Genetic engineering company Evogene Ltd. (TASE:EVGN) reports that its castor oil plant-based biofuel product is suitable in composition and chemistry as a raw material for the production of bio-jet fuel. Evogene's US subsidiary is collaborating with US space agency NASA on the project to create jet fuel from plant oils.
The tests of the product were conducted by Honeywell International Inc. Co. (NYSE: HON) petrochemical and refining unit UOP LLC, which is now developing a range of biofuels for various uses. UOP is Evogene's partner in the NASA contract. The findings found that the castor oil plant-based bio-jet fuel was equivalent to international standards for alternative aviation fuel made from synthesized hydrocarbons, which could replace jet fuel refined from oil.
Evogene added that there are not yet any international standards approved for bio-jet fuel as aviation fuel, but on the basis of public reports, it believes that a standard will be established late this year or in early 2011.
Evogene was spun off from drug candidate discovery company Compugen Ltd. (Nasdaq: CGEN; TASE: CGEN), which still owns 3.9% of the company. In 2008, Monsanto Company (NYSE: MON) invested in Evogene, and currently owns 11% of it.
Evogene's share price rose 4% in morning trading to NIS 13.55 giving a market cap of NIS 402 million.
Published by Globes [online], Israel business news - www.globes-online.com - on July 7, 2010
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