Natural gas

Natural gas is a naturally occurring hydrocarbon gas mixture consisting primarily of methane, but commonly including varying amounts of other higher alkanes, and sometimes a small percentage of carbon dioxide, nitrogen, hydrogen sulfide, or helium.[2] It is formed when layers of decomposing plant and animal matter are exposed to intense heat and pressure under the surface of the Earth over millions of years. The energy that the plants originally obtained from the sun is stored in the form of chemical bonds in the gas.[3]

Natural gas is a naturally occurring hydrocarbon used as a source of energy for heating, cooking, and electricity generation. It is also used as a fuel for vehicles and as a chemical feedstock in the manufacture of plastics and other commercially important organic chemicals. Natural gas is called a non-renewable resource.[3]

Natural gas is found in deep underground rock formations or associated with other hydrocarbon reservoirs in coal beds and as methane clathrates. Petroleum is another resource and fossil fuel found in close proximity to and with natural gas. Most natural gas was created over time by two mechanisms: biogenic and thermogenic. Biogenic gas is created by methanogenic organisms in marshes, bogs, landfills, and shallow sediments. Deeper in the earth, at greater temperature and pressure, thermogenic gas is created from buried organic material.[4][5]

In petroleum production gas is often burnt as flare gas. The World Bank estimates that over 150 cubic kilometers of natural gas are flared or vented annually.[6] Before natural gas can be used as a fuel, most, but not all, must be processed to remove impurities, including water, to meet the specifications of marketable natural gas. The by-products of this processing include: ethane, propane, butanes, pentanes, and higher molecular weight hydrocarbons, hydrogen sulfide (which may be converted into pure sulfur), carbon dioxide, water vapor, and sometimes helium and nitrogen.

Natural gas is often informally referred to simply as "gas", especially when compared to other energy sources such as oil or coal. However, it is not to be confused with gasoline, especially in North America, where the term gasoline is often shortened in colloquial usage to gas.

Global Gas trade both LNG and Pipeline
The global natural gas trade in 2013. Numbers are in billion cubic meters per year.[1]
World - Natural Gas Production of Countries
Natural gas extraction by countries in cubic meters per year around 2013.


Burning of natural gas coming out of the ground in Taiwan

Natural gas was discovered accidentally in ancient China, as it resulted from the drilling for brines. Natural gas was first used by the Chinese in about 500 BCE (possibly even 1000 BCE[7]). They discovered a way to transport gas seeping from the ground in crude pipelines of bamboo to where it was used to boil salt water to extract the salt,[8][9] in the Ziliujing District of Sichuan.[10]

The discovery and identification of natural gas in the Americas happened in 1626. In 1821, William Hart successfully dug the first natural gas well at Fredonia, New York, United States, which led to the formation of the Fredonia Gas Light Company. The state of Philadelphia created the first municipally owned natural gas distribution venture in 1836.[11] By 2009, 66 000 km³ (or 8%) had been used out of the total 850 000 km³ of estimated remaining recoverable reserves of natural gas.[12] Based on an estimated 2015 world consumption rate of about 3400 km³ of gas per year, the total estimated remaining economically recoverable reserves of natural gas would last 250 years at current consumption rates. An annual increase in usage of 2–3% could result in currently recoverable reserves lasting significantly less, perhaps as few as 80 to 100 years.[12]


Natural gas

Natural gas drilling rig in Texas.

In the 19th century, natural gas was usually obtained as a by-product of producing oil, since the small, light gas carbon chains came out of solution as the extracted fluids underwent pressure reduction from the reservoir to the surface, similar to uncapping a soft drink bottle where the carbon dioxide effervesces. Unwanted natural gas was a disposal problem in the active oil fields. If there was not a market for natural gas near the wellhead it was prohibitively expensive to pipe to the end user.

In the 19th century and early 20th century, unwanted gas was usually burned off at oil fields. Today, unwanted gas (or stranded gas without a market) associated with oil extraction often is returned to the reservoir with 'injection' wells while awaiting a possible future market or to repressurize the formation, which can enhance extraction rates from other wells. In regions with a high natural gas demand (such as the US), pipelines are constructed when it is economically feasible to transport gas from a wellsite to an end consumer.

In addition to transporting gas via pipelines for use in power generation, other end uses for natural gas include export as liquefied natural gas (LNG) or conversion of natural gas into other liquid products via gas to liquids (GTL) technologies. GTL technologies can convert natural gas into liquids products such as gasoline, diesel or jet fuel. A variety of GTL technologies have been developed, including Fischer–Tropsch (F–T), methanol to gasoline (MTG) and syngas to gasoline plus (STG+). F–T produces a synthetic crude that can be further refined into finished products, while MTG can produce synthetic gasoline from natural gas. STG+ can produce drop-in gasoline, diesel, jet fuel and aromatic chemicals directly from natural gas via a single-loop process.[13] In 2011, Royal Dutch Shell's 140,000 barrels (22,000 m3) per day F–T plant went into operation in Qatar.[14]

Natural gas can be "associated" (found in oil fields), or "non-associated" (isolated in natural gas fields), and is also found in coal beds (as coalbed methane).[15] It sometimes contains a significant amount of ethane, propane, butane, and pentane—heavier hydrocarbons removed for commercial use prior to the methane being sold as a consumer fuel or chemical plant feedstock. Non-hydrocarbons such as carbon dioxide, nitrogen, helium (rarely), and hydrogen sulfide must also be removed before the natural gas can be transported.[16]

Natural gas extracted from oil wells is called casinghead gas (whether or not truly produced up the annulus and through a casinghead outlet) or associated gas. The natural gas industry is extracting an increasing quantity of gas from challenging resource types: sour gas, tight gas, shale gas, and coalbed methane.

There is some disagreement on which country has the largest proven gas reserves. Sources that consider that Russia has by far the largest proven reserves include the US CIA (47 600 km³),[17] the US Energy Information Administration (47 800 km³),[18] and OPEC (48 700 km³).[19] However, BP credits Russia with only 32 900 km³,[20] which would place it in second place, slightly behind Iran (33 100 to 33 800 km³, depending on the source). With Gazprom, Russia is frequently the world's largest natural gas extractor. Major proven resources (in cubic kilometers) are world 187 300 (2013), Iran 33 600 (2013), Russia 32 900 (2013), Qatar 25 100 (2013), Turkmenistan 17 500 (2013) and the United States 8500 (2013).

Countries by Natural Gas Proven Reserves (2014)
Countries by natural gas proven reserves (2014), based on data from The World Factbook.

It is estimated that there are about 900 000 km³ of "unconventional" gas such as shale gas, of which 180 000 km³ may be recoverable.[21] In turn, many studies from MIT, Black & Veatch and the DOE predict that natural gas will account for a larger portion of electricity generation and heat in the future.[22]

The world's largest gas field is the offshore South Pars / North Dome Gas-Condensate field, shared between Iran and Qatar. It is estimated to have 51,000 cubic kilometers (12,000 cu mi) of natural gas and 50 billion barrels (7.9 billion cubic meters) of natural gas condensates.

Because natural gas is not a pure product, as the reservoir pressure drops when non-associated gas is extracted from a field under supercritical (pressure/temperature) conditions, the higher molecular weight components may partially condense upon isothermic depressurizing—an effect called retrograde condensation. The liquid thus formed may get trapped as the pores of the gas reservoir get depleted. One method to deal with this problem is to re-inject dried gas free of condensate to maintain the underground pressure and to allow re-evaporation and extraction of condensates. More frequently, the liquid condenses at the surface, and one of the tasks of the gas plant is to collect this condensate. The resulting liquid is called natural gas liquid (NGL) and has commercial value.

Shale gas

The location of shale gas compared to other types of gas deposits.

