ADA Environmental Solutions





Powder Activated Carbon Sorbents
THE MARKET FOR ACTIVATED CARBON
The demand for activated carbon for mercury control is rising rapidly as all new coal fired plants and utilities in the 19 states within the United States and all provinces in Canada with mercury regulations are beginning to contract for term supplies.  In addition, it is anticipated that the U.S. Environmental Protection Agency will create a new federal mercury emissions rule to replace the court remanded Clean Air Mercury Rule.  Combined, these market drivers will create a very large demand for activated carbon and existing domestic production will need to be increased substantially to meet it.  

As the leader in mercury control systems and testing knowledge, ADA is in a unique position to understand the interaction between carbon sorbents and mercury emissions.  Using the experience gained in over 60 full-scale mercury control tests, ADA has applied this knowledge base in understanding what makes an effective carbon for mercury control applications.

NEW PRODUCTION PLANT

The demand for activated carbon in 2011 and beyond is expected to outpace domestic supply capacity. In order to meet this demand with a high quality domestically produced product, ADA began the process of building the largest powdered activated carbon manufacturing plant in the world in 2006. In 2008, ADA-ES formed a joint venture with Energy Capital Partners (ECP), a private equity company dedicated to investments in electrical utilities and power generation. The joint venture is called ADA Carbon Solutions and its main purpose is to build a carbon plant focused on the production of activated carbon (AC) for the mercury emissions control market for coal-fired power plants, cement kilns and other industrial boilers.

Construction of the new carbon plant began in September 2008 in Red River Parish, Louisiana. The first production line of this facility is capable of producing 125 to 175 million pounds of AC per year and came on-line in June 2010. In addition, the air permit for the facility allows for a second production line, which, if constructed, would be capable of producing up to an additional 175 million pounds of AC per year.

Two production lines are being permitted at each of the three sites. This will enable future demand to be filled quickly and enable each site to produce up to 250,000,000 pounds of carbon per year.

A picture of the New Red River, Louisiana Carbon Plant under construction.
New Red River, Louisiana Carbon Plant

The plant has “state of the art” manufacturing equipment, designed specifically for producing carbon for the mercury control market. The initial production line has 4 multi-hearth furnaces and advanced pollution control equipment. Finished carbon will be stored in silos until shipment is made by bulk bag, tanker truck or railcar.

Long term supply contracts are already being negotiated with customers who also share the view that carbon supply will become scarce, as more and more utilities mercury emissions are regulated and controlled with activated carbon.

FUTURE CARBON PRODUCTION

ADA is planning now to be able to meet the growing demand for activated carbon, as more plants and industrial facilities will be required to use it for pollution control. Starting the long permitting process now, will enable new plants to be built much faster and assure they are ready to supply domestically produced carbon when needed for future demand.

ADA has two other sites under consideration for the new plants in North Dakota. Both are situated near active lignite mining operations for several reasons. Activated carbon produced from low rank coal like lignite, has produced the most effective mercury control carbons in numerous full scale tests. Also, citing our new plant near an active mining operation will enable the plant to have a ready source of feedstock coal, with a known quality and not risk having its supply subject to permitting delays from a new coal mine.

Market Demand Estimates
  • Current U.S. market PAC demand 452MM lbs/year
  • State regulations and new plants create +200MM lbs/year demand by 2010
  • Some under utilized capacity and new production has been announced by suppliers (~ 100MM lbs/year)
  • New stricter federal mercury rule could increase demand by 300 to 900MM lbs/year by 2012 to 2015
  • More new capacity needed to meet this expected demand