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MARYSVILLE, OH, August 6, 2009

Algaeventure Systems has been awarded a purchase order by General Atomics (GA) to provide its algae harvesting, dewatering, and drying technology (AVS HDD).

With breakthrough technology and funding from the Defense Advanced Research Projects Agency (DARPA), General Atomics is spearheading the efforts of a group of corporate technology developers and universities n the pursuit of evaluating the potential of algae-to-fuel projects. The goal is to develop an environmentally friendly, efficient, and cost-effective process in JP-8 jet fuel that can be derived from algae oil.

The Algaeventure Systems Harvesting, Dewatering, and Drying technology is a breakthrough that allows for a more efficient and cost-effective process to removing water from algae. The AVS HDD presents a significant step in providing algae as an economically feasible alternative fuel source. As a result, the technology has opened new doors of opportunity by proving to be scalable, portable, and effective. Harvesting, dewatering, and drying are critical elements to driving General Atomics’ research goals. “GA welcomes the opportunity to work with and evaluate Algaeventure’s dewatering technologies under our DARPA Algae Derived JP-8 program. We believe that Algaeventure’s approach holds promise for significantly reducing the cost of drying biomass at large scale thus improving the likelihood of producing cost-competitive, algae-derived fuel products,” said David Ordway, Project Manager at General Atomics. The AVS HDD will be included in the DARPA technical evaluations, providing insight
in to new and future possibilities.

About Algaeventure Systems, Inc.

Algaeventure Systems, Inc. is a spinoff company from Univenture, Inc., an environmentally conscious plastics packaging manufacturer bringing to market a variety of patented and award-winning molded and converted plastic products that are ecofriendly. Algaeventure Systems, Inc. develops technology and systems for algal production of lipids and biomass, which can be used for fuels, plastics, advanced materials, feeds, foods, and other valuable resources.

For more information on Algaeventure Systems, Inc. or Univenture, visit algaevs.com or univenture.com or contact Amy Bucklin : 937-645-4698 | Email

About General Atomics

General Atomics is a San Diego-based innovation firm with a 50-year history of successful solutions for environmental, energy, and defense challenges. Affiliated manufacturing and commercial service companies include General Atomics Aeronautical Systems, Inc., which produces the Predator® family of unmanned aircraft systems. General Atomics (GA) was awarded a contract from the Defense Advanced Research Projects Agency (DARPA) to develop scalable processes for the cost-effective large scale production of algae triglyceride oil and an algae-derived JP-8 jet fuel. The contract has a total value of up to $43M if all phases of the development program are completed.

For investor inquiries, please submit your information through this form.

For more information on AVS-HDD licensing options, please visit this page.

As evidenced in demonstrations and studies, low energy separation creates opportunities to more effectively handle resources. Low cost processing enables resources to be utilized that may not have been possible through high energy processing.

A Disruptive Technology for Removing Solid and Semi-solids from Solution

Many companies, research institutions and municipalities have requested dewater and remediation testing of the HDD system. To explore how the AVS HDD system may work for you, please contact a member of the AVS team.

Scalability

Breakthroughs with AVS low energy separation have led to a platform for scalable HDD systems. The current 500-liter/hour system is the platform for a commercial unit processing 15,000 liters/hour.

Our screen and membrane development team is also focused on developing its portfolio of solid separations. Scalability across many industrial applications for food, pharma, biotechnical, chemical, mineral and waste separation provide opportunities for many applications.

Contact:  Amy Bucklin / 937-645-4604

− Ohio company slashes cost of harvesting, dewatering and drying;
Reduces processing cost by more than 99 percent −

MARYSVILLE, OH, March 23, 2009 – A technological breakthrough that dramatically reduces the cost of removing water from algae – making algae an economically feasible source of fuel – was announced today by AlgaeVenture Systems following a demonstration of the process to a select group of collaborators and funding sources.

“For nearly 40 years, it has been widely accepted that if the cost of removing, harvesting and dewatering algae could be reduced to $50 a ton, algae could become a significant source of fuel,” said Ross Youngs, CEO of Univenture, the parent corporation of AlgaeVenture Systems.

“Today we have demonstrated a truly disruptive technology that reduces that cost by more than 99 percent – from $875 per ton to $1.92 per ton,” Youngs said. “We believe that this breakthrough moves algae back into the spotlight as an economically viable, plentiful source of fuel in the future.”

