2026-09-28
In a modern Oil Immersed Transformer, the dielectric fluid is not just an insulator. It is a cooling medium, a diagnostic indicator, and a safety component. The choice between mineral oil and natural ester oil affects the transformer's fire rating, its overload capability, its environmental footprint, and its expected service life. For decades, mineral oil has been the default choice because of its low cost and proven performance. But as installations move closer to populated areas and as environmental regulations tighten, natural ester oil has become the preferred solution for many applications. This guide explains the technical differences and how to evaluate them for your next design.
Mineral oil is a refined petroleum product composed primarily of naphthenic and paraffinic hydrocarbons. Natural ester oil is derived from vegetable sources, such as soybean or rapeseed. The key chemical difference is the presence of ester bonds in the natural ester molecule. These ester bonds give the fluid a higher polarity, which increases its affinity for water. This means that natural ester oil can absorb more moisture than mineral oil without a significant reduction in dielectric strength. The ester bonds also give natural ester oil a higher flash point and a higher fire point. The table below compares the key properties of mineral oil and natural ester oil.
| Property | Mineral oil | Natural ester oil |
| Flash point (°C) | 140 – 160 | 300 – 330 |
| Fire point (°C) | 160 – 180 | 340 – 360 |
| Moisture saturation (ppm at 25°C) | 50 – 60 | 1,000 – 1,200 |
| Dielectric strength (kV, ASTM D1816) | 45 – 55 | 55 – 65 |
| Biodegradability (% in 28 days) | 30 – 50 | 95 – 100 |
| Oxidation stability | Excellent | Moderate (requires additives) |
The higher flash point and fire point of natural ester oil mean that a transformer filled with this fluid can be classified as less flammable. This is a significant advantage for installations in populated areas or indoors. In our factory, we use natural ester oil in Oil Immersed Transformer units that are designed for high fire safety applications. Lugao has been manufacturing these transformers for over 12 years.
The overload capability of an Oil Immersed Transformer is limited by the hot spot temperature of the winding insulation. The insulation degrades faster at higher temperatures. The rate of degradation is described by the Arrhenius equation, which shows that a 6 to 8°C increase in hot spot temperature halves the insulation life. Natural ester oil has a higher thermal conductivity than mineral oil and a higher specific heat capacity. This means that it can remove heat from the winding more effectively. In addition, natural ester oil has a higher flash point, which means that the transformer can operate at a higher top oil temperature without exceeding the fire safety limit. The table below shows the overload capability of a transformer filled with mineral oil and one filled with natural ester oil.
| Overload condition | Mineral oil transformer | Natural ester transformer |
| Rated load (100%) | Hot spot 98°C | Hot spot 94°C |
| 120% load for 2 hours | Hot spot 112°C (exceeds limit) | Hot spot 106°C (within limit) |
| 140% load for 1 hour | Hot spot 125°C (exceeds limit) | Hot spot 118°C (within limit) |
| Emergency overload capability | Limited by flash point | Higher due to higher flash point |
The improved overload capability of natural ester oil is particularly valuable for transformers that experience cyclic loading, such as those in wind farms or industrial facilities with varying demand. In our factory, we have tested Oil Immersed Transformer units with natural ester oil under cyclic overload conditions. The results show that the transformer can handle 20 percent overload for 2 hours without exceeding the insulation temperature limit.
Natural ester oil is readily biodegradable. In standardized tests, it degrades by 95 to 100 percent within 28 days. Mineral oil degrades by only 30 to 50 percent in the same period. This means that if a spill occurs, natural ester oil will break down naturally and will not persist in the environment. Natural ester oil is also non-toxic to aquatic life. The fire safety benefits are equally important. The flash point of natural ester oil is above 300°C, compared to 140 to 160°C for mineral oil. This means that a transformer filled with natural ester oil is much less likely to catch fire if a fault occurs. The table below summarizes the environmental and safety benefits.
| Benefit | Mineral oil | Natural ester oil |
| Biodegradability (28 days) | 30 – 50% | 95 – 100% |
| Aquatic toxicity | Moderate | Low |
| Flash point | 140 – 160°C | 300 – 330°C |
| Fire rating | Standard | Less flammable (K-class) |
| Spill containment requirements | High | Low |
Lugao Power Co.,Ltd manufactures Oil Immersed Transformer units with natural ester oil for applications where fire safety and environmental compliance are critical. Our factory provides full documentation of the fluid properties and the transformer performance.
Switching from mineral oil to natural ester oil in an Oil Immersed Transformer design requires four changes. First, the insulation system must be compatible with the ester fluid. Natural ester oil can dissolve some types of varnish and gasket materials. We use insulation materials that are specifically rated for natural ester oil. Second, the cooling duct design may need to be adjusted because natural ester oil has a higher viscosity than mineral oil. The higher viscosity reduces the flow rate in the cooling ducts, which can increase the winding temperature. We compensate by increasing the duct size or by using a forced cooling system. Third, the oil expansion tank must be larger because natural ester oil has a higher thermal expansion coefficient. Fourth, the oil filtration system must be compatible with the ester fluid. Standard cellulose filters can absorb the ester and become clogged. We use filters that are designed for ester fluids. The table below summarizes the design changes.
| Design aspect | Change required | Reason |
| Insulation materials | Use ester-compatible varnish and gaskets | Prevent dissolution and leakage |
| Cooling ducts | Increase size or use forced cooling | Compensate for higher viscosity |
| Expansion tank | Increase volume by 10 – 15% | Higher thermal expansion coefficient |
| Oil filtration | Use ester-compatible filter elements | Prevent filter clogging |
In our factory, we have completed the design changes for natural ester oil in our standard Oil Immersed Transformer line. We provide a design review service for customers who are considering a switch from mineral oil to natural ester oil.
Natural ester oil plays an increasingly important role in modern Oil Immersed Transformer designs. It offers higher fire safety, better overload capability, and superior environmental performance compared to mineral oil. The design changes required are manageable and well understood. For applications where fire safety or environmental compliance is a priority, natural ester oil is the preferred choice. Lugao Power Co.,Ltd has been manufacturing Oil Immersed Transformer units with natural ester oil for over 12 years and provides full technical support for fluid selection and design optimization.
Lugao Power Co.,Ltd manufactures Oil Immersed Transformer units with natural ester oil for high fire safety and environmentally sensitive applications. We provide full fluid property data and design review services.