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16 Overview Gas Supply Research Program at the Gas Research Institute A. FLOWERS and J. C. SHARER

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American Gas Association, 1515 Wilson Blvd., Arlington, V A 22209

The paper deals briefly with the Gas Research Institute and its research in alternative sources of gas. As a not-for-profit organization, the Gas Research Institute plans, finances, and manages applied and basic research and technological development programs associated with gaseous fuels. These programs are in the general areas of production, transportation, storage, utili­ zation and conservation of natural and manufactured gases and related products. Research results, whether experimental or analytical, are evaluated and publicly disseminated. Since the proved reserves of conventional natural gas have declined in recent years, the need for new supply options was of primary importance in the 1979 research program. Forty-four projects are being undertaken this year to further the develop­ ment of four new sources of gas supply. They are: ο Unconventional Natural Gas ο Substitute Natural Gas from Fossil Fuels ο Substitute Natural Gas from Biomass ο Nonfossil Hydrogen GRI'S HISTORY Until the organization of the Gas Research Institute, almost all cooperative research in the gas industry was carried out under the auspices of the American Gas Association (A.G.A.), the trade association of a wide cross section of the regulated gas distribution and transmission companies. With the 1973-74 o i l embargo, the gas i n d u s t r y r e a l i z e d that a major n a t i o n a l e f f o r t would be needed t o assure adequate, secure, and environmentally acceptable s u p p l i e s of a l l forms of energy. The concept o f GRI was based on the recommendation of an ad hoc committee of the Boards of A.G.A. and the I n t e r s t a t e N a t u r a l Gas A s s o c i a t i o n of America (INGAA), the trade a s s o c i a ­ t i o n of the i n t e r s t a t e p i p e l i n e companies. GRI was i n c o r p o r a t e d i n I l l i n o i s as a n o t - f o r - p r o f i t s c i e n t i f i c research c o r p o r a t i o n 0-8412-0569-8/80/47-133-323$05.00/0 © 1980 American Chemical Society

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

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on J u l y 8, 1976, f o l l o w i n g the approval of these recommendations by the A.G.A. and INGAA Boards. At the beginning of 1977, GRI began r e c r u i t i n g c h a r t e r members. Charter membership dues and c o n t r i b u t i o n s by A.G.A. and INGAA provided i n i t i a l funds, and committees composed of gas i n d u s t r y executives and c o n s u l t a n t s from o u t s i d e the gas i n d u s t r y a s s i s t e d i n o r g a n i z i n g GRI. GRI s progress was given great impetus when the former Federal Power Commission (FPC) proposed a r u l e change that would a l l o w advance approval of R&D programs developed under a s e t of c a r e f u l l y drawn g u i d e l i n e s by o r g a n i z a t i o n s which d e r i v e f i n a n c i a l support from companies under FPC j u r i s d i c t i o n . The proposed r e g u l a t i o n s were adopted by the FPC i n June 1977, and GRI has s i n c e been o p e r a t i n g under them, as promulgated by FPC's successor, the F e d e r a l Energy Regulatory Commission (FERC). To provide an o b j e c t i v e b a s i s f o r i t s program, GRI establ i s h e d an e f f e c t i v e planning methodology which i n t e g r a t e s c o s t b e n e f i t and s t a t e - o f - t h e - a r t s t u d i e s of r e l e v a n t technologies w i t h the expert judgment of four advisory bodies appointed by and r e p o r t i n g to the Board of D i r e c t o r s . Members of these a d v i s o r y bodies p a r t i c i p a t e d i r e c t l y i n the planning process, and a r e e s p e c i a l l y s e n s i t i v e to the broad n a t i o n a l i n t e r e s t . The culmina t i o n of the planning process i s the f i v e - y e a r p l a n and annual program t h a t i s submitted y e a r l y t o the FERC f o r approval. Most simply s t a t e d , GRI's program i s designed to i d e n t i f y and pursue those s c i e n t i f i c and t e c h n o l o g i c a l o p p o r t u n i t i e s that best meet the needs of the gas consumers served by the nation's r e g u l a t e d p i p e l i n e and d i s t r i b u t i o n companies.

