--- title: Liquefied Natural Gas (LNG) | Life Cycle, Use & Environmental Concerns description: Find out what liquefied natural gas (LNG) is, its production process, its life cycle, and how it is transported for use as a fuel source. image: https://www.carboncollectiveinvesting.com/hubfs/Liquified_Natural_Gas_(LNG)-_FI.png --- [![Carbon collective](https://www.carboncollectiveinvesting.com/hubfs/raw_assets/public/CarbonCollective_August2021%20copy/images/carbon-collective-green-investing-logo-white.4f6047d4.svg "Carbon collective")](https://www.carboncollectiveinvesting.com/) - About - Employers - [Sustainable 401(k)](https://www.carboncollectiveinvesting.com/401k) - [401(k) Comparison Tool](https://www.carboncollectiveinvesting.com/401k/plan-comparison-tool) - Individuals - [FAQ](https://www.carboncollective.co/en/knowledge/faqs) - [ETF](https://www.carboncollectivefunds.com/) - Learn - [Sustainable Investing](https://www.carboncollective.co/sustainable-investing) - [Investing Basics](https://www.carboncollective.co/sustainable-investing/investing-basics) - [Blog](https://blog.carboncollective.co/) - [Tools](https://tools.carboncollective.co/calculator/) - Log in - [Carbon Collective](https://app.carboncollective.co) - [Altruist](https://app.altruist.com) [Talk to a human](https://ask.carboncollective.co/f4o5dylkg) [Sign up](https://app.carboncollective.co/sign-up) [Log In](http://app.carboncollective.co/) [![Carbon collective](https://www.carboncollectiveinvesting.com/hubfs/raw_assets/public/CarbonCollective_August2021%20copy/images/carbon-collective-green-investing-logo.53b28bee.svg "Carbon collective")](https://www.carboncollectiveinvesting.com/) - About - Employers - [Sustainable 401(k)](https://www.carboncollectiveinvesting.com/401k) - [401(k) Comparison Tool](https://www.carboncollectiveinvesting.com/401k/plan-comparison-tool) - Individuals - [FAQ](https://www.carboncollective.co/en/knowledge/faqs) - [ETF](https://www.carboncollectivefunds.com/) - Learn - [Sustainable Investing](https://www.carboncollective.co/sustainable-investing) - [Investing Basics](https://www.carboncollective.co/sustainable-investing/investing-basics) - [Blog](https://blog.carboncollective.co/) - [Tools](https://tools.carboncollective.co/calculator/) - Log in - [Carbon Collective](https://app.carboncollective.co) - [Altruist](https://app.altruist.com) [Talk to a human](https://ask.carboncollective.co/f4o5dylkg) [Sign up](https://app.carboncollective.co/sign-up) [Log In](http://app.carboncollective.co/) **[Home](https://www.carboncollectiveinvesting.com/) > [Sustainable Investing](https://www.carboncollectiveinvesting.com/sustainable-investing) >** Liquefied Natural Gas (LNG) # Liquefied Natural Gas (LNG) ![](https://www.carboncollectiveinvesting.com/hubfs/zach-stein.jpeg) Written by Zach Stein | Reviewed by [Subject Matter Experts](https://www.carboncollectiveinvesting.com/subject-matter-experts) Updated on October 1, 2024 Fact Checked Why Trust Carbon Collective? ### Table of Contents ## **What Is Liquefied Natural Gas (LNG)?** Liquefied natural gas (LNG) is a [hydrocarbon gas mixture](https://www.chem.fsu.edu/chemlab/chm1046course/hydrocarbons.html) cooled to a liquid state. It comprises methane (CH4) and ethane (C2H6) but can also contain other light hydrocarbons, such as propane (C3H8) and butane (C4H10).  Due to its high methane content, LNG is considered a "clean" fuel relative to other [fossil fuels](https://ourworldindata.org/fossil-fuels). Its production involves cooling the natural gas to about -260 degrees Fahrenheit. The gas is then compressed and put into tanks for transport. When LNG is used to produce electricity, it is first heated back to its natural gas state. LNG takes up about 1/600th of the space of raw natural gas and is easy to transport via truck, railcar, or ship.  LNG can be used in place of other fuels, such as gasoline or diesel, for vehicles or [generators](https://www.carboncollectiveinvesting.com/sustainable-investing/generator). Electricity can be generated through the use of LNG.  ## **Liquefied Natural Gas Life Cycle** The LNG life cycle begins with natural gas production. [Natural gas](https://www.carboncollectiveinvesting.com/sustainable-investing/natural-gas) occurs in many places, including underground, reservoirs, and methane hydrates. A feedstock of natural gas is pre-treated to remove H2S, CO2, H2O, mercury, and higher-chained hydrocarbons. It then enters a liquefaction unit that cools it to between -145°C and -163°C. Although the type and number of cycles vary based on the machine used, the process involves circulating gas through aluminum tube coils and exposing it to a compressed refrigerant. When the refrigerant vaporizes, the heat transfer cools the gas in the coils. The LNG is stored in a specialized double-wall insulated tank at atmospheric pressure for transportation to its final destination.  