ANNUAL REPORT 2017INDUSTRIAL BIOTECHNOLOGY

INNOVATION CENTRE

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Foreword 03

Industrial engagement 04

Funding 06

Projects 08

Skills 10

Technical network 12

Equipment Centres 14

Phase one overview 16

Going forward 18

CONTENTS FOREWORDWelcome to IBioIC’s Annual Report of 2017.

IAN SHOTT, CBE, FRENG IBIOIC CHAIRMAN

And of course, let’s not forget our main focus of the Centre - attracting and supporting businesses and organisations advance their plans by participating in our membership group and engaging in valuable collaborative projects. IBioIC’s industrial membership is stronger than ever with over 100 companies signed up to be part of the network. This network spans the full spectrum of IB using businesses located across Scotland, UK, Europe and further afield, and is a real testament to the value that IBioIC provides within the global industry.

As we look to our future, IBioIC will now focus on the delivery of the Phase II plan, leveraging the achievements and joint successes of this past year.

I would like to close by thanking our Governing, Scientific and Commercial Advisory Boards for their continued guidance and whole hearted support over this past year. I also thank the vast array of businesses and stakeholders without whom we would not exist and look forward to helping to build future success for the whole community.

IAN SHOTT, CBE, FRENG IBIOIC CHAIRMAN

2017 has been a year of reflection and planning for IBioIC as we look at the opportunities for industrial biotechnology and how this shapes the future direction of the Centre. Approaching the end of Phase I Funding, the team have been defining, developing and building a strong, robust business case with the full support from industry for Phase II, ensuring we can continue to accelerate and de-risk the commercial exploitation of IB in Scotland and deliver the longer term objectives set out in the UK Government’s Industrial Strategy.

This report focuses on a wide range of achievements and showcases much of our work this past year. I am delighted that our project portfolio has seen a high calibre of commercially viable projects come to fruition this year through our Accelerator programme. We have been thrilled by the surge of activity emanating from both industry and academia within our FlexBio and RBPC equipment centres.

On the skills front, our programme continues to thrive with the launch of the HND in Industrial Biotechnology commencing at a local Glasgow college; our 2016-17 MSc’s graduated in November 2017; and our 2017 cohort of PhD students commencing their studies as part of our new BBSRC Collaborative Training Partnership.

ANNUAL REPORT 2017

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INDUSTRIAL ENGAGEMENT IBioIC puts industrial engagement at the very heart of its activities. Actively forging relationships with businesses of all shapes & sizes, the broad scope of our work places the Centre in a unique position to facilitate collaborations and provide innovative solutions to industry problems within the IB sector.

A key part of this is through IBioIC’s membership model. 2017 saw the Centre sign up its 100th member, cementing the value IBioIC’s services and network provides to the industry.

CASE STUDY:

DELIVERING IMPACT IBioIC’s 3RD ANNUAL CONFERENCE

Attracting over 400 delegates from as far as Illinois, U.S., IBioIC’s Annual Conference has built a reputation as one of the most important industrial biotechnology meetings in the calendar. Combining a unique mix of academia, industry and supporting organisations, delegates attend to hear about the opportunities for IB in Scotland and the landscape of the industry around the globe, as well as participate in networking through conference partnering which in 2017, saw over 230 meetings take place. Feedback received documented a wealth of new business and academic connections being made.

Through insightful plenaries and tracks covering technical and business topics within the industrial biotechnology (IB) market, experts, many of whom are world leading in their field, discussed the opportunities for the bioeconomy and the new developments within the sectors.

CASE STUDY:

100TH MEMBER SPOTLIGHT

Oxford Biotrans joined as IBioIC’s 100th member in 2017 joining the likes of GSK, CRODA and Ingenza. Spun out from the University of Oxford, the company develop and commercialise an environmentally friendly enzymatic process technology to yield high-value chemicals from natural feedstocks.

Their first product, nootkatone, the flavour and scent of grapefruit, is often used as a base or high note to enhance other compounds. A traditionally expensive aromatic, they have developed an enzymatic process to convert valencene, a citrus extract, readily obtained from the cheaper feedstock, oranges, into nootkatone. While the product will still be natural, it will be cheaper and more versatile. This product has just been released commercially for food, beverage and cosmetic applications and could hold potential use for insect repellents too.

