Confidential

Shell Gasification business in action

Thomas Chhoa
Vice President Coal Gasification
Shell Gas & Power

GTC October 2005 Shell Gas & Power

 Confidential
Potential syngas applications

IGCC-
Combined Electricity
Cycle
Coal Power
Generation
Steam
Lignite
Chemical Ammonia
Petroleum Shell
feedstock Methanol,
Coke (Coal)
Syngas Hydrogen,
Gasification
(CO+H2) other chemicals
Oil/Resid Process
Conditioning/
Town gas
Gas distribution

Biomass
Orimulsion Liquefaction Transportation
Fuel

GTC October 2005 Shell Gas & Power

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Shell Gasification (Oil) Technology in Operation

Recent projects:
Italy - AGIP Sannazzaro: Commissioning scheduled end of 2005

Canada - Opti: Advanced state of construction; Commissioning in 2006

China - Fujian Refinery Ethylene Project: Process Design Package completed;

Final Investment Decision expected by end 2005

Poland - Lotos, Raffineria Gdanska: Process Design package started (Completion end
2005)
GTC October 2005 Shell Gas & Power
 Confidential
Shell (Oil) Gasification Process: successful through development
Anticipating Changes:
Feedstock from thermal cracked residue to deep thermal cracked
residue
Feedstock from straight run material to asphalt from SDU
⇒ Higher ash contents & higher viscosities

Optimum Integration:
High efficiency / high conversion rates
Low oxygen consumption
Utilisation of by-products
⇒ High syngas quality / high CO+H2 yield
⇒ Very high pressure steam (120 bar)

Standard Solution:
Application from chemical plants to Refineries
Application from a single product to multi-products
⇒ Reliable supply of syngas
GTC October 2005 Shell Gas & Power
 Confidential
Shell Coal Gasification Process – simplified flow scheme
COAL/PETCOKE Fly ash
Recirc.
Recirc. QUENCH GAS

900 °C
Milling/Drying GASIFIER HP STEAM

1600 °C
MP STEAM

Coal feeding Wet Gas

CLEAN
DSR Scrubbing Treating SYNGAS

Fly ash Water

SLAG Treatment
system

FLY ASH TO SALTS SULPHUR

MILLING AND DRYING

GTC October 2005 Shell Gas & Power

 Confidential
Shell Coal Gasification Process - Energy balance

Coal in 100%

0.8 % Steam from reactor wall

14.0 % HP Steam from Syngas cooler

0.2% Unconverted carbon

2.0% Low level heat

83%
Raw synthesis gas

GTC October 2005 Shell Gas & Power

 Confidential
Shell’s Leadership in Gasification Technology
Carbon
Capacity Feedstoc Cooling Efficiency Emission
Conversion
k s

Large Dry Membrane 99% 80~83% Less

(Single) Powder Wall+Boile
Gasifier r

Shell technology advantage:

• Wider range feedstock
• Higher energy efficiency
• Lower OPEX, hence life-cycle
cost
• Less emissions and effluent water

GTC October 2005 Shell Gas & Power

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Shell Coal Gasification Process – development to commercialization

2000 t/d

From pilot units to the

2000 t/d commercial plant

> 200 coal types tested providing

strong and solid data base

250 t/d
150 t/d
6 t/d

1976 1978 1987 1993

Pilot Unit Demo Unit SCGP-1 NUON IGCC
Amsterdam Harburg, Houston, Buggenum,
Germany USA The Netherlands

GTC October 2005 Shell Gas & Power

 Confidential
Shell Coal Gasification in action: NUON IGCC plant, Buggenum, NL
Buggenum IGCC plant

Plant built (1993) and previously owned by the Dutch

Electricity Generating Board (SEP), now with NUON

COAL INTAKE 2000 t/d

NET OUTPUT 253 MWe
NET EFFICIENCY (LHV) 43%

− Availability > 90% (excl. planned downtime)

− Excellent environmental performance
  Extremely low NOx, typically below 10
ppm
  Sulphur removal efficiency over 99%
  Total acidification components NOx +
SO2:
coal gas operation better than natural gas
  Virtually zero emission of fly ash,
chlorides & volatile heavy metals
  Zero discharge: waste water reused in
plant
GTC October 2005 Shell Gas & Power
 Confidential
Features and improvements since Buggenum (Nuon)
Proven

• Reactor membrane wall expected life-time > 25 years

• Burner life-time > 20,000 hrs
• Reactor-syngas cooler ~ 40% cheaper
New Projects

• Steam system simplified lower cost

• Water cooled skirt reactor
• slag crusher
• wider procurement options for equipment lower cost
• reactor-syngas cooler train up to 5,000 tpd
• unplanned outages < 4% (scheduled maint. project specific)

GTC October 2005 Shell Gas & Power

 Confidential
Shell’s 1st investment in a coal gasification
plant
Air Sep. JV
unit scope
Oxygen Sinopec scope
Syngas Gas Ammonia Urea
Coal Gasifier Urea
Beijing
Treating plant plant
Ningxia

CHINA

Ya
ng
tz
e
Ri
ve
r
Sichuan
Anhui

Yueyang
Hubei
Shanghai
50/50 Joint Venture with Sinopec – Yueyang Hunan
Sinopec and Shell Coal Gasification Company Ltd.

