New Coal to Liquids Process significantly more efficient

Yet another process which will shore up hydrocarbon based heavy trucking during the depletion phase of peak oil has been created.
Previously there has existed the Fischer-Tropf process which allows conversion of coal to liquids, with significant energy costs, coal and other inputs including hydrogen.

This new process has been developed by a company called Quantex Energy based out of Calgary, Alberta and is significantly more efficient than the Fischer Tropf process to the point of estimating that it could be easily scaled to "millions of barrels per day in North America".

See www.quantex.com for news. Quote from the site follows:

"Quantex Energy Inc is developing a process which seeks to refine coal as easily and inexpensively as crude oil processing. Taking advantage of the fact that the hydrocarbon refining industry has already developed the technology for "upgrading" heavy hydrocarbons such as Venezuelan Orinoco crude, or Alberta Oil Sands crude, Quantex Energy Inc seeks to produce liquids that meet the same specifications as heavy crude.

This new process is in distinct contrast to processes of the 1970s and earlier, which assumed that coal should only be made only into sweet light crudes. Consequently, protocols of the 1970s called for adding 30 pounds of hydrogen per barrel of synthetic crude, in turn requiring enormous high pressure reactors with hour long processing times. In contrast, the Quantex Energy Inc process requires only a few pounds of hydrogen to liquefy coal. It is primarily a depolymerization and cracking process. The reasons why the Quantex process is perceived to be advantageous compared to conventional direct liquefaction are:

* Requires significantly less hydrogen per barrel versus other CTL technology
* Hydrogenation is accomplished through a patent pending process
* Requires only minutes of processing time rather than hours in the break through bio-hydrogenation reactor
* Is accomplished at pressures significantly lower then competitive processes
* No molybdenum or cobalt catalysts are required.

Unlike the Fischer-Tropsch indirect liquefaction process, the Quantex coal to liquids process produces no carbon dioxide during the liquefaction process. The Quantex process is not based on gasified coal at all. Rather, the Quantex process is a simpler-cheaper-faster direct liquefaction process, which seeks to produce commodity fuels and chemicals-particularly heavy products such as pitches and heavy crude at the lowest achievable pressure and residence time.

Hence, given the enormous amount of coal reserves in Canada and the United States, the Quantex process can be scaled to the level of millions of barrels per day at a fraction of the cost of conventional liquefaction schemes."

Peak Oil Specific Wind Intermittency Game Changer

Some German researchers have come up with an additional and novel way to store excess power from wind turbines when more power is being produced than can be absorbed by the grid: they convert it into natural gas. At a 60% efficient conversion rate with electric power already being 4X as efficient as fossil fuel we are looking at something very very interesting.

The full story is found at Science Daily.
Following are some selected quotes

ScienceDaily (May 5, 2010) — Renewable electricity can be transformed into a substitute for natural gas. Until now, electricity was generated from gas. Now, a German-Austrian cooperation wants to go in the opposite direction. In the future, these researchers and entrepreneurs would like to store surplus electricity -- such as from wind power or solar energy -- as climate-neutral methane, and store it in existing gas storage facilities and the natural gas network.
One advantage of the technology:it can use the existing natural gas infrastructure. A demonstrationsystem built on behalf of Solar Fuel in Stuttgart is already operating successfully. By 2012, a substantially larger system -- in the double-digit megawatt range -- is planned to be launched.

For the first time, the process of natural gas production combines the technology for hydrogen-electrolysis with methanisation. "Our demonstration system in Stuttgart separates water from surplus renewable energy using electrolysis. The result is hydrogen and oxygen," explains Dr. Michael Specht of ZSW. "A chemical reaction of hydrogen with carbon dioxide generates methane -- and that is nothing other than natural gas, produced synthetically."


The storage reservoir of the natural gas network extending through Germany is vast: It equals more than 200 terawatt hours -- enough to satisfy consumption for several months.

"The new concept is a game changer and a new significant element for the integration of renewable energies into a sustainable energy system," adds Sterner. The efficiency of converting power to gas equals more than 60 percent. The predominant storage facility to date -- pumped hydro power plants -- can only be expanded to a limited extent in Germany.

Starting in 2012, they intend to launch a system with a capacity of approximately 10 megawatt.

Wind intermittency problem solved conclusively and cost effectively.

Out on the web, it's recently been reported that the town of Presidio, Texas (population approx 7,500) has just installed a large sodium sulfur battery with a capacity of 32 MWH which they have affectionately named "Bob" at a cost of $25 million dollars. That's interesting you say, so what?

Well this is the final step in making wind non intermittent.

Why?

This battery is capable of powering the entire town's entire electricity needs for 4 straight hours.

So what?

Well, do the math. At a total cost of $25 million dollars, that comes out to about $3K per resident.

$3K per resident is hardly going to break the bank.

If this technology was implemented in wind farms all over the country it would lead to a situation where excess wind power could be stored and delivered on demand.

That would in turn lead to a much higher percentage of wind as a proportion of generating capacity being installable without having to upgrade the grid.


In addition, this technology makes it possible for wind turbines to compete as storable sources of energy for electric vehicles. Imagine this: along the interstates, there are car charging stations built with their own windfarms attached along with a number of these sodium sulfur batteries. The energy to charge the cars is gotten from the wind when the wind is blowing but delivered ON DEMAND. We're talking effectively about fixed price fuel for driving in unlimited quantities.