With IBioIC’s support, they have developed collaborative networks, secured project partners and funding and accessed academic support, hosting an IBioIC PhD student in the organisation. They will also make use IBioIC’s scale-up facilities to test new ideas and processes for commercialisation.

CASE STUDY:

CELEBRATING MEMBERSHIP SUCCESS

Investing in a new initiative such as the Innovation Centre programme was always going to be a big risk, but one where Ingenza saw great potential. Recognising the objectives of IBioIC as being closely aligned with their own, the Edinburgh-based SME, became a Leading member of IBioIC seeking to tap into the capabilities, facilities and expertise of its industrial membership which now spans over 100 companies from micro to multi-nationals, as well as access to world leading academic expertise.

Over the past three years Ingenza has utilised their membership to its full potential. From recruiting IBioIC MSc students into the company as part of industry placements, forging new relationships at IBioIC led events with universities and organisations seeking innovative biotech solutions, to making use of IBioIC’s scale-up facilities to complete new process experiments.

IBioIC has become the ‘go to’ hub for the industrial biotechnology sector in Scotland and the UK. Having access to IBioIC’s membership benefits has been essential to fully realising our company’s growth potential.

DAVID MCELROY INGENZA LTD

MEMBERSHIP AS AT DEC 2017:

111

IBIOIC SPANS MANY DIFFERENT NETWORKS INCLUDING:

HIGHLIGHTS OF 2017

IBioIC’s annual conference has truly showcased the impact of the IB industry in Scotland and beyond. Scotland is a leading region for the bioeconomy and IB.

AGNES BORG MANAGER, INDUSTRIAL BIOTECHNOLOGY EUROPABIO

20

IN CHEMICAL SCIENCES

12

IN FOOD & DRINK

02

IN MATERIALS SCIENCE

04

IN ENERGY

02

IN WASTE

04

IN INSTRUMENTATION & MEASUREMENT

14

IN ENGINEERING

27

IN LIFE SCIENCES

JANUARY FEBRUARY

Delivering Impact - IBioIC’s 3rd Annual Conference.

£700k invested in companies as part of IBioIC’s Micro Accelerator call.

Launch of IBioIC’s Impact Accelerator call.

38SME’S

UNIVERSITY SPIN-OUTS

MEMBERS IN UNITED

STATES

MULTI- NATIONAL

GIANTS

MICRO

START-UPS

90UK

MEMBERS IN TOTAL

OF WHICH ARE IN

SCOTLAND

45

14MEMBERS

IN EUROPE

06

01REST OF

THE WORLD MEMBERS

05

27

07

28

NEW COMPANIES CREATED WITH SUPPORT OF IBioIC01

05 OTHER

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HIGHLIGHTS OF 2017 Event - Water meets IB.

Event - Wood Wisdom.

MARCH APRIL

Participated at STEM Scotland 2017.

£55k secured by IBioIC as part of Interreg Atlantic Area consortium

FUNDINGWinning competitive funding and supporting our member companies navigate in the increasingly complex funding landscape is a key activity within the Centre. In 2017, IBioIC partnered with a number of external funding organisations to enhance the portfolio of collaborative research projects across its members.

During the financial year of 2016-17, the Centre was awarded £4.8M funding including awards from Scottish and UK Government and the European Commission, leveraging a total of £8.2M of project funding.

IBioIC continues to play a key role within the Bio-based Industries Consortium (BIC). The Centre’s participation in European consortia increased significantly in 2017 as a result of European engagement activities and Scotland’s growing international reputation as a centre of excellence for Industrial Biotechnology. The Centre participated in the submission of 4 Horizon 2020 funding proposals with a total project value of 13.4M EURO. The decisions for these proposals are set to be announced in early 2018.

CASE STUDY:

INTERREG PROJECT

IBioIC is a participant in a 2M EURO project entitled European Marine Biological Resource Centre Biobank (EBB). Funded by Interreg Atlantic Area and coordinated by the University of Vigo in Spain, the project will set the basis for the common operation of the distributed marine biobanking facilities of the European Marine Biological Resource Centre (EMBRC) by:

Setting up technological tools and common procedures for the ex-situ maintenance of Marine Biological Resources (MBRs) along the whole phylogenetic tree of life

Applying best practice guidelines throughout the EBB collections to ensure compliance with regulatory framework that sets the rules on access and benefit sharing on the use of marine bioresources for commercial and academic research

Developing innovative case studies involving industrial end users and administrations at the national and European level with competence in regulating access and benefit sharing for the production of a set of best practice guidelines when using MBRs for innovation purposes

The project features twenty participants from across Europe including three members of IBioIC and will run for 3 years to October 2020.

