Eco-friendly partnerships

As part of its sustainable development policy, Vermilion is developing high value-added partnerships for the communities that are close to the oil fields we operate. Oil extraction on Vermilion’s leases is a result of oil, gas, and water (“associated” secondary energy).

Water valorization : heating of tomato production eco greenhouse

Vermilion established a 25-year partnership in 2008 with Tom d’Aqui, an agricultural cooperative and member of the Rougeline group, to provide free heat for 15 hectares of horticultural greenhouses in Parentis-en-Born. The heat is exchanged from water that is a byproduct of our oil production process. This partnership has allowed the creation of an economically and ecologically viable greenhouse complex in which to grow tomatoes.

Today, the greenhouse produces 7,500 tons of tomatoes every year, creates 250 local jobs, and reduces carbon dioxide emissions by 10,000 tons per year.

How does it work?

The Vermilion oil production on the Parentis concession comprises oil, gas and naturally heated water around 60 ° C.
After the separation of these 3 products from the subsurface, the hot water enters a closed circuit where a heat exchanger transfers the heat energy to a second closed circuit belonging to Tom d'Aqui (the waters contained in these two systems never come into contact).
The second closed circuit heats Tom d'Aqui greenhouses located next to the Parentis battery.
Vermilion reuses the extracted water by re-injecting it into the subsurface to maintain pressure and continue production.
The success of this ecological, societal and economic project, which takes advantage of a previously unused energy resource, has led to the extension and implantation of other ecosystems nearby. In less than 10 years:

1. 1. 1. 4 greenhouses built (27Ha)
    2. 35 million euros invested in rural areas
    3. 15 000 tons per year of tomatoes produced
    4. 15 000 tons of CO² saved each year
    5. 350 tertiary jobs created

As a result of this project, Vermilion and Tom d’Aqui have received:

Water valorization : heating of an eco-neighborhood

Vermilion established a 30-year partnership in La Teste de Buch to provide free heat for an eco-neighborhood made up of 550 homes.

This eco-neighborhood – the area’s first – was built on the site of a former hospital and supported by institutional (Townhall – Domofrance), industrial (Engie – Vermilion) and real estate (Pichet), partners. The project embodies the shared desire to create a functional living space, evolving and integrated into its natural environment, which values the heritage and resources of the area.

Vermilion provides 80% of the energy needed to heat these homes by recovering the heat energy from the water from its oil production process near the site (previously this “secondary ” energy was not used).

The remaining 20% is provided by alternative solutions such as biomass gas using a pellet boiler.

How does it work?

The Vermilion oil production on Les Arbousiers concession comprises oil, gas and naturally heated water around 65 °C.
After the separation of these 3 products from the subsurface, the hot water enters a closed circuit where a heat exchanger transfers the heat energy into a second closed circuit belonging to the eco-neighborhood (the waters contained in these two systems never come into contact).
The second closed circuit heats the eco-neighborhood located next to the Cazaux battery.
Vermilion reuses the extracted water by re-injecting it into the subsurface to maintain pressure and continue production.

Water valorization : heating of a high school

Vermilion has been heating the Lycée des Métiers Condorcet in Arcachon, using the warmth recovered from the water used in its oil production process. The project was financed by the Nouvelle-Aquitaine region and the European Innovation Agency via the European Union’s “Horizon 2020” research and innovation program under grant agreement no. 792037).

Today, the Lycée Condorcet has abandoned gas heating in favor of using geothermal heat from Vermilion.

Vermilion's oil productionfrom the Pins concession results in oil, gas and water naturally heated to arount 65°C.
After these three products are separated, the hot water enters a closed circuit where a heat exchanger transfers the heat energy to a second closed circuit belonging to the Lycée (the water in these two systems never comes into contact).
The second closed circuit heats the high school, which is located next to Vermilions's Pines site.
Vermilion reuses the extracted water by reinjecting it back underground to maintain the pressure in the oil reservoir and continue production.
The success of this ecological, societal and economic project, which takes advantage of a previously unused energy resource, allows :

The school to : Significantly reduce its energy costs (Vermilion provides 100% of the heating – if needed, gas takes over). Reduce its CO2 emissions by 190 t/year (forecast).