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THE OVERALL GRI R&D PROGRAM In 1978, GRI administered about 60 c o n t r a c t s comprising most of the former research programs of the A.G.A. These were the u t i l i t y research program, funded a t $9.7 m i l l i o n , and the c o a l g a s i f i c a t i o n program, funded i n the past a t an annual r a t e of $10 m i l l i o n by the gas i n d u s t r y and $20 m i l l i o n by the DOE. A.G.A. continued to r a i s e funds from i t s members during a l l of 1978 f o r u t i l i t y research and f o r the f i r s t h a l f of 1978 f o r c o a l g a s i f i c a t i o n research. GRI r a i s e d or obtained commitments from the former c o a l g a s i f i c a t i o n s u b s c r i b e r s to cover the approximately $5 m i l l i o n gas i n d u s t r y share f o r the second h a l f of 1978. With approval by the FERC of the 1978 R&D program, GRI began to n e g o t i a t e and l e t c o n t r a c t s f o r a supplemental program, l a r g e l y i n the areas of unconventional n a t u r a l gas supply and gas c o n s e r v a t i o n . Since the FERC funding mechanism d i d not become e f f e c t i v e u n t i l June 1 and cash flow from i n t e r s t a t e s a l e s and t r a n s p o r t a t i o n s e r v i c e s d i d not s t a r t u n t i l l a t e summer, GRI r e c e i v e d only approximately $6 m i l l i o n f o r the FERC approved 1978 R&D program and was not able t o p l a c e c o n t r a c t s f o r a l l of i t s intended program during the 1978 calendar year.

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

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In 1979, GRI w i l l a d m i n i s t e r over approximately 150 con­ t r a c t s , a l l of which a r e being funded by the FERC funding mechanism. The t o t a l GRI R&D budget i s about $36 m i l l i o n and can be broken down by percentage among the 5 o p e r a t i n g d i v i s i o n s as shown i n Table I .

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TABLE I - PERCENTAGES OF GRI R&D BUDGET BY DIVISION 1980 45% 32% 6% 9% 8% 100%

1979 Gas Supply 56% Efficient Utilization 27% Planning (Economic & Systems A n a l y s i s ) 6% Environment and Safety 6% B a s i c Research 5% 100%

GRI sumbitted i t s 1980 Program t o FERC on June 4, 1979. This p l a n i s i n the approval process a t the time t h i s paper was w r i t t e n . The t o t a l R&D budget request was about $50 m i l l i o n and can be broken down amongst the o p e r a t i n g d i v i s i o n s as shown i n Table I . THE GAS SUPPLY PROGRAM 11

The proven reserves of so c a l l e d " c o n v e n t i o n a l n a t u r a l gas have d e c l i n e d i n recent years and the need f o r a d d i t i o n a l s u p p l i e s and new supply options have been i d e n t i f i e d as a h i g h p r i o r i t y requirement t o b e n e f i t the gas consumers. Therefore, the GRI Gas Supply Program has been e s t a b l i s h e d t o i d e n t i f y , e v a l u a t e , and develop new gas s u p p l i e s that w i l l guarantee abundant q u a n t i t i e s of gaseous f u e l s f o r gas consumers i n the f u t u r e . To f u l f i l l t h i s o b j e c t i v e the GRI Gas Supply Program has been d i v i d e d i n t o the f o l l o w i n g subprograms: ο Unconventional N a t u r a l Gas ο SNG from Coal ο SNG from O i l Shale ο SNG from Biomass ο Hydrogen These subprograms have been developed t o p r o v i d e f o r near, mid- and long-term gas o p t i o n s . I t i s e s s e n t i a l that a w e l l conceived, p r o p e r l y managed, gas supply program having a h i g h p r i o r i t y and a h i g h funding l e v e l , be maintained such that m u l t i p l e gas options can be adequately i n v e s t i g a t e d . P r i o r i t i z a ­ t i o n to a " s i n g l e gas supply o p t i o n " a t t h i s time w i l l not y i e l d a cost e f f e c t i v e research program and w i l l not be i n the best i n t e r e s t of the gas consumer. Near term options i n c l u d e p r i m a r i l y the unconventional n a t u r a l gas resources (Western t i g h t gas sands, Eastern Devonian gas s h a l e s , geopressured a q u i f e r s , and methane from c o a l de^ p o s i t s ) . Mid-term options i n c l u d e c o a l g a s i f i c a t i o n (peat

