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ANALYSIS OF THE MARKETFOR A NEW FROZEN COALRELEASE DEVICE

December 1981

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NATIONAL AERONAUTICS AND SPACE ADMINISTRAiTIONTechnology Transfer DivisionCode ETT6

Washington, D.C. 2054b iI

Attention: Ray L. Gilbert

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SRI International333 Ravenswood AvenueMenlo Park, California 54025(415)326-6200

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Approved:

Robert S. Ratner, Vice PresidentSystems Consulting Division

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ANALYSIS OF THE MARKETFOR A NEW FR OZEN COALRELEASE DEVICE

December 1981

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Prepared for:

NATIONAL AERONhUTICS AND SPACE ADMINISTRATIONTechnology Transfer DivisionCode: ETT6

^--^^------^^ Washington, D,C. 20546

Attention: Ray L, Gilbert '

Contract NAS2-10143

International

PREFACE

The contributions of the National Aeronautics and Space Administra-tion (NASA) to th- advancement of the U.S, technology base are broader,more complex, and in some cases more indirect than the public may real-ize. The NASA contributions to advances in aerospace technology havebeen numerous. The transfer of these technologies to other scienti-fic fields is under way.

These transfers have been made possible, in part ) by NASA's Tech-

nology Utilization office. This office has been successful in expeditingthe transfer of aerospace-derived technology for the solution of impor-tant technological problems in the areas of public transportationmaterials, housing, the environment, and biomedicine. To a- in

achieving this transfer of knowledge, a Technology Applicati4^ i'eam(TATeam) has been established at SRI International. This tea,; worksactively in specified areas of public concern, helping to match problemsand solutions -and following through to ensura the most efficient utiliza-tion of the transferred technology.

The SRI TATeam is concerned with problems in transportation, publicsafety, environmental protection, biomedical engineering, and agricul-ture. Membeis of the team routinely work with representatives of indus-try, government, and private and public associations. In addition, theteam maintains continuous contact with NASA's scientific community in itsefforts to bridge the gap between the technological needs of the user andthe available technology or expertise at NASA. This market study wasconducted to examine the feasibility of the transfer and commercializa-tion of an aerospace technology for the railroad and electric powerindustries.

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ACKNOWLEDGMENTS

The author thanks all those who contributed their time, knowledge,and suggestions to this market analysis. Particular thanks are extendedto Mr. Melvin Lucy and Mr. Les Rose at Langley Research Center and Mr.Jim Wilhelm at SRI Itt,ernational for their comments and contributions.

PRI;CIyDINGc k'AZG4 131^iNX Nb`i~ FPM ^'10

CONTENTS

I REWACF. . • . . . . . . • . . . . . . . . • . . • • . • . . « • . . iii

ACKN014 LEI) GML NTS . . • • • . . . • . v

LIST OF ILLUSTRATIONS . . . . . . . . . . . . . . . . . . . . ix

I INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . 1

11 CONDITIONS THAT CON` HI13U` E' TO COAL. FREEZING . . . . . . . . . . 3

III COSTS OF FROZEN COAL. HANDLING . . . . • . . . . . . 7

IV Tll;'1HODS USED FOIL COATS HANDLING DURING FRE'ELINt; WEATHER . . . .

ClIelltica l(9

Ileat and Vibration • • . . • . . . • 11Mechanical and Other . . . • . . . 13

V NASA-DESIGNED GAS DETONATION LANCE • . . . . . . . . . . 19

VI MARKET INFOl MA'1r ION . . . . . . . . . • . . • 23

AlI VENDIX - COMPANIES CONTACTED DURING TATcam SURVEY . • . . • 25

vii

1

2

3

PRECEDING PAGE B ANK NOT Fff;WD

ILLUSTRATIONS

Coal Use in the United States by State 4

Coal-Producing Areas . . . . . . . 5

Thirty-Year Averages for Maximum/Minimum Temperature DuringDecember Through February . . . . . . . . . . . . . . . . . 6

