Algae.Tec ups the ante in Asia, launches first biofuels facility with Holcim Lanka

Algae.Tec (ASX: AEB) has signed a collaboration agreement with Holcim Lanka Limited to build its first algae biofuels production facility in Asia that will reduce carbon dioxide emissions from cement manufacturing.

Holcim Lanka, a cement and building materials company, has agreed to build the facility in Sri Lanka in conjuction with Alga.Tec as its technology is in line Holcim's desire to be environmentally sustainable.

Algae.Tec is an advanced algae to biofuels company with a high-yield enclosed algae growth and harvesting system designed to capture carbon from carbon emitting companies and industries.

Algae.Tec's technology attracted Holcim as it provides a way of reducing the company's carbon footprint by channelling waste carbon dioxide into the algae growth system. This in turn generates valuable biofuel at below market cost.

Initially, the biofuels production facility will comprise a production plant of five photo-bioreactor modules, enabling Holcim to evaluate the benefits of capturing more of the waste carbon dioxide in a much larger facility. This first step could lead to the roll out of further modules at other sites.

Stefan Huber, Holcim Lanka CEO, said "the Algae.Tec facility is designed to reduce the cement manufacturing carbon dioxide emissions with an off-take into the algae growth system.

"We look forward to working with Algae.Tec on this exciting development that is alligned with our focus on sustainability and a commitment to the environment."

"Algae.Tec has a truly innovative technology backed by an expert international engineering team."

Roger Stroud, Algae.Tec's executive chairman, said the company was very pleased to be involved with such a significant development at an economic, ecological and social level.

Today's news adds to the momentum building for the company. On November 24 Algae.Tec announced that its first photo-bioreactor module was shipped from the Algae Development and Manufacturing Centre in Atlanta, Georgia, to its Shoalhaven One Australian showcase facility at Nowra, south of Sydney.

Also, in early November Algae.Tec received a significant boost for its technology following the Australian Government’s announcement of a price on carbon, which should spur on carbon dioxide emitters to seek out clean energy and carbon capture solutions.

Algae.Tec is one of few advanced biofuels companies globally with an enclosed modular engineered technology designed to grow algae on an industrial scale and produce biofuels that replace predominantly imported fossil fuels for transportation use.

The Algae.Tec solution is less than one tenth the land footprint of pond growth options, while its enclosed module system is designed to produce algae biomass in virtually any environment.

The system is designed to deliver the highest yield of algae per hectare and, importantly, does not require the use of food producing land for biofuel production.

Holcim Lanka is part of Holcim Group, which is a global company with market presence in over 70 countries on all continents. The Group employs some 90,000 people and is currently the second largest cement manufacturer in the world.

Holcim Lanka generated annual revenues of about LKR 12.3 billion (US$107 million) in 2009.
For further information on the company click here to watch Algae.Tec's video.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/22854/algaetec-ups-the-ante-in-asia-launches-first-biofuels-facility-with-holcim-lanka-22854.html