NIS & ATOMENERGOPROEKT JOINT PROJECT
FOR
MINING AND PROCESSING OF OIL SHALE
ON
ALEKSINAC DEPOSIT (SERBIA)
October 2012, Belgrade, Serbia
1
Agenda
1. Introduction
2. NIS overview
3. ATOMENERGOPROEKT overview
4. TTU-Ltd overview
5. Benefits of joint participation
6. References in the field of oil shale
7. Current projects
8. UTT-3000 technology overview
9. Technology comparison
10. UTT-3000 advantages
11. Aleksinac project overview
12. UWB sounding for geological prospecting & exploration
2
Introduction
•
•
•
Global reserves of oil shale (in terms of oil) are many times larger than
those of conventional oil.
Estimates of global deposits range from 2.8 to 3.3 trillion barrels
Estimates of Serbia deposits are 1.5 million barrels
3
NIS
• One of the largest vertically integrated companies for the
production of crude oil and gas in Southeast Europe
• The company for exploration, production and refining of
crude oil and natural gas as well as sales and distribution
of a wide range of petroleum products
• It possesses:
• Crude oil and natural gas production
• Refineries in Pancevo and Novi Sad
• Own retail network
• Energy business
• Oilfield Services
• Petrochemistry
Indicator
2011
Revenues, bln RSD
187,05
EBITDA, bln RSD
52,39
Employees
9076*
* Including NIS first chance
Business center in Novi Sad
4
ATOMENERGOPROEKT
•
•
•
•
OJSC "Saint-Petersburg Research and Design Institute ATOMENERGOPROEKT“
(JSC" SPbAEP ") established on September 1, 1929.
118 power plants, including 18 nuclear power plants in 19 countries were built
and put into operation based on “SPbAEP” designs.
The Institute has been involved in the oil shale industry since 1950s, has
designed 3 oil shale fired power plants, and all existing UTT-3000 and UTT-500
ATOMENERGOPROEKT today has:
•
•
•
•
more than 80 years of successful operation
about 1800 highly experienced specialists
projects successfully implemented in 19 countries
certified quality management system ISO 9001
JSC “SPbAEP” head office
5
TTU-Ltd
•
•
•
•
•
TTU Ltd – company possessing method patents and installations for
processing oil shale by solid heat carrier (UTT)
Established by specialists in the field of oil shale processing in 2006,
reorganized in 2009
Goal of the company – development and distribution of technology for the
processing of low-calorific solid fuels by high speed pyrolysis method
Galoter
Number of patents – 24
Number of inventors involved – 37
6
Benefits of joint participation
•
•
•
NIS refining complex includes two individual locations: Pancevo and
Novi Sad which are suitable for processing shale oil
ATOMENERGOPROEKT has ultimate experience and exclusive rights to
the design of UTT-3000 installations
TTU-Ltd is the owner of patents and technology provider
7
References of ATOMENERGOPROEKT
Oil shale based Power Facilities
Oil shale based Power & Technological Facilities
Ilmarine
Factory
Tallinn, 1950-53
UTT-50 facility with
bunker-type and drumtype reactors
50 t oil shale / day (R&D)
Kivioili
Kivioili, 1953
R&D UTT-200 facility
200 t / day
Kivioili
Kivioili, 1963
R&D UTT-500 facility
500 t / day
Oil Factory
Narva, 1975-1980
Two commercial UTT-3000
facilities
6000 t / day
Power
Technological
Plant
Slantsy, 1994-2006
Project 3xUTT-3000
9000 t / day
Viru Keemia
Group
Kohtla Yarve, 2006
Project 1xUTT-3000
3000 t / day
8
Estonian PP, Narva, 1969-73,
1610 MWe, 84 MWt
Designed by ATOMENERGOPOEKT
9
Oil Factory 2хUTT-3000, Narva,
1980-84, 6660 tpd oil shale
Today known as Enefit-140, designed by ATOMENERGOPOEKT
10
UТТ-3000 in Kohtla Jarve, VKG Oil AS
Today known as Petroter , designed by ATOMENERGOPOEKT
11
ATOMENERGOPROEKT
Current projects
Nuclear Power Plants
• 2xVVER-1200 Leningradskaya NPP-2 Saint Petersburg, Russia.
