Clean Coal Technologiesin South Africa

UN EWG CCS10 & 11 Sep07

New York

Dr A D SurridgeSenior Manager: Advanced Fossil Fuel Usetonys@saneri.org.za

2

OVERVIEW

Energy Flows

Current & Future Electricity Capacity

Current & Future Liquid Fuels Capacity

Carbon Capture & Storage

Other Clean Coal Technologies

South African National Energy Research Institute

Areas of Possible Co-operation

Summary

3

ENERGY FLOWSUPPLY TRANSFORM TRANSPORT END USE

Oil

Natural Gas

Coal

Gas

ElectricityEskom

and Others

Coal

PetroSA

Export

Sasol

Road/Rail

Pipeline

Oil Refineries RailRoad

Pipeline

LiquidFuels

Renewable WoodPerson/Road

HydroNuclear

TransmissionWires

“Washery”

Koeberg

Sasol

4

5

ELECTRICITY GENERATION CAPACITY

HE X R IV E RS A LT R IV E R

C E N T R A L W E S T B A N K

C O LE N S O

C O N G E LLOS O U T H C O A S T

U M G E N I

B R A KP A N

KLIP

R O S HE R V ILLE

T A A IB O S

V A A LV E R E E N IN G IN G

W ILG EW IT B A N KG E O R G E

V IE R F O N T E INHIG HV E LD

KO M A T I

IN G A G A N E

C A M D E N

G R O O T V LE I

HE N D R IN A

A R N O T

G A R IE P

KR IE L

A C A C IA P O R T R E X V A N D E R KLO O F

M A T LA

D U HV A

C A HO R A B A S S A

D R A KE N S B E R G

KO E B E R G

T U T U KA

LE T HA B O

M A T IM B A

KE N D A L

P A LM IE T

M A J U B A

0

5 ,0 0 0

1 0 ,0 0 0

1 5 ,0 0 0

2 0 ,0 0 0

2 5 ,0 0 0

3 0 ,0 0 0

3 5 ,0 0 0

4 0 ,0 0 0

5 5 6 0 6 5 7 0 7 5 8 0 8 5 9 0 9 5 0 0 0 5 1 0 1 5 2 0 2 5 3 0 3 5 4 0 4 5 5 0 5 5 6 0

Y e a r

Meg

awat

t In

stal

led

5 5 6 0 6 5 7 0 7 5 8 0 8 5 9 0 9 5 0 0 0 5 1 0 1 5 2 0 2 5 3 0 3 5 4 0 4 5 5 0 5 5 6 0

6

Eskom [Electricity]

Coal FiredNuclear

H

H

H

H HydroGG

G Gas Turbine [Liquid]

~40% AfricaGeneration Capacity

Potential New Coal

7

NEW ELECTRICITY GENERATION STATIONS I

Coal:Super Critical Coal-Fired: Medupi plus three others under considerationUnderground GasificationReturn to Service of Coal-Fired Mothballed Plant

Nuclear:Pebble Bed Modular ReactorPressure Water Reactor

Import:Botswana – Mmamabula – Coal [~200Bt resources?]Mozambique – Cahora Basa – hydro - currentMozambique – Mepanda Uncua – hydroDRC – Inga – possibleNamibia – Kudu Gas - possible

8

NEW ELECTRICITY GENERATION STATIONS II

Renewable Energy:Wind – Darling Wind Farm - ~13MW

Mini Hydro – eg Bethlehem

Mini Solar

Electricity Displacement; Solar Hot Water, LPG

Gas:Gas Turbine;

LNG

Liquid

Coal Bed Methane

9

UNDERGROUND GASIFICATIONFirst Flaring

Eskom20Jan07 First FlaringTechnology Provider: Ergo Exergy Inc (Canada)

10

11

REFINERY CAPACITY

TOTALPetroSA (Gas to Liquid)Sasol (Coal to Liquid)Natref (Sasolburg: Sasol/Total)Genref (Durban: Engen)Sapref (Durban: BP/Shell)Calref (Capetown: Caltex)

Facility

666 00045 000150 00086 000105 000180 000100 000

Barrels/day(Crude or equivalent

Current liquid fuel supply: ~40% synfuel.

12

NEW LIQUID FUELS

New Synfuel Plant:Sasol considering synfuel plant on Waterberg Coalfield

Refinery Capacity:Green field

Brown field

No decision as yet

Bio-Fuels:Bio-Fuel Strategy currently before government.

