France-based energy major Total has reaffirmed its partnership and financial backing to the technology of US renewable products company Amyris, the companies said on Tuesday.
Total dedicated an $82 million funding budget over the next three years exclusively for the deployment of Biofene, Amyris's renewable farnesene, for production of renewable diesel and jet fuel.
Upon completion of the research and development program, Total and Amyris intend to form a joint venture company that would produce and market renewable diesel and/or jet fuel, as well as non-exclusive rights to other specialty products, the companies said.
Today we reaffirm our strategic relationship with Total to achieve our joint development and commercialization objectives for renewable diesel and jet fuel, said John Melo, CEO of Amyris.
In addition to Amyris' continued development of jet and diesel businesses in Brazil independently, this enhanced collaboration provides a global platform for the future growth in fuels under a future joint venture with Total, Melo added.
With this refocused partnership, we'll reach our business objectives, expand our ability to become a key supplier in renewable fuels and better meet our customers highest demands, said Philippe Boisseau, president of supply/marketing and a member of Total's executive committee.
Under Tuesdays announcement, Total agreed to fund $30 million during the third quarter of 2012. Additional funding will be triggered by Total at annual decision points in mid-2013 and 2014, the company said.
Amyris and Total have had a successful research partnership since 2010 and we continue, through this amended collaboration, to pursue our shared strategy of building the world's leading renewable technology platform, said Dr. Arthur D. Levinson, chairman of the board of directors of Amyris.
Today's agreement deepens this long-term partnership and enables Amyris to continue investing in its core technology while accessing the market know-how and scale-up capability of Total.