Assessing the value of NGL in natural gas

Book · Wed Nov 01 04:00:00 EST 1995

OSTI ID:124641

Tannehill, C ^[1]; Echterhoff, L ^[2]; Trimble, K ^[3]

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1. Purvin and Gertz, Inc., Dallas, TX (United States)
2. M.W. Kellogg Co., Houston, TX (United States)
3. Gas Research Institute, Chicago, IL (United States)

Purvin and Gertz, Inc., under a contract with The M.W. Kellogg Company sponsored by Gas Research Institute, evaluated the economic effect of by-products extracted during natural gas processing operations. The by-products evaluated, included natural gas liquids (NGL), helium, sulfur, carbon dioxide and nitrogen. The sources of supply and final consumption, pricing histories, impact of logistical considerations, and a general assessment of the economics were completed for each by-product. NGL is by far the most significant of these by-products, representing a value of about $9 billion, compared to helium at $160 million and sulfur at $154 million in 1991. This paper investigates the production and consumption of the most significant by-product NGL from 1987 through 1992. Demand for NGL is categorized for the same period for: residential and commercial, industrial, engine fuel, chemicals, utility gas, refinery, farm, and other. Logistics are evaluated with a summary of the pipelines, underground storage and fractionators presented. Pricing is discussed with the two major market centers of Mont Belvieu, Texas and Conway, Kansas, detailed.

• OSTI ID: 124641
• Report Number(s): CONF-9503132--
• Country of Publication: United States
• Language: English

Related Subjects

03 NATURAL GAS
2-METHYLPROPANE
BUTANE
BY-PRODUCTS
CALORIFIC VALUE
COMPILED DATA
ECONOMICS
ETHANE
MARKET
MATERIALS HANDLING
NATURAL GAS DISTRIBUTION SYSTEMS
NATURAL GAS LIQUIDS
NATURAL GAS PROCESSING PLANTS
PRICES
PROPANE
REGIONAL ANALYSIS
SUPPLY AND DEMAND
USES