,+ α

Oil ChemicalsBTX, Naphthalene

Oil ChemicalsBTX, Naphthalene

Light Oil

ECOPRO Project (Highly Efficient Pyrolysis Integrated Coal Gasification Project)

(6) Implementation by Nippon Steel Eng. Co. and Chiyoda Co.

� 2010～～～～ Preliminary Feasibility Study

� 2012～～～～2015 Plant Construction

� 2015～～～～2016 Operation for Demonstration

Schedule

AustraｌｌｌｌiaVictoria

O2

Steel makingCarbon materialSteel making

Carbon material

Slag

Inorganic materials

Cement, etc.

Inorganic materials

Cement, etc.

Char【【【【Partial oxidation】】】】Coal + O2,steam �� CO,H2,+ Heat + α

� Energy Efficiency : 85%(at commercial plant)

� Process Stability : Continuous operation of 900hrs

20t/d Pilot Plant

at NSC Yawata works

� Coal Gasification Technology Assessment & Market Study

� Investigation for Trend of Low Rank Coal Gasification Technology

� Investigation for Drying Technology of Brown Coal

� Coordination of the Working Group Activities

A Role of JCOAL

Demonstration Plant

Organization

� Australia Federal Government (DRET)

� Victoria state Government (DPI)

� Brown Coal Business Research Australia (BCBRA)

� Nippon Steel Engineering/Chiyoda/JCOAL

24

4. Implementation by JCOAL

(1) Medium Term Business Plan of JCOAL

(2) CCS Group in JCOAL

(3) Callide Oxyfuel Project(3) Callide Oxyfuel Project

(4) Outline of the Work for Structuring Information of

CO2 Storage in Southeast Asia

(5) Eco Coal Town Project (ECT)

25

Fundamental Mission・・・・Objective - Realization of Clean Coal Frontier -

6 Core Activities6 Core Activities6 Core Activities6 Core Activities

Clean Coal PolicyClean Coal PolicyClean Coal PolicyClean Coal Policy

• Securing Stable Coal Supply

• Highly Efficient Coal Utilization Exchanging Information , Exchanging Information ,

Policy Proposal

＜6 Core Activities and 5 Business Principles ＞

(1) Medium Term Business Plan of JCOAL

JCOAL is achieving a sustainable economic growth and overcoming global warming issues through

active utilization of coal based on the securing of stable coal as our fundamental objective as the

unique body having expert knowledge and experience of coal related fields in the world , namely

“ onestop organization of coal” just “ global JCOAL”.

Promotion of Transfer

of Coal Technology

Promotion of Clean

Coal Technology

Comprehensive Promotion

of Development Coal

Resources

Comprehensive &

Overlooked Business

Development by Up &

Down Stream Integration

•ECT Group

・LRC Group

・CCS Group

Policy ProposalPolicy Proposal

Enhancement of Public

Resources Development

Enhancement of Public

Relations & Human

Resources Development

Selective Business

Development

Theme by Theme

Business

Development

followed by Country

Strategy

Business Development by further

collaboration with member

companies and expected

Business Opportunity

Flexible and

Maneuverable

Business Opportunity

Strategic Business

Promotion

5 Business Principles

26

(2) CCS Group in JCOAL

� CCS Group has been formed since April 2011(upgrade from CCS Team, started

from July 2010)

� Main Mission

i. Collection and provision of CCS-related information

ii. Planning and Proposal of CCS-related business

iii. Participation in investigation and research business on CCS

iv. Participation in research and development , demonstration business on CCS

v. Contribution to CCS-related business as a host of GCCSI Japanese members

27

v. Contribution to CCS-related business as a host of GCCSI Japanese members

meeting

� Main Activities

i. Promotion of Oxyfuel-CCS demonstration Callide project with Australia.

