PetroSun: Algae Biofuels Reaches Final Stage

This final stage will consist of producing adequate algae paste to test the output and economics of several biodiesel refinery manufacturers now under consideration by Algae Biofuels, a wholly owned subsidiary of PetroSun, which will own and operate the production and refinery facilities.

Algae BioFuels is considering sites in Arizona, New Mexico, California, Louisiana and Michigan for its initial commercial cultivation of algae feedstock in the U.S. In the foreign market, Australia and China are the leading candidates for production and refinery operations.

"Should the cultivation process prove to be successful outside of the U.S. Sunbelt, Algae BioFuels' model is to locate production and refinery sites near major cities and truck routes to reduce the cost of biodiesel in those areas," said cccc

The consumption of diesel fuel in the U.S. for on-highway use is 39 billion gallons per year and increasing over 3% annually. This represents 22% by sales and volume of the total U.S. transportation fuel market. The cost of diesel fuel has increased dramatically the past few years as a result of higher oil prices and refining costs due to the Ultra Low Sulfur diesel laws.

Algae-based biodiesel contains no sulfur, is non-toxic, highly biodegradable and is not subject to a commodity risk as is crude oil, corn and soybeans.