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

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i n c l u d e d ) , i n - s i t u c o a l g a s i f i c a t i o n and biomass. Long-term options i n c l u d e hydrogen. In e v a l u a t i n g and p r i o r i t i z i n g these programs, options that do not make t e c h n i c a l or economic sense are e l i m i n a t e d . For example, SNG from O i l Shale w i l l not r e c e i v e funding i n 1980 because no r e a l advantages have been i d e n t i f i e d i n o i l shale g a s i f i c a t i o n over c o a l . In a s i m i l a r manner, budget a l l o c a t i o n s have been determined by not only im­ pacts on gas s u p p l i e s but a l s o on the funding requirements f o r developing these options i n a cost e f f e c t i v e manner. To maximize the output from our program and to f u l f u l l our s t a t e d o b j e c t i v e s i n the most t i m e l y and cost e f f e c t i v e manner, i t i s e s s e n t i a l to be informed w i t h respect to the DOE and indus­ t r y programs, coordinate w i t h these programs where p o s s i b l e , and co-fund and co-manage p r o j e c t s that w i l l s a t i s f y the needs of the GRI program. GRI has attempted to coordinate a l l subprograms w i t h i n the Gas Supply D i v i s i o n through d i s c u s s i o n w i t h a p p r o p r i a t e DOE personnel. GRI b e l i e v e s that our program planning w i t h DOE has produced a w e l l conceived coordinated e f f o r t from both the GRI and DOE standpoint. 1.1

UNCONVENTIONAL NATURAL GAS

Research to date has shown t h a t a s i g n i f i c a n t resource base e x i s t s i n what i s commonly c a l l e d Unconventional N a t u r a l Gas Resources. These resources d i f f e r i n g e o l o g i c a l formation and geographical l o c a t i o n and are t y p i c a l l y c a t e g o r i z e d as f o l l o w s : ο Western Tight Gas Sands ο Eastern Devonian Gas Shales ο Methane from Coal Deposits ο Geopressured A q u i f e r s ο Gas Hydrates. P o t e n t i a l resource bases and the economic b e n e f i t s of using the resource are being determined f o r unconventional n a t u r a l gas sources. Numerous assessments have been performed by DOE, the gas i n d u s t r y , and other groups. The ranges of resource estimates from these assessments are summarized below. UNCONVENTIONAL GAS RESOURCE ESTIMATES RESOURCE

ESTIMATED TOTAL RESOURCE IN-PLACE TCF*

50 Western Gas Sands 75 Eastern Gas Shales 72 Methane from Coal Deposits 3,000 Geopressured Methane 450 Gas Hydrates * T r i l l i o n Cubic Feet **Represents p o s s i b l e t o t a l world supply

RECOVERABLE RESOURCE TCF*

23 600 10 700 15 860 150 50,000 30 X 106**

- 313 - 504 - 487 - 2,000

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

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There i s c o n s i d e r a b l e disagreement oyer both the amount of the resources i n p l a c e and the economics of t h e i r recovery. However, there i s general agreement t h a t ; ο There are c o n s i d e r a b l e q u a n t i t i e s of gas to be recovered even at c o n s e r v a t i v e estimates. ο The d i f f e r e n c e s i n resource estimates and the u n c e r t a i n ­ t i e s i n the economics of recovery show the need f o r R&D. We have i n i t i a t e d p r o j e c t s i n 1979 that are coordinated w i t h DOE. In 1979, GRI w i l l complete the development of d e t a i l e d subprogram plans i n c l u d i n g s p e c i f i c a t i o n of those tasks that w i l l be co-funded w i t h DOE. Core samples, s t i m u l a t i o n , and p r o d u c t i o n data w i l l be c o l l e c t e d from w e l l s i n western t i g h t sand formations and geopressured zones. Laboratory data on the e f f e c t s of gas f r a c t u r i n g on s p e c i f i c Devonian shale formations w i l l be c o l ­ l e c t e d . These data c o l l e c t i o n a c t i v i t i e s w i l l b e t t e r c h a r a c t e r i z e the g e o l o g i c s t r u c t u r e of gas-containing formations and w i l l d e f i n e the extent to which new technology development i s neces­ sary. S p e c i f i c technology developments i n i t i a t e d i n 1979 i n c l u d e t e s t i n g of d i a g n o s t i c techniques to determine s t i m u l a t i o n e f f e c t s , determination of f l o w and c o r r o s i o n p r o p e r t i e s of geopressured b r i n e s , and e v a l u a t i o n of t u r b o d r i l l hardware f o r use i n c o a l seams. 1.2

