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Part 12: Natural Gas
What is Natural Gas?
Natural gas is generally considered a nonrenewable fossil fuel. There are renewable sources of natural gas discussed later in this info sheet. Natural gas is called a fossil fuel because most scientists believe that natural gas was formed from the remains of tiny sea animals and plants that died 200-400 million years ago. When these tiny sea animals and plants died, they sank to the bottom of the oceans where they were buried by layers of sand and silt. Over the years, the layers of sand and silt became thousands of feet of thick, subjection the energy-rich plant and animal remains to enormous pressure. Most scientists believe that the pressure, combined with the heat of the earth, changed this organic mixture into petroleum and natural gas. Eventually, concentrations of natural gas became trapped in the rock layers much like a wet sponge traps water. Raw natural gas is a mixture of different gases. Its main ingredient is methane, a natural compound that is formed whenever plant and animal matter decays. By itself, methane is odorless, colorless, and tasteless. As a safety measure, natural gas companies add a chemical odorant called mercaptan (it smells like rotten eggs) so escaping gas can be detected. Natural gas should not be confused with gasoline, which is made from petroleum.

History of Natural Gas
The ancient peoples of Greece, Persia, and India discovered natural gas many centuries ago. The people were mystified by the burning springs created when lightning ignited natural gas seeping from cracks in the ground. They sometimes built temples around these eternal flames so the could worship the fire.
About 2,500 years ago, the Chinese recognized that natural gas could be put to work. The Chinese piped the gas from shallow wells and burned it under large pans to evaporate seawater for salt. Natural gas was first used in America to illuminate the streets of Baltimore in 1816. Soon after, in 1821, William Hart dug the first successful American natural gas well in Fredonia, New York. His well was 27 feet deep, quite shallow compared to today's wells. The Fredonia Gas Light Company opened its doors in 1858 as the nation's first natural gas company. By 1900, natural gas had been discovered in 17 states. In the past 40 years, the use of natural gas has grown. Today, natural gas accounts for about 23 percent of the energy we use.

Producing Natural Gas
Natural gas can be hard to find since it can be trapped in porous rocks deep underground. Scientists use many methods to find natural gas deposits. They may look at surface rocks to find clues about underground formations. The may set off small explosions or drop heavy weights on the surface and record the sound waves as they bounce back from the rock layers underground. They also may measure the gravitational pull of rock masses deep within the earth. If test results are promising, the scientists may recommend drilling to find the natural gas deposits. Natural gas wells average 6,100 feet deep and can cost a hundred dollars per foot to drill, so it's important to choose sites carefully.
Only about 48 percent of the exploratory wells produce gas. The others come up dry. The odds are better fro developmental wells-wells drilled on know gas fields. On average, 85 percent of the developmental wells yield gas. Natural gas can be found in pockets by itself or in petroleum deposits.
After natural gas comes out of the ground, it goes to a processing plant where it is cleaned of impurities and separated into its various components. Approximately 90 percent of natural gas is composed of methane, but it also contains other gases such as propane and butane. Natural gas may also come from several other sources. One source is the methane gas found in coal beds. Until recently, coal bed gas was just considered a safety hazard to miners, but now it is a valuable source of natural gas. Another source of natural gas is the gas produced in landfills. Landfill gas is considered a renewable source of natural gas since it comes from decaying garbage. The gas from coal beds and landfills accounts for six percent of the total gas supply today-that could double by the year 2010.
The gas recovered from landfills is usually burned on the landfill site to generate electricity for the facility itself. Today, natural gas is produced in 32 states, though just three states-Texas, Louisiana, and Oklahoma-produce 60 percent of the country's natural gas. Altogether, the United States produces about 25 percent of the world's natural gas each year.

Transporting and Storing Natural Gas
How does natural gas get to you? Usually by pipeline. More than one million miles of underground pipelines link natural gas fields to major cities across the United States. Natural gas is sometimes transported thousands of miles by pipeline to its final destination.
A machine called a compressor increases the pressure of the gas, forcing the gas to move along the pipelines. Compressor stations, which are spaced about 50 to 100 miles apart, move along this subterranean highway is temporarily stored in huge underground reservoirs. The underground reservoirs are typically filled in the summer so there will be enough natural gas during the winter heating season. Eventually, the gas reaches the city gate of a local gas utility. The pressure is reduced and an odorant is added so leaking gas can be detected. Local gas companies use smaller pipes to carry gas the last few miles to homes and businesses. A gas meter measures the volume of gas a consumer uses.

