nordic blue crude nov 19 2019, for iasa ceo gunnar holen · •project management, johan sverdrup...
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Nordic Blue Crude Nov 19 2019, for IASA
CEO Gunnar Holen Renewable fuel
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Green Aviation – 100 % CO2-neutral flights
§ Liquid electricity, CO2-neutral synthetic fuel is the solution for hard to electrify sectors. Aviation is our prioritized market
§ No new CO2-emissions. No particulates, avoidance of cirrus skies
§ 100 % replacement of fossil fuels. All existingengines can be 100 % loaded with liquid electricity, utilizing existing infrastructure.
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Elektrolyser
E Fuels – Production & Products (PtL)
Wax
Naphtha
RWGS
Fischer –Tropsch
Syngas
Oxygen
Renewable Energy is used to
split water vapor (H₂O) to
hydrogen (H₂) and oxygen
Hydrogen from electrolysis
reacts with carbon dioxide
(CO₂) and is reduced to
carbon monoxide (CO).
Synthesic gas
(H₂ and CO) is converted to
Blue fuel products consisting
of wax, enhanced premium
diesel and naphtha through
a catalytic process.
§ CO2 can be captured from air
§ Unavoidable CO2 from
concentrated industrial emissions
is cheaper
Naphtha can be used in gasoline and
as feedstock to plastic.
Carbon capture and storage can be
achieved with wax products.
Diesel
Kerosene(Jet-Fuel)
Internal
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Plant designed by Aker Solutions
Electrolyser Building
Storage Tanks
DAC
PW & Tanker Loading
Electrolyte Pit
Steam PAU
Process PAU-1
Process PAU-2
Process PAU-3
Carbon Dioxide / Hydrogen
Syngas Production
Syngas Comp. / Fischer Tropsch / Separation & Stabilisation
(9-FT Reactor / Steam Drum)
(8-CO2 Buffer Vessel)
1-Transformers
2-Rectifiers
3-Stacks
4-Separation Skids
5-EIT / Office Area
6-Electrolyser LER
7-Water Treatment
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2
3
4
5
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8
9
Existing Cable Trench
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Nordic Blue Crude “E-Fuel 1” Plant at Herøya, Norway, planned comm. 2022
E-Fuel 1 – Production plant in best existing infrastructure
Location secures affordable access to:
• Unavoidable CO2
• Renewable Hydropower
• Existing infrastructure
• Industrial expertise
• Technological innovation hub
20X scale to original plant
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Plant design phase with AKER Solutions
Main Objective: Define Main Process
Risk Mitigations
Main Objective: Cost Estimate +/- 30 %
Optimisation
Main Objective: Cost Estimate +/- 10 % &
Secure Execution
Main Objective: investment decision Place
Main ContractsMain objective: MC Complete of the Plant
Main Objective: Hand over to the end user -
Ready for Production
Summary Summary Summary Summary Summary Summary
● Concept Definition - Main Process
● Ready start up Project definition phase
●Techical definition - Defined maturity level
● Cost estimate (+/- 30 %) + updated business model
● Coarse Project Execution Strategy incl level 1 plan
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● Ready start up Basic Engineering incl. contract
● Technical qualification program define and ready
to be implemented
● Herøya agreements completed ready for signing
● Techical definition - Defined maturity level
● Tecnical qualification program competed
● Companies Detail Excution program EPC phase
completed
● Issued ITT'S main contracts and equipment
● Founding excution phase completed
● SignedHerøya agreements
● Cost estimate (+/- 10 %) incl Monte Carlo simulation
● Updated buiness case
● Documentation package for project sanctions &
decision issued
● Project decisions
● Main contracts signed
● Boarding of new personnel
● MC Complete plant ready for commissioning, start up
and operation contracts
● Boarding new personnel incl operational personnel
● Detail commission and start program and planes
completed
● Operation model & program concluded
● Plant ready for operation
● Close out of all contracts
● experience report and figures
BASIS ENGINEERING PROJECT DECISSION PLANT- MC Complete
MS 4
CA+9 WKMS 5
01.06.20
MS 6
31.12.21
PROJECT DETIAL DEFINTION
MS 1
01.06.19
MS 2
01.08.19
Concept Definition2 Month
MS 7
01.06.22
HAND OVER END USERE
Project Definition
4 Months
Basic Engineering
5 Months
Project Decision1 Month
MS 4
01.05.20MS 3
01.12.19
CONCEPT DEFINED
Execution
19 Months
Commissioning & Start up5 Months
START
• Concept developed with support from NTNU(1)
• Process patent application pending
• Firming up Letter of Intents on utilities, location & feedstock
• Plant ready for production 31 DEC 2021(1) Norwegian Technological University, Trondheim, Norway
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Balanced and Experienced Team
21/11/19 7
30+ years of Investment Banking, Corp. Finance including fundraising and M & A activity.
