LS9 Inc., the Renewable Petroleum Company is one of a few creating microbes or enzymes to produce low cost and energy-efficient alternative biofuels superior to corn-based ethanol or biodiesel made by soybeans and rapeseed. Suite101 sat down with CEO Bill Haywood who shared his thoughts about the business.
As an innovator in sustainable chemicals and renewable fuels LS9 is rapidly working to commercialize and scale its production capabilities to meet market demands. LS9, Inc. was founded in 2005 and is a privately-held biotechnology company based in South San Francisco, California. LS9 produces sustainable fuels and chemicals that are engineered to be environmentally friendly and cost competitive.
A Partnership and Passion for Clean Energy
Bill Haywood not only brings significant experience to his role but also a passion for clean energy and alternative fuels. One of his successes is a promising deal with consumer goods giant Proctor & Gamble to launch sustainable chemical partnership in May of 2009. LS9 promises to reproduce Proctor Gamble’s hydrocarbon building blocks, possibly reducing their carbon footprint by as much as 80% within the next 15 years.
Haywood brings over 30 years of fuel manufacturing, refining, and marketing experience to LS9. Prior to joining LS9, he was the SVP of Manufacturing for Tesoro Petroleum, where he was responsible for the company's seven refineries and over $20 billion in revenue. Under his leadership, Tesoro became a leading independent refiner by integrating refinery acquisitions, and building over $1 billion in capital projects.
Haywood has a strong track record of bringing clean fuels to market in partnership with regulatory agencies such as the California Air Resources Board (CARB), Bay Area Air Quality Management District and South Coast Air Quality Management District. His leadership approach centers on alignment around common goals and helping team members exceed their own expectations. He is a pragmatist who is known for balancing vision with risk, finance with safety, and people with processes.
Challenges of a Start-up CEO
There are many challenges facing a CEO of a hot start-up like LS9. Haywood admits that raising money is the “nature of the game” and one of the biggest challenges, especially in this economy. He continues to say that he feels good about the Proctor & Gamble partnership but realizes that the company needs to raise additional money. Ideally, Haywood would like to partner with an oil and gas company.
Another challenge facing the company is the price of oil. “The price of oil could go down,” explains Haywood. “If this happens then people will wonder: who needs alternative fuels? It’s a short term threat that could really haunt us 15 years down the line.” However, Haywood does believe that oil prices will continue to rise and speculates that by the time LS9 builds its first commercial plant, one will see the price of oil over $100 per barrel.
Lastly recruitment and retention of top science talent is a big challenge for the CEO. “We are working in a brand new field,” says Haywood. “Synthetic biology wasn’t even a degree or course five years ago. And getting the people who not only have the degree but also the experience and can lead these technologies is very challenging.”
Haywood has his work cut out for himself as he pursues and aggressive and tight business plan given the fact that the company is venturing into unchartered territory. Haywood who is a resident of San Francisco walks the talk. He drives a hybrid vehicle and whenever possible walks or rides his bike to his destination. Read more about LS9 in Pathway to Clean Energy.
Britta Stromeyer Esmail - Britta is a bilingual business management professional and executive coach with extensive domestic and international experience in the ...
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