Free gas, in the context of natural gas processing, refers to the amount of gas available after fulfilling specific operational needs.
Understanding Free Gas
According to the provided reference, free gas is calculated by considering the following:
- Facilities Design Capacity: This is the maximum amount of gas that the processing facilities are designed to handle.
- Gas Needed for NGL and GTL Plants: This is the gas quantity required to operate the Natural Gas Liquids (NGL) plant and the Gas-to-Liquids (GTL) plant.
Definition of Free Gas
Therefore, Free Gas is defined as:
The quantity of gas capable of being produced under the Facilities Design Capacity less the quantity of gas actually needed to meet the demand for gas in the NGL Plant and the GTL Plant.
Calculation of Free Gas
To understand better, here's a simple representation:
| Component | Quantity |
|---|---|
| Facilities Design Capacity | Max. Gas Production |
| Gas Needed for NGL Plant | Gas Consumption |
| Gas Needed for GTL Plant | Gas Consumption |
| Free Gas | Max. - Consumption |
Formula:
Free Gas = Facilities Design Capacity – (Gas Needed for NGL Plant + Gas Needed for GTL Plant)
Practical Example
Imagine a facility with:
- A design capacity to produce 100 units of gas.
- The NGL plant requires 30 units of gas.
- The GTL plant requires 20 units of gas.
Then the free gas would be:
100 - (30 + 20) = 50 units of gas
Why is Free Gas Important?
Understanding the availability of free gas is crucial for:
- Operational Efficiency: It helps determine how much gas is available for other purposes, such as sales or storage.
- Resource Management: It aids in planning and managing resources effectively.
- Profitability: It is a key factor in assessing the economic viability of gas processing and distribution.
Key Points
- Free gas is the surplus gas after operational needs are met.
- It is calculated based on design capacity and plant requirements.
- Understanding free gas is vital for resource management and profitability.
