Sasol ChemCity's ED Opportunities in Waste Management

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Sasol ChemCity's ED Opportunities in Waste Management
Sasol ChemCity’s ED Opportunities in
Waste Management
            Rivash Panday, Marcelle Hunt, Elaine Prosper & Rantle Mafata
                                                            March 2011
Sasol ChemCity's ED Opportunities in Waste Management
Overview

1. Factors Driving Industry Change Resulting in ED Opportunities

2. Focus Areas in the Field of Waste Management

3. Projects
Sasol ChemCity's ED Opportunities in Waste Management
1. Factors Driving Industry Change Resulting in ED
Opportunities

    Global warming – Industry to look at cleaner technologies. Reduce, reuse and
    recycling opportunities with disposal being the last resort. This will reduce waste
    to landfill and create ED opportunities resulting in job creation
    Waste Act – Forcing industry to develop and implement Waste Management
    Plans. Result in ED and job creation.
    Eskom Electricity Crisis – Use waste as a resource to generate electricity.
    Water Shortage – Look for ways to treat and recycle water i.e. the use of grey
    water for irrigation.
    Governments drive to create jobs – Force social development opportunities like
    waste collection and recycling.
    Housing shortage – Use alternative building materials to construct affordable
    houses as apposed to cement built houses.
    Organic farming – drive to stop the use of inorganic fertilisers and pesticides.
    Green waste composting, vermicomposting, Activate Sludge Pasteurisation
    (ASP).
Sasol ChemCity's ED Opportunities in Waste Management
2. Focus Areas in the Field of Waste Management

                                           Recycling
                                         -Municipal solid waste
                                         - waste tyres
                                         - wood waste

     Organic Waste
                                                                                  Water Treatment
   -Sasol waste streams
                                                                                - Mine water
   - waste tyres
                                                                                -Sewage
   - Fine coal & discards
                                        Waste Group Projects

                     Biological Waste
                                                                    Inorganic Waste
                   - Green Waste
                                                                  - Fly ash
                   - Sewage Sludge
                                                                  -Gypsum waste
                   - Manure
Sasol ChemCity's ED Opportunities in Waste Management
3. Projects

    55% of projects have to be Sasol Linked
    At least 1 project each in the Govan Mbeki and Metsimaholo
    Municipalities.
    12 Media Hits.
Sasol ChemCity's ED Opportunities in Waste Management
3.1. Waste Tyre Beneficiation

    TPT visited China to investigate optional polishing stages as an add-on
    to TPT’s waste tyre pyrolysis process.
    As part of the technology review of Chinese technology, TPT was
    introduced to Rubber Crumbing facility.
    Rubber crumb produced was exported to SA, as stringent SA
    specification for bitumen rubber production was met.
    Quantity exported to SA = 500 tons to Tosas for use in Bitumen
    Rubber Asphalt
Sasol ChemCity's ED Opportunities in Waste Management
Project Timeline                              Capital Expenditure
   Order placement and 30% deposit
   completed Dec 2010.                     Office Equipment
                                           Working capital (1 month)
                                                                       R 200 000
                                                                       R 1 400 000
   Complete the manufacture,               Civil
                                           Electrics
                                                                       R 500 000
                                                                       R 500 000
   equipment testing prior to export,      Site Infrastructure (Fire   R 1 500 000
                                           control, storage)
   and exportation of equipment to         Crumbing plant              R 6 800 000
   South Africa, due 25 April 2011.        Shipping, & Taxes           R918 445
                                           TOTAL CAPEX                 R 11 818 445
   Completion of the Environmental         REQD
   Impact Assessment
   Installation and Commissioning the
   plant and equipment, due 25 May
   2011.
   Issuing of applicable permits, due 25
   May 2011.
   Commence full scale operation, 01
   June 2011.
Sasol ChemCity's ED Opportunities in Waste Management
3.2 Using Sasol FA in Alternative Housing

   Tower Technology (Pty) Ltd has developed a building system that uses
   a cement foam that can incorporate Slag, Gypsum and Fly Ash in the
   manufacture of panels that is used in alternative housing.
   Agrément Certification (Agrément Certificate 2009/368: Alternative Steel
   Frame Building System) and SABS approval has been obtained for this
   technology.
   ChemCity is currently supporting Tower Technology in establishing a
   panel manufacturing factory targeting the commercial market.
   This project is also supported by FNB Housing who has funded a
   program to construct 3 houses at Cosmo City to test market
   acceptance.
   There is therefore an opportunity for Sasol Facilities Management to
   consider alternative building Houses from Sasol’s waste material with
   the objective of establishing affordable housing.
Sasol ChemCity's ED Opportunities in Waste Management
3.2.1 Advantages of Tower Technology’s
    Alternative Building system

