“Statement of Qualifications for Web view · 2008-08-251,Project Description -- Concept. A process for treatment of organic waste and in particular: ... BioPetrol received a government

BIO-PETROL Ltd.Global solution for sewage Sludge Disposal

1. 1,Project Description -- ConceptA process for treatment of organic waste and in particular: sewage sludge. Organic Waste Recovery & Reuse System hereby presented relates to organic waste disposal technologies and more specifically to a multi-stage processing of sewage sludge into thermo chemical liquefaction process.

Sewage sludge is the thick, malodorous slurry left behind in a sewage treatment plant after its load of human and industrial chemical waste have been bio-chemically treated and the wastewater discharged. The large amount of human waste in sewage treatment plants means that the sludge contains concentration of phosphates and nitrates, desirable components of fertilizer. However, the industrial wastes that are present have highly toxic materials such as industrial solvents, heavy metals, synthetic hormones, and even radio-active waste left behind in the sludge.

When sewage sludge is applied to the fields, both the nutrients and the toxic chemicals are released to the environment, and they are often found at high concentrations. Sewage sludge solids comprise a mixture of organic materials composed mainly of crude proteins, lipids and carbohydrates, and inorganic materials comprising of significant quantities of silt, grit, clay and lower levels of heavy metals. In addition the bacteria still alive are pathogenic and contaminate soil and subsequently ground water.Typical raw sewage sludge comprises of about 60-80% volatile material and contains about 25-40% organic carbon (percent by weight of dry solids). Disposal of the sludge is expensive and normally constitutes up to 50% of the total annual costs of wastewater treatment.

Numerous sludge processing options have been proposed and have the potential to convert a fraction of the organic material into usable energy. Anaerobic digestion of sewage sludge is probably the most common process employed to date, about 25% of the available organic material being converted to produce a gas rich in methane, resulting in an energy production of about 5MJ/Kg. (1,194 Kcal/Kg.) of dry sludge solids fed to the digester.The proposal to use the process of synthetic oil production from solid fuels for the treatment of various organic wastes, sewage sludge included , is based on the similarity of the chemical composition of the organic matter of these fuels and the waste products. The following Table shows the elemental composition of various hydrocarbon sources and other substances present in diverse organic waste including swage sludge (lipids, proteins, hydrocarbons).

Type of organic matter

Elemental composition, %wt dafC H N S O H/C

Crude oil 84.0-87.0 11.0-14.0 0.1-0.3 0.5-3.5 1.0-3.0 1.5-1.9Coal 66.0-86.0 5.7-7.0 0.5-1.9 0.4-3.5 8.0-29.0 0.9-1.3

Wood 48.0-52.0 5.8-6.2 0.1-1.5 - 40.0-45.0 1.4-1.5Cellulose 44.4 6.2 - - 49.4 1.7

Lignin 63.0 6.0 - - 31.0 1.1Fats 76.0-79.0 11.0-13.0 - - 10.0-12.0 1.7-2.0

Albumines 50.0-55.0 6.5-7.5 15.0-18.0 0.3-2.5 21.5-23.5 1.7-1.8Sewage sludge 23.0-44.0 4.5-6.0 2.5-7.5 0.3-1.8 16.0-24.0 1.2-1.7


As can be seen from the Table all organic substances listed in it are composed of the same five (5) elements in different concentrations. They differ in the structure and mass of their molecules. The molecules consist of ring-shaped aromatic and hydro aromatic nuclei both single and condensed, linked by aliphatic or heteroatom cross-links. Since such links have low energy of formation, they are the first to be destroyed by thermal treatment, and radical fragments are formed. The more said cross-links there are in the structure of the material and the lower the energy of such links, the lower the temperature of their destruction point and the smaller the fragments they break into. The newly-formed fragments are chemically active radicals which in the absence of hydrogen combine (recombine) into heavy products and coke. With hydrogen from any source present, oil molecules are formed, which holds true for any solid fuel, including the organic matter of sewage sludge and any organic biomass.

The process of obtaining synthetic oil from solid organic feed stock consists of two stages: Thermal cleavage of the macromolecular structure, with radical fragments of different size

formed. Stabilization of said radical either through their recombination or through redistribution of

hydrogen and alkyl groups in the feed stock structure, or through external introduction of hydrogen (molecular donor).

It follows from the above that all thermo chemical processes of obtaining synthetic oil essentially differ only in the methods by which the formed radicals are stabilized: By pyrolysis - through redistribution of the hydrogen in the organic matter of the feed stock. By hydropyrolysis and hydrogenation - through external introduction of molecular hydrogen. By thermal extraction - at the expense of donor hydrogen from the re-circulating solvent.

