OPX Biotechnologies

Overview of the Nominee

OPXBIO is a Colorado-based company that focuses on “good chemistry” to create bio-based products that are high in value to customers. These bio-based products are created by combining science (biochemistry) and technology i.e. its own developed technology called EDGE^TM (Efficiency Directed Genome Engineering). OPXBIO was founded in 2007 and has since developed two high impact bio-based products; BioAcrylic, a renewable chemical product ready to replace the use of petro-acrylic in the manufacturing industry, and bio-processed diesel fuel developed to replace the conventional bio-diesel fuel.

Why/How is this innovative?

Unlike the conventional biofuel production, where heavy dependencies on land and commodity crops such as corn, sugarcane, and oil palm exist, OPXBIO’s bio-processed diesel fuel depends on the conversion of the renewable source of Hydrogen and Carbon Dioxide directly into biodiesel. The production of biodiesel by bypassing photosynthesis is certainly innovative.

Who is the organization?

Headquartered in Boulder Colorado, OPX Biotechnologies, Inc. (OPXBIO), was founded in 2007 and is currently run by the Chief Executive Officer and President, Charles Eggert and the Chief Scientific Officer as well as the Co-Founder, Michael Lynch. Investors supporting the company include Mohr Davidow Ventures, Braemar Energy Ventures, Altira Group and X/Seed Capital.

The company’s main focus is the development of bio-based products such manufacturing of renewable bio-based chemicals and fuels by utilising its proprietary technology called the Efficiency Directed Genome Engineering, better known as EDGE^TM.

Being driven by the objective to develop renewable bio-based products, the company, since its inception, has developed to key products, the first being the BioAcrylic. BioAcrylic is the first ever renewable chemical product that has the potential to replace our excessive dependency on petro-acrylic (which is hydrocarbon-based). The production cost of BioAcrylic is effectively 25 percent lower than production cost of petro-acrylic and the use of BioAcrylic is projected to reduce greenhouse gas emissions by a massive 75 percent. The second, which appear to be the marquee product for the company is the sustainable biodiesel production, which does not require plant material or land size of the conventional biodiesel. The biological approach of efficiently extracting energy from Hydrogen and use it for converting Carbon Dioxide into liquid transportation fuel, the bio-based diesel. The production of this bio-based product is at a fraction of the cost of conventional biodiesel.

What is the core idea or technology?

The core idea of the innovative people at OPXBIO is to develop a sustainable fuel production, as to reduce our dependencies either on hydrocarbon, or the conventional biodiesel.

The idea revolves around the use of resources that are readily available to us, such as the renewable Hydrogen i.e. from water and the ever-present Carbon Dioxide.

This idea involves the conversion of Hydrogen and Carbon Dioxide into a renewable form of biodiesel, with a safe and reusable by-product; water. The process utilises OPXBIO genomic technology; the Efficiency Directed Genome Engineering (EDGE^TM), and the National Renewable Energy Laboratory’s (NREL) micro-organisms for Hydrogen utilisation and carbon fixation. This allows for rapid metabolic engineering of the renewable biodiesel.

The bio-chemical production of the bio-based diesel will help remove our dependency on the conventional production of biodiesel as a source of “renewable” fuel where the need for plant materials and vast usage of land for harvesting these plants will be eliminated.

What makes it unique?

What makes the idea developed by OPXBIO unique is simply the fact that it redefines the meaning of “bio” in “bio-diesel”. While we are all familiar with the conventional form of biodiesel where it refers to a vegetable oil or animal fat-based diesel fuel consisting of long-chain alkyl (methyl, propyl, or ethyl) and is typically made by chemically reacting lipids such as vegetable oil or animal fat with alcohol. The idea by OPXBIO on the other hand, utilising the expertise of biochemists, bio-chemically producing a similar form of biodiesel, but utilising renewable sources, without the need of vast amount of land for crops production and at a fraction of the cost.

Although the conventional biodiesel has always been categorised as a renewable form of fuel for energy production, it has always been criticised for its need of huge amount of crops in its production. In other words, juries are still out as far as biofuel being fully renewable.

With OPXBIO bio-chemically produced biodiesel, there is no doubt that it is a renewable form of fuel for energy production. Its use of Hydrogen; readily available in the form of water, and Carbon Dioxide; a form of gas that is ever-present in the atmosphere, makes this technology a sustainable form of fuel for energy production.

There is no such technology of its form at present.

Why is it important?

Two key factors make this product by OPXBIO very important.

Firstly, the idea of producing biodiesel by getting around photosynthesis itself makes it very important. What this simply means is that, this novel approach will avoid all the inefficiencies of using photosynthesis and will not require the accumulation of plant material, sugar production, vegetable oil or large amounts of land or water to collect energy from sunlight. The successful production of billion of gallons of this new form of biofuel production will eliminate the competition for land or commodity crops for food and animal feed that have been affecting the price of grains (and other related food products), particularly in the United States.

Secondly, the successful production of this new form of biodiesel will first and foremost, eliminate our dependency on hydrocarbon-based diesel, and secondly our need for the conventional form of biodiesel. The need for us to get away from the use of hydrocarbon-based diesel is well documented, while our ability to utilise the new bio-chemically developed biodiesel and move away from the conventional biodiesel will offer us the opportunity to exploit the resources (required in producing the conventional biodiesel) in various other beneficial ways e.g. feed the poor, better usage of land, etc.

How important do you think this idea is?

I personally think that the idea brought forward by OPXBIO is essential in shaping the future of the global energy mix. The advancement of technology brought by the idea of this new form of biodiesel will help promote our use of renewable energy sources, while eliminating the geographical barriers and the food supply and demand distortion that the conventional form of biodiesel might have caused.

From the technology point of view, OPXBIO’s Efficiency Directed Genome Engineering (EDGE^TM) technology has open new doors for the future of biochemistry. No longer will we have to rely on non-renewable sources or materials such as hydrocarbon and crops to create product such as the petro-acrylic and biodiesel for our use.

From the geo-economical perspective on the other hand, this new form of biodiesel brought forward by OPXBIO will impact positively on the food supply and demand aspect, as well as offers the opportunity for better land use, particularly in countries where the conventional biodiesel production is substantial such as in Brazil or the United States. The use of crops as the source of fuel production can be slowly phased out, hence nullifying the unhealthy demand for crops, which have caused the increase in food price over the years. Food customers would no longer have to compete with biodiesel producers for the same crops. The degradation of land quality as a result of land use for biodiesel crops is well documented. These lands were poorly cultivated and are usually used with short term plan to produce crops enough to produce biodiesel. Hence, a vast unproductive and poorly cultivated land have been left behind, which can no longer be used for agriculture. With a move towards the new form of biodiesel (without the dependency on crops), the need for land-clearing will be reduced and land can be effectively and efficiently used for agriculture.

Last but not least, from the commercial perspective, the low cost of producing this new form of biodiesel is essential. Like most new form of renewable source of energy, the biggest stumbling block has always been the high production cost. OPXBIO technology allows for these biodiesel be produced at much cheaper than the production cost of the conventional biodiesel, which puts it in a positive commercial position and makes it an interesting investment opportunity, which also means that it carries better potential to succeed.