PERTH, Australia, Jan. 14, 2013 /PRNewswire/ -- Algae.Tec (ASX:
AEB, OTCQX: ALGXY) today announced approval from the Australian
Government for an AU$12.15 million cash refund on Australian and
overseas development expenditure for the financial year
30 June 2012 to 30 June 2015.
The terms of the payment allow for an initial AU$27 million
spend on Algae.Tec technology developments, of which the Australian
Government will reimburse 45% or AU$12.15 million. The approval is
to support the funding of at least three algae bioreactor
facilities in Australia,
Asia and the USA. The refund will be paid in cash to the
Company following expenditure.
Expenditure additional to the initial budget of AU$27 million
will also be eligible for further funding grants.
The Algae.Tec enclosed bioreactor technology takes waste C02
from power and manufacturing facilities and uses it to grow
valuable algae oil for transport fuels.
The tax offset payments, called R&D Tax Incentives, are
awarded and managed by the Australian Government entity AusIndustry
and are designed to provide business with a "more predictable, less
complex," financial support structure.
Algae.Tec Managing Director, Peter
Hatfull said the Company had applied for the approval last
year as part of a range of attractive financing options available
for the Company's growth plans.
"It was a rigorous process involving a complete review of our
technology and global expansion plans," said Hatfull.
"We see this as a real endorsement of our technology and
strategic direction, and we are very pleased to have the support of
the Australian Government's AusIndustry.
"This is excellent news for the Company and our Australian and
international investors."
About Algae.Tec www.algae-tec.com
Algae.Tec Ltd, founded in 2007, is an Australian advanced
renewable oil from algae company that has developed a high-yield
enclosed algae growth and harvesting system, the McConchie-Stroud
System. The Company has offices in Atlanta, Georgia and Perth, Western
Australia.
The Algae.Tec bioreactor, an enclosed modular engineered
technology, is designed to grow non-GMO algae on an industrial
scale, and produce biofuels that replace predominantly imported
fossil fuels.
The technology has demonstrated exceptional performance in
productivity, product yield, carbon dioxide sequestration, and
production unit footprint requirements versus agricultural crops
and other competitive algae processes in the industry.
Algae.Tec offers a profitable solution for carbon emitting
companies and industries seeking carbon dioxide reduction
technologies. The algae growth system is an alternative to Carbon
Capture.
The Algae.Tec solution is less than one tenth the land footprint
of pond growth options, while its enclosed module system is
designed to deliver the highest yield of algae per hectare, and
solves the problem of food-producing land being turned over for
biofuel production.
Media contact:
DMG
TEAM@DMGPR.COM
Australia +61-2-8006-0424
USA +1-650-798-5238
SOURCE Algae.Tec