http://scitech360.com/Biotech.php?action=view&id=26/
The global frenzy to find alternatives to traditional fossil fuels has gained a new twist, as researchers from a U.S. based Biotech Company, LS9 inc., have developed a mechanism through which genetically re-engineered E.Coli (Escherichia Coli) bacteria and Yeast fungi can produce diesel fuel from waste materials.

The microbes used in this process, are a harmless form of E. Coli and an engineered strain of yeast. The feedstock can be any type of agricultural product, from sugar cane to waste, such as wood chips and wheat straw. The microbes are able to ferment the carbohydrate forms available in the stock to produce gasoline.

This renewable petroleum initiative comes as a respite, as international concern on rising food prices attributed to production of biofuels is beginning to grow. Recent biofuel research has thus sought to focus on developing methods by which non-food crops can be used as stock for biofuel production.

Biofuel experts believe that the LS9 renewable petroleum technology are economically viable and offer the fastest adoption potential for vehicles since the products are customized to closely resemble petroleum fuels, engineered to be clean, renewable, domestically produced, and cost competitive with crude oil.
http://scitech360.com/Biotech.php?action=view&id=26/