The AlgaeVenture Systems breakthrough comes at a time when interest in algae is on the rise. It was originally studied as an alternative energy source after the 1970s oil embargo. However, the Department of Energy determined that even though algae offered significant capability to produce biofuels, the cost was prohibitive. The Department ended its algae program in 1996, but interest was revived when oil reached record prices in 2008.

Univenture established AlgaeVenture Systems to address the growth of algae in industrial and agricultural areas in Ohio and other areas of the Midwest that demonstrated opportunities for algae farms to be located near existing waste and waste sources. The company believes this creates the opportunity to develop a variety of products – including fuels – while cleaning up waste from land and water.

The company’s focus is to manufacture and install simplified greenhouse ponds near power plants, wastewater plants, farm waste facilities, food processing plants and other locations where the geography and climate support algae growth year-round.

“Algae farmers have the option to grow food, feed or fuel, and can change crops and be ready for harvest in less than 20 days,” Youngs said. “Algae can protect our fuel supplies because it can be grown virtually anywhere in the United States, and can benefit national security by decentralizing the fuel supply and reducing our dependence on foreign oil.”

The technology developed by AlgaeVenture Systems – studying processes that exist in nature – utilizes a variety of methods of moving water, including capillary effect, cohesion, absorption and transpiration pull – the method used by trees and plants to move water from their roots to the highest growth, often hundreds of feet straight up.

“The process is counterintuitive,” Youngs said, “because with so much water and so little algae, it is natural to want to move the algae. But moving the water instead is very efficient, and all water is recycled. In fact, there are circumstances where adding water actually improves separation and drying.”

AlgaeVenture Systems’ prototype is scalable and portable, and can be custom made to a customer’s specifications. While it was designed specifically for microalgae, the invention is also applicable to several other separating and dewatering applications.

More details about the technology can be found at www.AlgaeVS.com.

About Univenture
Univenture firmly believes in the conservation of both ecological and economic resources.  The company is, and has been since its inception, environmentally conscious, bringing to market a variety of patented and award-winning molded and converted plastic products that are environmentally friendly.  Univenture started AlgaeVenture Systems to develop technology and systems for algal production of lipids and biomass, which can be used for fuels, plastics, advanced materials, feeds, foods, and other valuable resources.

Univenture has been designing and manufacturing converted and molded plastic products, including bio-based plastics, since its founding in 1988.  The company was listed on the Inc. 500 fastest growing privately held companies five times in the 1990s, and its founder, Ross O. Youngs, was named National Business Person of the Year by the Small Business Administration in 1997.  The dedicated focus of the Univenture team has resulted in numerous industry awards and accolades for its innovation, commitment to customers and sales growth.

Univenture has corporate offices and operations in Marysville, Ohio; with offices in Reno, Nevada; Dublin, Ireland and Shenzhen, China.  For more information on Univenture, visit www.univenture.com or call Univenture’s corporate headquarters at 800-992-8262.

Continuing with our commitment to achieving milestones, the annual audit of our 2008 fiscal year financial statements by Deloitte & Touche has been completed and are available for review.

In this diagram, an AVS algae farm is a critical part of a closed loop sustainability that eliminates waste and maximizes all material as either food or energy.

Left to right - Ross O. Youngs, Mike Logsdon (Ground Surveyor, George J. Igel & Co., Inc.), John Igel (President of George J. Igel & Co., Inc.) and Matthew Check (Senior Estimator, George J. Igel & Co., Inc.)

George J. Igel & Co., Inc. – Site Development Contractor – Igel is partnering with AlgaeVS on the site development specifications for construction of the Algae Farm Systems. Igel has been in business for over 90 years and has years of experience with site development of 1 – 300 acres.
After seeing our Algae Initiative presentation, John Igel understands the impact this can have on our country’s fuel -dependency and Ohio’s economy and wants to contribute to the success of our consortium. Igel is offering their expertise in site preparation relating to soil composition, grading and other specifications needed for the preparation of land for our Rapid Algae Farming systems.

• Vision and innovation based on – science and engineering
• The right partners with the brightest minds in the relevant fields
• Eliminate the preconceived limitations or perimeters
• Utilization of existing best practices
• Focus on continual improvements
• Strategy centered on openness and engagement
• Tenacity, get past the failures, set backs, and inefficiencies
• Collaborative support from various and far reaching communities or – constituents

This is the harvester being built for cell number 1; different harvesters will be built for the various cells as they are installed. The system Is designed to process 400 pounds of dewatered algae per day.

