Environmental Enterprise:

Carbon Sequestration using Texaco Gasification Process

Jeff Seabright
Arthur Lee
Richard Weissman, PhD.
Texaco Inc.
White Plains, New York
Presented at:
First National Conference on Carbon Sequestration
May 14-17, 2001
Washington D.C.

ABSTRACT
Coal Integrated Gasification Combined Cycle (IGCC) is a commercially proven
clean coal technology that offers significant environmental and economic benefits
today, including decreased air and solids emissions. It also offers the potential to
capture and sequester carbon dioxide. Coal IGCC provides electric utilities
strategic options in meeting todays growing demand for energy products
(electricity, fuel, chemicals) while protecting public health and the environment
and providing a pathway to zero emissions coal-based power generation.
Conventional coal plants do not have the capability to extract the CO2 without
extremely costly post-combustion measures. The pre-combustion CO2 removal
capability of the Texaco Gasification Process (TGP) configuration can, however,
produce a high pressure, high quality CO 2 stream. This CO2 can be injected into
oil wells for enhanced oil recovery, injected into saline aquifers where it will
dissolve naturally, or injected into coal beds for methane recovery.
The new lower cost and simplified gasifier design under development by Texaco
should further reduce CO2 recovery costs. This design utilizes higher pressure
gasifiers with direct water quench cooling that will reduce the cost of water gas
shifting of CO to H2, CO2 recovery and CO2 compression. This concept of
removing CO2 has already been demonstrated in operating TGP ammonia
projects, where the hydrogen is used for ammonia production, and a portion of
the CO2 is separated and combined with the ammonia to produce urea, a solid
fertilizer product.

INTRODUCTION
World energy demand is expected to double over the next several decades, largely as a
result of population growth and increased standards of living in the developing world. If
this demand is to be met in an environmentally sustainable manner, new and cleaner
energy technologies will have to be developed and deployed. While promising advances
are being made in development of cost effective renewable energy technologies and
hydrogen-based energy systems, the transition to a zero emissions hydrogen based
future will take decades.
Newly developing economies will not wait for a hydrogen economy before they seek
economic growth. 37% of the world's electricity is currently generated from coal and the
greatest demand growth for electricity will come from developing countries where coal is
the number one fuel source.
For the foreseeable future, coal will certainly continue to play a key role in fueling
economic development around the world. The critical challenge is to use coal in an
environmentally sustainable manner. Not only can Integrated Gasification Combined
Cycle (IGCC) allow cleaner use of coal today, it can also be a cornerstone of a fossil
fuel based zero emissions energy system, as envisioned in the DOEs Vision 21. The
environmental benefits of IGCC include:

Reduced particulates and solids production/emissions

Significant air emission reductions, both SOx and NOx emissions are reduced by
70%-80% compared to other older coal technologies
Reduced CO2 emissions due to its higher efficiency
The ability to recover CO2 at relatively low cost for sequestration or other uses

SEQUESTRATION: MEETING THE CLIMATE CHANGE CHALLENGE

Texaco believes that enough is known about the science of climate change to merit a
serious and constructive response by energy companies and government. Meeting the
challenge of climate change will require the human, financial and technological capital
of energy companies in the US and abroad.
Texaco has set out a portfolio of activities in business development and technology
development that can reduce Texacos own emissions and also help Texacos
customers reduce their emissions. In addition to the gasification portfolio, Texaco has
an equity interest in and joint venture with Energy Conversion Devices (ECD) in their
fuel cell, advanced battery, and hydrogen storage technologies. Texaco has integrated
greenhouse gas emissions management into business planning with:

Annual Emissions Inventory (97-00) with third party verification;

Mandatory greenhouse gas projections in the review for new projects;
2

Greenhouse gas projections in strategic planning cycles for all business units.

