2. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Block Metal
1. 304L Stainless Steel
• Low Metal Cost
• Poor Thermal Conductivity (16.2 W/M°K)
2. Copper
• High Metal Cost
• Great Thermal Conductivity (401 W/M°K)
3. Aluminum
• High Metal Cost
• Great Thermal Conductivity (250 W/M°K)
• Low melting point
Thermal Coefficient of Expansion was within 10% to 15% of each other
3. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Costs
• Sale Price based on Market Analysis: $225K to $250K
4. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Costs
• Sale Price based on Market Analysis: $225K to $250K
• Manufacturing cost: $270K/Reactor
Measure 20% of the shims & 3% of the features/shim
5. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Costs
• Sale Price based on Market Analysis: $225K to $250K
• Manufacturing cost: $270K/Reactor
Measure 20% of the shims & 3% of the features/shim
• Measure 100% of the shims & 3% of the features/shim
Cost: $340K/Reactor
6. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Costs
• Sale Price based on Market Analysis: $225K to $250K
• Manufacturing cost: $270K/Reactor
Measure 20% of the shims & 3% of the features/shim
• Measure 100% of the shims & 3% of the features/shim
Cost: $340K/Reactor
• Measure 100% of the shims & 100% of the features/shim
Cost: $1,700K/Reactor
7. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Costs
• Sale Price based on Market Analysis: $225K to $250K
• Manufacturing cost: $270K/Reactor
Measure 20% of the shims & 3% of the features/shim
• Measure 100% of the shims & 3% of the features/shim
Cost: $340K/Reactor
• Measure 100% of the shims & 100% of the features/shim
Cost: $1,700K/Reactor
• Shipping Costs: $95K/Reactor
8. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Plan of Record Manufacturing Process
• Photochemical Machining (PCM) of patterns into the Shims
• Plating Shims with brazing material
• Clean Shims
• Stack Shims
• Braze Reactor
9. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Plan of Record Manufacturing Process
• Photochemical Machining (PCM) of patterns into the Shims
• Plating Shims with brazing material
• Clean Shims
• Stack Shims
• Braze Reactor
Photochemical Machining industry is consolidating in the US
• Projecting increase manufacturing costs
10. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Plan of Record Manufacturing Process
• Photochemical Machining (PCM) of patterns into the Shims
• Plating Shims with brazing material
• Clean Shims
• Stack Shims
• Braze Reactor
Photochemical Machining industry is consolidating in the US
• Projecting increase manufacturing costs
Photochemical Machining in Asia
• Reduced PCM Cost
• Offset by Trans-Pacific Shipping Costs
12. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Capability
• 5 reactors builds using 3 PCM companies
• If design specification became manufacturing specification: 0% yield
13. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Capability
• 5 reactors builds using 3 PCM companies
• If design specification became manufacturing specification: 0% yield
• Manufacturing process was “Not Capable”
• Over 80% of specified features had Cp/Cpk significantly less than 1.00
on a consistent basis
• Processing variability was well within the norm for the PCM industry
• To eliminate the need for mass inspect, all the Cp/Cpk had to be
greater than 2.00
14. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Capability
• 5 reactors builds using 3 PCM companies
• If design specification became manufacturing specification: 0% yield
• Manufacturing process was “Not Capable”
• Over 80% of specified features had Cp/Cpk significantly less than 1.00
on a consistent basis
• Processing variability was well within the norm for the PCM industry
• To eliminate the need for mass inspect, all the Cp/Cpk had to be
greater than 2.00
• Initial product testing showed Reactor productivity 60% to 80% higher than
anticipated based on modeling
15. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Capability
• 5 reactors builds using 3 PCM companies
• If design specification became manufacturing specification: 0% yield
• Manufacturing process was “Not Capable”
• Over 80% of specified features had Cp/Cpk significantly less than 1.00
on a consistent basis
• Processing variability was well within the norm for the PCM industry
• To eliminate the need for mass inspect, all the Cp/Cpk had to be
greater than 2.00
• Initial product testing showed Reactor productivity 60% to 80% higher than
anticipated based on modeling
• Reviewed results and proposed specification relief
16. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Manufacturing Capability
• 5 reactors builds using 3 PCM companies
• If design specification became manufacturing specification: 0% yield
• Manufacturing process was “Not Capable”
• Over 80% of specified features had Cp/Cpk significantly less than 1.00
on a consistent basis
• Processing variability was well within the norm for the PCM industry
• To eliminate the need for mass inspect, all the Cp/Cpk had to be
greater than 2.00
• Initial product testing showed Reactor productivity 60% to 80% higher than
anticipated based on modeling
• Reviewed results and proposed specification relief