Shale gas is natural gas produced from shale. Because shale has matrix permeability too low to allow gas to flow in economical quantities, shale gas wells depend on fractures to allow the gas to flow. Early shale gas wells depended on natural fractures through which gas flowed; almost all shale gas wells today require fractures artificially created by hydraulic fracturing. Since 2000, shale gas has become a major source of natural gas in the United States and Canada.[23] Because of increased shale gas production, the United States is now the number one natural gas producer in the world.[24] Following the success in the United States, shale gas exploration is beginning in countries such as Poland, China, and South Africa.[25][26][27]

Town gas

Town gas is a flammable gaseous fuel made by the destructive distillation of coal. It contains a variety of calorific gases including hydrogen, carbon monoxide, methane, and other volatile hydrocarbons, together with small quantities of non-calorific gases such as carbon dioxide and nitrogen, and is used in a similar way to natural gas. This is a historical technology and is not usually economically competitive with other sources of fuel gas today.

Most town "gashouses" located in the eastern US in the late 19th and early 20th centuries were simple by-product coke ovens that heated bituminous coal in air-tight chambers. The gas driven off from the coal was collected and distributed through networks of pipes to residences and other buildings where it was used for cooking and lighting. (Gas heating did not come into widespread use until the last half of the 20th century.) The coal tar (or asphalt) that collected in the bottoms of the gashouse ovens was often used for roofing and other waterproofing purposes, and when mixed with sand and gravel was used for paving streets.


Methanogenic Archaea are responsible for almost all biological sources of methane, though methylphosphonate-degrading Bacteria produce an as-yet not fully quantified fraction of biogenic methane, particularly in the oceans.[28] Some live in symbiotic relationships with other life forms, including termites, ruminants, and cultivated crops. Other sources of methane, the principal component of natural gas, include landfill gas, biogas, and methane hydrate. When methane-rich gases are produced by the anaerobic decay of organic matter (biomass), these are referred to as biogas (or natural biogas). Sources of biogas include swamps, marshes, and landfills, as well as agricultural waste materials such as sewage sludge and manure by way of anaerobic digesters,[29] in addition to enteric fermentation, particularly in cattle. Landfill gas is created by decomposition of waste in landfill sites. Excluding water vapor, about half of landfill gas is methane and most of the rest is carbon dioxide, with small amounts of nitrogen, oxygen, and hydrogen, and variable trace amounts of hydrogen sulfide and siloxanes. If the gas is not removed, the pressure may get so high that it works its way to the surface, causing damage to the landfill structure, unpleasant odor, vegetation die-off, and an explosion hazard. The gas can be vented to the atmosphere, flared or burned to produce electricity or heat. Biogas can also be produced by separating organic materials from waste that otherwise goes to landfills. This method is more efficient than just capturing the landfill gas it produces. Anaerobic lagoons produce biogas from manure, while biogas reactors can be used for manure or plant parts. Like landfill gas, biogas is mostly methane and carbon dioxide, with small amounts of nitrogen, oxygen and hydrogen. However, with the exception of pesticides, there are usually lower levels of contaminants.

Landfill gas cannot be distributed through utility natural gas pipelines unless it is cleaned up to less than 3% CO
, and a few parts per million H
, because CO
and H
corrode the pipelines.[30] The presence of CO
will lower the energy level of the gas below requirements for the pipeline. Siloxanes in the gas will form deposits in gas burners and need to be removed prior to entry into any gas distribution or transmission system. Consequently, it may be more economical to burn the gas on site or within a short distance of the landfill using a dedicated pipeline. Water vapor is often removed, even if the gas is burned on site. If low temperatures condense water out of the gas, siloxanes can be lowered as well because they tend to condense out with the water vapor. Other non-methane components may also be removed to meet emission standards, to prevent fouling of the equipment or for environmental considerations. Co-firing landfill gas with natural gas improves combustion, which lowers emissions.

Biogas, and especially landfill gas, are already used in some areas, but their use could be greatly expanded. Experimental systems were being proposed for use in parts of Hertfordshire, UK, and Lyon in France. Using materials that would otherwise generate no income, or even cost money to get rid of, improves the profitability and energy balance of biogas production. Gas generated in sewage treatment plants is commonly used to generate electricity. For example, the Hyperion sewage plant in Los Angeles burns 8 million cubic feet (230,000 cubic meters) of gas per day to generate power[31] New York City utilizes gas to run equipment in the sewage plants, to generate electricity, and in boilers.[32] Using sewage gas to make electricity is not limited to large cities. The city of Bakersfield, California, uses cogeneration at its sewer plants.[33] California has 242 sewage wastewater treatment plants, 74 of which have installed anaerobic digesters. The total biopower generation from the 74 plants is about 66 MW.[34]

Crystallized natural gas — hydrates

Huge quantities of natural gas (primarily methane) exist in the form of hydrates under sediment on offshore continental shelves and on land in arctic regions that experience permafrost, such as those in Siberia. Hydrates require a combination of high pressure and low temperature to form.

In 2010, the cost of extracting natural gas from crystallized natural gas was estimated to be as much as twice the cost of extracting natural gas from conventional sources, and even higher from offshore deposits.[35]

In 2013, Japan Oil, Gas and Metals National Corporation (JOGMEC) announced that they had recovered commercially relevant quantities of natural gas from methane hydrate.[36]

The McMahon natural gas processing plant in Taylor, British Columbia, Canada.[37]

Natural gas processing

The image below is a schematic block flow diagram of a typical natural gas processing plant. It shows the various unit processes used to convert raw natural gas into sales gas pipelined to the end user markets.

The block flow diagram also shows how processing of the raw natural gas yields byproduct sulfur, byproduct ethane, and natural gas liquids (NGL) propane, butanes and natural gasoline (denoted as pentanes +).[38][39][40][41]

Schematic flow diagram of a typical natural gas processing plant.


As of 2018, natural gas production in the US has peaked twice, with current levels exceeding both previous peaks.[42] It reached 24.1 million cubic feet in 1973, followed by a decline, and reached 24.5 million cubic feet in 2001. After a brief drop, withdrawals have been increasing nearly every year since 2006, with 2017 production at 33.4 million cubic feet.[43]

Storage and transport

Polyethylene gas main
Polyethylene plastic main being placed in a trench.

Because of its low density, it is not easy to store natural gas or to transport it by vehicle. Natural gas pipelines are impractical across oceans, since the gas needs to be cooled down and compressed, as the friction in the pipeline causes the gas to heat up. Many existing pipelines in America are close to reaching their capacity, prompting some politicians representing northern states to speak of potential shortages. The large trade cost implies that natural gas markets are globally much less integrated, causing significant price differences across countries. In Western Europe, the gas pipeline network is already dense.[44] New pipelines are planned or under construction in Eastern Europe and between gas fields in Russia, Near East and Northern Africa and Western Europe. See also List of natural gas pipelines.

Whenever gas is bought or sold at custody transfer points, rules and agreements are made regarding the gas quality. These may include the maximum allowable concentration of CO
, H
and H
. Usually sales quality gas that has been treated to remove contamination is traded on a "dry gas" basis and is required to be commercially free from objectionable odours, materials, and dust or other solid or liquid matter, waxes, gums and gum forming constituents, which might damage or adversely affect operation of equipment downstream of the custody transfer point.

LNG carriers transport liquefied natural gas (LNG) across oceans, while tank trucks can carry liquefied or compressed natural gas (CNG) over shorter distances.[45] Sea transport using CNG carrier ships that are now under development may be competitive with LNG transport in specific conditions.

Gas is turned into liquid at a liquefaction plant, and is returned to gas form at regasification plant at the terminal. Shipborne regasification equipment is also used. LNG is the preferred form for long distance, high volume transportation of natural gas, whereas pipeline is preferred for transport for distances up to 4,000 km (2,500 mi) over land and approximately half that distance offshore.

CNG is transported at high pressure, typically above 200 bars (20,000 kPa; 2,900 psi). Compressors and decompression equipment are less capital intensive and may be economical in smaller unit sizes than liquefaction/regasification plants. Natural gas trucks and carriers may transport natural gas directly to end-users, or to distribution points such as pipelines.

Manlove gas storage facility crop
Peoples Gas Manlove Field natural gas storage area in Newcomb Township, Champaign County, Illinois. In the foreground (left) is one of the numerous wells for the underground storage area, with an LNG plant, and above ground storage tanks are in the background (right).

