Toyo DME Synthesis Technology Ready for Market

L TOYO ENGINEERING CORPORATION (TEC) Chiba, Japan November, 2010

Contents
1. 2. 3. 4. Introduction: What is DME? DME Synthesis Technology Fuel DME Plants in China - Toyos Experience Toyos Jumbo DME

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L TOYO ENGINEERING CORPORATION 2009

What is DME ?

What is DME?

DME: Di-Methyl Ether

Molecular Formula: C2H6O, CH3OCH3 Gas : ambient temp. & press Liquid: - 25 or 6 Bar (Amb. temp.)

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Properties of DME
DME LHV kcal/kg(gas) Sp. Gravity(liquid) Viscosity(liquid) 10-3 kg/ms Boiling point C Ignition point C Explosion limit % Air ratio kg/kg Cetane number Octane number (RON) 6,900 0.67 0.15 - 25.1 350 3.417 9 5560 35.5 Diesel 10,200 0.84 24 180360 250 0.67.5 14.7 4055 Gasoline 10,270 0.690.79 0.370.44 30190 1.47.6 14.7 520 88100 Methane 12,000 - 161.5 632 515 18.0 120 Propane 11,100 0.49 0.15 - 42 504 2.19.4 15.6 5 112 Methanol 5,040 0.79 0.59 64.8 470 5.536 6.5 5 109

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Natural Gas Chain with DME

DME Features : Lower investment cost : Various markets
LNG
2 mmt/y LNG Plant
LNG Vessel LNG Tank

Power Plant

City Gas Fuel for Auto

LPG Chemicals

Methanol
3.2 mmt/y Methanol Existing
Plant MeOH Vessel Existing MeOH Tank

N.G GTL
Gas Field 32000 bpd

300 mmSCFD

GTL Plant

Existing Existing Oil Vessel Oil Tank

DME
2.3 mmt/y DME Plant
Existing Existing LPG LPG Tank Vessel
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: suitable

: applicable

L TOYO ENGINEERING CORPORATION 2009

Toyos DME Synthesis Technology

How to produce DME

Methane (CH4) Syn. Gas (CO/H2/CO2) Methanol (CH3OH)
Methanol Synthesis
O
C

DME (CH3OCH3)
Methanol Dehydration

H2O or O2

O
H

C
H

H H H H

H H

+
H H H

C
H

C
H

O C
H

+
C

H H

C
H

+
H

CO
H

H2O :H,
C

:C,

:O

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Typical Flow Scheme of DME Synthesis

Methanol
Fuel Gas
DME Reactor
STM CW CW

Product DME Tank

STM STM

STM

CW

Methanol requirement for DME production approx. 1.4 ton-MeOH / ton-DME

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Water
CW

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Typical Scheme of NG to DME Plant

Purge Gas

DME
Recycle Gas Methanol

NG

Reforming

Methanol Synthesis

DME Synthesis

(TOYO Reformer ) (TOYOs MRF-Z) (ISOP catalyst) Water

Methanol Plant
Methanol

Water

DME Plant

Feature

Proven Scheme and Catalyst DME and Methanol Production in any Ratio

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Fuel DME Plants in China

- Toyos Experience -

Toyo DME Plant Experience

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Fuel DME Plants in China designed by TOYO

Owner Location Capacity (name plate) Feature Lutianhua Group Incorp. (LTH) LTH Local Gov. Shenhua Ningxia Coal Gr CNTIC Lingwu, Ningxia 700 t/d (210,000 t/y) World Largest DME Plant with Coal Feedstock Licensing, Basic Design Package, Catalyst, Technical Service Dec., 2005 December, 2007 Shanxi Lanhua Clean Energy Jinheng, Shanxi 420 t/d (140,000 t/y) Largest DME Plant in Shanxi Prov. Licensing, PDP, Catalyst, Technical Service July, 2006 August, 2008

Luzhou, Sichuan 30 t/d (10,000 t/y) World 1st Fuel DME Plant 340 t/d (100,000 t/y) World Largest DME Plant under operation at the time

Scope of TOYO Contract Start-up Feedstock Product Use

Licensing, Process Design Package (PDP), Catalyst, Technical Service July, 2002 Aug., 2003 Dec., 2003 March, 2006

Methanol (NG Feedstock) LPG Substitute, Industrial Use, etc.

