Vision - Research - Teaching Presentation to the Alabama Center for Paper and Bioresource Engineering Auburn University June 24, 2015 Dr. John G. Cowie Presentation Outline Introduction Vision for the Center Past research Future research Teaching plans, experiences and desires Concluding Remarks 2 Presentation Outline Introduction Vision for the Center Past research Future research Teaching plans, experiences and desires Concluding Remarks 3 Introduction Doctorate in Materials Science Vice President of Technology at Agenda 2020 Technology Alliance - American Forest & Paper Association Past Chair of TAPPI Biorefinery Committee Past Leader of the Marketing Team in TAPPI Nanotechnology Division President of nanoC - consulting company 4 Presentation Outline Introduction Vision for the Center Past research Future research Teaching plans, experiences and desires Concluding Remarks 5 Vision for the Center Alabama Center for Paper and Bioresource Engineering This is my first visit to Auburn University Everything I know about the Center from: Harry Cullinan Your Website 6 Vision for the Center Alabama Center for Paper and Bioresource Engineering Detailed vision and strategy needs input from inside and outside the Center 1. Review and evaluation of current research activities 2. Input from industrial leaders (CTOs) and from the University's staff and directors 3. Perform a SWOT Analysis 4. Benchmark using other Centers like RBI (formerly IPST) at Georgia Tech 5. Investigate the available funding opportunities 6. Develop a detailed vision and strategy 7 Vision for the Center Petroleum Production Hubbert Peak Oil Plot In 1956, Geophysicist M. King Hubbert proposed that fossil fuel production would follow a roughly bell-shaped curve. 8 Vision for the Center U.S. Biobased Products Industry Economic Impact of the Biobased Products USDA Secretary Tom Vilsack announced last Wednesday that the U.S. biobased industry is generating substantial economic activity and U.S. jobs Economic Impact of the Biobased Product Industry report U.S. Biobased Products Industry contributes $369 billion to the American Economy 4 million new manufacturing jobs USDA creates the BioPreferred® label program Innovative wood products 9 Presentation Outline Introduction Vision for the Center Past research Future research Teaching plans, experiences and desires Concluding Remarks 10 Past Research Value Prior to Pulping Funded by the DOE and Industrial Consortium Partners 11 Past Research Value Prior to Pulping Purpose Utilize available enzymes and microorganisms Develop: Scientific knowledge Modeling tools Process design and Engineering economic information Determine if there is: A compelling business case If so proceed to commercial scale demonstration 12 Past Research Value Prior to Pulping DOE - Industry Consortium Two year experimental study $3 million total 50% funded by DOE 50% funded by Industrial partners 13 Past Research Value Prior to Pulping Participating Pulp & Paper Companies NewPage International Paper Company MWV - MeadWestvaco Potlatch SAPPI Weyerhaeuser Clearwater Paper UPM Kymmene Longview Fibre 14 Past Research Value Prior to Pulping Participating Research Institutions US Forest Service - Forest Products Laboratory State University of New York – Syracuse - ESF North Carolina State University Auburn University National Renewable Energy Laboratory IPST at Georgia Institute of Technology University of Maine Purdue University American Process International (API) Cobalt Technologies Verenium 15 Past Research Value Prior to Pulping Approach Technical Feasibility Pre-extraction & pulping Extract processing or conditioning Fermentation and ethanol production Commercial Feasibility Innovative process design Effective plant integration Capital & operating costs of the best case process design & integration 16 Past Research Value Prior to Pulping Project Groups Pre-extraction and pulping Extraction liquor processing Fermentation and biofuel production Modeling and business case development Economics and commercial feasibility 17 Past Research Value Prior to Pulping Group 1 - Pre-Extraction and Pulping Goal: Development of a process to extract 40% of the hemicellulose fraction prior to kraft pulping Hardwood met extraction yield target but with a decrease in paper strength Conditions