Periodic Reporting for period 2 - SEAFARER (Lignocellulosic oil: novel biofuel platform for maritime transportation)
Reporting period: 2023-11-01 to 2025-10-31
The core problem SEAFARER addresses is the oil & gas industry's need to adapt to rising renewable fuel demand and tightening climate regulations. Current biofuel options are too costly (3–4× the price of crude) due to low conversion yields, complex processes, and limited feedstock, threatening refinery closures or decommissioning. This is critical in maritime shipping, which faces strict IMO regulations and FuelEU requirements to reduce CO2 emissions by 2030 and 2050.
The overall objective of SEAFARER is to mature, demonstrate, and commercialise Kvasir's next-generation lignocellulosic biofuel oil (L-BFO) process, enabling refineries to retrofit for 100% climate-neutral operations.
Work Package 1 focuses on project monitoring, compliance, technical risk management, IP protection through two Network Patent Analysis (NPA) iterations to confirm Freedom to Operate (FTO), and continuous updates of the final Business Plan for market roll-out and financial projections.
Work Package 2 (Business Scale-up for Global L-BFO Supply) targets market readiness and economic assessment. Activities include market and competitor monitoring, updates to commercial-scale system design and financial structure (including CAPEX formula), consolidation of the upstream supply chain, monitoring of relevant standards and regulations, and Environmental and Economic Impact Assessment using LCA principles and IRR/NPV modelling.
Work Package 3 (Kvasir Process Optimisation, Piloting, and L-BFO Testing and Qualification) is the technical core. Tasks include optimising the TRL6 reactor for a scalable industrial prototype, assembling and automating the pilot-scale process, commissioning and safety testing, and extended steady-state operation to document stability. The final steps are comprehensive L-BFO fuel testing and qualification in stationary marine engines to meet ISO 8217, and validation of the methanol-extracted fraction for methanol-driven vessels. Due to scheduling constraints at DTI and limited bio-oil volumes, engine testing was not completed but is scheduled for early 2026.
The overall objective of SEAFARER is to mature, demonstrate, and commercialise Kvasir's next-generation lignocellulosic biofuel oil (L-BFO) process, enabling refineries to retrofit for 100% climate-neutral operations.
Work Package 1 focuses on project monitoring, compliance, technical risk management, IP protection through two Network Patent Analysis (NPA) iterations to confirm Freedom to Operate (FTO), and continuous updates of the final Business Plan for market roll-out and financial projections.
Work Package 2 (Business Scale-up for Global L-BFO Supply) targets market readiness and economic assessment. Activities include market and competitor monitoring, updates to commercial-scale system design and financial structure (including CAPEX formula), consolidation of the upstream supply chain, monitoring of relevant standards and regulations, and Environmental and Economic Impact Assessment using LCA principles and IRR/NPV modelling.
Work Package 3 (Kvasir Process Optimisation, Piloting, and L-BFO Testing and Qualification) is the technical core. Tasks include optimising the TRL6 reactor for a scalable industrial prototype, assembling and automating the pilot-scale process, commissioning and safety testing, and extended steady-state operation to document stability. The final steps are comprehensive L-BFO fuel testing and qualification in stationary marine engines to meet ISO 8217, and validation of the methanol-extracted fraction for methanol-driven vessels. Due to scheduling constraints at DTI and limited bio-oil volumes, engine testing was not completed but is scheduled for early 2026.
The SEAFARER project focused on maturing and qualifying the L-BFO production process for market entry. Core work included TRL6 reactor optimisation—structural adaptation for final throughput, improved pumping, and heating/insulation to 400 °C—and separation optimisation for solids retention, solvent recovery/recycling, and by-product removal. Process assembly and automation integrated the upscaled reactor with feeder and separation units, achieving full automated operation via a control unit, valves, sensors, and automatic feedstock intake enabling continuous solvent recycle.
Pilot-scale commissioning followed, with joint safety validation (pressure/leak tests) and full HAZOP and ATEX assessments with Crossbridge Energy. Steady-state operation then verified the TRL7 system using wood feedstock; a ~250-hour continuous run monitored key parameters (temperature, pressure, residence time) to optimise yield, quality, and operational stability.
Fuel testing covered L-BFO properties (viscosity, heating value) and preliminary emissions (CO2, NOx, SOx), all compliant with regulations; full engine tests at DTI are scheduled for Q1 2026. The methanol-extracted fraction was also validated for methanol-powered vessels, confirming ignition quality, combustion stability, and emissions compliance without hydrotreatment or FCC.
In parallel, non-technical activities supported commercialization: monitoring standards and regulations for permitting, conducting environmental and economic assessments (LCA using Aspen Plus and economic viability analysis), and updating the commercial-scale design and CAPEX formulas to establish a reliable cost basis and revised profit projections.
