CALYSTA Energy Inc. announced the acquisition of BioProtein A/S based in Stavanger, Norway.
Through this acquisition, Calysta will enter the rapidly growing, $370 billion market for fish and livestock feed and feed additives. Calysta develops novel natural gas conversion technology using methane for high-value chemicals and fuels.
According to the announcement, the BioProtein technology is the only commercial-scale process available to directly convert natural gas into biological products. The protein feed produced using BioProtein's technology is approved for sale and has been commercially marketed in the European Union.
Combining its proprietary BioGPS technology platform with technology from BioProtein, Calysta said it intends to produce proteins and other key ingredients of high nutritional value through the fermentation of methane, the primary component of natural gas. These nutrients can be used to improve the quality and sustainability of commercial fish and animal feed, the company said.
In particular, the high-quality protein generated by Calysta's process can serve as a direct replacement for fish meal, a major component of many commercial livestock feeds.
"With this acquisition, Calysta intends to expand our methane conversion portfolio into a new high-growth market, significantly accelerating market introduction of products based on our combined technology," said Dr. Alan Shaw, Calysta chairman, president and chief executive officer. "Demand is strong in the commercial fish and agriculture market for new sustainable protein sources. BioProtein's expertise in process technology and nutrition metabolism in animal health complements Calysta's broad capabilities in synthetic biology and biocatalysis for development of methane as a new biological feedstock."
Calysta said it expects to evaluate construction of a manufacturing facility in the U.S.
As part of the acquisition and to reflect the new multi-industry focus, Calysta Energy said it is changing its name to Calysta Inc. The new company will have two primary business units. Calysta Energy will continue the current programs in development of its Biological Gas-to-Liquids and Biological Gas-to-Chemicals technologies using methane as a feedstock for the production of fuels and chemicals. Calysta Nutrition will focus on the development of a range of nutritional products from methane.
Shaw will continue in his current roles with the new entity. Both companies are privately held. Further terms were not disclosed.