can be found where a conventional pulp is produced with softwood - The extract yield is considerably less than the target Economics favored acid hydrolysis over enzymatic hydrolysis 18 Past Research Value Prior to Pulping Group 2 - Extraction Liquor Processing A process was developed to prepare the extract for fermentation free of inhibitors as well as recovery a valuable co-product stream; acetic acid. The raw extract is concentrated by ultrafiltration to produce a concentrate of up to 23% sugar solids The acetic acid which is recovered 19 Past Research Value Prior to Pulping Group 3 - Fermentation and Biofuel Production Goal: Development of a fermentation process to convert 80% of the extracted sugars to biofuels Technical proof of concept study evaluating five different fermentation microorganisms Zymomonas mobilis - NREL Pichia stipitis - US Forest Service Forest Products Laboratory and the University of Wisconsin Saccharomyces cerevisiae - Purdue University E. coli - Verenium Proprietary bacterial strain - Cobalt Technologies All microorganisms tested met the target 20 Value Prior to Pulping Group 4 - Modeling and Business Case Development Four different models were used HYSYS, WinGEMS, Excel and ApiMax ApiMAX models existed for conventional mills and were modified for VPP cases The Excel model used with the ApiMax correlated best with the experimental data 21 Past Research Value Prior to Pulping FPL Excel Model 22 Past Research Value Prior to Pulping ApiMax Simulation 23 Value Prior to Pulping Modeling and Business Case Development Basic Assumptions in Economic Analysis 24 Value Prior to Pulping Modeling and Business Case Development Captal Cost vs. Sugar Concentration Capital Cost Estimates for Hemicellulose Extraction Process as a Function of Sugar Concentration Following Evaportaion 25 Value Prior to Pulping Modeling and Business Case Development Operating Cost Estimates Annual Operating Cost ($/year) as a function of Sugar Concntration Following Evaporation 26 Value Prior to Pulping Modeling and Business Case Development Ethanol Production Cost Estimates Estimated Production Cost for Ethanol as a Function of Sugar Concetration 27 Value Prior to Pulping Modeling and Business Case Development Acetic Acid Production Cost Estimates Estimated Production Cost for Acetic Acid as a Function of Sugar Concetration 28 Past Research Value Prior to Pulping Economic Model Output: Ethanol Case Base maple Pine cases range Maple cases range "Best" Maple Ethanol Case IRR % 0 - 18 to - 4 - 7 to 15 15 Note: "Best" Case assumes the following: 18% more wood available at same price, 7% more pulp can be sold at the same price, Full heat integration, Use of existing equipment for the chipping, Excess steam available at $10 /MT rather than $22/MT 29 Past Research Value Prior to Pulping Economic Model Output: Butanol Case Base maple Pine cases range Maple cases range "Best" Maple Butanol Case IRR % 0 19 to 21 6 to 39 39 30 Past Research Value Prior to Pulping Technical Conclusions Hemicellulose can be extracted from wood chips prior to pulping and converted at high yield to biofuels Acetic acid can be recovered from the hemicellulosic extract providing a clean sugar stream for fermentation Pulp yield, quality and value are dependent upon the degree of hemicellulose extraction Low extraction conditions (10% mass removal) maintain similar quality metrics of conventional pulp Higher mass removals (up to 23%) alter the characteristics of the VPP pulp vs conventional pulp Based upon ROI, a 15% extraction level is preferred 31 Past Research Public-Private-Partnership (PPP) Advancing Development of Nanomaterials Funded by The US Forest Service 32 Past Research Public-Private-Partnership (PPP) Advancing Development of Nanomaterials The US Forest Service Nanotechnology research involving universities Grow the research programs in the area of cellulosic nanotechnology Create a legal framework for a Public-PrivatePartnership (PPP) 33 Past Research A Research Joint Ventures (RJV) Model Advancing Development of Nanomaterials Pioneered by the Semiconductor Research Corporation (SRC), research joint ventures (RJVs) represent a public/private partnership through which firms collaborate to acquire technical knowledge The forest products industry needs to create a RJV