# Wenatchee Works

Potline Scrubbing Scenario: Scaled Cost Estimate Sumamry

Scrubbing Scenario (# of Potlines) 

## 1 Quote Used: 

## Low Interest Rate: 

## 7.00% Period of Annualization (Years) 

## 30 Cost Effectiveness ($/ton) 17,700 $ $/ton SOx Capital Equipment Costs

Total Purchased Equipment Costs (PEC) $38,194,963 Total Direct Installation Costs (DIC) $47,743,703 Total Direct Capital Costs (DCC) $85,938,666 Total Indirect Capital Costs (ICC) $9,548,741

Total Capital Investment Costs (TCIC) [DCC+ICC] $95,487,407

O&M Costs Total Direct Annual Costs $3,683,673 Total Indirect Annual Costs $5,229,291 Total Annual Operating and Maintenance Costs $8,912,964

Single Scrubber, 1 Controlled Potline(s) - Cost Effectiveness Summary
SO x

### Reduction 941 tpy Direct capital costs (DCC) 85,938,666 $ Indirect capital costs (ICC) 9,548,741 $ Total capital costs 95,487,407

$ Interest rate 7% Period of annualization 30 years Capital recovery discount factor 0.0806 Annualized capital cost 7,695,000 $ Total Annual Operating and Maintenance Costs 8,913,000 $ Total annual cost estimate 16,608,000 $ Cost of Wet Scrubber Control Option per ton SO x 

### reduced: 17,700 $

This cost summary is based on 1 Potline(s) being controlled by a single Scrubber, using the Low vendor quote at an Interest Rate of 7% for 30 years.

3/27/2013

### 1 Enter the # of Lines 

### Low Pick from Drop Down List 

### 7.00% Enter the % interest 

### 30 years Enter the # of years

Scaling Equation Exponentn

Potlines Vendor

Quote #1 Average (p 1 ) Reagent feed system 10% 0.33 $6,500,000 $7,350,000 Limestone Comsumption SO 2removal system 35% 0.50 $22,750,000 $25,725,000 Flow Rate Flue gas system 30% 0.50 $19,500,000 $22,050,000 Flow Rate By-product handling system 10% 0.40 $6,500,000 $7,350,000 Gypsum General support equipment 15% 0.15 $9,750,000 $11,025,000 Gypsum

TOTAL $65,000,000 $73,500,000 Value Calculations are based on the Hatch Scaling Equation: p 2= p 1 x (Q 2/Q 1 ) n

Reagent feed system $5,036,108 SO 2removal system $14,148,089 Flue gas system $12,126,933 By-product handling system $4,824,942 Cost Scaling Variable Q1 Q2 General support equipment $8,719,100
Parameter Tennesse

Potlines Wenatchee

Potline (Line #5 GTC) Wenatchee 1

Line Scenario $44,855,172 Clean flue gas flow rate (acfm) 1,582,432 612,009 612,009 Limestone consumption (tpy) 10,407 4,803 4,803 Gypsum production (tpy) 19,272 9,149 9,149 Note 1 : Scenario calculations have been estimated on the each line being equal.

$32,273,843 = $44855172 x (59/82)



## Scenario Cost Effectiveness : $17,700 $/ton SOx Single Scrubber Cost Adjustment Factor: (59/82) $28,700,000

Scaled Scenario - LSFO Scrubber Cost Calculation : $8,200,000 $12,300,000 $82,000,000

TOTAL $9,859,290 $50,720,849

Single Scrubber Low Bid Estimate 

### Quote Used: Interest Rate: Period of Annualization: Scaling of Capital Equipment Costs Based on Vendor Proposals

Wenatchee Works Malaga, Washington Potline Scrubbing Scenario Alternate Scrubbing

Adjustment Factor Basis: Babcock Single vs. Two Scrubber Quote ($59 MM vs $82MM) Wenatchee Scrubber Equipment Cost Estimates (

