Industrial Technologies Program — Boosting the Productivity and

Competitiveness of U.S. Industry

Industry consumes 33 percent of all energy used in the United States. By developing and adopting more

energy efficiency technologies, U.S. industry can boost its productivity and competitiveness while

strengthening national energy security, improving the environment, and reducing emissions linked to global

climate change.

The U.S. Department of Energy’s (DOE) Office of Energy Efficiency and Renewable Energy (EERE) works in

partnership with U.S. industry to increase the efficiency of energy and materials use, both now and in the

future. EERE’s Industrial Technologies Program (ITP) is working to build the Industries of the Future through

a coordinated program of research and development (R&D), validation, and dissemination of energy

efficiency technologies and operating practices to reduce energy intensity in the industrial sector. ITP

develops, manages, and implements a balanced portfolio that addresses industry requirements throughout

the technology development cycle. The primary long-term strategy is to invest in high-risk, high-return R&D.

Investments are focused on technologies and practices that provide clear public benefit but for which market

barriers prevent adequate private sector investment.

ITP focuses its resources on a small number of energy-intensive materials and process industries that account

for over 55 percent of industrial energy consumption.

ITP also conducts R&D projects on enabling technologies that are common to many industrial processes such

as industrial energy systems, combustion, materials, and sensors and process control systems. In addition,

ITP funds technical assistance activities to stimulate near-term adoption of best energy-saving technologies

and practices within industry. These activities include plant assessments, tool development and training,

information dissemination, and showcase demonstrations.

New technologies that use energy efficiently also lower emissions and improve productivity. By leveraging

technical and financial resources of industry and government, the ITP partnerships have generated

significant energy and environmental improvements that benefit the nation and America’s businesses.

Energy-intensive industries face enormous competitive pressures that make it difficult to make the necessary

R&D investments in technology to ensure future efficiency gains. Without a sustained commitment by the

private and public sectors to invest in new technology R&D and deployment, the ability to close the gap

between U.S. energy supply and demand will be severely compromised.

• Forest Products

• Glass

• Metal Casting

• Mining

• Steel

• Aluminum

• Chemicals

ITP uses a leveraging strategy that maximizes the energy and environmental benefits of its process-specific

technology investments by coordinating and cooperating with energy-intensive industries. By working

closely with the private sector, ITP is able to effectively plan and implement comprehensive R&D agendas and

help disseminate and share best energy management practices throughout the United States. The ITP publicprivate partnerships also facilitate voluntary efforts, such as the President’s Climate VISION initiative, to

encourage industry and government to reduce greenhouse gas emissions.
CONTENTS

Executive Summary ............................................................................................................................................ i

Industry Overview ............................................................................................................................................. 1

Energy Use .......................................................................................................................................................... 1

Opportunities for Energy Savings ........................................................................................................................ 2

The Challenge ..................................................................................................................................................... 3

Improved Emissions Control ............................................................................................................................... 3

Strategy for Improving Combustion Systems Energy Efficiency ......................................................................... 3

FY 2004 Highlights & Accomplishments .......................................................................................................... 5

Other R&D Highlights ......................................................................................................................................... 6

Tools, Publications, and Resources Available ................................................................................................... 7

Combustion Resources ......................................................................................................................................... 7

Process Heating Resources .................................................................................................................................... 7

Steam System Resources ....................................................................................................................................... 8

Energy Analysis – Targeting Energy Efficiency ..................................................................................................... 9

How To Get Involved and Contact Information............................................................................................ 11

Partnership Information ................................................................................................................................... 11

Access to Resources and Expertise....................................................................................................................... 11

Where to Go to Get More Information............................................................................................................. 12
EXHIBITS

1. Importance of Combustion to U.S. Industry............................................................................................... 1

2. U.S. Manufacturing Energy End Uses ........................................................................................................... 1

3. Steam Energy Use by Industry ...................................................................................................................... 1

4. Fired Heaters Energy Use by Industry ........................................................................................................... 2

5. Potential Energy Savings for Combustion Systems ...................................................................................... 2

6. Combustion Portfolio Goals Summary ........................................................................................................ 4

7. Active Combustion Projects in FY 2004 ........................................................................................................ 5

8. Other Projects Relevant to the Combustion Portfolio ................................................................................. 6
i

EXECUTIVE SUMMARY

Combustion systems have been a crucial tool for industrial development throughout the world. The

manufacturing sector continues to rely on these systems for heat and steam generation. Combustion systems

include turbines, process heaters, boilers, and combined heat and power (CHP) technologies. The systems

enable indispensable industrial processes, such as heating metals and chemical feedstocks, as well as the

changing of the mechanical and chemical properties of materials. Major end users include energy-intensive

industrial sectors, such as petroleum, metals, and forest products.

Fueled by environmental concerns such as global warming and ozone transport, emission requirements have

had a major influence on the design and implementation of combustion systems. In addition, combustion

energy represents almost 75 percent of the total U.S. manufacturing sector energy use. With such high

energy consumption levels and emission constraints, there is a constant need for system optimization. This

increases R&D needs for fundamental combustion science, as well as better heat-transfer understanding and

improved system designs.

Transformational R&D, such as that funded by the U.S. Department of Energy (DOE), Office of Energy

Efficiency and Renewable Energy (EERE), Industrial Technologies Program (ITP), is critical to maintaining the

global competitive position of the U.S. manufacturing industry. DOE’s goal for the Combustion portfolio is

to support the ITP goal of reducing specific energy consumption in the nine energy-intensive industries by 30

percent by 2020 compared to 2002 baseline.

Successful Strategy with Industry

DOE’s Office of Energy Efficiency and Renewable Energy leads the federal role in developing advanced energyefficient and environmentally friendly industrial technologies. Industrial combustion systems R&D is a

component of the overall EERE strategy, contributing to a reduction in energy intensity of industry, a goal

outlined in the National Energy Policy. Improvements in industrial combustion systems can reduce energy

consumption through more efficient heat transfer to the load; reduce NOx, SO2, CO, and particulate

emissions; and improve product quality.

