This project will look at opportunities to identify specific applications/instances where biomass will be the preferred feedstock for the transition to a low-carbon industry/process. Understanding the opportunities for biomass to provide energy to industrial processes requires thorough understanding of the process, local feedstock availability, biomass chemical and physical properties and how appropriate logistics systems can be set up. Close collaboration between different supply chain actors and long-fuel supply contracts can often be key to providing the certainty needed to reduce investor risk. The scope of this project also includes a potential role for biomass as a chemical reductant, not just as a source of heat.

Blending of alternative low-carbon fuels for current high temperature processes

RP2.012 evaluated the feasibility of integrating biomass into heavy industrial processes, considering factors such as feedstock availability, supply chain logistics, technological challenges and economic feasibility.

Following a comprehensive literature review on the potential applications of biomass in various heavy industries, the project assessed the availability and current utilisation status of Australian biomass and waste, categorised into four main sources: agricultural residues, forestry residues, industry-processing residues, and urban wastes. It identified that forestry residues represent a largely untapped resource with significant potential to contribute to the decarbonisation of Australia’s heavy industries.

Through its industry engagement activities, the research team visited Grange Resources’ facilities in Tasmania, and South32’s Worsley Alumina refinery and the Forest Products Commission’s operations in Western Australia.

The project developed two case studies exploring the potential to replace natural gas with biomass-derived syngas in the iron ore pellet-making process (Grange) and the alumina calcination process (South32). Findings included:

• The cost-effectiveness of syngas is influenced by biomass cost, transportation logistics and plant capital expenditure.
• Scaling up gasification facilities does not always reduce costs due to increased biomass transportation expenses.
• Sensitivity analysis of the preliminary technoeconomic model showed that biomass-derived syngas costs vary between $11.4 and $17.1/GJ.

For iron ore pellet-making, fuel costs were relatively low as biomass can be sourced within 50-60 km. For alumina calcination, with biomass sourced from 200 km away, transportation costs affected feasibility.

Overall, the project demonstrated that the use of biomass (or its derivatives) as a pathway to decarbonise heavy industry in Australia continues to show promise.

A follow-on project, RP2.018, has been approved.

HILT CRC Project Summary RP2.012 Opportunities for Bioenergy in Australian Heavy Industry