-     Logistics i.e 4 houses can be loaded on a superlink.
-     Savings on Site managers which is 25% of conventional housing costs.
-     Plumbing and electrical are prefitted in the panels.
-     Wasteage costs since panels are manufactured in a controlled
      environment.
-     Labor costs due to ease of installing the panels.
Sasol ChemCity's ED Opportunities in Waste Management
3.2.2 Price

    Tower have priced their houses in Cosmo City and the complete
    (including finishes, kitchen & stove) 52 m2 good quality, well built house
    complying to all Agrément and SABS standards was R195,000
    (R3750/m2) including VAT, professional fees and delivery - excluding
    the stand.
    With the stand at R96,000 the client can buy a house for less than
    R300,000.
    Other developers start selling at R350,000 in the same area.
3.2.3 Tower Technology’s Building System 1

                                             Electrical Panel

          Gable Panels

                                               Plumbing Panel
3.2.4 Cement incorporating Fine Ash Foam

      Foam Filling                         Leveled Panel
Plastering   Curing
3.2.5 Construction
3.2.6 Completed House
Final Sasol Fine Ash Alternative Houses
3.3.       Cement Fibre Extrusion Incorporating Sasol
           Fine Ash

       Norverte Technology has patented a
       cement Fibre extrusion technology.
       The formulations is mainly
       composed of 5-10% cement
       depending on the reactivity of the
       recyclable resource being used, fly
       ash from 50-80%, hybrid 01
       extrusion additive of 2-3%, fibrous
       wastes can also be used eg. Waste
       pulps.
       Currently operating a small scale
       unit at the Everite and have
       aspirations to expand.
3.3.1 Sasol Fine Ash Products using Norverte’s
         Technology
3.4. Beneficiating Secunda Coarse Ash

   Synfuels produces approx 13 million tons of coarse ash per annum
   Environmental and regulatory issue
   Untapped market for use in
      Road building
      Brick manufacturing
      Alternative Housing
      Concrete
      Cement
      Roof tiles
      Other
   Initial indications are that market penetration of at least 18% within 120
   km radius of Secunda could be achieved in road building, brick
   manufacturing, concrete and cement
   This translates to 400 000 t/month or 5 mill tpa
   Opportunity for enterprise development – local economic upliftment and
   job creation
3.4.1. Premamix

     Premamix is a product derived from the reconstitution of Coarse ash
     and fine to produce an aggregate substitute.
     Premamix presents advantages to be used in the following markets:
     (1) Roads
     (2) Brick Making
     (3) low strength concrete and cement products

     Advantages:
 -   Reduce cement content in bricks and concrete by 20 – 45%.
 -   It’s density is 35% less than normal aggregates.
 -   The only road material with which labour intensive construction can be
     done economically.
     Conframat is willing to provide guarantees for 250,000 tons/month of
     Coarse Ash for use as Premamix.
3.5 Anaerobic Digestion of Biosolids

   Anaerobically digest chicken and cattle manure using a Covered in-ground
   reactor (Cigar) to generate biogas which will be converted to electricity.
Digestion of the Effluent
Effluent is pumped to digestor
through a manifold system.
Support Provided by ChemCity:
-   Environmental Impact Assesment – EIA
-   Financial model Development
-   Legal support in finalizing contracts
-   Project Management
-   Drafting of the business plan
-   Assistance with negiotiations for a Power Purchase Agreement.
    Status:
-   Secured funding in principle of R47 million provided that a PPA is in
    place from DBSA & E&Co.
-   PPA discussions in final stages with a leading German car
    manufacturer.
-   Busy with wheeling agreement with Tswane Municipality.
3.6 Vermicomposting

     Assistance Provided
 -   Feasibility studies
 -   Business plan
 -   Grant funding approx R500,000
 -   Marketing
 -   Branding
 -   Entrepreneurship Training -
     Raizcorp
     Status
 -   Setting up facility in Nigel.
 -   Funding proposal submitted to Sasol
     CSI to establish facility in Sasolburg
Questions?

THANK YOU
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