similar in framework to the SRC through a membership based consortium 34 Past Research A Research Joint Ventures (RJV) Model Legal Arrangements of a RJV All collaborative R&D projects require some form of legally binding agreement between partners The consortium agreement sets out the internal management guidelines – during and after project Legal agreement written and signed 35 Past Research A Research Joint Ventures (RJV) Model Benefits Reduced research costs due to a reduction in duplicative research Faster commercialization since the research stage is shortened Develop an industry-wide competitive vision Greater R&D productivity and greater patenting activity Access to key university personnel 36 Past Research A Research Joint Ventures (RJV) Model Outcome Full implementation of the RJV Model Establishment of P3Nano in the U.S. Endowment for Forestry & Communities, Inc. 37 Past Research Market Projections for Nanocellulose - Enabled Products Funded by the US Forest Service 38 Past Research Market Projections for Nanocellulose - Enabled Products Objectives Discuss Market Drivers for Nanocellulose Summarize the results of a study on potential markets for nanocellulose Categories of applications Methodology Volume estimates Recommend some future research directions 39 Past Research Market Projections for Nanocellulose - Enabled Products Environmental Market Drivers Consumer/Retailer demand Regulatory Light‐weighting to improve fuel efficiency Café standards Energy Efficiency Building codes Bio‐based materials Greener Consumer Products Shopping bag/water bottle bans/additive red‐listing EU Directive – vehicle recycling Carbon Dioxide targets Renewable/compostable Landfill bans/ recycling targets 40 Past Research Market Projections for Nanocellulose - Enabled Products Assumptions Recent research reports/expert network to identify target applications Current market size is maintained (no growth) Commercialization within the next 6‐11 years Cost competitive with current alternatives Technical issues addressed No barrier to adoption 41 Past Research Market Projections for Nanocellulose - Enabled Products - Targeted Applications HIGH VOLUME LOW VOLUME NOVEL and Emerging APPLICATIONS Cement Wallboard Facing Sensors - Medical & Environmental Automotive Body Insulation Reinforcement fiber ‐ construction Automotive Interior Paint‐Architectural Water filtration Packaging Coatings Paint‐Special Purpose Air Filtration Paper Coatings Paint ‐OEM Applications Viscosity modifiers Paper Filler Aerospace Structure Purification Packaging Filler Aerospace Interiors Cosmetics Replacement ‐Plastic Packaging Aerogels for the Oil Industry Excipients Plastic Film Replacement Organic LED Hygiene and Absorbent Products Flexible and Recyclable Electronics Textiles for Clothing Photovoltaics 3D printing Photonic Films 42 Past Research Market Projections for Nanocellulose - Enabled Products Market Estimates Vol = M *NC content * MP M = recent market size NC Content = % nanocellulose MP = market penetration rate 43 Past Research Market Projections for Nanocellulose - Enabled Products Example: Automotive Body Cars Light Trucks ~1.57 T ~2.08 T WT (AVG) * Vol (15.8e6) * 1/3 of vehicle weight steel * 50% replacement * 1/2 the steel replaced * 65% CNF in resin * Market Penetration Rate (1.57 tonnes + 2.08 tonnes)/2 x 1/3 x 1/2 x 1/2 x 0.65 x 15,800,000 vehicles = 1.56 million tonnes 44 Past Research Market Projections for Nanocellulose - Enabled Products Estimated Market Penetration Rates High Volume Applications 45 Past Research Market Projections for Nanocellulose - Enabled Products High Volume Cellulose Nanomaterials U.S. Market Penetration Estimates 46 Past Research Market Projections for Nanocellulose - Enabled Products Annual Tonnage Estimate by Forest Products Subsector 47 Past Research Market Projections for Nanocellulose - Enabled Products High Volume Cellulose Nanomaterials Potential Applications‐ World 48 Past Research Market Projections for Nanocellulose - Enabled Products Low Volume Cellulose Nanomaterials ‐ Potential Applications 49 Past Research Market Projections for Nanocellulose - Enabled Products Comparison to RISI Market Study Jack Miller, Principal Consultant, Market-Intell LLC Associate Consultant, RISI 23.5 million tonne potential 1.2 million tonne at 5% market