Natural Gas 101

Why switch to Natural Gas?

Save money.

The benefits of natural gas start with your bottom line. Switching to natural gas can save you up to 40% in energy costs versus alternatives such as oil and propane. Natural gas has 95%+ natural gas burner efficiency and no waste disposal costs, no routine maintenance, and limited to no annual downtime. As the cleanest-burning fossil fuel on the market, natural gas is a highly efficient energy source, which means you save money by using it. Delivered natural gas can save facilities 25% or more compared to most conventional fuels – even biomass. We price our natural gas on a published index cost based on the pipeline. In many cases
 we meet or even beat the price of pipeline gas. And just like a pipeline, our customers pay only for the gas they use, not what is in the trailer.

Reduce carbon emissions.

Climate change is a threat to our well-being. Natural gas, which is produced by the decay of organic matter, is poised to play an important role in our national effort to reduce carbon emissions. According to the U.S. Energy Information Administration (EIA), natural gas emits almost 30% less CO2 than oil, 45% less CO2 than coal, virtually no sulfur dioxide (SO2), and far fewer nitrogen oxides (NOX).

Be safe.

Natural gas is a very safe fuel source. It is nontoxic and because it is lighter than air, both CNG and LNG dissipate quickly in the environment in the event of a leak or spill. Natural gas also has a very narrow range of flammability, which significantly reduces the risk of fire.

Support domestic energy for years to come.

With about 90% of our natural gas originating domestically and the remaining 10% from Canada, natural gas promotes energy security and reduces our dependency on foreign oil. The United States is the top natural gas producing country in the world. According to the Potential Gas Committee (PGC), the United States possesses a total technically recoverable resource base of 2,384 trillion cubic feet (Tcf), which would be enough gas to supply the United States for a century of use.

What is Compressed Natural Gas?

Compressed natural gas or CNG is one of two forms of natural gas – liquefied natural gas is the second form. Similar to the compressed oxygen (O2) in a scuba tank, CNG is compressed to less than 1% of its volume at standard atmospheric pressure and stored in cylinders. CNG can be used in place of gasoline, diesel, and propane. For reference, a vehicle running on CNG gets about the same fuel economy as a vehicle running on conventional gasoline. CNG is a colorless, odorless, non-corrosive, non-combustible, non-toxic, gaseous mixture made up mostly of methane (CH4). According to the US Environmental Protection Agency, CNG has a very narrow range of flammability. And because it is lighter than air, it quickly dissipates in the environment, leaving no residue and requiring no environmental clean up. CNG has a better safety record than other common petroleum-based fuels like oil and propane. CNG is a clean burning alternative fuel that is inexpensive and domestically abundant.

Is CNG right for your company?
CNG is a cost-effective option for customers that use 75,000 gallons or more of heating oil or propane a year. We typically recommend CNG for any company with smaller or more seasonal energy load profiles.

What is Liquefied Natural Gas?

Liquefied natural gas or LNG is the second form of natural gas – compressed natural gas is the first. Natural gas becomes a liquid after it is purified and super-cooled it to -260°F. In order to remain in liquid form, LNG must be stored in double-walled, vacuum-insulated pressure vessels. LNG is not stored under pressure, so it is not explosive in storage tanks or if released into the atmosphere. If LNG is spilled it turns to gas and quickly dissipates in the environment like CNG. Also, LNG has a better safety record than other common petroleum-based fuels like oil and propane. Just like CNG, LNG is a colorless, odorless, non-corrosive, non-combustible, non-toxic, clean burning alternative fuel that is inexpensive and domestically abundant.

Is LNG right for your company? 
LNG is a cost-effective option for customers that use 500,000 gallons or more of heating oil or propane a year. We typically recommend LNG for any company with significant year-round energy load profiles.

How do I save money?

Delivered natural gas can save facilities up to 40% in energy costs versus alternatives such as oil and propane. XNG competitively bids your gas to all suppliers on the pipeline so that you get the best possible price with complete transparency. And since our terminals are located on interstate pipelines we can often provide commodity pricing well below that of gas utilities.

How does XNG’s pricing work?

Our pricing is simple: commodity gas + delivery service.

  1. Commodity gas – Gas is priced on a published index cost based on the pipeline.
  2. Delivery Service – Delivery includes fixed monthly equipment lease, which covers on-site equipment and maintenance during the contract term, plus a metered volume charge based on how much gas a customer uses. The more gas used, the lower the average cost to the customer.