The advantage of the thermal extraction process as compared to other processes mentioned above is that the re-circulating solvent contains components which easily loose hydrogen (H-donor) at temperatures of the process. This donor hydrogen splits off the active atomic form and quickly and easily reacts with the radical fragments, stabilizing them in the form of liquid oil. Due to this advantage, the thermal extraction process yields twice as much liquid product as pyrolysis. One of the major problems in direct solid fuel liquefaction processes is the separation of solids, mineral matter and unconverted organic matter from liquefaction products. Difficulties in removing these solid components represent a major obstacle to economic production of liquefied feedstock products. Filtration, centrifugation, hydro cloning and screening are all methods of mechanical separating solid particulates from slurries. Other methods have been sought to solve the problem: vacuum distillation and extraction methods, however the removal of the micro-size particles is difficult to achieve. One way of proceeding is as follows: the viscosity is decreased by blending with a relatively high amount (about 40-60% wt.) of a low viscosity liquid solvent so that the separation of the solids by centrifugation or filtration becomes possible. At a subsequent stage of the process, the solvent is recovered by distillation. However, centrifuges wear out quickly when used for separation of the micron-size particles. Filters are rapidly clogged by the fine material and have to be changed frequently, thereby making the process tedious and costly. The main shortcoming of the separation methods mentioned above is that none of them ensures complete separation of the liquid products from the solid residue: 25-40% wt of the oil obtained in the process remains absorbed in the pores of the solid residue.

At the same time it is known that during solid fuel pyrolysis, both the liquid and the gaseous products of the process leave the reactor in the vapor phase and are thus separated from the solid residue. The offered process makes use of this advantage of pyrolysis to separate the liquid

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products that are formed at the stage of thermal extraction of the feedstock. Proceeding from what is described above; the processes used for liquefying solid fossil fuels may be used to obtain liquid synthetic products from organic waste, sewage sludge included . A practical problem with many processes employed or proposed, particularly those involving pyrolysis and incineration, is that the principal usable energy-containing products are gases, often not easily condensable, and of low net energy content, so that they are impossible or uneconomic to store and must be used immediately. Generally it is only practical to use them to produce relatively low grade energy such as steam, and flare them to waste during periods of little or no demand. There is a growing demand for processes that result in storable (liquid or liquefiable), transportable and if possible upgradeable energy or chemical containing products, such as synthetic oils, with effort directed to the optimum production of net storable energy or fine chemicals and with the non-storable products, used in the operation of the process.

2. Process Flow Diagram

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3. Marketing MaterialsThe company has completed the research and development work of the process for producing synthetic oil from solid matter of municipal sewage sludge. This R&D was conducted on a laboratory scale and under laboratory conditions only. The BioPetrol process is targeted at the following market segments: 1) Urban Waste Water Treatment Plants2) Treating and disposal of animal waste3) Biomass - any carbon rich mass

BioPetrol received a government grant of $300,000 for a period of 2 years. For the purpose of executing the R&D stage the company has signed an agreement for a two year period with PAMA (Energy Resources Development) Corporation, a company jointly owned by the government of Israel, Israel Electric Corporation, the Oil Refineries and Israel Chemicals. The agreement allowed BioPetrol the use of PAMA’s chemical laboratories. An international patent application was filed (PCT - Patent Cooperation Treaty) - Att. #1

Based on the results obtained BioPetrol produced detailed design plans and specifications for the construction of a continuous demonstration pilot with capacity to process up to 5 ton/day of wet sludge (approx. 20% solid matter). This plant will allow one to refine the process parameters, to measure precisely the heat and material balance for each stage of the process. Construction of the demonstration plant is estimated at $800,000 including operational period.

The following advantages were identified:1) Process is self-contained. Energy to run the process comes entirely from the products extracted

during the conversion act, i.e, non-condensable gas and char. 2) Reusability. The high grade crude oil and the remainder mineral ash can be used for industrial

applications. 3) The amount of synthetic oil product left after all the non-condensable gas (NCG) and char are used to

convert the sludge to energy products is approx 100%-Att. #24) Remainder mineral ash does not pose environmental hazard. Remainder 6% (60 Kg.) of each 1 ton

(1,000 Kg.) of dewatered sludge is a dry powder that contains the heavy metals in locked molecular form that does not pose environmental hazard.