4

Thaw Shed Heating Element Configuration r . . . . . . . . . . . 12

5

Areas Commonly Left Unthawed on Hopper Cars . . . . . . . . 12

6

Shaker and Vibrator . . . . . . . . . . . . . . . . . . . . . . 14

7

Car Hoe . . . . . . . . . . . . . . . . . . . . 0 0 15

8

Hopper Popper . . . . . . . . . . . . . . . . . 15

9

Vibrating Hammer . . . . . . . . . . . . . . . . . . . 17

10

Galloping Gertie . . . 6 . . . . . . . . . . . . . . . . . 17

11

NASA Gas Detonation Lance - Schematic . . . . . . . . . 20

12

NASA Gas Detonation Lance - Assembly . . . . . . . . . . . . 21

ix

I INTRODUCTION

The demand for inexpensive, aiternative forms of energy to lesser,U.S. dependence on foreign oil imports has created a renewed emphasis onthe development of domestic coal reserves. Low-sulfur coal fields in theWest are being developed, oil is being deemphasized as a primary fuel formajor power-generating companies, and the conversion to or constructionof coal-burning power plants is occurring. New cl)al utilization tech-nologies, such as fluidized bed combustion, co,nl ,gasification, and coalliquefaction, have also increased demand for coal. In view of thisemphasis on coal as a major energy source, coal production has increasedand is expected to reach 1,197 million tons by 1985, with rail ship-ments of 753 million tons anticipated.+

These increases in the demand and production of coal have requirednew developments in handling. New railcar designs for rapid unloading,unit trains dedicated to shipping only coal to large-quantity users, andnew lines to reduce the distance traveled between mines and new utilityplants have all been implemented in the last decade. Let one problemcontinues to hamper unloading during winter months: the freezing of coalduring shipment. Almost all producers, haulers, and users of coal in theNortheast and Midwest have encountered this problem because ambient tem-peratures of 32 0F or lower are prevalent in these areas during the win-ter; in addition, most of the coal they use originates from eastern malesand is hauled on northern routes.

Coal is used extensively in the Northeast and Midwest by utilities,industry, and residential customers who require regular deliveries oflarge quantities of coal. However, it is the electric power generationplants, which use 80% of all the coal produced, that are most affectedby the coal freezing problem. This industry must pay the cost of in-creased labor for unloading frozen cars, maintenance costs for overworkedequipmenh, and demurrage charges for holding cars longer than anticipa-ted. If coal shipments are frozen, the utilities must also buy electri-city from other sources or buy coal on the spot market (usually at higherrates). According to SRI figures, these costs amount to $15 millionindustrywide.

xNational Transportation, June 1979.

i`Predicasts Forecasts, 1981 Annual Cumulative Edition, Issue No. 84,July 27, 1981.

Derivation of this figure is explained in Section III, Costs ofFrozen Coal Handling.

Methods the industry currently uses to unload frozen cars includeapplication of heat, vibration, chemical treatments, and specializedmechanical devices. No one method has gained overall industry accep-tance, but there is an established trend toward the use of chemicals andheat. This comb 4 nation is most effective when used with bathtub gondolacars and rotary dumping, which are not available at all user locations.

Industry research to solve the problem of coal freezing has beenhampered by the fact that three independent industries--mines, railroads,and end users (i.e., utilities)--are affected by coal freezing in differ-ent ways. Uncoordinated research efforts are sponsored by each industry,resulting in solutions that require action and expenditure by the othertwo. In addition, because of the seasonal nature of the problem, it isconsidered of low priority by most managers so that funds for researchor for implementation of solutions are often unavailable. As one rci1-road executive said, "When the weather is nice, no one thinks to try, andrepair the roof and when the rain comes, it's too wet to get up on theroof and fix it."