With the more than twenty years of experience in enhanced oil recovery with CO2 in
West Texas and more than fifty years commercial history in gasification, Texaco was
motivated in 2000 to become a founding member of a joint industry project with other
industry leaders in the CO2 Capture Project (CCP). CCP aims to reduce the cost of
capturing CO2 emissions when fossil fuels are burned. Founding project team members
include BP, Statoil, Chevron, Suncor, Shell, and Norsk Hydro with ENI and Pan
Canadian Resources joining in 2001. This is a 3 year, $15 to $20 million technology
development program focusing on CO2 capture and safe storage in geologic formations.
The objectives of this team are as follows:

Develop new, breakthrough technologies to reduce the cost of CO2 separation,

capture, and geologic storage from combustion sources such as turbines, heaters,
and boilers.

Perform bench-top R&D to prove the feasibility of advanced CO2 separation and
capture technologies, specifically targeting flue gas scrubbing, pre-combustion
decarbonisation (including gasification and hydrogen production), and oxyfuel
approaches.

Develop guidelines for maximizing safe geologic storage, for measuring and
verifying stored volumes, and for assessing and mitigating storage risks.

Develop an economic model to establish baselines of CO 2 separation, capture and

storage costs and a common approach to compare costs across separation
technologies and storage methodologies.

Actively transfer the new technologies to industry via publications, presentations,

conferences, an Internet Website, patent licenses and commercial services.

Reach out to all stakeholders, including environmental groups and governments, to

inform the dialogue on CO2 separation technologies and safe storage in geologic
formations.

Texaco believes that gasification technology can be an Environmental

Enterprise, and provide an attractive option for carbon sequestration. We we are
working with our partners in the CO2 Capture Project to further develop this
option for power systems.

WHAT IS COAL IGCC / COAL GASIFICATION?

The Texaco Gasification Process is a commercial technology with over 50 years of
commercial application around the world. The process can gasify coal, heavy oil,
petroleum coke, refinery residue, and Orimulsion. The coal gasification process
converts coal into a synthesis gas (syngas) composed primarily of carbon monoxide
and hydrogen. This syngas can be used as a clean fuel to generate electricity or steam,
or used as a basic chemical building block for a large number of uses in the
3

petrochemical and refining industries, including the production of ammonia/urea fertilizer

and hydrogen. Texaco has licensed its technology to seventy-two (72) such facilities,
sixty (60) of which are operating, while twelve (12) more are in under construction or in
detailed engineering.

Coal IGCC Process 1

Feeds

Gas
Cleanup

Gasification

O xy ge n

End
Products
Co m bin ed Cy c le
Po w er Block

Alte rn ativ e s:

Coal

Gas & Steam

T urb ine s

E lec tricity
S te am

He avy Oil

Alte rn ativ e s:
Orim uls ion
SU LF UR
REMOVA L

Re finery
Re sidues
SU LF UR
RECOVER Y

Cok e
Na tu ral Gas

Clean Syngas

H ydrogen
C hem icals
F-T Liquids
M a rk e tab le
Byp ro d u cts :
Su lfu r
Slag

1 Tex ac o G a sifi ca tion Proc es s

If the syngas is to be used to produce electricity, it is typically used as a fuel in an

Integrated Gasification Combined Cycle (IGCC) power generation configuration. Coal
IGCC is the cleanest, most efficient means of producing electricity from coal. The
combined cycle system has two basic components. A high efficiency gas turbine, widely
used in power generation today, burns the clean syngas to produce electricity. Exhaust
heat from the gas turbine is recovered to produce steam to power steam turbines,
creating additional power.
As with conventional coal plants, there are also gaseous emissions from the Texaco
Gasification Process (TGP), but the TGP provides a significant reduction in those
emissions. Both SOx and NOx emissions are reduced by 70%-80% compared to other
older coal technologies. The reduction of air emissions including particulates by the
TGP will bring the plant into compliance with the more stringent regulations currently
proposed in many areas that would otherwise require significant and expensive
modifications.

Below is a table summarizing the comparison of air emissions from a natural gas
combined cycle facility, TGP, and a conventional coal plant.

