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November 12, 2008 8:08 AM PST

Amyris opens plant to make diesel from sugar cane

by Martin LaMonica
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Amyris Biotechnologies on Wednesday announced the opening of a pilot facility in Emeryville, Calif., that turns sugar cane into diesel fuel through genetically designed microbes.

The company is at the forefront of a commercial movement to use biotechnology to convert plants into fuels that resemble petroleum-based hydrocarbons.

Amyris' technique is to genetically engineer a yeast that can metabolize sugar into the desired molecules. Its first effort was to develop a malaria vaccine, which it continues to do, and it has since developed a focus on renewable fuels.

(Credit: Amyris Fuels)

"We're engineering the yeast, reprogramming it from making alcohols to making hydrocarbons," CEO John Melo said. "We started with E. coli (bacteria), which is what many other companies are doing, but we moved to yeast because we discovered that it was more scalable."

The company has also modified yeasts to produce chemicals; a sugar-derived jet fuel is planned for in about three years as well.

Through a partnership, Amyris plans are to produce biodiesel from sugar cane at commercial scale in Brazil by the middle of 2010. Brazil is one of the world's largest producers of ethanol, using sugar cane as a feedstock.

Amyris' biodiesel can be blended at up to 50 percent concentration with petroleum diesel, higher than most biodiesel today, which means that it can be pumped through existing pipelines. Environmentally, Amyris' "renewable diesel" has lower carbon emissions than petrodiesel and burns cleaner, Melo said.

Amyris has set up a distribution subsidiary and intends to sell its biodiesel to fleet operators, such as Wal-Mart Stores and FedEx.

Melo said the economic slowdown has forced the company to shelve its plans to go public next year.

It does expect to raise some form of capital in the next two years, either through venture funding or strategic partners, he said. The company expects revenue to increase rapidly next year, to more than $100 million, he added.

Martin LaMonica is a senior writer for CNET's Green Tech blog. He started at CNET News in 2002, covering IT and Web development. Before that, he was executive editor at IT publication InfoWorld. E-mail Martin.
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by fokkwp November 12, 2008 8:54 AM PST
"Environmentally, Amyris' "renewable diesel" has lower carbon emissions than petrodiesel and burns cleaner, Melo said. "

Complete nonsense. Read the reports on the impacts of sugar cane biodiesel. It's worse for global warming than oil.
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by xomjjj November 17, 2008 4:17 PM PST
since there's no sugar cane based biodiesel made today I would like to see the reports you reference, can you provide them so we can all see you back-up your comment?
by bob1xxxx November 12, 2008 9:18 AM PST
Yeah for me the run upprice in food stuffs being used as fuel is even more devestating than any "bio disel is less green than?" arguements. When oil , gas and coal are still plentiful why turn food stuffs into fuel and jack up food prices arent there enough people in the world starving now ? Oh thats right tree huggers are friends of all living things except people.
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by xomjjj November 17, 2008 4:22 PM PST
since sugar prices are and have been depressed for several years and sugar is not a part of the food staple. You must not care about the future of our planet and only about your short term consumption. Look beyond your neighborhood and remember that it's the soda"stupid" that uses sugar!!! You're right, we should use all the oil we can, keep damaging our climate and planet so that we can drink all the soda possible without impacting sugar prices...Brilliant!!!
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