The problem of coal freezing during shipment was brought to the SRITATeam's attention 3 years ago. Three railroads (tile Bessemer and LakeErie Railroad; the Duluth, Missabe and Iron Range Railway; and theIllinois Central Gulf Railroad), the Office of Mining/Coal Preparationof the Department of Energy, and the Electric Power 'research Instituteprovided information on the scope and extent of the problem as well astechnical background information. Using this information, the SRITATeam prepared a problem statement and disseminated it to the 10 NASAfield centers. The TATeam received 15 suggested solutions. The sug-gestion of a controlled gas detonation lance from a pyro/propulsi.onengineer at NASA Langley Research Center was viewed as the most practi-cal by industry sources and has since been funded by NASA for a feasi-bility demonstration.

The purpose of this study was to explore the market demand for theNASA-designed controlled gas detonation lance and to identify competitiveproducts or processes. Section II provides information on the conditionsthat cause coal to freeze. Costs to the industry are outlined in SectionIII, and current products or process used to handle the problem are dis-cussed in Section IV. A description of NASA's controlled gas detonationlance, including the estimated cost of assemLly, is presented in SectionV. Section VI covers the market demand for the lance and comments aboutmarket penetration.

2

II CONDITION13 THAT CONTRIBUTE TO COAL FREEZING

'Cite freezing of coal is a function of many conditions. Surfacemoisture, particle size, ambient temperature, and travel time all con-tribute to the problem. Coat itself does not freeze: The moistureretained within the pores on the surface of coal provides the water forfreezing. As this surface moisture freezes, it creates ice crystalsthat bridge the gap between the coal particles and bind them togetherand to the side of the railcars. The washing of coal to control dustduring handling and the moisture inherent in coal contribute to surfacemoisture levels, which average 5 to 7%. particle size is another signi-ficant parameter. Coal fines present more surface area= avid tend to fillthe voids between larger coal particles, which facilitates bridging byice crystals. I,arge pieces--i.e., one-half inch or larger--cannot settlens closely together, making the distance between particles farther andthe ice crystal bridging weaker.

An ambient temperature of 32 0E or lower will cause freezing incoal cargoes. The lower the temperature, Mie greater the probabilityof extensive freezing. Compounding the problem of ambient temperatureis the temperature of the coal and the car at time of loading, As moistcoal is loaded into cold cars in freezing temperatures, a heat-sinkeffect occurs. The energy of the wane coal (above 32 0F) is draws,toward the cold steel of the car sides, creating an ice bond betweencoal and car. During shipment, these ice bonds penetrate Farther intothe cargo as coal is cooled by the ambient temperatures. The longer theshipping or travel time, the more extensive the ice bridging.

As Figure 1 indicates, the majority of coal is used in the North-east and Midwest regions of the United States. Approximately 279 millionshort tons are consumed annually by utility, industry, and residentialcustomers. This coal is supplied both by the established eastern minesin Pennsylvania, Virginia, Kentucky, and West Virginia and, increasingly,by the western mining area of Wyoming, Colorado, and Montana (see Figure2). Most of this coal is shipped by northern railroad lines. DuringDecember through February, the minimum temperatures in the coal-producingregions are 32 0F or less, with temperatures in a lrrge section neverrising above freezing (see Figure 3). Coal shipments during this periodare approximately 230 million short tons, or 2.3 million car loads.According to northeastern and midwestern utilities, 4% of all shipmentsfreeze. This represents a freezing rate of 92,000 cars per year.

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III COSTS OF FROZCM COAT., HANDLING

The principal costs associated with frozen coal, handling axe forlabor, maintenance, demurrage, unit deratings, and coal replacement. Atthe 1980 National Conference and Workshop on Coal Freezing, Mr. RichardVoytas, fuel buyer for Union Electric Company, St. Louis, Missouvi, dis-cussed the effects and magnitude of these ^osts on operations at UnionElectric during an extreme winter (1976-77). Ile stated that the recordsmaintained on a Union Electric power plant consuming 20,000 tons of coalper day indicated that labor costs tripled during that winter because ofcoal-handling problems. The additional labor costs totaled tens ofthousands of dollars per month.

