Protec Fuel Management has taken another innovative route to bring ethanol to consumers. The company has signed an agreement to market and distribute Algenol Biotech’s algae-based ethanol being produced in Fort Myers, Florida. In addition, Protec will purchase 18 million gallons per year from Algenol’s commercial plant expected to be online in 2016 and distribute the fuel as E15 and E85 in both retail stations for consumers and stations dedicated to fleets.
“This alliance is a logical step for Algenol as our commercial fuels are coming on-line,” said Algenol Founder and CEO Paul Woods. “We are excited about partnering with a successful, innovative renewable fuels distributor, who is knowledgeable in the regional and Florida ethanol market and has the expertise and relationships to grow the partnership nationally.”
According to Algenol, the partnership will enable them to leverage Protec’s established network of retail clients for the distribution of Algenol’s E85, E15 and other advanced biofuels. While the partnership will initially focus on Florida, the agreement provides for expansion into a national partnership scope as Algenol develops projects in other markets. Algenol’s Florida-based production facilities will provide both parties and their customers with a substantial margin advantage versus fuels shipped from out-of-state.
“We know that advanced ethanol is a key element of the future of fuels, and we are excited to partner with Algenol, the leader in the development of algae-based fuels,” added Todd Garner, CEO, Protec Fuel. “The key components and priority of ethanol’s use are sustainability, cleaner air, and to provide the public with lower-cost fuel,” he said. “To be able to offer a fuel that can accomplish the three key components only bolsters this advanced biofuel’s future.”
This agreement follows a series of successful commercialization milestones achieved by Algenol, which include its pathway approval by the EPA in December 2014, its organism approval by both the state of Florida and by the EPA in the same year, and the June 2015 completion of its 2-acre commercial demonstration module funded in part by a $25 million DOE Recovery Act grant. Algenol is producing ethanol meeting the D4806 ASTM specifications on a daily basis, and it can be sold commercially as E85.