• 2xVVER-1200 Baltic NPP Kaliningrad, Russia.
• FN-800 Beloyarskaya NPP, Ekaterinburg, Russia.
• 4xVVER-1000 Tianwan NPP, Tianwan, China.
• VVER-1000 Busher NPP, Iran.
• VVER-440 Kola NPP, Russia
12
ATOMENERGOPROEKT
Current projects
Oil Shale Projects
• 18xUTT 3000
• 24xUTT 3000
• 24xUTT 3000
• 2xUTT 3000
• 8xUTT 3000
• 2xUTT 3000
• 2xUTT 3000
• 24xUTT 3000
• 24xUTT 3000
• 8xUTT 3000
El Lajun, Jordan
Al Atarat, Jordan
Bayer, Jordan
Sultani, Jordan
Bayer, Jordan
Mishor Rotem, Israel
Mishor Rotem, Israel
Sangruntau, Uzbekistan
Tichara, Myanmar
Tarfaya, Morocco
INCOSIN
INCOSIN
INTER RAO UES
JOSECO
GLOBAL OIL SHALE Co.
INTER RAO UES
GLOBAL OIL SHALE Co.
UZBEKNEFTEGAZ
SNOG Ltd.
ZONA ENGINIRIE S.A.R.L.
13
The Essence of Processing
Thermal decomposition of kerogen is
the base of all oil shale processing
methods.
100%
Water
Kerogen
Maximum liquid yield can be achieved
at the end point of thermobitumen
decomposition .
Coke
75%
Thermobitumen
50%
Oil fraction >350
0
Oil fraction 200-350 0
25%
Oil fraction <200
0
Gas
0%
300
350
400
450 0C
The higher the temperature the more
coke and gas are formed. Heavy oil in
conditions of tough permeability of
fractured rock or in coarse fragmented
shale is also condensed and
polymerized forming coke and gas and
lowering liquid yield.
The point of total decomposition of thermobitumen varies for
different kinds of oil shale as per temperature as well as per yield of
coke which depends on H/C ratio. This is why in-situ heating process
will never exceed energy efficiency 40-50% leaving carbon and heavy
oil in-situ.
14
The Essence of Processing
Thermal decomposition of kerogen is
the base of all oil shale processing
methods.
100%
Water
Kerogen
Coke
75%
Maximum liquid yield can be achieved
at the end point of thermobitumen
decomposition .
Thermobitumen
50%
Oil fraction >350
0
Oil fraction 200-350 0
25%
Oil fraction <200
0
Gas
0%
300
350
400
450 0C
The higher the temperature the more
coke and gas are formed. Heavy oil in
conditions of tough permeability of
fractured rock or in coarse fragmented
shale is also condensed and
polymerized forming coke and gas and
lowering liquid yield.
The point of total decomposition of thermobitumen varies for
different kinds of oil shale as per temperature as well as per yield of
coke which depends on H/C ratio. This is why in-situ heating process
will never exceed energy efficiency 40-50% leaving carbon and heavy
oil in-situ.
15
UТТ-3000 Flowsheet
16
Balance scheme
Raw Oil Shale
2,500 thsnd t
(500 thsnd t.o.e.)
Efficiency:
On commodity products -80.0 %
General (incl. own needs)-85.5%
UTT-3000
installation outlet
456.4 thsnd t.o.e.
Efficiency 91,3%
Gas
101.7 thsnd t
(82.5 thsnd t.o.e.)
Medium oil
117.5 thsnd t
(106.7 thsnd t.o.e.)
Steam
900 thsnd t
(56.7 thsnd t.o.e.)
Electricity
374.2 mln kWh
(32.2 thsnd t.o.e.)
Electricity
203.6 mln kWh
(17.5 thsnd t.o.e.)
Diesel fraction
29.6 thsnd t
(28.9 thsnd t.o.e.)
Heavy oil
139.9 thsnd t
(120.1 thsnd t.o.e.)
Steam and heat
100,040 Gcal
(10 thsnd t.o.e.)
