hello everyone welcome

i'm annie roswitz the communications

advisor for the f3 future fish feed team

i'd like to begin by introducing dr

kevin fitzsimmons

chair of the f3 team who will be

moderating today's webinar

as many of you may know kevin is a

professor at the university of arizona

the former president of the world

aquaculture society

and currently leading an eu project on

sustainable aquaculture in myanmar

before we get started i would also like

to let you know

that if you have any questions during

the webinar you can type them into the q

a box at the bottom of your screen and

we will address

them during the q a session following

the panelists presentations

with that i'll hand it over to kevin

thank you annie appreciate it i want to

again

welcome everyone and thank you for

joining us today for algae and

seed oils in aquafeeds this is the

fourth in

our series of monthly f3 webinars that

we're hosting on the latest advances in

aquaculture feed ingredients to replace

fish meal and fish oil

and just as a reminder why do we need

these replacements

that's because wild fish are

a declining resource and without

replacement

aquaculture is going to be bottlenecked

and cannot grow to feed a world of nine

billion people

but replacements are around the corner

our seminars feature

the most promising ingredients so that

aquaculture can

continue to grow sustainably okay

um so for our final ingredient focus

webinar we've invited key players from

the omega-3

oil market because of the declining and

fluctuating supply of wild-caught forage

fish

the aquafeed industry needs new sources

of omega-3 rich dha and epa

to secure a more sustainable supply

chain

algae and seed oils are on the cutting

edge of innovation in this field

both macro and microalgaes as well as

some genetically engineered terrestrial

plants

are quickly stepping up to supply both

the fish feed and human nutrition

markets

with omega-3 oils

we look forward to hearing more about

their progress so let's get started

first we've got dr david hasselbeck

who's the ceo

of global algae innovations david

founded global algae in 2013 to develop

algae solutions for global dilemmas

the company is pre-commercial for

aquaculture feed ingredients

and is currently in the design phase for

160-acre farm

david also founded global algae

equipment

which is currently selling its first

product the zobe harvester

which improves algae harvesting and

dewater technology

david received his phd in chemical

engineering from the university of

california san diego

and has over 30 years experience in

chemical and biological research and

development

we're thankful to have david's expertise

on our panel today

so alex let's go ahead with david please

hi i'm dave hazelbeck ceo of global

algae innovations

thank you for the opportunity to share

our vision for creating an abundant

and sustainable world and its

implications for aquaculture feeds

we call this the algae revolution

because algae farming will fundamentally

change our agricultural paradigm

currently our forests grasslands rivers

watersheds oceans and even climate are

being strained to the breaking point in

order to feed the world

the algae revolution involves a

transformation in agriculture

where in the future the majority of our

animal and aquaculture feed is produced

by algae farms

this will create a world in which there

is plenty of land water and ocean

resources

for food and for natural habitats

what we call an abundant and sustainable

world

global algae innovations was founded in

2013

with the vision to harness the

unparalleled productivity of algae

to provide food and fuel for the world

dramatically improving the environment

economy and quality of life for all

people

in order to achieve this vision we

needed to move

algae from producing high value niche

products

to producing commodities in the food and

feed markets

we've developed algae farming methods to

produce an algae

that's about 40 protein and 45

lipid we separate this algae

into two primary product streams

a meal which is about 70 percent protein

it goes into food it can be used for

food and feed ingredients

and an oil which we fractionated into

three main products omega-3s

which would go into feed markets

unsaturated

oils which would go into consumer

products and polymers

and saturated oils which we used to make

jet fuel

diesel fuel and gasoline

this is a photograph of our current

research and development farm

it has eight acres of raceways and the

largest one is about three acres

conventional algae production technology

is 10 times too expensive for

commodities

so we have spent the past seven years

developing radical innovations

in every process step to reduce the cost

of algae farming

for products in the one to two dollar

kilogram range

we have achieved the goals of this

technology development and are currently

working to scale up the

this technology suite

achieving commodity pricing requires

both the technology

and algae farming at commercial scale

we're we're envisioning a two-step scale

up

from our current eight acre facility to

160 acres

and then to a 5 000 acre farm

this will reduce the cost from the

current high value products at twenty

dollars a kilogram

down to about five dollars a kilogram at

farm 160

and finally competing with commodities

at full commercial scale

we've completed the initial research and

development and we're currently in the

design

phase for this scale-up and are working

to arrange the financing

to build and operate the facility

our current r d farm is located in

hawaii

farm 160 is being built in california

we then plan to expand to a 5 000 acre

facility in the u.s

followed by rapid and parallel expansion

throughout the world anticipate building

farm 160

in 20 and operating it 2022

then moving to build farm 5000 in 2024

followed by a rapid parallel licensing

and franchising to expand

number of acres in algae farming to

achieve a million acres

by 2030.

i began this talk by describing an

abundant sustainable world

so how does algae farming create such a

world

the key is productivity these two graphs

look at protein yield

it's functional land endpoint inputs and

water

and as a function of water inputs the

first graph is tons of protein produced

per hectare per year

you can see what's been achieved through

the green revolution over the past 60

years

about a three-fold imp product

improvement in productivity

algae farming jumps that another 40-fold

similarly looking at water this is grams

of protein produced per liter of water

and comparing algae to many of the other

sources of protein

you can see that again algae is

dramatically

higher productivity than any other

source of protein

this level of productivity increase is

really unprecedented in the history of

the world

and it's exactly what we need today to

meet our environmental

and societal dilemmas as an example

let's look at deforestation

despite tremendous international efforts

to reduce deforestation rates

we still have rapid deforestation

occurring

around the world that's because of the

many societal benefits that come

from the farming or palm oil plantations

that lead to this deforestation algae

addresses that root cause by producing

more

protein more oil and more revenue

than conventional farms with a fraction

of the water and land inputs

as a result we obtain all of the

societal benefits

while stopping and reversing

deforestation

this is particularly beneficial in

southeast asia

for algae farms to supply oil to replace

palm oil plantations will have a high

protein meal and omega-3 co-products

that will support a sustainable and

growing

aquaculture industry

thank you again for the opportunity to

share a little bit about our vision

for creating an abundant and sustainable

world and i'd be happy to entertain any

questions

all right thank you david we appreciate

that um

our next speaker is pablo berner

and pablo is the aquaculture lead for

new seed pablo has an extensive

background in salmon farming in chile

and norway

and holds a masters in aquaculture from

the agriculture university of norway

he has a passion for fish welfare and

improving ocean environment

and uses this experience to support his

role educating farmers and production

companies about new seeds

aquaterra product which is an omega-3

from canola

canola oil that is commercially

available now

and has the potential to double the

world supply of dha using less than five

percent of the connect

current canola acreage

we will hand it over to pablo to hear

more about aquaterra

[Music]

good morning thanks to f3

for inviting us to chair our patera

advanced

omega-3 whatever is a call

to the aquaculture industry to nurture

the land and sea

nussied is an international organization

it has grown rapidly since it started in

australia in 2006.

