NOVELTY - A continuous process for converting hydrocarbon feedstock into higher hydrocarbons involves: (a) forming alkyl halides by reacting molecular halogen with hydrocarbon feedstock containing methane, to form alkyl halides and hydrogen halide; (b) forming reproportionated alkyl halides by reacting alkyl halides with alkane feed; (c) contacting reproportionated alkyl halides with first catalyst to form higher hydrocarbons and additional hydrogen halide; (d) separating higher hydrocarbons; (e) regenerating molecular halogen; (f) separating molecular halogen; and (g) repeating steps (a)-(f).    USE - For continuous conversion of hydrocarbon feedstock comprising 1-4C hydrocarbons (e.g. methane) or natural gas into higher hydrocarbons (claimed), for producing liquid fuels (e.g. gasoline and gasoline additives), and hydrocarbons (e.g. aromatic compounds such as benzene, xylene or toluene, or olefins such as ethylene or propylene).    ADVANTAGE - The process is efficient and economically viable; and provides recovery of halogen for reuse, and reproportionation of undesired formed polyhalides increases the proportion of desired monohalogenated hydrocarbons.    DETAILED DESCRIPTION - A continuous process for converting a hydrocarbon feedstock into at least one higher hydrocarbon involves: (a) forming alkyl halides by reacting molecular halogen with a hydrocarbon feedstock containing methane, to form alkyl halides and hydrogen halide, where all of the molecular halogen is consumed; (b) forming reproportionated alkyl halides by reacting some or all of the alkyl halides with alkane feed, to increase the fraction of monohalogenated hydrocarbons; (c) contacting the reproportionated alkyl halides with a first catalyst to form higher hydrocarbons and additional hydrogen halide; (d) separating the higher hydrocarbons from the hydrogen halide; (e) regenerating molecular halogen by contacting the hydrogen halide with a second catalyst in the presence of a source of oxygen, to form molecular halogen and water; (f) separating the molecular halogen from water to allow reuse of the halogen; and (g) repeating steps (a)-(f) a desired number of times.