PROPANE By Annette Bertelsen MORE THAN RASTRUCTU RE INF D id you know clean-burning propane is actually a byproduct of natural gas production and petroleum refining? Otherwise known as liquefied petroleum gas (LPG), propane is one of many natural gas liquids (NGLs). CHS has focused on propane for decades, but recently began marketing other NGLs, too. “Propane always will be our core business,” says Drew Combs, vice president, CHS Propane. “We’ve begun buying and selling other NGLs because it gives us access to propane supplies at key facilities that want a buyer with capability to purchase more than just propane. This strategy enhances CHS profitability and opens up new markets.” JANUARY/FEBRUARY 2015 For 80 years, CHS has been a dependable supplier of propane and related equipment. In 2014, CHS invested $24 million in the northern-tier network to build new terminals, expand existing terminals and grow relationships with partners across North Dakota, Minnesota and Wisconsin to ensure customers have a safe, reliable propane supply. Investments included construction of a new propane rail terminal in Hixton, Wis., with 360,000 gallons P, BEEP of storage, and expansion of the rail propane BEE terminal at Glenwood, Minn., which can The biggest growth in unload eight railcars every 4.5 hours domestic propane demand is and load up to six trucks coming from internal combustion. per hour. Propane autogas, a propane that is used INV ES TI N G IN “We’re taking significant steps to strengthen our propane supply chain for our customers.” — Drew Combs as engine fuel, is gaining momentum as an economical, environmentally friendly fuel compared with gasoline or diesel. Propane injection systems can be installed on diesel engines. These systems displace diesel fuel in a diesel engine to increase efficiency and power while enhancing profitability. 16 CHSINC.COM
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More Than Propane
Annette Bertelsen
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