01FUNDING BODY PARTNER DETAIL

Interreg Atlantic Area 20 partners including IBioIC Led by Toralla Marine Science Station, University of Vigo

00 0.1 0.6 1.10.2 0.7 1.2 1.60.3 0.8 1.3 1.70.4 0.9 1.4 1.80.5 1M 1.5 1.9 2M

£ 5 4 , 4 6 4 A M O U N T AWA R D E D T O I B I O I C £1,82 0,0 0 0 T O TA L P R O J E C T VA L U E

TOTAL

FUNDING BODY PARTNER DETAIL

BBSRC IBioIC only Bid for seven additional PhD studentships as part of the Collaborative Training Partnership

00 0.30.1 0.6 0.80.40.2 0.7 0.90.5 1M

£70 0,0 0 0 A M O U N T AWA R D E D T O I B I O I C £ 9 0 5, 62 5 T O TA L P R O J E C T VA L U E

TOTAL

FUNDING BODY PARTNER DETAIL

Forestry Commission IBioIC only Concept design for a demo biorefinery

00 3010 60 804020 70 9050 100

£73 ,2 0 0 A M O U N T AWA R D E D T O I B I O I C £73 ,2 0 0 T O TA L P R O J E C T VA L U E

TOTAL

INFOGRAPHIC DEMONSTRATES THE FUNDING AMOUNT AWARDED FROM JAN - DEC 2017

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PROJECTSSupporting collaborative research projects between academia and industry which offer innovative, and sustainable solutions using industrial biotechnology, has seen IBioIC’s project portfolio total an accumulated project value of £11M.

IBioIC has also built on the strong relationships with Enterprise Agencies, Zero Waste Scotland and HEI partners to facilitate and enable referrals and funding opportunities for our members.

OUR PROJECT PORTFOLIO CONSISTS OF THE FOLLOWING PROJECT TYPES:

Industry-led – applying biotechnology to address a clear market need or commercial opportunity, these larger scale projects are led by industry in collaboration with one or more of IBioIC’s Scottish HEI Partners

Fact-finding – short collaborative projects used to provide a proof of concept foundation to support applications for larger scale research programmes

Core - exclusive to Leading members, these strategic projects are seen as key to the delivery of Scotland’s National Plan for Industrial Biotechnology

CASE STUDY:

SMART CARBON ADDITIVE CRECHAR TO SUPPORT BIOPROCESSES

Micro company Carbogenics were successful in IBioIC’s second Micro Accelerator funding call. Their circular economy focused project will look to validate whether waste paper and sewage sludge could be transformed into sustainable biochar for use in anaerobic digestion and soil remediation. Keen to support early career scientists, Carbogenics took on IBioIC MSc student, Anthony Starkey, who proved key to the early successes of the project with academic collaborator - University of Edinburgh.

Without Anthony’s input over the first three months, the initial stages of the project would have proceeded more slowly and yielded fewer conclusive results.

A FREE SENIOR LECTURER UNIVERSITY OF EDINBURGH

Anthony had a strong understanding of industrial requirements. He was aware of the costs of our technology and focused his work on economically promising solutions. Despite his short time with us he contributed substantially to our young Company’s strive to start trading.

JAN MUMME DIRECTOR CARBOGENICS LTD

CASE STUDY:

MAPPING RESOURCES FOR BIOREFINING IN SCOTLAND

A new data model created to map the wastes, byproducts and agricultural residues that are, or could be used as feedstocks for biorefining was developed earlier this year. The first of its kind in Scotland, the tool was commissioned by Zero Waste Scotland, IBioIC and Scottish Enterprise to quantify and map bioresource arisings to understand the scale and shape of a potential market. Having this tool in place, presents huge potential for biorefining in Scotland and will enable industry operators to quickly assess the density of both material arisings required as a feedstock, as well as the bioresource content that might be available for them to pursue.

The concentration of Scotland’s large and unique Food and Drink sector makes it particularly well positioned to realise the economic benefits of biorefining, as both the particular feedstocks that may be attractive for biorefining as well as the potential markets for the extracted resources are in high density and well networked.

