Weightage of oil and gas Industries.

[Anisha fatima + 8]

Why does people gives more weightage to oil industry when compared with gas industry. All are mentioning that Oil & Gas Companies In Dubai and not as gas and oil companies in Dubai. Why and what is the reason behind it? 

[Jay McKinsey + 1,490]

1 hour ago, Anisha fatima said:

Why does people gives more weightage to oil industry when compared with gas industry. All are mentioning that Oil & Gas Companies In Dubai and not as gas and oil companies in Dubai. Why and what is the reason behind it? 

One of the two is frequently flared off as a waste byproduct...

[Eric Gagen + 713]

To give a slightly expanded answer, natural gas is only produced and used in significant quantitates in a few places in the world, and it's not heavily traded internationally the same way that oil is.  Where it is in use,  it's a critical, and sometimes dominant factor in national economies, but it can and is easily substituted with other forms of energy in most places where it is not available.

The general lack of international trade in natural gas, and the availability of substitutes mean that natural gas rarely rises to the level of financial or political attention that oil does. 

Natural gas trades at a very steep discount to oil on a per unit energy basis - typically you can purchase 5 times the energy equivalent in natural gas for the same price as one unit of oil.  Except for a few countries and companies which have focused on natural gas,  it is usually the case that the financial impact of oil production and sales dramatically exceeds that of natural gas production and sales, often to such a degree that the natural gas contribution is negligible.    

[Anisha fatima + 8]

Hi dear experts many thanks for sharing your valuable thoughts.