Global Scenario for development of
2G Ethanol and PROESA®
TECHNOLOGY
New Delhi, February 15th 2015
Pierluigi Picciotti
One of the top 3 producers worldwide
Polymers
60 years of excellence in process development and commercialization of plants
Engineering and R&D
Proesa™: technology leader in biofuels and chemical intermediates from non-food biomass
Sustainable Chemistry
Beta Renewables:
Beta Renewables is a joint venture, created
in October 2011, between BioChemtex and the
investment firm TPG (Texas Pacific Group)
Novozymes, Denmark-based world-class
biotech company acquired 10% share of Beta
Renewables in October 2012
Beta Renewables owns and licenses the
Proesa® technology
1st commercial-scale 2GE biofuels plant
operating in Crescentino (Italy) – 40 ktpy
Sustainable Chemistry
Our Clients and Partners:
• Global energy demand increased by 40%
• Oil demand increased by 18%, driven by transport
• Global vehicle fleet has doubled and the vast majority still use liquid fuels
• Oil production is concentrated in fewer countries
• To meet >50% of gasoline demand
• Reduce dependency on imported oil
• Help keep oil prices under control
• Stimulate rural economies and create domestic jobs
World facts in 2030 The promise of biofuels
The world needs biofuels
4 * Passenger Light Duty Vehicles | Source: OECD/IEA World
Energy Outlook 2009
Reduce our dependency on oil and CO2 emissions
5
Sources: UN-Energy, International Monetary Fund, US DoE and EPA
• The transport sector is responsible for about 25% of global CO2 emissions – and it is the fastest growing emitter
• An advanced biofuel like cellulosic ethanol will reduce GHG emissions by approximately 115%
80℅ of the world-s displaced people due to natural disasters are in Asia
Sources: National Geographic , Feb 2015
World Balance of Ethanol
[bill lit] 2012 2013 2014
Production 105 (83) 108 (88) 111 (90)
Consumption 104 (81) 107 (86) 110 (88)
Source: LMC “Ethanol Market Report 2014” (fuel EtOH)
..however ASIA is in deficit
[1000 m3] 2014 2015
Production 12356 12947
Fuel 4591 5024
Consumption 13613 14518
Fuel 5387 5806
IMPORT 2077 2402
EXPORT 731 687
Source: F.O. Licht’s “Sugar & Ethanol Asia”, Bangkok 2015
Steam Enzymes MO
Biomass
Lignin Fermentation & Distillation
Distillation & Drying
Lignin Separation
The Proesa™ Process Ethanol
Proesa™ Technology benefits:
Feedstock flexibility
Continuous process, no chemical addition, optimal sugar extraction and low enzyme dosage
Fully integrated process design using continuous equipment to enable large scale plants
Best in class technology with lowest capex and opex backed with performance guarantees
Smart Cooking
Viscosity Reduction & Hydrolysis
Electric Energy
Crescentino, Italy – World’s First Commercial Cellulosic Ethanol Plant
Ethanol Capacity: 40.000 MT / year
Footprint of 15 Ha
Biomass used: 200.000 MT
Ligno-cellulosic
feedstock (wheat & rice
straw, arundo donax)
13MW green electricity
from lignin
100% water recycle =
zero water discharge
Bioflex, Alagos, First Cellulosic EtOH Plant in Brazil
Ethanol Capacity: 22 mgy / year (2015)
Feedstock Sugar Cane Straw
Biomass used: 350.000 MT
Ground breaking:
November 2012
Beginning of Work:
February 2013
Plant Start up:
Sep 2014
Fuyang Bioproject, China
Ethanol Capacity: 200,000 MT/year
Feedstock Wheat Straw and Corn Stover
Biomass used: 1,000.000 MT
Ground breaking:
June 2014
Beginning of Work:
Jan. 2015 (civil work)
M&G Chemicals has publicly announced the plan to build a 2nd generation biorefinery in the Fuyang region,
China, which will convert approximately 1 million tons of biomass into bioethanol and bioglycols.
The biorefinery will use Proesa™ technology, licensed by Beta Renewables, and will rely on Biochemtex
expertise for the supply of critical equipment and for the construction of the plant. The size of such facility,
measured in terms of feedstock processed, will be roughly four times that of Crescentino in Italy.
We Are Gaining Momentum
We Are Gaining Momentum
Our Joint Value Proposition
The goal of this cooperation is to further de-risk the
technology, enabling profitable deployment and bankable
projects
Proesa®
Licensee
Cellulosic Ethanol Licensee
Process
guarantees
Basic Engineering
& Key Equipment
Enzyme
Supply
Mechanical
Guarantees
Enzyme
Guarantees
Thank you Dhanyavaad
BACK UP
Supporting your 2G Project from Idea to Realization
Enable Deploy Empower
Project feasibility study and investment estimates
Qualify feedstock in pilot plant
Optimize process parameters and enzymes for feedstock
Support in the development of a biomass supply chain
Support in financing
Basic engineering package
Qualify EPC contractor
Permitting support and procurement of critical equipment
Support in the construction of the plant and deployment
Start-up and training
Support in finding product off-takers
Ensure joint performance guarantees hold
Provide ongoing customer support
Supply of enzymes and yeast
+ +
Engineering Construction Start-up Operations Development
Cost of 1 ton of 2G EtOH
5 t of dry biomass + 350 $/t cash cost 1 t of EtOH + 3.5 Mwhe
Cost of Ethanol: 5 tb + 350 + CAPEX/10 - 3.5 Mwhe
Country Biomass MWh Price CAPEX Ethanol Full
Brazil 30 150 3000 275
China 40 125 1500 262
Italy 100 200 4500 600
Eastern Europe 40 120 3000 430
All values in USD
We Are Gaining Momentum – Italy
We Are Gaining Momentum – India
Cellulosic Costs Less
Crescentino – the timeline .... .... early days
Apr 2011
Jan 2012
Sept 2011
Nov 2011
• Permitting Initiated: 2010
• Orders for Critical Equipment: Sept 2010
• Permitting Obtained: Apr 2011
• Ribbon Cutting: Apr 2011
• Ground-Breaking: end June 2011
Crescentino – the timeline .... .... completion and start-up
• Mechanical completion – Energy section: end Aug 2012
• Start up – Energy section: Oct 2012
• Mechanical completion – Ethanol section: Dec 2012
• Start up – Ethanol section: Jan 2013
... in operation