This is one of my favorite dishes.
I've been working on this recipe for awhile and finely hit it.
This stuff is GOOOOD! 
Makes 2 to 4 servings
Ingredients:
2 pints shucked oysters with their liquor or 1 - 8oz. can of Whole Oysters
4 Tablespoons butter (1/2 stick), divided
2 cups Half & Half milk
1/4 cup red or white onion minced (I like red)
1/8 teaspoon garlic powder or less (Just a smidgen)
1/2 teaspoon parsley flakes or less
Salt and pepper to taste
Instructions:
The two most important factors in preparing Oyster Stew are,
Do Not boil the milk and Do Not overcook the oysters.
1. Drain the oysters reserving their juice.
2. In a sauce pan over medium heat, slowly heat the milk (Do Not boil).
(I use a Pyrex measuring cup in a pan of water. It's like a double boiler when heating up the milk.)
3. In another sauce pan over medium heat, melt 1/2 the butter then add the minced onions, garlic powder and parsley, then sauté till soft. (Do Not brown.)
4. When onions are translucent and soft, add the oyster juice, salt and pepper then bring to a boil.
5. Now, add the oysters and simmer very gently for about 4 - 5 minutes or until the edges start to curl. (Overcooked oysters are tough and chewy)
6. When the oysters are cooked, slowly add the hot milk and that other half of the butter to the stew, stirring gently bringing it back to almost boiling.
7. Remove immediately then serve.
NOTES:
I've made this with 2% and whole milk but adding the half & half milk did it. It's still good using 'regular' milk but, it really needs that cream factor.
Enjoy!
