Algae Systems has completed a biofuel production demonstration project in conjunction with Japan’s IHI Corporation. The demonstration plant is located in Daphne, Alabama and the process combines wastewater with algae to produce the world’s first energy-generating wastewater treatment process, using carbon-negative technologies. This process will yield both biofuel and drinking water.

Matthew C. Atwood, president and CEO of Algae Systems explains that while algae is a component in a number of worldwide experimental production strategies, their approach differs by using a system that can apply a variety of algae types to production, adding value by treating wastewater, and producing a drop-in fuel solution using hydrothermal liquefaction to produce fuels that do not need to be blended.

“This is the first demonstration of producing clean water and biofuel from wastewater and algae. We have demonstrated that we can treat wastewater at a low-cost while beating the current price of fuel,” said Atwood.

The project approach takes local strains of algae to increase production rates and optimize wastewater treatment opportunities and focuses on a systems approach. Floating membrane photobioreactors accept wastewater from a local community municipal wastewater utility, drawing nutrients from the wastewater to promote algae growth. The algae consume nutrients in the wastewater, reducing the cost of treating wastewater. In this approach, municipal wastewater becomes an asset to produce energy, rather than a commodity to be expensively processed. Photosynthesis creates the chemical reactions that can power our future.

Atwood said the use of offshore photobioreactors means that a valuable land footprint would not be required to deploy the system commercially, and the motion of waves and wind provides ideal temperature and mixing controls as well as a reduction of operating costs. From an environmental perspective, ecological dead zones can also be eliminated.

Another feature of the demonstration facility, said Atwood, is significant advancements made in the production of fuels from biomass. Algae Systems has demonstrated a new proprietary technology for the conversion of wet algae and other biomass feedstocks into biocrude oil, and has successfully demonstrated upgrading the bio-crude oil into diesel, jet and gasoline.

“Building commercial plants around the world that will enable low-cost wastewater treatment and fuel production,” said Atwood when explaining what success looks like. “Our next steps are to find commercial sites and raise additional financing for the company to expand.”