Regional partnership to develop algal biofuels gets backing of San Die...(venture capital funding applied toward p...)

In addition, the analysis concludes, the company receiving this funding and its employees would be expected to make local purchases, which combined, would generate an additional $14 million in economic activity and $4.1 million in payroll for 110 employees.

Last year, venture capitalists invested $175.9 million in the United States to develop biofuel from microalgae, according to Biofuels Digest. The industry publication said $100-million of that amount went to Sapphire Energy, a San Diego biotech company that is working to convert algae to an environmentally friendly biofuel for use in automobiles and airliners.

In the Imperial Valley, where SD-CAB scientists will grow large quantities of algae and which has one of the highest rates of unemployment in the nation, the algal biofuels effort is expected to generate additional jobs and economic activity.

"Algae and biofuels have been identified as one of the key emerging industries in the region," said Timothy Kelley, President and CEO of the Imperial Valley Economic Development Corporation. "We feel that the addition of Imperial Valley will allow the algae industry to attain full production earlier than expected. With the combination of our natural resources and available land, the Imperial Valley is the ideal location for algae as an industry."

"Algae production can occur at every level in Imperial Valley from the biosciences to the production and processing of algae for bio-fuels and food products," added Kelley. "With the abundance of available land, there is a potential to take pilot projects to full-scale commercial operations. This will create jobs and diversify our economy. We welcome the production of algae in the valley, which will
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