Petrol fraction
40.5 thsnd t
(39.8 thsnd t.o.e.)
Gas petrol
22 thsnd t
(21.7 thsnd t.o.e.)
Synthetic oil
350 thsnd t
(317.3 thsnd t.o.e.)
17
Other known technologies
Chevron Crush
Shell ICP
ATP Processor
18
Other known technologies
Lurghi-Lurgas
Process IGT
Union B
Kiviter / Fushun
Petrosix
19
Technology comparison
Final result show how much share of in-situ oil shale energy goes to the profit forming:
PROFIT = Final result * Oil Shale Resource Energy in BOE * Oil Price
Source: “RESOURCE- Evaluation Model for Choice of Oil Shale Mining and Processing Technologies “, 28th Oil Shale
Symposium, October 13-17, 2008
20
UТТ-3000 Advantages
12.3.1.1. Comparison of participants of shale oil production market
Capacity, bopd
Unit capacity, tph
Number of units
Service life, year
CAPEX, $ mln
CAPEX per unit, $ mln
CAPEX per bopd
CAPEX $/bbl
OPEX $/bbl
Maturity of technology,
years of units work
Oil Shale, tpd
Capacity Ratio
Yield of oil bbl/t
Products
Syncrude, bopd
pyrolysis distillates, bopd
electricity, MWh/day
sulfur, tpd
tiophenes, tpd
Prices
Syncrude, $/bbl
Pyrodistillates, $/bbl
Electricity, S/MWh
Sulfur, $/t
Tiophenes, S/t
Revenue, $ per day
Syncrude
Pyrodistillates
Electricity
Sulfur
Tiophenes
Total revenue, $ per day
OPEX+CAPEX
Profit, $ per day
Payback period, year
Payback (Oil + Electricity only), year
Profitability of investments, % annual
Share in production, %
Enefit
ATP
UTT
38 000
280
10
30
(assumpted)
5 900
590
155 263
14,2
23,0
assumpted
0
new
53 760
0,8
0,7
15 000
500
2
30
(assumpted)
1 800
900
120 000
11,0
23,0
stated
~1
on oil shale
19 200
0,8
0,8
30 000
139
24
30
proved
1 900
79
63 333
5,8
20,0
stated
59
three UTT-3000
64 051
0,8
0,5
38 000
15 000
8400
387
960
153
30 000
14400
95
70
70
48
600
3000
48
600
3000
60
48
600
3000
2 660 000
403 200
232 013
3 295 213
1 412 813
1 882 400
8,6
9,8
12
46%
1 050 000
46 080
91 584
1 187 664
509 384
678 280
7,3
8,4
14
18%
1 800 000
691 200
286 200
2 777 400
773 516
2 003 884
2,6
3,0
38
36%
Source: Marketing researches by TTU Ltd submitted to NRA, Jordan, 2010
21
Opportunities and Prospects
• The opportunity of processing of hydrocarbonaceous wastes in UTT – used
tires (up to 10% wt), oil soaked soils (20-25 % from volume of oil shale),
tars, cakes, etc, will provide an additional output of liquid distillates
• Shale oil can be used as the activator for processing the heavy oil residues
(tar, malta, black oils). In thermal processes of heavy oil residue processing
(visbreaking and thermocracking), application of oil shale activators
increases the yield of light products from 20% up to 60%, and in
hydrogenization processes (hydrocracking) the yield of light products for
one cycle increases from 50% up to 90%, thus process speed is 2 times
higher, and working pressure is 2 times lower.
• The UTT installations can be added with oil&gas fired power plants with
the capacity of up to 100 МW per unit. The opportunity of regulation of an
output of liquid and gaseous products from UTT over a wide range allows
the plant to be quickly switched from fuel production to electric power
generation and to serve as peak smoothing power generation facility.
• The UTT complex can be added with cement works - for the production of
cement it is possible to use cement clinker produced from cyclonic shale
ashes, limestone, fuel and energy.
• UTT can be added with melting oven to melt ash – it will enable
production of clinker and extract metals from ash.
