Technical-economic prefeasibility of an olive pomace biorefinery for the main olive-growing areas of Argentina
UC Davis-CA USA
Sept 6th 2024
Pablo Monetta
Bioquímico-Dr. en Ciencias Químicas
Estación Experimental Agropecuaria San Juan (EEA) Instituto Nacional de Tecnología Agropecuaria (INTA) ARGENTINA
monetta.pablo@inta.gob.ar
Olive sector in Argentina
Argentina is the main olive oil producer among South American countries, with over 250.000 t of olives milled per year
During the last two decades, two regions have become the main centers of olive oil production in the country.
• Sarmiento, San Juan • Chilecito, La Rioja
*CNA 2018
Olive sector in Sarmiento and Chilecito
-Main characteristics-
• Large scale intensively managed olive groves • Modern olive oil industries integrated with primary production • Oil extraction is performed by two-phase systems. Olive
pomace (alperujo) is the main olive oil by product. • Lack of pomace oil extractors
Olive pomace –alperujo-
Semi-solid resulting from the olive oil extraction by 2-phase systems Composed of olive stone, pulp and vegetation water.
Does not contain heavy metals or pathogenic microorganisms
NATURAL PRODUCT generated exclusively by mechanical processes
IT REPRESENTS 80% OF THE ANNUAL PRODUCTION OF AN OLIVE GROVE!!!
Difficulties related to pomace management
Environmental • Risk of pollution of water courses in case of uncontrolled overturning
or storage in non-waterproofed ponds. • Toxic effects on some crops (phenolics). • Emanation of odors during long-term accumulation.
Logistics/Economic • Seasonality (high amount in short time period) • Transportation costs (high water content)
Since 2010, Joint public-private work
• Evaluate practices for in situ management of olive pomace • Generate recommendations
Academic and technological institutions
Governmental
Producers
Controlled application of pomace to the olive grove soil
Finca Doña Carmen (el Acequión, San Juan) Solfrut SA (25 de mayo, San Juan)
Practical recommendations on soil application
Olive pomace 40 t/ha (wet) 15-20 t/ha (dry)
-Absence of toxic effects on the crop -No effects on oil production or quality
SOIL DEPTH (cm)
0
K
MO, N, P
Microbial biomass and enzymatic activities
30
No changes in chemical or biological parameters
Monetta et al, 2012; Monetta et al, 2014; Paroldi et al, 2016; Lorca et al 2016
Composting
(Monetta et al, 2014; Bueno et al, 2014; Martinez et al., 2016)
Composting
Recommendations on:
Critical aspects • High initial water content • High phenolic content • Low particle size
Raw materials for cocomposting • Olive leafs • Grape stalk • Goat or chicken manures
Moisture maintenance • Pressurized irrigation • Use of covers
Recovery of Phenolic compounds
Olive PHENOLIC COMPOUNDS include a large group of complex and simple phenols, in which HYDROXYTHYROSOL stands out for its high ANTIOXIDANT activity.
HT: Hydrophilic phenol, with
.
reported health benefits and
promising technological
properties for the cosmetic,
pharmaceutical, food
industries.
Olive phenols distribution
Total phenolic content
2-5 % in oil
95-98% in pomace
(Owen et al., 1998)
Olive pomace represents an attractive source of phenolic compounds and HT
Work strategy
Collaborative work with Fat Institute-CSIC Leading research group in this field
Phenolic compounds recovery in 2 consecutive stages
1.Thermal treatments to olive pomace
Phenolic enriched liquid fractions
2.Adsorption columns
Highly concentrated phenolic extracts
(Fernandez Bolaños et al., 2002; Rodriguez Gutiérrez et al., 2007; Rubio Senent et al., 2013; Lama et al., 2019;…….)
Collaborative work aim
Adapt the proposed process for implementation with standard olive
mill equipment
Facilitate industrial adoption
Process implementation with olive oil equipment (200kg/h)
(Rodríguez Márquez et al., 2023; Rodríguez Márquez et al., 2024)
Total phenols: 50.000 ppm HT: 25.000 ppm
General scheme of the olive pomace biorefinery
PULP/STONE SEPARATOR
THERMO MALAXER
3 PHASE DECANTER
ADSORPTION COLUMNS
Is there interest on the part of the olive industries? Is there enough pomace in the region?
Is this process feasible?
Is this process economically viable?
Technical-economic prefeasibility of an olive pomace biorefinery in Argentina
Survey of olive industries in Chilecito (LR) and Sarmiento (SJ)
• Geolocation • Pomace generation (2022 and 2023) • Needs and expectations regarding pomace
valorization practices.