5) The synthetic oil contains compounds from which higher value petro-chemicals can be made- Att. #3

The end user of the BioPetrol technology is the operator of the WWTP. The process has the following advantages to the end user: 1) Eliminates the need to remove the sludge at a high cost to the WWTP. 2) Producing revenues at a lower price than removal cost. The high grade crude oil (and possibly the

remainder ash — subject to further R&D) are significant source of revenue i.e. petro-chemicals and industrial material.

Economic analysis of the combined BioPetrol (thermal extraction & pyrolysis) Plant – Att. #41) WWTP serves a population of 300,000 people2) Production of sludge 21,900 ton/yr. 20% dry solids (~4,380 dry ton)3) Sludge drying done in a separate drying plant. (heat may be supplied from own energy products)4) Cost of combined BioPetrol plant - $2.8 million5) Cost of drying plant - $1.4 million6) Cost of maintenance and operation (without depreciation) of the 2 plants $194,000/yr. (about $9/ton

wet sludge)7) Period of loan principle - 20 years8) Cost of removal/handling - $60/wet ton

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Att. # 1


Att. # 2BioPetrol Overview

BioPetrol Ltd. is an Israeli company that developed a patented process to convert municipal sewage sludge (biosolids) into crude oil, on site, at the Wastewater Treatment Plant (WWTP). Calorific value equals that of heavy diesel oil.

The end result of the company innovated process is: 94% of the sludge containing unavoidable contaminated organic matter is eliminated. 6% remainder is a mineral ash that holds heavy metals in locked molecular form

and does not pose environmental hazard.

BioPetrol’s process belongs to the sphere of liquefying carbon-rich solid fuels. The organic matter in fuels is similar to that in organic waste, such as sewage sludge. It’s composed of carbons, hydrogen, nitrogen, sulfur and oxygen. Intrinsic mineral matter serves as a catalyst during the liquefying process. BioPetrol’s technology to convert the sewage sludge at the source (WWTP) is saving land, air and water from environmental contamination. At 450 degrees C. all pathogens are destroyed. Heavy metals in resulting ash are immobilized. Only low cost gas cleaning equipment are required to meet emission regulation standards.

The amount of oil, gas and char obtained from each 1 ton (1,000 Kg) of sewage sludge having 20% dry solids is approx:85 Kg. Oil (8,900 Kcal/Kg); 25 Kg. Gas (2,400 Kcal/Kg.); 87 Kg. Char (1,900 Kcal/Kg.) The crude oil contains compounds from which higher value petro-chemicals commodities are to be made.

The company filed a Patent Cooperation Treaty (PCT) Application and received an International Searching Authority Notification indicating that no references were found which would negate the novelty or inventive step of the invention as claimed. US & Israeli patents received in 2007.

The company innovated process has the following advantages:a. Eliminates the need to dispose of the sludge at high cost to the WWTPb. Eliminates the environmental hazards associated with current sludge disposal

practices in agriculture, landfill and incinerationc. The high-grade crude oil and the remainder mineral ash are significant source

of revenue (fuel, commodity chemicals and industrial applications of the ash)

The company has already performed a proof of concept and is planning of building a small commercial plant with the capacity of processing up to 5 ton/day dewatered sludge (having approx. 20% dry solids) for a community of up to 25,000 residents. Forecast flow of income and expenses based on cost of disposal and the installation of a BioPetrol plant on site, shows an annual return on investment (ROI) in the triple digit range, relative to the WWTPs location and given specifics.

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Att. # 3

Qualitative and semi quantitative characterization of oil from sewageDraft

2 samples were obtained from BioPetrol:

1. Crude oil (obtain after refinery at BioPetrol) 2. Pyrolitic water — analysis will be included in the next report

The analyses, which took place, are listed in table 1 and 2:Crude oil 1. GC/MS

1a. Headspace 1b. Liquid injection to the GC/MS (dissolved in hexane) 1c. Injection of each fraction from refinery

2. NMR 2a. Crude oil 2b. Analysis of each fraction from refinery

3. Elemental analysis 3a. Crude oil

Pyrolitic water will be included in the next report)

1. GC/MS1a. Headspace 1b. Liquid injection to the GC/MS (dissolved in hexane) 1c. Injection of 3 fractions from of extraction (natural, basic, acidic) to hexane

2. Elemental analysis 2a. Analyses of 3 fractions of extraction (natural, basic, acidic) to hexane (after evaporating the hexane)

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Discussion

From the elemental analysis results it can be seen that the crude oil contains mainly carbons and hydrogens (table 6) (81.3% for C and 12.3% for H), meaning the sample contains mainly hydrocarbons. The GC/MS and NMR results support the elemental analysis results: tables 1 and 2 (GC/MS results) show aliphatic chain C3-C29, and in table 5 (NMR results), we can see in the aliphatic region (0.8-1.5 ppm) 88% aliphatic chains.