EERE/ITP is working to build the Industries of the Future through a strategy that is based on multi-year

planning, industry involvement and input during the planning process, and careful analysis and data-based

decision making. This strategy not only takes into consideration the interests of industry as described in

their technology roadmaps, but also consists of an agenda of analytical studies that provide the basis for

decision making. For instance, the Combustion Technology Roadmap, published in 1999, and revised in October

2002, has provided the basis for focusing the R&D by identifying research interests. The Energy Use and

Analysis Report, and The U.S. Manufacturing and Mining Energy Footprints studies were developed using both

government and industry data and information, and industry expertise to provide the next level of

prioritization of the portfolio. By using these studies, the portfolio is able to design a multi-year R&D plan

based on the focus area, barrier, and pathway approach. In this approach, a limited number of critical

technology focus areas are identified along with the technical barriers preventing their successful

implementation. A multi-year plan (called a “Pathway”) is then developed that will guide the R&D activities

leading to successful development of a focus area technology. The “Pathways” are then the basis for

solicitations of pre-competitive R&D that address both energy efficiency goals outlined in the National

Energy Policy and industrial combustion research priorities. This successful strategy has now evolved to a

point where it provides focus on potentially high-impact research to make revolutionary improvements in

industrial combustion systems.

There are a large number of opportunities for companies to develop and apply new combustion technologies.

However, these opportunities generally involve a high capital risk, in the event that the technology might

not achieve sufficient market acceptability. Additionally, the lack of technology transfer capabilities can slow

down the responses aimed at addressing the U.S. industry’s needs. To facilitate this knowledge transfer base,

the Combustion portfolio provides cost-shared funding for crosscutting R&D projects that are of interest to a

range of U.S. industries. ITP provides cost-shared funding for combustion-related projects identified as

priorities by specific industries. The Combustion portfolio successfully accelerates technology transfer

activities and helps the nation save energy and reduce our dependence on fossil fuels.
ii

On August 25, 2004, ITP met with industrial combustion system users at the Ultra-High Efficiency Industrial

Steam Generation Workshop. This one-day workshop aimed to identify opportunities for significantly

improving industrial steam generation technology, and build upon the results being generated by the

ongoing Superboiler project conducted by the Gas Technology Institute. The recommendations from the

workshop and guidance from the industrial boiler community are being used to develop a solicitation for

new projects that will be released in early 2005.

In September 2004, ITP held a portfolio review for the Industrial Energy Systems Program, including

Combustion and Supporting Industry projects. The review process ensures that the projects are on track to

achieve their technical, economic, and commercialization market goals; this is accomplished through a

detailed performance evaluation and feedback by reviewers. In addition, principal investigators are also given

the opportunity to present their research findings to other researchers, colleagues, and reviewers.

Achieving Energy Savings: Portfolio Strategy

The Combustion initiative aims to tackle the barriers that impede improvement of industrial combustion

systems, while addressing the R&D needs of burner, boiler, and furnace systems. To satisfy long-term goals

without ignoring valuable short-term opportunities that can improve energy efficiency, the strategy supports

development of state-of-the-art transformational technologies, as well as the improvement of current

technologies.

The FY 2004 Combustion portfolio includes four combustion projects. Additional combustion-related

projects are funded by other ITP portfolios and initiatives. More information about the Combustion

portfolio is available on the ITP Web site at: http://www.eere.energy.gov/industry/combustion/portfolio.html

FY 2004 Highlights

Ultra Low NOx Burners with Flue Gas Recirculation and Partial Reformer – The goal of this project is to

develop low excess air, ultra-low NOx, natural gas-fired industrial burners that can emit less than 5 vppm

NOx. Project partners include Lawrence Berkeley National Laboratory, Coen Co., CMC Engineering, John

Zink Co., Gasunie Research, Maxon Corporation, and MIT Plasma Science and Fusion Center. The low NOx

burners are currently being commercialized by Maxon Burner Corporation, for a variety of applications. The

burners are characterized by a 1:6 MMBtu/hr capacity, guaranteed NOx emissions below 7 ppm within a 10:1

turndown, exceptionally low CO emissions below 9 ppm, and maintenance and operating costs same as

conventional high NOx burners. A successful prototype that met almost all performance targets has been

developed to scale up the burners to 25 MMBtu/hr. Other R&D efforts include modifying the low-NOx burner

to reduce fan power, and to adapt the burners for water heating and steam generation applications.

Process Heat Combustion System – The goal of this project is to develop designs and components for a

low-cost, integrated process heater technology, with optimum system performance in terms of efficiency,

emissions, flexibility, reliability, and safety. This project integrates three advanced technologies: 1) ultra-low

emission burners; 2) a specially designed, fired heater with advanced heat recovery; and 3) an on-line,

process-tube, temperature-sensing and burner control system to enhance heat transfer, reduce maintenance

costs, and increase run lengths. The system has an energy savings potential of 84 trillion Btu/year, as well as

the potential to reduce NOx emissions by 10,000 tons and decrease capital costs by $1.5 billion by 2020.

Partners for this project include TIAX LLC, ExxonMobil, and Callidus Technologies. The design of the lowemission Advanced Process Heater (APH) has been completed. A preliminary draft of the design book

documenting the APH development and detailed design has been prepared. The total erected costs for the

APH, as well as a conventional heater, have been estimated. This analysis shows that the expected return on

investment for the high efficiency APH is attractive relative to conventional, lower efficiency process heaters.

Field demonstrations of the key APH technologies, including heat transfer enhancements and tube metal

temperature sensors, have been planned for FY 2005.

Superboiler – This project aims to develop ultra-low emission, ultra-high efficiency steam generation

technologies that will be integrated in a package boiler. The Gas Technology Institute has teamed up with

Cleaver-Brooks, a major U.S. boiler manufacturer, to design, build, and test laboratory and commercial

prototype versions of a first-generation, gas-fired Super Boiler. The performance goals include 94 percent fuel
iii

efficiency, 5 vppm NOx and CO, and 50 percent size and weight reduction compared to a conventional

firetube boiler. Potential natural gas savings are estimated at 0.5 quads per year, or more than $2 billion at

current fuel prices. After successful lab testing of a single-stage lab boiler, a two-stage furnace design with an

interstage convective pass, was put into operation. This boiler is even more compact than the single-stage

boiler and has been tested with NOx emissions down to 3 ppmv at low excess air and with no external flue

gas recirculation. Performance of the novel heat recovery system has been confirmed with fuel-to-steam

efficiency of 89% at full load; design improvements are being implemented to achieve target efficiency of

94%. GTI and Cleaver-Brooks are developing a comprehensive commercialization plan starting with

demonstration of a 250-BHP (10 MMBtu/h) prototype in southern California. Plans are to begin engineering

design of the boiler followed by testing in May 2005. Follow-on demonstrations are also planned for various

other locations across the United States.