Mr. Voytas indicated that increased maintenance costa also were inthe range of tens of thousands of dollars per month. The costs rose be-cause of increased use of mobile equipment to push coal from the stock-pile into the storage area, increased wear on belts handling large frozenchunks of coal, and car damage caus ed by heating and sh aking•

Demurrage charges increase when a train must be held in the yard".vka^r than the unloading time stated in the applicable tariff. These,,Nk ges vary depending on the tariff. Demurrage charges on frozen coaltrains are assessed according to the general car demurrage rules asstated in Freight Tariff PHJ-6004. The demurrage charges quoted in thattariff, once the unloading time has expired, are: $20 per car per dayfor each of the first 4 chargeable days; $30 per car per day for each ofthe next 2 days; and $60 per car per day for each subsequent day. Mr,.Voytas said that Union Electric paid demurrage charges of about $400,000for a completely frozen western unit train that was stored for 69 daysduring .he winter of 1976-77.

He believes, however, that unit deratings can constitute the majorutility costs from frozen coal. According to Mr. Voytas, on a day whenthe average temperature was 40F, a Union Electric generating stationthat was capable of producing 1,800 MWe had to reduce its capacity by375 MWe because of frozen coal. The cost of replacing this power duringthe 24-hour period was $155,000.

Mr. Voytas explains "coal replacement costs" as follows:

Let us assume that a generating plant consumes X tons of coalper year and that all of that coal is under long-termcontract with one source. Also, let us assume that themanagement of the utility desires to maintain a coal

7

inventory at a rather high level, in anticipation of asummer-peaking season. If the mine cannot store coal andcannot ship any coal because all the railcars are in storagewith frozen coal, the utility may be forced to go to the spotmarket to replenish their coal supplies, The spot marketdelivered price for coal probably may be much higher than thelong-term contract price, depending on market conditions.

Assuming that 9.2 million short tons of coal is affected annually byfreezing, an estimated $15 million is spent each year in handling frozencoal. This figure includes coal pretreatment, the cost of unloading afrozen car, and demurrage charges and is based on the SJU TATeam's surveyof coal handlers and users.' ` The utilities the TATeam surveyed repor-ted that their frozen coal shipments totaled 1.2 million short tons andthat they spent $2 million a year on coal freezing problems, or $1.67 perton. Multiplying that cost by the estimated industrywide figure of 9.2million tons produces the $15 million figure. These costs are histori-cel and are based on two relatively mild winters (1979-80 and 1930-81),during which frozen coal handling costs were low.

"The list of handlers and users contacted is appended.

8

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IV MKrlltlp ,i 1161:11 Volt tloAl. 11AN1)UNt1 DURING 1100', ING W1aiMU4M

The methods that have been devised for handling froze" coal varyfrom rotary den ►rplog (rotating a car 100 ) to having workers manuallychip fro4on coal from the aides of hopper earn. In thin aectioo, thevarioon methods currently used to handle froxacrn coal arc described andaaaeaaaced relative to costa, effeet:i,venesa, and aadvauatallen and di,an4vatl-taallen. Table I aummarkes the information presented. For Islas.°poses ofdiscussion, theae mothodta have been divided into three catetlorionachemical, hoot and vibration, nod moohauaical.

MAWThe "so"so of aallaenta MAO for prevention of POOL

l'>°ctozioa haa,s Won incrcy aa: iog. one WNW has a otiLUtOd then policythat all coAl. shipped tzar its lines moat he troaatod by some form of VGAfrom December through ROOM. Tho VOA must lacy Wed before ahi,pnaoaatAnd mixed in thoroughly with the cargo to a{ oure Wontivenona. Spray .saloc€aura at the loading sate, with nor, oo bolog added around the conveyorholt s that carry coal to the cars. 'Plata capi "al coats for applicationequipment vary with sizes and individual aW reguiromenta. The coat ofbuilding an application aayatem with the miaw=m componeuta aaa approxi-►►wately $11,000. This Waludja storago tames, spray aror,.lcea, pumps, ,Clownmotorxa, And pressure 11au11ea.'^

