C Magazine May/June 2017 : Page 21

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UP N AT U R A L G A S Source: BP & READY P R O PA N E The facts: Propane is a byproduct of natural gas processing and petroleum refining. Producing natural gas involves removing butane, propane and large amounts of ethane from the raw gas to prevent condensation of those volatile compounds in natural gas pipelines. The benefits: The advantages of propane are tough to beat. According to DOE, propane is one of the cleanest-burning of all energy sources and a fuel more than 60 million Americans rely on. Shuttle vans and police vehicles benefit from propane power, says Dennis St. Aubin, director of sales, marketing and energy equipment for CHS. Companies like UPS and Schwan’s, with a fleet of more than 3,000 home delivery trucks, are fueling up with propane. More school districts are switching to propane-powered buses, too. “Since the U.S. produces more propane than anywhere in the world and at the lowest price, it spurs investment in technology that farmers can use,” says St. Aubin. “Besides being used in grain dryers and heating, propane is ideal for farmers who irrigate.” Nearly 98 percent of the propane consumed in the U.S. is produced in North America. About two-thirds comes from natural gas and one-third from refineries. The facts: A combustible, gaseous mixture of simple hydrocarbon compounds, natural gas is found in deep underground reservoirs formed by porous rock, according to the American Gas Association. The fossil fuel was formed millions of years ago from plants and tiny sea animals buried under sand and rock. Natural gas is composed almost entirely of methane, but contains small amounts of other gases, including ethane, propane, butane and pentane. The benefits: Natural gas is the cleanest-burning fossil fuel, producing primarily carbon dioxide, water vapor and small amounts of nitrogen oxides. Natural gas supplies nearly one-fourth of all energy used in the U.S., with Texas being the largest producer. Compressed natural gas (CNG) is methane stored at high pressure that can be used in place of gasoline, diesel and propane. “CNG continues to be competitive because we’re flush with natural gas in the U.S.,” says Patrick Hessini, vice president of CHS Transportation and Distribution. “It continues to be viable, even though it doesn’t have a big cost advantage with our current low diesel prices.” In general, CNG costs about 50 percent less than gasoline and emits up to 90 percent fewer emissions. It’s increasingly being used in the Asia Pacific region, India, South America and Europe, with some growth in North America. CHS operates a CNG fueling station near its Fairmont, Minn., soybean processing plant. “With few CNG stations in remote rural areas, diesel remains the fuel of choice,” Hessini says, “but CNG works well for fleet vehicles with predictable, return-to-base operations, such as waste disposal trucks, delivery vehicles and transit buses.” B I O D I E S EL The facts: Biodiesel is a renewable, clean-burning diesel replacement made from feedstocks such as soybean oil, recycled cooking oil and animal fats. It’s often blended with diesel at a rate of 5 to 20 percent and is produced in nearly every state, according to the National Biodiesel Board. The benefits: According to EPA, biodiesel reduces greenhouse gas emissions by at least 57 percent and up to 87 percent when compared to diesel. The biodiesel industry has grown steadily over the past decade and more than 2 billion gallons were produced in 2015, EPA reports. > The number of electric cars is expected to increase from 1.2 million in 2015 to around 100 million in 2035 (5 percent of the global car fleet). Your CHS Connection 21

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