The construction of a pilot facility to grow algae as a biofuel feedstock was announced today (11th December) by Royal Dutch Shell and its joint venture partner, HR Biopetroleum. Construction of the demonstration facility on the Kona coast of Hawaii Island will begin immediately, said the company, on a site, leased from the Natural Energy Laboratory of Hawaii Authority (NELHA).

The joint venture company set up by Shell and HR Biopetroleum is called Cellana,  in which Shell has a majority share holding. 

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.

An academic research programme will support the project, screening natural microalgae species to determine which ones produce the highest yields and the most vegetable oil.  The programme will include scientists from the Universities of Hawaii, Southern Mississippi and Dalhousie, in Nova Scotia, Canada.

“Algae have great potential as a sustainable feedstock for production of diesel-type fuels with a very small CO2 footprint,” said Graeme Sweeney, Shell Executive Vice President Future Fuels and CO2.  “This demonstration will be an important test of the technology and, critically, of commercial viability”.

“HR Biopetroleum’s proven technology provides a solid platform for commercial development and potential deployment worldwide,” Mark Huntley, HR Biopetroleum Chief Science Officer said.  “Shell’s expertise and commitment to next generation biofuels complements our own strengths, and makes this a truly collaborative partnership.”