A collaborative team consisting of university and industry partners recently submitted a proposal to the Third Frontier Wright Projects program to build a Multi-Species Algae Bioreactor Facility on the campus of Ohio Northern University in Ada. ONU was supported on the proposal effort by AlgaeVS and Marathon Petroleum Company who represent industries that are committed to the development and use of renewable resources such as bioplastics and biodiesel fuels. Rhodes State College and the Edison Materials Technology Center (EMTEC) rounded out the proposal team.
The proposed effort seeks to develop the technology required for a loosely-controlled algae growing system that will allow multiple algae species to thrive within the bioreactor environment. The resulting system will be based around algal communities that grow naturally within Ohio’s freshwater environments. It is expected that the growth and development of naturally-occurring algae species within the bioreactor facility will result in a cost-effective solution to algae farming by achieving consistent algae harvest yields and by reducing the need for tight contamination control techniques and methodologies.
The effort will build on AlgaeVS’s significant activities associated with the development of Rapid Algae Farming systems. Ohio Northern University will also leverage faculty expertise within the College of Engineering and the Department of Biological and Allied Health Sciences for the design, construction and implementation of the Multi-Species Algae Bioreactor facility at ONU. The resulting technology solutions within the bioreactor facility will be commercialized in conjunction with AlgaeVS’s Rapid Algae Farming system. In addition, the specific algae oil products that are produced by the Multi-Species Algae Bioreactor facility will be evaluated for commercialization potential by AlgaeVS for use within their various plastic packaging products, by Marathon Petroleum Company for use as a biodiesel product, and by EMTEC as a potential bio-based jet fuel product.

David Coho, AlgaeVS’s Vice President of Sales, discussed and demonstrated some of the sustainable (crop based) plastic products that AlgaeVS has made over the last couple of years. Among the bio-based packaging shown were the pouches for Al Gore’s “An Inconvenient Truth” and Leonardo DiCaprio’s “The Eleventh Hour”. Also shown were the PLA Tradeshow Badge Holders that AlgaeVS now supplies all over the world and a Soybean/Petroleum blended R&D Binder that AlgaeVS has been working on.

Norma McDonald from Phase 3 Renewables was the second presenter and updated the audience on several “waste-to-energy” and “closed-looped” opportunities revolving around anaerobic digesters. Norma explained that the “digestate” or the brown water that comes off these units is high in the nutrients that algae need to grow and flourish. Therefore, future plans are in the works to possibly co-locate the AlgaeVenture RAF (Rapid Algae Farming) system with these anaerobic digesters at dairy farms, swine operations, poultry operations etc.

Ross Youngs, as the final presenter of the day, demonstrated that algae farming makes sense in the Ohio Valley and the Midwest in hybrid covered ponds. The algae and the resulting lipids can be used to make fuels and plastics and a host of other products.
Mr. Youngs showed how the old “Rust Belt” could become the new “Green Gold Belt” because algae can be a  “Platform Industry” as it involves technologies in growing, harvesting, dewatering, extraction, and refining.  Hundreds of new businesses and jobs could be created in Ohio in the fairly near term.

The meeting ended with a tour of AlgaeVS’s manufacturing facility and a tour of the AlgaeVenture System’s growth cells and buildings.

The farmers that were present asked some fantastic and poignant questions.  All departed with a level of excitement to move these technologies to the next level.  Mike Vallery, a leading agriculture voice from Madison County said “I am impressed with AlgaeVS’s leadership role they have taken in regards to algae and hope that they and their collaborators bring this affordably to the farmers as soon as possible.”

Representation from the Ohio Farm Bureau, Ohio BioProducts Innovation Center, The Center for Innovative Food Technology, Edison Materials Technology Education Center, and local businesses found the tour to be interesting and wanting to play a part to team and collaborate in making this technology successful in Ohio.  Ohio currently stands at a doorway where it can enter into new industries with the leverage of its largest industries – agriculture, fuels, and polymers. In order to achieve this, we have to be prepared to walk through together as a State of progressive thinkers and doers.

Algae cultivation requires four things: light, nutrients, proper temperature, and CO2. All of these can be provided by co-location with livestock operations which incorporate the latest technologies.

An increasing number of US farms are installing anaerobic digestion systems to provide two key benefits versus conventional land application of untreated manure: enhanced environmental management of manure, and, energy independence. The systems are best suited to farms with liquid manure like swine and dairy, but drier manures such as beef, chicken, turkey and horse manure can be mixed with the more liquid sources.
During anaerobic digestion, naturally occurring bacteria decompose the manure to produce biogas which is typically composed of about two-thirds methane (or natural gas). The biogas can be used to generate heat, electricity or be upgraded for insertion into the pipeline or used as compressed natural gas for vehicle fuel. Farms can become energy independent and obtain revenues from selling excess energy production and emission reduction credits.

