September 24, 2009

According to US Energy Information Administration (EIA) statistics, global oil demand is forecast to continue to rise to around 100 million barrels per day in 2030 under a low economic growth scenario.  This increase comes largely from increased fuel use in the tranportation sector.  To prepare for the increased demand, CTL projects are being developed world-wide.

Syngas Limited's Clinton Project in South Australia is a coal-biomass-to-liquids (CBTL) plant. The CBTL project is located 120 km northwest of Adelaide. It involves developing, commissioning and operating a large-scale, long-term, premium-diesel production facility.

Other similar projects include the 20,000-b/d Ningxia CTL plant in China that is currently under construction. Sasol is continuing the feasibility study of the facility in the Ningxia Hui Autonomous region as well as a Secunda CTL expansion and plans to continue feasibility studies at Mafutha in South Africa.

Sasol Synfuels International (SSI) plans an expansion of the massive Secunda site and plans to move forward with activities in Asia, namely the 80,000-b/d Ningxia CTL project with joint-venture partner Shenhua. Sasol will also continue to pursue a massive CTL project in India with the Tata Group.

Sasol's Mafutha CTL project will be located in the western part of Limpopo province, and the feasibility study will incorporate CCS technology, as well as the possible inclusion of coal-bed methane gas reserves as feedstock.

Sasol and Industrial Development Corp. (IDC) are studying the possible $16 billion investment decision to construct the 80,000-b/d Mafutha CTL project.  The capital cost of the CTL plant was estimated at $100,000 to $200,000 per barrel of daily capacity (generic industry figures).

Baard Energy's 53,000-b/d CBTL project in Ohio completed its environmental impact statement. An Ohio state lawmaker panel also signed off on a $4.5 million forgivable loan last May to assist the Columbiana County Port Authority in its efforts to develop a CTL plant in Wellsville, OH. The funds will be used by the authority to purchase and prepare a 525-acre site the Ohio River Clean Fuels Plant.  Baard plans to build the $6 billion facility near the Ohio River and has spent about $6.5 million on pre-development activities at the site.

Rentech's Natchez CTL project in Adams County in Mississippi is at the permitting stage with completion expected by 2010. Rentech said it's building the company's first commercial synthetic fuels plant, Strategic Fuels and Chemicals Complex, in Adams County, MS, near the city of Natchez, rather than at its existing fertilizer plant in East Dubuque, IL.

For more information on each of these project visit Zeus Syngas Refining Report.