French oil major Total (NYSE: TOT; TOTF.PA) announced Wednesday it will purchase a 17% stake in biofuel company Amyris, Inc. for an undisclosed amount.
Total and Amyris R&D teams will work together to develop new products and build biological pathways to produce and commercialize renewable fuels and chemicals, according to a company release.
The partnership combines Amyris’s platform for second-generation biofuel and its emerging Brazilian production capacity with Total’s industrial-scale know-how and access to markets.
Philippe Boisseau, president of Total Gas & Power, said: “This partnership is a milestone for Total, as we aim to become an important player in this domain."
Total also invested in biofuel company Coskata earlier this year.
Amyris filed for a $100 million IPO in April, though the timing has yet to be announced.
The company, which spun out of the University of California, Berkeley, modifies microogranisms–primarily yeast–to convert plant sugars into desired molecules. The company’s first product was an antimalarial drug. However, its grand scheme is to produce a "drop-in" biofuel that could replace, or be blended with gasoline without the infrastructure changes required for blending ethanol.
Amyris expects to commercialize its first renewable product starting 2011.
“Our partnership with Total represents a significant shift forward for Amyris,” said John Melo, CEO of Amyris. “Now, with Total, we have a powerful ally to help us bring that vision to scale and expand our horizons to new products and new technologies.”
Amyris operates laboratories and a pilot plant in California and a pilot plant and demonstration facility in Brazil.
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