Algenol

he first thing is that we use hybrid algae. In our case, algae can naturally make ethanol, but we significantly enhance that capability, which basically links photosynthesis and internal production of sugars with the conversion of those sugars immediately into ethanol. So, the algae gets carbon dioxide, sunlight and seawater and makes the small molecule ethanol. It leaves the cell naturally, goes into the culture and evaporates out of that culture. We have closed photobioreactors that lay on the ground—they look like a huge long ziplock bag.

The ethanol-water vapor collects in the headspace above the culture at night when it gets colder, condenses and runs down the inside walls into collection troughs. That ethanol-water mixture is enhanced in its concentration of ethanol compared to the culture, and we take that and purify it. The first and second steps of separation are all powered by the sun, so we don’t pay for any of those separations, nor creation of the molecule.

In our case, more than 90% of the carbon that goes in, in the form of carbon dioxide, gets converted into ethanol. It really allows us to produce a molecule much cheaper (than other methods). We’re trying to, on a commercial basis, produce ethanol for around 85 cents a gallon. And I don’t think cellulose or any other process can beat the dollar mark, or even come close to it.AIM

In my vision I see algae farmers off the gulf coast, operating 20 acre algae bag farms from anchored barges. They are experts at maintaining large algae bags, football field size. Experts at the various filtering equipment, passive and active. They produce algae products, diesel glycerides, protein, and alcohol. The gulf coast support about 10,000 of these.    The algae products delivered by small collection tankers for post processing.  Ammonia byproducts travel back to the aqua farm to close part of he loop.  Aqua farms thrive in delta areas with nutrient rich run off.


Algenol is on the track.  We will be looking at filtering technology in the next weeks.  I am betting on a bag technology firm to arise, with a focus on large scale, floating semi-permeable, flow through, multi-stage, durable bag technology.  Lotta early stage stock picks coming up, the well run algae genetics and seed firm would be great.