Alternative Energy ReportAlternative Energy ReportPressure Vessel ConferencePressure Vessel Conference

STI/SPFASTI/SPFAWayne GeyerWayne Geyer

Houston, Texas May 15, 2008Houston, Texas May 15, 2008

Nuclear IncentivesNuclear Incentives

Energy Policy ActEnergy Policy Act–– New Loan Guarantees & Federal IncentivesNew Loan Guarantees & Federal Incentives–– New DC Regulatory SchemesNew DC Regulatory SchemesGlobal Warming Concerns Global Warming Concerns –– Fossil Fuels & Greenhouse GasesFossil Fuels & Greenhouse GasesOlder Plants Near RetirementOlder Plants Near RetirementGreater Demand for Power from Growing Greater Demand for Power from Growing Population BasePopulation Base14 Applications Received by NRC14 Applications Received by NRC

Texas Blazes Trail for Nuclear Texas Blazes Trail for Nuclear RenaissanceRenaissance

Eight Power Plants on Drawing BoardEight Power Plants on Drawing BoardScopeScope–– $9 Billion$9 Billion–– Last reactor took two decades to buildLast reactor took two decades to buildNRG & NRG & LuminantLuminant Plants already Plants already ProdureProdure13% of TX Energy 13% of TX Energy –– wish to double sizewish to double sizeAmarillo Power and Exelon floating Amarillo Power and Exelon floating proposalsproposals

Wind EnergyWind Energy

5,000 MW of Renewable Energy Projects 5,000 MW of Renewable Energy Projects Started in 2007 with 82,000 MW Development Started in 2007 with 82,000 MW Development for Construction Kickfor Construction Kick--Off in 2008 Off in 2008 –– 2012201227,500 MW will definitely move forward 87% 27,500 MW will definitely move forward 87% of these will come from wind energyof these will come from wind energyProduction Tax Credit (PTC) for renewable Production Tax Credit (PTC) for renewable energy development was extended through energy development was extended through December 31, 2008 & provides a 1.9 cent per December 31, 2008 & provides a 1.9 cent per kilowatt hour tax credit for electricitykilowatt hour tax credit for electricity

Wind EnergyWind Energy

66 Wind Energy Projects in advanced 66 Wind Energy Projects in advanced development stage involving $13 billion development stage involving $13 billion investment in 22 states investment in 22 states 45% growth from 2006 to 200745% growth from 2006 to 2007Three general contractors constructing Three general contractors constructing 80% of the wind farms underway80% of the wind farms underwayNew production facilities opening for New production facilities opening for turbine blades, motors & generators, turbine blades, motors & generators, cables, & electrical equipment cables, & electrical equipment Industry Industry ““sold out through 2009sold out through 2009

Wind Towers Wind Towers -- SteelSteel

Will require 6Will require 6--7 million tons of plate steel 7 million tons of plate steel over next 10 years assuming wind energy over next 10 years assuming wind energy acquires 6% of the market (100,000 MW)acquires 6% of the market (100,000 MW)623 towers/1000 MW of power (AWEA)623 towers/1000 MW of power (AWEA)43,400 towers needed to reach 6% (2020)43,400 towers needed to reach 6% (2020)An 80 (240 feet) meter tower requires 174 An 80 (240 feet) meter tower requires 174 tons of steel tons of steel –– maximum height is 120 m.maximum height is 120 m.Additional 50 tons for rotor, nacelle, and Additional 50 tons for rotor, nacelle, and frameframe

BiofuelsBiofuels

7.5 billion gallons of ethanol is produced 7.5 billion gallons of ethanol is produced annuallyannuallyEnergy Independence & Security Act of Energy Independence & Security Act of 2007 calls for 36 billion gallons by 2022 2007 calls for 36 billion gallons by 2022 (25% of gas usage)(25% of gas usage)Typical ethanol plant produces 60 Typical ethanol plant produces 60 --100 100 million gallons million gallons –– thus need 500 more plantsthus need 500 more plants1500 tons of carbon & stainless steel/plant1500 tons of carbon & stainless steel/plant

Remainder of Presentation will Remainder of Presentation will Focus on Compatibility of Steel Focus on Compatibility of Steel

with Alternative with Alternative BiofuelsBiofuels

Steel Tank Institute Compatibility Study of Steel Tank Institute Compatibility Study of BiodieselBiodiesel Completed at Southwest Completed at Southwest Research Institute This YearResearch Institute This YearStress Corrosion Cracking Concerns with Stress Corrosion Cracking Concerns with Large Ethanol Storage ContainersLarge Ethanol Storage Containers

Compatibility of Steel with BiodieselCompatibility of Steel with BiodieselObjectiveObjective

This study was cosponsored by National This study was cosponsored by National Biodiesel Board and NORA.Biodiesel Board and NORA.Measure corrosion rate of steel with Measure corrosion rate of steel with biodiesel blends using an accelerated test biodiesel blends using an accelerated test method.method.Corrosion rate measured using Corrosion rate measured using electrochemical impedance, weight loss electrochemical impedance, weight loss and optical examination.and optical examination.