CASE STUDY:

SUGARS FROM WASTE

Leading Member and Global Healthcare Company GlaxoSmithKline were successful in their application to the IBioIC and Scottish Enterprise jointly funded IB Accelerator call with an innovative project seeking to derive a sustainable source of sugar for use in antibiotic manufacture at GSK’s Irvine site.

Recognising a wider opportunity to add significant value to the Scottish bioeconomy, IBioIC invited Leading Member Ingenza to develop a parallel work programme in collaboration with Edinburgh Napier University, investigating the production of a range of chemicals from waste sugar sources using a variety of bioprocesses.

IBioIC was instrumental in bringing project partners together, leveraging UK science to help achieve the sustainability and circular economy ambitions of the industrial partners involved.

BEN HUCKLE EXTERNAL COLLABORATION LEAD GSK

01 02 03

HIGHLIGHTS OF 2017 Event - All Energy Conference.

JUNEMAY

Event - Skills for Industry.

Collaborative project launched between IBioIC and the Oil & Gas Innovation Centre (OGIC).

National Productivity Investment Fund (NPIF) PhD Studentships awarded to IBioIC.

Launch of IBioIC’s new website.

IBioIC recruits 3 x summer interns.

0100 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22

TOTAL NUMBER OF PROJECTS FUNDED IN 2017

TOTAL NUMBER OF APPLICATIONS SUBMITTED IN 2017

11 22

T O TA L N U M B E R O F P R O J E C T S / A P P L I C AT I O N S S U B M I T T E D

TOTAL PROJECT VALUE (IBIOIC)

P R O J E C T VA L U E I N M I L L I O N S

TOTAL PROJECT VALUE (FULL)

00 010.5 1.5 02 2.5

0.4 2.5

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09 WENT ONTO EMPLOYMENT IN IB SECTOR

04 WENT ON TO FURTHER EDUCATION

08 NOT KNOWN

04 OTHER

01 WENT ONTO EMPLOYMENT OUT WITH SECTOR

SKILLSIBioIC’s educational programmes, the Centre is fast on its way to enabling the next generation of IB practitioners and leaders, and equipping them with knowledge and experience spanning the Scottish University landscape as well as embedding them within UK industry.

CASE STUDY:

KICK STARTING A CAREER IN INDUSTRIAL BIOTECHNOLOGY

Seeing the potential for the career prospects in an innovative and growing industrial biotechnology sector, Scott Hope enrolled for the UK’s first collaborative MSc Industrial Biotechnology in 2016. As part of the course, he took up a project-led three month industry placement with material science company CelluComp, producers of the unique cellulosic material ‘Curran®’. As a result of his work ethic and project results, Scott has now taken up a permanent position at CelluComp within the research and development department.

It’s with thanks to the industrial placement opportunity that the MSc course provided, that I gained a lot of invaluable experience working within the sector and as such, has now resulted in me taking up full time employment within an exciting IB company.

SCOTT HOPE MSC STUDENT 2016-17

CASE STUDY:

THE LAUNCH OF IBIOIC’S COLLABORATIVE TRAINING PARTNERSHIP

As a result of additional funding from BBSRC, IBioIC launched its new Collaborative Training Partnership (CTP) in October. Building on IBioIC’s existing PhD programme, the CTP provides studentships that aim to develop students with the skills required to significantly contribute to the growth of the biotechnology industry. This four year training programme will foster life-long networks within the industry through regular cross cohort training and interactions.

Year 1: Understanding your position in Industrial Biotechnology

Year 2: Developing your expertise

Year 3: Preparing for industry

Year 4: Industry ready

This year’s new cohort kicked off their training in October with an induction day, skills and project management session, intellectual property training and STEM Ambassador overview. Over the course of the year, the students will also participate in student-led thematic group meetings and Annual Symposium.

CASE STUDY:

ADDRESSING THE SKILLS NEED ACROSS THE EDUCATION SPECTRUM

Identifying a need for a skilled IB workforce at all levels, IBioIC worked with the SQA and Glasgow Clyde College to develop a bespoke HND in Industrial Biotechnology which commenced in August 2017 with 15 students taking part.