In the past, the natural gas which was recovered in the course of recovering petroleum could not be profitably sold, and was simply burned at the oil field in a process known as flaring. Flaring is now illegal in many countries.[46] Additionally, higher demand in the last 20–30 years has made production of gas associated with oil economically viable. As a further option, the gas is now sometimes re-injected into the formation for enhanced oil recovery by pressure maintenance as well as miscible or immiscible flooding. Conservation, re-injection, or flaring of natural gas associated with oil is primarily dependent on proximity to markets (pipelines), and regulatory restrictions.

Natural gas can be indirectly exported through the absorption in other physical output. A recent study suggests that the expansion of shale gas production in the US has caused prices to drop relative to other countries. This has caused a boom in energy intensive manufacturing sector exports, whereby the average dollar unit of US manufacturing exports has almost tripled its energy content between 1996 and 2012.[47]

A "master gas system" was invented in Saudi Arabia in the late 1970s, ending any necessity for flaring. Satellite observation, however, shows that flaring[48][49][50][51] and venting are still practiced in some gas-extracting countries.

Natural gas is used to generate electricity and heat for desalination. Similarly, some landfills that also discharge methane gases have been set up to capture the methane and generate electricity.

Natural gas is often stored underground inside depleted gas reservoirs from previous gas wells, salt domes, or in tanks as liquefied natural gas. The gas is injected in a time of low demand and extracted when demand picks up. Storage nearby end users helps to meet volatile demands, but such storage may not always be practicable.

With 15 countries accounting for 84% of the worldwide extraction, access to natural gas has become an important issue in international politics, and countries vie for control of pipelines.[52] In the first decade of the 21st century, Gazprom, the state-owned energy company in Russia, engaged in disputes with Ukraine and Belarus over the price of natural gas, which have created concerns that gas deliveries to parts of Europe could be cut off for political reasons.[53] The United States is preparing to export natural gas.[54]

Floating liquefied natural gas

Floating liquefied natural gas (FLNG) is an innovative technology designed to enable the development of offshore gas resources that would otherwise remain untapped due to environmental or economic factors it is nonviable to develop them via a land-based LNG operation. FLNG technology also provides a number of environmental and economic advantages:

  • Environmental – Because all processing is done at the gas field, there is no requirement for long pipelines to shore, compression units to pump the gas to shore, dredging and jetty construction, and onshore construction of an LNG processing plant, which significantly reduces the environmental footprint.[55] Avoiding construction also helps preserve marine and coastal environments. In addition, environmental disturbance will be minimised during decommissioning because the facility can easily be disconnected and removed before being refurbished and re-deployed elsewhere.
  • Economic – Where pumping gas to shore can be prohibitively expensive, FLNG makes development economically viable. As a result, it will open up new business opportunities for countries to develop offshore gas fields that would otherwise remain stranded, such as those offshore East Africa.[56]

Many gas and oil companies are considering the economic and environmental benefits of floating liquefied natural gas (FLNG). There are currently projects underway to construct five FLNG facilities. Petronas is close to completion on their FLNG-1[57] at Daewoo Shipbuilding and Marine Engineering and are underway on their FLNG-2 project[58] at Samsung Heavy Industries. Shell Prelude is due to start production 2017.[59] The Browse LNG project will commence FEED in 2019.[60]


Natural gas is primarily used in the northern hemisphere. North America and Europe are major consumers.

Mid-stream natural gas

Often well head gases require removal of various hydrocarbon molecules contained within the gas. Some of these gases include heptane, pentane, propane and other hydrocarbons with molecular weights above methane (CH
). The natural gas transmission lines extend to the natural gas processing plant or unit which removes the higher molecular weighted hydrocarbons to produce natural gas with energy content between 950–1,050 British thermal units per cubic foot (35–39 MJ/m3). The processed natural gas may then be used for residential, commercial and industrial uses.

Natural gas flowing in the distribution lines is called mid-stream natural gas and is often used to power engines which rotate compressors. These compressors are required in the transmission line to pressurize and repressurize the mid-stream natural gas as the gas travels. Typically, natural gas powered engines require 950–1,050 BTU/cu ft (35–39 MJ/m3) natural gas to operate at the rotational name plate specifications.[61] Several methods are used to remove these higher molecular weighted gases for use by the natural gas engine. A few technologies are as follows:

Power generation

Natural gas is a major source of electricity generation through the use of cogeneration, gas turbines and steam turbines. Natural gas is also well suited for a combined use in association with renewable energy sources such as wind or solar[62] and for alimenting peak-load power stations functioning in tandem with hydroelectric plants. Most grid peaking power plants and some off-grid engine-generators use natural gas. Particularly high efficiencies can be achieved through combining gas turbines with a steam turbine in combined cycle mode. Natural gas burns more cleanly than other fuels, such as oil and coal. Because burning natural gas produces both water and carbon dioxide, it produces less carbon dioxide per unit of energy released than coal, which produces mostly carbon dioxide. Burning natural gas produces only about half the carbon dioxide per kilowatt-hour (kWh) that coal does.[63] For transportation, burning natural gas produces about 30% less carbon dioxide than burning petroleum. The US Energy Information Administration reports the following emissions in million metric tons of carbon dioxide in the world for 2012:[64]

  • Natural gas: 6,799
  • Petroleum: 11,695
  • Coal: 13,787

Coal-fired electric power generation emits around 2,000 pounds (900 kg) of carbon dioxide for every megawatt-hour (MWh) generated, which is almost double the carbon dioxide released by natural gas-fired generation.[65] Because of this higher carbon efficiency of natural gas generation, as the fuel mix in the United States has changed to reduce coal and increase natural gas generation, carbon dioxide emissions have unexpectedly fallen. Those measured in the first quarter of 2012 were the lowest of any recorded for the first quarter of any year since 1992.[66]

Combined cycle power generation using natural gas is currently the cleanest available source of power using hydrocarbon fuels, and this technology is widely and increasingly used as natural gas can be obtained at increasingly reasonable costs. Fuel cell technology may eventually provide cleaner options for converting natural gas into electricity, but as yet it is not price-competitive. Locally produced electricity and heat using natural gas powered Combined Heat and Power plant (CHP or Cogeneration plant) is considered energy efficient and a rapid way to cut carbon emissions.[67]

Natural gas generated power has increased from 740 TWh in 1973 to 5140 TWh in 2014, generating 22% of the worlds total electricity. Approximately half as much as generated with coal.[68] Efforts around the world to reduce the use of coal has led some regions to switch to natural gas.

Domestic use

Natural gas dispensed in a residential setting can generate temperatures in excess of 1,100 °C (2,000 °F) making it a powerful domestic cooking and heating fuel.[69] In much of the developed world it is supplied through pipes to homes, where it is used for many purposes including ranges and ovens, gas-heated clothes dryers, heating/cooling, and central heating.[70] Heaters in homes and other buildings may include boilers, furnaces, and water heaters. Both North America and Europe are major consumers of natural gas.

Domestic appliances, furnaces, and boilers use low pressure, usually 6 to 7 inches of water (6" to 7" WC), which is about 0.25 psig. The pressures in the supply lines vary, either utilization pressure (UP, the aforementioned 6" to 7" WC) or elevated pressure (EP), which may be anywhere from 1 psig to 120 psig. Systems using EP have a regulator at the service entrance to step down the pressure to UP.

In the US compressed natural gas (CNG) is used in rural homes without connections to piped-in public utility services, or with portable grills. Natural gas is also supplied by independent natural gas suppliers through Natural Gas Choice programs throughout the United States. However, as CNG costs more than LPG (liquefied petroleum gas), LPG is the dominant source of rural gas.

WMATA 3006
A Washington, D.C. Metrobus, which runs on natural gas.


