The search for decarbonisation The global economic climate has placed the energy sector at a turning point. With the urgent need to reduce greenhouse gas (GHG) emissions, the industry is seeking alternatives that maintain the efficiency of fossil fuels, but without the associated environmental liabilities. In this scenario, the term "green oil" emerges as one of the pillars of the energy transition. But what is it and how does it work?
What is green oil?
Green oil is a technical term used to describe fuels and energy inputs produced from biological and renewable sources, which have physical and chemical properties similar to those derived from fossil oil. Unlike crude oil extracted from deep geological reservoirs, formed over millions of years, green oil is the result of contemporary biotechnological and chemical processes.
Its main base is biomass. This includes a wide range of raw materials, such as agricultural waste, vegetable oils, animal fats, algae, and even municipal solid waste. The central concept is closing the carbon cycle: the CO₂ released during fuel combustion was previously absorbed by plants during their growth, resulting in a neutral or near-zero emissions balance.
While the formation of fossil oil depends on geological eras, the production of green oil occurs in short cycles, and can take only a few days to complete in biorefineries.
Although conventional oil has been the engine of industrial development in the last century, its extraction and combustion are the main sources of carbon dioxide in the atmosphere. In contrast, green oil presents itself as a renewable solution, capable of utilizing existing logistical infrastructure while promoting a low-carbon economy.
How is green oil made?
Green oil production does not follow a single path, but rather a set of technological routes that vary according to the raw material and the desired end product. The main methodologies include:
1 – Hydrotreating (HVO); this is the process used to create so-called Renewable Diesel or HVO (Hydrotreated Vegetable Oil). In this process, vegetable oils or animal fats react with hydrogen under high pressure and temperature. The result is a very pure paraffinic hydrocarbon, free of sulfur and aromatics, which has a chemical structure operationally compatible with fossil diesel.
2 – Biochemical and Thermochemical Cracking: Through fast pyrolysis, solid biomass (such as sugarcane bagasse or wood waste) is converted into a dense liquid known as bio-oil, which undergoes refining stages to be transformed into fractions of gasoline, diesel, or aviation kerosene. Through gasification, biomass is converted into syngas (a mixture of carbon monoxide and hydrogen), which can be processed via Fischer-Tropsch synthesis to generate renewable liquid fuels.
3 – Advanced Fermentation: in the case of biofuels such as ethanol In second-generation (E2G) ethanol, natural or genetically modified microorganisms ferment the sugars present in plant cellulose. Although ethanol is an alcohol, it forms part of the green petroleum ecosystem by directly replacing gasoline in blends or as a base for synthetic fuels.
4 – Algae Farming: Algae are considered the “third generation” of biomass. They have an extremely high growth rate and can accumulate large quantities of lipids (oils), which are extracted and refined. The advantage is that algae do not compete with arable land intended for food production.
Where can green petroleum be used?
The versatility of green petroleum is its greatest competitive advantage. Being a "drop-in" fuel (direct replacement), it doesn't require drastic changes to engines or the distribution network. Its applications span various sectors:
Heavy and Road TransportRenewable diesel produced from green petroleum is ideal for trucks and buses. It has a higher cetane number than regular diesel, which ensures more efficient combustion and reduces wear on internal engine components.
Aviation (SAF)The aviation sector is one of the most difficult to decarbonize. Green oil is the basis for Sustainable Aviation Fuel (SAF). Bio-kerosene can be mixed with fossil aviation kerosene (Jet A-1) without compromising flight safety, and is the main bet for airlines' zero-emission targets by 2050.
Industry and LubricantsIn addition to fuel, green petroleum is processed to generate high-performance lubricants, greases, and solvents. These products have greater biodegradability and lower toxicity, making them preferred in industrial environments seeking stringent environmental certifications.
Power Generation and HeatingIn countries with temperate climates or in remote industrial operations, green oil is used in boilers and generators for the production of steam and electricity, replacing heavy fuel oil and reducing the emission of sulfur oxides (SOx) and particulate matter.
