Bottom of the Barrel: Drilling Into Energy Partners

NEW ORLEANS -- Do you think natural gas prices will remain strong as heating demand rises this winter? If so, then you might be interested in companies that drill in the Gulf of Mexico, the origin of more than one-third of domestic natural gas.

One small-cap way to play that theme is Energy Partners (EPL Quote). Sporting a $250 million market cap, this exploration-and-production company is looking to grow largely through opportunistic exploration and exploitation and through development of its prospects in the Gulf of Mexico.

An Interesting Story

"We are a Gulf of Mexico play," said Richard Bachmann, Energy Partners chairman, president and CEO, at a presentation Wednesday at the second annual Louisiana Energy Conference in New Orleans. "That is what we know, and that is our focus." ...