Algae bloom: Producers snap up algae oil, farms struggle to produce volume, startups proliferate

Business Week published a roundup on developments in algae-based biodiesel, highlighting startups by Chevron, Honeywell and Boeing, as well as the technical challenges of producing algae in a controlled production environment and developing a commercially viable process to extract the oil.

The report quoted a prediction by Martin Tobias, CEO of Imperium Renewables, that he expects the cost of algae oil to fall from as high as $20 per gallon today to $1.70 by 2011, with production capacity reaching 100 Mgy by that point.

The report focused on the growing pains at algae farms, citing the GreenFuels demonstration of algae oil production that was shut down after two weeks over the summer because of problems in controlling the growth rate of the algae.

Free Subscription to the Daily Biofuels Digest e-newsletter

Related Stories

“Algae Bloom”: The struggle to make affordable microalgae fuel

[caption id="attachment_5182" align="alignleft" width="100" caption="The first photo of an ignitable algae fuel, taken at a Sustainable Power bench test, 1/16/2008"][/caption] "Algae Bloom", a conc...

Auburn University researchers develop method to harvest wild algae from catfish farms for biofuels; “win-win” for fuel and food

Researchers at Auburn University say they have developed techniques to harvest wild algae that forms a nuisance at catfish farms, and convert it to biofuels. Associate professor Ron Putt said that cat...

Today in Biofuels Opinion: “It’s algae — period.”

Sean O'Hanlon, executive director, American Biofuels Council: "It's algae -- period. There's so much upside to algae. I've yet to find a downside." Mark Stowers, vice president of research and deve...

Defense Department says algae oil production costs over $20, must reach $3 or less to be viable

The US Defense Department is estimating that the current production cost of algae oil exceeds $20 per gallon. The Department is exploring the potential of algae oil as a jet fuel source, but said that...

LA Times profiles San Diego algae bloom – $16 million in new payroll from algae-related jobs

In California, the LA Times published an extensive feature on the explosion of algal fuel research in San Diego, concluding that "the firms and organizations conducting algae research employ nearly 30...

Today in Biofuels: Algae blooms in US, as two companies sold in Australian biofuel firesale

Top Story: In Australia, Agri Energy has sold its Swan Hill ethanol project in Victoria to an undisclosed securities firm for $1 million. The company will use the funds for its Beatrice Biodiesel p...