G A S T E C H NO L OG Y I N S T I T U T E

IH2® Technology: Preparing for Scale

Dr. Pedro Ortiz-Toral1, Terry Marker1, Dr. Martin Linck1, Mike Roberts1, Jim Wangerow1,Dr. Alan del Paggio2, Pat Leung2

, Dr. Vikrant Urade3, Dr. Laszlo Domokos2

1Gas Technology Institute, 2CRI Catalyst Co, 3Shell Technology Centre Bengaluru

TCS 2016

Agenda Points

IH2®What is

Technology?Risks and Mitigation Timeline

2

A highly flexible, self-sufficient, continuous catalytic thermo-chemical process invented by Gas Technology Institute and jointly developed with support from USDOE and 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 low-carbon fungible hydrocarbon transportation fuels gasoline, jet and diesel which fully meet relevant ASTM specifications 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

-H2O

+H2

Heat400°C

CatalystGas phase HDO

Cellulose

A Very Simplified View

BIG Molecules

small Molecules

What is IH2® Technology?

3

The Process

4

Commercialization Partner

http://www.cricatalyst.com/en/catalysts/renewables.html

• Commercial Hardware• Integrated for 1st Time• Flexible WRT:

FeedLocationIntegration

0.02L/dayBangalore

EE 2nd Stage Test

1L/weekBangalore MBU

20L/dayGTI Chicago

IH2-50 Pilot Plantrun ~7000 hours

Prove the Science 2009-2015+

>200,000L/dayIH2-500tpd

Prove the Reliability & Profitability 2020+

2,000L/dayCRI/Shell IH2-5000

Prove the Engineering & Hardware 2017+

Ris

k

Time and Scale

The Progress – Reproducible Over 105

1L/weekGTI Chicago

MBU

5

Output Wood

C4+ liquids, wt% 26

Oxygen in liquid, wt% < 0.4

Gasoline, wt% 16

Diesel, wt% 10

Char, wt% 13

COx wt% 17

C1-C3, wt% 13

Water, wt% 36

H2 uptake, wt% 4.6

H2 make-up, wt% 0

Ammonia, wt% 0.18

ηcarbon liquids, % 46

ηcarbon char, % 25

ηcarbon process, % 71

ηthermal liquids, % 57

ηthermal char, % 24

ηthermal process, % 81

ηthermal system, % 60

Table: Typical IH2 performance results for wood feedstock on a moisture and ash-free basis.

IH2® Product Yields• High liquid yields

• High process thermal efficiency

• A picture is worth…

6

• Over 6000 hours of IH2 pilot plant operation on various softwood and hardwood feedstocks,

as well as corn stover and sugarcane bagasse

• Long-term tests validated catalyst life, provided process economic model inputs, and

produced liquid product for fuel certification tests

Figure: Liquid yield versus time on stream from IH2 pilot scale reactor during feedstock testing 2012-2016.

IH2® Long-Term Operation

7

IH2® Pilot Reactor Liquid Yield(weight percent)

IH2® Product Quality

8

Gasoline (from wood)• R100 meets ASTM D-4814-10b• Octane ~ 86 • Sulfur < 15 ppm• Fully renewable premium RBOB• E10 blend anticipated

Diesel (from wood)• R100 Meets ASTM D-975-11• Cetane number 44• Sulfur < 10 ppm

Petrol (from wood)• EN 228: Petrol – Jan 2009• RON 87 vs 95• Sulfur ~ 10 ppm

Diesel (from wood)• EN 590:2009+A1:2010• Cetane number 48• Lubricity• Sulfur < 15 ppm

U.S. Product• Drop-in Quality Diesel (R100)

• High Quality Premium RBOB (R90/E10)

