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Natural Gas Liquids - NGL

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Dictionary Says

Definition of 'Natural Gas Liquids - NGL'

Components of natural gas that are separated from the gas state in the form of liquids. This separation occurs in a field facility or in a gas processing plant through absorption, condensation, adsorption or other method. Natural gas liquids as classified based on their vapor pressure:

Low = condensate
Intermediate = natural gas
High = liquefied petroleum gas

Investopedia Says

Investopedia explains 'Natural Gas Liquids - NGL'

NGL are naturally occurring elements found in natural gas, and include propane, butane and ethane, among others. NGL are valuable as separate products and it is therefore profitable to remove them from the natural gas.The liquids are first extracted from the natural gas and later separated into different components.

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