High-Temperature Combustion System – The innovative furnace technology of the high-temperature

combustion system promises significant energy savings, emissions reduction, and increased productivity for

the chemicals, aluminum, iron and steel, and metal casting industries. Over the next three years, University

of Michigan and State of Michigan Department of Consumer and Industry Services will develop this

technology and demonstrate its energy and emission-saving capabilities. The proposed combustion system

works by capturing waste flue gases to preheat oxygen-enriched air and fuel, and at the same time, reducing

NOx production. The research team has completed cold-flow turbulent jet mixing experiments and

Computational Fluid Dynamics (CFD) calculations, and 3-D hot-flow CFD calculations with chemical

reactions. These experiments and calculations have been the basis of the design of a small-scale furnace for

laboratory experiments. The furnace design has also been completed and it is being constructed and

instrumented for a first demonstration to the Industrial Advisory Group. Continuous gas analysis equipment

has also been assembled for making chemical measurements at various locations in the furnace and in the

furnace exhaust. If the technology is successfully commercialized, potential energy savings of this project are

estimated at 50 percent.

Other R&D Highlights

Steel Portfolio

Dilute Oxygen Combustion (DOC) – The DOC system has enabled Auburn Steel Company to increase the

maximum production rate of its Auburn, New York, steel mill by 33 percent without significant capital

investment. The DOC system is marketed by Praxair, Inc. and several customers have expressed interest in the

technology. Another system has also been implemented at the former Bethlehem Steel Corporation.

Bethlehem Steel benefited from significant cost and fuel savings, and NOx emission reductions; the company

is considering the conversion of two additional furnaces.

Pulverized Coal Injection Combustion Behavior – Researchers are investigating combustion behavior of

three pulverized coal injection (PCI) coals and their influence on unburned char retained in blast furnace

off-gas emissions in three American steel companies. Research efforts have been conducted in a drop tube

furnace at a range of temperatures and excess oxygen. The low-temperature reactivity of char and coke has

been investigated by monitoring weight loss in a thermogravimetric furnace in the presence of O2 and CO2

respectively. Physical and chemical properties of char, reacted cokes and dust have been analyzed.

Glass Portfolio

Submerged Combustion Melter – In the first full year of this project, the Gas Technology Institute has

worked with project partners to design the pilot plant unit, purchase necessary equipment, determine

modeling parameters, conduct laboratory-scale testing, and finalize the consortium agreement. Currently,

the design of a pilot-scale submerged combustion melter is underway. The pilot-scale unit will be constructed

and tested in FY 2005.

Forest Products Portfolio

Improved Recovery Boiler Performance through Control of Combustion, Sulfur, and Alkali Chemistry –

A model for aerosol formations and a theoretical model of a char bed have been completed. Preliminary

parameters for a chemical structure-based devolatilization model, appropriate for black liquor, are now

published. Rates and mechanisms of fume deposit formation have been fully explored, and intermediatesized particle formation has been studied.
Improving Dryer and Press Efficiencies through Combustion of Hydrocarbon Efficiencies – Experiments

have been successful in reducing formaldehyde from an airstream to levels below 1ppm. These experiments

have shown that formaldehyde and methanol levels can be reduced by 95% and 75% respectively through

absorption by ash in a fluidized bed. Researchers for this project will continue to study the relationship

between emissions and dryer parameters, such as moisture level, temperature, dryer geometry, and other

variables.

Sensors and Automation Portfolio

Tunable Diode Laser for Harsh Combustion Environments – Project partners have established the

technical feasibility of developing a portable gas analyzer for petrochemical facilities based on a novel

broadly tunable mid-infrared laser source. A waveguide device that detects target gas by generating broadly

tuned mid-infrared radiation has been created. Future plans consist of developing a portable gas analyzer,

measuring its properties, and testing its performance in a working petrochemical facility.

Aluminum Portfolio

Low-Dross Combustion System – This project aims to improve burner efficiency and reduced dross

formation on melted aluminum. The novel burners being developed allow control of the flame shape and

oxygen distribution within the flame. Efforts have been successful in developing the flames in a laboratory

environment. Future plans include testing the burners at Wabash Alloys’, Wabash, Indiana plant.

iv
1

0 20 40 60 80 100

Petroleum Refining

Forest Products

Steel

Chemical

Glass

Metal Casting

Aluminum

Mining

Combustion as % of Total Energy Used

Steam Heat

Source: MECS 1998

Exhibit 1

Importance of Combustion to U.S. Industry

Exhibit 2

U.S. Manufacturing Energy End Uses

Steam

35%

Fired Heaters

38%

Motor

Systems

12%

Process Cooling

1%

Electro-chemical

2%

Other

4%

Facilities

8%

Combustion Systems End Use = 73%

Source: MECS 1998

Exhibit 3

Steam Energy Use by Industry

66

392

124

26 85 1 52 14 3 23 75

1,381

680

1,055

0

200

400

600

800

1,000

1,200

1,400

1,600

Petroleum Refining

Chemicals

Forest Products

Iron & Steel Mills

Food & Beverage

Mining

Alumina & Aluminum

Textiles

Cement

Plastics & Rubber

Foundries

Glass & Glass Products

Heavy Machinery

Other

Trillion Btu

Source: MECS 1998

INDUSTRY OVERVIEW

Industrial combustion systems are essential to the

U.S. manufacturing sector and, consequently, to

the U.S. economy. The total value of shipments

for the top eight U.S. combustion-based industries

is estimated at $890 billion. Every state with

industry relies on combustion for everyday

performance, and virtually every industry requires

some form of combustion for operation. Exhibit

1 shows the amount of energy use for combustion

as a percentage of total energy consumption for

each industry.

Combustion-based industries also represent an

enormous source of employment. The top seven

U.S. combustion-based industries employ more

than 3 million people.

Energy Use

Combustion systems are used to generate steam and heat for

manufacturing processes. Combustion systems account for

almost 75 percent of total energy end use in the U.S.

manufacturing sector. Specifically, fired heaters represent 38

percent of total energy end use, and steam systems account for

35 percent, as shown in Exhibit 2.