After digestion, the liquid leaves the digester with several improvements: vastly reduced odor, pathogens, weed seeds, fly larvae and particulate matter. The remaining particulate matter in the effluent can be separated, leaving a warm, homogeneous liquid organic fertilizer that makes a perfect feedstock for algae cultivation. By co-locating, algae cultivation can benefit from these nutrients, and also from the thermal and electrical energy production and vented CO2. Farms can provide the necessary acres for rapid growth photobioreactors, as well as utilize the remaining liquid for irrigation. The expanded farm activities are truly synergistic.
Phase 3 Renewable’s specializes in the development and commercialization of agricultural-based conversion of waste to renewable energy and biobased products, and is collaborating with AlgaeVS AlgaeVenture to commercialize rapid and profitable growth of algae. The two companies are exploring sites for a commercial scale model in 2009.

Phase 3 brings a unique combination of knowledge and practical experience to the marketplace, with a staff that has extensive experience in biobased products including upgraded biogas, fermentation processes, anaerobic digestion, logistics, manufacturing equipment, purchasing, financial management, and marketing. Managers come from farming families, and formal qualifications include electrical, mechanical and biosystems engineering; general contracting and licensed electrical contractor.

Phase 3 has also developed a proprietary decision-support software tool, PATHWAYS 2 PROFIT™, for biogas and energy conversion plants using agricultural and other food wastes. The tool allows farmers and other producers to simultaneously examine all of the options for construction, equipment, biogas production, co-feeds, energy conversion, emission reductions, nutrient management, and funding. The tool integrates data from operating systems around the world and provides the financial and operational perspective needed to make system choices.
Phase 3 is a certified Carbon Credit Aggregator, registered with the Chicago Climate Exchange. Phase 3 is a small, women and veteran-owned and operated business. http://phase3developments.com/

AlgaeVS and a Who’s Who of collaborators including The Columbus Zoo and Aquarium, The Ohio State University, Honda of America Manufacturing, The Ohio Grocers Association, Rockwell Automation, The Center for Innovative Food Technology, Makel Engineering, George J. Igel and Company and Resource100 LTD submitted a Research Commercialization Proposal for a “Scalable and Integrated Waste to Energy System” to the Third Frontier Commission on November 7th.

This unique project, when fully implemented will use an integrated and synergistic system of technologies to provide waste removal, clean water, energy and food on a small footprint of less than 5 acres. AlgaeVS’s rapid algae farm will be the hub of the system which makes the integration possible.

What brings this diverse group of organizations together is a common goal of developing sustainable infrastructures that can lead to development of a sustainable community by ensuring that the development of a zoo, community, or nation makes smart infrastructure improvements that do not deplete natural resources. Therefore, the transition and adoption of policies and actions that rely on renewable resources figure heavily into the development of sustainable infrastructures including the zoo project which AlgaeVS and the collaborators want to replicate around the globe.

The collaborators on the proposed RCP project will:

1. Receive Honda cafeteria & zoo restaurant food waste, mix it with zoo animal waste & anaerobically digest the mixture, assuring it does not go into a landfill or incinerator.
2. Produce digester gas to be converted into electricity in the Makel Engineering engine.
3. Produce compost that can be used in landscaping & food production.
4. Produce a nutrient rich liquid from the digester which will be modeled by The Ohio State University / OARDC & controlled by technology from Rockwell Automation to provide “food” for AlgaeVS’s algae farm.
5. Harvest & dewater the algae producing oil which will then be atomized & fed into the Makel engine to make electricity or ultimately be used to produce biodiesel fuel.
6. Take the remaining biomass from the algae & either anaerobically digest it to produce more gas & electricity or use it as an animal feed based on recommendations of the animal nutritionists at the zoo & Ohio State.
7. Rockwell Automation will develop software & control systems for system integration.
8. CIFT & Resource100 LTD will provide systems engineering & project management.

A Third Frontier Research Commercialization Program (RCP) LOI will be submitted for a Scalable and Integrated Waste to Energy System. This proposal will be submitted with the support and contribution of our collaborative partners on November 7th. In addition, the TFAEP is requesting LOIs for the next set of advanced energy proposals. We have plans to work with many of our existing and additional researchers on putting together LOIs that will be due to Third Frontier by December 7th.