EuropeanProduct

• High Quality Blend Stocks

North American Product

European Product

Quality of Jet Fuel from IH2® Process

9

Property Jet A1/JP8 Specification

Upgraded Jet Fuel

Freeze Point, °C, max -47 <-80

Viscosity @20°C (cst), max 8.0 4.6

Copper corrosion, 3 hr @50°C, max 1 1A

Flash Point, °C, min 38 >46

Smoke Point, mm, min 25 (19) 26.6

Aromatics, vol%, max 25 <0.3

Sulfur total, wt%, max 0.3 <0.0002

Sulfur mercaptan, wt%, max 0.002 0.00018

Density, g/mL@15°C, min-max 0.775 – 0.84 0.8374

Naphthalenes, vol%, max 3 <0.3

Hydrogen Content, mass%, min 13.4 13.9

Jet fuel from the IH2® process meets all Jet A1 (and JP8) specifications we have tested so far.

It has the following differentiators Very low sulfur (< 2 ppmw) Low freezing point (below -80°C) No naphthalenes High volumetric energy density Tunable level of aromatics from 0 wt% to 25 wt%

0.02L/dayBangalore

EE 2nd Stage Test

1L/weekBangalore MBU

20L/dayGTI Chicago

IH2-50 Pilot Plantrun ~7000 hours

Prove the Science 2009-2015+

>200,000L/dayIH2-500tpd

Prove the Reliability & Profitability 2020+

2,000L/dayCRI/Shell IH2-5000

Prove the Engineering & Hardware 2017+

Ris

k

Time and Scale

The Progress – Reproducible Over 105

1L/weekGTI Chicago

MBU

10

Risk Reduction Tools• Comprehensive team with science, engineering,

operations, analytical, and modeling experienceExperienced Development Team

• Focus investment on the testing the core technology Leveraged Facility Assets

• Prudent increments in scale and complexity of operations

Disciplined Scale-Up Approach

• Full, detailed characterization of potential operating conditions

Rigorous Technology Testing

• Anchor performance model with quality data Validated Performance Modeling

• Innovate in pilot plant to address deficiencies and opportunities

Continuous Improvement

11

100 ton per day Bioenergy

Demo Plant in Hawaii

using bagasse

8 x 150 ton per day U-GAS®

Industrial fuel gas in Shanghai,

China using coal

80 ton per day

Gasification Pilot Plant

in Finland using

biomass & coal

165 ton per day CHP

Plant in Denmark

using wood

2 x 400 ton per day U-GAS® in

Zao Zhuang, China

using coal

BFB Demonstration and Deployment

12

3 x 1200 ton per day U-GAS® in

Henan Province, China using coal

Low Pressure Biomass 165

Flex-Fuel

ChicagoShanghai

MauiFinlandRENUGAS

Chicago

U-GAS Pilot and PDU - Chicago Skive, Denmark

Zao Zhuang, China

Yima, China

40

BFB Installations and Scale-up

13

BioChar

Lock

Hoppers

Cyclones

Phase

Separation

Gas Sep’n &

Clean Up

Water Clean

Up

Distillation

Gasoline

Jet

Diesel

Various

HMU

Risks and Mitigation - Alliance Partnerships

14

Process design, process assurance, intellectual property rights, 40 yearscommercial BFB experience and IH2-50 pilot (50kg/d continuous) scale testing.

www.gastechnology.org

Catalyst partner, oil refinery expertise, exclusive global licensor. www.cricatalyst.comExperimental fluidization dynamics, cold flow modeling, solids handling. www.psri.orgExclusive FEED provider for the IH2 process at commercial scale.Supplier of reformer technology for 1000 tonne/day and above.

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

www.astecindustries.comExclusive 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, LCA, qualifications, process safety and designconsiderations, demonstration unit funding site host, operations, etc.

www.shell.comFinancial support. www.energy.gov/eere/Engine testing partner to perform required emissions and engine testing www.swri.orgSolids handling experts, lock hopper designs www.jenike.com

www.thomasandmuller.com

Fuel standards and regulatory agencies. Pathways, emissions guidelines, etc.Consent needed prior to sale of IH2 fuels in US.

www.epa.gov

Risks and Mitigation: Alliance Partnerships

15

16