With the aim of transforming algae into a cost-competitive biofuel, Sandia/California has opened a new facility for further research into algae production. Called the algae raceway, the facility comprises three 1,000-liter ponds outfitted with custom lighting, environmental controls, and advanced monitoring. Several efforts are slated to begin immediately: a project to identify the best performing genetically modified algae strains; a partnership with Lawrence Livermore National Laboratory funded by the Department of Energy’s Bioenergy Technologies Office (BETO) to investigate a probiotic approach to algae crop protection; and a BETO project to convert algae proteins into useful chemical compounds, such as butanol. Sandia researchers will also actively pursue collaborations with the private sector.