When the gas is used, it is heated back up to its natural gas state and used for power generation or transportation. ## **Uses of Liquefied Natural Gas** There are many uses for LNG. ## **![Uses_of_Liquefied_Natural_Gas](https://www.carboncollectiveinvesting.com/hs-fs/hubfs/Uses_of_Liquefied_Natural_Gas.png?width=1920&name=Uses_of_Liquefied_Natural_Gas.png)** ## **Differences Between Raw, Compressed, and Liquefied Natural Gas** [Raw natural gas](https://www.eia.gov/energyexplained/natural-gas/) is a mixture of hydrocarbons composed of methane (CH4), ethane (C2H6), propane (C3H8), butane (C4H10), and other types of gas. It is in its natural state and does not need cooling or compression. [Compressed natural gas](https://ww2.arb.ca.gov/our-work/programs/alternative-fuels/alternative-fuels-compressed-natural-gas-cng) (CNG) is natural gas compressed to high pressure for ease of transport. It is often used as a transportation fuel and not cooled to a liquid state. LNG is a hydrocarbon gas mixture cooled to a liquid state. LNG is often used as a transportation fuel or to generate electricity. ## **Environmental Concerns** Although LNG is considered a "clean" fuel, [some environmental concerns exist](https://www.nrdc.org/sites/default/files/sailing-nowhere-liquefied-natural-gas-report.pdf). LNG plants and terminals emit different types of [greenhouse gas](https://www.carboncollectiveinvesting.com/sustainable-investing/greenhouse-gases) like methane and carbon dioxide. They can also release toxins like benzene, toluene, and xylene. LNG plants need to be properly designed and operated to reduce these emissions. The gas needs to be cleaned before it is liquefied, and the plant needs to be well-maintained. ## **Final Thoughts** Liquefied natural gas (LNG) is a clean-burning fuel with many uses. It is used in place of other fuels for vehicles or generators and can be transported easily. LNG is also a good option for transportation. LNG is a good option for reducing our reliance on [fossil fuels](https://www.carboncollectiveinvesting.com/sustainable-investing/fossil-fuels). However, LNG plants and terminals emit different types of greenhouse gas and toxins, and these emissions can be reduced by proper design and operation. It is essential to consider the environmental impacts of processing plants and vehicles when using LNG. ## **FAQs** ### 1. What is liquefied natural gas (LNG)? Liquified natural gas (LNG) is natural gas that has been cooled and compressed. It is often used as a transportation fuel or to generate electricity. ### 2. What are the differences between raw, compressed, and liquefied natural gas (LNG)? Raw natural gas is in its natural state and does not need to be cooled or compressed. Compressed natural gas (CNG) is natural gas compressed to high pressure for ease of transport. Liquefied natural gas (LNG) is a hydrocarbon gas mixture cooled to a liquid state. ### 3. What are the uses of liquefied natural gas (LNG)? Liquefied natural gas (LNG) can replace other fuels, such as gasoline or diesel, for vehicles or generators. It can also help generate electricity. LNG is often used with [renewable energy sources](https://www.carboncollectiveinvesting.com/sustainable-investing/renewable-energy-sources), such as wind and solar, to generate electricity. ### 4. What are the environmental concerns associated with liquefied natural gas (LNG)? Liquefied natural gas (LNG) plants and terminals emit different types of greenhouse gas like methane and carbon dioxide. They can also release toxins like benzene, toluene, and xylene. ### 5. Are there any benefits of using liquefied natural gas (LNG)? Liquefied natural gas (LNG) is a clean-burning fuel that has many uses. LNG is a clean-burning fuel with many uses and can replace other fuels for vehicles or generators. LNG is also a good option for transportation. ### 6. Is liquefied natural gas (LNG) safe? Yes, liquefied natural gas (LNG) is safe. LNG is non-toxic and does not explode quickly. It can be safely transported and stored. ### Related Topics - [Sustainable Investing](https://www.carboncollective.co/sustainable-investing/) - [Carbon Footprint](https://www.carboncollective.co/sustainable-investing/carbon-footprint) - [Energy Efficiency](https://www.carboncollective.co/sustainable-investing/energy-efficiency) - [Greenhouse Gases](https://www.carboncollective.co/sustainable-investing/greenhouse-gases) - [Net Zero](https://www.carboncollective.co/sustainable-investing/net-zero) - [Renewable Energy Sources](https://www.carboncollective.co/sustainable-investing/renewable-energy-sources) - [Sustainable