First Project


Production of Dimethyl Ether (“DME”)
 
Conventional Dimethyl Ether (“DME”), will be the first produced product. DME is handled in the same way as LPG (propane). It is stored, distributed and dispensed using existing LPG delivery systems. The DME production process consists of removing the water from methanol. Both the natural gas auto- reforming to methanol and methanol to DME processes are established and in global commercial use.
 
Market Drivers: Fuel & Environmental Compliance Cost Savings
DME demand will be driven:
  • Principally by DME’s substantial discount, on a Diesel Equivalent Litre (DE-L) basis, to diesel fuel; and
  • Secondly by the DME truck’s simpler emissions systems which reduce emissions compliance cost.

Principal Market: Class 8 Diesel Truck Fleets
GV Energy Inc. anticipates the North American transportation “sweet spot” for DME will be the Class 8 C.I.  trucks.

“Volvo plans to commercialize DME technology in North America in 2015.”
(Volvo Trucks – United States: Press Release June 6, 2013)

Mack Trucks will begin production of dimethyl ether (DME)-powered MACK® PinnacleTM Axle Back models in 2015.
(Mack Trucks Press Release June 20, 2013)

Other DME Fuel Markets

Marine

One of the largest potential DME markets is the marine fuel market. The world’s major ports, as a condition of entry, are requiring vessels to meet limits on engine emission and are beginning to impose prohibitions on harmful fuel discharges. The environmental requirements can be met by the use of DME.Marine engines certified to run on DME already exist.


Remote Mining Operations

Remote mines are major consumers of diesel fuel; most mining equipment is powered with diesel engines and all electrical generation equipment at remote sites is run off of diesel fuel. The cost of diesel fuel represents one of the largest components of mining operating costs.

DME will allow mining companies to substitute a less expensive natural gas based for conventional diesel fuel. It will also allow the companies to meet the increasingly stringent emission standards being imposed on mining site diesel engines.

 
DME’s Environmental Benefits

DME is a multi-use, non-GHG, biodegradable, non-toxic non-corrosive gas. The most significant advantages of DME is that it produces no soot (particulate emissions) eliminating the need for a diesel particulate filter.
Additionally DME fuelled C.I. engines produce no SOx emissions and reduced levels of NOx emissions.

DME advantages over Liquefied Natural Gas (“LNG”)
  DME LNG
Vehicle Cost 20% - 30% more than a conventional diesel vehicle 75% to 100% more expensive (adds approximately 225 kg to Tare)
Fuelling Station Cost (Ex. Land Costs) Equal to or Less than $0.25M $1M - $2M
Effects of Fugitive Releases Non-toxic and no effect on air/soil/water quality; DME is not carcinogenic, mutagenic, teratogenic Not a GHG Greenhouse Gas value is 21 times that of CO2 and adversely affects local air quality
On-Board Storage Conditions to maintain as a Liquid (Cost) About 12 Bars of Pressure-($) Cryogenic storage at -162°C (-260°F) – ($$$)
Distribution Modalities Standard LPG systems including Pipeline, Rail, Truck, Chemical, Marine Vessel & Small Canister Ships, trucks and trains with specialized cryogenic storage systems
Maintenance Facilities Standard LPG (propane) Specialized Systems required making the facilities more expensive than LPG facilities