Progress 09/01/09 to 08/31/13
Outputs OUTPUTS: The major focus work undertaken in Phase II SBIR program was to advance a commercialization program for the Improved Hard Process (IHP) targeted to finance a Demonstration Plant critical to commercializing the IHP technology by removing engineering, environmental and market uncertainty, building a commercialization team and business plan worthy of financing, and to in-fact procuring financing and build the Demonstration Plant. Low grade Florida phosphate ore materials (not currently used in the current Wet Acid Process (WAP)used commercially for phosphoric acid production) were identified, characterized and found to be adequate feed to the IHP process, trebling the potential reserve base for phosphate ore mining in Florida. Several phosphate ore materials from around the world were confirmed for the IHP, some of which are not appropriate for the WAP. The importance of forming good balls in the balling circuit was confirmed in Batch Kiln Testing. A new binding agent with substantial ancillary benefits was identified and is the subject of an independent patent application. Physical and chemical characteristics of the co-product aggregate were defined and shown to neither emanate radon nor leach heavy metals, key findings to qualify the co-product as marketable aggregate. Initial work on the performance of the co-product aggregate in certain construction applications were carried out with promising results. A third party review of the technology was undertaken and determined that the technology was sound and without contraindications that argue against proceeding with further commercialization efforts. Sales collateral was developed and a sales effort launched which led to financing the Demonstration Plant in two rounds. Detailed Engineering for constructing a 12,000 t P2O5/year IHP Demonstration Plant at a site near Fort Meade, Florida is nearing completion and construction of the Demonstration Plant is about 40% complete as of the writing of this document. An air permit has been issued and raw material and off take agreements completed. A corporate structure and management team sufficient for the commercialization effort was assembled during the first half of this SBIR program. First round financing of the Demonstration Plant for $6 million was completed the first part of March, 2012 and the second round of financing for a total of $21.4 million was completed during the first of August, 2012. PARTICIPANTS: Dr. Joseph Megy, CTO, created and organized the transfer of the IHP technology to JDCPhosphate to prepare for financing the commercial effort. Hired a commercialization team, conducted research, contributed to front end engineering package for Demonstration Plant plans, contributed to funding collateral. Set up JDCDevelopment, LLC to build and operate the Demonstration Plant. Mark Vignovic, Director Environmental, secured air and water permits,contributed to engineering, personel, safety,and marketing collateral. Larry Handman, Chief Engineer, Major responcibility for front end engineering package and major contributor to equipment specification and organization of engineering effort of Demonstration Plant. Tip Fowler, CEO, led the assembly of the commercialization team, development of marketing collateral, leading the interaction of legal and fundraising activities and arrangement of input/output/utility contracts for the Demonstration Plant. Ron Hartung, Raw Materials, led in the identification and characterization of Raw Materials for the Demonstration Plant and contributed to the Front End Engineering Study. Bob Faulkner, advisor, has played a major technical role as a kiln and iron ore pelletizing expert. Donna Megy, Office Manager, handled payroll, reports, purchase orders, and payables for JDC. John Longest, Chemist, ran laboratory analysis and research. Bob Flemming, Financial, played a lead role in attracting venture capitalist to JDC financing and reviewing and completing legal paperwork for the financing transactions. Metso, FEECO, Aeroglide, Met Pro, Case Eng.,Minemakers, and Agriphos are companies that have made major engineering and financing contributions. TARGET AUDIENCES: Phosphate ore miners are targets to licence the technoloty to allow production of better product at lower cost and environmental footprint. Other targets are farmers, people, and animals that will benefit from greater production of food from a lower cost, better fertilizer. PROJECT MODIFICATIONS: Not relevant to this project.