CNG is a cleaner and also cheaper alternative to other automobile fuels such as gasoline (petrol) and diesel. By the end of 2014 there were over 20 million natural gas vehicles worldwide, led by Iran (3.5 million), China (3.3 million), Pakistan (2.8 million), Argentina (2.5 million), India (1.8 million), and Brazil (1.8 million).[71] The energy efficiency is generally equal to that of gasoline engines, but lower compared with modern diesel engines. Gasoline/petrol vehicles converted to run on natural gas suffer because of the low compression ratio of their engines, resulting in a cropping of delivered power while running on natural gas (10–15%). CNG-specific engines, however, use a higher compression ratio due to this fuel's higher octane number of 120–130.[72]

Besides use in road vehicles, CNG can also be used in aircraft.[73] Compressed natural gas has been used in some aircraft like the Aviat Aircraft Husky 200 CNG[74] and the Chromarat VX-1 KittyHawk[75]

LNG is also being used in aircraft. Russian aircraft manufacturer Tupolev for instance is running a development program to produce LNG- and hydrogen-powered aircraft.[76] The program has been running since the mid-1970s, and seeks to develop LNG and hydrogen variants of the Tu-204 and Tu-334 passenger aircraft, and also the Tu-330 cargo aircraft. Depending on the current market price for jet fuel and LNG, fuel for an LNG-powered aircraft could cost 5,000 rubles (US$100) less per tonne, roughly 60%, with considerable reductions to carbon monoxide, hydrocarbon and nitrogen oxide emissions.

The advantages of liquid methane as a jet engine fuel are that it has more specific energy than the standard kerosene mixes do and that its low temperature can help cool the air which the engine compresses for greater volumetric efficiency, in effect replacing an intercooler. Alternatively, it can be used to lower the temperature of the exhaust.


Natural gas is a major feedstock for the production of ammonia, via the Haber process, for use in fertilizer production.[70]


Natural gas can be used to produce hydrogen, with one common method being the hydrogen reformer. Hydrogen has many applications: it is a primary feedstock for the chemical industry, a hydrogenating agent, an important commodity for oil refineries, and the fuel source in hydrogen vehicles.

Animal and fish feed

Protein rich animal and fish feed is produced by feeding natural gas to Methylococcus capsulatus bacteria on commercial scale.[77][78][79]


Natural gas is also used in the manufacture of fabrics, glass, steel, plastics, paint, and other products.[70][80]

Environmental effects

Effect of natural gas release

Natural gas is mainly composed of methane. After release to the atmosphere it is removed by gradual oxidation to carbon dioxide and water by hydroxyl radicals (OH
) formed in the troposphere or stratosphere, giving the overall chemical reaction CH
+ 2O
+ 2H
.[81][82] While the lifetime of atmospheric methane is relatively short when compared to carbon dioxide,[83] with a half-life of about 7 years, it is more efficient at trapping heat in the atmosphere, so that a given quantity of methane has 84 times the global-warming potential of carbon dioxide over a 20-year period and 28 times over a 100-year period. Natural gas is thus a more potent greenhouse gas than carbon dioxide due to the greater global-warming potential of methane.[84] 2009 estimates by the EPA place global emissions of methane at 85 cubic kilometers (3.0 trillion cubic feet) annually,[83] or 3% of global production, 3.0 trillion cubic meters or 105 trillion cubic feet (2009 est).[85] Direct emissions of methane represented 14.3% by volume of all global anthropogenic greenhouse gas emissions in 2004.[86]

During extraction, storage, transportation, and distribution, natural gas is known to leak into the atmosphere, particularly during the extraction process. A Cornell University study in 2011 demonstrated that the leak rate of methane may be high enough to jeopardize its global warming advantage over coal.[87] This study was criticized later for its over-estimation of methane leakage values.[88] Preliminary results of some air sampling from airplanes done by the National Oceanic and Atmospheric Administration indicated higher-than-estimated methane releases by gas wells in some areas,[89] but the overall results showed methane emissions in line with previous EPA estimates.[90]

Carbon dioxide emissions

Natural gas is often described as the cleanest fossil fuel. It produces 25–30% and 40–45% less carbon dioxide per joule delivered than oil and coal respectively,[63] and potentially fewer pollutants than other hydrocarbon fuels.[63][91] However, in absolute terms, it comprises a substantial percentage of human carbon emissions, and this contribution is projected to grow. According to the IPCC Fourth Assessment Report, in 2004, natural gas produced about 5.3 billion tons a year of CO
emissions, while coal and oil produced 10.6 and 10.2 billion tons respectively. According to an updated version of the Special Report on Emissions Scenario by 2030, natural gas would be the source of 11 billion tons a year, with coal and oil now 8.4 and 17.2 billion respectively because demand is increasing 1.9% a year.

To reduce its greenhouse emissions, the government of the Netherlands is subsidizing a transition away from natural gas for all homes in the country by 2050. In Amsterdam, no new residential gas accounts are allowed as of July 1, 2018, and all homes in the city are expected to be converted by 2040.[92](to what?)

Other pollutants

Natural gas produces far lower amounts of sulfur dioxide and nitrous oxides than other fossil fuels.[91] The pollutants due to natural gas combustion are listed below:[63][93]

Comparison of emissions from natural gas, oil and coal burning
Pollutant (lb/MMBtu)[63] NG Oil Coal
Carbon dioxide 117 164 208
Carbon monoxide 0.040 0.033 0.208
Sulfur dioxide 0.001 1.122 2.591
Nitrogen oxides 0.092 0.448 0.457
Particulates 0.007 0.084 2.744
Mercury 0 0.000007 0.000016


Natural gas extraction also produces radioactive isotopes of polonium (Po-210), lead (Pb-210) and radon (Rn-220). Radon is a gas with initial activity from 5 to 200,000 becquerels per cubic meter of gas. It decays rapidly to Pb-210 which can build up as a thin film in gas extraction equipment.[94]

Safety concerns

Gas pipeline odourant injection facility
A pipeline odorant injection station

The natural gas extraction workforce face unique health and safety challenges and is recognized by the National Institute for Occupational Safety and Health (NIOSH) as a priority industry sector in the National Occupational Research Agenda (NORA) to identify and provide intervention strategies regarding occupational health and safety issues.[95][96]


Some gas fields yield sour gas containing hydrogen sulfide (H
). This untreated gas is toxic. Amine gas treating, an industrial scale process which removes acidic gaseous components, is often used to remove hydrogen sulfide from natural gas.[37]

Extraction of natural gas (or oil) leads to decrease in pressure in the reservoir. Such decrease in pressure in turn may result in subsidence, sinking of the ground above. Subsidence may affect ecosystems, waterways, sewer and water supply systems, foundations, and so on.[97]


Releasing natural gas from subsurface porous rock formations may be accomplished by a process called hydraulic fracturing or "fracking". It's estimated that hydraulic fracturing will eventually account for nearly 70% of natural gas development in North America.[98] Since the first commercial hydraulic fracturing operation in 1949, approximately one million wells have been hydraulically fractured in the United States.[99] The production of natural gas from hydraulically fractured wells has utilized the technological developments of directional and horizontal drilling, which improved access to natural gas in tight rock formations.[100] Strong growth in the production of unconventional gas from hydraulically fractured wells occurred between 2000–2012.[101]

In hydraulic fracturing, well operators force water mixed with a variety of chemicals through the wellbore casing into the rock. The high pressure water breaks up or "fracks" the rock, which releases gas from the rock formation. Sand and other particles are added to the water as a proppant to keep the fractures in the rock open, thus enabling the gas to flow into the casing and then to the surface. Chemicals are added to the fluid to perform such functions as reducing friction and inhibiting corrosion. After the "frack," oil or gas is extracted and 30–70% of the frack fluid, i.e. the mixture of water, chemicals, sand, etc., flows back to the surface. Many gas-bearing formations also contain water, which will flow up the wellbore to the surface along with the gas, in both hydraulically fractured and non-hydraulically fractured wells. This produced water often has a high content of salt and other dissolved minerals that occur in the formation.[102]

The volume of water used to hydraulically fracture wells varies according to the hydraulic fracturing technique. In the United States, the average volume of water used per hydraulic fracture has been reported as nearly 7,375 gallons for vertical oil and gas wells prior to 1953, nearly 197,000 gallons for vertical oil and gas wells between 2000–2010, and nearly 3 million gallons for horizontal gas wells between 2000–2010.[103]

Determining which fracking technique is appropriate for well productivity depends largely on the properties of the reservoir rock from which to extract oil or gas. If the rock is characterized by low-permeability — which refers to its ability to let substances, i.e. gas, pass through it, then the rock may be considered a source of tight gas.[104] Fracking for shale gas, which is currently also known as a source of unconventional gas, involves drilling a borehole vertically until it reaches a lateral shale rock formation, at which point the drill turns to follow the rock for hundreds or thousands of feet horizontally.[105] In contrast, conventional oil and gas sources are characterized by higher rock permeability, which naturally enables the flow of oil or gas into the wellbore with less intensive hydraulic fracturing techniques than the production of tight gas has required.[106][107] The decades in development of drilling technology for conventional and unconventional oil and gas production has not only improved access to natural gas in low-permeability reservoir rocks, but also posed significant adverse impacts on environmental and public health.[108][109][110][111][112]