our four global regions include

australia

europe north and south america there are

over 250 employees

working across 11 global locations

including

two world-class innovation centers one

in victoria australia

and the other one in california we are

global leaders in agronomics

and plant breeding developing new

agricultural solutions

for environmental challenges like our

novel plan

based source of omega-3

music developed omega-3 canola oil

in close collaboration with recognized

australian

institutions to increase the supply of

dha

for aquaculture and close the existing

gap

of the essential long-chain

polyunsaturated fatty acids

the ocean cannot supply enough

to support industry growth aquaterra

is designed as a feed ingredient enhance

modernize and innovate the oil mix for

aqua feeds

i would like to invite you to watch the

short
video until now fish oil has been the

primary source of omega-3 nutrients for

the aquaculture

and dietary supplement industries the

problem is that the ocean cannot

sustainably provide enough omega-3 to

meet minimum nutritional needs for an

ever-growing global population

collecting omega-3 from only wild fish

pressures ocean ecosystems that provide

income and food for people and habitats

for marine animals

consider also that fish ultimately

derives omega-3s from microalgae

so why not just go direct to the source

well there are some factories growing

microalgae for omega-3

helping to take pressure off the ocean

however

it takes lots of water and energy to

produce these algal oils

making it an expensive and resource

intensive solution

new seed takes a new approach by

applying biotechnology to deliver the

benefits of microalgae

through canola creating a dha and ala

rich source of land-based omega-3s

[Music]
just one hectare of new seeds omega-3

canola

produces an equivalent amount of dha and

epa

and bonus it grows on existing farmland

helping to replenish soil and provides

habitats for over 2 000 beneficial

insects

including honeybees plus our grower

contracts

create new economic opportunities for

farmers by managing the closed-loop

supply chain

and guaranteeing purchase this

stabilizes supply and costs for the

aquaculture

and nutrition industries new seeds

aquaterra and nutraterra

ensure reliable renewable omega-3

production

matera is a product of sophisticated

technology

we insert five micro algae genes

and two gs genes into canola

giving a land-based crop the genetics

to create its own long-chain fatty acids

our goal was to go all the way

to dha aquatera offers

a unique omega-3 profile that

improves omega-3 omega-6 ratio

rising significantly the total

omega-3 available on the oil

the aquaculture industry recognize

the need for new sources of omega 3

and came together to collaborate and

validate aguaterna

our partners share nucit's dedication to

innovation

and proactive sustainability policies

and supported every step of development

one concept and research development

to create our technology second

food safety and viability for

applications on aquafields

and third commercial scale trials

conducted

in chile with important fish farming

producers

and also feed plant manufacturers

aquaterra is part of recognized industry

organizations

to promote aquaculture traceability

and human health

during 2018 and 2019 we performed three

commercial scale trials

we hope to show aquaterra is an

effective

omega-3 oil but the result exceeds

our expectations we show

improved mortality rates improved feed

conversion ratio

fishing free child reductions favorable

omega-3 omega seed ratios

complementing and replacing part of the

fish oil from commercial diets

you can see in the left hand table

trial 1 trial 2 and trial 3 will replace

between 60

and 30 of each oil with a constant

epa dha content on feed

by the other hand in the right hand

table you can see a standard diet

today and the possibility which

came with aqua turban replacing fish oil

and also standard vegetable oil

with a inclusion of six percent you can

have

equal and basis total oil

feed content

the results we evaluate

production results yield fledged quality

and we can show the feed conversion

ratio

was and and feed

feeding ratio was always a very positive

for the agua terra diet

among the most surprising results was

the improved productivity

seen consistently in all the tree trials

we attribute this to a cultural unique

omega-3 profile

increasing total omega-3 in the fish

which improves

health and welfare the average

survivability increases by 2 percent

this improvement is

especially notable when fish are

challenged

this chart shows fish mortality

aquaterra is on the bottom and the

control group is on top

the red spikes indicates an outbreak

and you can see the akatera fish fed

were more resilient

aguatierras unique fatty acid profile

provides dha

epa and ela for a total

omega-3 content over 30 percent

aquatera increases the total omega-3

content

on salmon fillet by

improving nutrition and adding value

aquaculture can became the center of the

plate

worldwide

aquaculture is under pressure to reduce

reliance of wild

fish for feed this is both to meet

consumer demand for more sustainable

food

and in the industry need for sustainable

growth

aquaterra as a partial replacement to

fish oil

reduce fish forage dependency ratio oil

by 61 and featuring feature

ratio by up to 27 depending on the

inclusion rates

on the performance trials

over the last years we have been

building partnership within the industry

best aquaculture practices and

aquaculture experiencing counseling

certifications

are the most common and recognized

certification for responsible

agriculture

aquaterra is annihilated with those

certifications

last year we had been dominated by the

global aquaculture alliance

as an innovation of the year we greatly

appreciate recognition

and customer support

after a period of six months evaluation

nusits apaterra had been recognized by

friends of the sea for its responsible

production
and contribution to maintain ocean's

equilibrium

on february 20 and 20 we are proud

signatory members committed to the 10th

principle

of the united nations global compass

working towards sustainable development

goals

with this emphasize zero hunger

good health and well-being industry

innovation and infrastructure life below

water

life on land and partnership for the

goals

aquaterra facilitates aquaculture growth

and is able to double the water supply

of dha

aquaterra delivers the benefits of

omega-3 from

seed to feed the full supply chain is

certified

traceable by excellence through

stewardship

the nucid logistics team built a

reliable supply chain

from the u.s to the aquaculture

production markets

with the majority of volume heading to

chile
at the moment

oil is a reliable noble source of

omega-3

it is recognized by the industry and

scientific leaders

to play a major role in aquaculture

sustainable growth

thank you very much and enjoy the rest

of the day

which is gracias uh pablo and uh

i just want to make a quick note for

everybody if you would please use

the q a box at the bottom of your screen

that will make it easier for us to get

all of the questions in

instead of putting them in the chat box

a little harder for us to go back and

forth so please use the q

a box for sending in your questions

okay our next presenter rude

pier booms is the president of algae

ingredients for corbin

root has spent most of his career in

commercial roles in specialty food and

ingredients and holds a master of

science degree

from nyon road uh business university in

the netherlands

he joined corbyn in 2014 as senior vice

president for food and has since become

the president

of algae ingredients and a member of

corbyn's executive committee

he is also chairman of ingredients for

food innovators

it's a dutch business network of food

ingredient producers

so today rude is here to discuss

corbin's algo prime

dha which is produced at capacity to

meet the supply needs

for today and with the ability to expand

into the future

so let's see rude's presentation please

i would like to thank the f3 team for

inviting corbyn to participate in this

webinar

from the founding days of the f3 effort

we support the research and advocacy

work of the organization

my name is ruth pierre-bombs and i'm the

president of lg ingredients at corbyn

corbyn is a global leader in sustainable

food solutions

lactic acid and algae ingredients and we

preserve what matters

last april i joined our lg ingredients

team after several years

in the caribbean food ingredients

business i'm excited about the

possibilities offered by the platform

because the combination of our lg

technology and korby's vast experience

in large scale fermentation

opens a world of sustainable

opportunities for both food

