Propane: Some Things You Should Know

 

Knowledge is power, so here’s some knowledge about propane which you can use to help power your furnace.

 

What is propane?

An affordable, clean, American-made fuel, propane is a gas normally compressed and stored as a liquid. It is most commonly used for space and water heating, for cooking, and as a fuel for engines; however, its applications are rapidly growing due to new technology developments.

Propane is nontoxic, colorless, and virtually odorless; an identifying odor is added so it can be detected.

Propane is also sometimes known as liquefied petroleum gas, or LPG. When used as vehicle fuel propane is known as propane autogas.

 

Where does propane come from?

Propane is primarily a byproduct of domestic natural gas processing, though some propane is produced from crude oil refinement. U.S. propane supplies are becoming increasingly abundant due in large part to increased supplies of natural gas.

As shale gas extraction has increased, the production of propane from crude oil refinement has dropped dramatically. In 2011, 69 percent of the total U.S. supply of propane came from natural gas liquids produced in the U.S. and Canada.

Much growth in propane supply is expected to come from the Marcellus shale play in the northeastern U.S. Industry observers estimate the Marcellus shale alone can supply more than 2 billion gallons of propane per year.

Because of the drastic increase in U.S. sources of propane, the U.S. produces more than enough propane to meet current demand and became a net exporter of propane in 2011.

 

Why propane?

Though historically associated with other crude oil products, such as a gasoline or diesel fuel, propane differs from these fuels in several critical ways:

Affordable. Propane prices have fallen relative to gasoline, diesel fuel, and home heating oil due to the growing supply. 

Cleaner. Propane is a cleaner-burning, lower-carbon fuel than other petroleum-based products such as gasoline or diesel because it burns hotter and more efficiently.

Abundant and Domestic. In 2011, domestic propane production from natural gas plant liquids exceeded consumer demand for the first time. Propane is an abundant bridge fuel, making it a clean-burning alternative to gasoline and diesel that can address energy challenges while long-term renewable technologies are developed.