Impacts The result of the work performed under the Phase II SBIR confirms that a broad range of low grade and/or contaminated phosphate rock can be successfully processed using the IHP technology. The reserve additions, improved yield, elimination of an undesirable waste products and production of an aggregate co-product attendant to these results have generated substantial interest with strategic, industrial and institutional investors. Based upon the results and the interest in the technology, JDC assembled a professional team and business plan sufficiient to complete the commercialization of the IHP technology with a minimum scale commercial Demonstration Plant which is targeted for construction completion by the end of 2012, with startup targeted during first quarter 2013. Successful operation of the Demonstration Plant is expected to lead directly to installation of commercial plants in the US and off shore. JDC has currently sold one licence and has serious expressions of interest for about twenty commercial installations pending successful operation of the Demonstration Plant. The Demonstation Plant is projected to yield a small profit to allow continued developement of the IHP. JDC has set up JDCPhosphate (JDCP) which is a clean company to hold the IHP technology in which investors have now invested $21.4 million to complete and start up the demonstration plant. JDCP has set up JDCDevelopment to do the EPC on the Demonstration Plant and to start up and operate the plant. JDC believes that the Demonstration Plant will show that the IHP will produce much higher quality phosphoric acid (near technical grade) at lower OPEX and CAPEX from significantly lower grade phosphate raw materials with a smaller environmental footprint and be successful commercially at a smaller plant size than the current commercial WAP. These advantages are sufficient to have a significant effect on food sustainability and world hunger as commercial plants are built.
Publications
- Lowe, L., Preliminary Radiologic Assessment of the Proposed Uses of New Co-Product Aggregate, SENUS Letter Report, Sept. 20, 2010.
- JDCPhosphate Confidential Overview, August, 2011
- JDCPhosphate Economic Modeling Tool, June, 2011
- Green Markets, "Minemakers, JDCP partner on new phosphate technology; industry veteran leads new tech company", Vol 34, No. 37, Sept. 13, No. 37, Sept. 13, 2010.
- JDC, Application for Air Permit (Long Form), Florida Department of Environmental Protection, dated March 31, 2010; revised October 13, 2010; second revision April 1, 2011.
- J. Megy, JDCPhosphate Newsletter Vol 1, Issue 2, Spring, 2011.
- Ellington, J., Penn Pro Order of Magnitude Capital Cost Study, Penn Pro Rept. May 7, 2010.
- DCR Team, Order of Magnitude Capital Cost Study, Spring, 2010.
- DCR/JDC Project Team, Improved Hard Process for Phosphoric Acid Production, Fort Meade, Florida, Basis of Design, rev. 1, June 10, 2011.
- Wilver, P., Final Report; Phosphate Ore Reduction for JDC, Inc, Proj. no. 61408 Metso Minerals Pyro Research and Test Center, May 5, 2010.
- Wilver, P., Final Report; Phosphate Ore Reduction for Minemakers Australia PTY, Ltd., through JDC, Proj. No. 61422, Metso Minerals Pyro Research and Test Center, April 28, 2011.
- Wilver, P., Final Report; Phosphate Ore Reduction for ICS through JDC, Proj. No. 61427, Metso Pyro Research and Test Center, April 28, 2011.
- Wilver, P., Final Report; Phosphate Ore Reduction for JDC, Inc, Proj. no. 61408 Metso Minerals Pyro Research and Test Center, May 5, 2010.
- Megy, J., Performance of ICS Phosphate Materials in Improved Hard Process (IHP) Lab Pilot Testing, JDC rept., Nov. 6, 2010.
- Horton, L., Product Test Report for HTH Inc. June 8, 2011.
- J. Megy, Feed Preparation for Extraction of Phosphoric Acid from Phosphate Ore/Sand/Carbonaceous Mixtures in a Thermal Kiln Process, Patent Disclosure to James Lake, Patent Attorney, February 9, 2011.
- Australian Stock Exchange (ASX) Announcement, KEMWorks study with Minemaker/NMDC, July 5, 2011, Minemaker Web Page.
- Megy, J., Final Report of MM Batch Kiln Tests at Metso, JDC Rept., July 8, 2011.
- Megy, J., Agrium Improved Hard Process (IHP) Lab Pilot Final Report, JDC Rept., Feb, 2011.
- Megy, J., Final Report on Namibian Offshore Phosphate Matrix, Lab Pilot Final Report, JDC Rept. Feb. 2011. 30. Kemworks, Technical Review of the Improved Hard Process, May 4th, 2011.
- KEMWorks, A Technical Review of the Improved Hard Process; A Third Party Review Presented at the Fertilizer Association of India, March, 2011.
- Walters, M. A Technical Review of the Improved Hard Process; A Third Party Review Presented at SYMPHOS 2011, Marrakesh, Morocco, April, 2011
- T.P. Fowler, Finds Quarterly Vol XXV,4 4Q 2010.