Table 1. Air Emissions Comparison

NOx
Sulfur Recovery

Conventional
Coal Plant
150 ppm

>98%

3 ppm

Coal
TGP
<9 ppm

Natural Gas
Combined Cycle

95%
2.26

CO2 (lb/kWh)

0.81

1.95

SCR

Yes

No

Yes

Stack Gas Scrubber

No

No

Yes

Texaco Power & Gasification (TP&G) has been developing coal IGCC / coal gasification
products and services for over 50 years. Our proven gasification technology is at the
forefront of commercial applicationsOver 6,200 Megawatts (MW) of IGCC power
generation is TGP licensed or under active development by Texaco.

Evolution of Coal IGCC/Coal Gasification1

1 Texaco Gasification Process

PILOT

DEMO

COMMERCIAL
900sTPD (China) Coal to Ammonia / Urea

Huainan

2000sTPD / 250MW (USA) Coal to Power

1650sTPD (China) Coal to Ammonia / Urea
1800sTPD (China) Coal to Town Gas / Methanol

Lunan

Weihe

Shanghai
550sTPD (China) Coal to Ammonia

800sTPD (W . German) Coal to Oxo-chem / H 2

SAR

1650sTPD (Japan) Coal to Ammonia

EB U
C oolW at
er

1000sTPD / 120MW (USA) Coal to Power

1100sTPD (USA) Coal to Acetic Ahhyd / Methanol

1970

 '%

25sTPD plant at
Montebello USA
research lab

RAG/RCH

190sTPD (USA) Coal to Ammonia

165sTPD (W . German) Coal to Oxo-chem

1980

1990

2000

During the past few years, several projects have been constructed around the world
using the TGP, including twelve new start-ups in 2000i. Four IGCC power plants
produce over 1500 MW of clean power from refinery residues. Three of these plants
were non-recourse project-financed for a total of approximately $3.1 billion, reflecting
growing financial industry confidence in the technology. The coal fired 250 MW Tampa
Electric Company IGCC in Polk Country, Florida, USA has exceeded 24,000 operating
hours on syngas since start-up in 1996, generating more than 7.0 million MWhours of
clean electricity.
While the cost of IGCC has in the past been a deterrent to widespread application in the
US and abroad, several factors have converged to argue for a re-look at this promising
technology.

Lessons learned from the large number of recent start-ups, industry experience in
construction and operation of IGCCs, and continued cost reduction efforts have
resulted in reduced IGCC capital and operating costs. The operating experience of
plants such as Tampa Electric has been instrumental in the reduction of these costs
for projects now under development.

Broad consensus that natural gas prices in the US are unlikely to remain at the
historic lows experienced in the late 1990s. Growing demand for clean fuels and
constraints on access and infrastructure suggest that continued upward pressure on
natural gas prices will continue.
6

Growing appreciation of the need for a diversified energy supply in the US as part of
a broad national energy policy. Abundant US coal reserves make the clean use of
that fuel an attractive option to enhance US national energy security.

Growing concerns about local, regional and global air emissions. Criteria pollutants
and greenhouse gas emissions will continue to play a critical role in shaping future
energy choices. Pressure to include the environmental externalities associated with
fossil fuel use will increase.

Awareness of the global nature of energy technology markets and opportunities.

Those countries and companies that lead in advanced clean energy technologies
will prosper from the huge demand surge anticipated primarily in developing
countries.

Overlay all of the above trends with the enormous indigenous reserves of coal in the
US, India and China (to mention the largest markets) and it becomes clear that finding
cost-effective and environmentally preferable ways of transforming coal into electrons is
a critical pathway to a clean energy future.

