PetroAlgae Announces Strategic Partnership With Indian Oil Corporation Limited

PetroAlgae to Partner with India's Largest Energy Company to Deploy Micro-crop
to Renewable Fuel Technology

MELBOURNE, Fla., Nov. 3 /PRNewswire-FirstCall/ -- PetroAlgae Inc. (OTC
Bulletin Board: PALG) (PetroAlgae or the Company) today announced that PA LLC,
a Delaware limited liability company that is PetroAlgae's operating subsidiary
has signed a Memorandum of Understanding (MoU) to enter into an agreement to
license the Company's proprietary micro-crop technology to Indian Oil
Corporation Limited (IOCL) for its future large-scale production of renewable
fuels.

Under the terms of the MoU and the license agreement to be completed, IOCL
will build a pilot facility to demonstrate the commercial viability of
producing renewable fuels from micro-crops. Upon achieving success, the pilot
facility is expected to lead to the completion of a licensed unit for
large-scale production of renewable fuels by IOCL.

IOCL publicly issued the following information on the partnership
announcement:

IndianOil signs MoU with PA LLC of Florida

IndianOil signed a Memorandum of Understanding (MoU) with PA LLC of Florida to
collaborate on biodiesel production from micro-algae on October 16, 2009.

The MoU was signed by Mr. B. M. Bansal, Director (P&BD) and Mr. Ottmar
Dippold, CEO, PetroAlgae LLC. Fred Tennant, Executive Vice President, and Adam
Wolfe, Financial Analyst, Mr. Anand Kumar, Director (R&D), were also present.

Together with PA LLC, IndianOil, will pioneer the commercial bio-diesel
production from algae. IndianOil and PA LLC, initially will collaborate on
adapting the algal strains and technology developed by PA LLC to suit Indian
conditions. Thereafter, a pilot facility is proposed to demonstrate the
commercial viability of the technology. A commercial production facility with
a capacity of 200,000 TPA of bio-diesel is proposed in the near future, along
with a high-value protein that can be used as feedstock for animal feed
production as a by-product.

IndianOil has been exploring commercial ventures in all form of alternate
energy including, solar, wind and bio-fuels. Significant progress has been
made by the Corporation in energy crop plantation. Over 850 ha of jatropha
plantation has already been completed in Madhya Pradesh and Chhattisgarh.
During the next season, almost 40,000 ha of plantation is proposed to be
completed along with commercial marketing of bio-diesel through
IndianOil-CREDA Biofuels Limited.
About PetroAlgae Inc.
PetroAlgae (OTCBB: PALG) expects to be the first renewable energy company to
commercialize a system that enables the production of a drop-in replacement
for fossil fuels. The company's globally scalable micro-crop technology
produces a cost-effective alternative to fossil fuels as well as a high
quality protein co-product, while absorbing carbon dioxide from greenhouse gas
emissions. The green fuels produced are functionally compatible with
petroleum-based fuels and therefore use the existing industry infrastructure,
hence the term "drop-in". Through a modular, flexible design construction,
PetroAlgae enables a near-continuous growing and harvesting process of a wide
variety of micro-organisms suited to local climates, ensuring maximum growth
rates. The Florida-based company has established first-mover advantage in the
micro-crop to fuels industry and offers a path to sustainable and clean energy
independence while promoting local job growth.
For further information on PetroAlgae, please visit www.petroalgae.com.
About Indian Oil Corporation Ltd.
Indian Oil Corporation Ltd. (Indian Oil) is currently India's largest company
by sales with a turnover of Rs. 285,337 crore and profit of Rs. 2,950 crore
for fiscal 2008-09. Indian Oil is also the highest ranked Indian company in
the prestigious Fortune 'Global 500' listing, having moved up 19 places to the
116th position in 2008. It is also the 18th largest petroleum company in the
world. Indian Oil's vision is driven by a group of dynamic leaders who have
made it a name to reckon with. The Corporation is celebrating the year 2009 as
its golden jubilee year.
For further information on Indian Oil, please visit www.iocl.com.
Forward Looking Statements: This news release may contain certain
forward-looking statements. Forward-looking statements are based on current
expectations and assumptions and are inherently subject to risks and
uncertainties, some of which cannot be predicted or quantified, and many of
which are beyond the Company's control. Actual results could differ materially
from these forward-looking statements as a result of a number of factors,
including the uncertainty of the launch of our commercialization strategy,
potential delays and/or other factors that may negatively impact the Company's
ability to progress with its strategic alliance with Indian Oil Corporation
Limited (IOCL), the availability of additional capital to support the
Company's operations, particularly the launch of its commercialization
strategy, as well as other risks detailed in the Company's filings with the
Securities and Exchange Commission (the "SEC"). Given these risks and
uncertainties, investors are cautioned not to place undue reliance on such
forward-looking statements and no assurances can be given that such statements
will be achieved. The Company and all affiliated parties do not assume any
duty to publicly update or revise the material contained herein.

SOURCE PetroAlgae Inc.

Media: Katie Hays, Weber Shandwick Seattle, +1-425-452-5428,
khays@webershandwick.com; or Investors: Sean Li. Investor Relations
International, +1-818-382-9700, sli@irintl.com; or at PetroAlgae: David
Szostak, President, +1-321-409-7407