Natural Gas Use
Just about everyone in the United States uses natural gas. Natural gas ranks number three in energy use, right after petroleum and coal. About 23 percent of the energy we use in the United States comes from natural gas. Industry is the biggest consumer of natural gas, using it mainly to manufacture goods. Industry also uses natural gas as an ingredient in fertilizer, photographic film, ink, glue, paint, plastics, laundry detergent, and insect repellents. Synthetic rubber and man-made fibers like nylon also could not be made without the chemicals derived from natural gas.
Residences-people's homes-are the second biggest users of natural gas. Six in ten homes use natural gas for heating. Many homes also use gas water heaters, stoves, and clothes dryers. Like residence, commercial use of natural gas is mostly for heating-including stores, offices, schools, churches, and hospitals. Natural gas is also used to make electricity. Many people in the energy industry believe natural gas will play a bigger role in electricity production as the demand for electricity increases in the future.
Natural gas power plants are cleaner than coal plants, and can be brought on-line very quickly. Natural gas plants produce electricity about 20 percent more efficiently than new coal plants, and produce it will fewer emissions. In 1998, natural gas produced 15 percent of the electricity in the United States. To a lesser degree, natural gas is becoming popular as a transportation fuel. Natural gas can be used in any vehicle with a regular internal combustion engine, although the vehicle must be outfitted with a special carburetor and fuel tank. Natural gas burns cleaner than gasoline, costs less, and has a higher-octane (power boosting) rating. In 1998, nearly 100,000 vehicles ran on natural gas in the United States.

Natural Gas Reserves
People in the energy industry use two special terms when they talk about how much natural gas there is-resources and reserves. Natural gas resources include all the deposits of gas that are still in the ground waiting to be tapped. Natural gas reserves are only those gas deposits that scientists know, or strongly believe, can be recovered given today's prices and drilling technology. In other words, when scientists estimate the amount of known gas reserves, they do not include gas deposits that may be discovered in the future or gas deposits that are not economical to produce given today's prices.
Think of reserves this way. If it cost you $10 to manufacture a toy that you could sell for $8, would you make the toy? Of course not. You would lose $2 on every toy. The United States has large reserves of natural gas. Most reserves are in the Gulf of Mexico and in the following states: Texas, Louisiana, Oklahoma, New Mexico, Wyoming, Kansas, and Alaska. If we continue to use natural gas at the same rate as we use it today, the United States has about a 50-year supply of natural gas, though another 200 years of additional gas supplies could be produced if people are willing to pay more for the gas they use.

Natural Gas Prices
Since 1985, the market has set natural gas prices. The federal government sets the price of transportation for natural gas that crosses state lines. State public utility commissions will continue to regulate natural gas utility companies-just as they regulate electric utilities. These commissions regulate how much utilities may charge their customers, and they monitor the utilities' policies.
So how much does it cost to hear your home with natural gas? Compared to other energy sources, natural gas is a good buy. Heating with natural gas is cheaper than any other major heating source. It is nearly four times cheaper than electricity when you use resistance heat and is 25 percent less expensive than electric heat pumps. However, this has changes dramatically of the past six months with the gas shortages.

Natural Gas and the Environment
All the fossil fuels-coal, petroleum, and natural gas-release pollutants into the atmosphere when burned. The good news is that natural gas is the most environmentally friendly fossil fuel. Burning natural gas produces less sulfur, carbon, and nitrogen than burning other fossil fuels. Natural gas also emits little ash particulate into the air when it is burned. Like all fossil fuels, burning natural gas produces carbon dioxide, a greenhouse gas. Many scientists believe that increasing levels of carbon dioxide in the atmosphere caused in large part by fossil fuel use could have long-term affects on global climate.
In 1997, the United States and many other industrialized countries agreed upon a plan to reduce emissions of greenhouse gases. This treaty, called the Kyoto Protocol, has been signed by the United States, but not approved by the Senate. Most experts doubt that it will be approved in its present form, because it exempts emerging countries such as China, which will soon surpass the United States as the top emitter of greenhouse gases.
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