Israel's Seambiotic is employing algae as a biofuel that could also reduce pollution from coal power plants. Executives said the method channels carbon dioxide emissions from coal-burning smokestacks through pools of skeletonema algae, which in turn converts to fuel.

The concept has been tested in the southern Israeli city of Ashkelon, which contains a coal-burning power plant, Middle East Newsline reported.

Algae was said to be capable of manufacturing 30 times more oil than crops currently used for biofuel production.

"As we have already developed and produced algae through the process, our main goal is to market the installation and development of our unique algae growing system around the world," Noam Menczel, director of investor relations at Seambiotic, said.