Biomass as Energy Resource - Inside Mines

1 John Jechura January 4, 2015 Biomass as Energy ResourceEnergy Markets Are Interconnected2 Conversion efficiency 20 25% to power Mineral management Emissions NOx, SOx, CO, particulate Mature technology3 Petroleum Production"Fossil fuels are a one time gift that lifted us up from subsistence agriculture and eventually should lead us to a future based on renewable resources." Hubbert's Peak: The Impending World Oil Shortageby Kenneth S. Deffeyes 4 Biomass Pros & ConsPros: Domestic benefits Reduced trade deficit Create jobs Strengthen rural economies Local raw materials Renewable resources Carbon cycle to reduce build up of greenhouse gases Technology improvements should continue to reduce costsCons: Lower Energy density Solids difficult to handle High water content Competing uses as high value food stuff Symbiotic relationship producers & users Commercial Issues Biomass feedstock, availability, & cost Suitable sites Production technologies Qualified owner operator Project financing5 Clean Air Act & Amendments Series of Clean Air Acts Air Pollution Control Act of 1955 Clean Air Act of 1963 Air Quality Act of 1967 Clean Air Act Extension of 1970 Clean Air Act Amendments in 1977 & 1990 1977 Clean Air Act amendments set requirements for "substantially similar gasoline" Oxygenates added to make motor fuels burn more cleanly & reduce tailpipe pollution (particularly CO)

2 Required that oxygenates be approved by the EPA MTBE & ethanol primary choices California Phase 3 gasoline regulation approved by California Air Resources Board in December 1999 prohibits gasoline with MTBE after December 31, 2002 Water quality issues62007 Renewable Fuel Standard05,00010,00015,00020,00025,00030 ,00035,00040,0002006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Millions Annual GallonsAdvanced BiofuelsCorn Stach Derived Ethanol (Max) Energy Independence & Security Act of 2007 Renew-able Fuel StandardAdvanced BiofuelsCellulosic BiofuelRFS - ABYearMgal/yrMgal/yrMgal/yrMgal/yr20064, 0004,00020074,7004,70020089,0009,0002009 11,10060010,500201012,95095010012,000201 113,9501,35025012,600201215,2002,0005001 3,200201316,5502,7501,00013,800201418,15 03,7501,75014,400201520,5005,5003,00015, 000201622,2507,2504,25015,000201724,0009 ,0005,50015,000201826,00011,0007,00015,0 00201928,00013,0008,50015,000202030,0001 5,00010,50015,000202133,00018,00013,5001 5,000202236,00021,00016,00015.

3 0007 Administered by the Environmental Protection Clarifications & Adjustments RFS 2 Advanced Biofuels amounts have had to be adjusted since 2010 Significantlyless development of cellulosic biofuels than had been anticipated in 2007 Adjustments have been required each year Have needed to drastically reduce Cellulosic Biofuel Increases allowed biodiesel Have started to expand the types of allowable advanced biofuel Proposed 2014 amounts are lower than Standard takes into account blend wall & actual fuel sales8 Ref: Biofuels Projects?9 Last EIA update: February 26, 2013 Ref: Elemental Analyses:Fossil Fuels, Biomass , & Biofuels101st Generation Biofuels Ethanol Typically derived from fermentation of sugars & starches US: Corn starch Brazil: Sugar cane juice Biodiesel FAME Fatty Acid Methyl Ester From fats and oils US: Soybean oil Europe: Rapeseed oil 11 Edible Constituents of Biomass Starch:70% 75% (corn) Readily available and hydrolysable Basis for existing biorefineries Oil:4% 7% (corn), 18% 20% (soybeans) Readily separable from Biomass feedstock Basis for oleochemicals and biodiesel Protein.

4 20% 25% (corn), 80% (soybean meal) Key component of food Chemical product applications 12 Ethanol From Corn Starch Two primary processing options Wet mills Expensive to build not common Sophisticated operations Multiple productsoFuel, food, & fiber Dry mills Most common fairly simple operationsoProcessing options making more sophisticated Limited products primarily ethanol & DDG/DDGSoMore sophisticated operations may add germ, fermentation co products, .. 13 Ethanol from Corn vs. Sugar Cane14Li q u i f act i o nSt a r c hPowerSaccharification & FermentationDiluteEthanolDistillation, Rectification, & DehydrationCentrifugationWh o l e St i l l a g eThinStillageEv a p o r a t i o nSy r u pEv a p o r a t i o nRe c y c l a b l eWa t e rWet DDGJu i c eEx t r a c t i o nJu i c eFermentationDiluteEthanolDistillation, Rectification, & DehydrationBagasse(Fib er )