1'resaura e^i FCA in sprayed at Kafferoot points, usually at placeswhere the coal in oumbling or turning touch as where two conveyor beltaWteraect and as the coaal in being ctw ►►►rpov into as car). This aal,lown forbetter Metal coverage with small amount of VQA. Application Woo varyfrom WS to 4pint o per ton of coal, with 2 pinta pox torn oonai,dered themoat eC octi.vte. The most common bases for VQAs are glycol, oil, antCOMM chloride, glycol is the moat widely "sees.

t,lycol-ba ►wed VQAS are water' soluble And thus matt' HIM if exposedto rain or avow in ohipmeant. An unusually high mointuro content in, aload of coal requires a heavier VCA application rate. The wrago coatranges from $l to $1.50 per ton, or $100 to $150 per loo-ton carload.

'National Conference and Wortcahop on coal FrectRIA, Electric rowerResearch Institute, 1980.

9

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Oil-based FCAs are not widely used, but they do not dilute in rain.Their effectiveness, however, is limited to temperatures above OoF,below which freezing will commonly occur. No shippers contacted wereusing an oil-based FCA, but the cost was considered to be similar tothat for glycol.

Only one utility, Detroit Edison, is currently using products witha calcium chloride (CaC12) base. An unconfirmed industry belief isthat CaC12 promotes corrosion in railcars and boilers. Detroit Edisonmaintains that the small amounts used have not presented a problem forits equipment. Should coal freeze to the sides of a car, Detroit Edisonwashes the car out with a CaC1 2 solution that has proven to be effec-tive at removing residue from the sides. Once treated, cars have re-portedly dumped clean as many as three loads later. Costs of CaC12are similar to those for gycol.

An inherent problem with use of FCAs is predicting when they shouldbe applied. With varying weather conditions and mild winters, not allloads need be treated. Some utilities use long-range weather servicesto predict need; some base their application decisions on the weather onthe day of shipment; and others are required by their haulers to treatthroughout the winter months.

Heat and Vibration

The traditional combination of heat and vibration to free frozencoal has evolved from the practice of lighting fires under cars andstriking the sides with mallets to use of large electric or gas thawingsystems and mechanical shakers/vibrators. The former system of thawingfrozen cars by keeping them in large buildings (thaw sheds) overnighthas given way to the skin tliawing system, consisting of electric orgas-fired infrared radiant heaters that use high temperatures (1,400 to1,6000F) for short periods (3 to 6 minutes). In skin thawing sheds,heat is used to melt the ice bonds between the car walls and the coal.Heat penetration of 5 to 12 inches is normal and is considered optimumbecause it is sufficient for dumping (especially rotary dumping) andbecause obtaining any further heat penetration is costly and time con-suming. As the ice near the surface and walls of a car melts, thethermal conductivity drops, hampering further penetration. Temperaturesat the car surface are limited to 300 to 3500F (higher temperatureswill melt brake tubingg and couplings), so further heat penetrationwould require longer heating times, which are not desired by industry.

Frozen cars are passed through a series of heaters positioned onthe sides and below the car, as shown in Figure 4. This allows for themaximum transfer of heat in a minimum amount of time. The cost ofelectric heating units, the most commonly used, can range between

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4

ORIGINAL PAGE IS

OF POOR QUALITY

COAL HOPPER

THAWCAR

SHED

HEATINGPANELS

SOURCE: Ford, Bacon & Davis

FIGURE 4 THAW SHED HEATING ELEMENT CONFIGURATION

SOURCE: Ford, Bacon & Davis

FIGURE 5 AREAS COMMONLY LEFT UNTHAWED ON HOPPER CARS

12

0

$35,000 and $63,000' per cur length, not including building costs.Depending on the type of car and dumping patem, the energy used to thewa car ranges from 2.5 to 7.0 Wh per ton.' This equates to a cost of$14.22 to $39.133 per 100-ton car load. (Thu utility rate used is basedon an average of the northeastern area.) In hopper czars, which haveinterior structural supports and posited floors, heat convection is notstrong enough to melt the bonds between car surface and coal in all.areas. Figure 5 shows the typical pattern of frozen coal left behindafter thawing. Discharge vents remain blocked by frozen coal, which►,gust be broken up, usually with vibratora, ahakers, or in some crisesmaanatal labor.