• With specification relief, the manufacturing process was still “Not Capable”
and still had 0% yield
17. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Product Design Review:
• Identify potential alternative manufacturing processes
21. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Productivity
• Limiting Factor for Reactor Productivity: Heat generated in the
catalyst bed
22. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Productivity
• Limiting Factor for Reactor Productivity: Heat generated in the
catalyst bed
• Limits Syn Gas injection rate
23. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Productivity
• Limiting Factor for Reactor Productivity: Heat generated in the
catalyst bed
• Limits Syn Gas injection rate
• Limiting Factor for removing heat: Thermal Conductivity of the
stainless steel
24. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Productivity
• Limiting Factor for Reactor Productivity: Heat generated in the
catalyst bed
• Limits Syn Gas injection rate
• Limiting Factor for removing heat: Thermal Conductivity of the
stainless steel
• Current design of the reactor is cross-current cooling
25. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Productivity
• Limiting Factor for Reactor Productivity: Heat generated in the
catalyst bed
• Limits Syn Gas injection rate
• Limiting Factor for removing heat: Thermal Conductivity of the
stainless steel
• Current design of the reactor is cross-current cooling
• Created a temperature gradient across the diagonal of the reactor
26. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Productivity
• Limiting Factor for Reactor Productivity: Heat generated in the
catalyst bed
• Limits Syn Gas injection rate
• Limiting Factor for removing heat: Thermal Conductivity of the
stainless steel
• Current design of the reactor is cross-current cooling
• Created a temperature gradient across the diagonal of the reactor
• Limited productivity and selectivity from the reactor
27. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Redesign for Manufacturability
• Counter-Current Cooling: Design minimizes temperature gradient in the catalyst
bed improving productivity and selectivity due to uniform temperature
28. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Redesign for Manufacturability
• Counter-Current Cooling: Design minimizes temperature gradient in the catalyst
bed improving productivity and selectivity due to uniform temperature
• Improve reactor productivity and selectivity due to better heat transfer
29. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Redesign for Manufacturability
• Counter-Current Cooling: Design minimizes temperature gradient in the catalyst
bed improving productivity and selectivity due to uniform temperature
• Improve reactor productivity and selectivity due to better heat transfer
• Coolant channel flow with no eddy currents
30. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Redesign for Manufacturability
• Counter-Current Cooling: Design minimizes temperature gradient in the catalyst
bed improving productivity and selectivity due to uniform temperature
• Improve reactor productivity and selectivity due to better heat transfer
• Coolant channel flow with no eddy currents
• Manufacturing Process: Electro-Chemical Machine (ECM) reactor with
alternative design
31. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Reactor Redesign for Manufacturability
• Counter-Current Cooling: Design minimizes temperature gradient in the catalyst
bed improving productivity and selectivity due to uniform temperature
• Improve reactor productivity and selectivity due to better heat transfer
• Coolant channel flow with no eddy currents
• Manufacturing Process: Electro-Chemical Machine (ECM) reactor with
alternative design
• Eliminates:
• Plating Brazing material
• Cleaning
• Stacking
• Brazing
32. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Electro-Chemical Machining (ECM)
• ECM is a method of removing metal by an electrochemical process
33. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Electro-Chemical Machining (ECM)
• ECM is a method of removing metal by an electrochemical process
• ECM’s use is limited to electrically conductive materials
34. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Electro-Chemical Machining (ECM)
• ECM is a method of removing metal by an electrochemical process
• ECM’s use is limited to electrically conductive materials
• ECM can cut small or odd-shaped angles, intricate contours or cavities in
extremely hard metals
35. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Electro-Chemical Machining (ECM)
• ECM is a method of removing metal by an electrochemical process
• ECM’s use is limited to electrically conductive materials
• ECM can cut small or odd-shaped angles, intricate contours or cavities in
extremely hard metals
• Current is passed between the tool (cathode) and the part (anode) through an
electrolyte material, which conducts current, removes the etched metal and heat
36. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Electro-Chemical Machining (ECM)
• ECM is a method of removing metal by an electrochemical process
• ECM’s use is limited to electrically conductive materials