5 Po w e rDryingRecyclableWa t e rDriedBa g a s s eWorldwide Ethanol ,5354,2644,8556,4999,000 Brazil3,9894,2274,4915,0196,472 China9641,0041,017486502 India4624495025366 Europe8589291,030570734 Thailand7479937990 Canada6161153211238 Australia3333392626 Others7941,1041,309158208 Total 10,77012,15013,48913,10217,335 #E 5/28/2009 Source: LichtAnnual World Ethanol Production by Country(Millions of Gallons, All ethanol Grades) ,0002,0003,0004,0005,0006,0007,0008,0009 ,000 Million Gallons (All Ethanol Grades)Current US Ethanol Capacity16 YearMillions of Gallons198017519812151982350198337519844 3019856101986710198783019888451989870199 0900199195019921,10019931,20019941,35019 951,40019961,10019971,30019981,40019991, 47020001,63020011,77020022,13020032,8002 0043,40020053,90420064,85520076,50020089 .

6 000 #A7/21/2008 Historic fuel Ethanol Production010002000300040005000600070008 0009000 Millions of Gallons1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 Criticisms of Ethanol Food vs fuel Divert land from growing food to growing fuel Just a farmer subsidy Ethanol not compatible with gasoline infrastructure RBOB special blend stock to allow for RVP increase at E10 levels Picks up water Cannot be transported in petroleum pipelines use water slugs between batches Takes more Energy to make that you get back Based on wells to wheels Life Cycle Assessment LCA normally compare Energy out vs. fossil Energy in Highly dependent upon feedstock, farming practice, processing.

7 Takes too much water to make Highly dependent upon feedstock, farming/irrigation practice, processing, .. Corn Yield & Amount to Corn Yield [bu/acre] to the wsj ethanol is not reducing the amount of corn for # 1 AFC 35DE 8A93 7FB72F0DA089?pivot=short_descCorn Ethanol Energy Balance19-40,000-30,000-20,000-10,000010 ,00020,00030,00040,0001988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 Net Energy Value (Btu/gallon)HoMarland and TurhollowPimentelPimentelKeeney and DeLucaLorenz and MorrisShapouri et et et Ca na daKim and Da leGraboskiWang Source: M. Wang (2003)A Response to Five Ethanol Criticisms Ethanol requires more Energy to make than it yields?

8 ANL research has shown corn ethanol delivers positiveenergy balance of MJ/L (32,000 Btu/gal). Corn production efficiency has increased dramatically 160 bu/acre today vs. 95 bu/acre in 1980 Ethanol production more Energy efficient in modern dry mills vs. older wet mills Ethanol yield per bushel also increased about 50% since 1980 Ethanol production reduces our food supply? Only 1% of corn grown in eaten by humans. Rest is No. 2 yellow field corn, indigestible to humans; used in animal feed, food supplements and ethanol. Bushel of corn used for ethanol produces lbs corn oil, lbs high protein DDGS, lbs corn meal, & lbsstarch. Starch used for sweeteners or produce gal ethanol. DDGS displaces whole corn & some soybeans used in animal feed.

9 Ethanol crops and production emit more greenhouse gases than gasoline? Blending ethanol with gasoline dramatically reduces CO tailpipe emissions & tailpipe emissions of VOCs that form ozone. LCA of ethanol found at present and in the near future, using corn ethanol reduces greenhouse gas emission by more than 20%, relative to those of petroleum gasoline. Ethanol requires too much water to produce? Amount of water used to make ethanol has declined dramatically. Requirements today are about gallons water/gallon ethanol. Little more than it takes to process a gallon of gasoline. Much of the criticism about ethanol s water requirements stem from irrigation of feedstock crops in drier climates. However, most ethanol is produced crops grown in the Midwest without irrigation.

10 Cars get lower gas mileage with ethanol? True on a mile per gal basis. E85 about 25% lower mpg than gasoline. However, depending on cost of ethanol could have a lower dollars per mile. Higher octane of ethanol could lead to modified engines (compression ratios & valve timings) that are optimized for ethanol by Forrest Jehlik, Argonne National ethanol myths busted 2/Response to 6 Biofuel Myths 40% of the US corn crop is used to make biofuel 13% of the US corn crop is used to make, specifically, fuel ethanol Per acre crop yields have grown significantly in recent years taken over the long term, the US has not had to increase its corn acreage to make fuel ethanol. There s less land used to grow grain in the US today than 100 years ago Now that the United States is using 40 percent of its crop to make biofuel, it is not surprising that tortilla prices have doubled in Guatemala.