How is Propane Made

Propane is a clean, versatile and widely used fuel source for homes, businesses, and industries worldwide. Ever wondered how propane is made? Let’s explore its production processes, history, and journey. 

What is Propane? 

Propane, also known as liquefied petroleum gas (LPG), is a byproduct of domestic natural gas processing and crude oil refining. While propane was initially discovered sometime in the late 1850s by French chemist Marcellin Berthelot, it took decades for its full potential to be recognized. In 1910, a curious car owner asked Dr. Walter Snelling, an American chemist, why half of his gallon of petrol had seemingly disappeared during a short drive. This prompted Snelling to investigate the vapors, and he eventually came up with a way to convert the gas to a liquid. This made propane easy to transport and store. Since then, propane has evolved into a significant industry, providing energy for heating, cooking, transportation, and more.  

How is Propane Produced from Natural Gas Processing? 

One of the primary methods of producing propane is through natural gas processing. In its raw, natural state, gas contains about 90 percent methane, five percent propane, and five percent other gases. Raw gas is extracted from underground reservoirs and then transported to processing plants where propane is separated. Afterward, the extracted propane goes through a purification process to ensure it meets industry standards. 

How is Propane Produced from Crude Oil Refining? 

Another major source of propane is crude oil refining. During the refining process, crude oil is heated and separated into various components based on their boiling points. Heavy components sink to the bottom while the light components, like propane, rise to the top. The propane and other light gases are collected, cooled, and condensed into liquid form, then further sorted through a process called 'gas fractionation.' Then, the propane is purified to ensure it meets industry standards.   

Domestic Production  

The majority of propane used in the United States is produced domestically, either through natural gas processing or crude oil refining. The United States exports more propane than the nation consumes. Producing propane domestically helps ensure a stable supply and can even keep market pricing lower.    

Propane is a Byproduct  

Since propane is a byproduct of both natural gas processing and crude oil refining, its production is linked to the broader energy industry, as well as its ebbs and flows. That means fluctuations in natural gas and crude oil markets can influence propane supply and prices.   

How is Propane Transported across the United States? 

Once extracted, produced, and purified, propane then must be transported to various propane terminals across the country. Some of the most common transportation methods used to deliver propane to those terminals include pipelines, railcars, trucks, barges, and tanker ships. From there, propane retailers like Ferrellgas handle the marketing and distribution of propane to heat homes, fuel school buses, dry crops, power businesses, and more.  

For more than 85 years, thousands of Americans have relied on Ferrellgas for their propane needs. Transporting from every major U.S. supply point, Ferrellgas’ nationwide, industry-leading fleet supplies more than 800 million gallons of propane annually for residential, industrial, commercial, and agricultural customers. From coast to coast, Ferrellgas has you covered. As the second-largest propane provider in the country and with decades of knowledge under our belts, our propane professionals are ready to answer any question you may have. Our goal is to Fuel Life Simply for our customers by providing reliable, easy propane service every single day. 

 

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Sources 

Alternative Fuels Data Center: Propane Basics, U.S. Department of Energy 

Alternative Fuels Data Center: Propane Production and Distribution, U.S. Department of Energy 

How is Propane Distributed, Propane Education & Research Council 

How is Propane Made, Discover UK 

Propane, The NEED Project 

Refining crude oil, U.S. Energy Information Administration 

U.S. propane exports established a new record in December 2023, U.S. Energy Information Administration 

What is Propane Gas?, Propane Education & Research Council 

Where do hydrocarbon gas liquids come from?, U.S. Energy Information Administration