0. GS Caltex Corporation August 2012 R&D Center GS Caltex Corporation
KOREA

1. Subsidiaries & Affiliates
GS Caltex Overview
The first private oil company in Korea as a JV between GS Holdings & Chevron in 1967
Chairman & CEO : Dong-Soo Hur, Ph.D.
Sales revenue(2011) : USD 42 billion / Operating Profit(2011) : USD 1.8 billion
Implemented energy business diversification and vertical integration
50%
50%
Chevron
Caltex
Lubricants
Petrochemicals
Refining & Marketing
Upstream
Subsidiaries & Affiliates
More than 10 companies
for Power Supply, City gas, & New & Renewable Business,
etc.

2. Petroleum & Petrochemicals
Introduction of R&D Center
Vision : Leading the future with global outstanding technology
R&D pursuits at GS Caltex cover future-oriented new businesses such as new energy sources, high-efficiency energy devices and advanced materials as well as the traditional fields of oil refining and petrochemicals
Boasting state-of-the-art equipment and high-caliber R&D staff, the R&D Center explores new businesses through ongoing research to drive the future growth of GS Caltex
Biochemical materials
Carbon fiber
Thin-film Battery
Electrode material for rechargeable batteries
Carbon material for EDLC
Hydrogen/fuel cell
Waste-to-energy
Charging infrastructure for electric vehicles
Solar Cell
Biofuel
Petroleum product
Lubricant product
Petrochemical product, etc.
Green
Solution
Petroleum & Petrochemicals
Advanced
Material
Energy
Device
Source

3. Bio Business and Projects
Bio Business of GS Caltex
Commercial production of biodiesel and investigation of a new bio-project by various R&D activities
Bio Business and Projects
Biofuel for Diesel
Mandatory use of biodiesel from in South Korea
GS Bio, our subsidiary company currently producing biodiesel (Capa. : 100,000 ton/yr) at Yeosu refinery complex in South Korea
Biofuel for Gasoline
Biobutanol process development in accordance with future governmental policy
Energy
Chemicals
Biopolymers
Development of renewable or biodegradable polymers using bio-based intermediates production (Nylon 4, PTT, etc)
Value added chemicals
2,3-Butanediol production from biomass and development of its derivatives (e.g. butadiene)
Finding new application of crude glycerin, a by-product from biodiesel production

4. Bio Strategy and Activities
Support and Supplement for existing oil and petrochemical industry with bio-based energy and products
Transformation of low-value by-products(or wastes) into high value added products
Pre-emptive response to government policy
Open Innovation
Strategy for strong buildup of technical value chain and timely, effective development
Global network utilization including university, research institute, company, etc
Collaboration with feedstock suppliers, plant owners for renovation needs, and people who are interested in commercial co-production and joint marketing
Main Activities
Core technologies development such as strain, fermentation, separation, and pretreatment
Integrated process optimization of core technologies
Process design and engineering for commercial scale up

5. What is Biobutanol?
Biobutanol is a valuable product as chemical and fuel
Substitute for petroleum based butanol
An advanced biofuel that has many benefits over ethanol
As transport fuel
High Energy Density
Low Water Solubility
Low Corrosive
Low Vapor Pressure
Issue of biobutanol commercialization
Low final butanol concentration ( < 20 g/L)
Low butanol productivity ( < 0.5 g/L/hr) due to low cell density
Low yield of butanol due to hetero-fermentation (0.28~0.33 g/g)
High cost of butanol recovery from low-concentration yields
Biobutanol
GS Caltex develops proprietary bacteria and process for biobutanol production!!

6. Biobutanol Development-Microbe
Strain Development
Key success factor to increase production performance such as yield, titer, productivity, and selectivity
Eliminating co-production pathway of acetone and ethanol (approx. 40% of final products)
Various types of genetically modified strains with breakthrough performance secured
Ready for the commercial production of biobutanol X
Glucose
Acetate
Acetone
Butyrate
Ethanol
Butanol
Functional pathway
Cofactor balanced
Co-products eliminated
High yield
High rate
High titer
Low byproducts
GS Caltex’s biocatalysts are microorganisms that have been designed to metabolize various sugars to produce biobutanol

7. Biobutanol Development-Process
Process Development
Continuous fermentation process using in-situ butanol recovery with high yield and productivity
Our technologies are at a world-leading level : high performance microbe, high productive bioreactor and separation process with low energy consumption
For energy saving, dehydration process is ideally combined with membrane and distillation
Integrated process and optimization could be developed by simulation techniques and engineering know-how
Basic design for commercial biobutanol plant is almost completed
Patent
More than a dozen of patents and patent applications for the innovative biobutanol process
Process Engineering
Fermentation
Separation System

8. Biobutanol Pilot Plant
Our Pilot Plant
Capacity : 30,000 L/yr or above
Fully integrated system : fermentation, butanol recovery, water separation and products purification equipments
Location : R&D Center of GS Caltex, Daejeon-city, South Korea
Funded from a Korea government

9. Lignocellulosic materials
Lignocellulosic Biomass Utilization
Development progress for utilizing 2nd generation biomass
Overcome the ethical concerns of food (1st generation biomass) as fuel
Reducing the production cost of biofuel and biochemical in the near future
Conducting a research on applications of various types of biomass to produce biomaterials and co-working with SUDOKWON Landfill Site (capital region of Korea) Management Corp (waste wood)
Pretreatment issues for cellulosic biomass
Considering a variety of pretreatment technologies such as acid, base, and enzyme
Reviewing process for low operating costs and capital expenses, as well as high yield of hydrolysis
Pretreatment
Dilute acid, Base, Enzyme, etc
Lignocellulosic materials
Solid sugar
or Sugar syrup
Construction waste wood sorting facilities
(SLC, Korea)

10. 2,3-Butanediol Development
What is 2,3-Butanediol?
One of the constitutional isomers of butanediol, catalyzing to Butadiene and MEK (methyl ethyl ketone)
Produced by microbial fermentation from various biomass, including molasses, starch, lignocellulosic materials, and crude glycerol
Our status for 2,3-Butanediol
New robust genetically engineered strains, producing 2,3-Butanediol as similar levels of ethanol with respect to titer, yield and productivity
A novel and effective 2,3-Butanediol recovery process using solvent extraction
A novel dehydrating process from 2,3-Butanediol to Butadiene and MEK using self-developed catalyst
Catalytic process
2,3-Butanediol
Fermentation
Biomass
MEK
1,3-Butadiene
2-Butene