Announce Supply Agreement with Leading Global
Aquaculture Feed Supplier to Address Growing Demand for Sustainable
Omega-3s
TerraVia™ (Solazyme, Inc.) (NASDAQ: SZYM) (“TerraVia”) and Bunge
Limited (NYSE: BG) (“Bunge”) announced today that they are
launching native, whole algae DHA as a sustainable specialty feed
ingredient, prioritizing the aquaculture market, which currently
uses approximately $3 billion in omega-3 ingredients. DHA,
docosahexaenoic acid, is a long chain omega-3 fatty acid that is a
critical element for humans and animals, including fish, for
healthy growth and development.
AlgaPrime™ DHA will be produced at the companies’ SB Renewable
Oils joint venture facility in Brazil, where full product scale-up
was reached in late 2015. The joint venture partners will act as
exclusive distributors for AlgaPrime™ DHA. Product sampling to
global aquaculture feed producers has taken place over the last
several months.
TerraVia and Bunge also announced that they have reached a
definitive commercial supply agreement with one of the world’s
largest aquaculture feed suppliers. Terms of the agreement were not
disclosed. Under the supply agreement, AlgaPrime™ DHA is slated to
begin incorporation into fish feed for salmonids in the July-August
2016 timeframe.
“We’re excited to build on our experience in the food and feed
ingredients industries to bring a new, sustainable and value added
source of DHA to the market at the quality, cost and scale the
global aquaculture industry needs,” said Bunge Limited CEO Soren
Schroder.
“AlgaPrime™ DHA is our first major new product from the expanded
joint venture with Bunge and could be a real game changer in
keeping our oceans healthy by offering a non-marine based,
sustainable source of omega-3s to help address the growing ‘fish
in, fish out’ problem today. It provides a far more sustainable
non-fish based source of DHA to help maintain healthy oceans while
improving the nutritional value of seafood for our families,” said
TerraVia CEO Jonathan Wolfson.
Long chain omega-3s such as DHA and EPA (eicosapentaenoic acid)
are critical inputs used extensively in aquaculture feed, with fish
oil and meal as their main sources. Aquaculture is one of the
fastest growing food production systems in the world, a market that
is estimated to reach $200 billion annually by 2020. This growth is
helping to drive increasing demand for long chain omega-3s,
particularly as global supplies of the traditional sources, fish
oil and meal, are under serious and increasing pressure from
overfishing, quotas and rising demand for human and animal
nutrition.
AlgaPrime™ DHA provides a sustainable and efficient source of
DHA that can be produced at high volumes to address increasing
global demand without endangering fish stocks. About 1 million tons
of omega-3 rich fish oil is produced annually for aquaculture,
animal feed and human nutrition. To meet this need, today large
quantities of wild fish are caught and processed to extract the
fish oil. The demand for omega-3s is growing, but the availability
of omega-3s from wild caught ocean fish is limited in nature. Wild
fish and their prey naturally consume microalgae as their key and
original source of DHA, making AlgaPrime™ DHA an excellent
replacement for fish oil or meal.
“Aquaculture is becoming an increasingly important contributor
to the global food system. To meet the continuing growth in demand
for fish oil and fish meal, sustainable alternatives are needed,”
said Piers Hart, Aquaculture Policy Officer, World Wildlife Fund,
UK. “We are eager to see sustainable sources of omega-3 rich oils
come to market at scale and reduce pressure on scarce marine
resources. The high yield and potentially reduced environmental
footprint of algae products produced at SB Renewable Oils in Brazil
could make this a more sustainable source of fish feed
ingredients.”
The SB Renewable Oils facility embodies the principles of
sustainable production to produce algae-based products with low
carbon, water and land use impacts. This is in part enabled by the
use of Bonsucro®-certified sugarcane as the feedstock, and the
joint venture partners are in the process of securing certification
against the Chain of Custody standard. Bonsucro® is a
multi-stakeholder organization that sets standards for the
sustainable production of sugar and sugar-derived products at each
link of the supply chain, including cultivation, processing and
transport.
In addition, sugarcane waste material (bagasse) is an efficient,
renewable source of energy and is used to generate electricity and
steam that powers the sugar mill and fermentation facility, as well
as electricity for general use.
For more information and commercial inquiries, contact us at
contact@AlgaPrime.com.
About TerraVia™
TerraVia™ (Solazyme, Inc.) is a next generation food, nutrition
and specialty ingredients company that harnesses the power of
algae, the mother of all plants and earth’s original superfood.
