The ABCs. Natural gas

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Natural gas Composition DID YOU KNOW? The exact percentage of methane in natural gas varies slightly from one place to another. In the Québec distribution network, that percentage is 95.4%. Natural gas The composition of natural gas is 95% methane, almost 4% ethane and nitrogen, and 1% carbon dioxide and propane. It is produced by the natural transformation of organic materials over millions of years. Methane: the simplest hydrocarbon Methane gas belongs to the hydrocarbon family. A hydrocarbon is an organic composition that contains only carbon and hydrogen atoms. With just one carbon atom and four hydrogen atoms, methane (CH 4 ) is the simplest hydrocarbon. Some other hydrocarbons are: propane (C 3 H 8 ), ethane (C 2 H 6 ) and butane (C 4 H 10 ). Section 1 - Page 01

Natural gas Formation How is natural gas formed? Natural gas results from the natural transformation of plant, animal and other organic materials over millions of years. These organic materials mix and decompose inside layers of sediments such as sand and silt. Over time, and with the effect of pressure and heat, the residues in these sedimentary layers transform into hydrocarbons like oil and natural gas. The rock where this happens is called the "mother rock." Since hydrocarbons are light, they rise through the more porous rock layers until they hit an impermeable rock layer. Blocked there, a pocket of natural gas is created. The process takes millions of years! How is shale gas different? The only difference between natural gas extracted from conventional wells and shale gas is its location. Shale gas is collected directly from the mother rock. Shale formations are found in many places, including Québec. Section 1 - Page 02

Natural gas Properties DID YOU KNOW? Many people confuse natural gas with propane. But these two products are quite different! Unlike propane, natural gas is lighter than air, so it does not accumulates on the ground. Lighter than air Unlike propane, natural gas is lighter than air. It rises and dissipates quickly in fresh air. Smell = safety! Natural gas has no smell. An odorant is added for safety reasons. That is mercaptan, and it gives off a strong smell of rotten eggs, which helps in quickly detecting the presence of natural gas. Does not catch on fire easily Natural gas has to reach a precise concentration of 5%-15% in the air for it to catch fire. Below or above that range of flammability, natural gas does not catch on fire. Non toxic Natural gas has no colour, no smell and no taste. It is a stable gas that is neither toxic nor corrosive. Natural gas is not water-soluble, so it does not mix with or contaminate water. It forms bubbles which rise to the surface and then quickly dissipate into the air. With these properties, and when the ground rules are respected, natural gas is a very safe energy. Section 1 - Page 03

Natural gas Biogas What is biogas? Biogas is the result of the decomposition of organic wastes. Its composition is about 30% methane, which is called "biomethane." This methane is renewable since it comes from an organic source. It has the same properties as the methane found in natural gas. In North America, biogas is mostly produced in landfill sites, but it can also be produced in a specially designed machine called a bioreactor. This technology, called methanization, is more common in Europe. Section 1 - Page 04

Natural gas History DID YOU KNOW? By about 500 BC, the Chinese were using bamboo stalks placed upright in natural gas surface wells for lighting. Some significant dates Antiquity: Discovery of natural gas in the Middle East 211 BC: First natural gas wells in China 1609: The word "gas" (geist) is coined by Jan Van Helmont of Brussels 1821: In the United States, William Hart sinks the first well in North America 1837: The first gas lamp is lighted in Montréal; it burns manufactured gas 1890: Technological breakthrough invention of leak-proof joints 1920: Technological progress leads to construction of first long-distance pipelines 1954-1958: Construction of pipeline crossing Canada 1958: Arrival of natural gas in Montréal; it replaces manufactured gas 1969: Inauguration of liquefied natural gas (LNG) storage plant in Montréal Today: Natural gas distribution network more than 10,000km long in Québec. Section 1 - Page 05

Uses Heating DID YOU KNOW? Almost half of Canadian households use natural gas for heating. An efficient and reliable energy Natural gas is very efficient for heating space and water. With a flame that can reach1960 C, it instantly generates heat in appliances. In case of an electricity outage, the underground natural gas network continues to supply homes for heating, hot water, and for cooking with gas. That's very useful in a Nordic country like ours! For business and institutions Natural gas is widely used for heating large spaces such as warehouses, office buildings, arenas, churches, schools and hospitals. It is also particularly appreciated in the restaurant industry. Section 1 - Page 06

Uses Industrial processes Methane: an essential molecule for some processes In addition to using natural gas for traditional heating and steamproducing purposes, industries are interested in the methane molecule itself in order to produce hydrogen or because they need CO 2. Hydrogen production The methane molecule is needed for some hydrogen-manufacturing processes. The hydrogen is used in particular to eliminate sulphur from petroleum products and to make iron. CO 2 : a useful combustion product The famous bubbles found in carbonated drinks are made of carbon dioxide, or CO 2. Soft drink companies primarily use natural gas for heating. They then recover and filter the CO 2 produced by the combustion of natural gas to put in their fizzy drinks. CO 2 is also injected into some greenhouses to encourage photosynthesis and so increase plant growth. Section 1 - Page 07

Uses Electricity production Using natural gas to produce electricity is highly thought of all over the world because of its environmental qualities, since it is the cleanest hydrocarbon. After coal, natural gas is the second-most important source of energy for producing electricity. In global terms, greater use of a clean energy like natural gas would contribute to the reduction of acid rain and the level of greenhouse gas (GHG) emissions caused by the very common use of coal. Section 1 - Page 08

Uses Vehicles DID YOU KNOW? In Argentina and Brazil, there are almost 3 million natural gas vehicles. Natural gas as a fuel for vehiclesa natural gas car has been existence since the 1930s. Today, more than 9 million vehicles around the world run on natural gas. While the technology is not new, its environmental virtues are now being discovered. A natural gas engine produces 25% less CO 2 than a gasoline engine. This represents an appreciable reduction in the GHG emissions considered responsible for climate change. Natural gas is a versatile fuel that can supply motorbikes just as well as locomotives. It is highly prized for fleets like public transit vehicles which have their own refuelling stations. Section 1 - Page 09

In the world Reserves In 2008, all known and exploitable natural gas reserves totalled 185 trillion m 3. This is the equivalent, in terms of volume, to almost twice the amount of water in all the lakes, streams and rivers in the world. Canada, with 1% of world reserves, has sufficient natural gas to meet the country's needs for the next 80 years. The three countries with the most reserves are: Russia (23%) Iran (16%) Qatar (14%) Section 1 - Page 10

In the world Production Natural gas production is highest in Europe and Eurasia, followed by the Americas. And, while Russia and the United States are two very important players, Canada is the third-largest producer of natural gas in the world! The three countries which produce the most natural gas are: Russia (20%) United States (19%) Canada (6%) Section 1 - Page 11

In the world Consumption DID YOU KNOW? Natural gas ranks third in world energy consumption after oil and coal (2009). The use of natural gas is very widespread; in fact, a quarter of all the energy consumed in the world comes from natural gas. The biggest consumers are the United States (22%), the European Union (16%), and Russia (15%). Canada accounts for 3% of the world's consumption of natural gas. Section 1 - Page 12