2000 t/d coal gasification using Shell technology to

produce SYNGAS as feedstock for fertilizer production

Project EPC started June 2003. Planned mech.completion early 2006

GTC October 2005 Shell Gas & Power

 Confidential
Yueyang (Dongting) Sinopec-Shell Coal Gasification Project
Gasifier structure – final height 90m
Feb. 2005
September 2005

GTC October 2005 Shell Gas & Power

 Confidential
Yueyang (Dongting) Sinopec-Shell Coal Gasification Project
Air Separation Unit
September 2005

GTC October 2005 Shell Gas & Power

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Yueyang (Dongting) Sinopec-Shell CG Project

Shell Gasifier internals leaving fabrication workshop

December 2004

GTC October 2005 Shell Gas & Power

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Shell Coal Gasification Process – Dynamic Simulator
SIMULATION
NETWORK OVERVIEW

Enable Operator Training to:

TELEPHONE
LINE

• Increase operational knowledge

and readiness

COM2
• Increase plant availability
and safety
INTERNAL INSTRUCTOR CONSOLE
OPERATOR CONSOLE 1 OPERATOR CONSOLE 2
MODEM SHADOW PLANT
DUAL SCREEN DUAL SCREEN

As a Development system to:

• Further improvement in the

modeling of Shell Coal
Gasification
SWITCH - 8 PORTS

• Verify/test operational
procedures

LASER PRINTER
LASER PRINTER

GTC October 2005 Shell Gas & Power

 Confidential
Yueyang Sinopec and Shell Coal Gasification Co Ltd
Shell China coal gasification licences 1
2,000 t/d plant to supply a fertiliser plant.* 2001
Hubei Shuanghuan Chemical Group Co Ltd
2
900 t/d plant to supply a fertiliser plant. 2001
Liuzhou Chemical Industry Co ltd
3
1,200 t/d plant to supply fertiliser plant. 2001
Sinopec Hubei Chemical Fertiliser Co
4
2,000 t/d plant to supply a fertiliser plant. 2003
Sinopec Anqing Chemical Fertiliser Co
5
8
2,000 t/d plant to supply a fertiliser plant. 2003
10 9
11 6
Yunnan Tianan Chemical Co Ltd
12 2,000 t/d plant to supply a fertiliser plant. 2003
3
7 Yunnan Zhanhua Co Ltd
2,000 t/d plant to supply a fertiliser plant. 2003
Dahua Group Ltd
8
2 5
1,000 t/d plant to supply methanol plant. 2004
4
9
Yongcheng Coal and Power Group
2,000 t/d plant to supply a methanol plant. 2004
1
Shenhua Coal Liquefaction Corporation
10
2x2,000 t/d plant to supply H2 for coal liq. 2004
6
7
Zhongyuan Dahua Group
11
3 1,800 t/d plant to supply methanol plant. 2004

* Shell-Sinopec 50/50 joint venture

Kaixiang Group
12
1,000 t/d plant to supply methanol plant. 2004
GTC October 2005 Shell Gas & Power
 Confidential
Shell Coal/Coke Gasification: Other global business activities

Canada

UK/EU Japan

Australia
India

GTC October 2005 Shell Gas & Power

 Confidential
Shell Coal Gasification in Australia

Premier & Trade

The Hon. Peter Beattie MP
16 June 2005
Global Giant Joins Smart State Quest for Clean Coal
Power

New York: Shell has been selected as the technology

provider
for a Smart State study of a clean coal technology project
which may cut greenhouse emissions, Premier Peter
"This study being driven by the Queensland Government's
Beattie
Stanwell Corporation aims to capture the value of coal as
announced today.
a source of competitively-priced energy while reducing
carbon dioxide emissions to near-zero levels," said Mr
Beattie. http://statements.cabinet.qld.gov.au/portfolio-display/tmp/1119932690.html

GTC October 2005 Shell Gas & Power

 Confidential
Shell Coal/Coke Gasification in the USA

Deer Park Houston pilot plant tested wide

variety of US coals, incl. PRB and lignites
Shell Coal Gasification – a growing
business of Shell Gas & Power
Numerous projects involving Shell Coal
gasification in development
Projects in development beyond
technology provision, if there is strategic
fit
Building a strong business development
and delivery team
Shell Global Solutions US – world class
technical service organisation, providing
wide ranging services and support
GTC October 2005 Shell Gas & Power