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Cellana joins with Galil Algae for production

June 24, 2014

cellanaCurrently, Cellana produces industrial-scale quantities of ReNew™ Algae – high-value algae biomass rich in omega-3 nutritional oils, proteins, fuel-grade oils, cosmetic-grade oils, acids, and polysaccharides, as well as other valuable micronutrients – at its Kona Demonstration Facility in Hawaii. At its kibbutz-owned facility in northern Israel, Galil Algae currently produces a variety of whole-algae products that are rich in omega-3s for aquaculture applications.

The main goal of the program contemplated by the letter of intent is to identify, cultivate, develop, and scale up algae strains with immediate commercial value, emphasizing the high-value components for existing aquaculture, mariculture, nutraceuticals, pharmaceutical, and/or cosmetic applications.

The starting points for the commercial venture are to include the existing high-omega-3 algae strains of Cellana and Galil Algae, as well as (1.) potential new and improved strains identified through non-GMO strain optimization techniques such as selective breeding and/or (2.) additional naturally occurring strains identified through bioprospecting.

In addition, the letter of intent contemplates Cellana and Galil Algae exploring the establishment of a new algae research and development center in northern Israel. This new R&D center, together with the R&D activities to be undertaken at Cellana’s facility in Hawaii, would be a focal point for the development and testing of new or optimized strains of high-value algae biomass.

“This newly-established relationship with Galil Algae is an extension and validation of Cellana’s core competencies in minimizing contamination in large-scale outdoor algae biomass production and in growing algae strains that naturally produce high-value Omega-3 oils,” said Martin A. Sabarsky, Chief Executive Officer of Cellana. “Many of the same strains that can be grown for aquaculture hatchery applications can also be good sources of crude oil for fuel applications, proteins for animal feed and foods, and oils and polysaccharides for cosmetic applications.”

“Galil Algae looks forward to partnering with Cellana, which has a world-class demonstration facility and proven contamination control strategies that can advance Galil Algae’s R&D and commercial programs,” said David Tsoran, CEO of Galil Algae. “Galil Algae’s high-performing, high-omega-3 algae strains fit very well with Cellana’s approach to commercial strain development and market focus within the nutraceutical and aquaculture sectors in particular.”

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