Steam systems consume 6,201 trillion Btu annually. The most

steam-intensive industries are forest products (1,381 TBtu),

chemicals (1,055 TBtu), and petroleum refining (680 TBtu).

Exhibit 3 shows the amount of steam energy used by each

industry.

Of the overall energy inputs for steam systems, 45 percent is lost

in boilers, distribution, and energy

conversion. Boilers account for the largest

losses in steam systems, totaling 1,233 trillion

Btu. Boiler efficiency ranges from 55 percent

to almost 90 percent, and the average boiler

efficiency is estimated at less than 80 percent.

Almost one quad is lost in steam distribution,

which represents 15 percent of the overall

steam system losses. Energy conversion losses,

such as losses from heat exchangers, preheat

systems, and other equipment, total 597

trillion Btu. The remaining 3,380 trillion Btu

are used in the various manufacturing

processes.

Fired heaters consume 6,672 trillion Btu/year.

The petroleum refining industry is the largest

energy consumer, with 2,067 trillion Btu.

Iron and steel mills, and the chemicals

industry are also very large consumers, with 1,326 and 1,099 trillion Btu, respectively. Exhibit 4 shows a

distribution of the total energy used for fired heaters by each individual industry.
2

Opportunities for Energy Savings

The Combustion portfolio identifies and addresses the opportunities for energy savings for industrial

combustion systems. Because of the crosscutting nature of these systems, the opportunities for energy loss

reductions are very large (in excess of 2.6 quadrillion Btu). The program’s focus areas are: 1) steam

generation, 2) process heating, and 3) components and design tools for both steam generation and process

heating systems. Exhibit 5 shows the potential energy savings for combustion systems.

Exhibit 4

Fired Heaters Energy Use by Industry

2,067

1,099

473

1,326

221 204 164 62

293

60 147 204 182 170

0

500

1,000

1,500

2,000

2,500

Petroleum Refining

Chemicals

Forest Products

Iron & Steel Mills

Food & Beverage

Mining

Alumina & Aluminum

Textiles

Cement

Plastics & Rubber

Foundries

Glass & Glass Products

Heavy Machinery

Other

Trillion Btu

Source: MECS 1998

Exhibit 5

Potential Energy Savings for Combustion Systems

0 300 600 900 1200 1500

(Trillion Btu)

Steam Generation -

Field Erected

Steam Generation -

Package

Process Heating
3

The overall goal of the

Combustion portfolio is to support

the ITP goal of reducing specific

energy consumption in the seven

IOFs by 30 percent by 2020

(compared to 2002 baseline).

THE CHALLENGE

The challenges of improving combustion processes are highly complex. In recent years, combustion systems

research has focused on emissions reduction and energy efficiency. The challenge has been to develop clean

systems without compromising their efficiency. The combustion equipment industry is a highly fragmented,

low-margin sector that has inadequate resources to tackle these R&D challenges alone. Through collaborative

R&D partnerships, DOE and industry are creating the foundation for enhanced combustion performance,

focusing on applications outlined as priorities by the ITP’s portfolios, and identified in the combustion

vision and technology roadmap.

Developments at the component level remain important. From a

total systems perspective, the optimization of combustion processes

depends on breakthroughs in efficiency, productivity, safety, and

environmental performance. To accomplish these breakthroughs,

it is imperative to attain higher levels of sophistication in

computational science and systems engineering. Combustion is

one of the most complex physicochemical processes known, and

effective computational modeling and simulation of combustion

comprise a great part of the challenge.

The historical approach to combustion systems design and tuning has been trial and error. Advanced

modeling and improved systems engineering capabilities can bring more predictability to combustion design,

resulting in development of systems that can deliver heat to the load with unprecedented precision,

reliability, and efficiency.

Improved Emissions Control

The goal of achieving low-cost solutions to criteria-pollutant emission control without sacrificing energy

efficiency remains a priority for the Combustion portfolio. In the Combustion vision and roadmap,

equipment end users anticipate requirements for nitrogen oxides (NOx) emissions of under 10 ppm in the

near-term, and 2 ppm over the coming decades. Presently, the scientific advances that allow for the

achievement of single-digit emissions have been achieved. However, further advances in technology are

required to attain acceptable cost, performance, and reliability levels.

Strategy for Improving Combustion Systems Energy Efficiency

The Combustion portfolio within the U.S. Department of Energy’s Industrial Technology Program (ITP)

provides crosscutting support for technology development relevant to its nine industrial portfolios. The

Combustion portfolio is steered by two documents: 1) the Combustion Industry Vision (developed from an ITPsponsored workshop in 1998) which describes the long-range view of industry stakeholders, and 2) the

Industrial Combustion Technology Roadmap (developed in 1999 and updated in 2001) which establishes specific

targets that will need to be met to achieve the Vision goals. Exhibit 6 (page 4) summarizes the Combustion

portfolio goals.

At present, Combustion portfolio funding is fully engaged in supporting four projects. However, these

projects address only a portion of the opportunities for energy savings that exist within the Industries of the

Future. As part of the strategy, it is important that the projects remain on schedule and deliver the promised

energy savings. Combustion portfolio managers work closely with the other ITP portfolios sponsoring

combustion-related projects to maximize the impact of those projects. Simultaneously, opportunities are

identified where ITP portfolios might collaborate in the development of new combustion technologies that

are relevant to other portfolio goals.
4

Boilers

Boiler Burners

Furnaces

Furnace Burners

• Maximize system efficiency by achieving 150o

 F stack exit temperature

• Improve system reliability by 50 percent

• Maximize integration of steam and power production

• Reduce first cost and life-cycle costs

• Improve safety

• Achieve NOx

 emissions below 2 vppm

• Reduce CO emissions below 5 vppm

• Reduce particulate emissions below 0.003 lb/MMBtu

• Maximize multifuel capability

• Reduce the total cost of combustion in manufacturing

• Reduce product loss ratio by 50 percent

• Enhance system integration

• Maximize system robustness

• Zero accidents

• Achieve 90 percent reduction of criteria pollutants vs. 1990 baseline

• Reduce CO2 emissions per international agreements

• Reduce specific fuel consumption by 20-50 percent

• Maximize multifuel capability

Exhibit 6

 Combustion Portfolio Goals Summary
5

FY 2004 HIGHLIGHTS AND ACCOMPLISHMENTS

The Combustion portfolio supports cost-shared research that addresses high-risk, high-impact needs with a

broad application throughout ITP. In FY 2004, the Combustion portfolio included four active projects (see

Exhibit 6). In addition, there are a number of combustion-related projects in other components of the ITP

(Exhibit 7).

