A highly $CO_2$ tolerant microalga, Chlorella KR-1, has been isolated and used to fix $CO_2$ from actual flue gas. Growth of Chlorella KR-1 with the supply of flue gas from a liquified natural gas boiler was comparable to that obtained with 10% $CO_2$. Chlorella KR-1 produced from $CO_2$ fixation using the flue has about 50% crude protein with balanced amino acid profiles. Toxicity was not detected when the microalga was used as a feedstuff for chicks. These results indicate that the KR-1 cells could be a favorable protein source for poultry.