Algae for feed, food, fertilizers and cosmetics. Tron Kjønnø General Manager
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1 Algae for feed, food, fertilizers and cosmetics Tron Kjønnø General Manager October 2013
2 AGENDA 1. Algea, the Arctic Company 2. Our ID Card 3. Our precious brown seaweed: Ascophyllum nodosum 4. Our Solutions for different markets 5. Challenges and opportunities October 2013
3 Algea, the Arctic Company Algea is one of the worldwide leaders in harvesting and manufacturing seaweed based products with a history of more than 75 years. We have THREE cutting edge PLANTS in Norway, dedicated to different businesses. Our northern site is the only seaweed company located ABOVE THE ARCTIC CIRCLE. As a part of Valagro Group since 2002, Algea implemented a system of technology called Geapower developed by Valagro that is currently used through all the Group. Thanks to Geapower Technology, the development of our products follows a rigorous path: Knowledge about and access to raw materials. Careful selection of extraction methods. Implementation of investigative strategies. Solutions for the intended use October 2013
4 Agenda 1. Algea, the Arctic Company 2. Our ID Card 3. Seaweed 4. Our Solutions for different markets 5. Challenges and opportunities October 2013
5 Our ID Card We have always created with passion innovative and effective solutions for the nutrition, care and beauty of people, animals and plants. Starting from the best Arctic resources. With respect for all beings and the environment. Algea s Mission October 2013
6 AGENDA 1. Algea, the Arctic Company 2. Our ID Card 3. Seaweed 4. Our Solutions for different markets 5. Challenges and opportunities October 2013
7 Macroalgae forecast Forecast - a productive Norwegian coast in 2050 Volume forecast from harvest and aquaculture - Macro og Microalgae in Norway Microalgae farmed (tons) (Harvested) 0,2 Macroalgae farmed (mill tonn) 4 20 Value forecast - Macro og Microalgae Value (mill Euro) (Harvested) Source: Report from a working-group in The Royal Norwegian Sciences Society (DKNVS) and the Norwegian Technical Sciences Academy (NTVA) October 2013
8 Macroalgae = new possibilities Along the coast of Norway we find: Approx. 100 green species Approx. 200 brown species Approx. 210 red species In Norway today, mainly 2 species of brown algae are commercialized Ascophyllum nodosum and Laminaria hyperborea Aquaculture testing on sugarkelp (Saccarina latissima) and from this year alaria esculenta and one red algae (by Algea) October 2013
9 In which Product/Markets can we succeed? Demands to be covered? Which Algaes? Many P/M-opportunities but, only few profitable and accessible Strategy new products: small volumes in high profit markets October 2013
10 Macroalgae = Market possibilities In markets where we are more or less established: Nutrition industry, healthy food Cosmetics Animal feed Niches agriculture Pharmacy new trades: Energy. Electric power production? Biodiesel? A new possibility after the oil age for Norway? - all products based on oil can be replaced by products from sustainable grown macroalgaes plastic, textiles, biofuel etc October 2013
11 Our preciuos brown seaweed Conditions The life of intertidal algae is a succession of setbacks: they are abandoned by the sea and left to be dried by the wind. The return of the tide rehydrates and replenishes them with nutrients, but also brings foulish organisms and mobilizes grazers once more. (T.A. Norton). It has been demonstrated that seaweeds do not confront the waves, they rather yield to them: immense mechanical stength is less useful than pliability, elasticity and ability to conform to the flow. (Norton, Kohel, Danny). Those stressful conditions of living and growing influence the chemical composition of the seaweed, forcing them to evolve chemical means as a response to each kind of challenge given by nature. Chemical Response Five substances, representative of the chemical diversity in seaweeds: 1. ALGINATES, the structure of seaweed 2. FUCOIDANS, the external mucilagineous structure 3. MANNITOL, the principal storage polyol 4. IODINE, inorganic antioxidant 5. PHLOROTANNINS and phenolic compounds, secondary metabolites October 2013
12 Ascophyllum nodosum Algea s Ascophyllum nodosum is found in the coldest and cleanest water, where it withstands both the winter frost and the unique light conditions of summer months. Northern Norway is called the Land of the Midnight Sun. With 24 hours of daylight during the summer, certain chemical compounds are naturally produced in Arctic Norwegian seaweed. Algea is the one with a plant in the Arctic Circle October 2013