penetration 50 Past Research Market Projections for Nanocellulose - Enabled Products BCC Research Report - June 2015 The global market for nanocellulose totaled $46.8 million in 2014 and is projected to approach $277.7 million by 2019. CAGR of 42.8% through 2019. Cellulose nanofibrils as a segment totaled $28.2 million in 2014 - $158.3 million by 2019 Cellulose nanocrystals as a segment reached $18.0 million in 2014 - $116.6 million by 2019 51 Past Research Market Projections for Nanocellulose - Enabled Products Next Steps Estimate Novel Application Volumes Refine Estimates Competitive advantage Cost sensitivity Adoption rates Survey for applications Technical issues Time to market Jobs estimates 52 Past Research Open Vetted Engineering/Economic Model of Cellulose Nano-Crystal Production Funded by P3Nano, U.S. Endowment for Forestry & Communities, Inc. 53 Past Research Open Vetted Engineering/Economic Model of Cellulose Nano-Crystal Production Questions to be answered What are the economic drivers of CNC production? What process choices can be made to manage sulfuric acid? Are there advantages to co-locating on a mill site? Will intellectual property issues hinder the proposed design? 54 Past Research Open Vetted Engineering/Economic Model of Cellulose Nano-Crystal Production Pulp Hydrolyze Base Water Quench and Separate Neutralize and Separate Concentrate CNC Concentrate Acid Glucose And Sodium Sulfate Water CNC Acid Water and Glucose 55 Block diagram of a commercial CNC production process Past Research Open Vetted Engineering/Economic Model of Cellulose Nano-Crystal Production Approach 1. Process design 2. Capital cost estimates 3. Cost model validation 4. Cash flow analysis 5. Intellectual property (US Forest Service - FPL) (American Process Inc.) (nanoC) (US Forest Service - FPL) (nanoC) 56 Past Research Private Consulting Proprietary Research Client List USDA Forest Service US Endowment for Forestry & Communities, P3Nano Sappi North America NewPage - Verso Paper Fibria Cellulose American Process Inc. Mohawk Fine Papers Termomecanica 57 Presentation Outline Introduction Vision for the Center Past research Future research Teaching plans, experiences and desires Concluding Remarks 58 Future Research New Products BioFuels BioChemicals BioMaterials 59 Future Research BioFuels Low Return on Investment (ROI) High feedstock prices High capital costs for biorefinery Low fuel prices Narrow spead between total cost and fuel prices 60 Future Research Path Forward Integration into pulp mills to lower operating costs Low cost waste woody biomass Move toward high value added products Chemicals, not fuels Lignin to higher value added products, not burned Nanocellulose production integrated into pulp mills Partnerships and joint ventures are central to mutual success 61 Future Research Path Forward - Potential Partnerships Lignin Metso LignoB DOE ORNL for carbon fiber Hemicellulose (sugar) Renmatix Biofine Pure Vision Fiberight Nanocellulose American Process Inc. US Forest Service - FPL 62 Future Research Cellulose Nanomaterials Market Opportunities High-Volume Markets Automotive, paper & packaging coatings and fillers, substitution for plastic packaging and film Low-Volume Markets Wallboard/Insulation, aerospace, paints Novel and Emerging Applications Sensors, filtration, electronics & photovoltaics, 3-D printing 63 Future Research Cellulose Nanomaterials Opportunities & Challenges Examples Composites; automotive body parts Aerogels/Foams Opportunities • Light-weight • Drying method • High-strength • Interface chemistry • Lower cost • Surface treatment -compatibility with resins • Light-weight, high strength “sandwich” structures • Cost-effective drying • Interface chemistry • Dispersion • Strength properties • Thermal insulation • Acoustic insulation Paints & Coatings Challenges • Scratch-free floor coatings Higher-strength, more • Spackle robust coating; scuff • Clear Films and protective resistance panels Develop functional base materials together with Interface chemistries 64 Future Research Cellulose Nanomaterials Opportunities & Challenges Examples Medical Filtration/Separation Opportunities • Wound healing • EHS considerations • Tissue scaffolding • Clinical trials • Hemmorrhage control • Interactions with human tissue • Evaluate filtration