salvo may 2009
TRANSCRIPT
The Second ANNUAL BIOFUELS
SUMMIT25th - 27th May 2009
Marina Mandarin, Singapore
Syed Isa Syed Alwi
Content• Group Overview• Our Mission• Group Activities• The Site – Lab, Factory and Ponds• Our Algae Lab• Regional Supply and Demand• Developments to identify the regional
opportunity• Technology Considerations from a regional
perspective• Competitive cost positioning of algae versus
alternatives• Opportunities and challenges relating to
regional developments• The Algaetech Approach• Conclusion
Algaetech Group BriefAlgaetech Sdn Bhd (“Algaetech”) was incorporated in Malaysia in 2004 as an investment holding
company with group activities in the micro algae research, development, consultancy, production and marketing for renewable energy and high value products of anti-oxidants (better known as functional
food).
Research and development of algae for biofuel
Cultivation of haematococcus pluvialis for production of astaxanthin
ALGAETECH GROUP COMPRISES
Consultancy of micro algae development for renewable energyand high value products from flue gas
Algaetech Group BriefAlgaetech was founded to : Acquire specific intellectual property, and exclusive microalgae
cultivation technology
for commercial use.
Establish a fully integrated cultivation operation in Malaysia and the region.
Establish quality products from microalgae for the global market.
Establish joint ventures as may be required to advance Algaetech's mission
Engage in other such beneficial activities related to its existing plan that the Group determines will benefit its overall business strategy
Our Mission
“ To become the leading, innovative and advance algae
research
and development centre and the largest producer of
algae company in Asia “
• These are the unanswered questions (or dodgy)• To Make the price of 1 liter of algae oil to be the
same as the price of 1 liter of fossil oil, because seriously, who really cares about global warming and pay U$D 0.10 cents more per liter for fuel?
• The strains, what’s the best?• How do I produce algae at USD 0.37cents per kg
for oil?• How to propagate?• How do I create so much sea water? The salt
cost U$D 0.85 cents a kg.• How to harvest?• And the list goes on and on……
The Challenges
• No , I don’t have all the answers…but neither does anyone…
• It depends on each research, and each goal.
• There are no magic strains, or magic PBR, or magic systems.
• Each goals must be defined and tuned into what it’s created for.
The Answer
Algae Biofuel, Why Algae ?• Much greater productivity than the terrestrial plants• Non-food resources• Use non-productive land, usually arid• Can utilize saline water• Can utilize CO2 waste• Can be used in conjunction with waste water treatment• Algae produce oils, protein, and carbohydrates, equivalent to bio-
diesel, bio-ethanol and food
Advantage of micro algae1. Rapid growth rates, a high per-hectare yield; and algae biofuel
contains no sulfur, is non toxic and is highly biodegradable.
2. Some species of algae are ideally suited to biodiesel production
due to their high oil content, in some species topping out near
70%.
3. Micro-algae are single celled microscopic organisms which, like
plants, use photosynthesis to convert the sun's energy into
chemical energy.
4. Micro-algae can be grown in large bioreactors that provide the
algae with all the needs to maximize growth and oil production.
5. Micro –algae are much more efficient converters of solar
energy than any known plant.
Advantage of micro algae6. Growth rates in bioreactors can be from 100 – 300
gm/m3/day.
7. Micro-algae are capable of producing many times the
amount of oil (per year per unit area of land) when
compared to oil seed crops.
8. Micro-Algae can grow in both fresh and saline water.
9. Micro-algae are the fastest growing photosynthesizing
organisms. They can complete an entire growing cycle
within a day.
10. Algae production can be increased by increasing the
carbon dioxide concentration in the water.
Project Objectives :
To build a commercial algae production pond using the latest and advance technology in Malaysia;
To conduct research and development on the Biological and Chemical Engineering of microalgae production systems for the Biodiesel production and processing in Malaysia;
To build and set up a Biodiesel processing plant on the extraction and production of biodiesel from algae;
To patent the IP of the improved algae production and the extraction of Crude Algae Oil and processed biodiesel from algae;
To market the technology, know-how and the product (algae-based products and biodiesel) locally and internationally.
The pioneer in R&D and Pre-Commercialisation of algae for biodiesel in Malaysia.
The project received a Technofund Grant from the Malaysian
Ministry of Science, Technology and Innovation totaling RM2.0 million (US$600k).
Project Milestone
Milestone Activities Output Scheduled Completion
date
Signing agreement on technology transfer.
Signing of agreement on technology transfer with the patent owner.
Completed 28 November 2007
Suitable algae identified Isolation, screening and characterization of microalgae
Completed 1st September 2008
Physiology/biochemistry of algae understood
Study of physiology and biochemistry for algae / chemical and biochemical testes
In Progress February 2009
Enzyme(s) isolated Isolation of enzyme which catalyzes a key metabolic steps in the synthesis of oil in algae
In Progress March 2009
Large scale production of algae in open ponds accomplish
Carry out performance evaluation, sample analysis and data collection
In Progress May 2009
• Sasaran provides project management, technology transfer and technical expertise to develop a solution to minimize and mitigate CO2 emissions through the diversion of the CO2 to open algal ponds and enclosed photobioractors as algal propagation technologies to consume CO2 waste streams.
•The company is presently consulting a listed company from Indonesia to address the technology know-how and implementation of microalgae development from the flue gas of the Group’s power plants.
Utilisation of power plant resources for growing selected microalgae at a low energy cost for
valuable products and bio-fuels while providing CO2 Sequestering
• Low cost algae agriculture • All year algae production • Low cost flue gas, CO2• Low cost water source• Residual energy• Arid land
Smoke fan Ash collector
Flue gas Microalgae
pond
GROUP ACTIVITIES
• The global microalgae market is a multi billion industry and is rapidly expanding.