13 Our method We developed processes that preserve the incredible characteristics of the seaweed and ensure the minimum environmental impact. We have designed our own purpose-built PROFESSIONAL HARVESTERS in order to cut and gather seaweeds in a sustainable manner, thus allowing it to fully regrow after 4-5 years. Our UNIQUE METHOD is easy on the environment and ensures that only fresh seaweed (free from contamination like shells, sands and small stones) is used as raw material for our products October 2013
14 AGENDA 1. Algea, the Arctic Company 2. Our ID Card 3. Seaweed 4. Our Solutions for different markets 5. Challenges and opportunities October 2013
15 Customer at the core Our solutions have the CUSTOMER at the core. We are a B2B company and we are organized in different businesses, offering specific products for different uses: 1. FOOD: Natural ingredients for companies of the food and nutraceutical business; 2. ESTHE: Special ingredients for cosmetics producers. 3. FERT: High quality seaweed extracts for fertilizer manufacturers; 4. FEED: Feed materials for companies operating in the animal feed sector; October 2013
16 AlgeaFood Solutions WEIGHT CONTROL In USA obesity has increased from a range of 14% in 1990 to more than 25% in In % of European children aged between 5 and 17 is overweight while 5% is obese. One of the most important factors that influencing body weight is the lifestyle, even the diet. SALT REPLACER Cardiovascular diseases (CVDs) remain the largest cause of death worldwide. Scientific evidence shows that simply reducing the population-wide sodium intake by 15% could prevent 8.5 million cardiovascular- related deaths worldwide over 10 years. SPORT NUTRITION and IODINE DEFICIENCY Physical activity reduces the risk of some of the most chronic diseases, including cardiovascular disease, overweight and obesity, type two diabetes and certain cancers. Iodine is related to athletic performance through the action of the thyroid hormones October 2013
17 AlgeaFood Products It is useful both in functional foods or supplements and as a valuable salt replacer. It is rich in anti-oxidant compounds such as phlorotannins, high-quality polyphenols and fucoidans. AlgeaFood Best Totally natural product Integrated and controlled process GMO and solvent free Sustainable harvesting method Certified origin of the raw materials It is used for producing food supplements in capsules, pills and tablets or in functional food to supplement iodine in normal subject or athletes. Ongoing research activity Halal certified October 2013
18 AlgeaFood Products It is useful both in functional foods or supplements and as a valuable salt replacer. It is rich in anti-oxidant compounds such as phlorotannins, high-quality polyphenols and fucoidans. AlgeaFood Best Totally natural product Integrated and controlled process GMO and solvent free Sustainable harvesting method Certified origin of the raw materials It is used for producing food supplements in capsules, pills and tablets or in functional food to supplement iodine in normal subject or athletes. Ongoing research activity Halal certified October 2013
19 AlgeaEsthe Solutions CELLULITE Cellulite is a complex problem involving: Microcirculatory system, Lymphatic system, Extracellular matrix, Presence of excess subcutaneous fat. Cellulite is featured by adipocytes hypertrophy, that determines an increase in interstitial fluid proteins and interstitial pressure; As a result, fluid retention and reduced microcirculation take place. WHITENING The natural complexion of the skin comes from the equilibrium among different chromophores, mainly the melanins. By the action of external assaults, like environmental stresses, hypermelanogenesis can occurr locally, resulting in dark spots, or inflammation may take place, resulting in redness. SKIN AGING Skin has the ability to respond to challenges from outside environment, including pathogens and chemicals. This barrier function helps the skin to remain healthy and younger. Skin aging involves many changes; the skin becomes thin and fragile and wrinkles, uneven pigmentation and dark spots begin to be more apparent October 2013
20 AlgeaEsthe Products Special key ingredients made of pure A. nodosum. AlgeaEsthe Cream is suitable for aging cream for face. Its active compounds can help skin against age marks and wrinkles Special key ingredients made of pure A. nodosum. Ecocert validated, AlgeaEsthe Powder is suitable for mud, scrub and soap. Its active compounds can help the skin to modulate cellulite flaws and dryness October 2013