Average Bid Scaled ) Fraction of Total Equipment Cost Scrubber Component Tennessee Potline Scrubber Equipment Costs

Note 2 : Intalco 3-line Gypsum production rate is from page 3 of Final HATCH Pre-feisibility report (November 7, 2007) = 27,130 tpy Basis for HATCH Scaling Value

Scenario Cost Calculations (Low Bid $$) - (JDJ) Potline $5,694,677 $15,998,223 $13,712,763 $5,455,896 $24,600,000 Vendor Quote #2 $8,200,000

Capital Equipment Costs Wenatchee Single Scrubber Cost Calculations 3/27/2013

### Potlines Wenatchee Works Malaga, Washington

Value Notes/References Capital Investment Costs Direct Capital Costs (DCC) Purchased Equipment Costs (PEC) Adsorber vessels with internals
$32,273,843 The two vendor average of $73,500,000 was based on the average vendor quotations for Tennessee Alcoa smelter, adjusted for Intalco's scrubberexhaust gas flow rate, limestone consumption, and gypsum generation per Prefeasability Report (Hatch 2007); the Intalco estimates were then scaled using Wenatchee Line #5's Air Flow to yield an adsorber cost estimate of $32,273,834. Pumps Included Limestone prep Included Dewatering systems Included Fans Included Inlet ductwork Included Stacks Included Continuous Emission Monitoring system $40,000 $80,000 was originally for two Intalco systems, reduced to $40,000 to represent only one scrubber system. Subtotal (EC) $32,313,843 Instrumentation $1,615,692 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (5% of EC; adjusted from 10% since basic instrumentation is included in proposal) Sales tax $2,649,735 State sales tax rate for Washington adjusted to 8.2% Freight $1,615,692 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (5% of EC) Total Purchased Equipment Costs (PEC) $38,194,963 Direct Installation Costs (DIC) Foundations and supports $4,583,396 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (12% of PEC) Handling and erection $30,555,970 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (80% of PEC; adjusted from 40% to account for retrofit of existing plant and onsite fabrication) Electrical $381,950 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (1% of PEC) Piping $11,458,489 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (30% of PEC) Insulation $381,950 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (1% of PEC) Painting $381,950 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (1% of PEC) Total Direct Installation Costs (DIC) $47,743,703 Total Direct Capital Costs $85,938,666 Sum of PEC and DIC Indirect Capital Costs (ICC) Engineering $1,909,748 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (5% of PEC; adjusted from 10% since vendor proposal included an allowance for engineering) Construction and field expenses $3,819,496 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (10% of PEC) Contractor fees $1,909,748 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (5% of PEC; adjusted from 10% based on assumption that vendor will oversee scrubber installation) Start-up $381,950 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (1% of PEC) Performance test $381,950 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (1% of PEC) Contingencies $1,145,849 USEPA 2002, Section 5.2, Chapter 1, Table 1.3 (3% of PEC) Total Indirect Capital Costs $9,548,741 Total Capital Investment Costs (TCIC) $95,487,407 Sum of DCC and ICC
References: Hatch. 2007. SO 2 Scrubbing for the INTALCO Primary Aluminum Smelter: Pre-Feasibility Report . July 26. USEPA. 2002. EPA Air Pollution Control Cost Manual , Sixth Edition. EPA/452/B-02-001. January. 

### Captial Investment Cost Analysis for SO 2

### Control Using a Wet Scrubber

Capital Cost Calcs (Potline) Wenatchee Single Scrubber Cost Calculations 3/27/2013

