The partners will jointly work towards the development, assessment and promotion of aviation fuels derived from algae oil for the Chinese aviation market.

First phase of the collaboration will employ EADS’ expertise on new generation fuels to carry out maturity assessment of Algae Oil technology, testing and analysis and on the development of tools to assess the environmental, economic and societal impact of this technology.

Commenting on the collaboration EADS chief technology officer Jean Botti said that Microalgae is one of the most promising alternatives to produce aviation bio-fuel.

"We have already proved that it is technically possible to fly with Algae Oil.

"Now we need to demonstrate that the industrial production of algae based biofuel is both ecologically and economically viable," said Botti.

The partners will, in the second phase, will carry out test flights using ENN’s Algae Oil, expected to start in 2013.