Biofuel feedstocks represent a longer-term opportunity for BioProcess Algae. Biodiesel and ethanol represent a large part of the biofuels market that can be directly addressed by Bioprocess Algae’s products.
As the largest consumers of petroleum fuels look for alternatives to meet the rapidly increasing demand from a steadily growing population, biofuels will play an increasingly important role in fueling economies. In addition, energy security and environmental concerns are accelerating the transition away from fossil fuels as many governments around the world are incentivizing biofuels production to create a stable, domestic fuel supply.
The Company has secured third party verification that biofuel produced using its algal strains could satisfy the Advanced Renewable Fuel qualification under the EPA’s Renewable Fuel Standard 2. The chemicals and fuels markets represent additional large, attractive opportunities as production moves down the cost curve, and are markets in which BPA’s zero cost feedstock advantage is especially evident compared to technologies reliant on more expensive inputs, such as sugars.