options especially with other media • Water purification • Oil from water cleanup • Separation of oil from water using foam as a sponge using cellulose nanomaterial Concrete Challenges • Plasticizer effects to improve fluidity • Develop broader separation technologies • Understand reaction mechanisms • Enhanced hydration • Self-healing, bendable concrete 65 Future Research Cellulose Nanomaterials Opportunities & Challenges Examples Viscosity control Opportunities • Oilfield applications • Paint thixotrope Electronics / Optical Paper Challenges • Understand rheological effects and component interactions • Develop formulations • Photonic colors • Manipulation • Batteries • Required paper smoothness • Supercapacitors • Strength; aligned assembly • Recyclable electronics • Recyclable components to match lignocellulosics • Overcome drainage issues • Higher-strength grades • Lighter weight • Overcome reduced light scatter, brightness, opacity • Higher filler • Cost-benefit; capital and operating costs 66 Future Research Cellulose Nanomaterials Opportunities & Challenges Examples Surface Treatments/ Opportunities Challenges • Coating hold-out for reduction in coat-weights • Develop excellent dispersion of CNF’s to avoid buildup behind blades of coater • Replacement of conventional binders • Barrier Coatings Films • Achieve uniform fibril size • Lighter-weight paperboard • Develop good dispersion of cellulose nanomaterial Paper Coating Packaging • Achieve moisture stability • Reinforced extrusions on board • Develop interface chemistries 67 Future Research Cellulose Nanomaterials Specific Research Needs Char. & Testing Manufacturing Drying Appli- Cations • Measure/characterize particle morphology and size: manufacturing - market - research purposes • Measurement methods - manufacturing control • Liberate nanofibrils with resin • Economic redispersion - Overcome agglomeration • Surface functionalization methods -- compatibility with enduse composites • Conventional polymers and/or biodegradable polymers 68 Future Research Cellulose Nanofilaments Kruger FiloCellTM Cellulose filaments on the left are peeled from kraft pulp fibers. The filaments have a high aspect ratio, up 1,000 - Kruger's FiloCell™ produced in Trois-Rivières, Québec. 69 Future Research Cellulose Nanofilaments Kruger FiloCellTM FiloCell™ reinforcing agent now being produced at a Kruger demonstration plant in Trois-Rivières, Québec. CF trials in printing paper show a good potential for making lighter sheets at the same strength. 70 Presentation Outline Introduction Vision for the Center Past research Future research Teaching plans, experiences and desires Concluding Remarks 71 Teaching Plans, Experiences and Desires Experience teaching Graduate level materials science courses at the University of New Mexico Materials science laboratory classes at Worcester Polytechnic Institute Scanning electron microscopy laboratory at Massachusetts Insitute of Technology 72 Teaching Plans, Experiences and Desires Qualified to teach: Material and Energy Balances Thermodynamics Kinetics Transport phenomena Heat and Mass transfer 73 Teaching Plans, Experiences and Desires Desire to teach: Nanotechnology - Nanomaterials Biorenewable Resources Advanced Topics in Biomaterial Manufacturing 74 Presentation Outline Introduction Vision for the Center Past research Future research Teaching plans, experiences and desires Concluding Remarks 75 Concluding Remarks Pulp and Paper State of the Industry Paper and Paperboard 1999: 105.3 MT decrease of 26% to 2014 Industry sectors: Corregated Containers 1999: 20.5 MT - no change for 2014 Newspaper 2002: 17.5 MT, decrease of 65% Printing and Writing Paper 2000: 33.1 MT, decrease of 39.4% Tissue Increasing on a per capita basis Data from the American Forest & Paper Association (AF&PA) 2014 76 Concluding Remarks Pulp and Paper Product Life Cycles Curve Pulp and Paper Industry needs new products/revenue streams 77 Concluding Remarks Pulp and Paper DuPont's Major Product Cycles DuPont has moved through three major product cycles in its 200-year history. The third cycle is just beginning. 78 Concluding Remarks Pulp and Paper New Products and Revenue Streams BioFuels BioChemicals BioMaterials Nanocellulose 3D Printing Lignin to carbon fiber (ORNL) 79 Thank You Any Questions? 80 80