Pomace generation in both regions (2022 and 2023)
Industry code
SJ01 SJ02 SJ03 SJ04 SJ05 SJ06 SJ07 SJ08 SJ09 SJ10 SJ11 SJ12 SJ13 SJ14 Total
Sarmiento, SJ 2022
2023
Pomace (t) 12800 2800 3040 17600 6000 4800 960 2000 1760 0 640 2800 1680 720 57600
Pomace (t) 16000 2800 4000 17600 8800 4800 2800 4800 2400 17600 800 2400 1440 1200 87440
Industry code LR01 LR02 LR03 LR04 LR05 LR06 LR07 Total
Chilecito, LR 2022
2023
Pomace (t) 6400 12000 4800 6400 9600 12000 2800 54000
Pomace (t) 8800 12000 4400 12400 6400 12000 3600 59600
Sarmiento: 14 industries - 80.000 t Chilecito: 7 industries - 60.000 t Growing trend in both regions
Geolocation of pomace generation
Practices currently being implemented for the management of pomace
Current practices (Sarmiento, SJ)
Current practices (Chilecito, LR)
Stone separation
Stone separation
Olive soilThe implementation of pracDitsitcriebustiotnhinat add
application
value
to
olive
pomace
is
sacgraicrucltueral
alleys
Distribution in
agricultural alleys
Uncontrolled disposal
Oil recovery
Composting
Animal feed
Composting
Uncontrolled disposal 0
Olive soil application
Animal feed
50
100
Oil recovery 0
50
100
Sarmiento
Interest in new practices for the valorization of pomace
Interest
Reason of interest
18 30
82 Yes No 14
70
• Environmental certifications
• Oil recovery
Environmental New business opportunities 17
Chilecito
86 Yes No
83
Environmental New business opportunities
Partial conclusions of survey
• Olive pomace is generated on a large scale and shows a growing trend in both regions.
• The proximity of the industries favors the availability of this input, one of the determining factors for its implementation.
• The implementation of practices that add value to alperujo is scarce
• Most industries showed interest in new business opportunities based on the valorization of pomace.
Economic-financial viability
General assumptions and considerations for de study
• Obtained products, uses, and price • Flowsheet design • Mass balance
Products, use and prices considered
Product Ground stone
Pomace oil
Low phenolic content Pomace Phenolic extract
Characteristics Water content <10%; Particle size 2-3 mm; calorific value 4000-5000
Kcal/kg Acidity > 2%
Water content 40-50%; pit <2% w/w: total phenols <1000 mg/L
Use Solid fuel
Refining process Animal feed: source of fibers
Price (USD) 39 USD/t
75% of VOO price* 20 USD/t
pH 3.5-4.0; total phenols 50,000 mg/L, HT 20-30,000 mg/L
Antioxidant for animal feed
manufacturers
10 USD/L
Flowsheet Design
Decoupling of the initial process into two consecutive processes based on technological complexity
Process 1 “Physical treatment of pomace”
Process 2: “Chromatographic separation of phenols”
Alpechín concentrado
Raw material • Crude pomace Equipment required • Pulp Stone separator • Thermomalaxer • 3-phase decanter • Vertical centrifuge • Reverse osmosis Products • Stone • Pomace oil • Low phenol content
pomace By-products • Concentrated phenolic
enriched liquid fraction
AGUA DEMIN.
ALCOHOL ETILICO
DEPOSITO SOLUCION POLIFENOLES
Raw material
TORRE CROMATOGRAFICA
• Concentrated phenolic
enriched liquid fraction
Equipment required
• Modular chromatographic
DEPOSITO LIQUIDO BAJO EN
POLIFENOLES
columns
• Evaporator
Products EVAPORADOR
• Phenolic extract
Extracto biofenólico rico en hidroxitirosol (HT) Liquido
Sceneries
Scenery 1. Olive oil industry that process its own pomace.
Operational capacity: 20.000 t/year
S1.1-Acquisition of a complete production line and operation in parallel to oil extraction
S1.2-Use of existing equipment during periods of inactivity.
Scenery 2. Industry that receives pomace from olive oil industries
Operational capacity: 80.000 t/year
S2-Acquisition of a complete production line and operation in parallel to oil extraction.