and feed applications hello i am diana

fisher

and i am the senior director of

sustainability at corion

after a career in biotechnology and food

ingredient development

i applied my passion for sustainability

into practice at core wheel

our purpose is to preserve on matters by

preserving food and food production

preserving health and preserving the

planet our lg platform is an exciting

area for us it embodies all of corbin's

sustainability principles

our sustainability efforts are

recognized by various sustainability

ratings

korvian received the platinum

sustainability rating in the

ecovaris csr assessment

which places us at the top 1 of all

suppliers in our sector globally

in addition corbin has been recognized

for leadership in corporate

sustainability

by the global environmental non-profit

cdp

securing a place on his prestigious

a-list for tackling climate change

i look forward to sharing more about the

sustainability profile of elga prime dha

this webinar comes at a critical time

not only are we in the middle of a

pandemic

which has triggered questions about the

sustainability of our food chain

we have also seen questions about the

sustainability of the fishing industry

there is much to argue about recent

publications

but there is no debate about the fact

that we can continue to make

improvements

so actually this may be our moment of

opportunity

a recent survey conducted during covet

by u.s firm

changing tasters revealed that 32

percent of american adults

wants to eat less meat and their number

one choice

to replace meat is fish and seafood

another interesting conclusion of the

survey

was that ocean health and our own health

are connected through fish

and seafood and this perspective aligns

with what we're seeing in the market

there's more and more focus on improving

the nutritional

and sustainable aspects of feed

formulations

and long-chain omega-3s are taking a

central stage

historically fish oil was the only

direct source of long-chain omega-3s

but fish oil is a limited resource there

is about 1 million metric tons of

fish oil harvested from the ocean every

year

seafood farms depend on fish oil as a

key ingredient for aquaculture feed

but with aquaculture production growing

rapidly the demand will exceed supply

and this is especially true for

sustainable sources

microalgae are the producers of

long-chain omega-3s

and in the wild they're at the base of

the food chain for fish

by now growing micro algae via

fermentation
we take out the middle fish while still

delivering the power of omega-3 to the

feed

alga prime is an omega-3 rich algae feed

ingredient produced by fermentation of

sugar

and it's supplied in both liquids and

powder

to address the different market segment

needs

we have been in the market for more than

five years and we produce omg

3s at skill and this means that we have

the ability

to meet the growing demand our

production setup is fully circular

and we have documented this in our lca

study

so in short our lg production supports

volume growth of the market we do this

in a sustainable way

and the skill allows us to optimize

costs by

production efficiency and innovations in

strain development

adoption of alga prime is led by the

salmon industry

but also the shrimp industry has been

increasing
the use of velcro prime substantially

over the last two years

numerous studies conducted by the new

female research institute

have shown that higher levels of omega-3

improve the health of farmed fish

and this will lead to better production

we now see several semifinals

moving to increase levels of omg iii in

their feet

and helga prime is the perfect solution

to do this in a sustainable way

it is estimated that lg omega-3s are now

included in approximately 30 percent of

norwegian semi-feeds

and this number is growing more farmers

are using elka prime

and the inclusion levels are increasing

we

as scorpion are determined to support

the industry

and as an example we are participating

in a new nofema millennial salmon study

funded by the norwegian government this

study will lay the necessary foundation

for the creation of a salmon product

that strikes the key principles

for next generations of consumers as we

collectively work

to make our industry more sustainable by

advocating alternative ingredients

we also need to be transparent about our

own sustainability profile

i would like to invite diana visser to

share an overview

of corbin's and helga prime's

sustainability profile thank you rude

i'm happy to share that we have

completed the full life cycle assessment

for elga prime dha

the assessment concluded in 2020 and iso

reviewed analyzed the cradle-to-gate

environmental impact of algoprime dha

covering the full supply chain so

including raw material sourcing and

production

further analysis was done with publicly

available data

and affirmed that alga prime has a lower

carbon footprint compared to traditional

sources of fish oil

algoprime's dha low carbon footprint is

due to three

primary elements of its production

system powered by renewable energy

the algoprine facility sits among

sugarcane fields and is located next

door to a sugarcane mill

the sugarcane waste is used as a

renewable source of energy to fully

power the sugar mill

and the algae facility high-yield field

stock

sugarcane used to grow alga prime dha

via fermentation

is one of the world's most productive

sugar sources compared to other sugar

feedstock sources like corn and wheat

this means that the more sugar produced

per hectare of land the more omega-3s

can be produced per hectare

efficient use of land a hectare of land

produces both the fuel

and the feedstock to grow alcoprime dha

with zero deforestation impacts

confirmed by historical satellite data

as part of our commitment to

transparency the elga prime lca is

currently under peer review for

scientific publications sometime this

year these past few months

have brought a new perspective

especially for new generations

and those who deeply care about

protecting and preserving our planet

we believe that health and

sustainability will continue to drive

the demand for responsibly farmed

seafood and this will require

traceable nutritious and reliable feed

ingredients

at corbyn we preserve what matters

thank you rude we really appreciate that

and and presentation with uh

your colleague there from corbyn okay um

next up we have dr karim gramali

who is the ceo of varamaras krim has

been

ceo of varamara since it was established

in 2018.

previously he spent 16 years working for

varamaris's

parent company dsm where he was vp

for animal nutrition and health for the

asia pacific and

india at varamaris karim's

collaborative approach has been

instrumental to the development of the

business from concept to reality

baramaris was the winner of the f3 fish

oil challenge

and we're happy that they are partnering

again to enter the f3 carnivore

challenge

let's hear from crim and vera maris's

progress to date

[Music]

the great news about our varamarus algal

oil is actually we have both molecules

epa and dha

so not only do we satisfy the health of

salmon but we also ensure

that the food is healthy and nutritious

and ideal for consumers

our varamar's algal oil enables

retailers to promote salmon

sustainably and to promote a very

healthy and nutritious salmon to their

consumers

open early

for us this is the result of 20 years of

innovation finding a good sustainable

source to the omega-3 fatty acids epa

and dha

and that has been the biggest bottleneck

for us but now we have the solution

retailers are the key change agents in

fact they're fundamental

they've understood that consumers want

to know where their food is produced

how it's produced and the nutritional

content and they're the first ones

who've understood that consumers want a

sustainably

sourced salmon which is highly

nutritious and good for them

hello i'm karine cromali the ceo of vera

morris
and that short video hopefully gave you

a snapshot of what vera maurice is about

however i'd like to start first by

thanking barbara

and her team at f3 for giving us this

opportunity

and for all the support they have given

us over the past few years

if you don't yet know us well vera mars

produces a sustainable

pure natural marine algal oil

which is rich in both epa and dha

omega-3

we're harnessing the best of what nature

has to offer

with the mission to expand the world's

supply

of epa and dha omega-3 for aquaculture

pet food and beyond we're the first

algal oil producer in the world to

receive

msc asc certification and add

an estimated 45 percent to the global

supply

of msc certified epa and dha omega-3

in fact integrating varamaras algal oil

into aqua feed can reduce the forage

fish dependency ratio for fish

oil ffdr oil to below 1.

