"Bob Vantuyl" To Laurel Dygowski/P2/R8/USEPAlUS@EPA 

<bob.vantuyl@ashgrove.com 

> cc "Dick Johnson" <dick.johnson@ashgrove.com>, "Joe 

Scheeler" <joe.scheeler@ashgrove.com>, "Jan Darling" 

12/17/2008 01 :30 PM <jan.darling@ashgrove.com>, "Curtis Lesslie" 

bcc 

Subject Montana City BART: Cost Analysis for Ash Grove SNCR 

LaurelAs you requested, please find the cost effectiveness estimate for SNCR Ash Grove Montana City plant. 

Should you require additional information, please contact us. 

Robert V. Vantuyl Jr. 

Corporate Environmental Manager 

Ash Grove Cement Company 

11011 Cody 

Overland Park, KS 66210 

913-319-6063 

----- Forwarded by Kasi DubbsfTrinity Consultants on 11/25/2008 12:03 PM ----­

From:	 Dygowski.Laurel@epamail.epa.gov 

To:	 KDubbs@trinityconsultants.com 

Date:	 11/19/2008 02: 15 PM 

Cost Analysis for Ash GroveFor our Subject: 

Kasi ­

We are in the middle of internal discussions on the BART analysis for 

Montana. In order to have a complete technical justification for 

control measures, we need to have a cost analysis from all the sources. 

We did not get a cost analysis for the NOx controls (LNB/SNCR) for Ash 

Grove because the most stringent control option was selected. We are 

requesting a cost analysis for Ash Grove for the NOx controls. Please 

let me know if you have any questions. 

**** Note - New Mailing Address 

Laurel Dygowski 

Regional Haze Coordinator 

Air Quality Planning Unit 

US EPA - Region 8 

1595 Wynkoop Street 

Denver, CO 80202-1129 

303-312-6144 
Ash Grove Cement Company-Montana City Montana
 

SNCR Cost Effectiveness Estimate 12/5/08
 

SNCR 35%,1:1 molar ratio
 

CAPITAL COST 

Direct Capital Cost (DCC) 

Mixing Air 80,000 

SS Piping and Other 15,000 

Rotary Union 5,000 

Pumps, Controls, Instrumentation 15,000 

CEM (NH3 Emissions) 75,000 I Receiving Tank 150,000 

Day Tank 50,000 

Piping, Controls, Instrumentation 40,000 

Electrical/MCC Equipment 20,000 

H&S (Scrubber) 15,000 

Total Purchased Equipment Cost (PEC): 465,000 

Sales tax & freight (8% of PEG) 37,200 ACT 

Direct Installation 175,000 

Total DCC: 677,200 

Indirect Capital Cost (ICC) 

Engineering, supervision 25,000 

Training 15,000 

Construction & Field Expense (10% of DCC) 67,720 ACT 

Contractor Fees (7% of DCC) 47,404 ACT 

Contingencies (20% of PEC) 93,000 ACT 

Total ICC: 248,124 

Total Capital Cost 925,324 DCC+ ICC 

Capital Recovery Factor (7%, 15 yrs) 10.98% ACT 

Total Annualized Capital Cost 101,601 

OPERATING COST 

Direct Operating Cost (DOC) 

Operating labor 30,000 1/2 man-year @ $60,000/year 

Supervision (@ 15% of operating labor) 4,500 ACT 

Maintenance labor 32,500 1/2 man-year @ $65,000/year 

Maintenance materials (100% maint labor) 32,500 ACT 

Urea Reagent 1,796,699 

Total DOC: 1,896,199 

Indirect Operating Cost (IOC) 

Payroll Overhead (60% oper. Labor & sup, maint 

labor &materials) 59,700 ACT 

Property tax (1 % TCG) 9,253 ACT 

Insurance (1 % TCG) 9,253 ACT 

Administration (2% TCG) 18,506 ACT 

TotaIIOC: 96,713 

Total Annual Operating Cost 1,992,912 

TOTAL COST I

Total Annual Cost (Capital &Operating) 2,094,513 

Base NOx Emissions (tons/yr) 1,891 

NOx Emissions with SNCR (tons/yr) 1,229 

Total NOx Removed (tons/year) 662 

Total Cost/ton NOx Removed 3,164 

NOx Removal Rate 35%