- Green Markets, JDC Reports Progress on Pilot Plant, Vol. 36, No. 33, August 13, 2012.
- Le Capitaine, FEECO- JDC Lab Report, Rev. B, Test. No. FTL 1220, Oct. 28, 2010.
- Grigel, G., and Lake, J,. Comprehensive State-of-the-Art/Right-to-Use Opinion "Phosphorus Pentoxide Producing Methods", File No. JD3-702, Wells St. John, Oct. 8, 2009.
- J. Megy, JDCPhosphate Newsletter Vol 1, Issue 1, Winter 2010.
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Progress 09/01/10 to 08/31/11
Outputs OUTPUTS: Confidential Information Memorandum Final Report Minemaker Wonarah Bench Pilot Tests Final Report Minemaker Wonarah Batch Scale Tests Final Report ICS Bench Pilot Tests Final Report ICS Batch Scale Tests Final Report Namibia Bench Pilot Tests Final Report Agrium Canada Bench Pilot Tests Basis of Design for Improved Hard Process Engineering Package for Improved Hard Process (includes 83 engineering drawings). Air Permit for Improved Hard Process. High Magnesium Pebble Supply Contract with CF Industries for demonstration plant. High Phosphate Tailing Supply Contract with Sinochem. Phosphoric Acid product contract with United Suppliers. Utility Contracts for demonstration plant. Lease contract for Lab and demonstration plant site. PARTICIPANTS: Tip Fowler, CEO, long serving phosphate and sulfur industry chief executive. Joe Megy, CTO, inventor, forty year developer of new technology. Ron Hartung, Phosphate Miner, long term IMC, Agico, Mosaic manager. Mark Vignovic, Senior Environmental Manager, previously with state agency and long term Weirton Steel employee. Larry Handman, Senior Engineering. Owns engineering firm. Bob Flemming, Senior Financing Principle, 70 boards, started and was principle of $1.5B Prism VC firm. Bob Lowe, CFO, MBA, with long experience with start ups. Bob Faulkner, Senior manager with kiln and process equipment firms. Partners- Minemakers, Met Pro, Metso and Case Engineering. TARGET AUDIENCES: Target of the work is current phosphate operation. Technology provides new technology for phosphate fertilizer and technical grade acid production for world food sustainability. PROJECT MODIFICATIONS: A no-cost extension was asked for and authorized to provide runway to accept a $100K I6 grant.
Impacts Developed engineering, supply agreements, off-take agreements,environmental permits, utility contracts, presentations and Confidential Information Memorandum sufficient to raise capital to forward the construction of a $20M Improved Hard Process demonstration plant. Tested phosphate ores from around the world to allow potential investors sufficient insight to evaluate an investment in the new technology. Developed sufficient information to apply for another stand alone patent for the new technology. Initiated construction of demonstration plant, including refurbishment of offices, lab and maintenance buildings, roads, holding pond completion, ball mill foundation, sub grade foundations for kiln and cooling tower, acquisition of ball mill and other process equipment, motor control center and other site improvement activities.
Publications
- M. Walters, "A Technical Review of the Improved Hard Process", JDC Vol 1, Issue 2, Spring, 2011. J. Megy, "Revitalizing the Central Florida Phosphate Industry" JDC, Vol. 1, Issue 1, Winter, 2011. T. Fowler, "Phosphoric Acid, The Improved Hard Process", Finds, Forth Quarter, 2010. Fertilizer International Staff, "Improved Hard Process adds value to resources", Fertilizer International 445, pp39-42, Nov-Dec, 2011.
