CFB Firing of Petcoke for Repower Applications By Scott L. Darling Commercial Director Foster Wheeler North America Corporation Increasing Natural Gas Demand Driven By Utilities For Electricity Generation 2,100 Billion KWhrs Renewable (excl. Hydro) Natural Gas Nuclear Coal 0 9 19 7 9 19 9 0 20 1 0 20 3 0 20 5 0 20 7 0 20 9 1 20 1 Fuel Use In Electricity Generation 1 20 3 1 20 5 1 20 7 1 20 9 Number of Producing Natural Gas Wells in U.S. “The number of producing gas wells has tripled since 1971, while production has declined, clear indication that existing basins are becoming tired…” 350,000 300,000 250,000 200,000 150,000 100,000 Natural gas deregulated 19 60 19 62 19 64 19 66 19 68 19 70 19 72 19 74 19 76 19 78 19 80 19 82 19 84 19 86 19 88 19 90 19 92 19 94 19 96 19 98 20 00 50,000 Source: EIA U.S. Dry Natural Gas Production “Domestic production peaked back in 1971…” 25 1994 20 2002 T Ft3 15 10 5 0 1970 Source: EIA 1975 1980 1985 1990 1995 2000 Natural Gas Price Is Rising $/mm Btu 14 12 10 8 6 4 2 0 Floor above $4 Sources: EIA, Wall Street Journal De c99 De c00 De c01 De c02 9 Ja n9 8 Ja n9 7 Ja n9 6 Ja n9 5 Ja n9 Ja n9 4 Floor below $2 Gas-Fired Boilers: High Operating Costs High Fuel Price Gas is a premium fuel Increased demand, limited supply has increased gas prices Typical gas price; $4-6/mm Btu Volatile Fuel Price Weather and other effects can produce significant gas price spikes Low Boiler Efficiency High H2 content means high H2O vaporization losses Coke-Fired CFB Boilers: Low-Cost Fuel Provides Low Operating Costs Low Fuel Price Coke is a refinery byproduct Coke price close to delivery cost Typical coke price < $1.00/mm Btu Relatively Stable Fuel Price Similar to coal Broad Fuel Flexibility Can co-fire opportunity fuels such as biomass, etc. High Boiler Efficiency Low H2 content means low H2O vaporization losses CFB Repowering Requires Low Investment Cost • Replace gas-fired boilers with CFB boilers, by adding the following equipment; • New CFB boiler w/ baghouse • Solid fuel storage, handling • Limestone and ash storage, handling • Foundations, electrical, controls • Re-use existing turbine-generator, balance of plant equipment CFB Repowering Requires Low Investment Cost $/kw 2200 2000 $/kw 1800 1600 Greenfield Repower 1400 1200 1000 800 20 40 60 MW, net 80 100 Coke-Fired CFB Repowering: Operating Cost Savings Provide Rapid Payback of Investment Costs Payback Calculations Based on: Gas Price Range: $4 – 7/mm Btu Coke Price: $0.75/mm Btu Boiler (Plant) Size: 35 – 100 MWe (net) Capital Cost: $960 - $1250/low Payback: Simple Payback Coke Fired CFB Repowering Provides Rapid Payback of Investment Cost 5.50 5.00 Payback - years 4.50 4.00 35 MW 50 MW 75 MW 100 MW 3.50 3.00 2.50 2.00 1.50 $4.00 $5.00 $6.00 Gas Price - per MMBtu $7.00 Petcoke Fired CFB: Lower Power Cost Than NGCC 20 Year Levelized COE 6.1 9 7 Cents/kWh 6 5 3.82 Capital Fixed O&M Variable O&M Fuel 4 3 2 1 0 CFB Repower Petcoke ($.75/mmBtu) NGCC ($4.00/mmBtu) Leading the World in CFB Technology CFB Technology Is Mature: Over 480 CFB Boilers Worldwide* 500 450 400 350 Number of CFB Boilers 300 250 200 150 100 50 0 77 79 81 83 85 87 89 Year of Sale Source: McCoy Power Reports 91 93 95 97 99 01 03 * Equivalent to over 27,500 MWe Excludes CFB’s Designed in China Foster Wheeler: Market Leader In CFB Technology 1977 - 2003 Babcock Borsig 2% Kvaerner 7% Lurgi/Lentjes 12% Alstom 30% B&W 2% Foster Wheeler 47% Source: McCoy Power Reports Based on MWe Foster Wheeler: Leading The World In CFB Technology • Over 200 Units in Design/Operation • 300 MWe Units in Operation • 460 MWe Unit in Design • Units in Service Over 24 Years • Experience with a Range of Fuels • High Availability Demonstrated • Sizes to 600 MWe Offered CFB Technology Offers Fuel Flexibility Coal – – – – Anthracite Bituminous Sub-Bituminous Lignite Waste Coal – Bituminous Gob – Anthracite Culm Petroleum Coke – Delayed – Fluid Oil Shale Oil Refinery Bottoms Natural Gas Peat Agricultural