Amyris and Crystalsev Join to Launch Innovative Renewable Diesel from Sugarcane by 2010

New Fuel Works in Today's Engines, Reduces Emissions by 80 Percent

SAO PAULO, Brazil, and Emeryville, California, USA - Amyris, the leading innovator of next-generation renewable fuels, and Crystalsev, one of Brazil's largest ethanol distributors and marketers, today announced plans to commercialize advanced renewable fuels made from sugarcane including a diesel, jet fuel and gasoline. The first product, a renewable diesel that works in today's engines, is targeted for commercialization in 2010. Scale-up and testing work to date indicate that this fuel scales more quickly and economically than currently available biofuels, and reduces emissions by 80 percent over petroleum diesel.

Using Amyris' breakthrough technology platform, the new joint venture, Amyris-Crystalsev Pesquisa e Desenvolvimento de Biocombustiveis Ltda, will work with Brazilian sugarcane mills and fuel producers to quickly scale production of the Amyris renewable diesel fuel. Amyris will hold the majority stake in the Amyris-Crystalsev venture, and Crystalsev will hold the remaining stake and contribute commercialization expertise.

Santelisa Vale, the second largest ethanol and sugar producer in Brazil and majority owner of Crystalsev, has contracted to provide two million tons of sugarcane crushing capacity and plans to adopt the new technology beginning at its flagship mill - Santelisa. Santelisa Vale will also provide technical and engineering expertise to accelerate development and scale-up of the Amyris fuel. The Amyris-Crystalsev venture plans to bring other sugar producers into the fold as it launches its diesel fuel and progresses on new products.

"This partnership represents a historic first for the global transportation fuels industry. By securing a significant supply of the most sustainable feedstock and collaborating with our world renowned partners Crystalsev and Santelisa, we now have the ability to take our pioneering technology out of the lab and rapidly scale production toward supplying the needs of the worldwide renewable fuels market," said John Melo, CEO Amyris.

Unlike current biofuels, Amyris renewable fuels are designed to meet or exceed the quality of existing petroleum fuels and be fully compatible with existing fuels infrastructure and engines. They are formulated biologically through sugar fermentation to create hydrocarbons, the same molecular structure found in traditional petroleum fuels. The result is a new kind of renewable fuel that is expected to work in today's automotive and jet engines with no performance trade-offs, to blend at high-levels with other petroleum fuels, and to be fully compatible with existing distribution infrastructure, while offering advantages of significantly reduced emissions.

"With access to this technology, producers of ethanol will have a unique opportunity to expand their fuels business portfolios and create new growth opportunities with a diesel product that our country and the world needs, while offering significant environmental benefits. We are delighted to be working closely with Amyris to bring this promising technology to Brazil," said Rui Lacerda Ferraz, CEO Crystalsev.

As part of the scale up process, this June the partners will open a research and development headquarters in Campinas, a growing region known for its diverse talent and universities and strategically located between Sao Paulo and Brazil's sugarcane region, Ribeirão Preto. The same site will house a renewable fuels pilot facility that is expected to be operational in 2009.

The new fuels can be readily produced in existing ethanol facilities with limited manufacturing changes, which enables rapid adoption and a cost effective platform. Amyris expects to produce its fuels with a wide variety of plant and cellulosic feed stocks over time, and has elected to launch its first product with sugarcane feedstock due to both the environmental benefits of producing fuels from sugarcane and Brazil's world leadership position in alternative fuel production. Amyris-Crystalsev plans to market its renewable fuels worldwide, with initial focus on Brazil and the United States. According to industry analyst estimates, global demand for petroleum diesel is growing at approximately four percent annually and is estimated to exceed 600 billion gallons by 2020. The Brazil diesel market is expected to grow from approximately 45 billion liters in 2007 to over 80 billion liters in 2020.

"Santelisa sees a tremendous opportunity to diversify its business by investing in new energy solutions, add value to its portfolio and promote sustainable practices," said Anselmo Lopes, CEO Santelisa.


About Amyris:
Amyris is applying its proprietary, breakthrough technology to address major global health and energy challenges. Amyris' technology is used to produce high-value compounds to enable the production of lower cost artemisinin-based anti-malarial drugs and a slate of renewable hydrocarbon fuels which are expected to be cost-effective and compatible with existing engines and distribution infrastructure. Based in Emeryville, CA, Amyris is a privately-held venture backed company whose investors include DAG Ventures, Khosla Ventures, Kleiner Perkins Caufield & Byers and TPG Biotech.

About Crystalsev:
Crystalsev is a pioneer in the commercialization of products made from sugarcane. Its areas of business include: providing services to mills; commercialization of sugar and alcohol; and the trading - purchase, resale and management of assets. The company produces more than 2.4 million tons of sugar, which corresponds to eight percent of all sugar manufactured in Brazil, and employs 30,000 people. Crystalsev operates in several regions in the country through 17 divisions that, together, form the second major producer of sugarcane in Brazil. Its management system is used as a model in the sugar & alcohol industry. For additional information about Crystalsev, please visit www.crystalsev.com.br.

About Santelisa Vale:
Santelisa Vale, Brazil's second largest sugar and ethanol producer and first in energy cogeneration from bagasse, expects to crush 18 million tons of sugar cane in 2008. The company will produce 25 million bags of sugar and 770 million liters of ethanol. Santelisa Vale also produces and sells 420 thousand Mwh of electricity, from sugar cane bagasse, marketed for energy companies, enough to supply a population of one million inhabitants per year. The company, with over 70 years of history, is an example of technology and innovation within the segment, offering renewable energy solutions to the world.


CONTACTS

Amyris:
US: Bill Douglass
Tel: 212-986-6667
douglass@braincomm.com

Brazil: Rafael Presilli / Adriana Toledo
Tel: (11) 5096-4334 ramal 280/212
rafael.presilli@ketchum.com.br / Adriana.toledo@ketchum.com.br


Crystalsev:
Inaiá Sant'ana
Inaia@crystalsev.com.br


Santelisa Vale:
Ana Mangieri
ahpm@santelisavale.com.br

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