this means little or no epa and dha

omega-3

from fish oil is actually required to

raise farm fish

and farm shrimp now what problems do we

actually solve

well one of the biggest challenges in

the 21st century

is meeting the needs of a growing world

population

while not increasing the pressure on our

planet's ecosystems

aquaculture has a significant role to

play in feeding the world

it has to grow within planetary

boundaries without placing

undue pressure on marine biodiversity

in 2020 22 million metric tons of wild

catch foraged fish

like anchovies herrings sardines were

used to produce fish meal and fish oil

these species are rich sources of epa

and dha omega-3

critical for both human and animal

health

but this has led to stocks being fished

to their

maximum aquaculture is the fastest

growing food sector

however its dependence on wild catch

fish

epa and dha omega-3 will limit its

growth

and continue to put pressure on our

marine ecosystem

this is where we come in vera mars

provides a sustainable

alternative a source of natural algal

oil rich in both epa and dha omega-3

that helps solve this challenge by

reducing reliance on wild catch

fisheries

thereby reducing our global impact

our product can supplement or replace

fish oil

in aqua feeds and meet the health

benefits of seafood

the richness of our algal oil enables

farmers to control

the nutritional profile of their feed

allowing them to consistently raise

a robust and healthier fish

the additional benefit of fish raised on

a diet rich in epa dha

is that consumers receive a product

which is nutritionally rich

providing the expected health benefits

for proper brain

and heart development this means healthy

food

for consumers well where are we today

since winning the f3 challenge in 2019

we have come

quite a long way today our algal oil is

used to grow salmon

shrimp trout steelhead trout

yellowtail sea bream and sea bass

we've also launched a shrimp that is

entirely raised on our algal oil

a vegetarian shrimp with zero fish meal

and zero fish oil

this shrimp is available in all 50 u.s

states today

and despite the challenges we have all

faced in the past year

due to covet 19 team vera mars tripled

production in 2020

and using the ft's own forage fish

calculator

vera mars algal oil produce equated to

more than eight

billion forage fish this remarkable

achievement

is thanks to the dedication of team vera

mars

colleagues whose purpose is to make a

difference in the world which we live

and i'm very proud to be working with

such a great team

so how do we make change happen

well we believe in partnerships to

create the market

we collaborate along the valley chain

talking to farmers

females processors distributors

retailers

and the consumer in fact within the

retail sector

we have seen courageous leaders step up

and

engage their supply chains to de-risk

their supply of seafood

they are also requesting transparency to

mitigate

reputational risk for both themselves

and their consumers

and this is where vera murray steps in

we collaborate with

all parts of the value chain to achieve

the continued

sustainable production of aquaculture a

source of nutritious

healthy sustainable seafood

i'm already anticipating the question is

it affordable

and the answer is yes today our algal

oil is available across the world

and both fish and shrimp fed on algal

oil are available on the shelves of

several retail stores and online in

50 u.s states for shoppers our algal oil

is three times richer than fish oil in

epa and dha

it's sustainable and it's an affordable

solution

algal oil has also been shown to grow

the salmon category

at certain retail stores and allows the

farmer

to reverse the decline in omega-3

indefinite

and produce a unique product

well what lies in the future for us

well at vera mars we're constantly

innovating

making continuous improvements to

provide our customers

with a high concentration algal oil rich

in both

epa and dha omega-3 and ultimately

making our contribution to healthy fish

healthy food healthy oceans

we have come a long way alternative feed

solutions like ours

are here now and available at scale

and we are economically viable and

leaders in the industry are seeing the

opportunity and taking advantage

my colleagues in team vera mars are here

to support you

to make it happen at speed

thank you very much

thank you very much kareem it's great to

see you again um

and what we would like to do

uh next is to bring our panelists

on board here briefly introduce

yourselves

and we also want to welcome katrina

benedicto who is the director of

marketing communications for new seed

and she'll be answering questions on

behalf of new seed and

pablo so again to our audience don't

forget to type your questions into the q

a box so that we can address them

now and as we go through these questions

so um let me uh

turn it over to alex for the

introductions

and how about if we start with uh

david please

hi i'm dave hazelbeck ceo of global out

innovations it's a pleasure to be here

with you and

happy to talk about any questions

um regarding algae well hi everyone and

great to be here and thank you very much

uh kevin for moderating it and thanks to

all in the panel and thanks again to f3

for in the invitation

pleasure to be here and rude good to see

you again

why don't you go ahead please good

morning everybody

my name is goodpierre bombs i'm the

president of lg ingredients at

corbin thank you for uh for letting us

participate in this webinar very

interesting

thank you rude and katrina please

introduce yourself

good morning everyone my name is katrina

benedicto and i am the director of

marketing and communications for new

seed nutritional

all right thank you well we'll just jump

right into the questions then

um uh first one here for david um

in your open ponds are you working with

just one

target species of algae or do you have a

suite of algae that you're taking from a

community that develops in your ponds

in your race yeah we're growing a single

strain at a time so we have grown a

number of different strains but we have

one primary

strain that we're looking at for this

particular application for protein and

for

the various oils that i talked about

thank you appreciate that so uh katrina

we have a question here

also um that with your

um uh canola

um do you anticipate any kind of

problems with

uh climate change uh i know it's more of

a temperate crop so

what do you think well i mean with any

kind of agricultural

or aquaculture you're going to be

dealing with the elements and nature but

we're

we've specifically selected canola for

its resilience

and for the fact that it's grown on four

different continents with regularity

it's uh grown without water at least all

of ours has grown without water and it's

grown

with uh sunshine so as long as we've got

water from rain and sunshine

we'll be okay we're accustomed to dry

farming
okay good thank you

all right rude algoprime contains

uh primarily dha and so for

farms uh are they going to need to use a

mix of dha and epa

that would you recommend for people for

salmon diets

etc yeah thank you i mean of course i

mean our strain produces a

dha and and of course today i mean

looking at the

formulations of feed i mean formulations

or feed formulations are of course a

mixture of different ingredients

what we see so far is that indeed adding

adding dha to the formulation will not

not necessarily create a a lack of dha

or epa sorry because that's also coming

from from the other ingredients in the

mix but of course i mean we recognize

that inclusion levels need to

or could increase in the future so

that's also why we work with

both our customers but also with

research institutes

to continuously increase epa levels and

therefore

let's say monitor results and and and we

see also let's say gradual uh

gradual increase of the dha only

products

so therefore i mean any combination

uh it is of course proven uh but for the

future i mean we see further increases

of dha alone

okay thank you um

okay karim uh the question for you

is what fermentation systems are

available to produce

varamaras algal oil for a local market

within

southeast asian region

whoa that's a tough one for me

to i have to say i i haven't actually

looked into uh southeast asia

so i personally could not answer that

question at this moment in time

if you ask me about europe i can answer

because we've got a landscape of

fermentation systems in europe but

that's a good one i'll i'll have to look

into that and come come back to

whoever is interested in that question

all right

thank you um so

here's one that um

it's addressed to katrina but i think it

would really apply

to to everyone so i'll kind of give

everybody a chance to

take a short answer at this so

how much did the diet price of feed

increase when substituting conventional

oil

fish oil with aqua terra

so katrina i'll let you start with that

but uh we'll

let everybody have an answer at that

well aquaterra has the benefit of being

derived from canola which works with an

existing infrastructure it really helps

keep our

scalability available and our price is

low because we are working within

existing

agricultural systems to be able to

produce and transport this product

that said the technology behind it is

uh affordable it's comparable to fish

oils and

in our commercial skill trials which

included over three million fish

in this study showed that fish fed and

aquatera diet actually decreased

mortality by two percent so in addition

to being comparable in feed you actually

increase your roi

by having more production yield

all right thank you so rude same

question

uh you have lots of people in

commercialization now

yeah absolutely and of course i mean we

make a statement about being affordable

and so the way we look at affordability

is

we have to deliver when we get free

because of course that's uh that's

that's what the of interest for for our

customers

so really compare fish oil at only

three levels with our product our

product obviously is highly higher

concentrated than fish oil

so of course on the kilo price you will

see uh see us more expensive but

we strive affordability to be comparable

with fish oil on omega-3 bases

okay good david same question