Exhibit 7

Active Combustion Projects in FY 2004

Ultra Low NOx Burners with Flue Gas Recirculation and Partial Reformer – The goal of this project is to develop low excess

air, ultra-low NOx

, natural gas-fired industrial burners that can emit less than 5 vppm NOx. Project partners include Lawrence

Berkeley National Laboratory, Coen Co., CMC Engineering, John Zink Co., Gasunie Research, Maxon Corporation, and MIT

Plasma Science and Fusion Center. The low NOx

 burners are currently being commercialized by Maxon Burner Corporation, for a

variety of applications. The burners are characterized by capacities from 1:6 MMBtu/hr, guaranteed NOx

 emissions below 7 ppm

within a 10:1 turndown, exceptionally low COemissions below 9 ppm, and maintenance and operating costs same as

conventional burners. A successful prototype has been developed to scale up the burners to 25 MMBtu/hr. Other R&D efforts

include modifying the low-NOx

 burner to reduce fan power, and to adapt the burners to water heaters and steam for steam

generation purposes.

Process Heat Combustion System – The goal of this project is to develop designs and components for a low-cost, integrated

process heater technology, with optimum system performance in terms of efficiency, emissions, flexibility, reliability, and safety.

This project integrates three advanced technologies: 1) ultra-low emission burners; 2) a specially-designed fired heater with

advanced heat recovery; and 3) an on-line, process-tube, temperature-sensing and burner control system to enhance heat

transfer, reduce maintenance costs, and increase run lengths. The system has an energy-savings potential of 84 trillion Btu/year,

as well as the potential to reduce NOx

 emissions by 10,000 tons and decrease capital costs by $1.5 billion by 2020. Partners for

this project include TIAX LLC, ExxonMobil, and Callidus Technologies. The design of the low-emission Advanced Process Heater

(APH) has been completed. A preliminary draft of the design book documenting the APH development and detailed design has

been prepared. The total erected costs for the APH, as well as a conventional heater, have been estimated. This analysis shows

that the expected return on investment for the high-efficiency APH is attractive relative to conventional, lower-efficiency process

heaters. Field demonstrations of the key APH technologies, including heat transfer enhancements and tube metal temperature

sensors, have been planned for FY 2005.

Superboiler – This project aims to develop ultra-low emission, ultra-high efficiency steam generation technologies that will be

integrated in a package boiler. The Gas Technology Institute has teamed up with Cleaver-Brooks, a major U.S. boiler

manufacturer, to design, build, and test laboratory and commercial prototype versions of a first-generation, gas-fired Super

Boiler. The performance goals include 94 percent fuel efficiency, 5 vppm NOx and CO, and 50 percent size and weight reduction

compared to a conventional firetube boiler. Potential natural gas savings are estimated at 0.5 quads per year, or more than $2

billion at current fuel prices. After successful lab testing of a single-stage lab boiler, a two-stage furnace design with an

interstage convective pass was put into operation. This boiler is even more compact than the single-stage boiler and has been

tested with NOx emissions down to 3 ppmv at low excess air and with no external flue gas recirculation. Performance of the novel

heat recovery system has been confirmed with fuel-to-steam efficiency of 89 percent at full load; design improvements are being

implemented to achieve the target efficiency of 94 percent. GTI and Cleaver-Brooks are developing a comprehensive

commercialization plan starting with a demonstration of a 250-BHP (10 MMBtu/h) prototype in southern California. Plans are to

begin engineering design of the boiler followed by testing in May 2005. Follow-on demonstrations are also planned for various

other locations across the United States.

High-Temperature Combustion System – The innovative furnace technology of the high-temperature combustion system

promises significant energy savings, emissions reduction, and increased productivity for the chemicals, aluminum, iron and steel,

and metal casting industries. Over the next three years, the University of Michigan and the State of Michigan Department of

Consumer and Industry Services will develop this technology and demonstrate its energy and emission saving capabilities. The

proposed combustion system works by capturing waste flue gases to preheat oxygen-enriched air and fuel, while at the same

time, reducing NOx production. The research team has completed cold-flow turbulent jet mixing experiments and Computational

Fluid Dynamic (CFD) calculations, and 3-D hot-flow CFD calculations with chemical reactions. These experiments and

calculations have been the basis of the design of the small-scale furnace for laboratory experiments. The furnace design has also

been completed and it is being constructed and instrumented for a first demonstration to the Industrial Advisory Group.

Continuous gas analysis equipment has also been assembled for making chemical measurements at various locations in the

furnace and in the furnace exhaust. If the technology becomes successfully commercialized, potential energy savings of this

project are estimated at 50 percent.
6

Other R&D Highlights

Steel

Dilute Oxygen Combustion (DOC) – The DOC system has enabled Auburn Steel Company to increase the

maximum production rate of its Auburn, New York, steel mill by 33 percent without significant capital

investment. The DOC system is marketed by Praxair, Inc. and several customers have expressed interest in the

technology. Another system has also been implemented at the former Bethlehem Steel Corporation.

Bethlehem Steel benefited from significant cost and fuel savings, and NOx emission reductions; the company

is considering the conversion of two additional furnaces.

Glass

Submerged Combustion Melter – In the first full year of this project, the Gas Technology Institute has

worked with project partners to design the pilot plant unit, purchase necessary equipment, determine

modeling parameters, conduct laboratory-scale testing, and finalize the consortium agreement. Currently,

the design of a pilot-scale submerged combustion melter is underway. The pilot-scale unit will be constructed

and tested in FY 2005.

Forest Products

Improved Recovery Boiler Performance through Control of Combustion, Sulfur and Alkali Chemistry –

A model for aerosol formations and a theoretical model of a char bed have been completed. Preliminary

parameters for a chemical structure-based devolatilization model, appropriate for black liquor, are now

published. Rates and mechanisms of fume deposit formation have been fully explored, and intermediatesized particle formation has been studied.

