San Diego Business Journal

Sapphire Energy, Phillips 66 Enter Joint Development Agreement

Tuesday, December 10, 2013

San Diego-based Sapphire Energy Inc. and Phillips 66 announced a strategic joint development agreement aimed at advancing the commercialization of algae crude oil.

The companies will expand Sapphire Energy’s current testing programs in an attempt to further validate that so-called “green crude” can be refined in traditional refineries and meet the Environmental Protection Agency’s certification requirements under the Clean Air Act, Sapphire said.

Once testing is finished, the companies will work together to complete the EPA’s certification process to register a new fuel product, Sapphire said. The goal is to complete fuel certifications to make Sapphire Energy’s renewable green crude ready for wide-scale oil refining.

“We believe this joint development project with Sapphire Energy could produce a refinery-ready, sustainable product for Phillips 66, creating yet another exciting opportunity in this rapidly changing energy landscape,” said Merl Lindstrom, vice president of technology for Phillips 66 (NYSE: PSX).

SDBJ Staff Report