Characteristics of LPGLPG is an exceptional source of energy which can be used in different applications.
LPG has two origins: approximately 60% is recovered during the extraction of natural gas and oil from the earth, and the remaining 40% is produced during the refining of crude oil. LPG is thus a naturally occurring by-product. In the past, LPG was destroyed through venting or flaring (i.e. the burning off of unwanted gas), wasting the full potential of this exceptional energy source.
LPG Production & Distribution
Natural gas processing
When gas is drawn from the earth, it is a mixture of several gases and liquids. Commercial natural gas is mainly composed of methane. However, it also contains ethane, propane and butane in accordance with the specifications for natural gas in each country in which it is distributed. Therefore, before natural gas is marketed, some NGLs, including LPG (propane and butane) are separated out, depending on the ”wetness” of the gas produced: NGLs represent 1 to 10% of the unprocessed gas stream. Worldwide, gas processing is the source of approximately 60% of LP Gas produced.
Crude Oil Refining
In an oil refinery, LP Gases are produced at various stages: atmospheric distillation, reforming, cracking and others. The LPG produced will be between 1 and 4% of crude oil processed. This yield will depend on the type of crude oil, the degree of sophistication of the oil refinery and the market values of propane and butane compared to other oils products. Worldwide, refining is the source of approximately 40% of LPG produced.
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