SNG FROM COAL

The production of s y n t h e t i c n a t u r a l gas (SNG) from c o a l i s considered one of the major a l t e r n a t i v e s f o r augmenting the t i g h t e n i n g s u p p l i e s of n a t u r a l gas i n the United S t a t e s . Coal (bituminous, sub-bituminous, l i g n i t e and peat) represents 70% to 80% of the remaining f o s s i l f u e l reserves i n the United States and i s , t h e r e f o r e , the most l o g i c a l m a t e r i a l f o r conversion to SNG. Of course, i t has long been p o s s i b l e to manufacture SNG from c o a l by a proven commercial process ( L u r g i ) , but s i g n i f i c a n t improvements are p o s s i b l e . This subprogram aims to develop modern c o a l g a s i f i c a t i o n processes w i t h dramatic improvements i n e i t h e r t e c h n i c a l s i m p l i c i t y , higher e f f i c i e n c y , or lower c o s t . The SNG from c o a l subprogram i s broken down i n t o three p r o j e c t areas: ο G a s i f i c a t i o n Processes ο A s s o c i a t e d Technologies ο In-Situ Gasification A l a r g e p i l o t - p l a n t research program was s t a r t e d i n 1971 to develop s e v e r a l c o a l g a s i f i c a t i o n concepts which u t i l i z e modern engineering techniques. This e f f o r t was funded by DOE (ERDA, OCR) and GRI (A.G.A.) on a 2/3 to 1/3 b a s i s , r e s p e c t i v e l y . I t i n ­ cluded s e v e r a l c o a l g a s i f i c a t i o n processes that were ready f o r p i l o t p l a n t s c a l e t e s t i n g at t h a t time. This j o i n t program has completed i t s e i g h t h year of o p e r a t i o n s , and a l l the g a s i f i c a t i o n processes i n the o r i g i n a l J o i n t Program s t a r t i n g i n 1971, except two, have been terminated or s u c c e s s f u l l y completed. The two