The headspace analysis was carried out to the crude oil was to obtain information about the volatile compounds. Among the detected volatile compounds we identified ammonia, short aliphatic chain compounds and solvents like acetone, benzene, acetonitrile etc. as appears intable 1.

The distillation took place in order to obtain better GC/MS chromatograms then the complicated one which appears in fig. 1 and clearer 1H NMR spectra for compounds other then aliphatic chains (table 5). The distillation process took place under vacuum and variable temperature as is illustrated in table 3. Only about 18% of distilled fraction was obtained, about 20% was lost to the cold trap and the residue. Table 4 (GC/MS analyses) and table 5 (NMR) illustrate the information obtained for the 8 fractions, which in turn were obtained from the distillation process.

Fig. 2 and 3 illustrate the GC/MS chromatograms of all 8 fractions.

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Att. # 4

BioPetrol Plant – Forecast of income and expenses flowCost of removal and disposal of sludge containing 80% water $60

Year 1 2 4Data base Population - growth rate of 2% a year(per capita) 300,000 300,000 306,000 318,362Growth rate of population per year 2% Wet sludge quantity (ton/yr) 21,900 21,900 22,338 23,240Water content 80% Energy surplus per ton equal to heavy crudeoil (kg). Energy surplus from Gas & Char products not included 84.84 Price of heavy crude oil (Barrel) $60 Price of heavy crude oil per ton (7.5 Barrels) $450 Cost of removal / handling $60 60 60 60Investment Combined BioPetrol plant $2,800,000 Drying plant $1,400,000 Operating capital $50,000 Total Investment $4,250,000 Equity (30% down payment) $1,275,000 20 year loan principal $2,975,000 Loan Interest 8% Yearly payment (Principle + Interest) $303,010 Year 1 2 4Revenue Savings in removal cost 1,314,000 1,340,280 1,394,428Heavy diesel oil equivalence 836,098 852,820 887,274Total Cash Flow 2,150,098 2,193,100 2,281,702Return of Loan Principle -65,010 -70,221 -81,894Revenue before expenses 2,085,088 2,122,879 2,199,808 Expenses Maintenance & Operations -194,000 -194,000 -197,880 -205,874Removal of remaining Ash (10% of Sludge) -15 -8,541 -8,712 -9,064 Operating income 1,882,547 1,916,287 1,984,870Loan interest (8%) -238,000 -232,799 -221,116Net income before Tax 1,644,547 1,683,488 1,763,754 Operating return on investment per year 129% 132% 138%Down Payment -1,275,000 Accumulative cash flow 369,547 2,053,035 3,816,789

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6 8 10 12 14 16 18 20 Avg./Year

331,224 344,606 358,528 373,012 388,082 403,761 420,072 437,043 364,461

24,179 25,156 26,173 27,230 28,330 29,475 30,665 31,904 25,506

60 60 60 60 60 60 60 60 60

6 8 10 12 14 16 18 20 Avg./Year

1,450,762 1,509,372 1,570,352 1,637,794 1,699,900 1,768,470 1,839,918 1,914,250 1,596,542923,120 960,414 999,215 1,039,583 1,081,582 1,125,277 1,170,739 1,218,036 961,753

2,373,882 2,469,786 2,569,567 2,677,377 2,781,482 2,893,747 3,010,657 3,132,286 2,558295

-95,521 -111,416 -129,956 -151,581 -176,804 -206,224 -240,539 -280,565 2,278,361 2,358,370 2,439611 2,525,796 2,604,678 2,687,523 2,770,118 2,851,701

-214,192 -222,845 -231,848 -241,215 -250,960 -261,098 -271,647 -282,621 -235,684-9,430 -9,811 -10,207 -10,620 -11,049 -11,495 -11,959 -12,443 -10,376

2,054,739 2,125,714 2,197556 2,273,961 2,342,669 2,414,930 2,486,512 2,556,637 2,160,833-207,489 -191,594 -173,054 -151,430 -126,207 -96,787 -62,471 -22,445 -154,260

1,847,250 1,934,120 2,024,502 2,122.531 2,216,462 2,318,143 2,424,041 2,556,637 372,814

145% 152% 159% 166% 174% 182% 190% 201% 162%

5,664,039 7,598,159 9,622,661 11,745,192 13,961,654 16,279,797 18,703,838 21,260,475

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“Statement of Qualifications for Web view · 2008-08-251,Project Description -- Concept. A process for treatment of organic waste and in particular: ... BioPetrol received a government