Agenda

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Agenda

• Oil
• Production Technology
• Reserves Demand
• Economics
• Coal
• Reserves World India
• Economics
• Pollution control Policies
• Clean coal Technologies
• Natural Gas
• Reserves Production
• Economics
• Shale Oil
• Reserves
• Case study Stuart Project, Australia
• Tar Sands
• Methane Hydrate

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Workhorses Of Our Energy Sector

• Fossil Fuels are energy-rich substances that have
  formed from long-buried plants and
  microorganisms.
• The gasoline that fuels our cars, the coal that
  powers electrical plants, the natural gas that
  heats our homes are all fossil fuels.

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They are indispensable

• High energy density
• 73,890 BTU/ lb of Natural Gas
• 17,400,000 BTU/ton of Lignite Coal
• 138,000 BTU/gal of Fuel oil
• Renewable sources vary with
• Geographical location
• Season
• Time of day
• Relative inexpensiveness.
• Needed to provide back up.
• The entire transportation infrastructure is built
  around fossil fuels.
• It is next to impossible to alter these to suit
  any other resources.

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Basic Technology of Oil Extraction

• The crude oil is separated in a distillation
  column into various fractions of multifarious
  uses.

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Current Production Technologies

• Development and use of (3D) seismic waves.
• Innovative drilling and production structures.
• Carbon dioxide reinjection
• Deep offshore Production
• FPSO (Floating Production Storage and Offloading)
  and TLP (Tension Leg Platform) systems.
• New materials for flexibles.
• Horizontal and multibranch wells.
• The current depth is around 1800 m, the next
  target depth is 3000 m.

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Micro hole drilling

• Aimed at slashing costs and reducing
  environmental impacts of drilling.
• Tap potentially billions of barrels of bypassed
  oil at shallow depths.
• The Technique
• Ultra small-diameter holes.
• Adapts coiled tubing drilling techniques.
• Drill motor and bit are deployed on the end of
  tubing coiled around a spool on a trailer.
• Trailer pulled by pickup truck.

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Oil Reserves Production

• Currently, the world has proven reserves of a
  little over 1,100 million barrels.
• Production of oil is around 37 million tonnes per
  annum.
• India reserves and production(1999)

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Role of OPEC

• Middle East countries hold 65 of oil and 34 of
  the gas reserves.
• 14 of the major oil producing countries
  constitute the Organization of the petroleum
  exporting corporation (OPEC)
• OPEC has proven reserves of 891,116 million
  barrels of crude oil, representing 78.3 of the
  world reserves, and produces around 40 of the
  worlds crude.

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Increasing Demands And Consequences

• Oil is extracted at the rate of 75 million
  barrels per day, which means the current reserves
  are predicted to last only for another 35-40
  years.
• The cost of oil has already
• surged past 70 per barrel.

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COALThe energy bridge to the future!!

• First fossil fuel to be discovered.
• Pushed to background because of its environmental
  effects.
• The two major uses for coal steel production
  and electricity.
• Accounts for 23 of the global primary energy
  demand, 38 of world electricity production and
  70 of world steel production.

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Reserves

• The proved recoverable world reserves at the end
  of 1991

India has proven coal reserves of 84,396 million
tonnes
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Reserves

• The present reserves represent a life span of
  hundreds of years at the current rate of
  production and consumption
• The average open market sales price of coal in
  the USA is around 30/ton

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Reverting to COAL

• For coal to reestablish itself as the primary
  fuel, it will need to reduce its environmental
  footprint.
• Comparison of Air Pollution from the Combustion
  of Fossil Fuels (kilograms of emission per TJ of
  energy consumed)

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• Major pollutants are volatile organic compounds
  (VOC), Nitrogen oxides (NOX), CO, SO2,
  particulate matter, mercury and lead.
• Electric utility power plants 72, 35, and 33
  of total emissions of SO2, CO2, and NOx.
• Average mercury content of coal is 7.4 pounds per
  trillion Btu of energy input to the coal-fired
  electricity generator.

