How much natural gas is equivalent to a gallon of oil? (2023)

How much natural gas is equivalent to a gallon of oil?

Heating Oil has 138,690 BTUs per gallon. Click here to learn about the other benefits of heating oil. Natural Gas has 1,030 BTUs per cubic foot. 135 Cubic feet equals the heat content of one gallon of oil.

One Mcf of natural gas contains approximately one-sixth of the energy of a barrel of oil; therefore, 6,000 cubic feet of natural gas (6 Mcf) have the energy equivalent of one barrel of oil.

Petroleum refineries in the United States produce about 19 to 20 gallons of motor gasoline and 11 to 12 gallons of ultra-low sulfur distillate fuel oil (most of which is sold as diesel fuel and in several states as heating oil) from one 42-gallon barrel of crude oil.

Calculating Natural Gas Equivalent

There are standard conversions for both a barrel of oil and 100 cubic feet of natural gas. A standard barrel of oil is 42 gallons of crude and equals 5.8 million Btu, while 100 cubic feet of natural gas comes in at 103,700 Btu.

A barrel of crude oil is only 42 gallons, not 55 gallons. So to answer your question: On average a barrel of WTI crude oil produces approximately 20 gallons of gas.

One barrel of crude oil equals:

5,614 cubic feet of natural gas.

For many people, converting from oil to natural gas is an easy decision. Many utility companies provide natural gas as a utility, piped directly into your home. This is by far the most popular option. However, a few people do convert from oil to propane.

Petroleum has a specific gravity of 0.88 which means 1 liter weighs 0.88 kilograms. So there are a little over 7 barrels of petroleum in a metric ton.

How many gallons are in a barrel?

A standard U.S. barrel contains 42 gallons of crude oil which yields about 44 gallons of petroleum products. The additional 2 gallons of petroleum products come from refiner gains which result in an additional 6% of product.

Based on numbers from California, USA, in 2022, oil companies are making about $0.37 USD per gallon of gasoline. Comparing to year 2012: about $0.05/gallon was profit for refineries turning that crude oil into gasoline. That's the ExxonMobil and Shell's of the world as well.

Analysts cited by NPR project that if oil hits $200, the retail price of gas would average $5.84 in the US.

For example, in 2021, oil prices averaged $71 a barrel, meaning oil producers could expect a profit of at least $15 a barrel, whether that oil was refined into gasoline, jet fuel or home heating oil, among other options.

One gallon of crude oil contains 138,095 Btu of energy. One barrel of oil contains 42 gallons. One quad equals 172.4 million barrels. Known crude oil reserves in the United States in 2015 equaled 35.2 billion barrels.

One GGE of CNG pressurized at 2,400 psi (17 MPa) is 0.77 cubic feet (22 litres; 5.8 US gallons). This volume of CNG at 2,400 psi has the same energy content as one US gallon of gasoline (based on lower heating values: 148,144 BTU/cu ft (1,533.25 kWh/m³) of CNG and 115,000 BTU/US gal (8.9 kWh/L) of gasoline.

The world has proven reserves equivalent to 52.3 times its annual consumption. This means it has about 52 years of gas left (at current consumption levels and excluding unproven reserves).

Nov 26 (Reuters) - Oil prices plunged $10 a barrel on Friday, their largest one-day drop since April 2020, as a new variant of the coronavirus spooked investors and added to concerns that a supply surplus could swell in the first quarter.

Natural gas is produced in 32 states. The top producing states are Texas, Oklahoma, New Mexico, Wyoming, and Louisiana, which produce more than 50 percent of U.S. natural gas.

How much natural gas does it take to produce 1 kWh?

The annual average amounts of coal, natural gas, and petroleum fuels used to generate a kilowatthour (kWh) of electricity by U.S. electric utilities and independent power producers in 2021 were: Coal–1.12 pounds/kWh. Natural gas–7.40 cubic feet/kWh. Petroleum liquids–0.08 gallons/kWh.

In 2021, about 134.83 billion gallons (or about 3.21 billion barrels)¹ of finished motor gasoline were consumed in the United States, an average of about 369 million gallons per day (or about 8.80 million barrels per day).

Efficiency Ratings

gas natural furnace efficiency ratings? On average, natural gas furnaces are more efficient than their oil counterparts. Gas furnaces have AFUE ratings of 89 to 98 percent, while oil furnaces have ratings of 80 to 90 percent.

A correlation coefficient between crude oil and natural gas of 0.25 indicates that a change in oil price can account for 25% of the change in natural gas prices (on average, throughout the study period).

Crude oil and natural gas are both energy commodities. We use these fuels to heat and cool our homes or supply other energy needs. The price link between crude oil and natural gas is an inter-commodity spread, which means that the prices between the two change in relation to each other.

Homes across the U.S. use natural gas, but five states make up roughly 39% of the total U.S. consumption, with New York making the list. How long does oil-to-gas conversion take? Converting your home from oil to gas heat typically takes two to three days.