The US EPA has acknowledged that toxic, carcinogenic chemicals, i.e. benzene and ethylbenzene, have been used as gelling agents in water and chemical mixtures for high volume horizontal fracturing (HVHF).[113] Following the hydraulic fracture in HVHF, the water, chemicals, and frack fluid that return to the well's surface, called flowback or produced water, may contain radioactive materials, heavy metals, natural salts, and hydrocarbons which exist naturally in shale rock formations.[114] Fracking chemicals, radioactive materials, heavy metals, and salts that are removed from the HVHF well by well operators are so difficult to remove from the water they're mixed with, and would so heavily pollute the water cycle, that most of the flowback is either recycled into other fracking operations or injected into deep underground wells, eliminating the water that HVHF required from the hydrologic cycle.[115]

Added odor

In order to assist in detecting leaks, an odorizer is added to the otherwise colorless and almost odorless gas used by consumers. The odor has been compared to the smell of rotten eggs, due to the added tert-Butylthiol (t-butyl mercaptan). Sometimes a related compound, thiophane, may be used in the mixture. Situations in which an odorant that is added to natural gas can be detected by analytical instrumentation, but cannot be properly detected by an observer with a normal sense of smell, have occurred in the natural gas industry. This is caused by odor masking, when one odorant overpowers the sensation of another. As of 2011, the industry is conducting research on the causes of odor masking.[116]

Risk of explosion

Fire engines in Kiev, Ukraine
Gas network emergency vehicle responding to a major fire in Kiev, Ukraine

Explosions caused by natural gas leaks occur a few times each year. Individual homes, small businesses and other structures are most frequently affected when an internal leak builds up gas inside the structure. Frequently, the blast is powerful enough to significantly damage a building but leave it standing. In these cases, the people inside tend to have minor to moderate injuries. Occasionally, the gas can collect in high enough quantities to cause a deadly explosion, disintegrating one or more buildings in the process. The gas usually dissipates readily outdoors, but can sometimes collect in dangerous quantities if flow rates are high enough. However, considering the tens of millions of structures that use the fuel, the individual risk of using natural gas is very low.

Risk of carbon monoxide inhalation

Natural gas heating systems may cause carbon monoxide poisoning if unvented or poorly vented. In 2011, natural gas furnaces, space heaters, water heaters and stoves were blamed for 11 carbon monoxide deaths in the US. Another 22 deaths were attributed to appliances running on liquified petroleum gas, and 17 deaths on gas of unspecified type. Improvements in natural gas furnace designs have greatly reduced CO poisoning concerns. Detectors are also available that warn of carbon monoxide and/or explosive gas (methane, propane, etc.).[117]

Energy content, statistics, and pricing

Henry hub NG prices
Natural gas prices at the Henry Hub in US dollars per million BTUs ($/mmbtu).
Natural Gas Price Comparison
Comparison of natural gas prices in Japan, United Kingdom, and United States, 2007–2011

Quantities of natural gas are measured in normal cubic meters (cubic meter of gas at "normal" temperature 0 °C (32 °F) and pressure 101.325 kPa (14.6959 psi)) or standard cubic feet (cubic foot of gas at "standard" temperature 60.0 °F (15.6 °C) and pressure 14.73 psi (101.6 kPa)), one cubic meter ≈ 35.3147 cu ft. The gross heat of combustion of commercial quality natural gas is around 39 MJ/m3 (0.31 kWh/cu ft), but this can vary by several percent. This is about 49 MJ/kg (6.2 kWh/lb) (assuming a density of 0.8 kg/m3 (0.05 lb/cu ft),[118] an approximate value).

European Union

Gas prices for end users vary greatly across the EU.[119] A single European energy market, one of the key objectives of the EU, should level the prices of gas in all EU member states. Moreover, it would help to resolve supply and global warming issues,[120] as well as strengthen relations with other Mediterranean countries and foster investments in the region.[121]

United States

US Natural Gas Production
US Natural Gas Marketed Production 1900 to 2012 (US EIA data)
Gas Production Top 5 Countries
Trends in the top five natural gas-producing countries (US EIA data)

In US units, one standard cubic foot (28 L) of natural gas produces around 1,028 British thermal units (1,085 kJ). The actual heating value when the water formed does not condense is the net heat of combustion and can be as much as 10% less.[122]

In the United States, retail sales are often in units of therms (th); 1 therm = 100,000 BTU. Gas sales to domestic consumers are often in units of 100 standard cubic feet (scf). Gas meters measure the volume of gas used, and this is converted to therms by multiplying the volume by the energy content of the gas used during that period, which varies slightly over time. The typical annual consumption of a single family residence is 1,000 therms or one Residential Customer Equivalent (RCE). Wholesale transactions are generally done in decatherms (Dth), thousand decatherms (MDth), or million decatherms (MMDth). A million decatherms is a trillion BTU, roughly a billion cubic feet of natural gas.

The price of natural gas varies greatly depending on location and type of consumer. In 2007, a price of $7 per 1000 cubic feet ($0.25/m3) was typical in the United States. The typical caloric value of natural gas is roughly 1,000 BTU per cubic foot, depending on gas composition. This corresponds to around $7 per million BTU or around $7 per gigajoule (GJ). In April 2008, the wholesale price was $10 per 1000 cubic feet ($10/MMBTU).[123] The residential price varies from 50% to 300% more than the wholesale price. At the end of 2007, this was $12–$16 per 1000 cubic feet ($0.42–$0.57/m3).[124] Natural gas in the United States is traded as a futures contract on the New York Mercantile Exchange. Each contract is for 10,000 MMBTU or 10 billion BTU (10,551 GJ). Thus, if the price of gas is $10/MMBTU on the NYMEX, the contract is worth $100,000.


Canada uses metric measure for internal trade of petrochemical products. Consequently, natural gas is sold by the gigajoule (GJ), cubic meter (m3) or thousand cubic meters (E3m3). Distribution infrastructure and meters almost always meter volume (cubic foot or cubic meter). Some jurisdictions, such as Saskatchewan, sell gas by volume only. Other jurisdictions, such as Alberta, gas is sold by the energy content (GJ). In these areas, almost all meters for residential and small commercial customers measure volume (m3 or ft3), and billing statements include a multiplier to convert the volume to energy content of the local gas supply.

A gigajoule (GJ) is a measure approximately equal to half a barrel (250 lbs) of oil, or 1 million BTUs, or 1,000 cu ft or 28 m3 of gas. The energy content of gas supply in Canada can vary from 37 to 43 MJ/m3 (990 to 1,150 BTU/cu ft) depending on gas supply and processing between the wellhead and the customer.


In the rest of the world, natural gas is sold in gigajoule retail units. LNG (liquefied natural gas) and LPG (liquefied petroleum gas) are traded in metric tonnes (1,000 kg) or MMBTU as spot deliveries. Long term natural gas distribution contracts are signed in cubic meters, and LNG contracts are in metric tonnes. The LNG and LPG is transported by specialized transport ships, as the gas is liquified at cryogenic temperatures. The specification of each LNG/LPG cargo will usually contain the energy content, but this information is in general not available to the public.

In the Russian Federation, Gazprom sold approximately 250 billion cubic meters (8.8 trillion cubic feet) of natural gas in 2008. In 2013 they produced 487.4 billion cubic meters (17.21 trillion cubic feet) of natural and associated gas. Gazprom supplied Europe with 161.5 billion cubic meters (5.70 trillion cubic feet) of gas in 2013.