Development Goals (SDGs)](https://www.carboncollective.co/sustainable-investing/sustainable-development-goals-sdgs) ![Attend Our Next Webinar](https://www.carboncollectiveinvesting.com/hubfs/carbon-collective-green-investing-icon-webinar.12af7b6e.svg) ### Attend Our Next Webinar Join our next Sustainable Investing 101 webinar, get our favorite DIY options, and walk through how we build our portfolios. [Watch Now](https://www.carboncollective.co/sustainable-investing-webinar-green-retirement-month) ![Get Our Newsletter](https://www.carboncollectiveinvesting.com/hubfs/carbon-collective-green-investing-icon-demo.6ed28722.svg) ### Get Our Newsletter Go a level deeper with us and investigate the potential impacts of climate change on investments like your retirement account. Join Newsletter ![close-typeform](data:image/gif;base64,R0lGODlhEQARAIAAAODn7P///yH5BAEHAAEALAAAAAARABEAAAIqBIKpab3v3EMyVHWtWZluf0za0XFNKDJfCq5i5JpomdUxqKLQVmInqyoAADs=) ![Talk To A Human](https://www.carboncollectiveinvesting.com/hubfs/carbon-collective-green-investing-icon-chat.49d48c5b.svg) ### Talk To A Human Joining a new investment service can be intimidating. We’re here for you. Click below to email us a question or book a quick call. [Ask a Question](https://ask.carboncollective.co/f70pooobq) Topics ## Sustainable Investing Topics View our list of some topics below. See More - Portfolios - [Performance](https://www.carboncollectiveinvesting.com/returns) - About - [Sustainable 401(k)](https://www.carboncollectiveinvesting.com/401k) - Learn - [FAQ](https://www.carboncollective.co/en/knowledge/faqs) - [Sustainable Investing](https://www.carboncollective.co/sustainable-investing) - [Investing Basics](https://www.carboncollective.co/sustainable-investing/investing-basics) - Contact - [Contact us](mailto:hello@carboncollective.co) - [Legal](https://www.carboncollective.co/legal) - [Privacy Policy](https://www.carboncollectiveinvesting.com/hubfs/2022-11%20Carbon%20Collective%20Privacy%20Policy.pdf) - [Back to top](https://www.carboncollectiveinvesting.com/sustainable-investing/liquefied-natural-gas-lng#top-of-page) DISCLAIMERS: Advisory services provided by Carbon Collective Investment LLC (“Carbon Collective"), an SEC-registered investment adviser. A copy of Carbon Collective's current written disclosure statement discussing Carbon Collective’s business operations, services, and fees is available at the SEC’s investment adviser public information website – [www.adviserinfo.sec.gov](https://adviserinfo.sec.gov/firm/summary/310129) or [our legal documents here](https://blog.carboncollective.co/legal-documents/). The articles and research support materials available on this site are educational and are not intended to be investment or tax advice. Carbon Collective does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to Carbon Collective’s web site or incorporated herein, and takes no responsibility therefor. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly. Investments in securities: Not FDIC Insured • No Bank Guarantee • May Lose Value. Investing in securities involves risks, and there is always the potential of losing money when you invest in securities. Before investing, consider your investment objectives and Carbon Collective's charges and expenses. Carbon Collective's internet-based advisory services are designed to assist clients in achieving discrete financial goals. They are not intended to provide comprehensive tax advice or financial planning with respect to every aspect of a client's financial situation and do not incorporate specific investments that clients hold elsewhere. For more details, see our Form CRS, Form ADV Part 2 and other disclosures. Past performance does not guarantee future results, and the likelihood of investment outcomes are hypothetical in nature. Not an offer, solicitation of an offer, or advice to buy or sell securities in jurisdictions where Carbon Collective is not registered. © 2026 Carbon Collective Corporation. All rights reserved. × #### Fact Checked Carbon Collective partners with financial and climate experts to ensure the accuracy of our content. Our team of reviewers are established professionals with years of experience in areas of personal finance and climate. They have contributed to top tier financial publications, such as Reuters, Axios, Ag Funder News, Bloomberg, Marketwatch, Yahoo! Finance, and many others. This team of experts helps Carbon Collective maintain the highest level of accuracy and professionalism possible. × #### Why Trust Carbon Collective Carbon Collective is the first online investment advisor 100% focused on solving climate change. We believe that sustainable investing