Sensors and Automation

Tunable Diode Laser for Harsh Combustion Environments – Project partners have established the

technical feasibility of developing a portable gas analyzer for petrochemical facilities based on a novel

broadly tunable midinfrared laser source. A

waveguide device that

detects target gas by

generating broadly tuned

mid-infrared radiation has

been created. Future plans

consist of developing a

portable gas analyzer,

measuring its properties,

and testing its performance

in a working petrochemical

facility.

Aluminum

Low Dross Combustion

System – This project aims

to improve burner

efficiency and reduced

dross formation on melted

aluminum. The novel

burners being developed

allow control of the flame

shape and oxygen

distribution within the flame. Efforts have been successful in developing the flames in a laboratory

environment. Future plans include testing the burners at Wabash Alloys, Wabash, Indiana plant.

Forest Products

• Laboratory Development of a High Capacity Gas-Fired Paper Dryer

• Improving Dryer and Press Efficiencies Through Combustion of Hydrocarbon Emissions

• Control of Emissions from Wood Waste Burners and Wood Dryers

• Development of Methane De-NOx

 Reburning Process for Waste-Wood, Sludge, and Biomass-Fired

Stoker Boilers

Glass

• Development and Validation of a Coupled Combustion Space/Glass Bath Furnace Simulation

• Monitoring and Control of Alkali Volatilization and Batch Carryover

Sensors and Controls

• Diagnostics and Control of Natural Gas-Fired Furnaces via Flame Image Analysis (Glass)

• Fiber-Optic Sensor for Industrial Process Measurement and Control (Glass)

• Thermal Imaging Control of High-Temperature Furnaces (Steel)

• Boiler and Furnace Efficiency Improvement with Low-Cost CO Sensor and Burner Control System

• Tunable Diode Laser Sensor for Combustion Control (Steel)

Steel

• Low-NOx

 Boiler Demonstration

• NOx

 Emission Reduction by Oscillating Combustion (Combustion)

• Hot-Strip Mill Transfer Bar RapidfireTM Edge Heat Project (NICE3)

• Pulverized Coal Injection Combustion Behavior

Exhibit 8

Other Projects Relevant to the Combustion Portfolio
7

TOOLS, PUBLICATIONS, AND RESOURCES AVAILABLE

Combustion Resources

Industrial Combustion Vision

The Combustion Industry Vision was developed from an ITP-sponsored workshop in 1998. The workshop

combined the expertise of manufacturers and users of burners, boilers, furnaces, and other process heating

equipment. The Vision provides a background on today’s combustion systems, and specifies strategic targets,

competitive challenges, and the industry’s next steps. The Vision is available for download at: http://

www.eere.energy.gov/industry/combustion/pdfs/combustion_vision.pdf

Industrial Combustion Technology Roadmap

In 1999, combustion system users and manufacturers joined forces to develop the Industrial Combustion

Technology Roadmap. The document identified R&D priorities for the development of advanced, highly

efficient combustion systems that U.S. industry will require in the future. In 2001, ITP convened industry

workshops to update the roadmap. The Industrial Combustion Technology Roadmap (2002) lists the R&D

initiatives needed for the next 20 years. The roadmap is available for download at: http://

www.eere.energy.gov/industry/combustion/pdfs/combustion_roadmap2002.pdf

Guide to Low-Emission Boiler and Combustion Equipment Selection

In 2001, DOE’s Industrial Technologies Program (ITP) sponsored efforts at the Oak Ridge National Laboratory

(ORNL) to develop the Guide to Low-Emission and Combustion Equipment Selection, a guide for choosing lowemission boilers and combustion equipment. The guide addresses fundamental concerns that arise when

planning a new steam or hot water boiler system to be operated in compliance with regulatory emission

standards. The document became available in April 2002. The guide was developed in cooperation with the

American Boiler Manufacturers Association (ABMA) and the Council of Industrial Boiler Owners (CIBO).

This guide is available for download at: http://www.oit.doe.gov/bestpractices/steam/pdfs/

guide_low_emission.pdf

Improving Industrial Burner Design with Computational Fluid Dynamics Tools: Progress, Needs, and

R&D Priorities

In September 2001, burner designers, end users, combustion researchers, and computer code developers

participated in a workshop to explore the role of computational fluid dynamics (CFD) tools in the design of

industrial burners. CFD tools have the potential to significantly improve burner design. The results from

the workshop, summarized in this report, show the contributions of CFD to burner design today, and

identify R&D priorities. The document also describes the current progress of CFD, the benefits of CFD

modeling, and future issues. This document is available at: http://www.eere.energy.gov/industry/combustion/

pdfs/cfd_wkshp_report.pdf

Combustion R&D Brochure

This brochure highlights the benefits of government and industry partnership collaborations in combustion

R&D. The brochure is available at: http://www.eere.energy.gov/industry/combustion/pdfs/

combustion_brch.pdf

Process Heating Resources

Process Heating Tip Sheets

The tip sheets provide useful information on basic methods to improve burner efficiency. The tip sheets are

available at: http://www.oit.doe.gov/bestpractices/process_heat/pdfs/et_check_burner.pdf

Process Heating Supplement to Energy Matters

This document provides information on system optimization, as well as current issues of the process-heating

sector, and project specifics. The document is available at: http://www.oit.doe.gov/bestpractices/

energymatters/pdfs/procheat.pdf.
8

Roadmap for Process Heating

The roadmap, sponsored by the Industrial Heating Equipment Association (IHEA) and DOE, became available

on March 16, 2001. The document specifies the priority R&D goals and non-research goals for process

heating improvement. The roadmap is available at: http://www.oit.doe.gov/bestpractices/pdfs/

process_heating_0401.pdf.

Steam System Resources

Steam Tip Sheets

A series of tip sheets provide information on useful methods to improve boiler efficiency and steam system

best practices. The tip sheets are available at: http://www.oit.doe.gov/bestpractices/

technical_publications.shtml#steam.

Steam System Opportunity Assessment for the Pulp and Paper, Chemical Manufacturing, and Petroleum

Refining Industries

Resource Dynamics Corporation developed this report with the assistance of industry, national laboratory,

and best practices specialists to analyze the opportunities available for these three large steam consumer

industries. The report is available at: http://www.nrel.gov/docs/fy03osti/32822CD.zip.

Improving Steam System Performance – A Sourcebook for Industry

This report provides general background on steam systems and identifies performance improvement

opportunities for end users. DOE, Lawrence Berkeley National Laboratory, and Resource Dynamics

Corporation participated in a mutual effort for the development of this document. The report is available

at: http://www.oit.doe.gov/bestpractices/steam/pdfs/steamsourcebook.pdf.