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• Kyoto Protocol
• Reduce "CO2- equivalent" gas emissions.
• Actions that take carbon out of the atmosphere.
• Countries to limit greenhouse gas emissions,
  relative to the levels in 1990.
• USA hasnt signed it as yet but instead agreed to
  reduce emissions from 1990 levels by 7 percent
  during the period 2008 to 2012.
• Clear Skies Initiative
• Sulfur dioxide emissions to be cut by 73
• Nitrogen oxide emissions to be reduced by 67
• Mercury emissions be cut by 69

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Combined Cycle

• Combines gas turbine and steam turbine.
• Exhaust energy from gas section used in steam
  system.
• High thermal efficiency.
• Small plants combined.
• High mobility.

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Gasification

• Breaks down coal into basic chemical
  constituents.
• Coal is exposed to hot steam and controlled
  amounts of air or oxygen under high temperature
  and pressures.
• Carbon molecules in coal break apart, setting off
  chemical reactions that produce syn gas and other
  gaseous compounds.
• Integrated gasification combined-cycle (IGCC)
• Syn gas is burned in a combustion turbine which
  drives an electric generator.
• The exhaust gases are used to heat steam.

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Knocking the NOx out of coal

• NOx emissions reduced at low-combustion
  temperatures and by use of low-nitrogen fuels,
  low- NOx burners and fluidized-bed combustion.
• Particulate matter removed by fabric filters or
  electrostatic precipitator.
• Membranes for separating gases.
• Selective removal of hydrogen from syngas.
• Flue gas desulfurisation units, selective
  catalytic control systems and evaporative cooling
  towers.
• Sulfur extracted from coal converted into
  commercial-grade sulfuric acid or elemental
  sulfur.
• Mercury controls - sorbents and oxidizing agents.

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Transport Reactor
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Carbon Sequestration

• It is a family of methods for capturing and
  permanently isolating gases that could contribute
  to global climate change.
• CARBON CAPTURE
• Pre-combustion capture
• Post-combustion capture
• Oxyfuel technologies. 
• CARBON DIOXIDE SEQUESTRATION
• Industrial use of CO2 in plastics and other
  chemical industries
• Inorganic sequestration as carbonates
• Biological conversion to fuel
• Geological sequestration, in salt domes, or coal
  beds
• Injection into active oil wells
• Injection into exhausted gas or oil wells
• Injection into aquifers
• Ocean disposal

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SO2 emissions (thousand tonnes of SO2)
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US Initiatives

• FutureGen - Tomorrow's Pollution-Free Power Plant
• 1 billion dollar project.
• Employs coal gasification integrated with
  combined cycle electricity generation and the
  sequestration of carbon dioxide emissions.
• Will require 10 years to complete.
• In the operational phase, it will generate
  revenue streams from the sales of electricity,
  hydrogen and carbon dioxide.

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Vision 21 The "Ultimate" Power Plant Concept

• Multiple products - electricity in combination
  with liquid fuels and chemicals or hydrogen or
  industrial process heat.
• Not restricted to a single fuel type.
• Coupled with carbon sequestration technologies.
• Technology modules interconnected to produce
  selected products.
• Very High efficiencies with near-zero emissions.
• Uses low-polluting processes.

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Fuel Cells - for near zero emissions coal-based
systems

• Based on electrochemical reaction of hydrogen and
  oxygen.
• Integrated gasification fuel cell hybrids have
  the potential to achieve up to 60 percent
  efficiency and near-zero emissions.
• Hydrogen separated from syn gas got from
  gasification.
• Exhaust gases can be used to drive gas turbines.
• Small 3-10 kW scale fuel cell systems combined to
  give larger systems for use in hybrid power
  systems.

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Natural Gas

• The world had around 5500 trillion cubic meters
  at the end of 2003.

