Natural Gas Industry SegmentsProduction, midstream, transmission and distribution
Natural Gas Industry Segments Defined
Natural Gas Production
The natural gas production segment production segment covers the exploration & development of both onshore and offshore natural gas reserves. Companies that fall within this segment are specialize in exploring recoverable natural gas reserves, acquiring drilling and access rights, and exploiting reserves as efficiently as possible.
Exploration and drilling rights to natural gas reserves are typically acquired by producer through a lease with the landowner, who owns the natural gas in any number of subsurface formations. In exchange for this right, the production company pays the landowner a royalty, or a portion of the proceeds from the sale of the natural gas, as negotiated.
Natural Gas Midstream
Over the last three decades, the commodity has been decoupled from the underlying transport service, and the inter- or intrastate service (transmission) has been separated from the local service (Gathering).
Natural Gas Transmission
Natural Gas Distribution
+1 (514) 695-8095
Speak with an NGL consultant