Amandla Resource Development
& Associates:
Incorporating Zululand Centre for Sustainable
Development [ZCSD]
Section 21 co & “Ecosystems cc”.
Biomass Potential & Feedstock Availability for:
A. “Renewables” Power-plant
B. Torrefied Wood-pellets for Export
C. Combination Export Pellets + Co-Generation
Realising Africa’s natural potential through renewable resource management
Structure of this
Presentation:
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Who are Amandla Resources, Ecosystems and ZCSD &
Associates?
Biomass Types and Sources
Calorific values of biomass
Biomass costs to harvest
Power demand in Richards Bay (for example)
Biomass harvesting- Timber stumps into chips
Biomass harvesting- Timber Brush into bundles
Biomass harvesting- Timber Brush into chips
Biomass harvesting- Sugar cane into bales
Biomass logistics systems and costs
Conclusions
The way forward:
* Feasibility Planning Costs
Professional
Team ARDC
Amandla Resource s
Rainbow Millennium Power Co
Golder Associates (EIA)
Ingonyama Trust Board (Land)
TJM Capital (Financial Planning)
Envirovest (Bamboo-Biomass development)
MHP Geospace (GIS Planning)
Sivest (Development planning)
Stefanutti Stocks (Civil Engineering)
Basil Read Energy (Equity)
IED (SMME support)
NCT (Timber Biomass supply logistics)
CACS * Others (EPC contractors)
Ecosystems (Community Development)
ZPA (Commercial & Rural Cane Growers)
Amandla Resource & Associates’
Primary Objectives (1):
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To source sufficient biomass tonnage to fuel green power
generation plants and for wood-pellet green-fuel production
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To identify the best and most cost effective harvesting and
loading/ bundling or on-site chipping system
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To identify a cost effective transport system
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To secure long-term biomass supply commitments
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To identify possible sites for power plants
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Identify power take-off customers: (Eskom/ private?).
ARDC Biomass Supply-chain
ARDC Broadened supply-chain
Bio-Based Energy products
Amandla Resource & Associates’
Primary Objectives (2):
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To assemble coherent feasibility reports and 
business plans for committed investors and
clients, BioMass growers & Suppliers.
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To provide project preparation and
implementation capacity.
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To Manage and Implement approved
BioMass –related projects.
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To provide for operational staffing up-skilling
and mentoring capacity.
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In Addition:
Project Finance.
R & D support.
Skills Development.
Community
Development
support programs.
Best –practice
technical selection.
Who are: ZCSD & “Ecosystems”?
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An AMANDLA RESOURCES consulting
affiliate, this Section 21 NGO is focussed on
Community development, based in Richards
Bay, KZN Province:
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Community sustainable development projects
Training and skills transfer
Integrated waste management
Effective Resource utilisation
Organic agriculture promotion
Eco-village development
Business plan development
SMME development / mentoring.
Zululand Center for Sustainable
Development [ZCSD]:
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A not for profit Section 21 company
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Specialising in sustainable community development
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Identifying job creation initiatives leading to SMME
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Encouraging support for community-based initiatives
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Integrating BEE and community job creation opportunities
(longer-term), into larger commercial projects
Who are “Amandla Resources”?
Website: Click here
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ARD has been operating in SA since1999 (O’Kelly Consulting cc)
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Specialising in physical and human resource development.
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Developing sustainable New Business & job creation initiatives.
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Creating profitable partnerships between business and Rural
communities / community-owned resources in association with
ZCSD (implementing agency) and its development associates.
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Align investors and appropriate project financing options to
ensure project viability towards implementation
BIOMASS TYPES /SOURCES:
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TIMBER BIOMASS: (eucalyptus, wattle, pine, Casuarina).
Tons per hectare – (140 to 220t/ha over 7 to 25 years)
 Root-wood (6%)
 Stump-wood (5%)
 Foliage (5.2%)
 Bark (13.5%)
 Branch-wood (5%)
 Stem-wood (burnt timber, coppice) (67.1%).
Sugar Cane
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Trash (leaves, tops): about 20% of whole-stick harvest.
Whole stick green: 60 to 140 tonne/ harvest.