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

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remaining processes are BI-GAS and HYGAS. BI-GAS, because of t e c h n i c a l problems and l a c k of good economic p o t e n t i a l , was dropped at the end of 1978 from the J o i n t Program at the request of GRI. HYGAS Steam/Oxygen has been the most s u c c e s s f u l of the processes i n the J o i n t Program. The HYGAS P i l o t P l a n t w i l l be operated through 1980 to support a demonstration p l a n t design e f f o r t funded by DOE. The c o n t i n u i n g search f o r t e c h n i c a l and economic improvements i n the c o a l g a s i f i c a t i o n areas has provided i n c e n t i v e s to develop newer process concepts s t a r t i n g i n 1979. The J o i n t Program f o r 1979 i n c l u d e s processes i n the Process Development U n i t (PDU) stage of development which promise t e c h n i c a l and/or economic improvements. G a s i f i c a t i o n processes i n c l u d e d i n the 1979 program are : a. HYGAS Steam/Oxygen b. PEATGAS Process c. Exxon C a t a l y t i c Process d. Westinghouse F l u i d Bed Process e. Rockwell H y d r o g a s i f i c a t i o n Process f. B e l l Aerospace High Mass F l u x Process The HYGAS p r o j e c t was dropped from the J o i n t Program on June 30, 1979. The remaining processes r e c e i v e d s e v e r a l independent c r i t i c a l e v a l u a t i o n s during 1979. These e v a l u a t i o n s p o i n t e d out that the Rockwell process cannot c l a i m d i s t i n c t advantages over e a r l i e r technology. Therefore, i t w i l l not be i n c l u d e d i n our 1980 program. In c r i t i c a l review of the SNG from Coal subprogram, i t became evident that research e f f o r t s d i r e c t e d to the operations upstream and downstream of the g a s i f i e r must be s u b s t a n t i a l l y increased to achieve o p t i m i z a t i o n of the o v e r a l l c o a l g a s i f i c a t i o n p l a n t and to achieve maximum cost r e d u c t i o n s . The present s t a t e - o f - t h e - a r t technology f o r the conversion of raw gas e x i t i n g the g a s i f i e r i n t o p i p e l i n e q u a l i t y SNG i s not very s a t i s f a c t o r y . Enormous volumes of gas are c o o l e d , reheated, cooled a g a i n , reheated a g a i n , and cooled f o r a t h i r d time. Steam i s added to the gas, and condensate i s s u b t r a c t e d twice ( e a r l i e r and l a t e r ) . This s e r i e s of o p e r a t i o n s i s complex and c o s t l y . This area o f f e r s l o t s of o p p o r t u n i t y f o r s p e c t a c u l a r process improvement w i t h the p o t e n t i a l of h i g h economic p a y o f f . M a t e r i a l s of c o n s t r u c t i o n are becoming more c r i t i c a l w i t h development of the newer processes and u n i t o p e r a t i o n s . Theref o r e , an expanded m a t e r i a l s research program i s e s s e n t i a l to the s u c c e s s f u l development of a c o a l g a s i f i c a t i o n i n d u s t r y . Engineering e v a l u a t i o n has become extremely important to the SNG from Coal subprogram because of the need to c r i t i c a l l y assess the t e c h n i c a l and/or economic impacts of the research p r o j e c t s being funded. In order to s e l e c t processes having a g r e a t e r p o t e n t i a l f o r t e c h n i c a l and/or economic advantages over other processes at the e a r l i e s t p o s s i b l e time and to maximize p r i o r i t i z a t i o n w i t h i n the SNG from Coal subprogram, i n c r e a s e d e f f o r t s i n

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

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engineering e v a l u a t i o n s was deemed e s s e n t i a l . I n - s i t u c o a l g a s i f i c a t i o n appears to have the p o t e n t i a l of producing SNG at a lower cost than above-the-ground p r o c e s s i n g . For the f i r s t time, a process i s being developed that has shown some p o t e n t i a l of being developed i n t o a workable process. Therefore, t h i s process deserves f u r t h e r development to determine i f l a r g e - s c a l e underground c o a l g a s i f i c a t i o n i s t e c h n i c a l l y f e a s i b l e and to develop s u f f i c i e n t data f o r a good economic evaluation. The Lawrence Livermore Laboratory i n - s i t u c o a l g a s i f i c a t i o n p r o j e c t has the o b j e c t i v e of producing s y n t h e s i s gas t h a t can be upgraded to SNG. An i n i t i a l two-day oxygen burn d u r i n g 1978 i n d i c a t e d that oxygen g a s i f i c a t i o n appeared f e a s i b l e . The work p l a n f o r 1979 w i l l develop a d d i t i o n a l data w i t h a longer d u r a t i o n oxygen burn i n a shallow c o a l bed u s i n g d i r e c t i o n a l d r i l l i n g to assure a p o s i t i v e connection between the i n j e c t i o n and p r o d u c t i o n w e l l s . I f the 1979 e f f o r t i s s u c c e s s f u l , the next step i n t h i s development i s to v e r i f y the 1979 r e s u l t s i n a deep c o a l bed. 1.3

SNG FROM OIL SHALE

O i l Shale i s second to c o a l as the most abundant p o t e n t i a l source of raw m a t e r i a l f o r supplemental gas s u p p l i e s . The DOE development program on o i l s h a l e i s focused on the p r o d u c t i o n of l i q u i d s by thermal r e t o r t i n g , e i t h e r by above-ground or i n - s i t u p r o c e s s i n g . GRI has been funding the development of a h y d r o g a s i f i c a t i o n process that can handle both Eastern and Western shales to produce a range of gaseous or high-grade l i q u i d f u e l s depending on the o p e r a t i n g c o n d i t i o n s s e l e c t e d . The PDU program i s now n e a r i n g completion and the next step would be the p i l o t p l a n t t e s t i n g where a s u b s t a n t i a l amount of funding i s required. GRI considers SNG from O i l Shale to have lower p r i o r i t y then c o a l s i n c e c o a l i s f a r advanced i n the development c y c l e . In reviewing developments to date, no r e a l advantages have been determined i n o i l shale g a s i f i c a t i o n over c o a l . Therefore, GRI decided that SNG from O i l Shale w i l l be h e l d at the PDU l e v e l u n t i l the c o a l program i s f u l l y developed or whenever the resumpt i o n of development of the s h a l e program i s warranted. 1.4