Oil simply costs more than gas, but that doesn't help to explain why. During combustion, it has been proven that natural gas is far more efficient at providing heat energy. The worst method of heating a boiler is using electricity, so we still recommend oil or gas as preferable options.

Turning crude oil into refined gasoline

Generally, every 30,000-barrel batch takes around 12 to 24 hours to undergo through analytical testing and pass quality control. A key stage is ultra-heating the crude to boiling point, with a distillation column used to separate the liquids and gases.

The world has proven reserves equivalent to 46.6 times its annual consumption levels. This means it has about 47 years of oil left (at current consumption levels and excluding unproven reserves).

Why is a barrel 42 gallons?

In August 1866 a handful of America's earliest independent oil producers met in Titusville, Pennsylvania, and agreed that henceforth, 42 gallons would constitute a barrel of oil. Pennsylvania led the world in oil production as demand soared for kerosene lamp fuel.

Most common oils weigh between 7 and 8 pounds. Stored crude oil is usually around 7.2 pounds per gallon. Recycled motor oil weighs 7 pounds per gallon. Cooking oil, like olive oil, is heavier than motor oils and typically weighs around 7.6 pounds per gallon.

The weight of a gallon of diesel is about 7 pounds, roughly. Diesel weighs a little less than 7 pounds per gallon in the US (and a little more than 7 pounds per gallon in Canada), but let's go with 7 pounds per gallon to make it an easy, round number.

No one actually buys a barrel of oil; it's not even transported in barrels. The main reason is that the US measures it in barrels (one barrel is the equivalent of 42 gallons) and that has become the “normal” way that oil is talked about.

A 55 gallon drum has a capacity of 44 British Imperial gallons, 200 liters, or 55 U.S. gallons. Their diameter is 22.5" (57.15 cm) at a height of 33.5" (85 cm), which creates a volume capacity of 58 gallons or 218.4 liters.

The White House announced today that it will tap into the U.S. Strategic Petroleum Reserve and release 50 million barrels (about 2 billion gallons) in hopes of bringing prices down as the busy holiday travel season approaches.

As to why they weren't drilling more, oil executives blamed Wall Street. Nearly 60% cited "investor pressure to maintain capital discipline" as the primary reason oil companies weren't drilling more despite skyrocketing prices, according to the Dallas Fed survey.

With 42 gallons in a barrel of gasoline, this means that PBF made about 78 cents per gallon on the gasoline it sold in Los Angeles from January 1 thru March 31st. That compares to 37 cents per gallon profits in LA in Q1 2021and 42 cents per gallon profit from its Midwest refinery in the first quarter of 2022.

Do gas station owners make money off gas?

Retailers Make Very Little Selling Gas

Generally, the markup (or “margin”) on a gallon of gas is about 15 cents per gallon (gross profit before expenses). Factoring in expenses, which include rent, utilities, freight, labor and credit card fees, a retailer is left with about 2 cents per gallon in profit.

"We estimate that it would take a sustained oil price increase to $200 per barrel to produce an income shock similar in magnitude to those that precipitated the 1974 and 1979 recessions — and this would significantly increase the 2022 recession odds," Goldman Sachs chief economist Jan Hatzius said in a new note on ...

Live interactive chart of West Texas Intermediate (WTI or NYMEX) crude oil prices per barrel. The current price of WTI crude oil as of October 05, 2022 is 87.18 per barrel.

Former Chase chief economist Anthony Chan believes that the odds of a recession are more than 40 percent. It might seem unthinkable, but there is real concern that a worst-case scenario in the Russia-Ukraine War could trigger an oil price spike to $200 a barrel.

Russia exports roughly 8 million barrels of crude and fuel per day, making it the largest oil exporter in the world. Russian government documents identified a marginal crude production cost of $44 per barrel, although some Western officials believe it may be somewhat lower.

Present U.S. demand for petroleum products is about 20 million barrels per day, so 800 billion barrels would last for more than 400 years if oil shale could be used to meet a quarter of that demand.

Five Fast Facts About U.S. Gasoline Prices. Petroleum prices are determined by market forces of supply and demand, not individual companies, and the price of crude oil is the primary determinant of the price we pay at the pump.

One Mcf of natural gas contains approximately one-sixth of the energy of a barrel of oil; therefore, 6,000 cubic feet of natural gas (6 Mcf) have the energy equivalent of one barrel of oil.

A barrel of crude oil is only 42 gallons, not 55 gallons. So to answer your question: On average a barrel of WTI crude oil produces approximately 20 gallons of gas.

Petroleum refineries in the United States produce about 19 to 20 gallons of motor gasoline and 11 to 12 gallons of ultra-low sulfur distillate fuel oil (most of which is sold as diesel fuel and in several states as heating oil) from one 42-gallon barrel of crude oil.

Which is cheaper to heat a home propane or oil?

As a general rule of thumb, propane is cheaper per BTU than heating oil. However, seasonal factors and location also play a role. The oil industry shuts down its refineries in stages between March and June every year for maintenance.

