Califorinia – OriginOil is ready to ship the first part of its manufacturing system – technology that extracts renewable oil from algae – to Australia-based MBD Energy, triggering payment under the two companies’ contract.
OriginOil notified MBD Energy that it is ready to ship a Quantum Fracturing System, designed to maximize algae CO2 absorption with minimal energy, to MBD Energy’s R&Dt facility at James Cook University in Queensland, Australia. The company’s Single-Step Extraction System, designed to efficiently separate algae oil from its biomass, will be the next deliverable and will trigger another payment under the purchase order.
“This is a major milestone for OriginOil and represents our first revenue event,” said Riggs Eckelberry, CEO.
The companies signed an agreement last May that stipulated that OriginOil would supply MBD Energy with its algae-to-oil technology platform in progressively larger installations. If the test phase works, MBD will purchase larger systems to serve its power station projects in Australia, beginning with a one-hectare pilot plant at Tarong Power Station in South Eastern Queensland, and expanding to full production sites at all three of MBD’s power station projects in Australia.
According to MBD Energy, each of its power station projects has the potential to grow to 80-hectare commercial plants, each capable of producing 11 million liters of oil for plastics and transport fuel annually. MBD Energy estimates that the projects will eventually consume more than half of each power station’s emissions.
OriginOil’s Quantum Fracturing System breaks down nutrients such as CO2 into micro-particles that stay suspended in water longer, allowing algae to feed more efficiently. The Single-Step Extraction system is the first commercial “wet” extraction system, able to separate algae oil from its biomass without dewatering operations.