With a portfolio of breakthrough ingredients and manufacturing, the
Company is well positioned to help meet the growing need of
consumer packaged goods and established and emerging food
manufacturers to improve the nutritional profile of foods without
sacrificing taste, and to develop select consumer brands. The
Company also manufactures a range of specialty personal care
ingredients for key strategic partners. Headquartered in South San
Francisco, the Company’s mission is to create products that are
truly better for people and better for the planet. For additional
information, please visit TerraVia’s website
at www.terravia.com.
About Bunge Limited
Bunge Limited (www.bunge.com, NYSE: BG) is a leading global
agribusiness and food company operating in over 40 countries with
approximately 35,000 employees. Bunge buys, sells, stores and
transports oilseeds and grains to serve customers worldwide;
processes oilseeds to make protein meal for animal feed and edible
oil products for commercial customers and consumers; produces sugar
and ethanol from sugarcane; mills wheat, corn and rice to make
ingredients used by food companies; and sells fertilizer in South
America. Founded in 1818, the company is headquartered in White
Plains, New York.
Solazyme Forward Looking Statements
This press release contains certain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995, including statements that involve risks and uncertainties
concerning: the timing and cost of production and sales of DHA and
its environmental impact; the ability of algae-based DHA to address
demand for use in fish feed; the ability of algae-based DHA
production to help maintain oceans and the nutritional value of
seafood; future product trials; who will market and distribute the
DHA product; continued expansion of the aquaculture industry and
demand for omega-3s; market acceptance of products; and the ability
to maintain relationships with partners. When used in this press
release, the words "will", "expects", "intends" and other similar
expressions and any other statements that are not historical facts
are intended to identify those assertions as forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Any such statement may be influenced by a
variety of factors, many of which are beyond the control of the
companies, that could cause actual outcomes and results to be
materially different from those projected, described, expressed or
implied in this press release due to a number of risks and
uncertainties. Potential risks and uncertainties include, among
others: Solazyme’s limited operating history; its limited history
commercializing products; implementation risk in deploying new
technologies; its limited experience in constructing, ramping up
and operating commercial manufacturing facilities; delays related
to start-up and ramp-up of production facilities; commercial risk
in deploying new products; its ability to successfully develop and
commercialize new products; its ability to sell products;
successful product trials by customers and market acceptance and
adoption of products by end-users; the ability to obtain requisite
regulatory approvals for products; its access, on favorable terms,
to any required financing; and availability of consistent, reliable
power and steam. Accordingly, no assurances can be given that any
of the events anticipated by the forward-looking statements will
transpire or occur, or if any of them do so, what impact they will
have on the results of operations or financial condition.
In addition, please refer to the documents that Solazyme, Inc.
files with the Securities and Exchange Commission, including its
Quarterly Reports on Forms 10-Q and its Annual Report on Form 10-K,
as updated from time to time, for a discussion of these and other
risks. You are cautioned not to place undue reliance on
forward-looking statements, which speak only as of the date of this
press release. Solazyme is not under any duty to update any of the
information in this press release.
Bunge Limited Cautionary Statement Concerning Forward-Looking
Statements
This press release contains both historical and forward-looking
statements. All statements, other than statements of historical
fact are, or may be deemed to be, forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements are not based on
historical facts, but rather reflect our current expectations and
projections about our future results, performance, prospects and
opportunities, including the products and transactions discussed in
this press release. We have tried to identify these forward-looking
statements by using words including “may,” “will,” “should,”
“could,” “expect,” “anticipate,” “believe,” “plan,” “intend,”
“estimate,” “continue” and similar expressions. These
forward-looking statements are subject to a number of risks,
uncertainties and other factors that could cause our actual
results, performance, prospects or opportunities to differ
materially from those expressed in, or implied by, these
forward-looking statements. The following important factors, among
others, could affect our business and financial performance:
industry conditions, including supply, demand and prices for the
products described in this press release, as well as agricultural
commodities and other raw materials and products used in our
business; fluctuations in energy and freight costs and competitive
developments in our industries; the effects of weather conditions
and the outbreak of crop and animal disease on our business; global
and regional agricultural, economic, financial and commodities
market, political, social and health conditions; the outcome of
pending regulatory and legal proceedings; our ability to complete,
integrate and benefit from acquisitions, dispositions, joint
ventures and strategic alliances; our ability to achieve the
efficiencies, savings and other benefits anticipated from our cost
reduction, margin improvement and other business optimization
initiatives; changes in government policies, laws and regulations
affecting our business, including agricultural and trade policies,
tax regulations and biofuels legislation; and other factors
affecting our business generally. The forward-looking statements
included in this release are made only as of the date of this
release, and except as otherwise required by federal securities
law, we do not have any obligation to publicly update or revise any
forward-looking statements to reflect subsequent events or
circumstances.
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TerraViaCorporate Communications:Genet
Garamendipress@terravia.comorBunge LimitedSusan
Burnssusan.burns@bunge.com