### Potlines Wenatchee Works Malaga, Washington

Value Units Notes/References Annual Operation and Maintenance Costs Direct Annual Costs (DAC) Operating labor Operator $324,120 Assumes $37 per hour with one full-time operator, 3 shifts per day Supervisor $48,618 USEPA 2002, Section 5.2, Chapter 1, Table 1.4 (15% of operator costs) Water $32,617 Water usage 168,609 gal/day Scaled from Intalco Pre-feasability Report (Hatch 2007) Cost of water $0.00053 $/gal Assumed the same $/gallon water costs as reported for Intalco. Limestone $158,510 Limestone usage 4,803 tons/yr Scaled from Intalco Pre-feasability Report (Hatch 2007) Cost of limestone $33 $/ton Assumes $28/ton for 8 mesh size limestone plus $5/ton for shipping by barge Compressed air $6,307 Compressed air usage 50 scfm Scaled from Intalco Pre-feasability Report (Hatch 2007) Cost of compressed air $0.24 $/1000 scf Average compressed air generation cost for industrial facilities (http://www1.eere.energy.gov/industry/bestpractices/pdfs/comp ressed_air1.pdf) Gypsum disposal $0 Gypsum generation rate 9,149 ton/yr Scaled from Intalco Pre-feasability Report (Hatch 2007) Cost of gypsum disposal $0 $/ton Assumes USEPA's "No Disposal Cost" & "Syn-gyp Reuse" presumption at Intalco.
Maintenance Labor $673,920 Assumes $45 per hour with 4 full-time maintenance personnel, one shift per day, 5 days per week and 1 maintenance personnel for all other shifts [ Reasonable per Ed Potter, Manager USPP Maintenance (3-21-13) ] Material $1,303,000 Cost for low sulfur boiler system with 1.7 macfm inlet/1.5 macfm outlet, which is smaller than the potline system with 2.2 macfm inlet/2.0 macfm outlet (Sargent & Lundy LLC 2003) Electricity $1,136,581 Electricity usage 2,467 kWh/hr Scaled from Intalco Pre-feasability Report (Hatch 2007) Electricity cost $0.0526 $/kWh Facility average power rate for 2007 (Intalco controller) Total Direct Annual Costs $3,683,673 Indirect Annual Costs (IAC) Overhead $1,409,795 USEPA 2002, Section 5.2, Chapter 1, Table 1.4 (60% of total labor and maintenance material costs) General and administrative costs $1,909,748 USEPA 2002, Section 5.2, Chapter 1, Table 1.4 (2% of TCIC) Property tax $954,874 USEPA 2002, Section 5.2, Chapter 1, Table 1.4 (1% of TCIC) Insurance $954,874 USEPA 2002, Section 5.2, Chapter 1, Table 1.4 (1% of TCIC) Total Indirect Annual Costs $5,229,291 Sum of PEC and DIC Total Annual Operating and Maintenance Costs $8,912,964 Sum of DAC and IAC
References: Hatch. 2007. SO 2 Scrubbing for the INTALCO Primary Aluminum Smelter: Pre-Feasibility Report . July 26. Sargent & Lundy LLC. 2003. Wet Flue Gas Desulfurization Technology Evaluation . Prepared for National Lime Association. January. USEPA. 2002. EPA Air Pollution Control Cost Manual , Sixth Edition. EPA/452/B-02-001. January.



### Operation and Maintenance Cost Analysis for SO 2

### Control Using a Wet Scrubber

O&M Cost Calcs (Potlines) Alternative Single Scrubber Cost Calculations

### Installation of LSFO Wet Scrubber on Potline Exhaust Reference

Uncontrolled Potline SO x

### emission rate: 5,480 lb/day Total Potline SOx Emission rate for 1 operating potline(s) Primary potline control system uncontrolled SO x

### emission rate 5,427 lb/day Modeled SO 2

### Emission Rate leaving the GTC SO x

### control efficiency 95% Controlled SO x

### emission rate 271 lb/day Uncontrolled annual SO x

### emissions 990.4 tpy Controlled annual SO x

### emissions 49.5 tpy SO x

### reduction 940.9 tpy Direct capital costs (DCC) 85,938,666 $ Indirect capital costs (ICC) 9,548,741 $ Total capital costs 95,487,407 $
Interest rate 7% USEPA 2002, Section 1, Chapter 2.4.2 Period of annualization 30 years Assumption Capital recovery discount factor 0.0806 USEPA 2002, Section 1, Chapter 2.4.4.4, Equation 2.8a Annualized capital cost 7,695,000 $ USEPA 2002, Section 1, Chapter 2.4.4.4, Equation 2.8 Operating labor costs 324,120 $ Supervisory labor costs 48,618 $ Maintenance labor costs 673,920 $ Maintenance material costs 1,303,000 $ Electricity costs 1,136,581 $ Water costs 32,617 $ Limestone costs 158,510 $ Compressed air costs 6,307 $ Gypsum disposal costs

