Under the agreement, AIQ has acquired an option to purchase from PetroAlgae a standard license to build a micro-crop technology system for commercially producing biofuels and high-value protein.

PetroAlgae said that its micro-crop technology is designed to enable its licensees to produce a cost-effective alternative to fossil fuels as well as a high-value protein co-product, while absorbing carbon dioxide from greenhouse gas emissions.

John Scott, chairman of PetroAlgae, said: “Increasingly, companies like AIQ are looking for renewable fuel feedstock solutions that have high economic productivity and can utilize the existing petroleum-based fuel infrastructure. We have the solution and I believe that today’s announcement is the first of many such agreements in South America that will continue that region’s path towards a sustainable, clean energy future.”