25 km radius
Mass balance for both processes and sceneries
Process 1 “Physical treatment of pomace”
Mass balance -Process 1Scale (t/d) Operation time (d) Operational capacity (t of pomace/year) Stone (t) Pomace oil (t) 3-phase pomace (t) Concentrated phenolic enriched liquid fraction (m3)
72
330
250
23 760 18 000
3 564
2 441
238
200
11 736 7 958
4 111
3 084
240 330 79 200 11 880 792 39 118 13 705
Process 2 “Chromatographic separation of phenols”
Balance de masa Proceso 2 Scale (m3/d) Operation time (d) Operational capacity (m3 of concentrated PELF/year) Phenolic extract (m3/year)
14 300 4 100 240
45 300 13 500 814
Economic-financial viability
CAPEX Capital Expenditures
OPEX Operational expenditures
10-year fund flows
International olive oil price Optimistic: 5000 USD/t Average: 3500 USD/t Pessimist: 2000 USD/t
Economic-financial viability analysis
Indicator
Unit
Net present value (NPV)
Internal Rate of Return (IRR)
Return on invested capital (ROIC)
Investment Recovery Period (IRP)
USD %
Years
Viable >1.000.000
>60 >0.95 <10
Conditioned to case study
999.999500.001
59-41
0.94-0.51
N/A
Not viable <500.000
<40 <0.50 >10
The viability criteria of the financial indicators were agreed with the local olive sector for the year 2023 in Argentina
Results of the economic-financial analysis
Scenery 1. Olive oil industry that process its own pomace.
S1.1-Acquisition of a complete production line and operation in parallel to oil extraction
S1.2-Use of existing equipment during periods of inactivity.
Operational capacity: 20.000 t/year
Scenery 2. Industry that receives pomace from olive oil industries
S2-Acquisition of a complete production line and operation in parallel to oil extraction.
Operational capacity: 80.000 t/year
Process 1
Investment: USD 1 430 822
Indicator IRR (%) NPV (USD) ROIC IRP (years)
International olive oil price
2000
3500
5000
10
25
33
420 488 747 883 1 075 685
0,3
0,5
0,7
>10
>10
>10
Indicator IRR (%) NPV (USD) ROIC IRP (years)
Investment: USD 864 993
International olive oil price
2000
3500
5000
35
59
76
585 729 941 217 1 194 013
0,6
1,0
1,3
>10
6
3
Investment: USD 2 059 710
Indicator IRR (%) NPV (USD) ROIC IRP (years)
International olive oil price
2000
3500
5000
37
66
94
1 498 094 2 590 767 3 683 439
0,6
1,1
1,6
>10
5
2
Process 2
Investment (USD)
2 056 135
Conc. PELF (m3/year)
4 100
IRR (%)
51
NPV (USD)
1 667 508
ROIC
0,8
IRP (years)
7
Investment (USD)
3 093 783
Conc. PELF (m3/year)
13 500
IRR (%) NPV (USD)
110 6 460 661
ROIC
2,1
IRP (years)
2
Main conclusions: Technological feasibility
Process 1 “Physical treatment of pomace”: • Low complexity equipment. • Infrastructure and equipment are available in a standard olive industry. • Can be operated by workers operating olive oil industries.
Process 2 “Chromatographic separation of phenols”: • Greater complexity of acquisition and operation. • Some equipment must be purchased from foreign companies. • Requires workers trained in this technology.
Main conclusions: Economic-financial viability
Process 1, “Physical treatment of pomace” • On its largest scale, it presented favorable indicators in medium and optimistic contexts
of olive oil prices. • On its lower scale, it presented favorable indicators only when existing equipment was
used.
Process 2, “Chromatographic separation of biophenols” • On its largest scale, presented promising economic and financial indicators, far
exceeding standard expectations for investments in this type of project.
General conclusion
The installation of pomace biorefineries in these two productive poles of the Argentine olive basin presents technical feasibility and broadly favorable economic indicators some of the scenarios described above.
We are currently working with case studies to improve the precision of the proposal and allow the project to represent a real contribution to the olive oil sector sustainability
Teamwork
Co-authors of Feasibility study: Laura Renzi (INTI), Silvina Alday (INTA), Javier Beccaria Ibañez (INTA)
Coworkers and collaborators: Manuel Rodríguez Márquez, Luis Bueno, (INTA San Juan)
Guillermo Rodríguez Gutiérrez (IG-CSIC, Sevilla) Cristina Deiana, Marianela Giménez (IIQ-UNSJ) Personnel from olive industries that open their doors to us to conduct interviews
and rehearsals
Thanks for your attention
Muchas gracias por su atención
Pablo Monetta
monetta.pablo@inta.gob.ar
Ver+/-
