synthetic.gas - SyntheticNaturalGas(SNG:Technology...

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Synthetic Natural Gas (SNG): Technology, Environmental Implications, and Economics Munish Chandel Eric Williams Climate Change Policy Partnership Duke University January 2009
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Synthetic Natural Gas (SNG): Technology, Environmental Implications, and Economics Climate Change Policy Partnership 2 Contents Abstract . ...................................................................................................................................................... 3 1. Introduction. ............................................................................................................................................ 3 2. Coal‐to‐SNG Technology. ......................................................................................................................... 4 2.1. Brief Description . .............................................................................................................................. 4 2.1.1. Steam‐oxygen gasification. ........................................................................................................ 4 2.1.2. Hydrogasification. ...................................................................................................................... 6 2.1.3. Catalytic steam gasification . ...................................................................................................... 6 2.2. Thermal Efficiency of SNG Plants. ..................................................................................................... 7 2.3. Great Plains Synfuels Plant: An Existing SNG Plant. .......................................................................... 7 2.4. Recent Developments in SNG. .......................................................................................................... 8 2.4.1. Research and development in SNG . .......................................................................................... 8 2.4.2. Commercial SNG plants planned in the U.S. .............................................................................. 9 2.5. Use of Biomass for SNG . ................................................................................................................. 10 3. Environmental Implications and Economics of SNG. ............................................................................. 11 3.1. Environmental Implications of SNG. ............................................................................................... 11 CO 2 Emissions . ................................................................................................................................... 12 3.2. Economics of SNG. .......................................................................................................................... 13 3.2.1. Cost of SNG. ............................................................................................................................. 14 3.2.2. Effect of coal type and coal price. ............................................................................................ 15 3.2.3. Effect of carbon price allowances and CO 2 sequestration on SNG cost . ................................. 15 3.2.4. Cost of bio‐SNG. ....................................................................................................................... 17 3.2.5. Effect of biomass price . ........................................................................................................... 18 4. Conclusions. ........................................................................................................................................... 19 5. References . ............................................................................................................................................ 19
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Synthetic Natural Gas (SNG): Technology, Environmental Implications, and Economics Climate Change Policy Partnership 3 Abstract Increasing demand for natural gas and high natural gas prices in the recent past has led many to pursue unconventional methods of natural gas production. Natural gas that can be produced from coal or biomass is known as “synthetic natural gas” or “substitute natural gas” (SNG). This paper examines the different technologies for SNG generation, the cost, and the environmental impacts of SNG. The paper identifies the conditions under which SNG production could be economically viable. The different pollutants can be better controlled in the process. The sulfur is emitted as hydrogen sulfide (H 2 S) and can be removed in the acid gas removal (AGR) system. CO 2 is a byproduct of the coal to SNG process. In a low‐carbon economy, the development of the carbon capture and storage would be one of the critical factors in the future development of SNG. In the absence of carbon capture and storage and with carbon allowance price in future, the SNG could be expensive and may not be economically viable. Higher natural gas price and selling of CO 2 to enhanced oil recovery could make the SNG economically viable. 1. Introduction Energy demand is increasing across the globe. Fossil fuels, primarily coal and natural gas, are the major sources of energy worldwide. The United States has abundant coal resources: it contains 25% of the world’s coal reserves, and the energy content of those reserves exceeds the energy content of the world’s known recoverable oil (DOE 2008). Still, increasing consumption—and the resultant increasing price—of natural gas are a concern. According to DOE (2008), 90% of new U.S. power plants will be natural gas–fired plants. The ever increasing demand and high price of natural gas in recent past has led researchers to consider alternate methods of natural gas generation. Converting coal to natural gas could satisfy the demand for natural gas while utilizing the United States’ abundant coal resources.
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synthetic.gas - SyntheticNaturalGas(SNG:Technology...

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