Natural Gas Industry

Introduction

The natural gas industry consists of a variety of entities with differing functions. Following is a simplified listing of the types of companies that constitute the makeup of the natural gas industry:


Producers
These are the owners and developers of natural gas wells. They can range from giant corporations to one or two person well owners.

Processing
Processing corporations are comparable to refinery companies in the oil industry. They separate the natural gas taken from earth into its marketable components, mostly methane.

Pipelines
Pipeline companies transport processed natural gas to locales where it can be stored and later marketed.

Storage
Storage operators own and control numerous underground storage facilities for natural gas. The gas is stored for later marketing and, in some cases, as safeguards to be used in emergencies.

Marketing
Marketing companies facilitate connections between those entities in the industry that produce, process, transport and store natural gas and the retailers and end users who purchase the final, delivered products.

Local Distribution Companies (LDC)
LDC's bring natural gas to the end users via local pipelines.