Steam Digest

Available directly from DOE’s Best Practices Web site, Steam Digest contains a collection of articles published

on steam system management and resources. Two consecutive years of Steam Digest archives are available for

download at: http://www.oit.doe.gov/bestpractices/steam/tools.shtml.

Guide to Low-Emission Boiler and Combustion Equipment Selection

Oak Ridge National Laboratory developed this document to provide users with a guide for selecting lowemission boilers and combustion equipment. The guide covers topics for industrial, commercial, and

institutional boilers, and presents technical and regulatory issues. The guide is available for download at:

http://www.oit.doe.gov/bestpractices/steam/pdfs/guide_low_emission.pdf.

Steam System Survey Guide

Developed by Oak Ridge National Laboratory, the survey guide was prepared for steam system operational

personnel and energy managers to help them identify opportunities available for energy and productivity

savings. The guide is available for download at: http://www.oit.doe.gov/bestpractices/steam/pdfs/

steam_survey_guide.pdf.

Review of Orifice Plate Steam Traps

Oak Ridge National Laboratory prepared this document to help end users decide when orifice plate steam

traps should be used in new or existing steam systems. The report provides background information,

advantages and disadvantages of using orifice plate steam traps, and final recommendations. The document

is available for download at: http://www.oit.doe.gov/bestpractices/steam/pdfs/orificetraps.pdf

Technical Briefs

A series of technical reports discuss steam cost calculations, heat transfer solutions, steam system process

control schemes, and the use of heat pumps for steam system fuel savings. The reports are available for

download at: http://www.oit.doe.gov/bestpractices/steam/tools.shtml

Combined Heat and Power Resources

There are a series of documents and resources related to combined heat and power. Some of these resources

are described below. For a complete list of resources, please visit: http://www.eere.energy.gov/de/information/

info_docs_chp_tech.shtml
9

National CHP Roadmap

The roadmap, sponsored by the United States Combined Heat and Power Association, the U.S.

Environmental Protection Agency, and DOE, became available in March, 2001. The document specifies the

priority R&D goals and non-research goals for CHP. The roadmap is available at: http://uschpa.admgt.com/

CHProadmap.pdf

Combined Heat and Power Market Potential for New York State

This report, created by the New York State Energy Research and Development Authority, analyzed the CHP

market potential for the state of New York, and concluded very positive results. The report became available

in October, 2002. The document can be found at: http://www.eea-inc.com/dgchp_reports/newyorkCHP.pdf

Integrated Energy Systems (IES) for Buildings: A Market Assessment

This report, created by Resource Dynamics Corporation, became available in August 2002. The document

describes the integration of CHP and thermally integrated technologies (TAT) into Integrated Energy Systems.

The document is available at: http://www.eere.energy.gov/de/pdfs/ies_report.pdf

Energy Analysis – Targeting Energy Efficiency

GPRA Analysis was completed for projects considered in the FY 2006 budget. The analysis estimates future

benefits of emerging technologies in the Combustion portfolio based on market penetration, efficiency

gains, and emission-reduction capabilities.

U.S. Manufacturing and Mining Energy Use and Loss Analysis details the energy use patterns of the most

energy-intensive industries. This document gives valuable information on how energy is used by each

industry, providing the basis to identify specific energy-saving opportunities.

Process Heating Assessment and Survey Tool (PHAST) introduces the user to process heating methods and

tools capable of improving thermal efficiency of heating equipment. The tool and its fact sheet are available

for download at: http://www.oit.doe.gov/bestpractices/process_heat. Training on the tool is available

through DOE and a number of its Allied Partners (see http://www.oit.doe.gov/bestpractices/training for

information on upcoming training sessions).

In order to help users get the most from the tool, DOE and the Industrial Heating Equipment Association

(IHEA) offer the Qualified Process Heating Specialist program. Participants who successfully complete a

qualification workshop exam receive the “Qualified Specialist” designation. To learn more about the PHAST

qualification, please visit: http://www.oit.doe.gov/bestpractices/software/phast_cert.shtml.

Business Value of Steam Efficiency Tool allows the user to justify the economic value of system

improvements and calculate benefits. The tool is available for download at: http://www.oit.doe.gov/

bestpractices/steam/pdfs/justify.pdf.

Alternative Financing for Steam Efficiency is a presentation that describes the different available financing

arrangements offered by energy service companies. The presentation is available at: http://www.oit.doe.gov/

bestpractices/steam/docs/alt_financing.ppt.

Steam System Technical Tools are provided by members of the Steam Challenge Steering Committee. A list

of tools can be accessed from: http://www.oit.doe.gov/bestpractices/steam/tools.shtml.

Steam System Assessment Tool allows the user to estimate potential savings from steam system

improvements. In this tool, input data is transformed into energy, cost, and emissions savings estimates.

The tool is available for download at: http://www.oit.doe.gov/bestpractices/steam/ssat.html.

Steam System Scoping Tool allows end users to evaluate their system operation against identified best

practices and develop awareness of available opportunities to increase steam system efficiency. The tool is

available in both Visual Basic and MS Excel formats, and can be downloaded from: http://www.oit.doe.gov/

bestpractices/steam/tools.shtml.
10

Combined Heat and Power Tool is designed to evaluate the feasibility of using Combined Heat and Power

(CHP) systems in industrial process heating systems. The heating systems include fuel-fired furnaces, boilers,

ovens, heaters, and heat exchangers used by industry. The tool analyzes the technical and economic

feasibility of using gas turbine exhaust gases to supply heat to fluids (air, water, heating oils, etc.), boilers or

an industrial furnace or oven. The tool allows the user to determine the required amount of heat and the

appropriate size of the turbine needed to meet that requirement, and it allows the user to calculate payback

periods and perform “what-if” analyses for various utility costs. The tool is currently being tested as a Beta

version and will be made available to the general public following incorporation of modifications suggested

by the testers.
11

HOW TO GET INVOLVED AND CONTACT INFORMATION

Partnership Information

Public-private partnerships are the foundation of ITP’s technology delivery strategy. ITP includes its partners

in every phase of the technology development process to focus scarce resources where they can have the

greatest impact on industrial energy efficiency. To learn more, please visit our Web site at http://

www.eere.energy.gov/industry.

