Microchannel Fischer-Tropsch

Overview

IntroductionToday’s FT TechnologiesProcess Intensification ApproachesMicrochannel Fischer-Tropsch

Commercialising >20 yrs’ research at universityChemistry Department

Largest Chemistry Department in Western World and company founded by Head of Inorganic Chemistry

Well capitalised

Developing and commercialising catalysts for production of clean fuels

Based near Oxford, UK

Commercialising 15 yrs’research originating in US DoE National Laboratory (PNNL)

Founded by Battelle − world’s largest independent science & technology organisation ($4bn R&D p.a. / 20,000 staff / 130 locations)

Over $160m invested in technology to date, primarily by commercial partners

Global leader − largest microchannel process technology IP portfolio in world

Acquired by Oxford Catalysts in Nov-08

Based near Columbus, Ohio, USA

Oxford Catalysts Ltd. Velocys, Inc.

Critical mass: over 90 employeesPublicly traded (LSE: OCG)

Conventional FT Technology

FT Technology Today – Fixed BedKey Reactor Stats:– Weight: 1,200

tonnes– Capacity: 5,800

bpd– Diameter: 7m– Height: 20m– Reactor tubes: 29,000– Tube length: 12m– Tube diameter: 2.5cmFixed bed FT Reactors are

massive

FT Technology Today – Slurry Bed

--

Vapor ZoneVapor Zone

Slurry Bubble

(small catalyst

particles)

Vapor product

Liquid product

Catalyst/Wax

Separator

CatalystReturn

Syngas

Boiler Feed

Water

Slurry bubble FT Reactors among the largest in the world

FT Reactor during shippingCapacity = 15,000 bpdWeight = 2,200 tonsHeight = 60 mOuter Diameter = 10m

Process Intensification Approaches for FT

Microchannel Technology

~ 25-150 mm

Conventional

~ 0.1-1.0 mm

Characteristic dimension

Microchannel

Impact of TechnologyMicrochannel technology systems outperform conventional reactors–Accelerates chemical

processes by 10 – 1,000 fold

–Allows use of new, novel, more active catalysts

–Controls reactions at optimal conditions

–Enables smaller, more productive reactors

Microchannel Fischer-Tropsch Reactor Concept

-(CH2)n- + H2OCO + 2 H2

Water Water/Steam

Close integration of the exothermic Fischer-Tropsch synthesis and steam generation

0.1 – 5.0 mm

0.1 – 5.0 mm

MicrochannelReactor

Oxford Catalysts’ OMX preparation method produces a crystallite size

distribution 50% narrower than conventional, leading to more active and

stable FT catalysts

Co Crystallite Size

Freq

uenc

y

Low activity Low stability

OxfordOther

TestReactor

• Capacity: ~8 liters/day• Same fundamental design as commercial unit

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0 200 400 600 800 1000 1200 1400 1600 1800

Time on stream (hr)

Con

vers

ion,

Sel

ectiv

ity (%

)

170

190

210

230

250

270

290

310

330

350

370

Tem

pera

ture

(°C

)

CO Conversion

CH4 Selectivity

Temperature

36 bpd/reactor

44 bpd/reactor

28 bpd/reactor

Number up

Scale up

Critical dimensionsremain constant in

Velocys Technology

Microchannel FTPreparing for Market Entry

Commercial FT Reactor Assembly

Capacity = 300 – 500 barrels/day

Coolant Out - Vapor

Coolant Out - Liquid

(under shell - not shown)

Coolant In

Process Out

RepeatingUnits

Process In

Specifications• Shell Diameter = ~1.5 m• Shell Length = ~8 m• Coolant flow length = ~0.6m• Process flow length = ~0.6m

Comparison with Conventional FT

Catalyst Productivity Comparison

Reactor Productivity Comparison

0

2

4

6

8

10

12

14

0 2,000 4,000 6,000 8,000 10,000 12,000

Scale of Single Reactor (bpd)

Rea

ctor

Pro

duct

ivity

(b

pd/to

nne

- rea

ctor

wei

ght)

360 bpd MicrochannelReactor Assembly

Shell - Bintulu

Shell - Pearl

Sasol - Oryx

Demonstration Phase

Assured Aerospace Fuels Research Facility–Wright Patterson Air Force Base (Dayton, OH)–Phase I

Under construction Steam reformer + Fischer Tropsch + Hydrocracker ~100 liters/day of FT capacity

–Extensive fuel evaluation program

Velocys supplying microchannel FT reactor system

Velocys participating in key U.S. Air Force fuel demonstration

Air Force FT Project Schedule

Initial Test:– Operate on slip stream from

Güssing biomass gasifier– Timing: Early 2010

Long-Term Test– Begin upon completed

construction of new testing facility at Wright Patterson Air Force Base

– Timing: Early 2011

FT Reactor Field Demonstration Skid

FT Reactor Assembly

Wax SeparatorVapor Liquid

Separator

Coolant surge Tank

Coolant Pumps (2)

ZnO Bed

Coolant Water Filters

Product Drums

Flash Drums

2.5

M

4 M

~6 M

Electrical Controls

Control Panel

Velocys FT Demonstration Skid

FT Demonstration Skid currently being installed at Güssing biomass gasification facility for initial operation

FT Demonstration Skid currently being installed at Güssing biomass gasification facility for initial operation

Microchannel Hydrocracker PerformanceHigh throughput demonstrated. 10 – 30x conventional

Good selectivity and yield to diesel fraction – can be adjusted

Low gas production

High throughput takes advantage of higher reactivity of larger over smaller hydrocarbons

Carbon Number Distribution

0.0001

0.0010

0.0100

0.1000

1.0000

0 10 20 30 40 50 60 70 80 90

carbon number

mas

s fr

actio

n

feedproduct, 10 hr-1 WHSVproduct, 20 hr-1 WHSVproduct, 30 hr-1 WHSV

Hydrocracked Product Distribution

Summary

Microchannel technology + highly active catalysts greatly improve FT synthesisVelocys FT technology is one key to unlocking BTL opportunities

Thank you for your time and attention

Derek AtkinsonBusiness Development Director

Oxford Catalysts115e Milton ParkOxfordOX14 4RZ Tel: +44 1235 841700Email: