China Guodian is one of China’s largest power companies with more than 100 power stations. The joint venture with Seambiotic will utilize Seambiotic’s technology for the cultivation of a number of types of microalgae for use in the animal and fish foodstock and nutraceutical industries.

The first commercial farm of 12 hectares is expected to cost $10 million, will be situated in Penglai, utilizing carbon dioxide from the Penglai power station; it is planned to become operational during 2010. The agreement contemplates additional farms to be established based upon a pre-agreed timetable.

Seambiotic was founded in 2003 in cooperation with the Israel Electric Corporation (IEC) to grow and process marine microalgae for the nutraceutical and biofuel industries while acting as a carbon capture technology. Seambiotic’s research efforts are performed at a pilot plant at IEC’s power station near Ashkelon, Israel, where various species of marine microalgae have been successfully cultivated using the power station’s CO₂ emissions released directly from their smokestacks; the microalgae are in turn sold into the nutraceutical market or used as feedstock for animal or fish and biofuel.