Vibrators/shakers are electric or pneumatic devices (see Figure 6)that are lowered into or attached along the side of the car and physi-cally ,jerk the car and its contents to enhance the -flow of coal. Kola-tively inexpensive ($11,000 per vibrator) compared with the capital costof thawing sheds, vibrators are often used year-round to speed the .flowof coal from conventional hopper cars. Vibrators can structurally weakencars, however, especially after heating, lowering the useful life expec-tancy of the cars. Other physical damage (e.g. ) dents) has been attri-buted to vibrators, but statistics of occurrence have not been kept.

Mech anical and Other

Mechanical unloading devices are m m ►only used to dislodge frozencoal from railcars. ':these devices range in sophistication from baekhoes,temporarily mounted on tracks above the car, to pressurized devices thatblast the coal loose. Many are one-of-a-kind, "homemade" remedies basedore commercialized products or designed by the company engineer. Amongthose. most commonly used are the baactthoe, carhoe, hopper Popper, vibra-tiny; hammers, and galloping gerties,

Backhoes and carhoes (sue Figure 7) area ca►mioaaly used by small coalconsumers 0io do not have a significant freezing problem or considerablecapital investment backing. The mechanial arm of the hoe scrapes frozencoal f=rom the side of the car and .forces it out the bottom doors. Theerink of da ►sage to the car is high with this met"rod, but capital costs($12,000) are low aand the equipment can be used year-round. Low opern-ting coats (one operator) also make this ,in attractive alternative 'ahand labor or demurrage charges.

Pressurized air exerting a localized force on the ice bonds, caus-ing them to break, is the principle behind the Hopper Kopper (shown inFigure 8). Using augers mounted on towers above the track, holes aredrilled into the frozen coal. With remote controls, pressurized air

*"Survey of the State of the Art of Coal Handling During Freezing,Weather," lord, Bacon & Davis, New York, New York, April 1981.

13

HOIST

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SOURCE: Ford, Bacon & Davis

HOSES v

ORIGINAL PAGE 19OF POOR QUALITY

SOURCE Ford, Bacon & Davis

FIGURE 6(a) SHAKER (Large Vibrator)

FIGURE 6(b) VIBRATOR

14

TOWER OPERATOR

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MGMAL PAN MOF POOR QUALITY

SOURCE: Ford, Bacun & Davis

FIGURE 7 CAR HOE

SOURCE: Ford, Bacon & Davis

FIGURE E HOPPER POPPER

15

(1,000 to 5,000 psi) is then shot into the hole, breaking the ice bonds.This system requires one laborer, devoted full time, and power to main-tain the pressurized air. Although reportedly effective, this system'scost (for a three-drill unit, $125,000) has limited its acceptance byindustry.

The vibrating hammer shown in Figure 9 and the galloping gertie(Figure 10) are similar in design and operation. :Both use probes madeof I-beams attached to a vibrator and lowered into the frozen cars bycrane. The differenc4. between the two systems is in the number ofprobes. The vibrating hammer consists of one probe, while the gertiehas 30 at measured lengths to conform to the bottom of a hopper car.The effectiveness of these two systems has not been documented, and thefive units built by the Chesse System have never been used because ofthe mild weather during the last two winters. Chesse was unwilling todiscuss construction costs.

