SBIR-STTR Award

Approximately 900 million oysters are consumed annually in the U.S. with aquaculture making up 95%+ of all U.S. production. Yet growth of oyster farming offshore while expanding somewhat over the past decade is not keeping up with consumer demand. One expert estimates it will take at least another decade for Maine's harvests merely to double. Since most Atlantic oysters (Crassostrea virginica) start life in hatcheries the obvious solution is to hold them indoors until market-size. Maine Shellfish Developers (MSD) has demonstrated that oysters can be grown to market-size economically indoors utilizing conventional up-welling tankage and proven recirculating seawater cleansing systems. Key to our success has been development of an inexpensive nutritious alternate oyster feed that is not dependent on live microalgae. Phase I: There are however two limiting factors that must be addressed and are the objectives of this Phase I effort: (1) how best to manage wastewater to assure 100% recirculation; and (2) how to automate the process to reduce labor and improve oyster husbandry. In rented space at the non-coastal Waldoboro Business Park we are installing additional Mark IV "feedlots" in2018/19 with further expansion planned in 2020. An oyster farmed in this manner is a terrestrial crop not unlike hydroponic tomatoes i.e. under virtual total control - including the taste. Automation should support unprecedented levels of husbandry making possible the "ultimate" oyster i.e. one that is fat tasty and resides in a rounded deep-cupped shell. Oyster Nursery: Indoor oyster feedlots also emulate plant nurseries by selling half-grown "seedlings" each spring. This allows offshore farmers to jump-start summer growth with robust stock that is resistant to disease and predators. Seedlings placed in cages or bottom-planted in April/May can be harvested in November hence single season production. If all of Maine's oyster farmers were to take advantage of the service the annual harvest would double. Anticipated

Benefits:
Converting waste saltwater to re-usable saltwater opens new options for farmed shellfish: can it be used to fertilize microalgae culture? Can salt-loving plants contribute to the cleansing process while generating byproduct revenue? Assuming automation saves labor expense can it be equally supportive of oyster husbandry allowing staff to manipulate stock characteristics to a degree never contemplated before? Financial: Cold water oysters command a premium with Maine oysters considered to be of the highest quality. Restaurants lead the way accounting for over 80% of total oyster consumption with a trend toward smaller cocktail-size oysters. We submit that factory-like conditions make it possible to expand output in warehouse-like space anywhere at a lower cost while yielding a better product that is bio-secure traceable and season-less. Where to? Eventually we envision wide-scale usage via technology licensing throughout the United States allowing aquatic-farmers to establish small and mid-size oyster feedlots in rural sites near major markets. We believe the market demand to be elastic with value-added opportunities. Moreover the system should be equally suitable for other shellfish. This will contribute to national food security and be responsive to global protein need.

The Problem: Today oyster lovers pay caviar-like prices of $2.50 even $3.00 each for a mollusk that was once everyman's cheap luxury. This is not likely to change without a new industrial strategy. It is intrinsically costly to farm from boats and rafts. Near-shore oyster farming is government-regulated; permission to expand is usually onerous to obtain. In colder climes there are significant winter mortalities while down south there is adverse weather including more and stronger hurricanes and unprecedented flooding not to mention bacterial growths such as vibriosis. Everywhere growth is unduly slow and predation burdensome. A new approach is long overdue. Opportunity: The alternative is to follow the lead of salmon farmers and move operations on- land and indoors even to non-coastal sites. Expansion constraints would be lifted since any well- insulated warehouse or space in an abandoned shopping mall would serve. That some shellfish are intertidal animals hence able to be managed out of water at room temperature for several hours at a time makes possible agribusiness-like operations. High-volume oyster through-putwith commensurate economies of scale lead to substantially lower unit costs. Extraordinary environmental and stock control represents a game changer not seen before. Harvests are non- seasonal while the product will be both sustainable and traceable. Objectives: After experimenting with the indoor concept for three years at a marine research institute Maine Shellfish Developers LLC (MSD) expanded during SBIR Phase I into facilities at the non-coastal Waldoboro Business Park Waldoboro ME (Park) where we installed four full-scale oyster "feedlots" (Mark V tankage) in a 60' x 60' room each feedlot rated to yield aharvest of 20000 oysters per month when stocked with 1.5" seedlings four months earlier. Feedlot tankage installed at the Park differs radically from the conventionally styled prototypes (Mark I to IV) in which trials were run at the Darling Marine Center (DMC). Yet to be installed and also not yet perfected is a an embryonic Shellfish-Specific Recirculating Aquaculture System (SS-RAS) that includes remote monitoring and remote management capacities thus making possible 100% water quality control and Park-base remote d control of water quality on contract farms. Perfecting automation too will be crucial to attaining high volume through-put economically with unprecedented bi-valve husbandry made possible too.

Anticipated Results:
While projected to be a profitable operation unto itself this 4-feedlotclosed containment farm will double as a pilot for recruiting contract farm clients at the conclusion of Phase II. Modular design will support contract farm expansion into 20-feedlotfarms once it too has been demonstrated by MSD at the Park With wide-spread contract farming producing oysters at half the cost per unit typical of near-shore farms MSD's land- based Shore-Side brand can penetrate existing markets in large numbers and create new ones including value-added produce as well as world-wide exports. Surf clams and mussels also intertidal animals can likely be added to today's oysters. Commercial applications: The proposed Phase III 4-feedlot contract farm system and the modular-built 20-feedlot farms are projected to yield harvests of one million and five million oysters per year respectively. In time and with multiple 20-feedlots a ten-cent cost per unit maybe within reach. Weekly harvests will be sustainable and year-round. With a diet closely resembling the planktonic content in Maine's estuaries feedlot oysters will be prized for their natural taste while unique for being thin shelled deep cupped and remarkably plump truly the ultimate oyster.