UTEK Corporation (AMEX & LSE-AIM: UTK), a specialty finance company focused on technology transfer, and Kwikpower International Plc, a diversified renewable energy and fuels company offering ‘Carbon Recycling’ solutions, announced today that Kwikpower International has acquired Advanced Biofuel Technologies, Inc., a wholly owned subsidiary of UTEK Corporation, in a stock transaction. 

Advanced Biofuel Technologies, Inc. holds the license to oil-producing micro algae developed at the U.S. Department of Energy’s National Renewable Energy Laboratory (NREL). The license is exclusive in the European Union and is non-exclusive in the United States. The licensed technology may provide the enhanced production of bio-diesel feedstocks, whereby over expression of Acetyl-Coenzyme A Carboxylase in algae leads to overproduction of triglycerides. When these triglycerides are subjected to trans-esterification, they provide the hydrocarbon feedstock for the production of biodiesel fuels. This technology was developed by former NREL employee Paul G. Roessler, Ph.D. and his NREL team.

Dr. James Watkins, Chief Executive Officer and Chairman of Kwikpower International said, “We believe that this NREL technology will enable us to rapidly expand Kwikpower's opportunities in the bio-diesel markets in the USA and Europe. We also believe that it will allow us to reduce the overall cost of feedstock utilized in biodiesel production. We see significant, potential growth opportunities in both the USA and Europe for this technology.”

Dr. Watkins continued, “This is the third technology transfer this quarter between Kwikpower and UTEK. The first two transfers were for technology to produce biodiesel from a distinctive variety of the green alga known as Botryococcus. The ancestors of Botryococcus are thought to be responsible for many of the world’s fossil fuel deposits. Kwikpower acquired the exclusive license to a novel algae strain derived from a variety isolated by Dr. Arthur Nonomura, while at the University of California in Berkeley. This new strain grows faster than previous wild-type algae and, when combined with methods to switch on growth and accelerate hydrocarbon production, may provide Kwikpower with the ability to grow biodiesel components at competitive prices. The ability to grow bio-derived gasoline and diesel components cost-effectively offers Kwikpower the potential opportunity to help meet the growing demand for energy with a ‘Low Carbon’ solution.”

“With this novel process, we hope to see future farms of oil-bearing algae as a sustained source for biodiesel, comparable to the way that we cultivate our food,” said Richard Bolin, a Technology Transfer Officer at NREL.

“UTEK is pleased to consummate this technology transfer with Kwikpower International and we look forward to continuing our efforts to identify additional technology acquisition opportunities for its consideration,” said Joel Edelson, Vice President of Technology Licensing for UTEK Corporation.