Shell has stopped its efforts to partake in the algae biofuel industry after Cellana bought out its shares.
Cellana is a joint venture founded by Shell and HR Biopetroleum (HRBP).
Shell agreed through the transaction to give short-term funding to Cellana, which is now supported by stakeholders including the University of Hawaii, Hawaiian Electric Company, Maui Electric Company, the National Alliance for Advanced Biofuels and Bioproducts consortium and the US Department of Energy (DOE), reports Renewable Energy World.
In 2010, Shell Chief Technology Officer Gerald Schotman said his company was to taper the range of its research from the then-10 advanced biofuel technologies to five this year. This would let the company concentrate on the biofuels they consider most relevant toward establishing a lucrative future.
Having already received all the permits it needs, Cellana can now build a processing facility. It will be located adjacent to Maui Electric Co's Maalaea Power Plant.
Once the plant begins producing fuels in two to three years, it will burn algae biodiesel to create electricity.
Until that time, Cellana will keep its research and demonstration plants in Kona, Hawaii open.
In the meantime, Shell will be putting its efforts into its other biofuel ventures, such as a partnership with Cosan in Brazil for sugar-ethanol fuels, Iogen in Canada for the enzyme-based extraction of ethanol from straw, Codexis in the US for the development of stronger and faster fuel-production enzymes and a joint-technology scheme with Virent Energy Systems to turn plant sugars directly into high-energy liquid fuels.
