FutureGenFutureGen InitiativePathway to Near-Zero Emissions

Federal Laboratory Consortium Mid-Atlantic Regional Meeting

Rocky Gap, MDSeptember 20, 2006

Thomas A. Sarkus, FutureGen Project DirectorNational Energy Technology Laboratory

8/06

Energy = Quality of Life Poverty Reduces Global Security

World Resources Institute Database, accessed June 1, 2005http://earthtrends.wri.org/searchable_db/

Affluence

Poverty

Eritrea

Congo

Peru

Bulgaria

South Africa

Mexico

UK

Bahrain

U.S.

Qatar

100

1,000

10,000

100,000

100 1,000 10,000 100,000

GD

P p

er C

apit

a($

/ p

erso

n /

yr)

Annual Energy Consumption per Capita(kgoe / person / yr)

8/06

Coal-fired generation and GDP have grownat nearly the exact same pace over last 30 years

80

120

160

200

240

1970 1980 1990 2000Year

Ind

ex

: 1

97

3 =

10

0Coal Use Linked to Economic Growth

GDP: U.S. DOC, Bureau of Economic AnalysisEnergy & Electricity: EIA, Annual Energy Review 2003

ElectricityGeneration

Total EnergyConsumption

GDPCoal-FiredGeneration

8/06

Coal Use Translates to Reliable, Affordable Electricity

8.6¢

29%

6.6¢

56%

5.6

94%

5.8¢

4%

5.4¢

66%

5.1¢

95%

7.3¢

74%

6.3¢

1%

6.3¢

84%

7.2¢

88%

8.3¢

53%10.6¢

1%

5.7¢

95%

6.5¢

6%

8.1¢

39%

6.3¢

77%

6.2¢

69%

6¢

55%

5.7¢

83%

6.6¢

44%

7.5¢

41%

7.1¢

79%

5.7¢

45%

7.1¢

22%

7.2¢

56%

5.7¢

94%

6.8¢

86%

9.8¢

2%

11.9¢

11%

7.0¢

37%

5.9¢

56%

6.9¢

68%

6.4¢

47%

4.6¢ 90%

6.5¢

46%

8.0¢

54%

5.2¢

98%

7.1¢

57%6.1¢ 68%

4.9¢

0%

11.3¢

10% 16.7¢

15%

NH 12.1¢ 9%RI 11.1¢ 0%CT 11.6¢ 12%NJ 9.8¢ 14%MA 11.6¢ 25% VT 11.1¢ 0%DE 7.0¢ 74%MD 7.2¢ 51%

¢ = Average Retail Price Per Kilowatt Hour

% = Percent of Total Generation From Coal

<6.5¢

6.6¢ - 8.9¢

>9¢

Hydro DOE/EIA Table 5.6B, 2005 data, average retail price of electricityTables 1.6.A and 1.7.A, percent of total generation from coalUpdated August 2006

8/06

Air Emission Trends and ProjectionsAnnual U.S. Air Emissions and Coal Use

0

1

2

3

4

1970 1980 1990 2000 2010 2020

0

10

20

30

40

50

Coal Use

NOx

SO2

Mercury

Co

al U

se

, NO

x a

nd

SO

2 E

mis

sio

ns

(In

de

x:

197

0 =

1)

Me

rcu

ry E

miss

ion

s (to

ns

)

Historical data (1970–2000): Coal consumption and electricity generation per DOE EIA, AER 2003NOx and SO2 per EPA Air Trends Report: http://www.epa.gov/air/airtrenda/econ-emissions.html

Projected data (2003–2020): Coal consumption and electricity generation per DOE EIA, AEO 2005NOx and SO2 per EPA projections under CAIR: http://www.epa.gov/interstateairquality/charts.html

Mercury per EPA Clean Air Mercury Rule

8/06

0

10

20

30

40

50

60

1880 1900 1920 1940 1960 1980 2000 2020

Year of Commercial Use

Th

erm

al E

ffic

ien

cy

(%)

Pulverized Coal

First Central Station

Supercritical Boiler

Practical Rankine Barrier

AdvancedTechnologies

Coal Steam, Rankine Cycle

IGCC

PFBC

1

2

3

4 56

78

9,1011 12

1415

13

No. Plant Name No. Plant Name 1 Pearl Street Station 9 Wabash River2 Oneida Street Station 10 HWK Cottbus3 Eddystone 1 11 Hemweg 84 Cool Water 12 Buggenum IGCC5 TIDD 13 Puertollano6 Escatron 14 Alborg7 Polk IGCC 15 Osaki Station 1-18 Schwarze Pumpe

Evolution of Coal-Fired Power Plants

8/06

FutureGen FutureGen Objectives

• Pioneer advanced hydrogen production from coal

• Emit virtually no air pollutants

• Capture and permanently sequester carbon dioxide

• Integrate operations at full-scale – a key step to proving feasibility

World’s first near zero-emission, coal-based power plant to:

