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Overview of the Hybrid

Hoffman KilnConcluding Workshop for Improving Kiln Efficiency for

the Brick Making Industry - PDF B Phase

March 29, 2007


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Overview of Hybrid Hoffman Kiln

HHK has dominated the brick industry in Chinafor over 10 years

Energy efficient Environmentally friendly

Lowers production costs Produces stronger quality bricks

Improves working conditions Year-round operations


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Energy saved by placing a roofover the baking area


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and insulated withcompacted clay to further

prevent energy losses

Kiln roof constructed ..


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Result: Less coal consumed.reduced GHG emissions


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Internal fuel through the mixing clay and coal

.further improvements in energy efficiency


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Sustainable development benefit.stabilized work force


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Improved quality bricks..

Di ifi d P d t B


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Diversified Product Base


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Summary of Emissions

ReductionsDescription Annual Production Emissions

(tons CO2 eq.)

Energy Inefficient Kiln 2.0 mil 760

Energy Inefficient Kiln x 7.5 15.0 mil 5700

New Emissions ReductionTechnology - HHK

15.0 mil 2955

Emission Reductions(per HHK)

2745


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Cost of Demo Kiln

Cost of the actual kiln Tk 3.4 mil (US$50,000)

Cost of back process Tk 27.2 mil (US$400,000)

Total cost Tk 37.4 mil (US$550,000)(complete kiln with mechanized back processes and

land acquisition)

Financing: Debt to equity ratio: 65:35:

Loan amount Tk 24.3 milEquity Tk 13.1 mil


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Investment Profile

Comparative production cost:

HHK Technology: Tk 1.35/per brick

Current technology: Tk 2.10 per brick

Rate of return: >30% Life: >20-year life

Payback period: 2 to 3 years


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Investment Risks

Can the entrepreneur manage the largeroperation?

Will there be well-trained staff to support andoperate the business?

Will government fiscal policies encourageenergy efficient brick businesses?

Full GEF project is designed to reduce these

risks

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