13

14

CCS in SOUTH AFRICA

South Africa is a Member of the Carbon Sequestration Leadership Forum

Processing Membership for IEA GHG

First Step:

Is there potential for CCS in South Africa

If YES – then Undertake Next Steps

If NO – then Discard CCS as a Greenhouse Gas Mitigation Tool

First Step Indicated a Possible CCS Potential

15

CO2 EMISSION CONCENTRATIONS

16

CO2 EMISSION QUANTIFICATION

Mt % EmissionSEQUESTRABLEElectricity 161 65Industrial 28 11Other Energy 30 12Manufacturing 30 12

NON-SEQUESTRABLEWaste 10 6Agriculture 48 27Fugitive 42 24Transport 22 21Heat Production 37 21

Total 408

249 Mt

159 Mt

61 %

39 %

17

SYN-FUEL CO2 EMISSIONS

~95%Total ~32Mt/y

90-9814GasifiersDownstream

10-159Boilers & Heaters

SecundaSSF Sasol 3

90-9814GasifiersDownstream

10-159Boilers & Heaters

SecundaSSF Sasol 2

90-984GasifiersDownstream

10-157Boilers & Heaters

SasolburgSasol1

CO2 Conc (%)CO2 Emitted (Mt/a)

CO2 SourceLocationPlant

18

CCS CURRENT ACTIVITIES I

Sasol Investigating Enhanced Coal Bed Methane RecoveryCountry Readiness [Enablers in place that will facilitate the implementation of a carbon capture and storage project]:

Identification and Characterisation of Sources

Identification and Characterisation of Storage Sites

Terms of Reference being compiled

International expertise

Technology make-or-break

Regulatory System – still to be addressed

19

CCS CURRENT ACTIVITIES II

Country Readiness continuedPlant Ready [Stationary Sources]Capacity Building:

Technical Know-How;Membership CSLF, IEAGHG?Bi/Multi-Lateral Co-operation

Human Capacity; CSLF Training Programme 2007 [USA] ~4 attendeesIEA Training Programme [Germany] - [Bilal Patel]

Public Outreach;FFF Workshop Jun07Journal/Newspaper Articles

20

SA CCS PUBLICATION

21

OTHER CLEAN COAL ACTIVITIES

Coal Fired Electricity:

Super-critical

TSP/SOX/NOX

Efficiency Measures

Coal/Gas to Liquids

Gasification

Fluidised Bed Gasification

Coal Bed Methane

Basa njengo Magogo

22

BASA NJENGO MAGOGO

0

10

20

30

40

50

60

70

80

90

100

Classic BnM

Smoke Emissions

23

24

SANERI ORIGIN

Establishment Directed by CabinetIncrease energy research and development in South AfricaIncrease human capacity in energy research

Established Third Quarter 2006Established as a company in the CEF Group

CEF formed under the Central Energy Fund Act of 1977Senior Managers Appointed Dec06Priorities:

Develop human capacityUndertake in-house research [main function]

25

THEMATIC AREAS

Energy Infrastructure Optimisation

Energy Efficiency and Demand Side Management

Impact of Energy Use on the Environment

Use of Energy to Stimulate Socio-Economic Development

Cleaner Fossil Fuel Use (including clean coal)

Renewable Energy

Alternative Energy Sources (including fuel cells and hydrogen)

Energy Planning and Modelling

Energy Policy Research

26

ACHIEVEMENTSResearch Projects

Contract Research FundingCall for proposals issued during October 2006

1st phase review (one pagers)

148 projects proposed, totalling R4.5 billion

78 projects, totalling R203 million identified as immediate projects

2nd phase review

72 projects reviewed with revised budget of R84.7 million

Only 41 projects, totalling ~R49 million supported, due to funding limitations only

27

ACHIEVEMENTSBursaries

Call for applications 2006

More than 50 applications received

Awarded:

10 Masters Studies Bursaries

15 Doctoral Studies Bursaries

28

ACHIEVEMENTSResearch Chairs I

ChairsClean Coal Technologies – Wits

NWU supported to develop Associate Chair

Bio-Fuels – Stellenbosch

Associate ChairsBio-Fuels – Stellenbosch

Bio-Fuels – NWU [Potch campus]

29

ACHIEVEMENTSResearch Chairs II

Future ChairsCall for Chairs in Progress

Energy EfficiencyFuel CellsClean Household EnergyHydrogen Economy

Finalisation expected soon

Hub & SpokeRenewable Energy - Stellenbosch

30

31

POSSIBLE AREAS OF CO-OPERATION

Carbon Storage Atlas:Council for GeoScience has Southern Africa geological expertise.Need expertise regarding the peculiarities of carbon storage.

Coal Road Map:Co-operative Initiative between;

Department of Minerals and EnergyIndustryFossil Fuel Foundation

“Wrinkles” of persons who have done it before.Methane to Markets Workshop [cFeb 2008]:

Fossil Fuel Foundation workshop to address the regulatory issues and hurdles that inhibit the movement of methane to markets.International speaker to address regulatory gaps and how they were overcome.

Identification of CCTs

32

SUMMARYSouth Africa has Coal Based Energy Economy

Coal only current economic energy reserveUndertaking Coal Energy Diversification:

Renewables: 10,000 GWh by 2013Bio-Fuels

Clean Coal Technologies:Super-CriticalUnderground GasificationCarbon Capture & StorageOtherEfficiency Increases – 12% by 2014

Coal/Gas to LiquidsSouth African National Energy Research Institute:

Newly formedCreating human capacityEventually in-house research