- $ Overhead 1,409,795 $ Property tax 954,874 $ Insurance 954,874 $ General and administrative costs 1,909,748 $ Total annual cost estimate 16,608,000 $ Cost of Wet Scrubber Control Option per ton SO x 

### reduced 17,700 $

Potline Scrubber Cost Summary 

### Alternative Single Scrubber Cost Calculations

# Wenatchee Works

Parameter Tennesse Potlines Intalco

Potlines Clean flue gas flow rate (acfm) 1,582,432 1,814,880 [Calcularted Value: Flow Based Scaling using Intalco Values] Limestone consumption (tpy) 10,407 12,921 [Callculated Value: Note Below] Gypsum production (tpy) 19,272 24,607 [Callculated Value: Note Below] Water Consumption (gal/day) 500,000 [Callculated Value: Note Below]
Number of Potlines 2 3 One Line Comparative flue gas flow rate (acfm) 791,216 604,960 [Calculated value: Total scrubber flow ÷# of potlines controlled]

Limestone Consumption 14,244 tons INTALCO 

### 1,814,880 acfm INTALCO 

### 612,009 acfm Wenatchee 

### Line #5 Gypsum Production 14,244 tons INTALCO 

### 27,130 tons INTALCO 

### 4,803 tons Wenatchee 

### X tons Wenatchee 

### Water Usage 500,000 Gallons INTALCO



### 1,814,880 acfm INTALCO 

### 612,009 acfm Wenatchee 

### Scaled

= X
= 168,609 Wenatchee Potline 612,009 4,803 9,149

gallons/day Wenatchee 

### 168,609

= 4,803 tons / yr of limestone Wenatchee



### = = 9,149 tons/ yr of gypsum Wenatchee 

### = X 612,009 1

$$$ Scaling and Parameter Data

## Wenatchee Works

Potline GTC Flow, Velocity, and Emission Calculations

Velocity Calculation Formula Q = A * V (Q = m 3 /sec, A = m 2 , V = m/s) 

### V = Q / A Q

π x D 2 

### 4
Velocity Calculation

Stack Diameter = 4.27 meter Conversion Calculation Volumetric Flow = 1,039,810 m 3/hour 

### 35.3147 ft 3 

### /m 3 

### 288.84 m 3 /s 

### 1039810 m3/hr x 35.3147' ft3/m3' = 36,720,550 ft 3 

### /hr
π = 3.14 60 min/hour A = 14.32 m 2 

### 612,009 ft 3

### /minute

Q π x D 2 

### 4

289 14.32

V = 20.17 m/sec [Modeled GTC velocity]

3.28 ft/m V = 66.17 ft/sec

Potline GTC SO 2

### Emission Rate GTC 28.49 grams/sec 0.28 grams/sec 60 sec/minute 60 sec/minute 60 min/hour 60 min/hour 102,564 grams/hour 1,008 grams/hour
453.59 grams/pound 453.59 grams/pound
226.11 pounds/hr 2.22 pounds/hr 5427 pounds/day 53 pounds/day 5,480 pounds/day 8,760 hrs/yr 8,760 hrs/yr 1,980,767 lbs/year 19,467 lbs/year 2,000,234 lbs/year
2000 lbs/ton 2000 lbs/ton

990.4 tons SO2

### / year 10 tons SO2

### / year 1,000 tons SO2

### / year V =

V =

V =

Roof Monitor Total

Flow and Emission Calcs 7/7 3/27/2013