is not just an important climate solution, but a smart way to invest. We follow ethical journalism practices, which includes presenting unbiased information and citing reliable, attributed resources. Much of our research comes from leading organizations in the climate space, such as Project Drawdown and the International Energy Agency (IEA). Our goal is to deliver the most understandable and comprehensive explanations of climate and finance topics. Our writing and editorial staff are a team of experts holding advanced financial designations and have written for most major financial media publications. Our work has been directly cited by organizations including MarketWatch, Bloomberg, Axios, TechCrunch, Forbes, NerdWallet, GreenBiz, Reuters, and many others. We strive to empower readers with the most factual and reliable climate finance information possible to help them make informed decisions. } ```json { "@context" : "https://schema.org", "@type" : "Organization", "alternateName" : "Carbon Collective", "contactPoint" : { "@type" : "ContactPoint", "areaServed" : "US", "availableLanguage" : "en", "contactType" : "customer service", "telephone" : "(650) 868-2697" }, "logo" : "https://www.carboncollective.co/hubfs/CarbonCollectiveLogo.png", "name" : "Carbon Collective Investing LLC", "sameAs" : [ "https://www.facebook.com/carboncollectiveinvesting/", "https://twitter.com/carbncollective", "https://www.instagram.com/carbon.collective/", "https://www.youtube.com/channel/UC769Y-F-L_B37kyQfdpvyXA", "https://www.linkedin.com/company/carbon-collective/", "https://www.crunchbase.com/organization/carbon-collective", "https://adviserinfo.sec.gov/firm/summary/310129", "https://www.wikidata.org/wiki/Q110243690" ], "url" : "https://www.carboncollective.co/" } ``` ```json { "@context" : "https://schema.org", "@type" : "FAQPage", "mainEntity" : [ { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Liquified natural gas (LNG) is natural gas that has been cooled and compressed. It is often used as a transportation fuel or to generate electricity." }, "name" : "1. What is liquefied natural gas (LNG)?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Raw natural gas is in its natural state and does not need to be cooled or compressed. Compressed natural gas (CNG) is natural gas compressed to high pressure for ease of transport. Liquefied natural gas (LNG) is a hydrocarbon gas mixture cooled to a liquid state." }, "name" : "2. What are the differences between raw, compressed, and liquefied natural gas (LNG)?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Liquefied natural gas (LNG) can replace other fuels, such as gasoline or diesel, for vehicles or generators. It can also help generate electricity. LNG is often used with renewable energy sources, such as wind and solar, to generate electricity." }, "name" : "3. What are the uses of liquefied natural gas (LNG)?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Liquefied natural gas (LNG) plants and terminals emit different types of greenhouse gas like methane and carbon dioxide. They can also release toxins like benzene, toluene, and xylene." }, "name" : "4. What are the environmental concerns associated with liquefied natural gas (LNG)?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Liquefied natural gas (LNG) is a clean-burning fuel that has many uses. LNG is a clean-burning fuel with many uses and can replace other fuels for vehicles or generators. LNG is also a good option for transportation." }, "name" : "5. Are there any benefits of using liquefied natural gas (LNG)?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Yes, liquefied natural gas (LNG) is safe. LNG is non-toxic and does not explode quickly. It can be safely transported and stored." }, "name" : "6. Is liquefied natural gas (LNG) safe?" } ] } ``` ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "https://f.hubspotusercontent20.net/hubfs/20345524/zach-stein.jpeg", "url" : "https://www.carboncollectiveinvesting.com/sustainable-investing/author/zach-stein" }, "dateModified" : "2024-10-01", "datePublished" : "2022-07-17", "description" : "Find out what liquefied natural gas (LNG) is, its production process, its life cycle, and how it is transported for use as a fuel source.", "headline" : "Liquefied Natural Gas (LNG) | Life Cycle, Use & Environmental Concerns", "image" : "https://20345524.fs1.hubspotusercontent-na1.net/hubfs/20345524/Liquified_Natural_Gas_%28LNG%29-_FI.png", "mainEntityOfPage" : { "@id" : "https://www.carboncollectiveinvesting.com/sustainable-investing/liquefied-natural-gas-lng", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://www.carboncollective.co/hubfs/CarbonCollectiveLogo.png" }, "name" : "Carbon Collective" } } ```