1 hectare of algae can produce up to 47,000 liters of biofuel while absorbing atmospheric CO₂.
Algae is an ideal source for biofuel because because it grows much faster and produces more oil than terrestrial plants.
Like houseplants, algae require water, sunlight, a few nutrients, and carbon dioxide from the air. They grow prolifically and accumulate large amounts of oil when they experience environmental stress.
A hectare of soybeans typically produces only about 500 liters of oil each year, whereas a hectare (2.5 acres) of algae growing in a shallow pond can easily generate 9,000 liters of oil—and perhaps as much as 47,000 liters annually. That makes algae many times more productive than oil palms, the most oil-rich source of biodiesel now in use.
Currently the cost of algae-derived biofuel falls between $3 and $9 per liter, but advances in harvesting and dewatering techniques could make it an economical alternative to fossil fuels and other biofuels.
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