NAWCAD Awards Contract to Produce Renewable Jet Fuel from Bio N-Butanol


Contract Issued to Albemarle to Process First Run of N-Butanol Into Jet Fuel

MOUNTAIN VIEW, Calif., March 20, 2012 /PRNewswire/—Today, the Naval Air Warfare Center Weapons Division (NAWCWD), China Lake announced a contract award to Albemarle Corporation, a leading specialty chemicals company, to complete its first biojet fuel production run based on bio n-butanol provided by Cobalt Technologies, a leading developer of next generation bio n-butanol. For this production run, Albemarle will use NAWCWD technologies to process Cobalt's bio n-butanol into renewable jet fuel at its Baton Rouge, La. processing facility.

"Our production run of Cobalt's bio n-butanol provides another attractive pathway to create sustainable jet fuel not only for the military, but eventually for commercial aviation," said Dr. Michael D. Seltzer, head of NAWCWD's Technology Transfer Program. "We are proud to be working in partnership with Cobalt and Albemarle to create this renewable jet fuel and we look forward to testing the end result."

Funded by the NAWCWD, this initial manufacturing contract by Albemarle kicked-off in February 2012. Upon completion, the resulting jet fuel will be tested by the U.S. Naval Air Warfare Center - Aircraft Division (NAWCAD) as a continuing process for military certification through the Department of Defense. Once this testing is completed, larger production runs will be undertaken to continue with flight testing.

"This is a significant milestone not only for our collective team, but for the greater industry looking to advance sustainable jet fuels," said Bob Mayer, CEO of Cobalt Technologies. "It has been a pleasure working closely with the U.S. Navy to advance to this stage of testing and we are very pleased with the selection of Albemarle as our processing partner, for its proven experience in custom manufacturing and strategic focus on sustainable chemistry."

Specifically, Cobalt converts non-food feedstock, like woody biomass, into renewable butanol for both chemicals and fuels, including jet fuel. The combined science team from Cobalt and the NAWCWD focused on scaling and optimizing the dehydration chemistry for the conversion of bio n-butanol to 1-butene, followed by oligomerization of the biobutene into jet fuel, based on a process developed at NAWCWD in China Lake, CA. Once the team completed its initial research, the search for a large-scale processing partner began, which resulted in the awarding of today's contract to Albemarle.

"We are excited to support the custom scale-up and processing for this advanced technology project as it aligns with our commitment to sustainability," said Tom Thomas, Division Vice President Fine Chemistry Services, Albemarle. "We are always looking for projects in which we can use our solutions based expertise to help address the world's most important environmental needs. We believe advancing biofuels and developing a renewable jet fuel is of great importance."

This initial production run is the first significant milestone under the Cooperative Research and Development Agreement (CRADA) signed between NAWCWD and Cobalt in 2010 to develop technology for the conversion of bio n-butanol into full performance jet and diesel fuels. This CRADA was made possible by the U.S. Federal Technology Transfer Act of 1986, which allows private organizations to access the expertise, capabilities and technologies of U.S. Federal laboratories to improve the economic, environmental and social well-being of the United States.

The development of cost-effective and sustainable sources of fuel for military use is a high priority for the U.S. Navy, which is aiming to cut the use of foreign-based fossil fuels in half by 2020. This summer, the Navy is planning on using the recent purchase of 450,000 gallons of biofuel for the Rim of the Pacific (RIMPAC) maritime exercise as part of the Great Green Fleet demonstration, a carrier strike group composed of nuclear ships, hybrid electric ships running biofuels and aircraft flying on biofuels. Additionally, by 2016 the Great Green Fleet will be fully deployed using 50/50 blends of biofuels for ships and aircraft.

About Cobalt Technologies

Cobalt Technologies is a leader in commercializing the production of bio n-butanol as a renewable chemical and fuel. N-butanol is a widely used industrial chemical found in paints, lacquers and other surface coatings, with a global market of over $5 billion. By producing low-cost bio n-butanol, Cobalt's unique technology enables the use of bio n-butanol as a platform molecule for the production of a broad array of fuels and chemicals, including jet fuel, bio-based plastics and synthetic rubber. Cobalt's technology platform offers a continuous process to efficiently convert diverse non-food feedstocks into biobutanol. Engineered to achieve low costs through its proprietary biocatalyst, advanced bioreactor and energy efficient design and the use of low-cost feedstock, Cobalt is making biobutanol and its derivatives a cost-effective substitute to petroleum-based chemical products.

Cobalt is based in Mountain View, Calif. Cobalt is backed by leading investors in the cleantech sector, including Pinnacle Ventures, Malaysian Life Sciences Capital Fund, VantagePoint Capital Partners, Parsons & Whittemore, Life Sciences Partners (LSP), @Ventures, Harris & Harris and Burrill and Company.

For further information, please visit www.cobalttech.com.

About Naval Air Warfare Center Weapons Division (NAWCWD)

NAWCWD is an organization within the Naval Air Systems Command (NAVAIR), dedicated to maintaining a center of excellence in weapons research and development for the Department of the Navy (DoN). The Research Division within NAWCWD has developed patent pending technology for converting bio-1-butanol to both full-performance jet and diesel fuels that can meet the stringent NAVY fuel specifications that provide our warfighter safety at sea with no sacrifice in performance.

For further information, please visit www.navair.navy.mil/nawcwd/index.html

About Albemarle

Albemarle Corporation, headquartered in Baton Rouge, La. is a leading global developer, manufacturer, and marketer of highly-engineered specialty chemicals for consumer electronics, petroleum refining, utilities, packaging, construction, automotive/transportation, pharmaceuticals, crop protection, food-safety and custom chemistry services. The Company is committed to global sustainability and is advancing its eco-practices and solutions in its three business segments, Polymer Solutions, Catalysts and Fine Chemistry. Corporate Responsibility Magazine selected Albemarle to its prestigious "100 Best Corporate Citizens" list for 2010 and 2011. Albemarle employs approximately 4,000 people and serves customers in approximately 100 countries. Albemarle regularly posts information to www.albemarle.com, including notification of events, news, financial performance, investor presentations and webcasts, Regulation G reconciliations, SEC filings, and other information regarding the Company, its businesses and the markets we serve.

Albemarle's Fine Chemistry Services (FCS) Division is an innovative, full-service provider of fine chemicals to the world's leading companies across the pharmaceutical, agrichemical, and specialty materials markets. Albemarle's FCS Division helps global customers successfully complete projects through a combination of proven chemistry expertise, world class process development, high-quality custom manufacturing and exceptional service. From innovative R&D to commercial-scale production, Albemarle's FCS Division delivers knowledge, experience, resources, creativity and service allowing its customers to move products to market faster. To learn more about Albemarle's FCS Division, please visit www.albemarle.com/fcs.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Albemarle Corporation's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report on Form 10-K.

Source: Cobalt Technologies

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