22
Environmental
Subject of
Impact
Source
Contaminants
Note, concentration
Atmosphere
Chimneys
Dust
Meets to EU norms
SO2
Meets to EU norms
CO
Meets to EU norms
CO2
Meets to EU norms
Nox
None
Hydrocarbons
Within allowed limits for
refineries
Ash
Inert, solid, non-dusting
Overburden
FIlled back to exhausted space of
quarry and reclaimed
Soil
Water
Ash stock
No leakages into environment
Analogue: Operating plant Petroter based on UTT-3000 located in confines
of Kohtla Jarve town in European Union.
23
Standard EE 0579981-NJ ST 9:2005
"Oil Factory Products"
Products
Specs
Application
Heavy oil
1040 kg/m3
Used for asphalt in road
construction
Heavy-medium
fraction
1035-1050 kg/m3
Used as fuel oil in big boilers and
power plants
Total oil
Grades A, B, C
Pour point -10..-40 ºС
1010-890 kg/m3
Used in boilers of any capacity,
does not require heating in
winter time
Shale fuel oil
Grades L-1, L-2, L-3
880-1010 kg/m3
Used as light fuel oil in boilers, in
gas turbines, for marine oil
production
Semi-coke gas
1.15 kg/m3
Used in boilers
24
Aleksinac oil shale deposit
• The exploration area is located in the south-eastern part of Serbia.
• Potential reserves (resources) of oil shale on the territory under
exploration Aleksinac estimated at 2 billion tons.
• Organic content up to 16.6% and an average oil content of 8.95%.
Source: Project of geological exploration of Aleksinac deposit, NIS, 2010
25
Aleksinac oil shale deposit
q
Oil shale
Brown coal
Source: Project of geological exploration of Alecsinac deposit, NIS, 2010
26
Aleksinac oil shale deposit
Geological section of the Aleksinac deposit
Source: Project of geological exploration of Aleksinac deposit, NIS, 2010
27
Structure of proposed production
Quarry
Mining Oil Shale
5 mln tpy
Retorting unit
Distillation Unit
Processing Oil Shale
5 mln tpy
NIS refineries
NIS pipeline,
railroad
Overburden
Filling back
5 - 7 mln tpy
Shale Oil
0,5 mln tpy
Processing
5 mln tpy
Gas
0,5 mln tpy
&
Recovered
Heat
115,000 toe
Turbine House
Petrol, Diesel oil, Fuel Oil, Asphalt
Electric power
1,600 mln kW-h (200 MW)
28
Shale oil as activator for heavy oil processing
•
•
•
•
•
Shale oil can be used as the activator for processing the heavy oil residues
(tar, malta, black oils, thick crude) in oil refineries.
In thermal processing of the heavy oil residues (visbreaking and thermocracking) application of oil shale activators increases the yield of light
products from 20% up to 60%, and
in hydrogenization processes (hydrocracking) the yield of light products
for one cycle increases from 50% up to 90%, thus speed of process is 2
times higher, and working pressure is 2 times lower.
Proper industrial test runs were made in Angarsk petrochemical plant.
Use of 500 thousand ton of shale oil as activator in NIS refineries for
processing 5 mln ton of crude oil will increase yield of petrol and
diesel oil.
29
Proximate economic evaluation of Aleksinac project
5 mln tpy (8,600 bopd)
30
UWB sounding for further geological
prospecting & exploration
Elaborated method of impulse Ultra Wide Band Electro Magnetic
Sounding (UWB) allows to find the oil shale layers and distinguish
them by rich and poor grades. Risky costs of prospecting works
are ten times lower in comparison to drilling.
31
UWB sounding for further geological
prospecting & exploration
32
UWB sounding for further geological
prospecting & exploration
33
Conclusion
The Republic of Serbia, in partnership with NIS,
Atomenergoproekt and TTU-Ltd possess all
necessary resources, capacities, experience,
funds, skills and access to technology required
to implement the project of development of oil
shale starting from Aleksinac deposit, and
expanding the experience to other deposits,
and to include oil shale into the energy
balance, being friendly to the environment and
for the benefit of the Serbian people.
34
Thank you!
October 2012, Belgrade, Serbia
35