Highly Efficient Magnetocaloric Natural Gas Liquefaction (Final Report)

Abstract

Over the twelve-month project the following achievements were accomplished: • Liquefication of methane as primary component of natural gas was accomplished with a magnetocaloric liquefier (MCL) prototype. This was the first time an MCL was used to liquefy methane. • Improved MCL designs were completed. • Cooling to 135 K from room temperature was achieved for the first time in a single MCL stage with dual, reciprocating four-layer regenerators. • Techno-economic analysis for a multi-stage 5 tonne/day magnetocaloric liquefier was completed. The detailed thermodynamic analysis of this MCL design showed a figure of merit (FOM) of 0.6 was achievable. This is a ~2x improvement over current state of the art. • Cost of an efficient 5 tonne/day LNG multi-stage liquefier was projected to be ~$\$$3.1 MM for the 5 tonne/day MCL with achievable design assumptions. • Market study of U.S. merchant LNG demand by energy sector was completed showing that at beginning of 2019, total use was ~2.5 million gallons/day primarily in three sectors that was filled by ~20 small companies in the merchant LNG supply business producing ~2.3 million gpd. These data exclude LNG produced at dedicated peak shaving and large export plants. • Business case for MCL technology based on LNG market study was completed showing the high FOM feature of MCL reduces cost of plant power, and lower capital cost reduces debt repayment and plant depreciation operating expenses. However, today’s demand for U.S. merchant LNG in most sectors is satisfied with conventional technology. Further, with today’s extremely low natural gas (NG) feedstock costs (e.g., ~$\$$1.8/MMBtu), the cost of fuel for NG gensets and for LNG feedstock is already very low. Therefore, possible new merchant LNG liquefier plant developers anticipating demand growth in the transportation, industrial, and electricity generation sectors do not obtain sufficient cost benefits to adopt new, commercially unproven MCL technology. • Other market factors such as remoteness from existing NG pipelines, or unfilled or unsatisfied applications such as boil-off gas re-liquefaction in LNG vessels, or policy factors such as some form of emissions-related fees may make lower capital costs and higher FOM of MCL technology attractive for new small-scale (~50 tonne/day) LNG plants. Two potentially attractive niche markets for MCL technology were identified: i) re-liquefaction of boil-off gas from large LNG transport vessels where severe transport conditions are problematic for conventional technology; and ii) providing LNG in distributed-scale plants that eliminate road transport costs to meet diverse, smaller-scale, distributed LNG bunkering fuel demands. By eliminating significant cryogenic tanker delivery costs and create an attractive cost-savings benefit with small-scale MCL plants.