SNG FROM BIOMASS

A very promising long-range s o l u t i o n to the problem of f o s s i l - f u e l d e p l e t i o n i s to convert a major source of c o n t i n u o u s l y renewable carbon to SNG. The g r e a t e s t p o t e n t i a l sources of t h i s carbon are water- and land-based biomass produced from ambient carbon d i o x i d e and s o l a r energy by p h o t o s y n t h e s i s . Biomass i s defined as a l l growing o r g a n i c matter (such as p l a n t s , t r e e s , algae, and organic wastes) and, i t i s p e r p e t u a l l y renewable. The p r o d u c t i o n of SNG from low-cash-value, h i g h - f u e l - v a l u e biomass

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

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330

THERMODYNAMICS OF AQUEOUS SYSTEMS WITH INDUSTRIAL

APPLICATIONS

would o f f e r a major, c o n t r o l l a b l e , n o n p o l l u t i n g , s t o r a b l e resource of f o s s i l - f u e l s u b s t i t u t e s . The SNG from Biomass subprogram i s broken down i n t o three p r o j e c t areas: ο Land-Based Biomass ο Water-Based Biomass ο Wastes. Land-based biomass has a p o t e n t i a l of p r o v i d i n g from 7 t o 11 quads/year of SNG i f a l l a v a i l a b l e marginal land s u i t a b l e f o r the growing of crops could be u t i l i z e d . However, t h e d o u b t f u l a v a i l a b i l i t y of land and water f o r growing land-based biomass s p e c i f i c a l l y f o r SNG p r o d u c t i o n gives t h i s supply o p t i o n a lower p r i o r i t y than water-based biomass. The i n i t i a l stage of the pro­ j e c t concentrates on i d e n t i f y i n g n a t u r a l species that w i l l pro­ duce a maximum q u a n t i t y of gas. The Marine Biomass Program has the o v e r a l l o b j e c t i v e of developing an i n t e g r a t e d system f o r the p r o d u c t i o n of methane gas from marine biomass on a commercial s c a l e t h a t w i l l p r o v i d e a major c o n t r i b u t i o n to the n a t i o n ' s gas supply. Giant brown k e l p grows n a t u r a l l y along the coast of C a l i f o r n i a . I t i s commercially harvested by two chemical companies f o r use as a food a d d i t i v e and animal feed supplement. I n the Marine Biomass Program, sponsored by the Gas Research I n s t i t u t e , Department of Energy, and New York State ERDA, the k e l p w i l l be grown and c u l t i v a t e d i n the open ocean on an a r t i f i c i a l s t r u c t u r e w i t h f e r t i l i z e r being s u p p l i e d by mechanically upwelled, n u t r i e n t - r i c h , deep ocean water. The k e l p i s then mechanically harvested and converted to methane by the anaerobic d i g e s t i o n process. A t e s t farm has been deployed about 5 m i l e s o f f the coast of C a l i f o r n i a and has been i n o p e r a t i o n f o r about 9 months. Labora­ t o r y experiments are a l s o underway i n v o l v i n g k e l p pretreatment, post-treatment and conversion to methane u t i l i z i n g both sewage based and marine based i n o c u l a . The upper l i m i t of energy p o t e n t i a l l y capable of being produced from a marine o r ocean based biomass has not y e t been determined, but i t i s estimated t h a t the p o t e n t i a l c o n t r i b u t i o n to the long-term U.S. energy supply could be a t l e a s t equal t o today's n a t u r a l gas consumption o r 20 quads per year. Our enthusiasm f o r the program i s based on the f o l l o w i n g assessments : 1. A v i r t u a l l y u n l i m i t e d p o t e n t i a l e x i s t s f o r growing a huge biomass resource i n t h e ocean. 2. No s c i e n t i f i c breakthroughs are r e q u i r e d to commercial­ i z e t h i s concept. 3. P r e l i m i n a r y s t u d i e s i n d i c a t e gas costs could be competi­ t i v e w i t h other SNG sources. 4. The biomass i s a renewable resource w i t h no apparent negative environmental impacts. Another source of n o n - f o s s i l carbon that can be used t o pro­ duce SNG i s o r g a n i c wastes. The growing environmental and

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.