CARBON DIOXIDE CONTROL/SEQUESTRATION OPPORTUNITY

The TGP reduces CO2 emissions due to its higher efficiency compared to baseline
alternatives. It also offers the plant owner an opportunity to recover CO 2 at relatively low
cost for sequestration or other uses. Thus TGP provides a natural hedge for future CO 2
emissions controls.
In the TGP, when CO2 combined with syngas is fed to the combustion turbines, two
benefits are realized by the power plant. First, the CO2 lowers the flame temperature,
reducing NOx generation. Second, the CO2 adds more mass per unit volume to the
syngas, which increases the power output of the combustion turbine. If the CO2 is
removed then steam injection, nitrogen injection or syngas saturation would replace
CO2 for NOx suppression and power augmentation
Another option is to convert the syngas to hydrogen (sour gas shift) and remove the
CO2 from the process entirely prior to combustion and use it elsewhere. TGP has the
capability to capture the CO 2 from the syngas before sending the gas to the combustion
turbines, because the sulfur removal process used in the TGP can produce a byproduct CO2 stream.

IG C C as a P re-C om b ustion C O 2
C a p tu re T ech n ology
H2
G asifica tio n

S ou r S h ift

AG R / SRU

CO2

Po w e r

H 2O

This concept of removing CO2 has already been demonstrated in eight (8) operating
TGP ammonia projects in China, where the hydrogen is used for ammonia production,
and a portion of the CO2 is separated and combined with the ammonia to produce urea,
a solid fertilizer product.
Conventional coal plants do not have the capability to extract the CO2 without extremely
costly post-combustion measures. The pre-combustion CO2 removal capability of the
TGP configuration can, however, produce a high pressure, high quality CO2 stream.
This CO2 can be injected into oil wells for tertiary oil recovery, injected into saline
aquifers where it will dissolve naturally, or injected into coal beds for methane
recovery.The new lower cost and simplified gasifier design under development by
Texaco should further reduce CO2 recovery costs. This design utilizes higher pressure
gasifiers with direct water quench cooling that will reduce the cost of water gas shifting
of CO to H2, CO2 recovery and CO2 compression.ii
Recent analysis performed by SFA Pacific and Transalta found that a modest
(approximately $10) price for the CO2 offtake could make the use of coal-based power
with CO2 recovery competitive with natural gas combined cycle plants when gas prices
are greater than $3/MBTU. This analysis also found that of the CO2 recovery options,
coal gasification with CO2 capture has advantages over a Pulverized Coal (PC) retrofit
flue gas scrubber or O2 combustion. PC retrofits reduce capacity and efficiency by
about a third, whereas coal IGCC increase both. O2 combustion requires 4.5 times
more O2 per net MWe coal capacity.iii A market for carbon offset credits would further
enhance the economic benefits of CO2 capture.
The TPG process has a specific advantage over other gasification options because it
generates high pressure CO2 that can be cost effective for enhanced oil recovery
(EOR) or coal bed methane recovery (CBM). Typical EOR uses 6,000 scf CO2 per
8

incremental BBL crude production and already over 28 million metric tons per year
(mt/yr) of CO2 are sequestered in EOR in North America, the equivalent of 4,000 MW of
coal fired generation. This includes 1.8 million mt/yr CO2 from an existing North Dakota
coal gasification plant. The North American market for CO 2 sequestration for EOR and
CBM is expected to expand, offering unique opportunities where power generation and
EOR/CBM can be co-located.
CONCLUSIONS
Coal IGCC is a commercially proven clean coal technology that offers significant
environmental and economic benefits today, including decreased air and solids
emissions. It also offers the potential to capture and sequester carbon dioxide. Coal
IGCC provides electric utilities strategic options in meeting todays growing demand for
energy products (electricity, fuel, chemicals) while protecting public health and the
environment --and a pathway to zero emissions coal-based power generation.

For more detail, see W. Preston, Texaco Gasification Startups and Future Directions, presented at 2000
Gasification Technologies Conference, San Francisco, CA, October 2000.
ii

W.F. Fong, Texaco 550 MWe for Coal or Oil via 9H IGCC, presented at 2000 Gasification Technologies
Conference, San Francisco, CA, October 2000.
iii
D. Simbeck and M. MacDonald, Analysis of Retrofit CO2 Control Options for Existing Coal-Fired Power
Plants, Electric Utilities Environmental Conference, January 10, 2001.