8/06

FutureGenFutureGen Concept

Geological Sequestration

CO2

8/06

FutureGen Will Build Upon Experience from Commercial-Scale Coal-Based IGCC Power Plants

Wabash River W. Terre Haute, IN Operations began 11/95 1996 Powerplant Award 296 MWe (gross); 262 MWe (net)

Tampa Electric Mulberry, FL Operations began 9/96 1997 Powerplant Award 315 MWe (gross); 250 MWe (net)

8/06

FutureGenFutureGen Will Build on Two Non-Integrated One Million TPY CO2 Sequestration Projects

Weyburn CO2 EOR Project

Pan Canadian Resources 200-mile CO2 pipeline from Dakota

Gasification Plant Enhanced Oil Recovery in Canada

over 20 years

Sleipner North Sea Project Statoil CO2 sequestered (1996-2000)

Currently monitoring CO2 migration

Separates CO2 from natural gas

$36–50 / tonne CO2 tax

8/06

Thousands of Years of Storage Capacity

Coal Seams and Shales: ~ 18 GT

Oil and Gas Reservoirs: ~27 GT

Saline Formations: ~6,700 GT

Value Added Products in Potential Sinks

Oil: 16 billion barrels of oil during sequestration in favorable fields

Coal Seams: 126 TCF CBM during sequestration in unmineable coal seams

Carbon Sequestration Atlas for the U.S.

NATCARB & Regional Atlases Available Online

www.natcarb.org

Geologic Carbon Sequestration

8/06

Cutting-Edge Candidate R&D Technologies for FutureGenFutureGen

Traditional Technology Research Invention ExamplesCommercial Gasifier Advanced Transport Reactor

Cryogenic Air Separation O2 Membranes

Gas Stream Clean-Up Raw Gas Shift Reactor

Amine Scrubbers H2 Membranes, “Clathrate” CO2

Syngas Turbine Ultra-Low NOx Hydrogen Turbine

Fuel Cell ($4,000/kW) SECA Fuel Cell ($400/kW Design)

EOR Based Sequestration Technology

Plant Controls “Smart” Dynamic Plant Controls & CO2 Management Systems

System Integration “First of a Kind” System Integration

8/06

FutureGenFutureGen Industrial Alliance, Inc.Signed Cooperative Agreement with DOE on Dec. 2, 2005

American Electric Power AngloAmerican BHP Billiton China Huaneng Group CONSOL Energy

Foundation Coal Peabody Energy PPL Rio Tinto Energy America Southern Company

8/06

FutureGenFutureGen Project Schedule

BP- 0 BP- 4BP- 3BP- 2BP- 1 BP- 5

Dec. 2, 2005

Jan 31, 2007

January 2008

Construction Start

July 2009

Operations Start

July 2012July 2016

July 2018

Siting, NEPA, and Permitting

Project Structuring

&Conceptual

Design

Phase 2CooperativeAgreement

Negotiations

PreliminaryDesign

Final Design

Facilities Construction

PlantStart-Up

&Shakedown

Initial Full Scale Plant Operations Full Scale Plant Operation Continues

Site MonitoringLimitedCooperativeAgreementAwarded

Full ScopeCooperativeAgreementAwarded

NEPA RODJuly 2007

Final Site SelectionLong Lead Time OrdersSeptember, 2007

8/06

FutureGenFutureGen Funds / Estimated Costs

Cost Elements $ Million

Plant Definition, Baselining & NEPA 81

Plant Procurement & Construction 480

Shakedown & Full-Scale Operation 188

Sequestration (Design & Construction) 191

Site Monitoring 10

TOTAL $950

DOE

Industry

International

620

250

80

8/06

FutureGen Status

Industry-led cooperative project with government oversight & international participation

Industry will choose project site, backbone technologies, etc.

DOE has invited other nations to join FutureGen

Gov’ts of India & South Korea have each pledged $10 Million

Odessa Brazos

Texas

Tuscola

Mattoon

Illinois

8/06

Carbon Sequestration Leadership Forum

Forum for planning international multi-lateral sequestration projects including FutureGenFutureGen

Ministerial-level representatives Charter for R&D cooperation signed June 25, 2003

Australia, Brazil, Canada, China, Colombia, Denmark, European Commission, France, Germany, India, Italy, Japan, Korea, Mexico, Netherlands, Norway, Russia, Saudi Arabia, South Africa, United Kingdom & United States

Benefits of international Involvement in Future Gen Enrich intellectual talent pool Maximize global applicability and acceptance Leverage funds Help build consensus on climate change

Benefits of international Involvement in Future Gen Enrich intellectual talent pool Maximize global applicability and acceptance Leverage funds Help build consensus on climate change

8/06

Questions/Discussion