In August 2015, possibly the largest natural gas discovery in history was made and notified by an Italian gas company ENI. The energy company indicated that it has unearthed a "supergiant" gas field in the Mediterranean Sea covering about 40 square miles (100 km2). It was also reported that the gas field could hold a potential 30 trillion cubic feet (850 billion cubic meters) of natural gas. ENI said that the energy is about5.5 billion barrels of oil equivalent [BOE] (3.4×1010 GJ). The field was found in the deep waters off the northern coast of Egypt and ENI claims that it will be the largest ever in the Mediterranean and even the world.[125]

Natural gas as an asset class for institutional investors

Research conducted by the World Pensions Council (WPC) suggests that large US and Canadian pension funds and Asian and MENA area SWF investors have become particularly active in the fields of natural gas and natural gas infrastructure, a trend started in 2005 by the formation of Scotia Gas Networks in the UK by OMERS and Ontario Teachers' Pension Plan.

Adsorbed natural gas (ANG)

Another way to store natural gas is adsorbing it to the porous solids called sorbents. The best condition for methane storage is at room temperature and atmospheric pressure. The used pressure can be up to 4 MPa (about 40 times atmospheric pressure) for having more storage capacity. The most common sorbent used for ANG is activated carbon (AC). Three main types of activated carbons for the ANG are: Activated Carbon Fiber (ACF), Powdered Activated Carbon (PAC), activated carbon monolith.[126]

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External links

Compressed natural gas

Compressed natural gas (CNG) (methane stored at high pressure) is a fuel which can be used in place of gasoline, diesel fuel and propane/LPG. CNG combustion produces fewer undesirable gases than the aforementioned fuels. In comparison to other fuels, natural gas poses less of a threat in the event of a spill, because it is lighter than air and disperses quickly when released. Biomethane – cleaned-up biogas from anaerobic digestion or landfills – can be used.

CNG is made by compressing natural gas, (which is mainly composed of methane, CH4), to less than 1 percent of the volume it occupies at standard atmospheric pressure. It is stored and distributed in hard containers at a pressure of 20–25 MPa (2,900–3,600 psi), usually in cylindrical or spherical shapes.

CNG is used in traditional gasoline/internal combustion engine automobiles that have been modified or in vehicles which were manufactured for CNG use, either alone ('dedicated'), with a segregated gasoline system to extend range (dual fuel) or in conjunction with another fuel such as diesel (bi-fuel). Natural gas vehicles are increasingly used in Iran, especially Pakistan, the Asia-Pacific region, Indian capital of Delhi, and other large cities like Ahmedabad, Mumbai, Pune, Kolkata—as well as cities such as Lucknow, Kanpur, Varanasi, etc. Its use is also increasing in South America, Europe and North America because of rising gasoline prices. In response to high fuel prices and environmental concerns, CNG is starting to be used also in tuk-tuks and pickup trucks, transit and school buses, and trains.

The cost and placement of fuel storage tanks is the major barrier to wider/quicker adoption of CNG as a fuel. It is also why municipal government, public transportation vehicles were the most visible early adopters of it, as they can more quickly amortize the money invested in the new (and usually cheaper) fuel. In spite of these circumstances, the number of vehicles in the world using CNG has grown steadily (30 percent per year). Now, as a result of the industry's steady growth, the cost of such fuel storage tanks has been brought down to a much more acceptable level. Especially for the CNG Type 1 and Type 2 tanks, many countries are able to make reliable and cost effective tanks for conversion need.CNG's volumetric energy density is estimated to be 42 percent that of liquefied natural gas (because it is not liquefied), and 25 percent that of diesel fuel.

Downstream (petroleum industry)

The oil and gas industry is usually divided into three major sectors: upstream, midstream, and downstream. The downstream sector is the refining of petroleum crude oil and the processing and purifying of raw natural gas, as well as the marketing and distribution of products derived from crude oil and natural gas. The downstream sector reaches consumers through products such as gasoline or petrol, kerosene, jet fuel, diesel oil, heating oil, fuel oils, lubricants, waxes, asphalt, natural gas, and liquefied petroleum gas (LPG) as well as hundreds of petrochemicals.

Midstream operations are often included in the downstream category and are considered to be a part of the downstream sector.


Enron Corporation was an American energy, commodities, and services company based in Houston, Texas. It was founded in 1985 as a merger between Houston Natural Gas and InterNorth, both relatively small regional companies. Before its bankruptcy on December 3, 2001, Enron employed approximately 29,000 staff and was a major electricity, natural gas, communications and pulp and paper company, with claimed revenues of nearly $101 billion during 2000. Fortune named Enron "America's Most Innovative Company" for six consecutive years.

At the end of 2001, it was revealed that Enron's reported financial condition was sustained by institutionalized, systematic, and creatively planned accounting fraud, known since as the Enron scandal. Enron has since become a well-known example of willful corporate fraud and corruption. The scandal also brought into question the accounting practices and activities of many corporations in the United States and was a factor in the enactment of the Sarbanes–Oxley Act of 2002. The scandal also affected the greater business world by causing the dissolution of the Arthur Andersen accounting firm, which had been Enron's main auditor for years.Enron filed for bankruptcy in the Southern District of New York in late 2001 and selected Weil, Gotshal & Manges as its bankruptcy counsel. It ended its bankruptcy during November 2004, pursuant to a court-approved plan of reorganization. A new board of directors changed the name of Enron to Enron Creditors Recovery Corp., and emphasized reorganizing and liquidating certain operations and assets of the pre-bankruptcy Enron. On September 7, 2006, Enron sold Prisma Energy International Inc., its last remaining business, to Ashmore Energy International Ltd. (now AEI).

Fossil fuel power station

A fossil fuel power station is a thermal power station which burns a fossil fuel such as coal, natural gas, or petroleum to produce electricity. Central station fossil fuel power plants are designed on a large scale for continuous operation. In many countries, such plants provide most of the electrical energy used. Fossil fuel power stations have machinery to convert the heat energy of combustion into mechanical energy, which then operates an electrical generator. The prime mover may be a steam turbine, a gas turbine or, in small plants, a reciprocating internal combustion engine. All plants use the energy extracted from expanding gas, either steam or combustion gases.

Although different energy conversion methods exist, all thermal power station conversion methods have efficiency limited by the Carnot efficiency and therefore produce waste heat.

By-products of fossil fuel power plant operation must be considered in their design and operation. The flue gas from combustion of the fossil fuels is discharged to the air. This gas contains carbon dioxide and water vapor, as well as other substances such as nitrogen oxides (NOx), sulfur oxides (SOx), mercury, traces of other metals, and, for coal-fired plants, fly ash. Solid waste ash from coal-fired boilers must also be removed. Some coal ash can be recycled for building materials.Fossil fueled power stations are major emitters of carbon dioxide (CO2), a greenhouse gas which is a major contributor to global warming.

The results of a recent study show that the net income available to shareholders of large companies could see a significant reduction from the greenhouse gas emissions liability related to only natural disasters in the United States from a single coal-fired power plant.

However, as of 2015, no such cases have awarded damages in the United States.

Per unit of electric energy, brown coal emits nearly two times as much CO2 as natural gas, and black coal emits somewhat less than brown.

Carbon capture and storage of emissions has been proposed to limit the environmental impact of fossil fuel power stations, but it is still at a demonstration stage.

Liquefied natural gas

Liquefied natural gas (LNG) is natural gas (predominantly methane, CH4, with some mixture of ethane C2H6) that has been cooled down to liquid form for ease and safety of non-pressurized storage or transport. It takes up about 1/600th the volume of natural gas in the gaseous state (at standard conditions for temperature and pressure). It is odorless, colorless, non-toxic and non-corrosive. Hazards include flammability after vaporization into a gaseous state, freezing and asphyxia. The liquefaction process involves removal of certain components, such as dust, acid gases, helium, water, and heavy hydrocarbons, which could cause difficulty downstream. The natural gas is then condensed into a liquid at close to atmospheric pressure by cooling it to approximately −162 °C (−260 °F); maximum transport pressure is set at around 25 kPa (4 psi).

