About Fuel Oil. Fuel Oil is an organic compound, a mixture of hydrocarbons. It is a highly viscous liquid, with yellowish to black color, insoluble in water and most organic solvents. Fuel Oil is a general classification of petroleum fraction (obtained either as a distillate or as a residue) that is used worldwide in an engine for power generation or is burned in a furnace for heat generation. For this matter, a wide variety of compounds can be categorized as Fuel Oil, diesel is one of those.
Fuel Oil is composed mainly of long-chain alkanes, aromatics, and cycloalkanes. It can be categorized into 6 types, from number 1 to 6. The heavier Fuel Oils (4-6) are largely by-products of the refining process, so their specification can vary greatly. Being a by-product does not mean it has few or no uses; all types of fuel oil indeed are produced and employed in bulk quantities for different uses.
Fuel Oil can be commercialized in the spot market, in which the commodity can be purchased for immediate delivery. Spot prices, unlike contract prices, depend on commodity availability – the lower the availability, the higher will be the commodity price. This trade type is vulnerable to disruptions like plant closures, natural disasters, or supply shortages, which can significantly impact them. Conversely, lower demand and increased producer inventories tend to drive spot prices down.
Fuel Oil Handling. Fuel Oil transportation varies by country and quantity. Lighter Fuel Oils can be transported via pipelines. Inland it is carried by rail cars (landmass transportation, usually in DOT-11 cars, holding 34,500 US gallons) and trucks (land transportation, ranging from 400 to 7,500 US gallons). Worldwide Fuel Oil is shipped by fleets of oil tankers.
Fuel Oil Uses. Fuel Oil is used mainly as ship/truck/car/train fuel; industrial solvent; in house and industrial heat generation; and electricity generation.