Vermilion to : Commercialize a secondary energy. Actively contribute to the territory’s sustainable energy dynamics.

Condorcet High school (Gironde - Aquitain Basin)

Heat exchange system on the “Les Pins” site

Vermilion is the operator of the oil concession “Les Pins” (held with IPC Petroleum Gascogne SNC). In order to reduce the impacts of the work necessary for the installation of two pipelines between the oil site and the high school, Vermilion consulted many stakeholders. These included : the owners of the crossed parcels (Arcachon City Council and COBAS), the managers of the existing underground networks ans the ONF, and took into account the envirronmental, technical and land constraints. This included a compensatory forestation agreement with the town of Arcachon.

Water valorization : heating of a sprinulina production unit

A first in France : in the Pyrénées-Atlantiques, in Burosse-Mendousse, Vermilion has been heating a “safe” spirulina (very high quality microalgae) production unit. The process has combined food safety and total traceability since2019thanks to the heat recovered from the water from Vermilion’s oil production process.

While the microalgae nutrition sector is growing rapidly worldwide, Fleur de Vie has established its first microalgae production unit using photobioreactors in the Béarn region of France, which it heats with geothermal heat from Vermilion. Eventually, Fleur de Vie should produce 50 tons/year of spirulina in its 3,000 m² of greenhouses, create a dozen jobs and develop an experienced workforce.

This innovative project was made possible with the help of partners such as Labeliance Business Solutions, the Nouvelle-Aquitaine Region, Europe (FEAMP), BPIfrance, the Pyrénées-Atlantiques Department and the Communauté de communes des Luys en Béarn.

Vermilion’s oil production from the Vic Bilh concession results in oil, gas and water naturally heated to around 60°C.

After these three products are separated, the hot water enters a closed circuit where a heat exchanger transfers the heat energy to a second closed circuit belonging to Fleur de Vie (the waters contained in these two systems never come into contact).
The second closed circuit heats Fleur de Vie's facilities, located next to Vermilion's Vic Bilh site.
Vermilion reuses the extracted water by reinjecting it into the oil reservoir to maintain pressure and continue production.

The success of this ecological, societal and economic project, which takes advantage of a previously unused energy resource, allows :

Fleur de Vie to :

Use a local resource. Allow France to limit imports by producing 50 tons/year, corresponding to the current French production (the 50 tons produced each year by the 150 Spirulinians are now insufficient compared to the demand). Reduce considerably its energy costs and be more competitive on the market. Reduce its CO2 emissions.

Vermilion to :

Commercialize a secondary energy. Actively contribute to the territory’s sustainable energy dynamics.

From left to right : Vermilion facilities (64) and Fleur de Vie facilities

Gas valorization : Self-consumption of electricity using micro-turbines

In the Pyrénées-Atlantiques, on the Vic-Bilh oil concession (Vialer commune), Vermilion has been self-supplying electricity to two of its facilities (nearly 10 wells) since the end of 2021, thanks to the recovery of the “associated (co-produced)” gas from its oil production.

Vermilion wanted to develop a solution that would reflect both its operational excellence and its commitment to being a leader in operational sustainability.

We developed a technical solution to do two things :

We have installed six micro-turbines on our “cluster 2” site, which allow us to use one of the secondary energies in our oil production (the associated gas) to produce electricity for our own consumption. Indeed, Vermilion’s oil production from the Vic Bilh concession results in oil (or crude oil), gas and hot water.

1. 1. 1. The oil is sent to refineries.
    2. The water is reinjected into the reservoir to maintain its pressure and continue production.
    3. The gas is treated in an oxidizer, and then used as fuel for the micro-turbines.

The success of this ecological, societal and economic project, which takes advantage of a previously unused energy resource, allows :

Vermilion to : make use of a secondary energy. Contribute actively to the territory’s sustainable energy dynamics. Reduce considerably our energy costs.