so as you noted we're pre-commercial so

i can't say in terms of when we've

replaced it but i can say that our our

targets for all of our production is to

be competitive

equal to or lower than fish oil prices

on an omega-3 basis

also i should note this is a

photosynthetic system so
we actually have the reverse oil of

almost everybody else ours is high in

epa and lower in dha it has both but

it's

much more epa than dha

all right thank you and karen

so the key point i guess is is the feed

more expensive

and the way we should look at it is this

way

if you have an algal oil which is let's

say 2.5 times more concentrated than

peruvian fish oil or three times more

concentrated than

atlantic fish oil it utilizes less space

in the feed formulation

that's the first thing and thereby by

utilizing less space

in the feed formulation than fish oil

you're able to bring in

additional cheaper raw material

ingredients into that feed formulation

so in essence the total feed cost

should not necessarily increase

furthermore you're actually transporting

less

product across the ocean

because the vermarius algal oil as i've

said is 2.5

times more concentrated than peruvian

and three times more concentrated than

north atlantic so the opportunity

to actually negate increasing feed costs

is there

and that's why as we were saying it is

definitely affordable and that's why

you've got salmon and shrimp on the

supermarket shelves today

so a smart feed formulationist can truly

uh reap the benefits of algal technology

okay good thank you uh david another

question for you

uh you cited a tenfold uh cost reduction

and the question uh we received was uh

just i think you just can give a rough

percentage how much of this was

economy of scale versus new

uh innovations or inventions like your

harvester for example yeah so

it's almost all inventions that's really

all we've been focused on for the last

seven years so we haven't really focused

on the product development until just

recently

because we needed to be able to make a

cost competitive product before we

started

looking at the different markets he

could go into and so as you mentioned

the harvester is 100 times less energy

than traditional algae harvesting

technology

we have an extraction system that uses

20 times less energy

than typical extraction our inoculation

system

is a thousand times smaller we use six

grams of algae

inoculum to make three metric tons of

product so it's it's a much smaller

inoculated system and when i go through

the whole thing there's about

we list out 65 major innovations of

which 11 we consider major breakthroughs

where they were more than an order of

magnitude change in

in one of our target areas

on your zobe harvester can you give us

just a rough idea is this a rotating

drum type

filter or spray filter yeah it's it's a

dead end uh hollow fiber

membrane filter similar to what's used

in wastewater treatment

and the big innovation we've done is

figured out how to use that

and still get high fluxes and high

concentrations so we can take it all

away from
pond levels which in open pond systems

is very dilute about a gram per liter

all the way up to 200 grams per liter

in a single membrane filtration system

excellent okay good to know thank you

um uh so here's one for katrina

uh for new seed is the product available

for markets with gmo limitations

we do have regulatory advancement in

several markets

around the world we are currently

[Music]

providing quite a bit of product to

chile and the

fish producers in that region and uh

keep posted on the news you'll see some

new regulatory announcements coming

shortly i'll leave it at that okay good

we'll look for good news there all right

karim uh can you tell us more about your

partnership with epengran

to produce uh your uh fish free feed

for shrimp yes certainly

we were able to get with

a major integrator in ecuador called

to to work with them and remove fish

meal

and fish oil from their shrimp feed so

in a sense they've
got a plant fed shrimp totally

vegetarian

which they're introducing or have it

already introduced into the u.s market

and now

uh making it available for for the

european market

but it's a wonderful product primarily

because it has

literally zero fish meal and zero fish

oil so uh

i i think we're we're very excited

they're very excited and a number of

retailers

uh who've already onboarded it and

actually gave us results uh

literally last week were very i would

say

impressed with the taste texture

and moist importantly the high profile

of omega-3 in the shrimp

the actual results showed that there was

three

times more omega-3 in the shrimp than

regular standard shrimp and that i have

to say we were

we were not necessarily planning for

that but once we under

stood the shrimp physiology and

digestive
tract we understood how and why

at least we have an understanding as to

how you can actually get

a higher level of omega 3 into shrimp

which is uh something that we will

actually work on with uh

with other partners as well more than

likely in asia pacific because i think

shrimp with a higher level of omega-3

could actually be a completely new uh

position

and category versus the traditional trip

so we're quite interested in that i

don't have all the answers as to how we

will market that or support but

the fact that there is this opportunity

i think it excites us all in team vera

mars

thank you great okay um all right rude

we had another question here

uh not sure if you can share this how

many kilos of sugar is needed to produce

one kilo

of oil and then where does the waste go

yeah well thank you because that's

that's actually very interesting uh

interesting question

so first of all the uh let's say we're

looking at different
different um angles uh when we look at

yield that's of course how many kilos of

sugar we use but also add

how fast can we can we get the product

to produce

and especially add how much

concentration can we get out of one kilo

of sugar so

the kilo sugar is not per se determining

the price or the cost alone

it's it's also the other parts and then

to the second part of your question

because i think that's even even more

interesting

we have no waste so we harvest sugar

the sugar part of the cane goes into uh

into into the fermenter and is being

eaten by uh by the algae

the waste what we call by gas goes into

into a burner and is burned for steam

and for electricity

and that we also get over the fence from

the uh from the uh

from the sugar mill so we have a closed

system on energy

and uh and heat and then when you look

at our biomass i mean

indeed we we make in a liquid suspension

uh
meaning that also from there are no buy

streams from

product as such so we ferment and then

basically the entire lg product

goes into liquid suspension and is

supplied as such

to the customers also there we have

basically eliminated waste

and therefore making all lg products but

suitable in an application for customers

hope that answers your uh your question

i hope so yes as it does to me thank you

okay um this is um

for everyone uh and it's gonna apply to

your different products so

um are there any particular challenges

or advantages to these

novel sources of omega-3s when it comes

to oxidation

and oil quality when producing the feed

or in the final product so uh

caterina why don't we start with you

i don't have a comparative analysis for

how our oil oxidizes

uh next to fish oil on hand so i i wish

i could answer that for you right now i

i cannot okay that's all right i'm not

sure anybody can but let me go ahead and

go around uh
rude what do you think yes sorry i mean

in my introduction i i stated that i had

a business degree so

sorry on this one i have to take the

pass but

i mean happy happy to connect you with

our nutrition team to

to answer these questions because i'm

sure that our team

have uh have a full answer on this one

yeah

okay grim any chance do you know that

one off the top of your head

if you can repeat the question i'll give

it a go

um

they took it off my screen here but

basically it was uh how does

uh your product compare with the

oxidation of uh other

uh traditional fish oil

okay i i would i would say oxidation or

rancidity compared to what

normal oil would be yeah i mean

i would say that uh our algal oil is uh

is is protected using natural uh

tocopherols which are antioxidants

so in a sense uh we we guarantee a shelf

life of 12 months

for this particular product so it's so

in that respect it's

very similar i would say to to fish oil

the key point

with the algal oil obviously is

you have a consistent product 365 days a

year

24 7 which unlike fish oil fluctuates

seasonally and obviously

depends on which fishery you you source

it from

so i think that's another key advantage

of the algal oil

the algal technology that is available

at the moment yeah i would say no

no real difference between uh algal oil

and fishwood

okay thank you appreciate that david any

chance you guys have done any of that

so we haven't done it yet we're actually

just starting uh

feed trials this year that is something

we're measuring at each step right now

though is

is the rancidity as it moves through and

and checking that and we're using the

standard

techniques though for preventing

oxidation of the fatty acids

good thank you that that's a big help

um

okay um so here's another one

the use of land-based products has

resulted in a decline in the dha content

of salmon meat

and an increase in linoleic acid content

typical of seed oils

anybody want to comment on that

particular aspect

i'd like to take that one please please

too

uh what we've been finding is that what

happens when aqua terra is included

as the partial replacement for fish oil

that we actually

not only increase the total omega-3 in

the harvested fillet with an nqc cut

we also have an improved balance in the

omega-6 to omega-3 ratio

it's because the technology that goes

into our canola oil

not only does it have the dha epa

comparable to fish oil

it also has an extremely high level of

ala in there

which helps with that balance but we

find it it forward converts into epa too

it's really quite beneficial to the

overall composition of the

the oil feed

okay rude you have any comment on

on that yeah so i mean we

[Music]