• ECM can cut small or odd-shaped angles, intricate contours or cavities in
extremely hard metals
• Current is passed between the tool (cathode) and the part (anode) through an
electrolyte material, which conducts current, removes the etched metal and heat
• The pressurized electrolyte is injected into the area being etched
37. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Process Cost Reductions
• Metal Costs Reduction: $40K to $36K
• Shipping Costs Reduction: $95K to $15K
• Eliminate Plating, Clean, Stacking and Brazing: $100K cost
reduction
• Eliminate $184K in manufacturing costs
38. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Process Cost Reductions
• Metal Costs Reduction: $40 to $36K
• Shipping Costs Reduction: $95K to $15K
• Eliminate Plating, Clean, Stacking and Brazing: $100K cost
reduction
• Eliminate $184K in manufacturing costs
Eliminate metal-brazing interfaces (240/reactor)
• Eliminate fatigue failures to the CTE mismatch
• Operate at higher pressures
• Increase conversion rates
• Increase formation of long chain liquid hydrocarbons
39. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Manufacturing
• 5 ECM companies in the US
40. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Manufacturing
• 5 ECM companies in the US
• ECM lines were built for the Raptor and Joint Strike Fighter
projects
41. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Manufacturing
• 5 ECM companies in the US
• ECM lines were built for the Raptor and Joint Strike Fighter
projects
• Capacity utilization was between 5% and 20%, depending
on the ECM company
42. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Manufacturing
• 5 ECM companies in the US
• ECM lines were built for the Raptor and Joint Strike Fighter
projects
• Capacity utilization was between 5% and 20%, depending
on the ECM company
• Worked with ECM companies to determine process
limitations and manufacturing variability
43. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Manufacturing Costs
• Tooling Costs
• Design & Build of initial tooling: $50K to $150K
• Back-up Tooling Build: $25K to $50K
• Prorated tooling costs/Reactor over 7 years: $45 to
$115
44. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Manufacturing Costs
• Tooling Costs
• Design & Build of initial tooling: $50K to $150K
• Back-up Tooling Build: $25K to $50K
• Prorated tooling costs/Reactor over 7 years: $45 to
$115
• ECM manufacturing time: 4 to 8 hours per reactor block
45. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
ECM Manufacturing Costs
• Tooling Costs
• Design & Build of initial tooling: $50K to $150K
• Back-up Tooling Build: $25K to $50K
• Prorated tooling costs/Reactor over 7 years: $45 to
$115
• ECM manufacturing time: 4 to 8 hours per reactor block
• ECM costs were not determined due to Velocys’ acquisition
by Oxford Catalyst
46. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
47. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
48. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
• Researched coating options to improve heat transfer
49. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
• Researched coating options to improve heat transfer
• Thermal conductivity of Diamond: 1800 W/M°K
50. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
• Researched coating options to improve heat transfer
• Thermal conductivity of Diamond: 1800 W/M°K
• Consulting with CVD company in California
51. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
• Researched coating options to improve heat transfer
• Thermal conductivity of Diamond: 1800 W/M°K
• Consulting with CVD company in California
• 50 microns of diamond on the catalyst channel walls
52. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
• Researched coating options to improve heat transfer
• Thermal conductivity of Diamond: 1800 W/M°K
• Consulting with CVD company in California
• 50 microns of diamond on the catalyst channel walls
• Significantly increase Syn gas injection rate while being able to
remove heat from the catalyst bed
53. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
• Researched coating options to improve heat transfer
• Thermal conductivity of Diamond: 1800 W/M°K
• Consulting with CVD company in California
• 50 microns of diamond on the catalyst channel walls
• Significantly increase Syn gas injection rate while being able to
remove heat from the catalyst bed
• Increase liquid hydrocarbon productivity
54. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
Productivity Improvement Opportunity
• Limiting Factor: Removing the heat from the catalyst bed
• Thermal conductivity of 304L Stainless Steel: 16.2 W/M°K
• Researched coating options to improve heat transfer
• Thermal conductivity of Diamond: 1800 W/M°K
• Consulting with CVD company in California
• 50 microns of diamond on the catalyst channel walls
• Significantly increase Syn gas injection rate while being able to
remove heat from the catalyst bed
• Increase liquid hydrocarbon productivity
• Cost and feasibility were not determined due to Velocys’ acquisition
by Oxford Catalyst
55. Velocys Micro-Channel ProcessVelocys Micro-Channel Process
DevelopmentDevelopment
Fischer-Tropsch Project: Micro-channel Reactors
End of Fischer-Tropsch
Presentation