Making Coal Relevant for Small Scale Applications: Modular Gasification for Syngas/Engine CHP Applications in Challenging Environments

Abstract

This Front-End Engineering Design (FEED) study is funded by the US Department of Energy (DOE), and managed by the National Energy Technology Laboratory (NETL) through a Cooperative Agreement awarded to the University of Alaska Fairbanks (UAF) to perform a technical and cost study for the design and installation of a Hamilton-Maurer International (HMI) gasifier for generating a clean syngas for firing in reciprocating engines. An existing diesel engine generator (DEG) and a commercially available spark ignition engine are used to generate electricity with the low-Btu syngas. Other than the HMI gasifier, only commercially available technologies were assumed for this study. An important objective of this design study was to estimate capital and operating costs of small modular coal and coal/biomass fired generating units to provide wind regulation services. Although this study is based on retrofitting an existing coal fired power plant with the HMI gasifier, sufficient data was developed to characterize greenfield units. The original concept was to provide clean syngas and tars/oils from the gasification process to the existing Colt-Pielstick PC2.6B diesel engine generator (9.6 MWe) installed at the UAF Atkinson Power Plant. The intent was to convert the diesel engine to operate in a dual fuel mode, firing both syngas and tars/oils. As the project progressed, Fairbanks Morse Engine (FME), current licensee for the Colt-Pielstick engine line, was not able to develop a modification package for the engine to allow for syngas firing. Although this type of modification is available for firing natural gas, the capability does not extend to syngas. Western Energy Systems, distributor for Innio Jenbacher, was able to offer the Jenbacher Model JMS620 engine. After review of available options, the project team selected a design configuration using two Jenbacher engines rated at 1965 kWe each to fire the syngas, with the oils/tars directed to the Colt Pielstick diesel to be blended with ultra-low sulfur diesel oil (ULSD). The Jenbacher engines are expected to operate at continuous base load, with some load-following ability, while the existing diesel engine will operate in grid support service, with loads varying from a nominal 25% to 100%. An annual capacity factor for the diesel engine is projected to be between 50% and 60%. The overall gasifier and gas clean-up system is sized to produce enough syngas to adequately fuel three Jenbacher Engines for a nominal power output of 5.9 MWe, but this study assumes that only two Jenbacher engines will be installed due to space constraints in the Atkinson Power Plant, and because of expected air emission permit limitations. There is still potential that the excess syngas capacity equivalent to about 2 MWe could be used as supplemental fuel for the DEG. The exhaust from the Jenbacher engines is passed through heat recovery units to generate low pressure steam, thereby providing a significant portion of the steam required for operating the gasifier. The overall performance of the HMI gasifier/engine configuration is summarized as follows: 1) Overall electric efficiency, Jenbacher and diesel engines, based on gasifier fuel production (syngas and pyrolysis liquids) is 35.2% LHV, 2) Overall cogenerating efficiency (electricity plus steam), based on gasifier fuel production (syngas and pyrolysis liquids) is 54.8% LHV, 3) Overall electric efficiency, Jenbacher and diesel engines, based on coal input, is 29.6% LHV, and 4) Overall cogenerating efficiency, electricity plus steam, based on coal input is 46.0%. This project is estimated to have a Bare Erected Cost (BEC) of $\$$ 33.4 million and a Total Plant Cost (TPC) of $\$$ 45.7 million. Based on the original scope, sending both the clean syngas and the oils and tars to the existing diesel engine, the BEC and TPC values would have been $\$$ 23.3 million and $\$$ 32.1 million, respectively. A variable Cost of Electricity (COE) is calculated to reflect only those costs that will be incurred by incremental operation of the system for the HMI gasifier/Jenbacher engine combination. Operation of the diesel engine is determined separately. The variable COE values are: Case 1: 100% Usibelli Coal: (a) HMI gasifier/Jenbacher Engines -- 8.3 cents/kWh; (b) Diesel Engine -- 20.2 cents/kWh, and Case 2: 80% Usibelli Coal + 20% wood chips (proportion based on Btu input, LHV basis): (a) HMI Gasifier/Jenbacher -- 13.7 cents/kWh; (b) Diesel Engine -- 20.2 cents/kWh. The incremental cost of operating the gasifier/Jenbacher system increases with co-firing of wood chips due to the high cost of this material, over five times as costly as Usibelli coal delivered to the Atkinson Power building. The diesel cost is constant as the oils and tars are priced at the same value as the ULSD for the purposes of fueling the diesel engine. Section 8 of this report provides details of the O&M costs. The overall power system is configured to be modular and scalable to provide a wide range of generating capacity using the same components. This allows for reduction in cost, risk, schedule time to engineer and construct, and provides some degree of repeatability for air permitting.