Natural gas, a fossil gift from nature, is composed of methane (95%) with small amounts of ethane and propane. Natural gas deposits are accompanied by oil deposits or they may also occur independently. Among the fossil fuels, it is the cleanest source of energy. Natural gas can easily be transported through the pipelines. It burns without smoke and has high calorific value. It can be used as a source of energy for domestic as well as industrial purpose. It can also be used for power generation and as a raw material for petrochemical industries and fertilizer plants. Crude oil refining and fractional distillation plants yield natural gas as a byproduct. About 40% of total natural gas is restricted to Russia followed by Iran (14%) and USA (7%). In India, Natural gas reserves occur in association with oil fields. Some new areas have been discovered in Jaisalmer, Tripura, off-shore area of Mumbai and the Krishna-Godavari Delta.