What are the components of green petroleum?
To understand the efficiency of this resource, it is necessary to look at its chemical and structural pillars:
Renewable hydrocarbons: these are molecules formed by hydrogen and carbon that make up the body of the fuel. Unlike conventional biodiesel (FAME), refined green petroleum does not contain oxygen in its molecule, which avoids oxidation problems and improves stability during storage.
Green Hydrogen: often used in the hydrotreatment process of biomass. When the hydrogen used in refining comes from the electrolysis of water with renewable energies (solar or wind), the sustainability index of the final product reaches its maximum level.
Low Contaminant Levels: Green oil is naturally free of nitrogen and heavy metals, elements common in crude oil that cause acid rain and damage to vehicle catalytic converters.
Environmental and economic benefits
The widespread adoption of green oil brings advantages that go beyond reducing the greenhouse effect, directly impacting the sovereignty and economic stability of nations. One of the central points is energy security, since countries dependent on crude oil imports gain the capacity to produce their own fuel from local waste. This drastically reduces exposure to the volatility of international oil prices and the geopolitical uncertainties that usually affect the fossil fuel market.
From an environmental standpoint, the most direct benefit is the reduction of the carbon footprint. Technical studies indicate that the use of renewable diesel and other advanced biofuels can reduce greenhouse gas emissions by up to 80% throughout the entire life cycle, when compared to fossil-based diesel. This efficiency is complemented by regional development, since structuring the biomass production chain generates new jobs both in the field, with waste management and planting, and in technological centers and industrial refining hubs.
Furthermore, green petroleum stands out for preserving existing infrastructure. Because it possesses identical physical and chemical properties to fossil fuels—the so-called drop-in concept—there is no need for expensive modifications to vehicle fleets, industrial engines, or the gas pipeline and storage network. This operational compatibility represents billions in savings in capital investments (CAPEX), allowing for an accelerated and financially viable energy transition for companies and governments.
Despite the optimism, the green oil industry faces barriers to global scalability:
- Production Costs: Currently, the cost per liter of green oil is still higher than that of fossil oil, due to the complexity of the processing and the price of raw materials.
- Raw Material Availability: There is a challenge in ensuring sufficient biomass to meet global demand without causing deforestation or interfering with food security (increased grain prices).
- Need for Public Policies: the sector depends on regulatory frameworks and tax incentives to compete on a level playing field with conventional oil, which often still benefits from indirect subsidies.
Brazil is a leader in green oil.
Brazil occupies a privileged position in this energy race. With the largest biofuel program in the world, the country already uses sugarcane as a true green oil platform.
Brazilian productivity is unparalleled: while corn in the US produces around 3 liters of ethanol per hectare, sugarcane can reach 10 liters with the use of second-generation technologies. Furthermore, the integration of the production chain ensures that nothing is wasted. Bagasse generates bioelectricity, and vinasse is transformed into biogas and fertilizers.
The country possesses millions of hectares of degraded pastureland that can be converted to biomass production without the need to encroach on preserved biomes. This competitive advantage positions Brazil not only as a fuel exporter, but also as an exporter of technology and solutions to the global climate crisis.
How does Alutal contribute to the production of green oil?
The production of green oil demands rigorous control of thermal variables to guarantee the efficiency of technological routes, such as hydrotreating and pyrolysis. In this scenario, Alutal plays a fundamental role as a supplier of high-precision solutions in thermal instrumentation. For biorefineries to operate safely and with maximum productivity, the accurate measurement of reactor temperature is crucial, preventing failures in chemical processes and ensuring the quality of the final fuel.
In addition to providing robust sensors and thermocouples capable of withstanding the harsh environments of biomass refining, Alutal assists companies in optimizing their decarbonization processes. By ensuring impeccable thermal monitoring, the company directly contributes to reducing energy losses and increasing operational reliability, essential elements for green oil to become economically competitive against fossil fuels.
Learn more about Alutal's solutions for biofuels.
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