• The farming and processing will be undertaken utilizing Algaetech's new and proprietary technology, while exploiting existing resources available in Malaysia
• BHE will be establishing its plant in TPM. The plant is a sophisticated, highly secure and fully operational state of the art research facility. Testing has commenced on the proprietary technology and has been proven successful.
• BHE believes that it can supply the global market with a superior quality microalgae at lower cost. Additionally, by virtue of the cultivation method, BHE can also contribute to preserving environmental quality and cleanliness.
Commercialisation of haematococcus pluvialis for production of astaxanthin, the first in Malaysia and
South East Asia.
The project is partly funded by Malaysian Technology Development Corporation (MTDC) for a
US$1.0 million grant and scheduled to commence in March 2009.
Factory and Lab
Pond One
Pond Two
Our Pond in Malaysia
Our Pond in Malaysia
Our Pond in Malaysia
Our Pond in Malaysia
Our Pond in Malaysia
Our Pond in Malaysia
Laboratory & Pilot PlantCO2 sequestratian technology
(project)Government grants and assistanceAlgae hub for R&D and production
Malaysian Experience
STATE OF THE ART LABORATORY
STATE OF THE ART LABORATORY
CULTURING ACTIVITIES
PROTOTYPE PHOTOBIORECATOR
Some Popular Strains
4. Spirulina (Arthrospira platensis)3. Chlorella vulgaris
1. Haematococcus pluvialis 2. Dunaliella salina
Some Other Technology Considerations
Source: M. Huesemann, PacificNorthwest National Laboratories,Biofuels from Microalgae:Products, Processes andPotential, Presentation at AlgaeBiomass Summit, San Francisco,CA (Nov. 15, 2007).
General MicroalgalBiomass ConversionTechnologies
Typical Algae Production System
Overview Global Supply and Demand
Regional Opportunity
World Primary Energy Demand in The Reference Scenario
Incremental Primary Energy Demand in The Reference Scenario, 2006-2030
Energy Investment in The Reference Scenario, 2007-2030
World Greenhouse-Gas Emissions
Competitive Cost PositioningCrop Oil Yield
Gallons/Acre
Corn 18
Cotton 35
Soybean 48
Mustard Seed 61
Sunflower 102
Rapdeseed/Canola
127
Jatropha 202
Oil Palm 635
Algae (10g/m2/day at 15% TAG)
1,200
Algae (50g/m2/day at 50% TAG
10,000
Algae has a much higher productivity Crop Gallons/acrepotential than terrestrial biofuels.
– Yields are approximately 10x that of terrestrial crops (depending on crop)– CAUTION: Media hype has cited up to a potential of 24,000 gallons per acre per year. This is 2x the maximum theoretical efficiency.– Experts suggest that 2,000 gallons per acre per year would be a significant accomplishment.– Seambiotic (Israeli Company) Yields 20 g/m2/day
Source: P. Pienkos, NREL, The Potential of Biofuels from Algae, Algae Biomass Summit, San Francisco, CA (Nov. 15, 2007).
Opportunities & Challenges• Selection of algae Strain• Power Plant CO2 Utilization• Economics• High Productivity• R&D Needs• Resource Potential• Waste Water Treatment Plant
Investing in Algae Biofuel Phase I – Search for right partnership1. Technology (R&D, Acquisition)2. Local Business Partner3. Financing
Phase II – Pre-Commercialization activities1. Location (Land, Environmental Impact Study and CO2 source)2. Laboratory and Pilot Plant3. Demonstrations of proven technology
Phase III – Commercialisation1. Commissioning 2. Off take agreement3. CDM and Financing
•Technologies & R&D•Financing•Productions Sites•Biodiesel and bio Ethanol Plants•Integrated Renewable Energy Plants
ASEAN – The Future
Member Countries Total Area
Population 2004* GDP 2004
Merchandise Trade 2004**
(Sq. Km) (Thousand)(Million
US$) (Million US$)
Brunei Darussalam
5,765
373
5,181
6,585
Cambodia 181,035
13,589 4,517⅟
5,414
Indonesia
1,890,754
216,410 258,266
122,339
Lao PDR 236,800
5,760 2,439⅟ 1,004²/
Malaysia 330,257
25,580
117,776 221,471²/
Myanmar 676,577
54,745 10,463⅟ 5,034²/
Philippines 300,000
82,664
86,407 76,940²/
Singapore
697
4,240 106,884
363,431
Thailand 513,254
64,469
163,525
190,446
Viet Nam 330,363
82,022
45,277
55,261
ASEAN 4,465,502 549,852 800,735 1,047,927
ASEAN Statistics
ASEAN ROADMAP FOR RENEWABLE ENERGY
•High value •Antioxidants• Animal feed• Chemicals
R&D Centre by the hi tech nationsLand and infrastructure by countries with
large areas and ample employeesFinancing form richer nationsSelf dependant energy productionNot dependant on world energy crisis
Self sustainable Energy for ASEAN
Summary•Algae is one of the fastest growing living organism in the world.
•Algae for biofuel is not a dream, it is real.
•R&D will produce technologies which will make the production of algae for biofuel “cost effective” The challenge continues.
•Algae production must be fully integrated, between the extraction of oil and the extraction of functional food. There is not much gray area here.
•Malaysia is to establish the only fully integrated microalgae refinery operation in Asia that has been proven to extract bio-fuels and high value products by end of 2009.
•Asean companies are to capitalize and take advantage of the current trend in fuel prices by creating their own bio-fuels package coupled with high value products.
•There is really a problem with global warming and we all should be Inspired to contribute to preserving environmental quality and cleanliness for a better world tomorrow.
