REG WALTERS Board Member & Managing Director SQC Pty Ltd Board Member & Managing Director SQC Pty Ltd SQC

2 The Fuel Crisis And Renewable Hydrocarbon Fuels SQC

The Status of Oil Supply And Demand Worldwide Total world oil reserves known – except Antarctica World consumption (Fuel and Feedstock) – 10 million Tonnes/Day Upward price trend – nudging $US70 barrel Petrol price predicted $A2 per L by 2010 Serious shortage of liquid fuels by Total world oil reserves known – except Antarctica World consumption (Fuel and Feedstock) – 10 million Tonnes/Day Upward price trend – nudging $US70 barrel Petrol price predicted $A2 per L by 2010 Serious shortage of liquid fuels by SQC

Upward Trend of Oil Prices Reasons  Oil is a Finite Resource  Political Instability of some oil producing Countries Artificial price maintenance by OPEC  Cost and Acceptability of Alternate Sources of Oil and/or Alternate Energy  Global Warming and Climate Change  Oil is a Finite Resource  Political Instability of some oil producing Countries Artificial price maintenance by OPEC  Cost and Acceptability of Alternate Sources of Oil and/or Alternate Energy  Global Warming and Climate Change SQC

Oil Supply and Transport  Transport Sector will Feel Effects of Reduced Fossil Fuel Supply First  How Viable are Alternatives to Fossil Fuels? Hybrid cars, H 2 Power, Fuel Cell  Dwindling Supply – Previously Uneconomic Sources of Fossil Fuels Viable  Transport Sector will Feel Effects of Reduced Fossil Fuel Supply First  How Viable are Alternatives to Fossil Fuels? Hybrid cars, H 2 Power, Fuel Cell  Dwindling Supply – Previously Uneconomic Sources of Fossil Fuels Viable SQC

Oil Pumping Derricks-Los Angelis SQC

After Campbell

SQC After Campbell

SQC After Campbell

SQC After Campbell

SQC Annual Oil Production After Campbell

SQC Major Oil Reserves After Campbell

SQC World Oil Reserves After Campbell

SQC After Campbell

SQC After Campbell

SQC After Campbell

SQC After Campbell

SQC Short Term Alternatives to Fossil Fuel Ethanol – for Addition Biodiesel – From Recyclables such as restaurant wastes, Tallow, Plastic Wastes (bags) etc Biodiesel - From Renewable Sources such as – Canola and other plant materials Algae Ethanol – for Addition Biodiesel – From Recyclables such as restaurant wastes, Tallow, Plastic Wastes (bags) etc Biodiesel - From Renewable Sources such as – Canola and other plant materials Algae SQC Australia uses 14 billion litres of diesel per annum

SQC

Algae as Producers of Renewable Hydrocarbons Algae are chlorophyll containing plants Harness the sun’s energy using photosynthesis Use CO 2 for cellular materials and Growth and Reproduction - releasing O 2 Some Also Deposit Hydrocarbons in the cell Botryococcus - widespread in freshwater Algae are chlorophyll containing plants Harness the sun’s energy using photosynthesis Use CO 2 for cellular materials and Growth and Reproduction - releasing O 2 Some Also Deposit Hydrocarbons in the cell Botryococcus - widespread in freshwater SQC

Darwin Reservoir NT After Hillen

SQC After Hillen

SQC Botryococcus SQC

Botryococcus After Qin

SQC Botryococcus After Hillen

Taxonomy Phylum: Chlorophyta (green algae) Class: Chlorophyceae Order: Tetrasporales Family: Dictyosphaeriaceae Genus: Botryococcus Species: braunii Phylum: Chlorophyta (green algae) Class: Chlorophyceae Order: Tetrasporales Family: Dictyosphaeriaceae Genus: Botryococcus Species: braunii Referred to as Botryococcus braunii or Bb

Morphology of Bb B : cell arrangement C : single cell and colony D : net shaped colony E : single cell F : single cell G : funnel shaped cup harbours oil H : single cell and colony sheets I : a view of cross cut After Qin

SQC Electron micrograph of Bb

SQC Biology of Bb Hydrocarbon content: 30-86% dry weight - General Formula C n H 2n-10 Biomass doubling time : 3.5 d Hydrocarbon content: 30-86% dry weight - General Formula C n H 2n-10 Biomass doubling time : 3.5 d After Qin

SQC Physiology of Bb Young algae: green (less oil) Producing straight chain olefin hydrocarbon (C23 – C31) Old algae: brown or red (more oil) Producing both straight and branched chain olefin hydrocarbon (C30 – C37) Young algae: green (less oil) Producing straight chain olefin hydrocarbon (C23 – C31) Old algae: brown or red (more oil) Producing both straight and branched chain olefin hydrocarbon (C30 – C37) After Qin

SQC Ecology Occurs in freshwater lakes ( Wake & Hillen, 1981 )  Tarago Reservoir, (2.1 km 2 - Vic)  Green Lake (1 km 2 - Vic)  Darwin River Reservoir, (4000 ha - NT) Production in Darwin River Reservoir : 500 kg/ha (Wake & Hillen,1980 ) Occurs in freshwater lakes ( Wake & Hillen, 1981 )  Tarago Reservoir, (2.1 km 2 - Vic)  Green Lake (1 km 2 - Vic)  Darwin River Reservoir, (4000 ha - NT) Production in Darwin River Reservoir : 500 kg/ha (Wake & Hillen,1980 ) Wake & Hillen 1980,1981

SQC Green Lake, Vic After Hillen

SQC Devilbend Reservoir After Hillen

SQC Shoreline Accumulation NT After Hillen

SQC After Hillen

SQC After Hillen

SQC Problems in Water Supplies After Hillen

SQC Dessiccated Coorangite After Hillen

SQC The impacts of temperature, light and salinity on the growth of oil- rich green alga Botryococcus braunii RIRDC Research Grant – 2003/4 SQC

Objectives To Understand and Determine the Environmental Tolerance To Demonstrate a Successful Culture Method To Examine the Link Between Oil Content and Dominant Environmental Factors Research Objectives SQC

Strains of B. braunii for research. China 1 strainChina 2 strain CCAP 1 strainCCAP 2 strainNIES strain After Qin

SQC AusIndustry REDI Grant Scale up and Trial the Production of Biohydrocarbons from Botryococcus braunii for Commercialisation SQC

Benefits of Renewable Biodiesel from Bb  A Renewable, Sustainable Fuel  Economic Gain for Australia Through:  Import Replacement  Carbon Credits  A profitable business with high product demand  A Renewable, Sustainable Fuel  Economic Gain for Australia Through:  Import Replacement  Carbon Credits  A profitable business with high product demand SQC

Thank you for having me! SQC