of course i mean we we deliver a needed

combination of

both products but indeed our focus is

if you can bring in highly concentrated

uncut resources

because in the end you will have to

sort of have a competition for for

different

ingredients in the feed formulation

so we really believe that it is

important to bring in highly

concentrated

omega-3 ingredients

so that you can really improve that

balance

basically restore let's say restore

nature as such

so bringing in high concentration of

omega-3 will take up less space

and therefore have restored those

balances

kareem i think you kind of addressed it

already but anything to add

i think what root said is very clear and

i think the algol technology

offers the salmon industry a unique

opportunity to reverse the decline

of omega-3 due to the scarcity

and unpredictability official now

and at scale salmon farmers shrimp

farmers well aquaculture farmers have

a predictable consistent product

and by utilizing a consistent product

it lends itself to a reversing the

decline

of omega-3 but more importantly allows

you to then make a label claim because

then you for once

you have a consistent omega-3 profile in

the feed

and hence in the flesh just like we did

with the with the shrimp if we

consistently find

times three more omega-3 in the shrimp

will be able to

motivate retailers and even the

producers to start to label that

and that really is healthy food for

consumers

and my point is i think if consumers

are provided an informed decision in

other words can view the pack can read

the labels on the pack they will make

the right purchase

so i think the algol technology as rude

said you know high concentrations

consistency that's that's

that's going to be i would say the new

uh breakthrough

in in aquaculture that we're going to

start to see

labeling and branding backed up with

clear labeling of omega-3 levels in in

seafood

good thank you okay next question

is um the

questioner says he assumes that your

oils would lack

any heavy metal contamination that's

common in in fish oils

um and does that translate into less

heavy metal contamination then fish

product

uh and they're interested in any

statistics or study that

that verifies that

so uh uh david you want to

have that first yeah we don't have the

studies yet but we do have very low

metal so yeah it's going to be much

lower metal content uh all of our water

is recycled within the system so any

metal what are the

metals that come in with the water are

taken out in the first batch essentially

that you harvest out and then it's

pretty much i mean from the harvester

it's all recycled it's clean water and

so therefore there's no

metals really entering the system and i

would say

that it goes for the protein as well

because you know the protein meal that

we're producing

we also look as an aquaculture feed

ingredient it's highly digestible

sure and so both the

protein meal and the oil yeah

katrina new seed

well all of our oil is processed and

filtered but there's not going to be the

heavy metal contaminants or

bioaccumulation in a plant-based product

rude yeah so i mean here we really

benefit also from

as i explained before the the experience

that we have is scorpion with

large-scale industrial fermentation

so basically we buy sugar and and

and other nutrients and all of them are

clearly specked

on on every let's say in every detail of

what we want to bring in

and that means if we don't bring

something into our plant because we have

a closed system

it won't also come out so it's really

having uh having a clear control

on your on your feed stocks and your raw

materials and then basically the product

is also free of contaminants so we check

at the beginning we check at the end and

basically that guarantees us to be

uh to be contaminant free

good thank you okay

let's go on to the next question here

again kind of for everyone

for industrial applications in the feed

mills

what are the advantages of delivering

product in

liquid form or powder form um

so cream why don't you

certainly so quite a

a large portion of fish feed

today utilizes fish oil

as a source of omega-3 so it lends

itself that when we are producing an

algal oil

it's readily applicable for the fish

feed industry

in fact the oil fish oil is actually

vacuum coated

after the extrusion of a fish pellet and

our algal oil

basically fits in into that system so

it's fully applicable

and utilizable in in fish feed

similarly in shrimp feed fish oil can

either be

if it's extruded the vacuum coated post

post extrusion and or applied in

feed mixers in a spraying device which

is what

and how fish oil is used so that's one

of the reasons why with vera mars we

went for a pure

algal oil solution to enable

our stakeholders and our clients not to

have the

issue of application problems

or handling so algal oil basically

replaces fish oil in any feed mill so

application is not an issue at all you

don't have to invest in

additional equipment or stirrers or

whatever

you just simply pipe it through yours to

your

system as you would have done fish oil

hence

it's a direct replacement

okay good thank you rude

yeah so we have let's say we are looking

so we have both products we have a

liquid version

and a and the powder one and basically

um what we what are what our direction

is

is that we allow our customers base to

make the choice

and to produce with what i have today

so in some applications for example we

see shrimp or or feeds that use

use no extrusion uh powders are

preferred because all the other raw

materials are also in powder

and then they are blended together

obviously in some other applications

it's a liquid form

especially extrusion or vacuum coating

and then of course a liquid product can

be uh

can be produced so i mean both both

areas are are possible we have an

application team with a fully equipped

lab

to basically test all the different

applications and even if both

would be an option and we're more than

happy to support that type of work

to see in advance which one would fit

best and then i mean use it to your

liking

katrina our product is currently

available only in oil form there might

be other products in development

as an oil it is a drop in replacement

for fish in terms of ease of formulation

okay and david thor oil would be

also a liquid form right now we it's a

co-product really

or byproduct from our separations

because we're primarily making

oil for polymers and oil for fuel when

we separate

that we also get a separate stream that

comes out that's omega-3s it's about

15 of our oil product and so that'll be

a liquid the proteins of powder

okay good thank you um

so here's a question uh from china

uh are any of you selling uh product

in in china do anybody have distributors

i there know yes for selling into

aquaculture

industry yeah so david no rude

yes we do we are um let's say we have

imported the first product we are

finalizing

uh let's say all the regulatory uh

data but yes we are expect as from

next month give us one and a half month

to be really sure we will be able to

supply in china so happy to uh to

connect with you

to um to see what is possible in the

chinese market

thank you katrina you guys selling

anything in china yet

not yet again we just launched

commercially um

less than a year ago so china's

definitely on the radar but we're not

ready right now

all right soon korean yeah

we've got a distributor for the pet food

sector

and actually uh we're looking for a

distributor for the aquaculture sector

but yes we're registered

and we just need the gax certification

to

finalize so as as rude was saying yeah

we also are in perhaps a few weeks or

months

but definitely this year yeah

and that's uh quite exciting as well

completely different market completely

different market so

yeah lots to learn lots to learn but a

huge market nevertheless

okay and and i know i have a similar

question from vietnam so

we'll just keep that uh hopefully

somebody finds a distributor in vietnam

soon

vietnam we're there so uh

if there's a question for vietnam

yeah wonderful okay i i had that

question yesterday from somebody so i'll

get them in touch

yeah okay um uh

rude this just came in uh the recent

life cycle analysis results show that

algoprime has lower

carbon footprint than fish oil can you

explain why this is

and what this means for algoprime yeah

well the the reason why it's lower

is of course if we do not add any any

additional energy so

having having a 100 green

uh green energy stream from

like i explained before we burn the gas

of the

of the sugarcane therefore generate

steam

and electricity at the same time and

that really gives us a

a huge benefit in combination with the

fact of course that we

very efficiently transform then sugar

into

uh into uh into into homecare three

gives us also a low footprint footprint

from the same raw material point of view

so that's basically the combination our

lca study will be published uh soon it

is being peer reviewed

because we really believe in we can say

