Bloomberg: Gas is just a sideshow to U.S. producers prizing oil

|By:, SA News Editor

Based on comments from energy company officials presenting at the Independent Petroleum Association of America conference yesterday, oil is still the prize and gas is almost an afterthought.

Abraxas Petroleum (AXAS) CEO Bob Watson discussed how much of his company’s proved reserves are oil and liquids rather than gas (74%), PDC Energy (PDCE) said it’s sitting on huge leases in gas fields that aren’t worth drilling and Whiting Petroleum (WLL) CEO James Volker explained that oil sells for 3x more than the equivalent amount of natural gas.

If natural gas is to be a bridge fuel from fossil fuels to clean energy - as Pres. Obama suggests - the transition can’t depend on supply alone; it needs more uses, writes Bloomberg's Issac Arnsdorf.