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Progress 09/01/09 to 08/31/10
Outputs OUTPUTS: 1. Moved JDC from Richland, Washington to Bartow, Florida where phosphate wastes that can supply feed to target $30 million dollar demonstration plant and phosphate industry infrastructure are available. 2. Established lab suitable to carry out work program and will have follow on use as lab for demonstration plant, and hired experienced chemist and technician. 3. Hired management staff including Tip Fowler as CEO (formally managed IMC Florida and Louisiana Phosphate operations), Ian Laird, large project financing expert who is also providing legal and CFO input, and Malcolm Scott who ran USAC phosphate operations for Sinochem and was former senior manager for CF Industries. Ron Hartung, senior phosphate mining expert (IMC and Mosaic), Mark Vignovic, senior environmental engineer (Weirton Steel), Larry Handman, senior engineer and owner of HTH Engineering, and Bob Faulkner, senior engineer (Allis Chalmers and Metso) complete the management staff for JDC. 4. Completed agreement for more favorable plant site for the demonstration plant near Fort Meade. 5. Have completed nine months of phosphate waste material evaluations from feed deltas in clay settling areas. Testing to date indicates that nearly ideal composition raw materials are available from these sources, not only for the demonstration plant, but for several commercial sized kilns. Completed raw material agreement for feed delta materials for the demonstration plant. 6. Completed raw material agreement for high phosphate tailings sand for the demonstration plant. 7. Finalizing agreements for green coke, high magnesium pebble, co-product aggregate off take and phosphoric acid off take from the demonstration plant. 8. Have submitted air permit application, received request for more information and changes, resolved all known outstanding issue through discussion with the DEP and are in the process of resubmitting for permitting. 9. Obtained resolution with Florida Department of Revenue that phosphate waste materials will not be charged Severance Tax as tax has already been paid when the material was originally mined. 10. Completed preliminary studies with Florida Department of Transportation indicating co-product aggregate is useful for cement applications, soil stabilization, and drainage application. 11. Complete radioactivity evaluations on co-product aggregate showing glass composition reduces radon emanation by two orders of magnitude compared to gypsum, below any level of concern in this product. SENES has determined that the co-product is safe for its intended applications. 12. Completed +/-25% engineering and installation estimate in competitive bid by two engineering firms. DCR Engineering has been selected as contractor for the project. 13. Created Flyer for dissemination at Danforth conference and IFA meeting in Paris, France that was well received by the industry. 14. Completed draft of Information Memorandum parts of which have been used in funding efforts for the demonstration plant. Finalization is pending final raw material and off take agreements. PARTICIPANTS: Tip Fowler, Malcolm Scott, Devin Megy, and Ian Laird are senior members that have joined the project. Their reumes have been posted on the JDC website at www.phosphatesustainability.com. Supply and plant site agreements have been formed with Mr. Hackyl and USAC (Sinochem). Engineering agreements have been negotiated with Metso and DCR engineering companies. Our first significant inverstor is Minemakers. We have received considerable support and help from the Florida Department of Transportation. TARGET AUDIENCES: IHP technology is important to "world hunger" as it significantly increases the amount of phosphate ore that can be economically converted to fertilizer and creates liquid fertilizers which are more efficient in transfering phosphate values to plants and avoiding surface and groundwater contamination. It also strongly impacts the environmental footprint of the phosphate industry. Therefore, government officials both in the US and abroad and industry capability needs to be informed of this development. PROJECT MODIFICATIONS: Nothing significant to report during this reporting period.
Impacts IMPACT The following results have occurred as a result of the work performed to date on the project. 1. Finalized agreement with Minemakers (first successful funding) raising $500,000 in cash and $500,000 in stock in exchange for JDC stock and limited licensing rights. 2. In late stages of corporate clean up resulting from the Minemakers agreement. 3. In serious discussions with several synergistic partners with regard to financing the demonstration plant aid in particular by in-house lab pilot capability and batch kiln demonstration. 4. Have serious interest in off take agreements with aggregate producers following from FDOT and in-house work. 5. Have serious interest in phosphoric acid off take agreements due to engineering and pilot plant results. 6. SENES results have convinced various environmental and industry groups of the environmental advantages of the IHP technology. 7. Very positive discussions with government, economic development, and commercial groups have resulted from the information developed in the program to date.
Publications
- No Author, 2010, Details of Minemakers agreement published in Green Markets.
- No Author, 2010, NPR had a radio discussion and publication of the Minemakers agreement.
- Megy, J., 2010, Have submitted CIP patent application, and had action indicating acceptance pending small monifications.
- Fowler, T, 2010, is presenting technical paper discussing our progress to the Lakeland Phosphate Conference October 13.
- Fowler, T, 2010, An invited paper has been submitted for publication in Finds.
- Fowler, T, 2010, invited abstract has been submitted to the Arizona State University Conference next spring.
- Megy, J, 2010, A well developed web site has been created at www.phosphatesustainability.com.
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