Natural gas is mainly converted to LNG for transport over the seas where laying pipelines is not feasible technically and economically. LNG achieves a higher reduction in volume than compressed natural gas (CNG) so that the (volumetric) energy density of LNG is 2.4 times greater than that of CNG (at 250 bar) or 60 percent that of diesel fuel. This makes LNG cost efficient in marine transport over long distances. However, CNG carrier ships can be used economically up to medium distances in marine transport. Specially designed cryogenic sea vessels (LNG carriers) or cryogenic road tankers are used for LNG transport. LNG is principally used for transporting natural gas to markets, where it is regasified and distributed as pipeline natural gas. It can be used in natural gas vehicles, although it is more common to design vehicles to use CNG. LNG's relatively high cost of production and the need to store it in expensive cryogenic tanks have hindered widespread commercial use. Despite these drawbacks, on energy basis LNG production is expected to hit 10% of the global crude production by 2020 (see LNG Trade).

Liquefied petroleum gas

Liquefied petroleum gas or liquid petroleum gas (LPG or LP gas), also referred to as simply propane or butane, are flammable mixtures of hydrocarbon gases used as fuel in heating appliances, cooking equipment, and vehicles.

It is increasingly used as an aerosol propellant and a refrigerant, replacing chlorofluorocarbons in an effort to reduce damage to the ozone layer. When specifically used as a vehicle fuel it is often referred to as autogas.

Varieties of LPG bought and sold include mixes that are mostly propane (C3H8), mostly butane (C4H10) and, most commonly, mixes including both propane and butane. In the northern hemisphere winter, the mixes contain more propane, while in summer, they contain more butane. In the United States, mainly two grades of LPG are sold: commercial propane and HD-5. These specifications are published by the Gas Processors Association (GPA) and the American Society of Testing and Materials (ASTM). Propane/butane blends are also listed in these specifications.

Propylene, butylenes and various other hydrocarbons are usually also present in small concentrations. HD-5 limits the amount of propylene that can be placed in LPG to 5%, and is utilized as an autogas specification. A powerful odorant, ethanethiol, is added so that leaks can be detected easily. The internationally recognized European Standard is EN 589. In the United States, tetrahydrothiophene (thiophane) or amyl mercaptan are also approved odorants, although neither is currently being utilized.

LPG is prepared by refining petroleum or "wet" natural gas, and is almost entirely derived from fossil fuel sources, being manufactured during the refining of petroleum (crude oil), or extracted from petroleum or natural gas streams as they emerge from the ground. It was first produced in 1910 by Dr. Walter Snelling, and the first commercial products appeared in 1912. It currently provides about 3% of all energy consumed, and burns relatively cleanly with no soot and very few sulfur emissions. As it is a gas, it does not pose ground or water pollution hazards, but it can cause air pollution. LPG has a typical specific calorific value of 46.1 MJ/kg compared with 42.5 MJ/kg for fuel oil and 43.5 MJ/kg for premium grade petrol (gasoline). However, its energy density per volume unit of 26 MJ/L is lower than either that of petrol or fuel oil, as its relative density is lower (about 0.5–0.58 kg/L, compared to 0.71–0.77 kg/L for gasoline).

As its boiling point is below room temperature, LPG will evaporate quickly at normal temperatures and pressures and is usually supplied in pressurised steel vessels. They are typically filled to 80–85% of their capacity to allow for thermal expansion of the contained liquid. The ratio between the volumes of the vaporized gas and the liquefied gas varies depending on composition, pressure, and temperature, but is typically around 250:1. The pressure at which LPG becomes liquid, called its vapour pressure, likewise varies depending on composition and temperature; for example, it is approximately 220 kilopascals (32 psi) for pure butane at 20 °C (68 °F), and approximately 2,200 kilopascals (320 psi) for pure propane at 55 °C (131 °F). LPG is heavier than air, unlike natural gas, and thus will flow along floors and tend to settle in low spots, such as basements. There are two main dangers from this. The first is a possible explosion if the mixture of LPG and air is within the explosive limits and there is an ignition source. The second is suffocation due to LPG displacing air, causing a decrease in oxygen concentration.

List of countries by natural gas exports

This is a list of countries by natural gas exports mostly based on The World Factbook [1]. For informational purposes several non-sovereign entities are also included in this list.

List of countries by natural gas production

This is a list of countries by natural gas production based on statistics from the International Energy Agency.

List of countries by natural gas proven reserves

This is a list of countries by natural gas proven reserves based on The World Factbook (when no citation is given). or other authoritative third-party sources (as cited). Based on data from BP, at the end of 2009, proved gas reserves were dominated by three countries: Iran, Russia, and Qatar, which together held nearly half the world's proven reserves.There is some disagreement on which country has the largest proven gas reserves. Sources that consider that Russia has by far the largest proven reserves include the US CIA (47.6 trillion cubic meters), the US Energy Information Administration (49 tcm), and OPEC (48.81 tcm). However, BP credits Russia with only 32.9 tcm, which would place it in second place, slightly behind Iran (33.1 to 33.8 tcm, depending on the source).

Due to constant announcements of shale gas recoverable reserves, as well as drilling in Central Asia, South America and Africa, deepwater drilling, estimates are undergoing frequent updates, mostly increasing. Since 2000, some countries, notably the US and Canada, have seen large increases in proved gas reserves due to development of shale gas, but shale gas deposits in most countries are yet to be added to reserve calculations.

Star denotes includes "recoverable portion of shale reserves"Comparison of proven natural gas reserves from different sources (billions of cubic meters, as of 31 Dec. 2014/1 Jan. 2015)

List of oil exploration and production companies

The following is a list of notable companies in the petroleum industry that are engaged in petroleum exploration and production. The list is in alphabetical order by continent and then by country. This list does not include companies only involved in refining and marketing.


The oil and gas industry is usually divided into three major components: upstream, midstream and downstream. The midstream sector involves the transportation (by pipeline, rail, barge, oil tanker or truck), storage, and wholesale marketing of crude or refined petroleum products. Pipelines and other transport systems can be used to move crude oil from production sites to refineries and deliver the various refined products to downstream distributors. Natural gas pipeline networks aggregate gas from natural gas purification plants and deliver it to downstream customers, such as local utilities.

The midstream operations are often taken to include some elements of the upstream and downstream sectors. For example, the midstream sector may include natural gas processing plants that purify the raw natural gas as well as removing and producing elemental sulfur and natural gas liquids (NGL) as finished end-products.

Natural-gas condensate

Natural-gas condensate, also called natural gas liquids, is a low-density mixture of hydrocarbon liquids that are present as gaseous components in the raw natural gas produced from many natural gas fields. Some gas species within the raw natural gas will condense to a liquid state if the temperature is reduced to below the hydrocarbon dew point temperature at a set pressure.

The natural gas condensate is also called condensate, or gas condensate, or sometimes natural gasoline because it contains hydrocarbons within the gasoline boiling range, and is also referred to by the shortened name condy by many workers on gas installations. Raw natural gas may come from any one of three types of gas wells:

Crude oil wells—Raw natural gas that comes from crude oil wells is called associated gas. This gas can exist separate from the crude oil in the underground formation, or dissolved in the crude oil. Condensate produced from oil wells is often referred to as lease condensate.

Dry gas wells—These wells typically produce only raw natural gas that contains no hydrocarbon liquids. Such gas is called non-associated gas. Condensate from dry gas is extracted at gas processing plants and is often called plant condensate.

Condensate wells—These wells produce raw natural gas along with natural gas liquid. Such gas is also called associated gas and often referred to as wet gas.

Natural-gas processing

Natural-gas processing is a complex industrial process designed to clean raw natural gas by separating impurities and various non-methane hydrocarbons and fluids to produce what is known as pipeline quality dry natural gas.Natural-gas processing begins at the well head. The composition of the raw natural gas extracted from producing wells depends on the type, depth, and location of the underground deposit and the geology of the area. Oil and natural gas are often found together in the same reservoir. The natural gas produced from oil wells is generally classified as associated-dissolved, meaning that the natural gas is associated with or dissolved in crude oil. Natural gas production absent any association with crude oil is classified as “non-associated.” In 2009, 89 percent of U.S. wellhead production of natural gas was non-associated.Natural-gas processing plants purify raw natural gas by removing common contaminants such as water, carbon dioxide (CO2) and hydrogen sulfide (H2S). Some of the substances which contaminate natural gas have economic value and are further processed or sold. A fully operational plant delivers pipeline-quality dry natural gas that can be used as fuel by residential, commercial and industrial consumers.

