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Title: The Role Of Sng In The U.S. Energy Balance
Author: Henry R. Linden
Source: American Gas Association 1973
Year Published: 1973
Abstract: Considerable uncertainties exist with regard to the contribution that gas produced from petroleum and coal can make in meeting the rapidly increasing U.S. requirements for nonpolluting fuels. One major uncertainty in the supply of substitute natural gas (SNG) for interstate commerce is, of course, the position of the Federal Power Commission in regard to jurisdiction, pricing, and assumption of investment risk, SNG projects also face serious siting problems because of environmental restrictions imposed at both the federal and local levels. This creates especially severe obstacles to coal gasification. Feedstock availability and cost are other major concerns. Announced projects for production of SNG from natural gas liquids, naphtha, and crude oil have total feedstock requirements on the order of 1.5 to 1.6 million barrels per day, a little under 10% of current U.S. petroleum requirements. Since increases in petroleum demand will have to be met by corresponding increases in imports, this will intensify problems of reliability of supply, price stabilitv. and balance of trade associated with the rapidlv growing U.S. dependence on supplies outside the western hemisphere.

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