Frequently Asked Questions
About Compressed Natural Gas (CNG)
What is CNG?
CNG is natural gas that has been compressed to less than 1% of its volume. It is compressed for storage and transport and then re-vaporized on site for use.
What's the difference between LNG (Liquefied Natural Gas) and CNG?
LNG is natural gas stored as a cryogenic liquid at -260 F. LNG is a cost-effective solution for industrial customers that typically use 500,000 gallons or more of fuel annually with year-round energy demands. CNG is natural gas that has been compressed at high pressure. CNG is a cost-effective option for delivery to customers that use 75,000 gallons or more of fuel a year. CNG has the added benefit of serving customers with seasonal demand. Both LNG and CNG are effective ways to transport gas by truck.
What is the benefit of trucked gas?
Trucked gas can bring the savings of natural gas service to customers faster and at a price comparable to or better than a pipeline. Trucked gas has the added benefit of servicing areas uneconomical for a pipeline to be built.
Is there another company currently offering CNG in Maine or N.H.?
There is no other company currently delivering trucked natural gas in Maine or N.H.
When will CNG be available?
Very soon. We expect XNG's Baileyville terminal to be completed in early February, at which time CNG will be available. Customers, however, will need to make some changes to their infrastructure in order to complete the conversion. That timetable depends on multiple variables including the configuration of the customer's physical plant and current fuel system. We hope to be delivering CNG to our first customers in Maine by early Spring 2013. In general, it can take several months from start to finish converting a customer to CNG.
CNG is referred to as a lower cost alternative to fuel oil. How much lower?
XNG's current industrial customers who use liquefied natural gas (LNG) report an average savings of 25% or more compared with their current fuel mix. We expect CNG will bring the same, if not better, savings to most large commercial customers.
How reliable is the supply of CNG?
The Baileyville compressing station coming online in February sources its natural gas from the Maritimes/Northeast Pipeline--a proven and highly reliable source of supply. In the unlikely event of a disruption, customers typically maintain their old equipment as back-up and would revert to fuel oil or propane. XNG plans to build up to 6 more CNG facilities in New England in the next 12 to 18 months, providing significant redundancy from multiple supply points, and further reducing delivery costs for its customers.
How easy or difficult is it to convert? What is the cost and what permits are required?
As with any energy conversion, some changes are required to the customer's infrastructure. We will work with our customers to install on-site fuel storage that is sized to meet their needs, with the potential to grow with them. We will also help customers work with their HVAC company to make the necessary changes to their current heating equipment. Each individual customer situation is different with regard to cost and permitting.
Is it safe?
Trucked gas is extremely safe. The trailers are DOT-certified and must meet rigorous federal safety standards. The gas is a lighter-than-air vapor, so any release floats up with no spills and no clean-up like a liquid fuel. In the unlikely event of a sudden loss of pressure, the trailers are designed to safely discharge the gas up and away from the vehicle for maximum safety.
Can homeowners and small
businesses get CNG?
No. Due to the equipment
and transportation costs associated with CNG, this solution works best for
businesses and institutions using at least 75,000 gallons of heating oil
annually. Propane, however, is a practical, versatile and
energy-efficient alternative for homes and businesses.