Studying a range of subjects including Biochemistry, Process Operations, Microbiology Techniques and Industrial Biotechnology, students will also hear from guest lectures from industry and have the opportunity to take part in site visits to IBioIC member organisations. This HND will allow participants to gain the skills and knowledge to enable them to pursue employment opportunities within the industry, or articulate into a degree course within the University of Strathclyde.

We have been delighted with the results that our first cohort of HND students has been achieving to date. So far, we have seen them develop their understanding of the theory behind industrial biotechnology whilst becoming comfortable in a wide range of laboratory techniques and we look forward to seeing how they apply these new practical skills and subject understanding as they progress to an independent laboratory research project in year two.

KEIRA GEDDES SENIOR LECTURER SCIENCE GLASGOW CLYDE COLLEGE

16 PHD STUDENTS ENROLLED 2017-18

28 MSC STUDENTS ENROLLED 2016-17

26 MSC STUDENTS GRADUATED 2016-17

0201 03

HIGHLIGHTS OF 2017 Event - BIO World Congress & Trade Delegation.

AUGUSTJULY

IBioIC hosts student visit from the Chinese Pharmaceutical University.

HND in Industrial Biotechnology launched at Glasgow Clyde College.

IBioIC welcomes visit from MSP Shirley-Anne Somerville to FlexBio.

00

50

25

30

35

40

45

20

05

15 HND STUDENTS ENROLLED 2017-18

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TECHNICAL NETWORK

As IBioIC continues to bridge the gap between education and industry to support and facilitate collaborations, the creation of IBioIC’s Technical Network in 2016 has offered a further step towards providing a single point of contact for industry seeking guidance on how to utilise industrial biotechnology within their organisation.

It is through this network that IBioIC has connected members with specialist individuals whose expertise covers the vast space of industrial biotechnology.

CASE STUDY:

USING BIOINFORMATICS TO SUPPORT DEVELOPMENTS IN SYNTHETIC BIOLOGY

Edinburgh-based Biotangents use state-of-the-art synthetic biology techniques to develop pen-side diagnostic devices based on their proprietary Moduleic Sensing™ technology to detect infectious diseases in livestock quickly and accurately.

Recognising the need for additional expertise in the area of bioinformatics to solve a development problem, Biotangents sought the support of IBioIC’s Technical Network. Dr Leighton Pritchard of The James Hutton Institute was identified as the consultant with the expert capabilities to provide guidance in applied bioinformatics and statistical analysis. Delivering training in Bioinformatics to IBioIC’s PhD cohort, Dr Pritchard had the perfect alignment of biology and informatics expertise to meet Biotangents’ needs.

Over the duration of the project, Dr Pritchard helped Biotangents to develop methods to align experimental data with nucleic acid sequences to generate a predictive model for sequence optimisation within Biotangents’ Moduleic Sensing™ technology.

As a result of the outputs produced from this piece of work, Biotangents will continue to build on the productivity of the consultancy by investing in a new programme of development to enable rapid and precise prediction of nucleic acid sequences for use in pen-side diagnostic devices.

CASE STUDY:

ASSESSING THE VIABILITY OF A PROCESS TO DETERMINE R&D INVESTMENT

Technical Consultant Professor Alex Conradie recently took up the role as Chair of Sustainable Chemical Processing at the University of Nottingham after a career in industry spanning the bio-based chemical industry from amino acids, biologics to polymers.

A chemical engineer by training, Professor Conradie has a wide range of expertise ranging from techno-economics, life-cycle analysis and intellectual property to enzymology, systems biology and metabolic engineering through, fermentation, downstream processing, scale-up and production. This level of expertise made him the ideal choice when an IBioIC member wanted to assess the viability of processes described in the patent literature.

The industrial biotechnology literature – in both peer-reviewed journals and patents – contains many thousands of examples of relatively early-stage, yet promising, work. The member company had identified two licensable patents describing methods to make their target molecules from simple raw materials by fermentation of an engineered microorganism, but found themselves in a situation familiar to many; they wanted to compare production methods: would resources be better invested in developing a chemo- or a bio-process? Which would be more cost effective for the

target molecules? Which process would be more environmentally friendly? What would the return on investment for a conceptual process be? What scale of operation would be optimal?

