Origin Oil : A new agreement
Ian Gilson, CFA
On May 03, 2012 Origin Oil (OOIL) announced an agreement with Algasol Renewables to develop an integrated algae growth and harvesting system. Algasol has a patented photo bioreactor system that floats on water, either on the sea or on salt water ponds on land. The company is working with NASA and the Lawrence Berkley National Laboratory. Algasol is also working with the Arizona State University.
Photo bioreactors, using glass or plastic tubes or spheres, have been used to grow algae. In 2006 Greenfuel Technologies and the Arizona Public Service Company demonstrated a tubular bioreactor but unfortunately, in 2009, the company ended development due to lack of funding. In 2007 AlgaeLink NV of the Netherlands introduced a tubular reactor for algae production, and in 2010 showcased a complete system for production and separation of algae. However, tubular reactors are expensive as compared to algae farms.
Algasol uses a thin plastic membrane to form a large plastic bag that floats on water. The bag contains algae and the CO2 and nutrient solution is pumped into the bag. The large surface area and thin membrane provides sufficient light for rapid growth of the algae.
In the event of storms the bag can be submerged down to 250 feet below the surface.
ORIGINOIL NEW (OOIL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research