Press Release
March 6, 2019OSAKI CoolGen Corporation
New Energy and Industrial Technology Development Organization

Completion of Oxygen-blown IGCC Demonstration Tests
as the First Step of the "OSAKI CoolGen Project"- Targets Achieved in All Test Items, Including High-Efficiency High-Load Change Rate On February 28, OSAKI CoolGen Corporation (founded through joint funding by The Chugoku
Electric Power Co., Inc. and Electric Power Development Co., Ltd. (J-POWER)) successfullycompleted demonstration tests of oxygen-blown integrated coal gasification combined cycle(oxygen-blown IGCC) technology, the first step of the "OSAKI CoolGen Project" that is being
implemented as a project subsidized by New Energy and Industrial Technology Development
Organization (NEDO).
In the nearly 2 years since the start of demonstration tests in March 2017, we have verified basic
performance, controllability and operability (See Figure 3.) in an effort to commercialize
oxygen-blown IGCC plants. As a result, we have successfully achieved our targets in all test items
for the first step.
The results of these demonstration tests will contribute greatly to the reduction of carbon dioxide(CO2) emissions through higher efficiency, which is required for modern coal-fired power generation,and the improvement of load adjustment capabilities for handling fluctuations in output fromrenewable energy due to weather.

Figure 1 Oxygen-blown IGCC Demonstration Test Power Station (within the Osaki Power Station ofChugoku Electric Power Co., Inc.) where First Step Demonstration Tests were Completed

1. Overview
As a project subsidized by NEDO, OSAKI CoolGen Corporation is engaged in an "integrated coalgasification fuel cell combined cycle (IGFC) demonstration project" that aims to achieve
revolutionary low carbon coal-fired power generation through the combination of IGFC, the ultimate
high-efficiency generating technology, with CO2 separation and capture technology, in order togreatly reduce CO2 emissions during coal-fired power generation.
The IGFC demonstration project is comprised of a demonstration of oxygen-blown IGCC (first step),a demonstration of oxygen-blown IGCC with CO2 separation and capture (second step), and ademonstration of IGFC with CO2 separation and capture (third step). (See Figure 2.) We constructeda demonstration test facility within the grounds of the Osaki Power Station of The Chugoku ElectricPower Co., Inc. During the demonstration tests, which started in March 2017, we gasified coalparticles in a gasifier to operate a 1300C-class gas turbine, while also using the heat generated tooperate a steam turbine for combined cycle power generation. We verified performance, operability,reliability and economic feasibility as a coal-fired power generation system, with a target ofachieving a net thermal efficiency of 40.5% (higher heating value) for oxygen-blown IGCC using a1300C- class gas turbine.

FYFirst Step
Oxygen-Blown IGCC
Second Step
Oxygen-Blown IGCC
with CO₂ Capture

Third Step
IGFC with CO₂ Capture

2012

2013

2014

2015

2016

Detailed design and construction

2017

2018

2019

2020

Demonstration
Demonstration

2021

2022

Demonstration

Detailed design and construction
Demonstration
Detailed design and construction

Figure 2 Overview and Overall Schedule for Integrated Coal Gasification Fuel Cell Combined Cycle(IGFC) Demonstration

2. Primary Results of Demonstration Tests
 Basic performance, plant performance
We achieved a net thermal efficiency of 40.8% (HHV), which is the highest level of performancein the world for a 170,000 kW level demonstration plant. We forecast that a net thermal
efficiency of approximately 46% will be achieved with a commercial plant that uses a 1500Cclass gas turbine (with a capacity of 2,000 to 3,000 tons of coal per day). Based on these results,
we can expect to reduce CO2 emissions by about 15% compared to ultra-supercritical pressure
pulverized coal-fired power generation (USC).
 Plant controllability & operability
We achieved a maximum load change rate of 16%/min, significantly exceeding the target.
Furthermore, we confirmed stable operation at a net power output of 0 MW, indicating thatpower generation output can be controlled flexibly. We also verified a high level of operability
when used as a power supply for handling sudden fluctuations in output, such as can beexperienced with renewable energy as it is being introduced more broadly.
Item
Basic performance

Targets
 Net thermal efficiency: 40.5% (HHV)

 Net thermal efficiency: 40.8% (HHV)

Targetachieved

 SOx: 8 ppm
 NOx: 5 ppm
 Particulate: 3 mg/m3N(O2 equivalent 16%)

 SOx: Less than 8 ppm
 NOx: Less than 5 ppm
 Particulate: Less than 3 mg/m3N(O2 equivalent 16%)

Targetachieved Determination of compatible coalproperty range

 Tested 4 coal varieties and confirmed
favorable compatibility
 Confirmed stable plant conditions whileswitching coal varieties during continuous
operation

Targetachieved

 Forecast of commercial plant-level
annual plant utilization factor of 70% orhigher(5,000-hour prolonged endurance test) Prolonged endurance test: 5,119 hours
 Continuous operation: 2,168 hours

Targetachieved

Plant controllability& operability

 Operating characteristics andcontrollability that are necessary forcommercial thermal power station(Load change rate: 1 to 3%/min., etc.)

 Confirmed safe stoppage in emergency stoptest
 Load change rate: Confirmed up to 16%/min.
 Confirmed stable operation with net power
output at 0 MW
 Confirmed favorable operability in net power
output control
 Obtained forecast of cold start-up time (GTstart-up to rated load) of about 7 hours

Economicfeasibility

 Forecast that the generating cost at acommercial plant-level will be the sameas or less than with pulverized coal
power generation

 Confirmed the forecast that the generating
cost at a commercial plant-level will be thesame as with pulverized coal power
generation(Plant performance)

Basic performance(Environmentalperformance)

Coal variety
compatibility

Facility reliability

Fiscal Year
Demonstration tests

Results

Confirmation of basic performance
Confirmation of reliability

FY 2015

FY 2016

3/28/2017
Demonstration tests
startedFY 2017

Targetachieved

Targetachieved

FY 2018

7/7/2018
Achieved total endurance test
time of 5,000 hours

Operability improvement test
Coal variety compatibility confirmation test
Evaluation of economic feasibility

10/8/2018
Demonstration tests
completedFigure 3 Targets/Results of Oxygen-blown IGCC Demonstration Tests and the Test Schedule3. Future Plans
During the second step (FY 2016 to FY 2020) we will add a CO2 separation and capture unit tothe oxygen-blown IGCC in the first step, in order to implement demonstration tests of IGCC
with CO2 separation and capture. We are currently moving forward with construction in order tostart the demonstration tests in FY 2019.
Further, during the third step (FY 2018 to 2022) we plan to implement a demonstration projectfor IGFC with CO2 separation and capture, by integrating fuel cells with the CO2 separation andcapture IGCC facility.
We will push forward steadily with this project and our efforts to achieve "revolutionary low
carbon coal-fired power generation" while placing priority on ensuring safety and preserving theenvironment, in order to achieve the targets we have set for the "OSAKI CoolGen Project".

[Inquiries]
OSAKI CoolGen Corporation, General Affairs & Planning Department, General Affairs Group,
TEL: +81-846-67-5250
Environment Department, New Energy and Industrial Technology Development Organization(NEDO) TEL: +81-44-520-5293