21 AlgeaFert Solutions The products in the AlgeaFert line are effective ingredients from Ascophyllum nodosum for special fertilisers and represent Algea s core business. They are nutrient concentrates for special fertilisers but in reality the majority of those working in this field call them biostimulants compounds, substances and other products that are applied to plants or soils to regulate and enhance the crop s physiological processes, thus making them more efficient. Biostimulants act on plant physiology through different pathways than nutrients to improve crop vigour, yields, quality and postharvest shelf life/conservation. Crop biostimulation is complementary to crop nutrition and crop protection. 1 AlgeaFert products perform a threefold combined effect as they: 1 EBIC (European Biostimulants Industry Council) definition of biostimulants. Source: October 2013
22 AlgeaFert Products Algea Fert products are seaweed products for horticulture and agriculture. They are all made from Norwegian Ascophyllum nodosum. They consist of a range of precious raw materials for producers of special fertilizers October 2013
23 AlgeaFeed Solutions Algea Feed products are all natural seaweed meals for animal feeding. They consist of dried and crushed brown seaweed. They are made from Norwegian brown seaweeds selectively harvested, safe transported and stored, carefully dried, milled, sieved and packed. All the process meets HACCP standards. AlgeaFeed products can help: An Healthy and balanced growth, guaranteed by a balanced mixture of micro-elements, mostly naturally chelated and therefore more easily assimilated than their synthetic equivalents. The active ingredients help to improve the animals' metabolism. The natural sea minerals found in the brown seaweed can stimulate the physiological response of animals to stress and help them to stay healthy and strong 1. The rich fibre intake facilitates the smooth functioning of the intestines and thus improves the animals' health. 1 - The nutritional value of Seaweed meal for domestic animals, Jensen A. et al October 2013
24 AlgeaFeed Products Algea Feed 1.4, Algea Feed 2.0 and Algea Feed 3.5 are valuable feed materials for cattle, poultry, pigs, sheep and pets. They maintain all chemical components from the seaweeds and have an outstanding ability to take up minerals and store them in a fairly high concentration October 2013
25 AGENDA 1. Algea, the Arctic Company 2. Our ID Card 3. Seaweed 4. Our Solutions for different markets 5. Challenges and possibilities October 2013
26 Where will the food come from? October 2013
27 Sustainable Diets a seaweed possibility Diets with low environmental impacts can contribute to food and nutrition security and to healthy lives for present and future generations «Sustainable diets are protective and respectful of biodiversity and ecosystems, culturally acceptable accessible, economically fair and affordable, nutritionally adequate, safe and healthy, while optimizing natural and human resources» (FAO, 2010) Macroalgae is part of the answer, because healthy food and feed have a big potential. No damaging pollution from CO2. The plants in the sea lives from what naturally is there October 2013
28 Growing demand = possibilities Production from farmed macroalgae: Demand for sustainable and culturally acceptable food. Preparedness: a big food stock localized in the sea close to people Raw material for new industries. Oilbased products to be replaced with sustainable macroalgae products? Plastic-textiles-fuel Organic fertilizer = the solution of the green revolution Reduced deliveries of Phosporus empty mines? Changes for intensive agriculture? October 2013
29 Can we do it? Future generation 3D-printers based on Macro-algaes as medium. Photo of a rifle made from parts coming from a 3D-printer, printed 3D plastic material and assembled A big 3D-printer: What about printing a house, printing sustainable building parts made from macro-algae? October 2013
30 Pippi Longstocking Nine-year-old Pippi is unconventional, assertive, and has superhuman strength, being able to lift her horse one-handed without difficulty. One of her famous sayings: I have never done it before, of course I can do it! The answer for all of us must be: Yes we can October 2013
31 Thank you for your attention!
Algae for fish-feed and other. Tron Kjønnø General Manager
Algae for fish-feed and other Tron Kjønnø General Manager October 2013 AGENDA 1. Algea, the Arctic Company 2. Our ID Card 3. Our seaweed 4. Our Solutions for different markets 5. Challenges and opportunities
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