What Is Oil And Gas Upstream Midstream Downstream? ‘Upstream’ is about extracting oil and natural gas from the ground; ‘midstream’ is about safely moving them thousands of miles; and ‘downstream’ is converting these resources into the fuels and finished products we all depend on.

What are the 3 stages of oil and gas? The Three Stages of Refining. Crude oil needs to be processed before it can be used (See Close-Up: “Why Crude Oil Needs to be Refined”). Three major types of operation are performed to refine the oil into finished products: separation, conversion and treating.

What is the difference between upstream and downstream oil and gas? While upstream entails the initial phases of oil and gas production, downstream encompasses the final phases including refining and distribution of finished products like gasoline to consumers. In general, the farther a part of the process is from the end-user consumer, the more upstream it is.

What does midstream mean in oil and gas? Midstream refers to points in the oil production process that falls between upstream and downstream. In particular, midstream activities include the storage, processing, and transportation of petroleum products. These may include companies that specialize in operating tanker ships, pipelines, or storage facilities.

Is refinery midstream or downstream?

The final segment is referred to as downstream. They are refineries – companies responsible for refining oil and gas and turning them into the many finished products people rely on every day, like jet fuel, gasoline, asphalt, and heating oil.

What is midstream upstream and downstream?

‘Upstream’ is about extracting oil and natural gas from the ground; ‘midstream’ is about safely moving them thousands of miles; and ‘downstream’ is converting these resources into the fuels and finished products we all depend on.

What is downstream and upstream?

Stream – The moving water in a river is called a stream. Upstream – If the boat is flowing in the opposite direction to the stream, it is called upstream. In this case, the net speed of the boat is called the upstream speed. Downstream – If the boat is flowing along the direction of the stream, it is called downstream.

Is LPG upstream or downstream?

The downstream sector reaches consumers through products such as gasoline or petrol, kerosene, jet fuel, diesel oil, heating oil, fuel oils, lubricants, waxes, asphalt, natural gas, and liquefied petroleum gas (LPG) as well as naphtha and hundreds of petrochemicals.

Who is the largest midstream company?

Enbridge: The largest energy midstream company in North America. Enbridge operates the world’s longest and most sophisticated oil and liquids transportation network with more than 17,000 miles of pipelines.

How does midstream make money?

Transportation is the heart and soul of the midstream and the most common revenue generator. Pipelines collect tariffs from consumers per unit of hydrocarbon transported. These are also done through contracts that often utilize minimum volume commitments, further protecting investor income.

Is Schlumberger upstream or downstream?

China National Offshore Oil Corporation and Schlumberger (SLB) are examples of large companies that focus on upstream services. Many of the largest upstream operators are the major diversified oil and gas firms, such as Exxon-Mobil (XOM).

What is a downstream oil and gas company?

Companies in the downstream sector are those that provide the closest link to everyday users. After crude oil is discovered and extracted—the upstream process—it’s shipped and transported—the midstream process. Thereafter, the oil is refined, marketed, distributed, and sold, which is the downstream process.

What sector is oil and gas?

The Oil and Gas sector includes the oil and gas extraction industry as well as petroleum refining. The United States is the world’s third-largest petroleum producer, with more than 500,000 producing wells and approximately 4,000 oil and natural gas platforms operating in U.S. waters.

Are gas stations considered downstream?

The different sectors within the downstream industry include: Distributors. Retail outlets (like gasoline stations)

What is petroleum industry bill?

The petroleum Industry bill aims to provide a consolidated legislation regarding all aspects of the oil and gas sector, it aims to attract investments with the use of transparent policies and contribute to the economic development of Nigerians.

How many sectors are there in oil and gas?

The oil and gas industry is broken down into three segments: upstream, midstream, and downstream. Upstream, or exploration and production (E&P) companies, find reservoirs and drill oil and gas wells.

What are midstream stocks?

Midstream companies transport oil, natural gas and refined products from prolific basins to end markets. The pipeline networks and storage assets are usually contracted by shippers for a long period of time, thereby generating stable fee-based revenues.

What is boat and stream?

1) Still water: The water of a river or any other water body which is not flowing is known as still water. 2) Stream: It is the flowing water of a river which is moving at a certain speed. 3) Upstream: The boat or a swimmer moving against the stream is known as moving upstream i.e. against the flow of water.

What is the full form of LPG?

Liquefied petroleum gas (LPG) is the liquefied form of petroleum gases released during the extraction of crude oil and natural gas or during the refining of crude oil.

What is LPG and examples?

LPG is mixture of flammable hydrocarbon gases that include propane, butane, isobutane and mixtures of the three LPG gases. LPG is commonly used for home heating gases, cooking, hot water, and autogas – fuel for LPG cars and vehicles.

What is difference between LPG and LNG?

Difference between LNG and LPG is that they are different gases and the difference in LPG vs LNG container vessel storage. LNG (liquefied natural gas) is methane whilst LPG (liquefied petroleum gas) is propane, butane or a mixture of the two.

Who owns gas pipeline?

From our transmission system to your home. SoCalGas owns and operates an integrated gas transmission system consisting of pipeline and storage facilities.

What are midstream oil companies?

Midstream companies operate the pipeline and gathering or transmission facilities that move the gas from the well (upstream) to our homes and businesses (downstream). Midstream operations also treat the product, remove water or waste products, compress it and get it ready for various markets downstream.

Who owns American pipelines?

Nearly 82% of large-diameter pipeline miles and 62% of all pipeline miles in the United States are owned by 10 companies. Kinder Morgan Inc., with 32,000 miles of large-diameter pipeline, has more than double the mileage of TransCanada Corp., which acquired Columbia Pipeline Group in July 2015.

Why are midstream companies MLPs?

Master Limited Partnerships (MLPs): These are companies formed under U.S. law that do not have entity-level taxation. Because of depreciation adjustments that result in return of capital, they maximize the delivery of tax-deferred income.

How do oil pipelines make money?

That’s because the profits of many pipeline operators aren’t tied to the prices of oil and gas. Instead, operators make their money by charging set fees for transporting energy products from one place to another and then storing them.