whatever we want

but we really want to have the opinion

of other people to judge what we are

doing

so transparency and sustainability go

hand in hand

so measure what you do be transparent

about it

and therefore we say we want to have our

lca peer-reviewed

so the people can comment and then we

will publish it

we are already sharing them with

customers again we want to be fully

transparent

so so once it is fully publicized i mean

everybody can look into how

let's say we build our carbon footprint

cycle and

how we how we look at that good

here's kind of a related question uh for

katrina

um aqua terra was just certified as a

sustainable omega-3 by friend of the sea

what was required to meet this

certification and why was this a

priority for nursing

well the friend of the c certification

while it says friend of the c we went

through the friend of the earth

certification

process which it really went deeply into

our agricultural practices what our

expectations are in terms of stewardship

and land management with any of the

contracted farmers that we work with

as well as the whole production from our

seed production the transportation

and even the manufacturing process for

our oil crushing and transport

so it's really been identified through

this vetting process

that our product is not only reducing

pressure on the sea

but has a very positive benefit to the

farm environment where we're growing one

of the things that we've committed to

is that we do not use new farmland for

any of our production

that we go in and work with an existing

canola farmland or

even better to be grown as an off-cycle

rotational crop

to be able to prevent fallow for any

season which is uh beneficial to soil

too

okay great um

okay

um i think you guys have probably

already answered this but let me

go ahead and pose it anyway will the

algae oil or

seed oil affect the feed palatability

has anybody found any problems or

benefits i guess

yeah maybe maybe i can

i can answer that i mean we have done

numerous studies on on algebra prime and

basically what we uh

what we saw is that we actually increase

the palatability of

um of the feed while using uh using lg

we are doing more research on that

because of course it's an interesting

interesting point but the uh

yeah the the palatability clearly showed

in a in

a study done in norway to be higher but

so more work to be done but it seems to

have a positive impact

great katrina please are we referring to

the palability of the fish

feed or the probability of the the

fillet

i think they're talking in this case uh

of the

uh feed to the fish yeah

well based on conversion rates and uh

the growth and feed

intake it looks as though the fish do

appreciate the taste of the

the aquaterra inclusion

okay great

and kareem i assume the same

yeah i would say there's

there's no difference i would say uh

however

interestingly and that's just a short

note

is actually yeah with companion animals

uh we've actually shown proven

a higher preference from out for algal

oil relative to fish oil

in dogs and cats don't ask me why and

don't ask me the details

we're still investigating but it it

we've done it twice

in in in prescribed uh trials

independent i would say and yeah

good results we're trying to figure out

why it's

obviously that uh something with

companion animals dogs and cats

that they they just have a better

palatability system than we have to

differentiate between an algal oil and

official thankfully

so welcome results but that's what i

wanted to share with you

okay good thank you

okay oh this is kind of a

global question how can we manage the

competing demand between the demand for

fuel and food is algae and other new

plant-based products

able to have the efficiencies and

sustainability characteristics

david why don't you take that one first

sure so uh

absolutely i mean we're the product

we're making has a fuel component

has a consumer product component

the omega-3s for fish oil as well as a

protein and we're actually making far

more protein per acre than you could get

from a conventional crop

so in addition to the fuel you're

getting far more protein from that same

acreage so

that's the big advantage of of algae is

that you can

meet both the fuel and food needs

without and

at the same time actually use less

acreage than we use now for food

okay and and kind of a similar

question came in uh regarding uh cane

sugar

in in corbin's case uh so rude why don't

you

address that yeah yeah obviously i mean

we while we used as a cane tuber as

a feedstock opposite to to

to fish oil i mean we see a different

input cost

variation than we see with fish oil

and i think one of the advantages of of

lg

is that it's a uh the same production

all year round and we ferment we do not

ferment

we we are not dependent on nature for

fermentation process

we do it in a fermentation in a

fermenter and so that means that the

production is very stable

um with the sugar input cost obviously i

mean now we see some increases

but in some some cases you also see you

see decreases here we really make

make use of the fact that corbin is also

using large amounts of sugar for the

production of lactic acid

so we are a large buyer of sugar

and therefore our system to manage

pricing and to guarantee price stability

is

is is already in place so we're just

banking on what we already have

and of course we try to manage that as

as well as we can

we've talked about let's say this

comparison with the market

and and that's what we what we're

committed to

so using our systems we think we don't

do not need to um do not need to follow

the market

very short but we can extend those uh

those

those those impacts and then make sure

that our customers

are are getting more stable prices

throughout the year and throughout the

years

okay good and

korean we had kind of a similar one

about corn and and

uh varamaras and corn prices increasing

recently that's correct i mean

corn prices i think wheat prices a lot

of soft commodity prices have increased

however

uh similar to to uh other

panelists we have long-term contracts

so uh we're in a sense uh

covered and to and to also another point

is we're continuously improving

the capability of our algae such that

actually it requires less and less sugar

to produce more and more oil

and this continuous improvement program

uh has been ongoing

in fact we intend to launch uh

very soon a new algal

oil product which has even richer uh epa

and dha

than the previous we're going to do a

soft launch so

that also adds to the improvement or the

capability of the algae to convert

sugar into into omega-3 oil yeah

so that's so that's how we work on it we

not only hedge ourselves on sugar but we

also continuously improve the

capability of the strain it's a

continuous learning
learning process it's biology and it's

it's

it's learning you know yeah learning by

doing

very good all right and and katrina uh

we'll give that to you also i mean we

know canola tends to grow in higher

latitudes

so climate warming is probably going to

be good for you guys but

why don't you address that

i i don't think i can um

you're talking about uh the cost of

inputs into it i'm sorry no just

just the fact that this is kind of going

back to uh

feed demand versus use for uh

making a fish oil replacement

well just like the other commodities

canola has gotten to be significantly

more expensive this year

as we go into our contracts we do need

to make sure that we're remaining

competitive to

our farmers but it's also important to

know that

our product has inherent value in it

because of the product

the output of the dha and the epa we're

not expecting any

significant increase in prices because

of commodity

prices right now okay okay

oh goodness we got a last question that

may be uh

the best um so this will go for

everybody

um what would the panelists like to see

happen to help speed the adoption

of alternative omega-3 sources and help

to reach scale

what is the role of regulators and

certifiers

and should something similar to the e-10

mandate for fuel in europe be applied

for aqua feeds

so rude why don't you start with that

you're the biggest grin

um no i think i mean

honestly looking looking at um

let's say the speed of adoption um

it's not per se that's a regulation that

is holding us uh holding us back

um obviously uh depending on the region

in uh so in europe aquafeed it is

it is pretty uh pretty okay obviously

there are areas in the world

where um where regulation could be

helped
and where regulation doesn't 100 fit but

honestly that's not the

the first um how do you say that the

major hurdle

i would say the major hurdle is is more

in in ourselves as an industry

i mean change is hard and you see that

usually

one change requires another change so

what we are trying to do here is

basically

adapt the entire supply chain from the

beginning to the end

so it's all also all to all of us

to smooth in the next steps for people

in the value chain

but also uh let's say for people to uh