The patents described genetically engineering microbes able to convert a simple feedstock into the target molecules in a fermentation process. Professor Conradie’s chemical engineering background enabled synthesis of conceptual processes, including upstream and downstream unit operations. He then created techno-economic models for the two target molecules using processes based on the information described in the patents. These models predicted the investment case for the targets based on estimated capital expenditure, variable and fixed operating costs incorporated into an investment analysis. Using Monte-Carlo simulation, he undertook sensitivity analyses based on different scenarios. As a result of this work, the techno-economic models will now be used to identify the optimal processes and direct both potential R&D and investment decisions. Funding permitting, IBioIC and Professor Conradie, in collaboration with Britest, will be developing a user-friendly software package encompassing integrated techno-economic and life-cycle analysis for use by IBioIC members. Thereby, IBioIC will provide for rapid costing of processes using the typically scant information found in the literature.

0201

HIGHLIGHTS OF 2017

OCTOBERSEPTEMBER

Event - Chemistry and IB Showcase.

IBioIC welcomes 4th cohort of MSc students.

Oxford Biotrans joins IBioIC as its 100th member.

Launch of IBioIC’s Collaborative Training Partnership.

Event - Building the Network.

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EQUIPMENT CENTRESWith a dynamic and experienced team in place, IBioIC’s equipment centres are fully operational and have provided much needed scale-up facilities for businesses large and small to support commercialising their concepts without outsourcing abroad.

IBioIC is part of the BioPilotsUK alliance made up of partners across the UK who are pioneering biorefining throughout the UK with world-class expertise, knowledge and facilities.

Together, these centres contribute to the alliance to create an extensive biorefining offer including diverse capabilities at lab, demonstration and pilot scale as well as expertise in landscaping, analytical and modelling assessments.

CASE STUDY:

USING THE RBPC FOR SCALE-UP

Operating a business structured around a marine biorefinery model, Scottish SME Marine Bioploymers Limited (MBL), focus on the use of innovative, ecological macro-algae extraction technologies to develop biocompounds for use in the pharmaceutical, health care and nutraceutical industries.

The company are currently exploiting the potential of microbial-derived exopolysaccharides recovered from algae as novel sources of high value compounds. Working at the Rapid Bioprocess Prototyping Centre (RBPC) in partnership with IBioIC’s technical team and academics from the University of Strathclyde, MBL aim to optimise and reproducibly scale-up the production of these molecules, perform structural and metabolomics analysis of the fermentation and screen for value adding bioactivity.

IBioIC’s RBPC has been fundamental to the optimisation of our organism for enhancing our product quality and yield. Coupling the expertise of academics and industry with the open access facility allows lab scale fundamental research to transition smoothly to an optimised scale-up process.

KIRSTY BLACK PRODUCT DEVELOPMENT MANAGER, MBL

CASE STUDY:

DEVELOPING SUSTAINABLE SOLUTIONS

With a mission to revolutionise the £340bn global livestock feed industry by replacing environmentally damaging products with natural solutions, MiAlgae has developed a novel algae production method to harvest omega-3 oils from micro-algae grown on waste water.

Micro-algae constitute not only a viable alternative to fish oil, but a better-quality product. However, whilst widely available, costs are approximately 5 times more than fish oil due to high nutrient and capital costs associated with production.

To combat this, MiAlgae’s technology utilises the nutrient-rich food and drinks industry wastewater, as well as low-cost modified “off the shelf” brewing fermenters to drastically reduce production costs. The process and strain optimization allow growth of microalgae that produce high levels of omega-3 fatty acids.

With global fish stocks expected to collapse by 2050, it is predicted that this innovative production method will provide a cost-effective alternative to a currently unsustainable process.

Access to technical expertise and specialist equipment within IBioIC’s equipment centres has been immensely valuable in enabling us to carry out R&D activities efficiently and within budget. They offer companies like MiAlgae the opportunity to progress the development of commercially valuable products from basic research, rapid prototyping, through to scale-up.

DOUGLAS MARTIN FOUNDER AND MD, MIALGAE LTD.

02 0301

HIGHLIGHTS OF 2017

DECEMBERNOVEMBER

Event - Scaling Up 2017.

Highly Commended under Training & Development category at IChemE Global Awards 2017.

IBioIC secures Phase II funding for 2018-2023.

IBioIC appoints new Governing Board members.

CASE STUDY:

WORKING BEHIND THE SCENES FOR OUR CLIENTS

Customer confidence in the capabilities, facilities and resources within IBioIC’s equipment centres is key to ensuring their success. That’s why the team at FlexBio recently conducted a series of preliminary experiments testing the viability of a separation process prior to commencing a new project with an IBioIC member company.

