Synthesis Energy Systems, Inc. (Nasdaq: SYMX) (“SES”), a global energy and gasification technology company, has developed a novel technology approach for integrating its gasification technology with renewable waste resources and natural gas technology to cleanly and cost effectively produce high-value “green chemicals” on a large scale.
The new approach grows out of the findings of an engineering study, announced on January 15, which was sponsored by a U.S.-based company and led by SES’ technical team in Houston with assistance from Fluor Enterprises, a leading global engineering, procurement, maintenance and construction company.
The study confirmed SES’ expectations for plant efficiencies, capital costs and operating costs as well as defined the optimal use of potential renewable and gas feedstock combination. The findings lead to a commercially attractive technology offering for producing chemicals such as methanol and methanol derivatives. SES believes this new, innovative approach has primary applicability near large metropolitan areas where it can enable economical production of chemicals, at nominal quantities of 500,000 tons per year. It potentially offers a long-term solution for the utilization of ever-increasing amounts of municipal waste generated worldwide.
“At the beginning of the study, we were seeking an economical solution to produce chemicals at large scale from municipal wastes utilizing the SES’ gasification technology. Through the work of our SES technical team with assistance from Fluor, we exceeded our initial expectations by significantly lowering the capital cost per unit of methanol product. This resulted from innovative integration work, which yielded a cost effective and competitive approach to the production of chemicals utilizing renewable and low cost feedstocks,” commented Robert Rigdon, president and CEO. “Equally as important, the results of this study also demonstrate that SES’ process has an attractive environmental footprint, with low emissions and carbon capture.”
About Synthesis Energy Systems, Inc.
SES provides technology, equipment and engineering services for the conversion of low rank, low cost coal and biomass feedstocks into energy and chemical products. Its strategy is to create value through providing technology and equipment in regions where low rank coals and biomass feedstocks can be profitably converted into high value products through its proprietary U-GAS® fluidized bed gasification technology, which SES licenses from the Gas Technology Institute. U-GAS® gasifies coal cost effectively, without many of the harmful emissions normally associated with coal combustion plants.
The primary advantages of U-GAS® relative to other gasification technologies are (a) greater fuel flexibility provided by the ability of SES to use all ranks of coal (including low rank, high ash and high moisture coals, which are significantly cheaper than higher grade coals), many coal waste products and biomass feed stocks; and (b) the ability of SES to operate efficiently on a smaller scale, which enables the construction of plants more quickly, at a lower capital cost, and, in many cases, in closer proximity to coal sources.
Source: Synthesis Energy Systems, Inc., press release, 2013-06-06.