A pipeline shortage that’s leaving gas trapped in the Permian means prices for the fuel there are the lowest of any major US hub. (Bloomberg) — America’s most prolific oil field is now its worst market for natural gas. A pipeline shortage that’s leaving gas trapped in West Texas’ Permian Basin means prices for the fuel there are the lowest of any major U.S. hub, wresting that distinction from Appalachia’s Marcellus Shale. Prices for Permian gas, produced alongside oil in the play, have tumbled 30 percent from a year ago, while output rose to a record. And the pipeline crunch is also pummeling the region’s oil market. All that gas production is creating a dilemma for drillers, who may be forced to curtail oil output if they can’t get their gas to market. Producers can burn off some of the gas — a process known as flaring — but […]