And, overall, propane is the more efficient fuel. One cubic foot of propane equals 2,516 BTUs, while one cubic foot of natural gas equals 1,030 BTUs. That means, propane is more than twice the energy of natural gas. While the cost per gallon is less for natural gas, you'll use more of it to heat the same appliances.

Safety: Lighter-than-air natural gas dissipates in an accident -- a safer scenario than flammable liquid fuel. Efficiency: While similar models of natural-gas and gasoline-powered cars get the same miles per gallon, you'll spend a lot less filling up the tank. Natural gas is about half the price of gasoline.

Can a Natural Gas Vehicle run on either natural gas and gasoline or diesel? Yes, in some applications you can switch between fuels at the push of a button on the dash.

According to the MAHB, the world's oil reserves will run out by 2052, natural gas by 2060 and coal by 2090.

That being said, at current consumption, we have by some accounts an estimated 47 years of oil left to be extracted. That equates to somewhere in the region of 1.65 trillion barrels of proven oil reserves. Other sources up this estimate a bit, but most agree we have around 50 years left, give or take.

The industry employed 111,000 oil and gas workers in Houston the last time oil prices were above $100 a barrel in 2014.

The price of WTI and Brent crude fell by more than 5% as China's central bank cut lending rates to light a fire under demand, as its July economic data soured on the back of China's restrictive zero-Covid policy.

Why is the U.S. not producing more natural gas?

The United States is already the world's largest producer of natural gas. But the two mainstays of production - the Appalachian region and West Texas - are seeing growth slow, with companies blaming lack of adequate pipeline infrastructure, despite prices near 14-year highs.

The world has proven reserves equivalent to 52.3 times its annual consumption. This means it has about 52 years of gas left (at current consumption levels and excluding unproven reserves).

Natural Gas Is 80% Cheaper Than Oil on an Energy-equivalent Basis, and Can Save Commercial Truck Fleets a Bundle.

Crude oil and natural gas are both energy commodities. We use these fuels to heat and cool our homes or supply other energy needs. The price link between crude oil and natural gas is an inter-commodity spread, which means that the prices between the two change in relation to each other.

A correlation coefficient between crude oil and natural gas of 0.25 indicates that a change in oil price can account for 25% of the change in natural gas prices (on average, throughout the study period).

Analysts cited by NPR project that if oil hits $200, the retail price of gas would average $5.84 in the US.

It's not as clean as wind or solar power, but natural gas is the cleanest fossil fuel—and is considered by many to be a key ingredient as the world transitions to a cleaner future. The U.S. Energy Information Administration notes that most of the natural gas consumed in the United States is produced domestically.

Compressed natural gas (CNG) vehicles operate much like gasoline-powered vehicles with spark-ignited internal combustion engines. The engine functions the same way as a gasoline engine. Natural gas is stored in a fuel tank, or cylinder, typically at the back of the vehicle.

Compared to oil, natural gas is less expensive. The average natural gas bill in winter 2014 to 2015 was $642, and natural gas tends to be one of the least expensive fuel options overall. The efficiency of natural gas systems varies. The best quality systems are more than 90 percent efficient.

It usually takes about three weeks for a jump in oil prices to show up at the pump, McNally added. That means gas is likely to get more expensive. “You should start to see a roughly 10% to 15% increase in gasoline prices, assuming these crude oil prices stick,” he said.

Who controls gas prices in USA?

Federal, state, and local government taxes also contribute to the retail price of gasoline. The federal excise tax is 18.40¢ per gallon (cpg), and state gasoline fees and taxes range from a low of about 15 cpg in Alaska to as much as 68 cpg in California and around 59 cpg in Illinois and Pennsylvania.

Our rates are regulated by the California Public Utilities Commission, or CPUC, based on three components: Commodity Costs – The cost of the natural gas itself. Transportation Costs – The cost of natural gas delivery.

The top five source countries of U.S. gross petroleum imports in 2021 were Canada, Mexico, Russia, Saudi Arabia, and Colombia. Note: Ranking in the table is based on gross imports by country of origin. Net import volumes in the table may not equal gross imports minus exports because of independent rounding of data.

Increases in natural gas supply generally result in lower natural gas prices, and decreases in supply tend to lead to higher prices. Increases in demand generally lead to higher prices, and decreases in demand tend to lead to lower prices.

The oil industry can decide to produce more oil whenever it wants. In fact, the oil industry already possess more than 9,000 approved—but unused—drilling permits on federal lands. Nearly 5,000 of those permits were approved in 2021 alone—the highest figure since the second Bush administration.

"We estimate that it would take a sustained oil price increase to $200 per barrel to produce an income shock similar in magnitude to those that precipitated the 1974 and 1979 recessions — and this would significantly increase the 2022 recession odds," Goldman Sachs chief economist Jan Hatzius said in a new note on ...

Live interactive chart of West Texas Intermediate (WTI or NYMEX) crude oil prices per barrel. The current price of WTI crude oil as of October 05, 2022 is 87.18 per barrel.