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Anaerobic Bacteria-Anaerobic bacteria oxidise the substrate by reducing NAD+ to NADH. But for a continued substrate oxidation it is essential to remove NADH from the cell environment and regenerate NAD+. The electrons from NADH are transferred to H+ ions to produce H2 gas, thereby regenerating NAD+; the reaction is catalyzed by the enzyme hydrogenase.

If H2 producing bacteria are grown in the absence of H+ utilizing species of bacteria, H2 accumulates and can be collected. The substrate for such a digestion can be any biodegradable organic material, including cellulose that has first been hydrolyzed.