ABRI-Tech offers its services to evaluate the quantity of available biomass, in order to determine the optimal conversion strategy for biooil.
Logging and saw milling are a part of Leggett Group's business. We are moving logs out of the forest on a daily basis and finished lumber to market. Forestry is a business where close cost control is required. There is considerable similarity between moving logs to a saw mill and moving biomass to a pyrolysis system. In short, we are both technology developers and business people.
At ABRI-Tech we are constantly looking to shave cents off our capital and operating costs. A commercial scale plant operates 8000 hours per year. Each dollar saved per hour is an $8000 saving per year. Energy is a commodity and annual revenue is largely dictated by the current price of the USA crude oil (WTI). One can incorporate into the financial model, carbon credits and green energy subsidies, but subsidies can be eliminated by the stroke of a pen.
Our approach is to ensure the production of biooil and biochar is economic without any subsidies. Over the years we have developed economic models to predict net income per year based on local factors such as labour rates, biomass cost, transportation distance, etc. The local factors are coupled in the models to capital and production costs as well as fixed or overhead costs. A net income is calculated to estimate an internal rate of return on investment.
Biomass cost model
There is little or no free biomass. There may be biomass available in the forest for no cost, but picking it up, grinding and transporting the mulch or chips to the mill can make the "free" biomass unattractive to pyrolysis facilities other than ones that are transportable. Our standard model assumes the biomass is road side on forestry roads. The pyrolysis plant would be located closer to an all weather road and the chips transported a given distance, from the chipping site to the plant. Included in the chipping model is the cost of drying and the finishing grinding in an ABRI-Tech dryer.
Biomass cost model
We have used this cost model to help guide our research and development efforts. We have evaluated the impact of certain design changes on the bottom line. The model is a series of linked spreadsheets where costs are input on the first sheet and then the inputs ripple through the remaining pages. Ultimately, all calculated results are summarized on the net income page. The standard model includes sheets for: net income; cost of goods sold; cash flow including borrowing and investment; sales; variable costs; fixed cost. The model is easily modified to accommodate site specific data.
Consulting and service
Research and biomass testing
At ABRI-Tech, we are always trying to make things better. We are continuously testing new ideas to make new products, using our unique equipment in novel applications. We operate a demonstration plant at our offices in Namur (QC) and will produce biooil or biochar from your biomass. Our nominal testing fee is refunded upon signing a purchase agreement.
There are many forms of biomass and many applications to convert the biomass into a fuel. If our dryer and pyrolysis system does not meet your needs, we will search for the best technology at the best price for your application. Over the years, we have refined a versatile business model that will allow us to show you the bottom line and help you make the right choices.
The simplicity of an ABRI-Tech system means lower maintenance costs. Most routine maintenance (greasing, cleaning, repacking seals, etc.) is done by the operator. In the event of a breakdown, ABRI-Tech technicians can work with your operators to make the necessary repairs with minimal downtime. The computer control system has been designed by our supplier and in the event of a malfunction, the automation company can send a technician to solve the problem.
ABRI-Tech can provide a service contract that will cover the cost of major repairs. The cost of the contract is negotiated base on travel time and travel costs from our offices.