Economic analysis and assessment of syngas production using a modeling approach (Journal Article) (2024)

Economic analysis and modeling are essential and important issues for the development of current feedstock and process technology for bio-gasification. The objective of this study was to develop an economic model and apply to predict the unit cost of syngas production from a micro-scale bio-gasification facility. An economic model was programmed in C++ computer programming language and developed using a parametric cost approach, which included processes to calculate the total capital costs and the total operating costs. The model used measured economic data from the bio-gasification facility at Mississippi State University. The modeling results showed that the unit cost of syngas production was $1.217 for a 60 Nm-3 h-1 capacity bio-gasifier. The operating cost was the major part of the total production cost. The equipment purchase cost and the labor cost were the largest part of the total capital cost and the total operating cost, respectively. Sensitivity analysis indicated that labor costs rank the top as followed by equipment cost, loan life, feedstock cost, interest rate, utility cost, and waste treatment cost. The unit cost of syngas production increased with the increase of all parameters with exception of loan life. The annual cost regarding equipment, labor, feedstock, waste treatment, and utility cost showed a linear relationship with percent changes, while loan life and annual interest rate showed a non-linear relationship. This study provides the useful information for economic analysis and assessment of the syngas production using a modeling approach.