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Propane
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Global enterprise-wide online access for a period of one year from date of purchase is also available.
Please contact us using the sales link found to the right on this page for additional information on this option, or if you would prefer not to purchase online.
Published: October 2012
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The global propane business is operated by oil and natural gas companies from the public and private sectors. Major global end uses for propane include:
- Consumption for residential/commercial heating and cooking
- Chemical (ethylene and propylene) production
- Industrial fuel
- Engine fuel
- Other smaller fuel uses (farm, town gas and refinery)
The following pie chart shows world consumption of propane:
Countries/regions with the largest propane consumption in 2012 included the United States, the Middle East and Europe. These three areas represented close to 50% of total world consumption in 2012. The fastest rates of propane consumption growth in the next five years will occur in the Middle East, China, India and the CIS. Propane markets continue to expand in these four regions. The Middle East and China will grow about 5% per year through 2017.
As an important part of liquefied petroleum gas (LPG), propane is the saturated C3 hydrocarbon component and is obtained from natural gas processing or petroleum refinery operations. Gas processing plants extract propane as a natural gas liquid (NGL), either from gas wells or from gas associated with crude oil production. Central fractionators split propane from NGLs; some gas plants also have fractionation facilities. Refiners isolate propane as a distilled fraction from crude petroleum. Refining processes such as catalytic cracking, catalytic reforming and hydrocracking also yield propane as one component in a product spectrum.
Propane consumption is anticipated to grow at an average annual rate of 2.5% in the next five years. This growth will be attributed to increased residential/commercial use of propane throughout the world, as well as propane feed for olefins (ethylene and propylene) production, and propane for other fuel uses.
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