JefPower Template

1
Fischer-Tropsch Technology Addressing the Peak
Oil Issue Today
2
The world consumes two barrels of oil for every
barrel discovered. So is this something you
should be worried about?
3
Introduction The Issues at Hand

• Conventional oil reserves are not located where
  demand is growing
• No one technology can address the overall issue
  fossil fuel demand is too large
• Availability of infrastructure limits the use of
  many alternatives
• A large readily-available resource is needed to
  offset near-term implications of peak oil
• Alternatives must be clean, easily distributed
  and economically viable in todays environment

4
One Potential Solution Fischer-Tropsch (FT)
Fischer-Tropsch is a proven technology to
transform under-utilized hydrocarbon resources
into valuable alternative fuels and chemicals.
5
Fischer-Tropsch 2005

• SASOL
• 160,000 b/d
• Feedstock - Coal

Fischer-Tropsch is a proven technology to
transform under-utilized hydrocarbon resources
into valuable alternative fuels and chemicals.
Secunda
Sasolburg
10
6
Fischer-Tropsch 2005 (continued)

• Petro SA
• 22,500 b/d
• Feedstock - Natural Gas

Fischer-Tropsch is a proven technology to
transform under-utilized hydrocarbon resources
into valuable alternative fuels and chemicals.
Secunda
Mossel Bay
Sasolburg
10
7
Fischer-Tropsch 2005 (continued)

• Shell
• 15,000 b/d
• Feedstock - Natural Gas

Fischer-Tropsch is a proven technology to
transform under-utilized hydrocarbon resources
into valuable alternative fuels and chemicals.
Bintulu, Malaysia
Secunda
Mossel Bay
Sasolburg
10
8
Fischer-Tropsch 2005 (continued)

• Sasol Oryx Project
• 34,000 b/d
• Feedstock - Natural Gas
• Online 2006

Fischer-Tropsch is a proven technology to
transform under-utilized hydrocarbon resources
into valuable alternative fuels and chemicals.
Bintulu, Malaysia
Qatar
Nigeria
Secunda
Mossel Bay
Sasolburg
10
9
Fischer-Tropsch Technology
Steam
Power
Fischer-TropschSynthesis
Synthesis GasGeneration
CO H2
Tail gas
Gas Clean-up

• Coal-to-Liquids (CTL)
• Coal
• Petroleum coke

Production Separation Upgrading
Diesel
Naphtha
10
Fischer-Tropsch (FT) Drivers

• Large secure resource base available coal
• No new product delivery infrastructure required
• The fuels are clean-burning and meet all new and
  foreseeable worldwide environmental regulations

11
FT Core Product Ultra-Clean Diesel Fuel
12
Fischer-Tropsch (FT) Drivers (continued)

• Large secure resource base available coal
• No new product delivery infrastructure required
• The fuels are clean-burning and meet all new and
  foreseeable worldwide environmental regulations
• Direct increase to a nations refining capacity
  (no bottom of the barrel)
• Enhances the production of other energy-intensive
  products such as power and chemicals
  poly-generation
• Economically viable in todays market

13
Oil Demand 2025
70
60
50
40
of World
30
20
10
0
North America
Middle East
Emerging Asia

1. EIA/IEA Outlook 2005, Table A.4

14
Oil Demand 2025 vs. Carbon Resources
70
60
50
40
of World
30
20
10
0
North America
Middle East
Emerging Asia
(1) EIA/IEA Outlook 2005, Table A.4
(2) BP Statistical Review World Energy, June
2005
15
Oil Demand 2025 vs. Carbon Resources (continued)
Reserves(2)
70
60
50
40
of World
30
20
10
0
North America
Middle East
Emerging Asia

1. EIA/IEA Outlook 2005, Table A.4
2. BP Statistical Review World Energy, June 2005

16
Oil Demand 2025 vs. Carbon Resources (continued)
Reserves(2)
70
60
50
40
of World
30
20
10
0
North America
Middle East
Emerging Asia

1. EIA/IEA Outlook 2005, Table A.4
2. BP Statistical Review World Energy, June 2005

17
Advanced Clean Coal Potential Impact
USA China India Gigawatts(1) 112 171 57 Tons
Coal (dry basis) 1,154,000 1,760,000 585,000 per
Day(2)

• Pulverized Coal Technology(3)
• CO2 (tons/day) 2.9 million 4.5 million 1.5 million

• IGCC w/FT(4)
• CO2(5) (tons/day) 1.2 million 1.8 million 0.6
  million
• Barrels/Day 1,100,000 1,700,000 570,000

(1) EIA/IEA International Outlook 20046
(2) Based upon sub-bituminous coal containing 30
by wt. moisture
(3) Efficiency 33
(4) Efficiency 55
(5) Includes CO2 sequestration
18
Development History of a Proven Proprietary and
Patented GTL / CTL Technology
Sterling
1982-1985
19
Development History of a Proven Proprietary and
Patented GTL / CTL Technology (continued)
Sterling
1989
20
Development History of a Proven Proprietary and
Patented GTL / CTL Technology (continued)
Sterling
Denver
Pueblo
1991 1993
21
Development History of a Proven Proprietary and
Patented GTL / CTL Technology (continued)
Sterling
Commerce City
Pueblo
2005
22
Development History of a Proven Proprietary and
Patented GTL / CTL Technology (continued)
Sterling
Commerce City
Pueblo
2006
23
Development History of a Proven Proprietary and
Patented GTL / CTL Technology (continued)
A 25-Year Instant Success

• Royster-Clark E. Dubuque
• Nitrogen Facility
• 2005 Natural Gas
• 830 t/d ammonia
• 14 MWe imported power
• 2009 After Proposed Conversion to Coal
• gt900 t/d ammonia
• 5700 b/d FT fuels
• 37 MWe export power

24
Summary

• World petroleum demand is growing at an
  unsustainable rate
• Conventional oil supplies are defined
• All available carbon resources need to be
  considered, engaged and utilized
• New technologies need to be deployed
• Depending on physical location GTL/CTL are
  viable near-term solutions