• Originated and participated in national and International private placements and Initial PublicOfferings (IPO).
• Previously Top Rated Investment analyst internationally.
20 + years experience in renewables industry, hydro-electric & solar in Norway, Nordics, Italyand Turkey.
• Developed, constructed and operated numerous power plants within hydro, solar and wind
30+ years experience in process and automation industries, specializing in R&D, conceptual studies, engineering.
• Senior specialist in ABB Oil and Norsk Hydro.
30+ years experience from project management positions both in onshore and offshore industry. He came from the position as Project Director in Aibel.
• Project management, Johan Sverdrup platform EPC contract, Phase 1 & 2, total contract
value USD 2bn
25+ years experience from finance and management roles including 10+ years as CFO in publiclisted companies
• Raised USD 1,5bn for a Oil service start up company including IPO
Rolf Bruknapp
Gunnar Holen
Bjørn Bringedal
Tom Henrik Sundby
Rune Løvstad
CEO
BDvt
CTO
ProjectDirector
CFO
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NBC Financing structure E-Fuel 1 (10 mill liter plant)
Type Issuer NOK mill € million %
Total 750 75 100
Grants Enova 200 20 26,7 %
Loan Bank 100 10 13,3 %
Grants EU Innovation Fund 300 30 40,0 %
Equity Strategic Investors 150 15 20,0 %
Financing Structure First Plant
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Achievable air mileage for an A320neo per ha of land
• Zero cost for infrastructure - short time to market
• Usable in hard to electrify sectors, certified for use in Aviation
• 1 000x more efficient use of land area(1)
• 85 % reduction in CO2 emissionsLCA compared to fossil fuel(2)
• Diversified product mix
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Fossil Fuels
Source: (1) Concave, Alba Soler, (2) Dipl.-Ing. Aleksandar Lozanovski, Life Cycle Engineering (GaBi), University of Stuttgart
Nordic Blue Fuel – key advantages
(km/ha)/a
Life cycle green house gas emissions (gCO2eq/MJ)
1010
EU: e-Fuel - A Necessity for Transport to Tackle Climate Change
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0
2000
4000
6000
8000
10000
12000
14000
16000
18000
2020 2030 2040 2050
Fossil Fuels Electricity H2 Methane eFuelsRenewable Liquid Fuels
ca. 10,300 PJ
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
2020 2030 2040 2050
Passenger Vehicles Buses
Rail (passenger) Rail (freight)
Trucks Ships (freight)
Aviation
Calculation based on dena/LBST „E-Fuels –The potential of electricity based fuels for low emission transport in the EU”, 2017
ca. 10,300 PJ
Energy CarrierTransportation means
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Best in Class
EIC Phase 2 Interview 28.06.2018 11
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Commercialisation Strategy
Multiple off-take agreements in place @ prices
which provides a sustainable business case
Unique advantages through location secures
affordable access to feedstock
Potential sites for expansion identified to fulfill the
ambition to scale to 1 billion liter in 2030
Key for success is access to renewable power and CO2
Wax Products
Customers
Fuel Products
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Scalable production model
2022 2024 2030
2050
Production Capacity per Plant
10 million liter 100 million liter 1 billion liter
Production capacity 2050
60 billion liter =
Approx 1/8 of
current jet-fuel
consumption
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- Many sites planned. - Each site produce up to 1 billion liters/year. Very high demand.
- Internationally experienced business team, - Top tier highly reputable partners -
- Processing and Output risks are managed and hedged- Diversity of customers, locations, different products
- IPO or Investor exit possibilities through trade sale.
- Sustained advantage due to cheap hydropower, Co2, utilities and process industry skills.
- Unique Process skills under patent pending
- Increasing demand for E Fuels- Increasing public and regulatory demand across EU
- Above average margins on contracted prices. - Repeatable business, long term contracts
Scalable
Sustainable competitiveness
Strong execution team and partners
Manageable risks
Clear exit
Attractive market
Profitable
Summary of Disruptive and Financial Factors
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Gunnar Holen• +47 952 55 825• [email protected]
Rolf Bruknapp• +47 913 26 360• [email protected]
Nordic Blue Crude ASHydrovegen 55, NO-3936 Porsgrunn
www.nordicbluecrude.no
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