to sometimes do it a little bit

different than how we have done it

before

uh if we uh if we think that with the

same input we get the same output

i think there has been one famous person

that said something about that that's

called madness

so if you want to get change you have to

change yourself

um so i would say to all the people at

the
at the at the team here at the webinar

today

let's drive change together and then i'm

sure we'll make it done

okay david do you want to add something

um well i would say for us it's kind of

totally different i'd say than the other

products here because everybody else is

taking advantage of an existing

cultivation or production infrastructure

creating a whole new production system

and so our issues are a little different

than than everyone else's and so for us

getting to scale is the primary uh

primary impediment right now and we're

moving that direction we're hoping to

build

out next year but that's that's really

the

the key uh stepping stone right now is

scaling this new technology

or new cultivation process up

but it can be competitive with the other

existing processes

and you're looking at some place in

southern california for that second farm

uh we're actually building it in the

central coast of california

so it's okay it's a little bit inland

there in a farming community

okay good thank you korean

i would say policy regulations e10

helps it supports and it accelerates

adoption of new technologies

but more importantly the point is this

an idea like e10 would definitely

support and re

remove pressure on our fisheries

allowing certain fisheries particularly

those which are overfished to recover

so i would say you know beyond our own

business

looking at the planetary issues and

challenges that we're all facing

uh with regards to decimation of

terrestrial and more importantly marine

biodiversity

an e-10 policy will help support

recovery of fisheries which i think is

critical

so beyond our business i think we need

to

we need to motivate regulators to to do

what is required

not only just to enable algal

technologies to be adopted but i think

more importantly is to

look at everything we can do to enable

fisheries to
recover and if e10 is the idea that yes

let's do it

if we benefit okay we do but more

importantly it's what

are we going to do to address the

challenges our planet is facing

which is decimation of biodiversity

and obviously climate change so i

welcome it from that perspective

great thank you and katrina we'll give

you the last word

well thank you for that i think uh a

major part of what's going to happen in

driving change here

is actually consumer demand and consumer

awareness

one of the things that's positive that's

come out of covid is that there's

actually this great deal of

optimism that consumers have developed

for seeing the immediate changes in

greenhouse gases

after we all started to stay home people

feel empowered to be able to make

change and all of the products that

we're putting out there

positively impact change with the

industry there's more awareness of

what's happening in terms of the ocean

and what's really not a sustainable way

for us to be able to grow

aquaculture to its fullest potential to

feed people as efficiently as possible

i'm grateful for everyone at this table

to be able to have

wonderful options there and i do believe

that it's going to be a combination of

industry

committing to its own sustainable growth

to

regulation from government agencies and

really

our commitment to educating and creating

demand from the consumer

a lot of that should be coming from

institutional purchasing whether it's

large retailers like the walmarts and

the ikeas of the world

or whether it's going to major

university systems like university of

california

that has massive purchasing within the

united states

that's where i see the change happening

and i believe that

what we are at is the beginning of a new

industry great

well thank you very much we really

appreciate that
from uh everyone and

um just as a

reminder let me just give

everybody just another minute or two uh

to

uh any closing remarks so

david anything you want to add

i would just echo you know the result

what was just said which is basically

you know

all of these all of us up here are

working on ways to

improve the uh earth especially

improve our sustainability for

biodiversity

both on land and in the ocean and so

we need all of the above and it's not

that you know

and all of us uh need to succeed in

order to

really bring about the change that's

needed

great thank you korean

i would uh reiterate exactly what david

said i think uh

feeding 10 billion in 2050 is going to

take a lot of

talent a lot of brain power

and thankfully you know with with the

guidance i think what f3 is doing

in cultivating that i think is very

critical i don't

i hope you understand how how important

you all are in the f3

in in making this happen i really think

we have a mountain to climb it's not

going to be easy

readdressing some of the challenges that

we're facing on the planet but

the technologies which are coming to the

front as long as they're adopted

at scale and rapidly i think they will

be successful

so we need every uh ngo

certification body as katrina said

retailer

like walmart courageous leaders to take

also the initiative and the first step

in the right direction together with us

all we're all here for the continued

sustainable growth of aquaculture

good root anything to add yeah thank you

uh thank you for that no i mean it's

clear that that although

let's say the last two years have been

dreadful in many many many ways i mean

in the world

i think it has also brought something

good and that's sometimes of course

strange to say with with with all the

bad things that happen but

i think it has opened people's minds so

i think next to

all of us indeed we are all working here

on the on the sustainable

uh uh on improvement of the industry i

think the good thing is that that

consumer's minds

have opened and of course it's up to us

to support that and really make sure

that that's

sort of the the new the new normal it's

it's it's a buzzword but i think going

back to the old

normal is is not a it's not a direction

we should go

so we're really we need to enable that

new normal

and what does that mean true

sustainability the word has been

mentioned a lot

but to me that means be transparent and

make sure that you don't fight over

sustainability who is most sustainable

but just

prove it i mean the unsustainable

development goals and design based

targets
are nice models to really build on what

you do so sustainability science based

then make it affordable um of course a

lot of people are talking about price

and and but i think if people are

willing to change consumers are willing

to change

then also enable that change not with a

premium

that is sustainable not not reachable

for the masses

so it should deliver consumer products

that are affordable for everybody

and then thirdly that enables skill i

mean

more demand enable skill but skill also

enables

affordability so i really see

affordability and skill

as a as a combination so we have to

drive the

volume build on the positive momentum

that covert has brought us

and then change the world so i think

with everything

sustainability affordability and skill

we have the key in hand

so let's make the change i'm positive

thank you
all right and katrina i want to say

thank you to

f3 for putting together a visionary

challenge to be able to remove

the sea from the seafood that it is

possible to be able to make

sustainable feed options or more

sustainable feed options with grander

visions that if we can't imagine it it

won't happen so thank you for putting

that out there

thank you appreciate it all right um

let me just make a couple final comments

here

and uh but before we want to wrap up

i do want to give all uh thanks to

uh all of you uh for

your time and your comments uh all the

information

you were able to share um and let you

know that we had

uh between the zoom and the live stream

uh about 27 900 people

who were listening in today uh so

uh thank you all for for that uh

for years we've been replacing fish oil

uh

has been a daunting technical challenge

but as we've seen here today there are

several strong substitutes in the

pipeline and even available now

these ingredients bring hope for a

future of feed that is not dependent on

dwindling marine resources but instead

strengthened by having multiple tools to

meet nutritional requirements

we hope this seminar was helpful to

learn more about omega-3

oils and their use to replace fish oil

and aquafeeds

uh i'd like to invite you all to our

next webinar on emerging trends with

alternative feeds for salmonids

which will be june 17th at 5 00 a.m

gmt uh 1 p.m uh beijing time

uh also before we go please just take a

couple minutes to watch the closing

credits here

uh on this video from the f3 team

and thank you all again

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you