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Some Statistics

• Current reserves represent a life span of
• 60 years.
• Indian Scenario

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• Why Natural Gas?
• Cleaner fuel, has low carbon/hydrogen ratio hence
  less carbon dioxide emission.
• Has a distinct hydrogen-rich molecular structure,
  hence supply hydrogen for future technologies
  like fuel cells.
• 3D seismic technologies now used to locate
  fractures in the earth.
• Combined cycle technology used.
• Acid reinjection employed for better efficiency.

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Economics

• The price is based on
• calorific value of gas
• local demand
• supply
• cost of alternate liquid fuels
• Cost of natural gas has increased over 200 in
  the past 2 decades.

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Bright Prospects

• Shale Oil
• Is a 40-50 million-year-old sedimentary rock.
• Contains a solid hydrocarbon, kerogen which is
  "fossilised algae".
• Time, pressure and temperature have transformed
  these sediments into a hydrocarbon-bearing rock.
• Contains no liquid hydrocarbons.
• The heating of the oil shale, forces the
  decomposition of kerogen and hydrocarbons are
  released as a vapour which on cooling becomes
  liquid oil and gas.

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Reserves
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• The Estonia and Tapa deposits are situated in the
  west of the Baltic Basin
• Share of oil shale in the Estonian national
  primary energy balance is 52-54.
• Oil shale output had reached 7 million tonnes by
  1955
• Mainly used as a power station/chemical plant
  fuel and in the production of cement.
• The opening of more thermal plants boosted
  production and by 1980 (the year of maximum
  output) the figure had risen to 31.35 million
  tonnes.

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Stuart Project - Australia

• Incorporates the Alberta-Taciuk Processor (ATP)
  retort technology.
• Three staged plant aimed at producing
• 85 000 b/d by 2009.

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• Higher emissions of greenhouse gases than
  conventional oil resources.
• Plans are on to reduce these emissions by
• Creating a carbon sink through planting trees
  to create permanent forests. This would capture
  or sequester carbon dioxide
• Building a bio-ethanol plant to operate alongside
  the Stuart Shale Oil plant, and be based on woody
  biomass sourced from local plantations and sugar
  wastes.

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Tar Sands

• Deposits of bitumen - viscous oil that must be
  rigorously treated in order to convert it into an
  upgraded crude oil
• Of the oil sands found in Alberta, 10-12 is
  bitumen, 80-85 is mineral matter, and 4-6 is
  water.
• Reserves estimated at 280-300 billion barrels.

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Processing Technique

• Must be mined or recovered in situ.
• Recovery processes include extraction and
  separation systems to remove the bitumen from the
  sand and water.
• Cyclic steam stimulation (CSS) and steam assisted
  gravity drainage (SAGD) currently used.
• Technique not advanced enough to make it
  economical.

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Methane Hydratethe gas resource of the future

• It is a compound of water and methane
• Forms under pressure at cold temperatures.
• Potential significant source of natural gas.
• Large volumes of hydrate based natural gas found
  on Alaska's North Slope.
• Natural gas potential of methane hydrate approach
  400 million trillion cubic feet.

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Fossil Fuelsthe fuels of the past the fuels
for the future

• The volumes of exploitable oil and gas are
  closely correlated to technological advances,
  technical costs.
• Any improvement in the recovery rate - even if by
  only one point - allows the industry to tap
  substantial additional reserves.
• Coal with its plentiful reserves and
  inexpensiveness offers tremendous potential if we
  carry out environment friendly plans.
• With the various technological advancements, and
  alternate sources for oil and gas, the end of
  fossil fuels is still centuries away.

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• The path to the future is neither as rosy as
  some people hope nor as thorny as others fear,
  but depends on how effectively we pick out the
  weeds and nurture the bush as we walk

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• Thank you!
• Presentation by
• Aruna T S (CH03B008)
• Sumegha M (CH03B021)
• Yagna Deepika O (CH03B046)
• Janani Kannan (CH03B049)