Bagasse: Fibrous waste after juice extraction (30%)
Timber Yields and Growth
Period
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Timber – Eucalyptus
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Timber- Wattle & Casuarina
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Yield - 140 to 280 tons per hectare (MAI 13 to 28)
Growth period - 7 to 10 years
Yield - 100 to 140 tons per hectare (MAI 8 to 13)
Growth period - 7 to 10 years
Timber –Pine
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Yield - 140 to 220 tons per hectare (MAI 13 to 16)
Growth period – 20 to 22 years
Cane Yields and Growth
Period
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Cane yields:
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Yield - 60 to 140 tons per Ha ( green stick only)
Yield - 14 to 20 tons per Ha (17% Trash and tops)
Yield - 18 to 42 tons per hectare (30% bagasse).
Growth period:
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12 to 24 months
Depending on soil and climate
Depending on irrigation water
Depending on Variety
(High Fibre ..or High Sucrose)?
Calorific values of
biomass
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Cane Tops
16.4
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Cane Trash
17.4
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Bagasse
18.1
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Coal
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Wood Brush
14.4 - 17.4
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Wood Chips
16.5 - 18.5
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Charcoal
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Pyrolysis Gas
15 - 27.5
29.6
20 - 22
Biomass costs to harvest
Description of
biomass
Estimated
R/ton cost
to Harvest
Estimated
payment
to
supplier
Sub
Total
Transport
Sub
Total 050 km
Profit @ 15%
or handling
fee
Estimated
Landed
price /Ton
Margin
Timber stumps (chips)
225.0
0.0
225.0
48.0
273.0
41.0
R 314
15%
Timber brush (bundles)
217.0
25.0
242.0
38.0
280.0
42.0
R 322
15%
Timber brush (chips)
144.0
25.0
169.0
48.0
217.0
32.6
R 250
15%
RBM (Indigenous bush
clear)
183.0
60.0
243.0
38.0
281.0
42.2
R 323
15%
Other( pallets, sawdust,
wood off-cuts for
sawmills)
100.0
25.0
125.0
38.0
163.0
24.5
R 187
15%
Sugar cane trash (bales)
161.0
75.0
236.0
38.0
274.0
41.1
R 315
15%
Garden waste (chips)
120.0
0.0
120.0
18.0
138.0
20.7
R 159
15%
Timber brush from
Mbazwane Forests
(chips)
119.0
25.0
144.0
175.0
319.0
47.9
R 367
15%
Average
price
R 280
Total Biomass
GE at ZCSD: April 2009
Power demand:
Example in Richards Bay, KZN.
Company
MW
BHP Billiton
200
BHP Billiton Expansion projects
250
Tata Steel
150
Pulp United
55
Foskor
32
Archean India
80
Mauri British Foods
10
Total Power Required
777
Our Customers (R’Bay Area)
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Eskom direct into grid and power wheeled.
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Umhlatuze Municipality direct
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Richards Bay Minerals & BHP direct.
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Direct to large commercial projects in the
IDZ and
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Other Adjacent locations R’Bay.
(1.5% wheeling fee).
Biomass harvesting: Timber stumps into chips
Tonnage available
R’Bay Area
177,000
Source
Mondi, Sappi, DAFF. Amalala Group.
Form of biomass
Chips; (Chipped on-site)
Distance from site
0-50km
Biomass harvesting:Timber Brush into bundles
Tonnage available 81,000
R’Bay Area
Source
Sappi and Mondi
Amalala Group
DAFF + Others
Form of biomass
Bundles
Distance from site 0-50km
Biomass harvestingTimber Brush into chips
Tonnage available
R’Bay area
180,000
Source
Sappi, RBM
Form of biomass
Chips
Distance from site
0-50km
Biomass harvesting – Other”
(pallets, garden waste, sawmill waste into chips):
Tonnage available
R’Bay Area
20,000
Source
Local Sawmills,
factories,
municipality
Form of biomass
Chips/ shredded
Distance from site
0-50km
Biomass harvestingSugar Cane Tops & Trash into Bales
Tonnage available
R’Bay Area
586,000 to 1m
tonne or more
Source
Felixton and
Umfolozi cane
growers, Mtunzini,
Noodsberg areas
Form of biomass
Bales of sun-dried
cane tops and postharvest trash
Distance from site
0-80km but less
than 30km is
optimum
Biomass logistics systems and
related costs: (2009 costs).
Cost per ton (0- 50km)
R38.00/ton
Cost per ton ( 150-200km) R170.00/ton
Form of biomass
Chips & Logs
Distance from site
0 - 200km
Explanation of the terms used
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Gum plantations [Saligna]
Pine plantations [Mainly inland]
Wattle [Mainly inland]
Some (Coastal) Casuarina Plantations [RBM]
Explanation of the terms
used (contd):
Coppice
Brushwood
Cane Trash
Burnt Cane
Equipment Used:
Brush Bundler
Equipment Used:
Loaders & Forwarders
Bell Timber Loader
Bell Forwarder
JD Forwarder
Equipment Used:
CBI Chipper
Equipment Used:
Cane /Maize stalk Baler
Conclusions
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Post-harvest Biomass (underutilised) residues ,whole roundlog timber & some alien eradication materials are available
locally.
