Algae.Tec Plans to Raise $600 Million for Fuel Factories by 2015
Algae.Tec Ltd. (AEB), a producer of algal oils used in clean fuel, plans to raise as much as $600 million and win fuel supply deals allowing it to build as many as six factories by 2015 in Brazil, Sri Lanka, Australia and the U.S.
“We will be using different project finance structures for all of these projects and they’ll all be roughly $100 million,” Chairman Roger Stroud said by phone from Sao Paulo.
Airlines in July 2011 won approval from the U.S. technical standards body to fly passenger planes using compounds made from inedible plants and organic waste mixed with petroleum-derived fuel. The ruling allows for blends of up to 50 percent biofuel. Deutsche Lufthansa AG (LHA) in July 2011 became the world’s first carrier to offer routine scheduled flights running on biofuel.