1. An Algal Biofuels Consortium Algae as a Renewable Energy Source: Challenges and Progress Work Funded By US DOE Bioenergy Technology Office, DE-EE0003046 This presentation does not contain any proprietary, confidential, or otherwise restricted information Slide 1 José A. Olivares Los Alamos National Laboratory LA-UR-14-23468 Algae Biomass Summit San Diego, CA Oct. 1, 2014

2. Purpose of NAABB Slide 2 NAABB is developing and demonstrating the science and technology that will significantly increase production of algal biomass and lipids, efficiently harvest and extract algae and algal products, and establish valuable conversion routes to fuels and co-products.

3. Slide 3 NAABB Members

4. NAABB R&D Framework Slide 4

5. R&D Framework with High Level Outcomes Slide 5 Sustainability Advanced System-level Models

6. New Strain Isolation and Development Slide 6 Selecting for improved algal strains: Over 2,200 independent algal isolates were collected across the US. More than 60 strains were identified that out performed bench mark production algal strains. 30 of the best strains deposited into UTEX New micro-GC/MS techniques were developed for measuring lipid quantity and fatty acid profiles A genetic bar-coding system was developed for tracking algal strains 1. Sample 2. Isolate 3. Screen 4. Characterize 5. Validate

7. Increased Productivity Through Transgenics Slide 7 Transgenic algae with self-adjusting light-harvesting antenna NABCAO lines self-adjust their Chl a/b ratios and peripheral light-harvesting antenna size Response to changing light levels or culture densities Chlorophyll a/b ratios ranged from 4.2 (day 6) to 3.4 (Day 12) for the best performing strain (NABCAO 77).

8. Cultivation The ARID raceway system has been shown to be cost – CAPEX > 8% OPEX < 45% Slide 8 A commercial photobioreactor system that mimics a pond environment has been developed and a start-up company, Phenometrics, initiated Advanced AgroBioFuels, LLC

9. Harvesting Current bottlenecks to cost effective production of biofuels from algae – traditional is centrifuge Need to concentrate from 1 g/L to 40 or 100 g/L prior to extraction Filtration Slide 9 Acoustic Focusing Electrocoagulation

10. Technologies for M1: Demonstrate 100L/hr Slide 10

11. Conversion Lipid Extracts to Fuels Slide 11

12. Combined HTL & CHG Conversion of Whole Algae HTL HYDROTREAT FRACTIONATE CHG HTL Bio-oil HTL Effluent Water Hydrotreate d Oil JetDieselHeavy Fractionated Oil CHG Effluent Water Whole Algae Feedstock Slide 12

13. Characterization of Jet Fuel from HTL Conversion Slide 13

14. Value of LEA for Shrimp and Fish Feed Based on fractions of energy, protein, fat, etc. in LEA and whole algae; the value of these ingredient in mariculture rations are: –Whole algae averages $82/ton more than soybean meal – about $373/ton in 2013 –LEA averages $94/ton less than soybean meal – about $200/ton in 2013 –A non-market advantage of feeding LEA to mariculture is it replaces a portion of fishmeal in the ration thus protecting the ocean’s fish population Slide 14

15. NAABB Scenarios for Overall Economic Feasibility Slide 15 $7.50/gal

16. Critical Factors for Future Success Priority I Improve Biomass Productivity Target: 2-4 X Increase (g/m 2 ) Transfer genes to production organisms Validate GMO strain outdoors Reduce pond crashes Optimize HTL processing/upgrading Integrate with CHG Processing Enable Nutrient Recycle Priority 2 Improve Extraction- Conversion Yield Target: 2 X Increase in Yield Priority 3 Improve Cultivation- Harvesting Efficiency Target: 1.5X Reduce energy & extend season H 2 O and CO 2 management Demonstrate harvesting scale-up Integration Tools Growth models Resource Assessment Models Sensitivity analysis to optimize conversion systems Tools to optimize algae to climate conditions LCA for recycle of water nutrients and energy balances

17. >100 scientific publications Five theses New Journal: ALGAL RESEARCH (by Elsevier) New Conference Series: International Conference on Algal Biomass, Biofuels and Bioproducts Deposited 30 most productive algae strains into UTEX culture collection 33 Intellectual Property Disclosures - Molecular biology tools – 10 - Cultivation – 5 - Harvesting and Extraction – 7 - Fuel conversion – 8 - Co-products and other – 3 2 New Companies Advanced AgroBioFuels, LLC NAABB Accomplishments Condition (depth, culture, light, temp, CO 2, etc.) Strain, Mutant, Culture mix etc Slide 17 http://www.energy.gov/eere/bioenergy/downloads/ national-alliance-advanced-biofuels-and- bioproducts-synopsis-naabb-final