Waste – Woodwaste – Rice Husks – Bagasse Pith Tires Sludge Refuse Derived Fuel CFB Process Design Offers Significant Advantages Feature Benefit Low Furnace Temps. Low NOx Low SO2 Fuel Flexibility Hot Circulating Solids Long Solid Residence Time Handles Poor Fuels Simple Feed Systems Good Fuel Burnout Good Sorbent Utilization Flue Gas 1500-1700oF 1500-1700oF 15-16 ft/sec Air Fuel 1/2” x 0 Limestone 1/20” x 0 Air Foster Wheeler CFB: Improved Performance With Less Equipment Furnace Backpass Cyclone Foster Wheeler Has Significant Experience With CFB Repowering Plant Size Fuel NISCO (Louisiana) 2 x 120 MWe Turow Remarks Pet Coke Replaced Gas-Fired Boilers 3 x 235 MWe Brown Coal PC Boilers Replaced Coal-Fired (Poland) Centerior-Bay Shore (Ohio) 1 x 180 MWe Pet Coke Replaced Coal-Fired PC Boilers JEA-Northside (Florida) 2 x 300 MWe Pet Coke Replaced Oil/Gas Fired Boilers SIPC 1 x 120 MWe (Illinois) Waste Coal Replaced Coal-Fired Cyclone Boilers NISCO: First Petcoke Repower Location Westlake, Louisiana (USA) Unique Features • IPP Project With EPC Contractor • Repowering of 25+ Year Old Gas Fired Plant • 2 x 120 MWe CFB Boilers • World’s Largest Petcoke-fired CFB’s • IPP Project Based on Petcoke From Nearby Refineries (Citgo, Conoco) • Low Cost Fuel and Commercial Uses for CFB Ash NISCO: First Petcoke Firing Capacity, Mwe (g) Steam Flow, (SH/RH) Steam Pressure, psig (SH/RH) Steam Temperature, °F (SH/RH) Major Dimensions Furnace Height, ft. Furnace Width, ft. Furnace Depth, ft. Cyclone Diameter, ft. 2 x 120 825/727 1625/464 1005/1005 112 42 20 18.7 NISCO: First Petcoke Repower Fuel Moisture, % wt Ash, % wt Sulfur, % wt HHV, Btu/lb Coke 10.6 0.3 4.5 13,454 Schedule Contract Award Start of Erection Commercial Operation Availability Boiler Availability, November 1989 June 1990 August 1992 96.1% NISCO: First Petcoke Repower Parameters Guarantee Test Capacity, klb/hr 825 908 Boiler Efficiency, % 83.7 90.3 0.6 0.13 NOx, lb/106 Btu SO2, % Removal (lb/106 Btu) CO, lb/106 Btu 90 (0.39) > 91 (0.38) 0.06 0.01 Hydrocarbons, lb/106 Btu 0.008 0.001 Limestone Flow, klb/hr < 38 < 19.5 JEA: Utility CFB Repower Location Jacksonville, Florida, USA Unique Features – Replaces Two 275 MWe Oil/Gas-Fired Boilers With two 297.5 MWe Coal/Petroleum Coke Fired CFB Boilers (Northside Units 1 and 2) – World’s Largest CFB Boilers in Operation – DOE Cost Sharing For Unit 2 (Part of Clean Coal Technology Program) – After Repower, Northside Emissions Will Be 10% Lower Than Current (Even Though Unit 2 Currently Out of Service) JEA: Utility CFB Repower Capacity, Mwe (g) Steam Flow, klb/hr (SH/RH) Steam Pressure, psi (SH/RH) Steam Temperature, °F (SH/RH) Major Dimensions Furnace Height, ft Furnace Width, ft Furnace Depth, ft Cyclone Diameter, ft 2 x 300 1991/1771 2620/580 1005/1005 115 85 22 3 x 24 JEA: Utility CFB Repower Fuel Moisture, % wt Ash, % wt Sulfur, % wt Volatiles, % wt HHV, Btu/lb Emissions SO2 NOx Petcoke Coal 9.0 0.4 6.7 9.0 14,000 0.15 lb/106 Btu 0.09 lb/106 Btu Schedule Contract Award Start of Erection Commercial Operation August 1999 June 2000 May/July 2002 5.2 12.8 2.8 35.6 12,690 JEA: Utility CFB Repower PARAMETERS GUARANTEE Capacity, klb/hr (SH/RH) Boiler Efficiency, % (Coke/Coal) TEST 1993/1773 90.16/87.57 1950/1734 91.04/88.20 SO2 Capture, % (Coke/Coal) Boiler 90/90 89.5/99.4 Boiler & Scrubber 98/98 98.5/99.7 Boiler 0.75/0.75 0.96/0.023 Boiler & Scrubber 0.15/0.15 0.134/0.010 NOx, lb/106 Btu (Coke/Coal) 0.09/0.09 0.02/0.04 CO, lb/106 Btu (Coke/Coal) 0.22/0.22 0.02/0.06 SO2, lb/106 Btu (Coke/Coal) Repowering with Foster Wheeler CFB Boilers: A Key Strategy to Reduce Costs Natural gas prices are high and likely to remain high Switching from gas to solid fuel drastically reduces operating costs Repowering with CFB boilers minimizes investment cost Reduced operating cost rapidly pay back the repowering investment FW has the most CFB experience in the industry FW has the most mature, efficient, reliable CFB design in the industry