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Natural Gas Liquids

Natural gas liquids are hydrocarbons that can be extracted from wet natural gas and liquefied under various combinations of pressure and temperature.  NGLs consist primarily of:

  • Ethane
  • Propane
  • Butane
  • Natural gasolines

How it’s important to us

For many years, NGLs were simply tracked as part of the hydrocarbons produced from a well as part of its natural gas production.  They were essentially considered a bonus and were not carefully allocated to individual wellheads independent of natural gas.  In more recent years, NGLs have become recognized as more valuable and worth tracking individually.  Many software packages are still struggling to keep up with the new NGL paradigm and are often patched or retrofitted to accommodate the growing need for tracking these liquids.  The NGL content of gas is not measured at the wellhead, but rather becomes known after the gas in the pipeline goes through the processing facility.  Since many wells contribute to the gas in the pipeline, allocation back is often tricky.

Nate Richards
Nate has over 18 years of software engineering and consulting experience. He founded Entrance in 2003. Nate is the past President of the Board of LifeHouse Houston, a Christ-centered maternity home ministry, and is past Executive committee member and Treasurer of Houston Achievement Place, a foster care and social skills training non-profit organization.
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