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Methanol (Coal Feedstock) Chemical, LPG Diesel Substitute

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Lutianhua 10,000 t/y DME Plant

10,000 t/y started in Aug. 2003 at Luzhou in China

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Lutianhua 110,000 t/y DME Plant

110,000 t/y started in Mar. 2006 at Luzhou in China

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Ningxia 210,000 t/y DME

Ningxia 210,000 t/y DME Plant Successfully started up in December, 2007

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Shanxi Lanhua 140,000 t/y DME

Shanxi Lanhua 140,000 t/y DME plant has successfully started-up in August, 2008

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- Toyo DME received 2006 Japan Petroleum Institute Award for Technological Progress as Commercialization of Indirect Method of DME Process

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Background of TOYOs DME Technology

Feedback of DME existing plant know-how
3,000 t/y for chemical with ten years operation 10,000 t/y at Lutianhua in China (started in 2003) 110,000 t/y at Lutianhua in China (started in 2006) 210,000 t/y at Shenhua Ningxia in Chaina (started in 2007) 140,000 t/y at Shanxi Lanhua Clean Energy (started in 2008)

Own Technologies applied

High active steam reforming catalyst (ISOP) Steam reforming technology (43 units) Methanol converter (MRF-Z)

Scale-up technology applied based on TOYOs Jumbo Methanol Plant

Development of a Jumbo DME Plant

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Toyos Jumbo DME

Feature of Toyos Jumbo DME Plant

Combination of Methanol and DME Synthesis
Purge gas DME Recycle gas MeOH

NG

REF

MeOH SYN

DME SYN

Water

Methanol Plant
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L TOYO ENGINEERING CORPORATION 2009

Toyo DME Process Scheme (Methanol Dehydration Route)

Toyo DME Process has following features. - Scheme and DME catalyst commercially proven - Any ratio (0~100%) of methanol and DME can be produced - Very simple and less investment cost - No oxygen required - Less total investment cost - CO2 is not produced in DME synthesis
MRF-Z
Fuel gas
STK

Fuel Gas

STEAM REFOMER
STM

BFW

DME Reactor

DME Column
IDF AIR FDF SSH DS CW SYN COMP NG ADIABATIC REFORMER
HEAT REC

CW SYNLOOP

Methanol Column

Chilling Unit

DME Tank

STM

Water

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Plant Layout of 7,000 t/d DME (typical)

DME Synthesis

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Summary of TOYOs DME Plant

Commercial DME plants for fuel use licensed by TOYO started in Aug. 2003 and in March 2006. DME supply chain as LPG substitute was established at Lutianhua in China. Coal-based DME plants of 210,000t/y for Ningxia Coal Group and 140,000t/y for Shanxi Lanhua Clean Energy were started up in 2007 and 2008 respectively. DME synthesis technology is ready for market based on commercially proven experiences. A Jumbo DME Plant is combination of methanol plant and DME synthesis plant incorporating commercially proven technologies. The total investment cost of a Jumbo DME Plant is less and the production cost could be feasible compared with LNG and LPG.
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L TOYO ENGINEERING CORPORATION 2009

Thank you L Toyo Engineering Corporation (TEC)

Mike Uchida e-mail: mike@ga.toyo-eng.co.jp 2-8-1 Akanehama, Narashino-shi, Chiba 275-0024, Japan Tel: +81-47-454-1166 Fax: +81-47-454-1160 URL: http://www.toyo-eng.co.jp/

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L TOYO ENGINEERING CORPORATION 2009