Test SetTest Set--upup

Due to the low conductivity of the solution, Due to the low conductivity of the solution, a twoa two--electrode setup was used, in which electrode setup was used, in which two electrodes made out of carbon steel two electrodes made out of carbon steel were placed in the electrochemical cell at were placed in the electrochemical cell at a very small separation distance. a very small separation distance.

Steel Coupons / Two electrodesSteel Coupons / Two electrodes

Test FuelsTest Fuels

Two types of BiodieselTwo types of Biodiesel–– Soy Soy

–– Animal FatAnimal FatBiodiesel is produced from raw vegetable Biodiesel is produced from raw vegetable oils or animal fats, but the oil or fat must go oils or animal fats, but the oil or fat must go through the chemical reaction (called through the chemical reaction (called transesterificationtransesterification) to make it into biodiesel ) to make it into biodiesel

Test FuelsTest Fuels

Two types of dieselTwo types of diesel–– Ultra Low Sulfur DieselUltra Low Sulfur Diesel–– 3500 3500 ppmppm sulfur diesel sulfur diesel (heating oil)(heating oil)

Test fuelsTest fuels

Biodiesel blendsBiodiesel blends–– 0%0%–– 5%5%–– 20%20%–– 50%50%–– 100%100%Water equal to 1% of fuel volume Water equal to 1% of fuel volume added to 1/2 of the samplesadded to 1/2 of the samples

Biodiesel test setBiodiesel test set--upup

Test setup

Test cells in oven with electrical connections

Plexi glass to hold wires and keep temperature constant in oven during impedance measurement

Oven set at 43EC = 109.4F

Temp controller on top of oven

Test ApproachTest Approach

LongLong--term exposure of steel coupons to term exposure of steel coupons to biodiesel blends, petroleum fuels and biodiesel blends, petroleum fuels and waterwaterTypical low carbon steel usedTypical low carbon steel usedSteel tested as normally used, i.e., not Steel tested as normally used, i.e., not blasted or polishedblasted or polished12 week exposure at 4312 week exposure at 43EEC equivalent to C equivalent to 12 months storage12 months storage

Data CollectedData Collected

Impedance spectra collected once a week Impedance spectra collected once a week The cells were disassembled, visually The cells were disassembled, visually inspected, photographed and weighed inspected, photographed and weighed after 1 month, 2 months and 3 months at after 1 month, 2 months and 3 months at conclusion of testconclusion of test

Corrosion expectedCorrosion expected

In the fuel blends, it was expected that as In the fuel blends, it was expected that as the fuel aged, acetic acid would form the fuel aged, acetic acid would form increasing the number of charge carriers, increasing the number of charge carriers, thus increasing the corrosion rate. thus increasing the corrosion rate. But, conductivity of the fuel blends was too But, conductivity of the fuel blends was too low to measure any corrosion, even at end low to measure any corrosion, even at end of 12 week period.of 12 week period.

STI/SPFA

Visual InspectionVisual InspectionUpon visual inspection of the test Upon visual inspection of the test coupons, a small amount of surface coupons, a small amount of surface rusting was observedrusting was observed

Figure 4. Photographs of carbon steel specimens exposed to ULSD and soy-based biodiesel blends with and without the presence of water: (a) 100 % biodiesel, no wadded; (b) 50 % biodiesel + 50 %ULSD, no water added; (c) 100 % petrodiesel, no water added; (d) 100 % biodiesel, 1 vol% water added; (e) 50% biodiesel + 50 %ULSD, 1 vol% water added and (f) 100 % ULSD, 1 vol% water added. Exposure time: 2 months.

Surface RustSurface Rust

In most cases, the amount of surface In most cases, the amount of surface rusting was slightly higher in 100 % ULSD rusting was slightly higher in 100 % ULSD than in biodiesel or biodiesel + ULSD than in biodiesel or biodiesel + ULSD blends. blends. This surface rusting was caused by a This surface rusting was caused by a reaction between the surface oxide layer reaction between the surface oxide layer of the metal and the fuel blend. of the metal and the fuel blend.

Low magnification optical Low magnification optical micrographs micrographs

100% Biodiesel

50% ULSD/ 50% Biodiesel

100% ULSDNo water added to any fuel

Typical Microscope ImagesTypical Microscope Images100 % animal-based biodiesel, no water added

toolmark

1 mm

Sample 25Sample 25

Greatest weight loss occurred with 5% Greatest weight loss occurred with 5% animal based biodiesel/ ULSD/ 1% wateranimal based biodiesel/ ULSD/ 1% waterOptical examination indicated no Optical examination indicated no measurable pits on this samplemeasurable pits on this sampleCorrosion rate calculated at 0.09 mm/yrCorrosion rate calculated at 0.09 mm/yr(.00354 in/yr)(.00354 in/yr)Equates to Excellent Corrosion Resistance Equates to Excellent Corrosion Resistance ratingrating

