The announcement is a further step in Shell’s ongoing effort to develop a new generation of biofuels using sustainable, non-food raw materials. Algae are rich in vegetable oil and can be cultivated in ponds of seawater, minimizing the use of fertile land and fresh water.
Shell and HR Biopetroleum have formed a joint venture company, called Cellana, to develop this project, with Shell taking the majority share. Construction of the demonstration facility on the Kona coast of Hawaii Island will begin immediately. The site, leased from the Natural Energy Laboratory of Hawaii Authority (NELHA), is near the existing commercial algae enterprises, primarily serving the pharmaceutical and nutrition industries.
The facility will grow only non-modified, marine microalgae species in open-air ponds using proprietary technology. Algae strains used will be indigenous to Hawaii or approved by the Hawaii Department of Agriculture. Protection of the local environment and marine ecosystem has been central to facility design. Once the algae are harvested, the vegetable oil will be extracted. The facility’s small production volumes will be used for testing.
Graeme Sweeney, executive vice president of future fuels and CO2 at Shell, said: Algae have great potential as a sustainable feedstock for production of diesel-type fuels with a very small CO2 footprint. This demonstration will be an important test of the technology and, critically, of commercial viability.