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Smaller power plants of 20 MW to 50 MW are more viable.
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Electricity purchase agreements can now be concluded in all
of SA (from National Grid/ Eskom and private enterprise).
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Other opportunities in Piet Retief area: (Mondi, Sappi &
others = 200 000 Ha timber biomass to 1 Million tons
available).
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Western , Eastern Cape & Mpumalanga Province also have
under-utilised potential
The Way Forward:
Pre-feasibility funding required for:
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Require a time and motion study on the harvesting system
needed for each type BioMass.
Specialised Equipment available from Bell, CBI and John
Deere also other suppliers Volvo etc
Sign up biomass suppliers (contract)
Conclude price of biomass supplied to site
Conclude price paid to farmers/ plantation owners
Select appropriate factory site to suit logistics / efficiency
Conduct Scoping for Environmental Impact Assessment(EIA).
Complete feasibility reports and Business plans.
Secure adequate funding for initial assessment studies and
plans for development clients
Socio-Economic Benefits: 1
Type of
Description Activity Per 12 &
Opportunity (24) MWe Site
Contracto Jobs per
rs
12 MWe
(24 MWe)
EQUIP Cost
Total
(12
MWe)
51,000
Chainsaw
contractors
Labour
Transport
Biomass
collection,
loading and
short haulage
Chainsaw contractors cutting biomass into 2 & (4)
small enough pieces for harvesting
Tractor/Trailers for labour transport
2
6 & (12)
6
8,500
4
2
450,000
900,000
Loading biomass using tractor/trailer units 4 & (8)
with own cranes. Moving 110 tons per day
each to a central loading zone
80 & (160)
5
750,000
3,750,000
Biomass
transhipping
Loading the interlinks at the loading zones 3 & (6)
and transporting the biomass to the power
station; (6 units required)
6 & (12)
4
300,000
1,200,000
Long haul
transportation
Biomass
chipping
Hi-side Bulk Bin transporters (Horse & 3 &(6)
Trailer)
At some sites chipping will be required for 1 & (2)
the reduction of bulk, prior to transporting
to power plant
6 & (12)
3
1,500,000 4,500,000
12 & (24)
5
550,000
2,750,000
1 & (2)
4 & (8)
2
650,000
1,300,000
lot
lot
1
3,250,000 3,250,000
2
700,000
Mechanics onsite for servicing and repairs
Mechanics for
machine
repairs
Administration Office infrastructure
4 & (8)
Co-operative
Planning Admin and Financial control, staff 1 & (2)
Administration training and skills development
Other
Contingency
17 &
Total
Capex cost per job = R172 000 for 12
122 &
Opportunities
MWe
34 (24 MWe) 240 (24 MWe)
10%
12 MWe
[24 MWe]
1,400,000
1,900,000
21,001,00
0
[42,000,000
]
Socio-Economic Benefits: 2
Core Renewable Energy (BTE) 12 MWe Power Plant:
Category
Function
for
12 MWe
Admin staff
Office
2
3
Salaried staff plant
Management
7
7
Skilled wage staff
Shift supervisors & senior operators
20
24
Wage staff
Plant operators
60
80
Total Direct
Employees
in Power Plant only
Total excl raw material receiving, Preparation &
storage
89
114
Add for Raw
materials handling
Supervision and operations
11
15
Safety & security
Outsourced
7
9
TOTAL
12 MWe BTE Plant
117
138
For
MWe
24
Socio-Economic Benefits: 3
Supply-side Logistics:
In-field harvesting of Post-harvest residues 120,000 / 240,000 t.p.a.
CATEGORY
Explanation/ Description
12 MWe
24 MWe
Administration
Management
5
8
Field workers
for windrowing 6/ Ha 21 Ha/ day
126
252
Machine Operators Collecting and bundling m/c operators
10
20
Machine Operators In-field chippers tractor-mounted with operators 5 *3
15
24
Delivery Transport Transportation rigs 7 with Driver and conductor each
Operators
14
28
Service mechanics
mobile workshops 2 *3
6
10
Labour transport
for up to 200 personnel 5 units
5
8
Total
Including Administration & Management
181
350
Socio-Economic Benefits: 4
DIRECT PERMANENT EMPLOYMENT [Future Bamboo Plantation].