16

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ORIGINAL PAGE ISOF POOP ^ "WTY

SOURCE Ford, Bacon & 11nvi* SOURCE Ford, ba uti 6 Usvn

FIGURE 9 VIBRATING HAMMER FIGURE 10 GALLOPING GERTIE

11

017101NAL P'AGI^ 13OF POOR Q jA,1'ry

V NASA-DESIGNED GAS DETONATION LANCE

The principle underlying the NASA-designee gas detonation lance isthat the shock waves created by the detonation of a small ar-ount of acommon fuel (e.g., acetylene, p,:opane, butane, methane, hydrogen) thathas been mixed with oxygen--or air--in a combustion lance, an4' in theaggregate, will break the ice bonds between frozen coal nuggets. Withthe incorporation of a series of valves, the fuel and oxidizer, initiallycontained in fixed volumes at known pressures, can be mixed safely in thecombustion lance and indroduced into the frozen aggregate. The mixtureis then detonated, remotely, via an electric ignition circuit to createa series a,- small, localized shocks in and around the frozen coal.

Identical fuel and oxidizer supply systems are tencased in a lance(or auger or drill) that is caused to penetrate the frozen aggregate toa predeter !nined depth. The control mechanism ( see Figure 11) is placedin the first position, which closes the downstream valves and opens theupstream valves. This permits the gases to flow from the regulated sup-pries into the faxed volumes. When a preset pressure level is reachedin the fixed volumes, the control mechanism is switched into the secondposition, which closes the upstream valves and opens the downstreamvalves. The gases flow past the one -way check valves into the predeto--nation chamber where they are mixed. The mixed gases then flow into theaggregate, displacing air. The control is then placed in the thirdposition, which ignites the mixture via an electrical spark dischargecreating a localized detonation that sympathetically detonates the smallpockets of mixed gas in the aggregate. The latter shocks are expectedto have the major effect in loosening the frozen coal. The lance isthen removed, repositioned, and the process repeated until the cargo issufficiently fragmented to ^ ,,,rmit dumping. An assembly drawing of aprototype lance appears in Figure 12.

The cost of fabrication of the demonstration system, includinghardware and technician time for assembly and checkout, i s projected tobe $5,193 to $5,693 per unit. Table 2 lists the hardware componentsused in construction of the prototype at LRC and their prices. Thesecosts are not to be considered typical of a commercially designed andmanufactured system because most of the purchased parts are high-quality, R&D types of items that are intended to be used on other LRCprojects; hence, their cost is higher than that of corresponding com-m^.rcial parts. Labor cost estimates of $540 to $1,040 are based on anhourly rate of $9 to $ 13 for a senior technician working 'between 60 and80 hours to complete assembly and checkout of the lance,.

19

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Table 2

HARDWARE FOR THE DEMONSTRATION NASA LANCE SYSTEM

Unit QuantityDescription Cost Required Total

Marotta 1/4-inch N.C., two-way, two-position,solenoid-actuated, 24 Vdc, 110 Vac, direct-acting magnetic, 3000-psi valves. ModelNV100, Part 206003 $ 285 4 $1,140

Marotta 1/4-inch flow check valves, Model 3 10250 2 2,500

Smith F1owriieters, Models 111230 and H1251A(not required for a commercial system) 50 2 100

W114 hay Sample. Cyl ind— Bottles o 3785 cc,Model 304-HDF8, 1 gal. 231 2 462

Victor Welding Cylinder Truck, ModelCTR-514-1T 85 1 85

Victor Heavy Duty Deluxe JourneymanGas Welder Outfit 299 1 299

Victor Model 12-T2 and Model 320 StraightNozzle and Handle Extension (not re-quired for a commercial system) n7 1 67

$4,653

Source: Langley Research Center.

22

VI MARKET INFO10 ATIUN

The market demand for the controlled gas detonation lance is esti-mated to be at least 10 units. This estimate is based on the TATeam'ssurvey of northeastern and midwestern utilities, which use a combinedtotal of approximately 42.5 million short tons annually, 32.1 millionshort tona of which arrive by rail. Combined, these utilities' freezingproblem amounted to about 4% of the total coal shipments received byrail, or 1.2 million short tons. Of the company representatives sur-veyed, three expressed possible interest in four lances as an emergencytreatment, contingent on cost figures. This represents a market of 1.3lances for every 1.2 million tons of coal that arrive frozen. Using theestimated industrywide figure of " 2 million short tons, the estimatedfigure of 10 units is obtained.