#25 #25 -- Microscope ImagesMicroscope Images5 % animal-based biodiesel + 95 % 3500 ppm S petrodiesel, 1 vol% water added

1 mm

Sample 30 Sample 30 ––20% bio/ 80% 3500 / 1% water20% bio/ 80% 3500 / 1% water

Optical examination revealed small pitOptical examination revealed small pit

Before After

Depth profile of surface damaged found on specimen exposed to 20 % animal-based biodiesel + 80 % 3500 ppm S petrodiesel, 1 vol% water added

Greatest Pit depth = 4.57 um = 0.000179 inches

Conclusions Conclusions

Corrosion rated as Corrosion rated as ““outstandingoutstanding”” or or ““excellentexcellent””Corrosion rate so low using Corrosion rate so low using electrochemical impedance that it could electrochemical impedance that it could not be measured.not be measured.Any pits that occurred < 5 Any pits that occurred < 5 µµmm

AcknowledgementsAcknowledgements

Many thanks to both National Biodiesel Many thanks to both National Biodiesel Board (NBB) and National Oil Heat Board (NBB) and National Oil Heat Research Alliance for helping to fund this Research Alliance for helping to fund this project.project.Also a special thanks to Steve Westbrook Also a special thanks to Steve Westbrook at Southwest Research Institute for his at Southwest Research Institute for his many contributions.many contributions.

API Study of SCC API Study of SCC ––Stress Corrosion CrackingStress Corrosion Cracking

Stress Corrosion Cracking (SCC) occurring in Stress Corrosion Cracking (SCC) occurring in approximately 20 storage tanks and one pipelineapproximately 20 storage tanks and one pipelineSignificant industry standards, research & Significant industry standards, research & articles to understand storage and handling of articles to understand storage and handling of alternative fuels such as Ethanol being done by:alternative fuels such as Ethanol being done by:–– ASTMASTM–– Renewable Fuels AssociationRenewable Fuels Association–– APIAPI–– Pipeline companiesPipeline companies–– SwRI, NACE & many othersSwRI, NACE & many others

What is SCCWhat is SCCStress corrosion crackingStress corrosion cracking ((SCCSCC) is the ) is the unexpected sudden failure of normally unexpected sudden failure of normally ductile metals or tough thermoplastics ductile metals or tough thermoplastics subjected to a constant tensile stress in a subjected to a constant tensile stress in a corcorrosive environment.rosive environment.

SCC SCC NotNot Occurring in:Occurring in:

Any place where ethanol has been Any place where ethanol has been blended with gasoline blended with gasoline Smaller tanks (shop & small field erect)Smaller tanks (shop & small field erect)Ethanol manufacturing facility (process Ethanol manufacturing facility (process system, tanks or equipment)system, tanks or equipment)Transportation equipment: barges, Transportation equipment: barges, tanker cars or tanker truckstanker cars or tanker trucksAnyAny segment of Brazilian systemsegment of Brazilian system

SCC Occurs WhenSCC Occurs When

SCC SCC occurring in distribution & blending occurring in distribution & blending facilitiesfacilities::–– Field Erected tank bottomsField Erected tank bottoms–– Floating roofs & Seal componentsFloating roofs & Seal components–– Lower shells of field erected tanksLower shells of field erected tanks–– Pipe racks and associated equipmentPipe racks and associated equipment–– Pipelines from terminal to end userPipelines from terminal to end user

SCC Areas

SCC Areas

SCC Relevant FactorsSCC Relevant Factors

Hydrated vs. anhydrous form of EthanolHydrated vs. anhydrous form of EthanolDissolved oxygen contentDissolved oxygen contentLocal areas of stress concentrations Local areas of stress concentrations (even when well below design basis)(even when well below design basis)Cyclic or flexing portions of tank or pipeCyclic or flexing portions of tank or pipeLap vs. butt weld seamsLap vs. butt weld seamsCold worked or localized bending areasCold worked or localized bending areas

Other organizations & committeesOther organizations & committees

NACE committee on BiofuelsNACE committee on Biofuels–– Develop a standard on corrosion and Develop a standard on corrosion and

degradation issues for transportation and degradation issues for transportation and storage of biofuels. storage of biofuels.

Ethanol Ethanol RoadmappingRoadmapping meetingmeeting–– GovGov’’tt and Industry are pursuing major and Industry are pursuing major

initiatives to assess the opportunities and initiatives to assess the opportunities and challenges related to ethanol challenges related to ethanol

ASTM D02.14 ASTM D02.14 -- Corrosivity of Fuels Corrosivity of Fuels

Questions?Questions?

For more information on For more information on biofuelsbiofuels, contact:, contact:Lorri GrainawiLorri GrainawiDirector of Technical ServicesDirector of Technical ServicesSteel Tank InstituteSteel Tank Institutelgrainawi@steeltank.comlgrainawi@steeltank.com847.438.8265 x244847.438.8265 x244