Pilot-scale commissioning followed, with joint safety validation (pressure/leak tests) and full HAZOP and ATEX assessments with Crossbridge Energy. Steady-state operation then verified the TRL7 system using wood feedstock; a ~250-hour continuous run monitored key parameters (temperature, pressure, residence time) to optimise yield, quality, and operational stability.
Fuel testing covered L-BFO properties (viscosity, heating value) and preliminary emissions (CO2, NOx, SOx), all compliant with regulations; full engine tests at DTI are scheduled for Q1 2026. The methanol-extracted fraction was also validated for methanol-powered vessels, confirming ignition quality, combustion stability, and emissions compliance without hydrotreatment or FCC.
In parallel, non-technical activities supported commercialization: monitoring standards and regulations for permitting, conducting environmental and economic assessments (LCA using Aspen Plus and economic viability analysis), and updating the commercial-scale design and CAPEX formulas to establish a reliable cost basis and revised profit projections.
The SEAFARER project advanced the patented Solvothermal Liquefaction (SvTL) technology from TRL6 toward TRL8. The Kvasir process is beyond SotA due to superior performance, cost efficiency, and market compatibility over fast pyrolysis and HTL. Demonstrations reached several hundred hours of continuous operation, with Campaign 006 surpassing the 250-hour steady-state milestone (Task 3.4). Mass balance closure reached 98–100%, and early viscosity/clogging issues were resolved through design iterations. Conversion efficiency remained ~80%, with biomass-to-oil yields of 49–58 wt.% (dry basis), significantly higher than <50% in competing technologies, and solid yields stayed in single-digit wt.%. Oxygen content was reduced to <15% and in some runs <10%, outperforming >20% typical in competitors and enabling whole-oil hydrotreating. TAN dropped from 50–55 mg KOH/g to 13 mg KOH/g during continuous operation; ex-situ alcohol upgrading reduced TAN further to 1.5–2.3 mg KOH/g, meeting ISO 8217’s 2.5 mg KOH/g limit. L-BFO shows >1-year stability and low corrosivity compared to pyrolysis oils (TAN 100–200).
Unforeseen results strengthened commercial potential. Biocrude was found to contain three fractions: non-polar (~50%), polar (30–40%), and bitumen (5–10%). The non-polar fraction is ISO 8217-compliant for B10–B30 blending with fossil marine fuels, while the polar fraction (validated in Task 3.6) can be used as a pilot fuel or methanol blend in methanol-powered vessels without hydrotreatment. High viscosity led to adopting a low-quality bio-based starter oil, removing the need for product-oil recycling, increasing throughput, improving oil quality, and supporting the whole-oil hydrotreating route. LCA results showed a 98% CO2e reduction vs. fossil marine fuel and 99% GHG savings relative to the RED II comparator, far exceeding the RED III minimum 70% for advanced biofuels.
Key needs for uptake include completing TRL9 demonstration in Fredericia to reach FOAK FID readiness; securing market access and financing via blended EIC/EIB mechanisms, supported by Kvasir’s €20M Series A for de-risking and FEED; executing the joint licensing and co-ownership strategy for global scale-up; maintaining strong IPR protection (11 patent families) and FTO, including expansion into SAF and bio-chemicals; and continuing ISO 8217 compliance validation while using LCA results to qualify for advanced-biofuel certification and future FuelEU Maritime requirements.
Unforeseen results strengthened commercial potential. Biocrude was found to contain three fractions: non-polar (~50%), polar (30–40%), and bitumen (5–10%). The non-polar fraction is ISO 8217-compliant for B10–B30 blending with fossil marine fuels, while the polar fraction (validated in Task 3.6) can be used as a pilot fuel or methanol blend in methanol-powered vessels without hydrotreatment. High viscosity led to adopting a low-quality bio-based starter oil, removing the need for product-oil recycling, increasing throughput, improving oil quality, and supporting the whole-oil hydrotreating route. LCA results showed a 98% CO2e reduction vs. fossil marine fuel and 99% GHG savings relative to the RED II comparator, far exceeding the RED III minimum 70% for advanced biofuels.
Key needs for uptake include completing TRL9 demonstration in Fredericia to reach FOAK FID readiness; securing market access and financing via blended EIC/EIB mechanisms, supported by Kvasir’s €20M Series A for de-risking and FEED; executing the joint licensing and co-ownership strategy for global scale-up; maintaining strong IPR protection (11 patent families) and FTO, including expansion into SAF and bio-chemicals; and continuing ISO 8217 compliance validation while using LCA results to qualify for advanced-biofuel certification and future FuelEU Maritime requirements.