A new technology that makes oil from old tyres offers a green option without sacrificing performance.

In addition to reusing end-of-life tyres rather than sending them to landfill, Green Distillation Technologies’ (GDT) oil also results in around 30% less Nitrogen Oxide being released than traditional fuels.

It was tested by engineers at the Queensland University of Technology, who said it could offer new opportunities for tackling climate change and reducing harmful smog.

They suggested it worked optimally when blended with a small amount of diesel.

Trevor Bayley, Chief Operating Officer at GDT said: “They have said that the future potential of this source of feedstock is immense, in fact preferable to other bio-oils from plants or algae, plus it will reduce Australia’s dependence on imported fuel and it is an excellent example of converting an environmental waste problem into a valuable raw material.”

Around 4kg of carbon, 1.5kg of steel and 4 litres of oil can be recovered from just one standard car tyre.

Plans to upgrade from a pilot plant to full production in 2017 will see the company processing 19,000 tonnes of car and truck tyres each year to produce eight million litres of oil.