16.

FLOWERS AND SHARER

Gas Supply Research Program

331

p o l l u t i o n problems caused by the generation o f organic wastes i n the United States provide an o p p o r t u n i t y t o combine waste recovery w i t h the production of SNG. Considering the amount of organic s o l i d s economically a v a i l a b l e f o r c o n v e r s i o n , a p o t e n t i a l of about 1 to 1 . 5 quads of SNG per year could be produced. Industry and government have been funding R&D e f f o r t s i n t h i s area f o r s e v e r a l years. GRI has given t h i s supply o p t i o n a low p r i o r i t y .

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1.5

HYDROGEN

Hydrogen i s of i n t e r e s t as a means t o d e l i v e r gaseous f u e l from n o n - f o s s i l primary energy resources such as n u c l e a r r e a c t o r s , or h i g h temperature s o l a r c o l l e c t o r s . I t i s b e l i e v e d that hydro­ gen may phase i n t o the energy market a t such a time when f o s s i l based f u e l s e i t h e r become too expensive o r environmentally u n s a t i s f a c t o r y . Hydrogen and biomass a r e the only two p o t e n t i a l l y v i s i b l e options a t the present time f o r the gas i n d u s t r y i f that does take p l a c e . Hydrogen i s used today as a unique i n d u s t r i a l chemical i n petroleum p r o c e s s i n g and i n the s y n t h e s i s of ammonia and methanol, and other organic chemicals. The world wide p r o d u c t i o n of hydrogen has increased by three orders of magnitude i n the l a s t four decades. At present, the amount of U.S. energy consumed to produce i n d u s t r i a l hydrogen i s about 1 . 4 quads/year which i s more than 1% of the t o t a l n a t i o n a l energy use and i s expected to i n c r e a s e t o about 5 quads/year by the year 2 0 0 0 . Most of t h i s hydrogen i s produced by steam reforming n a t u r a l gas or l i g h t o i l s . Hydrogen can be considered an insurance p o l i c y f o r the gas i n d u s t r y . The time frame f o r which hydrogen becomes economically v i a b l e , i s , a t t h i s stage, unknown. Long range research programs, at low funding l e v e l s can i d e n t i f y the v i a b i l i t y of hydrogen producing schemes. At t h i s stage of r e s e a r c h , GRI i s only i n t e r ­ ested i n the production of hydrogen. The u n c e r t a i n t y of the economics of producing hydrogen from water i s the key problem t o the implementation of u t i l i z i n g hydrogen as a gaseous f u e l . Other areas such as t r a n s p o r t a t i o n , s t o r a g e , d i s t r i b u t i o n and u t i l i z a t i o n are not being i n v e s t i g a t e d by GRI. Research i n these areas should be delayed u n t i l l a r g e - s c a l e , economical, production techniques appear f e a s i b l e . The Hydrogen subprogram has been d i v i d e d i n two p r o j e c t areas : ο Thermochemical Hydrogen ο E l e c t r o l y t i c Hydrogen Thermochemical Hydrogen i s concerned w i t h the p r o d u c t i o n of hydrogen as a gaseous f u e l through a c l o s e d loop thermochemical process f o r w a t e r - s p l i t t i n g . There are two ongoing p r o j e c t s i n t h i s area. The second p r o j e c t area i n v o l v e s the o p t i m i z a t i o n of water e l e c t r o l y s i s technology. RECEIVED January 3 1 , 1 9 8 0 .

In Thermodynamics of Aqueous Systems with Industrial Applications; Newman, S., et al.; ACS Symposium Series; American Chemical Society: Washington, DC, 1980.