From ethane to propane, butane to natural gasoline, U.S. natural gas liquids (NGL) markets are booming and set to grow rapidly over the next five years

Tuesday, December 20, 2011

The Great NGL Surge!, a joint market study from BENTEK and Turner, Mason & Company, reveals that U.S. NGL production from gas plants will increase 40% or 950 Mb/d over the next five years, with volumes reaching more than 3.1 MMb/d by 2016. At the same time, crude oil production from the U.S. and Canada will grow more than 2.8 MMb/d, adding to the NGL surplus. Further aggravating the NGL oversupply, Tier 3 regulations being considered by the Environmental Protection Agency (EPA) would force an additional 240 Mb/d of NGLs into the U.S. market.

The surplus of NGL supply will create logistical constraints over the next few years. As a result, regional basis differentials for NGLs and crude oil will be wide and volatile. In the ethane market, where supply is predicted to increase 50% or 475 Mb/d by 2016, petrochemical producers are being presented with an unexpected opportunity to build new U.S. ethylene production plants. Traditionally thought of as byproducts of natural gas processing and petroleum refining, NGLs are now driving huge investments in gas processing, pipeline transportation, liquids fractionation and petrochemical facilities across North America.
Access the fist six pages of The Great NGL Surge! with report conclusions by clicking here.

BENTEK and Turner, Mason & Company's The Great NGL Surge! provides a comprehensive five-year analysis of North American NGL markets and extensive projections of supply, demand, transportation and infrastructure for every NGL product, including butane, propane, ethane, natural gasoline and y-grade. In addition, the study analyzes the impact of refinery developments on NGL demand and shifting crude oil slates on refinery NGL production. The potential impact of the EPA's Tier 3 proposed requirements on refinery supply and demand is detailed in the study.


• Geospatial layer bundle for The Great NGL Surge! - Includes all NGL pipelines, processing plants, fractionators, crackers and gas production basins referenced in the report.
• Data package for The Great NGL Surge! - Analyze the datasets behind the report

To learn more, please contact your BENTEK sales representative or call BENTEK Sales at 1-888-251-1264.