From: Riggs Eckelberry
Los Angeles, February 27, 2012
Last Thursday, we were startled when President Obama came out swinging for algae based fuels!
The President reports on algae
In his speech on American Energy, President Obama said (at minute 19’20″):
“We’re making new investments in the development of gasoline and diesel and jet fuel that’s actually made from a plant-like substance — algae. You’ve got a bunch of algae out here, right? (Laughter.) If we can figure out how to make energy out of that, we’ll be doing all right.
“Believe it or not, we could replace up to 17 percent of the oil we import for transportation with this fuel that we can grow right here in the United States. And that means greater energy security. That means lower costs. It means more jobs. It means a stronger economy.”
We were amazed to hear him quote from our playbook… Then we learned that a friend of ours had actually helped the White House with this speech!
Just as they were saying last night on the Oscars… thank you my friend, you know who you are :-)
Real numbers to back up the President
That’s all nice to hear, you’ll say, but we’ve heard all this before. Where are the facts?
By sheer coincidence, we just completed last week an in-depth analysis of end-to-end algae production… from the growth stage the way through to transportation fuel.
We’ve modeled all the latest industry breakthroughs — from us and others. They add up to an impressive bottom line: $2.28/gallon.
(If you’re an algae industry insider, you can see the underlying model itself, in confidence. Just contact us at the Partners desk.)
The energy breakthrough revolution!
Production cost for gasoline or diesel as low as $2.28 for a blend of algae and waste… (and pure algae not far behind at $5.44!)
That’s not a breakthrough, that’s a revolution.
Imagine anyone, anywhere making road fuels right on the spot, just from CO2 and waste water.
Yes indeed. If you think the internet changed everything, just wait until you see the same thing done with energy.
Is road fuel the best thing to make?
Sure, algae producers can make fuel profitably. But they don’t have to.
They can make biocrude that can be turned into green chemicals. They can make nutritional products and animal feed, and much more that’s valuable.
But it means everything that they can now actually compete with petroleum. That we can drive our cars with sustainable fuels produced right where we live.
That’s a huge promise. With the rest of the industry — and with your help — we’re working nonstop on it.
Have a great week!
Riggs and team
President & CEO
OriginOil, Inc. (OOIL)
OriginOil and DOE to Develop Renewable Crude Oil for Existing Oil Refineries
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