Category
Function
Administration
Senior planning/Management incl. horticulturalist
Wage-staff
Office
Admin
Plant Nursery Seedling Nursery
Planting & Development Planting Teams 5 * 10
M/C Operators Land Preparation 5 * 2
Plant and Horticultural Maintenance Field staff 5 teams each 12 members
teams
Herbiciding, weed-control and Firebreaks 5 teams x 6 each
Irrigation Installation and Maintenance 10 sets 5 each
staff
Maintenance workshops (Central) Lot 7 total
Field workshops and maintenance
3 teams each 3 persons
Harvesting M/C Operators 5 Ha/ day [5 teams] (with chain saws)
Recovery & Loading of harvested logs 5 teams each with timber–loader drivers & Support crews
Transport Rig operators 7 Rigs
Other General workers
TOTAL
DEVELOPMENT, OPERATIONS & MANAGEMENT OF
FUTURE “OWN”BIO-MASS PLANTATION FOR ARDC
BTE POWER PLANT FEEDSTOCK SUPPLY
Employees
3
5
24
50
10
60
30
50
7
9
15
15
14
10
302
Socio-Economic Benefits: 5
Job-creation summary [from “Amandla” BTE Projects]:
Category
Per 12 MWe CAPEX
R’m
117
328
Cost/ new
job R’000
2,800
Per 24 MWe CAPEX
R’m
138
647
Cost/ new
job R’000
4,688
Supply Side Logistics &
harvesting
Biomass Plantation 1200 ha
181
21
116
350
42
120
302
89
295
604
175
290
Total Direct Jobs
600
438
730
1092
864
791
Add Indirect Jobs (Source
TH/CSIR)*
Total Jobs per BTE
600
1092
1200
2184
Total ARDC Jobs (2X12 & 2X
24MWe)
All BTEs - 2400 plus 4368 =
6768
Cost per Job
2400
4368
SMME / BEE Opportunities
12
24
SMME / BEE Jobs
112
224
BTE Plant Operation
Projected Costs to complete Feasibility Planning reports
Consortium at risk
development
Costs
Labour Activities
Detail see Annexure 12
Proposed PDA Budget
(Development Phase REFIT)
M/days
Sub-Total
348
M/days
R 2,505,600
281
Proposed PDA Budget
(Post REFIT Decision
Phase)
M/days
R 2,023,200
281
Total PDA Budget to SEP
Selection
M/days
R 2,023,200
562
R 4,046,400
Other Direct Costs Subsistence & Travel
Local Travel for ARD Consortium Members
Overseas travel
Printing & related, etc
Sub-Total
R64,400
R174,000
R96,400
R270,400
R0
R190,000
R190,000
R380,000
R20,000
R60,000
R60,000
R120,000
R 84,400
R 424,000
R346,400
R770,400
R600
R200,000
R200,600
R800,000
R800,000
Subcontracts
1 Golder - EIA Scoping
2 Golder EIA & Decision making
3 Legal advisor
R100,000
R500,000
R600,000
4 Financial and SEP Advisor
R200,000
R500,000
R700,000
5 Indian Bamboo Fuel Specialist
R100,000
R50,000
R150,000
6 Technology and EPC Advisor
R100,000
R50,000
R150,000
R200,000
R200,000
R250,000
R350,000
7 Grid connectivity - RT
8 Water Supply Consultant
R100,000
9 Geotechnical drilling & report
Sub-Total
R 600,600
R300,000
R300,000
R 2,850,000
R 3,450,600
Other
Pr and Marketing
Sub-Total
Accumulated Total
Project Development fund Audit
3%
Contingency
5%
15% EIA Contingency
DF Study Grand TOTAL EXCL Vat
R20,000
R40,000
R40,000
R80,000
R 20,000
R 40,000
R 40,000
R 80,000
R 2,610,000
R 3,087,800
R 5,259,600
R 8,347,400
R 92,634
R 157,788
5%
R 154,390
15%
R 2,610,000
5%
R 262,980
R 8,347,400
5%
R 417,370
R 90
R 120,000
R 237,384
R 3,242,280
R 5,642,580
R 9,002,154
ARD Consortium request to IDC FOR Development funding up to SEP
Selection :
50%
R 4,501,077
The End
www.amandlaresources.com
Original data / graphics by Gavin Eichler : General Manager ZCSD 2009