Petrosun forms China subsidiary

U.S.-based PetroSun has formed a wholly owned subsidiary, PetroSun BioFuels China, to expand into the Chinese alternative fuels market. It has received a license to introduce the algae-to-biofuels technology in China. PetroSun BioFuels China will produce and market algae-based biodiesel and ethanol through agreements that will be announced shortly. The company plans to establish algae farms and algal oil extraction plants in Alabama, Arizona, Louisiana, California, Mexico and Australia during 2007-2008 and the oil product will be marketed as feedstock to existing biodiesel refiners. PetroSun said on its website that it planned to establish algae cultivation pods and extraction plants with a potential production capacity of 2.56 billion gallons of algal oil per year. (September 25, 2007)