• Collaborative, cost-shared research and development projects are a central part of ITP’s strategy. Annual

solicitations provide technology development opportunities in a variety of energy-intensive industries.

• Industries of the Future Partnerships increase energy efficiency in the most energy-intensive industries. In

addition to cost-shared research and development projects, industry partners participate in the

development of vision and roadmap documents that define long-term goals, technology challenges, and

research priorities.

• Allied Partnerships provide an opportunity for ITP to reach a broad audience of potential customers by

allying with corporations, trade associations, equipment manufacturers, utilities, and other stakeholders

to distribute industrial energy efficiency products and services. By becoming an Allied Partner, an

organization can increase its value to clients by helping them achieve plant efficiencies.

• State energy organizations work with ITP in applying technology to assist their local industries. ITP

assists states in developing partnerships to mobilize local industries and other stakeholders to improve

energy efficiency through best practices, energy assessments, and collaborative research and development.

• EERE’s technical programs (of which ITP is one of eleven) give manufacturers access to a diverse portfolio

of energy efficiency and renewable energy technologies and bring advanced manufacturing technology

to the renewable energy community. For more information, access the EERE home page at http://

www.eere.energy.gov.

• The President’s Climate VISION (Voluntary Innovative Sector Initiatives: Opportunities Now) effort also

offers opportunities for manufacturers to pursue cost-effective actions that will reduce greenhouse gas

emissions. See http://www.climatevision.gov for details.

Access to Resources and Expertise

The Industrial Technologies Program provides manufacturers with a wide variety of industrial energy

efficiency resources to help your company cut energy use right away. Visit our site at http://

www.eere.energy.gov/industry or call the EERE Information Center at 877-337-3463 to access these resources

and for more information.

• ITP offers energy management best practices to improve energy efficiency throughout plant operations.

Improvements to industrial systems such as compressed air, motors, process heat, and steam can yield

enormous savings with little or no capital investment.

• Our suite of powerful system optimization software tools can help plants identify and analyze energysaving opportunities in a variety of systems.

• Training sessions are held several times per year at sites across the country for companies interested in

implementing energy-saving projects in their facilities. DOE software tools are used as part of the training

sessions.

• ITP’s qualified industrial energy specialists will work with your plant personnel to identify savings

opportunities and train staff in the use of ITP software tools.
• Our extensive library of publications gives companies the resources they need to achieve immediate

energy savings.

• Plant-wide energy assessments are available to manufacturers of all sizes interested in cutting their energy

use. Cost-shared solicitations are available each year for plant-wide energy assessments. In addition, nocost, targeted assessments are provided to eligible facilities by teams of engineering faculty and students

from 26 university-based Industrial Assessment Centers around the country.

• The DOE Regional Offices provide a nationwide network of capabilities for implementing ITP’s

technology delivery strategy. Regional Offices are located in the Southeast, Northeast, Midwest, Central,

Mid-Atlantic, and Western regions. Visit http://www.eere.energy.gov/rso.html for more information.

WHERE TO GO FOR MORE INFORMATION

Visit our Web site: http://www.eere.energy.gov/industry/combustion/

Learn about all EERE programs: http://www.eere.energy.gov

EERE Information Center answers questions on EERE’s products, services and 11 technology programs, refers

callers to the most appropriate EERE resources, and refers qualified callers to the appropriate expert networks.

You may contact the EERE Information Center by calling 1-877-EERE-INF (1-877-337-3463) or by completing

the form at this site: http://www.eere.energy.gov/informationcenter. A customer service specialist or energy

expert at the EERE Information Center will respond to your inquiry.

For print copies of DOE, EERE and ITP Publications, contact the

Energy Efficiency and Renewable Energy Information Center

P.O. Box 43165

Olympia, WA 98504-3165

http://www.eere.energy.gov/informationcenter/

For questions regarding Combustion portfolio activities, please contact:

Robert Gemmer

Technology Manager

Office of Energy Efficiency and Renewable Energy

EE-2F

U.S. Department of Energy

Washington, DC 20585-0121

Phone: 202-586-5885

Fax: 202-586-1658

E-mail: bob.gemmer@ee.doe.gov

12
Combustion Industry of the Future

Industrial Technologies Program

Boosting the productivity and competitiveness of U.S. industry

A Strong Energy Portfolio for a Strong America

Energy efficiency and clean, renewable energy will mean a stronger economy, a cleaner environment, and great energy

independence for America. By investing in technology breakthroughs today, our nation can look forward to a more

resilient economy and secure future.

Far-reaching technology changes will be essential to America’s energy future. Working with a wide array of state,

community, industry, and university partners, the U.S. Department of Energy’s Office of Energy Efficiency and

Renewable Energy invests in a portfolio of energy technologies that will:

• Conserve energy in the residential, commercial, industrial, government, and transportation sectors

• Increase and diversify energy supply, with a focus on renewable domestic sources

• Upgrade our national energy infrastructure

• Facilitate the emergence of hydrogen technologies as a vital new “energy carrier”

The Opportunities

Biomass Program

Using domestic, plant-derived resources to meet our fuel, power, and chemical needs

Building Technologies Program

Homes, schools, and businesses that use less energy, cost less to operate, and ultimately, generate as much power as

they use

Distributed Energy & Electric Reliability Program

A more reliable energy infrastructure and reduced need for new power plants

Federal Energy Management Program

Leading by example, saving energy and taxpayer dollars in federal facilities

FreedomCAR & Vehicle Technologies Program

Less dependence on foreign oil, and eventual transition to an emissions-free, petroleum-free vehicle

Geothermal Technologies Program

Tapping the Earth’s energy to meet our heat and power needs

Hydrogen, Fuel Cells & Infrastructure Technologies Program

Paving the way toward a hydrogen economy and net-zero carbon energy future

Industrial Technologies Program

Boosting the productivity and competitiveness of U.S. industry through improvements in energy and environmental

performance

Solar Energy Technology Program

Utilizing the sun’s natural energy to generate electricity and provide water and space heating

Weatherization & Intergovernmental Program

Accelerating the use of today’s best energy-efficient and renewable technologies in homes, communities, and

business

Wind & Hydropower Technologies Program

Harnessing America’s abundant natural resources for clean power generation

To learn more, visit www.eere.energy.gov

published February 2005