1. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Renewables in DistilleriesRenewables in Distilleries
Alan G WolstenholmeAlan G Wolstenholme
Caledonian Solutions Ltd.Caledonian Solutions Ltd.
2121stst
May 2013May 2013

2. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
AgendaAgenda
 Expectations in the Whisky IndustryExpectations in the Whisky Industry
 Technologies and experienceTechnologies and experience
 Financing an AD project (ROI)Financing an AD project (ROI)
 Expectations for the futureExpectations for the future

3. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Expectations in the WhiskyExpectations in the Whisky
IndustryIndustry
 Scale of issueScale of issue
 Feedstock(s)Feedstock(s)
 Alternative technologiesAlternative technologies
 Efficiency and cost reductionEfficiency and cost reduction

4. Created with MindGenius Business 2005Created with MindGenius Business 2005®®

5. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Scotch Whisky IndustryScotch Whisky Industry
Structure 2013Structure 2013
 7 Grain Distilleries - 300mlpa7 Grain Distilleries - 300mlpa
 100+ Malt distilleries – 200mlpa100+ Malt distilleries – 200mlpa
 2 Dominant players2 Dominant players
 2 Major players2 Major players
 About 8 multi distillery playersAbout 8 multi distillery players
 About 20 single distillery ownersAbout 20 single distillery owners

6. Created with MindGenius Business 2005Created with MindGenius Business 2005®®

7. Created with MindGenius Business 2005Created with MindGenius Business 2005®®

8. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Products of Whisky IndustryProducts of Whisky Industry
 500mlpa500mlpa
 1,250,000 tonnes Draff1,250,000 tonnes Draff
 4 billion litres of Pot Ale4 billion litres of Pot Ale
 2 billion litres of Spent Lees etc.2 billion litres of Spent Lees etc.

9. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Alternative TechnologiesAlternative Technologies
 Land/LSO consented PA disposal + DraffLand/LSO consented PA disposal + Draff
 Evaporation/drying to DDG/PASEvaporation/drying to DDG/PAS
 (Both above may involve transport)(Both above may involve transport)
 Ability of local markets to cope withAbility of local markets to cope with
tonnagetonnage
 Combustion : Roseisle,C’Bridge & CORDeCombustion : Roseisle,C’Bridge & CORDe

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Technologies and ExperienceTechnologies and Experience
 (Highland Park and Tamnavulin)(Highland Park and Tamnavulin)
 Girvan, North British and CameronbridgeGirvan, North British and Cameronbridge
 Roseisle, Glen Ord and DaluaineRoseisle, Glen Ord and Daluaine
 BruichladdichBruichladdich
 (Starlaw and CORDe)(Starlaw and CORDe)

11. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Technologies/Experience (AD)Technologies/Experience (AD)
 3 Grain Distilleries (Top 4 Companies)3 Grain Distilleries (Top 4 Companies)
 3 Diageo Malt Distilleries3 Diageo Malt Distilleries
 Large and often contracted outLarge and often contracted out
 Part of an integrated solution.Part of an integrated solution.
 Aerobic etc. required downstreamAerobic etc. required downstream

12. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Technologies/Experience-Technologies/Experience-
IssuesIssues
 Residence time (liquid/solid)Residence time (liquid/solid)
 Hydrogen SulphideHydrogen Sulphide
 AmmoniaAmmonia
 NOx/SOxNOx/SOx
 OdourOdour
 Not for the amateur!Not for the amateur!

13. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Technologies/Experience-Technologies/Experience-
OpportunitiesOpportunities
 Gasfired boilerGasfired boiler
 ““Jenbacher”engine & generatorJenbacher”engine & generator
 Steam raising from exhaust gasesSteam raising from exhaust gases
 (Steam expander generation)(Steam expander generation)
 Warm water (if need exists)Warm water (if need exists)

14. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Financing an AD project (ROI)Financing an AD project (ROI)
 ROI may be relative/negativeROI may be relative/negative
 ““Least bad solution” for RTOLeast bad solution” for RTO
 Long term variables impossible to predictLong term variables impossible to predict
 Oil, gas, biofuel and electricity pricesOil, gas, biofuel and electricity prices
 Grain, Animal feedstuffs and transportGrain, Animal feedstuffs and transport
 Single company or combinationSingle company or combination

15. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Commercial FactorsCommercial Factors
 Energy YieldEnergy Yield
Capital ExpenditureCapital Expenditure
Cost/source of capitalCost/source of capital
Contract out (ESCO)Contract out (ESCO)
Running CostsRunning Costs
Value of Energy (ROCs & FITs)Value of Energy (ROCs & FITs)
ActivityActivity

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17. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Expectations for the futureExpectations for the future
 Significant increase in the uptake of ADSignificant increase in the uptake of AD
 Progress in scaling downProgress in scaling down
 Automation – Fit and forget?Automation – Fit and forget?
 Linkage to other (bio) technologiesLinkage to other (bio) technologies

18. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
ConclusionsConclusions
 AD can be part of well designed solutionsAD can be part of well designed solutions
 Requires experience and knowledgeRequires experience and knowledge
 Historic slow uptake in Whisky IndustryHistoric slow uptake in Whisky Industry
now past “Tipping point”now past “Tipping point”

19. Created with MindGenius Business 2005Created with MindGenius Business 2005®®
Alan WolstenholmeAlan Wolstenholme