A scientific american article has this to say

So Xcel Energy, Inc., has become one of the first utilities in the U.S. to install a giant battery system in an attempt to store some of that wind power for later. "Energy storage might help us get to the point where we can integrate wind better," says Frank Novachek, director of corporate planning for the Minneapolis-based utility with customers in Colorado, Kansas, Michigan, Minnesota, New Mexico, the Dakotas, Oklahoma, Texas and Wisconsin. "The overall cost of electricity might be lower by using energy storage."

The energy storage in question—a series of sodium–sulfur batteries from Japan's NGK Insulators, Ltd.—can store roughly seven megawatt-hours of power, meaning the 20 batteries are capable of delivering roughly one megawatt of electricity almost instantaneously, enough to power 500 average American homes for seven hours. "Over 100 megawatts of this technology [is] deployed throughout the world," Novachek says. The batteries "store wind at night and they contract with their utility to put out a straight line output from that wind farm every day."

That removes one of the big hurdles to even broader adoption of wind power: so-called intermittency. In other words, the wind doesn't always blow when you want it to, a problem Texas faced earlier this year when a drop in wind generation forced cuts in electricity delivery. But with battery backup, the 11-megawatt wind farm outside Luverne, Minn., can deliver a set amount of electricity at all times, making it more reliable or, in industry terms, base-load generation. Plus, the battery effectively doubles the wind farm's output at any given moment—both the megawatt being produced by the wind farm itself (that would otherwise have gone to charging the battery) and the megawatt delivered by the battery.

These guys are not the only ones either. Ceramatec, VRB Power Systems, IBM and others are all working on advanced batteries of one kind or another.

Since the cost of installation of wind turbines are currently on par with new gas turbines, and dwindling supplies of coal can only get more expensive as time goes on, it seems we are now closing in on the end of the fossil fuel age.

First Pre-Production Chevy Volts Roll Off Production Line

I was a little skeptical that GM was really going to do it and was relying more on the Chinese and Japanese to lead us into the post-oil personal transportation age but it seems that GM really is serious. The plug-in hybrid is an excellent solution to the peak oil transition period. If GM and others can ramp up production at least to offset the decline in availability of gasoline post peak then we won't even see large numbers of people having to take the bus because gas prices spike.

Story follows:

The first pre-production Volt rolled off the line at the Detroit Hamtramck Assembly Plant on 31 March. These pre-production versions of the Volt will not be sold at dealerships, but will be used to assure all steps in the production system will meet the quality targets set by the Volt engineering team.

Assembly workers will build more pre-production Volts in the coming months. These vehicles will be examined by manufacturing engineers as the plant prepares to build retail models later this year.

We have a very experienced workforce at this plant and through all of their preparation and training workers here have been given the privilege to take GM into the future with this car.

—Detroit-Hamtramck plant manager Teri Quigley

The Chevrolet Volt electric vehicle with extended range delivers up to 40 miles of pure electric driving before an engine-generator kicks in to sustain the battery charge and extend the range to about 300 additional miles.

The Financial System will collapse because of Peak Oil Part II

The collapse of the financial system post peak oil part II
In the first part I debunked the myth that the global financial system will collapse once peak oil becomes evident because allegedly "growth" is based on oil and when oil stops growing we will no longer have growth. I did this by demonstrating that we do not in fact have a growth system but instead have a cyclical system and that our system is based on risk rather than the prospect of continual growth.
I will continue this by asking the question: Can the payment of interest be continued past peak oil?

This question is a very loaded question replete with multiple assumptions (as are many of the assertions on which dieoff are based).
The answer to the question "Can the payment of interest be continue past peak oil?" is met with another question: "Can surplus be generated post peak oil in order to pay interest?"
This is turn is answered by the question: "Do we or can we do work other than that provided by oil powered machinery?" and "Will this work provide any surplus?"

If we look closely the ultimate question is this: After peak oil, will ALL work be agricultural?
If the answer is yes then clearly there will be no surplus and thus no interest.

Back in the real world however, we see that even in heavily agricultural countries cities existed prior to the use of oil. Cities clearly are not deriving their income from agriculture and THUS they must have been living off of some kind of surplus. This is simple specialization of labor. In addition, in every single human society there is a power law describing the wealth distribution of the population. The human population since the invention of agriculture has never been homogenously poor. There have always been rich people, wealthy people and those who service them living in the cities. This is not likely to disappear after peak oil. And since the definition of a wealthy person is someone who has more than they need to live, quite clearly such a person will be capable of paying interest since they will be able to accumulate savings. This is also the case for EVERY SINGLE PERSON who earns more than their daily bread.

It's also interesting to note that the world's largest investors (such as Warren Buffer, HSBC bank etc) are not merely investing in gold, oil and ammo but instead are investing in what they reckon will be the markets of the future (i.e. electrified transportation systems, enhanced oil extraction, shale gas, renewables and nuclear (among other things)), quite the opposite of what you would expect if they were aware (as doomers like to suggest) that the world was about to disappear up it's own butt due to the collapse of the financial system brought on by peak oil.
But then again, rich people and their advisors are clearly stupid and unqualified right? Obviously the doomers know better. Sheeesh...

Those who say peak oil will lead to the collapse of the financial system are simply ignorant of real world economics. But that's the point isn't it? The dieoff crowd says "economists are wrong" and thus the world is doomed. My five bucks says otherwise.