Monday, 5 December 2016
Inside International Industrials Article about BioLargo and BioLargo Maritime Solutions
02 December 2016 06:15 PM | Confirmed | IIICORP
BioLargo Inc is currently working on the construction and design of its commercial beta unit for its clean water technology called the AOS “advanced oxidation system”, ahead of a planned commercial launch in 2017. The company has so far received support in the form of 16 Canadian provincial and federal grants, according to BioLargo CEO Dennis Calvert who added that more are in the works. It has recently been awarded its first US grant that is being finalized now, he said.
The California-based company is in the midst of commercializing its potentially disruptive technology, the AOS “advanced oxidation system”, which has many industrial applications such as for the flowback water in the oil and gas industry, maritime transport applications such as for the ballast water treatment of ships as well as residential and farming applications.
The first beta of the filter will be deployed in food processing operations facing high concentrations of salmonella. In this application, the AOS was previously demonstrated to disinfect water 100 times more successfully and 30 times faster than chlorine- based solutions at a much lower operational cost of competing technologies.
The alpha unit was officially showcased in August by researchers at the University of Alberta. When attempting to remove or destroy soluble organics such as solvents or acids, the AOS demonstrated that similar efficiency to the best existing technologies can be achieved but the disinfection being realized ten times faster and at less 1/20th the energy of the competition. Whereas most systems typically have an energy cost standing anywhere between USD 100-2000/acre ft, BioLargo’s system only required 5 cents per acre foot of energy.
Yesterday, the company announced that its subsidiary BioLargo Maritime Solutions, Inc. www.biolargomaritime.com had established a working relationship with Chicago Bridge & Iron (CB&I) to receive support implementation and independent performance verification for its various technical applications, including its AOS technology. Calvert added, “The commercial opportunity for the AOS extends well beyond the maritime industry and will likely include a variety of energy and water related opportunities including oil and gas applications, as well as environmental remediation and produced water recycling”
He said that his company is currently in discussions with a number of major companies with whom it has a history of collaboration, adding, however that “before the AOS goes to the market in either ballast or oil and gas markets, there is still important scale-up engineering work left to be done to suit either application”.
Calvert noted that he sees a very wide marketplace for ballast water treatment applications across all types and sizes of ships.
Spending on ballast water treatment systems is expected to increase to more than USD 45.6bn by 2019, according to a 2015 IIICorp report. The International Maritime Organization (IMO) adopted new rules in 2004 requiring shippers to treat ballast water to prevent the spread of non-indigenous marine species to new environments. The IMO regulations went into force in September after Finland signed on to it. Starting September 2017, all vessels above 400gt in deep-water will have to be equipped with ballast water treatment systems. Calvert said that he still expects years before domestic regulations get passed and adoption is enforced on a widespread basis.
Competition to get treatment systems approved by the IMO is fierce, with over 65 competitors approved by the IMO. UV and electro-chlorination systems are leading the way as the currently preferred technologies, but Calvert believes the company’s advanced oxidation technology yields it an advantage over others either due to an advantage in either CAPEX cost, OPEX cost (low energy), or technical scope.
Calvert also claimed the company sees ample opportunities for safe drinking water applications in emerging economies in the future.
Listed on OTC Markets, Biolargo had Q3 2016 revenues of USD 0.16m and currently has a market cap of USD 67.92m.