1. Making Waste Productive

2. Creating Energy from Waste

3. Creating Energy Inputs from Current Waste Outputs ►Organic material (waste) can be converted into energy (methane) through a process called anaerobic digestion ►Applications where waste disposal costs $100,000s/year can be turned into energy worth $100,000s/year

4. Creating Energy Inputs from Current Waste Outputs ►Two industries suitable to making energy from waste outputs ●Food industry Cheese/Dairy plants Snack Food plants Prepared Food plants ●Biofuels industry

5. Converting Biomass to Energy ►The energy value of a waste stream is measured in pounds of chemical oxygen demand (COD) ►Every pound of COD digested results in 5.6 cubic feet of methane ►An effective anaerobic digester usually converts 95+% of the available COD into methane ►Every cubic foot of methane produces around 1,000 BTU’s of energy ●Approximately 5,600 BTUs in a pound of COD ►A pound of organic solids will contain around a pound of COD ►A truck load of solids can contain around 50,000 pounds of COD ●Energy potential to power a 1 MW generator on a continuous basis

6. Segregating Biomass Streams ►Process and environmental technologies segregate the insoluble fraction of a biomass stream from the soluble ●Isolate the energy potential material within a facility Clarifiers Screens All types of filtration and dissolved air flotation devices ●The isolated insoluble high energy potential stream usually ends up on a truck…

7. Types of Biomass Streams to Consider ►Hauled material ►Unsalable product ►Isolated streams ►Wastewater In most applications a significant portion of the energy is contained in a small portion of the waste

8. Three Most Common Disposal Methods ►Land application ►Landfill ►Animal feed

9. Paying others to haul and dispose of biomass... Is the waste of a valuable asset Stop feeding your cash to cows!

10. How the Anaerobic Process Works to Create Energy

11. Creating Energy Using the Anaerobic Process

12. Factors in Renewable Energy Plant Design ►Material handling ►Solids retention ►Good contact ►pH control ►Temperature control ►Nutrients ►Gas utilization

13. The Economics of Making Waste Productive

14. Factors that Weigh in an Economic Decision ►Avoided disposal cost ►Energy value ►Green value—Some options have significant federal/state taxes and other credits ●Renewable energy credits ●Emissions trading credits

15. Identifying and Evaluating Energy Potential

16. Identifying Energy Potential ►There is a potential project if… ●Gas costs greater than $7 per MM BTU ●Electricity costs greater than 7.5¢ per KWh ●The plant produces 20,000 lbs. or more COD per day ●The plant is situated where there is a Renewable Portfolio Standard (RPS) in place ●Significant avoided cost

17. Identifying Energy Potential ►By geographic area, in cooperation with regional facility (power plant, research facility, cooperative) ►By individual plant

18. Identifying Energy Potential ►By individual plant: 3-step process ●STEP ONE: Data evaluation, using existing plant data Estimate the effectiveness technology to generate energy in the form of methane gas ●STEP TWO: Lab evaluation, using actual samples of plant residuals and organic waste Determine parameters, limits and potential quantities of methane gas generation ●STEP THREE: Demonstration project Test the design parameters on waste residuals to finalize the optimum factors for a full-scale plant

19. Evaluating Energy Potential ►Demonstration project (pilot) can be an important step to developing design ►Material handling, gas storage, waste blending

20. Demonstration Project: Cheese Plant ►Project timeline: 9-29-05 to 5-25-06 ►Waste source ●Permeate stream COD concentration averaged 52,000 mg/l ►Existing disposal methods ●Recovery of whey protein concentrate ●Recovery of lactose ●Treatment of 350,000 gallons per day of waste in plant-owned treatment plant Trucked 6,000 gallon of waste from WPC and lactose recovery process

21. Demonstration Project: Cheese Plant ►Demonstration project goals ●Replicate a full-scale loading rate 50 lbs of feed COD/1000 gallons of digester liquid volume ●Determine COD Removal Efficiency ●Evaluate Gas Quality ●Evaluate Material handling needs ●Determine optimum factors for a full-scale plant

22. Demonstration Project: Cheese Plant ►Test history ●Permeate (whey filtered to remove protein) fed to digester (1-18-06―5-25-06) Average COD strength of 53,000 mg/l Ramped up until the target feed rate of 300 lbs COD/day (50 lbs/1000 gallons of digester volume)

23. Demonstration Project: Cheese Plant ►Test history: COD ●Operating at design capacity on permeate

24. Demonstration Project: Cheese Plant ►Test history: methane production ●Relatively steady Flow dropped when the gas flow was shut down to clean the gas discharge line of accumulated moisture

25. Demonstration Project: Cheese Plant ►Test history: methane flow per unit of COD removed ●Consistently within the projected flow rate of 5.6 cubic feet of methane/lb of COD

26. Demonstration Project: Cheese Plant ►Test history: BOD ●Virtually the entire BOD available has been consumed in the digester

27. Demonstration Project: Cheese Plant ►Test history: alkalinity ●Stable; most of the alkalinity is retained in the digester, conserving chemical

28. Demonstration Project: Cheese Plant ►Test history: calcium (needed for growth) ●Sufficient quantities; supplemental calcium is not required

29. Demonstration Project: Cheese Plant ►Test history: hydrogen sulfide ●A contaminant in the gas could cause operational difficulties in high concentrations; data inconclusive

30. Demonstration Project: Cheese Plant ►Test history: solids—TS, VS, TSS, VSS ●TSS-No accumulation of total suspended solids

31. Demonstration Project: Cheese Plant ►Test history: Methane and CO 2 Production ●Bag samples were collected to verify the accuracy of the on-line instruments that measure COD and methane (two manufacturers = 4 instruments)

32. Demonstration Project: Cheese Plant ►Test history ― summary ●Conversion of the dairy permeate to energy is straight forward and achievable Digester operated in a stable fashion No accumulation of COD in the digester Converted 98 percent of the COD (>99% of the BOD) to energy Gas production met the design value of 5.6 cubic feet of methane/lb of COD removed ►Energy breakdown ●80% to 100% of gas demand ●1 MW power output plus heat recovery ►Status ●Demonstration project completed ●Final plant design

33. Demonstration Project: Cheese Plant ►Projected ROI—Assumes output of gas to be burned in boilers or fed into a co-generation facility to generate electricity and waste heat ●Option A assumes the addition of a co-generation unit and the recovery of heat from that unit ●Option B assumes that the biogas is only burned in existing boilers ●Both options assume the biogas plant is NewBio’s property and the biogas utilization equipment is the client’s property ►Calculations based on 120 months contract term ●No “Green Credits” included

34. Demonstration Project: Cheese Plant ►Projected ROI

35. Demonstration Project: Cheese Plant ►Projected ROI

36. More Information ►Contact NewBio ●www.newbio.comwww.newbio.com ●mgratz@newbio.commgratz@newbio.com ●952-476-6194