Several factors limit further expected market penetration: theseverity of previous iv1 ►t4ers, industry prejudice, and speed of opera-tion. Should the severity of the winter of 1981-82 continue, coalhandlers' interest in new methods of unloadi+g frozen coal cars isexpected to increase proportionately. Because the two previous winterswere mild, coal freezing problems were slight. This caused industryconcern to lessen, and interest in developing or acquiring new methodsor products to deal with frozen coal cars also waned. When the TATeamcontacted them in early fall 1981, coal users expressed little interestin the development of a new frozen coal loosen.er. Most of them hade,,tabliahed a coal treatment program involving chemicals and heat thatwas effective for the relatively mild winter temperatures. The TATeamcontacted 42% of the participants of the original survey after the winterbegan to determine whether the use of FCAs had helped limit freezing.In only one instance, when a heavy rain had been followed by a severefreeze, did any problems occur.

The systems adopted by the industry during this period are repre-sentative of industry attitudes toward coal freezing and innovation.Coal-using industries tend to be conservative and traditional in theirapproches to probleme. The heat and vibration method used today is anatural progression from the fires and manual labor of yesterday. Pastdevices using explosives or explosions to break up ice bonds were notwidely accepted by the industry, a reflection on the lack of controlover the size of detonation (more than one car had been blown apart).

23

In general, the industry seems willing to adopt any proven method ofsolving it problem that costs less than the problem. The proof requiredis successful tine in the field by a major company for a year or longer.Even this, however, does not guarantee acceptance. The Hopper Popper,developed by a railroad as the answer to the frozen coal car problem,has never gained the industry acceptance expected. Capital and opera-ting costs are cited by most an reasons. however, even companies whosecoal freezing costs them more in bad years than the hopper Popper havenot accepted this innovation. Another reason sited for lack of accep-tance has been the time involved. Large coal using operations requiredumping a car every minute. Ale hopper Popper and other mechanicaldevices have not been able to achieve and maintain this rate,

Several survey participants expressed the opinion that the largestmarket would be among small users wlto could not afford thaw slieds orrotary dumping equipment. Members of this market segment, however, tendto be highly conser:+,itve in their capital, investments because theirresources sire limited. Offering a lease option plan would probably bethe best means of introducing a now product into this market.

The increasing trend toward dedicated unit trains to ship coal willaffect the treatment: of frozen coal, Ootidola cars, chemicals, hent ,, androtary dumping; icre an effective combination that best serves this typeof coal, shipping. Demand for other methods probably will decrease,except for emergency service and small user applications. Introductionof the NASA controlled gas detottntion lance thus will not greatly affectthe current trend, and demand for it most likely will not be great.

24

Appendix

COMPANIES CONTACTED I ► I1R I N(; TA -rein, suRvEy

Liniva below are the companies contacted during the TATeam survey.At each, the respondent was a coal tratfic manager or vice president.

Union Electric CompanySt. Louis, Missouri

Prnnsvlvanis Power b Light

Shippingport, Pe""mylv.anin

Wisconsin Power A LightMadison, Wisconsin

Buckeye Power, Inc.Volumhu y , twit)

Duke Power CompanyCharlotte, North Carolina

I ►M l Range Railroad Co.ITuluth, Minnesota

Old Ilea Coal Company

Chicago, Illinois

Dayton Power & LightDayton, Ohio

Philadelphia Elect Co.

Philadelphia, Knnsylvania

Toledo Edition CompanyToledo, Ohio

Ohio Edison CompanyAkron, Ohio

Southern Railway SystemWashington, D.C.

Burlington Northern, Inc.St. Paul, Minnesota

25