Using a 30L bioreactor, high cell-density fermentations of Escherichia coli were conducted followed by an off-line clarification step to separate and further concentrate the cellular material allowing comparisons to be made with the customer’s historical project data. In parallel, the impacts of several parameters were tested to identify the best growth conditions and assess the capability of the different pieces of in-house equipment to run successively.

Outputs of the work enabled: control of dissolved oxygen levels in the bioreactor by cascading different agitation speeds or by sparging with gases; precise regulation of pH; and the ability to control temperature reactively and precisely which is critical for induction using temperature-sensitive expression systems.

The main focus of these performance qualification runs, however, was to validate the use of continuous centrifugation for product isolation. The resulting cell paste after centrifugation was 15 to 20 times more concentrated than the initial cell culture broth after fermentation and crucially the cells survived the relatively harsh processing conditions. In addition, sterilisation- in-place and cleaning-down procedures were also evaluated and optimised. Having proven that the process worked effectively and that the team could operate the customer fermentation and centrifugation processes semi-continuously to the requirements of the member company, work commenced with on an exciting new project in late 2017.

TOTAL DAYS BOOKED

P R O J E C T E N Q U I R I E S : 89 / T O TA L DAYS B O O K E D : 3 31

5000 100 150 200 250 300 350

89 331

R A P I D B I O P R O C E S S P R O T O T Y P I N G C E N T R E

PROJECT ENQUIRES

TOTAL DAYS BOOKED

P R O J E C T E N Q U I R I E S : 10 / T O TA L DAYS B O O K E D : 4 8

1000 20 30 40 50

10 48

F L E X I B L E D OW N S T R E A M B I O P R O C E S S I N G C E N T R E

PROJECT ENQUIRES

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PHASE I IBioIC 2013-2018

In 2014, IBioIC received a grant of £10 million from the Scottish Funding Council over a five-year period to build the following activities:

Develop and engage with the broad IB using and potentially IB using industrial base

Develop an industrially led focussed academic project programme

Develop a skills programme to meet industry’s emerging needs for industrial biotechnology

Since then, IBioIC has financially leveraged this into £27.4 million of direct activity and a further £23.4 million of indirect activity. Demonstrating the capacity of industrial biotechnology to deliver high productivity and high value employment, the impact of this investment is already apparent as detailed in the following infographic.

IBioIC have significantly improved the standing and outlook of Industrial Biotechnology particularly for Scotland. I strongly expect the trajectory and value created from the investments made to date will be seen in future years. There is potential to create a dynamic job market (skilled and semi-skilled) for the future.

IBIOIC INDUSTRY SURVEY RESPONDENT

FINANCIAL SUMMARY 2017: With continued increase in Project and Skills activities, the financial year 2016-17 saw a 69% increase in spend compared to the previous year, with a further 33% increase forecast for 2017-18. Efficiency of resource utilisation continues with only 11% of funds spent on core overheads this year, and a further decrease forecast next year. Over the first 5 years a total of 89% of spend has been directed to programmes.

The percentage of spend funded by industry and other grant income is increasing year-on- year, with 53% of activity in 2016-17 funded from non-SFC sources compared to 33% two years ago. This trend is forecast to continue into next year.

REVIEW OF IBIOIC PHASE 1 TO JULY 2017

I B i o I C I M PAC T S O U TC O M E S

I N D U S T R I A L E N GAG E M E N T SI B i o I C AC T I V I T I E S

EXPENDITURE

EQUIPMENT CENTRE CAPITAL

(£ MILLIONS)

PROJECT PROGRAMME (£ MILLIONS)

SKILLS PROGRAMME (£ MILLIONS)

DIRECT PROGRAMME

SUPPORT (£ MILLIONS)

CORE OVERHEADS (£ MILLIONS)

TOTAL (£ MILLIONS)