Natural gas prices

Natural gas prices, as with other commodity prices, are mainly driven by supply and demand fundamentals. However, natural gas prices may also be linked to the price of crude oil and/or petroleum products, especially in continental Europe. Natural gas prices in the US had historically followed oil prices, but in the recent years, it has decoupled from oil and are now trending somewhat with coal prices.The current surge in unconventional oil and gas in the U.S. has resulted in lower gas prices in the U.S. This has led to discussions in Asian oil-linked gas markets to import gas based on the Henry Hub index, which was, until very recently, the most widely used reference for US natural gas prices.Depending on the marketplace, the price of natural gas is expressed in US dollars (or other currency) per 1 million British thermal units (MMBtu), thousand cubic feet (Mcf), or 1,000 cubic meters. Note that, for natural gas price comparisons, $ per MMBtu multiplied by 1.025 = $ per Mcf of pipeline-quality gas, which is what is delivered to consumers. For rough comparisons, one million Btu is approximately equal to a thousand cubic feet of natural gas. Pipeline-quality gas has a BTU value slightly higher than that of pure methane, which has 1,012 BTU per cubic foot. Natural gas as it comes out of the ground is most often predominantly methane, but may have a wide range of BTU values, from much lower (due to dilution by non-hydrocarbon gases) to much higher (due to the presence of ethane, propane, and heavier compounds) than standard pipeline-quality gas.

Oil and Natural Gas Corporation

Oil and Natural Gas Corporation (ONGC) is an Indian multinational oil and gas company earlier headquartered in Dehradun, Uttarakhand, India. As a Corporation, it's registered office is now at Deendayal Urja Bhavan, Vasant Kunj, New Delhi 110070 India. It is a Public Sector Undertaking (PSU) of the Government of India, under the administrative control of the Ministry of Petroleum and Natural Gas. It is India's largest oil and gas exploration and production company. It produces around 70% of India's crude oil (equivalent to around 30% of the country's total demand) and around 62% of its natural gas.In a government survey for fiscal year 2016-17, it was ranked as the largest profit making PSU in India. It is ranked 11th among the Top 250 Global Energy Companies by Platts.ONGC was founded on 14 August 1956 by Government of India, which currently holds a 68.94% equity stake. It is involved in exploring for and exploiting hydrocarbons in 26 sedimentary basins of India, and owns and operates over 11,000 kilometers of pipelines in the country. Its international subsidiary ONGC Videsh currently has projects in 17 countries. ONGC has discovered 6 of the 7 commercially producing Indian Basins, in the last 50 years, adding over 7.1 billion tonnes of In-place Oil & Gas volume of hydrocarbons in Indian basins. Against a global decline of production from matured fields, ONGC has maintained production from its brownfields like Mumbai High, with the help of aggressive investments in various IOR (Improved Oil Recovery) and EOR (Enhanced Oil Recovery) schemes. ONGC has many matured fields with a current recovery factor of 25–33%. Its Reserve Replacement Ratio for between 2005 and 2013, has been more than one. During FY 2012–13, ONGC had to share the highest ever under-recovery of INR 8993.78 billion (an increase of INR 567.89 million over the previous financial year) towards the under-recoveries of Oil Marketing Companies (IOC, BPCL and HPCL).

On 1 November 2017, the Union Cabinet approved ONGC for acquiring majority 51.11% stake in HPCL (Hindustan Petroleum Corporation Limited). On Jan 30th 2018, Oil & Natural Gas Corporation acquired the entire 51.11% stake of Hindustan Petroleum Corporation.

Petroleum industry

The petroleum industry, also known as the oil industry or the oil patch, includes the global processes of exploration, extraction, refining, transporting (often by oil tankers and pipelines), and marketing of petroleum products. The largest volume products of the industry are fuel oil and gasoline (petrol). Petroleum (oil) is also the raw material for many chemical products, including pharmaceuticals, solvents, fertilizers, pesticides, synthetic fragrances, and plastics. The extreme monetary value of oil and its products has led to it being known as "black gold". The industry is usually divided into three major components: upstream, midstream, and downstream.

Petroleum is vital to many industries, and is necessary for the maintenance of industrial civilization in its current configuration, making it a critical concern for many nations. Oil accounts for a large percentage of the world’s energy consumption, ranging from a low of 32% for Europe and Asia, to a high of 53% for the Middle East.

Other geographic regions' consumption patterns are as follows: South and Central America (44%), Africa (41%), and North America (40%). The world consumes 30 billion barrels (4.8 km³) of oil per year, with developed nations being the largest consumers. The United States consumed 25% of the oil produced in 2007. The production, distribution, refining, and retailing of petroleum taken as a whole represents the world's largest industry in terms of dollar value.

Governments such as the United States government provide a heavy public subsidy to petroleum companies, with major tax breaks at virtually every stage of oil exploration and extraction, including the costs of oil field leases and drilling equipment.In recent years, enhanced oil recovery techniques — most notably multi-stage drilling and hydraulic fracturing ("fracking") — have moved to the forefront of the industry as this new technology plays a crucial and controversial role in new methods of oil extraction.

Petroleum reservoir

A petroleum reservoir or oil and gas reservoir is a subsurface pool of hydrocarbons contained in porous or fractured rock formations. Petroleum reservoirs are broadly classified as conventional and unconventional reservoirs. In case of conventional reservoirs, the naturally occurring hydrocarbons, such as crude oil or natural gas, are trapped by overlying rock formations with lower permeability. While in unconventional reservoirs the rocks have high porosity and low permeability which keeps the hydrocarbons trapped in place, therefore not requiring a cap rock. Reservoirs are found using hydrocarbon exploration methods.

Pipeline transport

Pipeline transport is the long-distance transportation of a liquid or gas through a system of pipes—a pipeline—typically to a market area for consumption. The latest data from 2014 gives a total of slightly less than 2,175,000 miles (3,500,000 km) of pipeline in 120 countries of the world. The United States had 65%, Russia had 8%, and Canada had 3%, thus 75% of all pipeline were in these three countries.

Pipeline and Gas Journal's worldwide survey figures indicate that 118,623 miles (190,905 km) of pipelines are planned and under construction. Of these, 88,976 miles (143,193 km) represent projects in the planning and design phase; 29,647 miles (47,712 km) reflect pipelines in various stages of construction. Liquids and gases are transported in pipelines and any chemically stable substance can be sent through a pipeline. Pipelines exist for the transport of crude and refined petroleum, fuels – such as oil, natural gas and biofuels – and other fluids including sewage, slurry, water, beer, hot water or steam for shorter distances. Pipelines are useful for transporting water for drinking or irrigation over long distances when it needs to move over hills, or where canals or channels are poor choices due to considerations of evaporation, pollution, or environmental impact. Oil pipelines are made from steel or plastic tubes which are usually buried. The oil is moved through the pipelines by pump stations along the pipeline. Natural gas (and similar gaseous fuels) are lightly pressurised into liquids known as Natural Gas Liquids (NGLs). Natural gas pipelines are constructed of carbon steel. Hydrogen pipeline transport is the transportation of hydrogen through a pipe. Pipelines conveying flammable or explosive material, such as natural gas or oil, pose special safety concerns and there have been various accidents. Pipelines can be the target of theft, vandalism, sabotage, or even terrorist attacks. In war, pipelines are often the target of military attacks.

TransCanada Corporation

TransCanada Corporation is a major North American energy company, based in Calgary, Alberta, in Canada, that develops and operates energy infrastructure in North America. The company operates three core businesses: Natural Gas Pipelines, Liquids Pipelines and Energy.

The Natural Gas Pipeline network includes 91,900 kilometres (57,104 miles) of gas pipeline which transports more than 25% of North American natural gas demand. The Liquids Pipelines division includes 4,900 kilometres (3,045 miles) of oil pipeline, which ships 555,000 barrels of crude oil per day, which is about 20% of Western Canadian exports. The Energy division owns or has interests in 11 power generation facilities with combined capacity of 6,100 megawatts (MW). These power sources include nuclear and natural gas fired.

TransCanada is the largest shareholder in, and owns the general partner of, TC PipeLines. The company was founded in 1951 in Calgary.TransCanada will change its name to TC Energy in Q2 2019.


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