（2006 - 2015)

ii. Implementation of Joint Research and Development on Oxy-Combustion

Technology with Dept. of Energy(DOE)/National Energy Technology

Laboratory(NEL).(2010-)

iii. Yubari CO2-ECBM Pilot Test was conducted in Hokkaido.(2003 - 2007)

Project positioning

World’s first “Series system of Coal utilization, Power generation, CO2 capture and

CO2 storage in the application to existing power plant system”

Schedule

Oxy-fuel combustion system

ASU

Coal（（（（C,H,O,N,S,Ash）））） Boiler

Flue gas recycle （（（（CO2，・・・，・・・，・・・，・・・）））） H2O，，，，SO2

O2

Air（（（（N2、、、、O2）））） N2，，，，O2

N2

Flue gas treatment

CO2 storage

Compress/Cooling

Power Plant

Callide-A #4 unit (30 MWe)

CO2 storage site

・・・・Store 10-20 x103 tonCO2

・・・・Surat Basin Saline Aquifer

(3) Callide Oxyfuel Project

Schedule・LETDF Announcement: 30 Oct 2006

・APP Flagship Project: 15 Oct 2007

・Signing JV Agreement: 20 March 2008

・Launch Ceremony: 14 Nov 2008

・Oxy-firing: 2011 - 2014

・CO2 storage & monitoring: 2012 - 2016

Flue gas recycle （（（（CO2，・・・，・・・，・・・，・・・）））） 2 2

Brisbane

Callide A P/SQLD

CO2

storage

area

Australia

・・・・CO2 storage feasibility study is

supported by GCCSI.

28



Work Items

� Dissemination of CCS and aiming to build up a commercial CCS project in

Southeast Asia by taking the opportunity of the GCCSI Japan office opening in

September 2011.

� The purpose of this work, Structuring Information of “CO2 Storage Potential and

incremental Oil and Gas Volumes” for CO2-EOR and CO2-ECBM in Southeast Asia,

is to accelerate and build up CCS projects in Southeast Asian countries.

No. Work Items

1 Prepare Comprehensive Work Plan

2 Data Acquisition and Quality Check

3 Screening of Oil Fields on CO2-EOR Application

4 Screening of CBM Fields on CO2-ECBM Application

5 Estimation of CO2 Storage Potential and Incremental Oil Volumes for Oil Fields

6 Estimation of CO2 Storage Potential and Incremental Gas Volumes for CBM Fields

7 Summarization of Estimation Results

Work Items

29

GCCSI

PM

Work Organization

JCOAL, and JAPANESE LEGAL MEMBERS

GCCSI, etc.



PM(JCOAL JAPANESE LEGAL MEMBERS)

Estimation Works for CO2-ECBM(JCOAL and/or JAPANESE LEGAL MEMBERS)

Estimation Works for CO2-EOR(JAPANESE LEGAL MEMBERS)

Sub-contractor

< Data Acquisition >

JCOAL, and JAPANESE LEGAL MEMBERS

30

(5) Eco Coal Town Project (ECT)� To propose the master plan to realize the production of highly value added products from brown coal and

bituminous coal in ECT.

� To propose the master plan and to conduct basic feasibility study based on optimum integration of Japanese

Clean Coal Technologies (CCT) including engineering and operation system.

� To show the procedure to realize ECT in conjunction with needs from enterprises and the construction plan for

infrastructures in coal producing countries.

Coal mines

Long distance

transmission

VAM turbine

CMM

N2

Preparation

Goaf sealing

Gasifier Waste heat

recovery boilerWaste heat

VAM

(E)CMM

(E)CBM

AMM

CO2

VAM

CMM

31

Coal-fired Power

Plant

Wet type

deSOxGypsum

Dry type

deNOx & deSOx

Regional gas/heat

supply center

Town

Gas cogeneration system

Waste water

treatment

CMM gas

engine

CMM Concentration

system

Gas Holder

Waste water

treatment

Fermentation

methane

Automobile

fuel

Gas supply

control

Lime

Activated

Carbon

Air

Air

separator

Coke, tar, BTXSNG, LNG, GTL, DME, etc.

Heat pump

Sludge

Gas Turbine

Steam

Turbine

Gas

Turbine

Steam Turbine

Waste heat

recovery boilerO2

Cogeneration of power and heat

CFB refuse power plant

Cement manufacturing

Fly ash & slug processing

technologies for roadbed material

and concrete mixture, etc.

Fly ash& slug

Ash

IGCCCH4

CH4

Thank you very much for your kind attention

Major Activities of JCOAL

～ Coal One-stop Organization ～

32