2013-2014 ACTUAL £0.0M £0.0M £0.0M £0.242M £0.215M £0.5M

2014-2015 ACTUAL £2.3M £0.751M £0.38M £0.443M £0.491M £4.4M

2015-2016 ACTUAL £0.0M £1.411M £0.757M £0.894M £0.583M £3.6M

2016-2017 ACTUAL £0.0M £3.147M £1.228M £1.118M £0.679M £6.2M

2017-2018 FORECAST £0.0M £4.553M £1.711M £1.233M £0.736M £8.2M

LEGACY FORECAST £0.0M £2.309M £2.243M £0.0M £0.0M £4.6M

TOTAL £2.3M £12.2M £6.3M £3.9M £2.7M £27.4M

0M

9M

10M

8M

7M

6M

5M

4M

3M

2M

1M

2013-14 2014-15 2015-16 2016-17 2017-18 LEGACY

EQUIPMENT CENTRE CAPITAL

PROJECT PROGRAMME

SKILLS PROGRAMME

DIRECT PROGRAMME SUPPORT

CORE OVERHEADS

PROJECTS

INVESTMENT

£4.1M IBIOIC

£12.3M TOTAL

CENTRES

2 EQUIPMENT

CENTRES

INDUSTRY LED PROJECTS

9 COMPETITIONS

80 APPLICATIONS

35 SUCCESSFUL

PROJECTS

OTHER PROJECTS

6

FACT FINDING

2

CORE2

TECHNICAL NETWORK

EXPERTS

SKILLS

INVESTMENT

£2.1M IBIOIC

£7.5M TOTAL

MSc

26 CURRENT STUDENTS

64 GRADUATES

PhD

45 AWARDS

4 COHORTS

22 FURTHER FUNDED

HND

15 CURRENT STUDENTS

STARTED IN 2017

NETWORK ENGAGEMENTS

PRINCIPAL CONNECTIONS

IMPORTANT CONNECTIONS

USEFUL CONNECTIONS

SCOTTISH UK REST OF WORLD

Hydro Nation Water Innovation Service

Queensland University of Technology

United States Department of AgricultureSEPA Organisation for Economic

Co-operation and Development

World Economic Forum

Department of International Trade UCLUniversity

of NottinghamImperial College

London

CPI Beacon BioBased Industries ConsortiumBEIS BBSRC BDCIFR EuropaBio

Scottish Further Education Colleges BioPilotsUKUK Research

CouncilScottish Development

InternationalOther Innovation

CentresZero Waste

ScotlandN8

Universities

Scottish HEI Partners

Scottish Funding Council

Highlands and Islands Enterprise

Scottish Enterprise

Knowledge Transfer Network

Innovate UK

I B i o I C AC T I V I T I E S C O N T I N U E D

£16.2MNEW SALES

120 JOBSCREATED

5 SPIN-OUTSCREATED

ENGAGEMENTS WITH COMPANIES

553 215NEWCOLLABORATIONS

PRODUCTS, PROCESSES & SERVICES DELIVERD TO MARKET

30NEW

INDUSTRY MEMBERS

EVENTS ORGANISED /ATTENDED

BY IBIOIC

COMPANY/ UNIVERSITY CONTACTS

PRESS ARTICLES

ANNUAL CONFERENCES

WEBSITE HITS/YEAR

4 2,729 105 24,067 160 84

15 TOTAL

PROJECTS

WWW.IBIOIC.COM

ANNUAL REPORT 2017INDUSTRIAL BIOTECHNOLOGY INNOVATION CENTRE

1716

IBIOIC’S VISION

We will support business and academia to develop, de-risk,

commercialise and exploit industrial biotechnology in global markets.

We will lead the sector in Scotland to ensure that the technologies, skills

and investment are available to deliver high-value, internationally

competitive manufacturing businesses and, as a result, a dynamic and

growing IB sector.

GOING FORWARD 2018-2023Post 2018, IBioIC has developed along with its industrial membership, a strategy for Phase II which will focus on five key areas of activity supporting and enabling all IB using companies throughout their innovations journeys in Scotland. These are:

1 Providing strategic leadership

2 Accelerating commercialisation

3 Developing new value chains

4 Investing in value chains using biotechnology

5 Skilling the necessary workforce

In Phase II, IBioIC will use the success of Phase I to transform how Scotland implements industrial biotechnology, contributing towards the National Plan for Industrial Biotechnology’s targets of £900million of economic value and over 2500 jobs supported by an IB-using community of over 200 companies.

INDUSTRIAL BIOTECHNOLOGY INNOVATION CENTRE

18 WWW.IBIOIC.COM 19

ANNUAL REPORT 2017

Prepared by:

www.ibioic.com*Content correct at time of printing