1276 FM 49, Gilmer, TX 75644
903-787-7544
sales@roselandoilandgas.com

North America Loses More Rigs WoW

North America Loses More Rigs WoW

by Andreas Exarheas
click here to read this article at Rigzone.com
*this article was not written by Roseland Oil & Gas


North America dropped three rigs week on week, according to Baker Hughes’ latest rotary rig count, which was published on December 13.

Although the total U.S. rig count remained unchanged week on week, the total Canada rig count declined by three during the same time period, taking the total North America rig count down to 780, comprising 589 rigs from the U.S. and 191 rigs from Canada, the count outlined.

Of the total U.S. rig count of 589, 573 rigs are categorized as land rigs, 14 are categorized as offshore rigs, and two are categorized as inland water rigs. The total U.S. rig count is made up of 482 oil rigs, 103 gas rigs, and four miscellaneous rigs, according to Baker Hughes, which showed that this total count comprises 525 horizontal rigs, 50 directional rigs, and 14 vertical rigs.

Week on week, the U.S. added one land rig and cut one offshore rig, while its gas rig count increased by one and its miscellaneous count decreased by one, the count revealed. The county’s directional rig count increased by one and its horizontal rig count decreased by one during the period, Baker Hughes pointed out.

A major state variances subcategory included in the rig count showed that New Mexico added two rigs week on week and Louisiana added one rig. Texas dropped two rigs and Pennsylvania dropped one rig week on week, the count highlighted.

Canada’s total rig count of 191 comprises 120 oil rigs and 71 gas rigs, Baker Hughes pointed out. The country’s oil rig count dropped by four week on week and its gas rig count increased by one during the same timeframe, the count showed.

The total North America rig count is down 28 compared to year ago levels, according to Baker Hughes, which outlined that the U.S. has driven this decline, cutting 34 rigs during the period while Canada’s count increased by six. The U.S. has cut 19 oil rigs and 16 gas rigs, and added one miscellaneous rig, while Canada has added four gas rigs and two oil rigs, year on year, the count revealed.

In a research note sent to Rigzone on Friday by the JPM Commodities Research team, J.P. Morgan analysts noted that “total U.S. oil and gas rigs remained flat at 589 this week”.

“Oil focused operators remained flat at 482 rigs, after last week’s gain of five. Natural gas focused rigs rose by two to 103 rigs, a third consecutive weekly gain,” the analysts added.

In the research note, the J.P. Morgan analysts stated that the rig count in the major tight oil basins experienced a modest decline, “decreasing by two rigs”.

“The Eagle Ford region accounted for this reduction, while all other basins remained steady. Although the headline figure suggests a stable oil rig count, our detailed tracking indicates a shift of two rigs, likely relocating to non-core counties in the Eagle Ford, yet still operational,” the analysts said in the note.

“More significantly, the overall oil rig count preserved last week’s increase of five rigs, reinforcing the notion that capital programs for 2025 are beginning to roll out,” they added.

“Currently, we find ourselves eight rigs short of our December exit forecasts. However, it’s important to note that any movements in drilling activity today will have implications for production in 2025,” they continued.

In its previous rig count, which was published on December 6, Baker Hughes revealed that North America lost four rigs week on week. Although the U.S. added seven rigs week on week, Canada dropped 11 rigs during the same period, that count outlined.

Baker Hughes’ November 27 count showed that North America’s total rig count increased by three week on week and its November 22 count revealed that North America’s total rig count remained unchanged week on week.

Baker Hughes’ November 15 rig count revealed that North America dropped eight rigs week on week, its November 8 rig count showed that North America dropped six rigs week on week, its November 1 count showed that North America dropped three rigs week on week, and its October 25 count revealed that North America dropped one rig week on week. The company’s October 18 count revealed that North America dropped three rigs week on week and its October 11 rig count also showed that North America dropped three rigs week on week.

Baker Hughes’ October 4 count showed that North America added three rigs week on week and its September 27 count revealed that North America added six rigs week on week.

The company’s September 20 rig count showed that North America dropped nine rigs week on week, its September 13 rig count showed that North America added six rigs week on week, its September 6 rig count revealed that North America dropped one rig week on week, and its August 30 rig count also showed that North America dropped one rig week on week.

Baker Hughes’ August 23 count revealed that North America added one rig week on week, its August 16 count revealed that North America dropped two rigs week on week, and its August 9 count showed that North America’s rig count stayed flat week on week.

Baker Hughes’ August 2 rig count showed that North America added five rigs week on week, its July 26 count showed that North America added 17 rigs week on week, its July 19 count revealed North America added 10 rigs week on week, and its July 12 count showed that North America added 13 rigs week on week.

The company’s July 5 count revealed that North America added three rigs week on week, its June 28 count also showed that North America added three rigs week on week, its June 21 rig count revealed that North America added four rigs week on week, and its June 14 count showed that North America added 13 rigs week on week.

Baker Hughes’ June 7 count revealed that North America added nine rigs week on week, its May 31 count showed that North America added eight rigs week on week, and its May 24 rig count highlighted that North America added two rigs week on week.

The company’s May 17 count revealed that North America dropped one rig week on week, its May 10 count showed that North America dropped six rigs week on week, its May 3 count also showed that North America dropped six rigs week on week, its April 26 count showed that North America dropped 15 rigs week on week, and its April 19 count showed that North America cut 12 rigs week on week.

Baker Hughes’ April 12 count revealed that North America added two rigs week on week, and its April 5 count showed that North America cut 16 rigs week on week.

The company’s March 28 count revealed that North America dropped 21 rigs week on week, its March 22 count showed that the region cut 43 rigs week on week, its March 15 count showed that the region cut 11 rigs week on week, and its March 8 rig count showed that North America dropped 13 rigs week on week.

Baker Hughes’ March 1 rig count revealed that North America added three rigs week on week, its February 23 rig count showed that North America added two rigs week on week, and its February 16 count showed that North America’s rig count remained unchanged week on week.

The company’s February 9 rig count revealed that North America increased its rig count by four rigs week on week, its February 2 count showed that North America’s rig count stayed flat week on week, and its January 26 rig count showed that North America increased its rig count by eight rigs week on week.

Baker Hughes’ January 19 count revealed that North America increased its rig count by 11 rigs week on week, its January 12 rig count showed that North America increased its rig count by 86 rigs week on week, and its January 5 rig count, which marked the company’s first rotary rig count of 2024, showed that North America added 38 rigs week on week.

The company’s final rotary rig count of 2023 showed a notable week on week and year on year drop for North America. The region’s rig count decreased by 58 week on week and by 155 year on year, according to that count, which was released on December 29.

Baker Hughes, which has issued rotary rig counts to the petroleum industry since 1944, describes the figures as an important business barometer for the drilling industry and its suppliers. The company notes that working rig location information is provided in part by Enverus.


by Andreas Exarheas
click here to read this article at Rigzone.com
*this article was not written by Roseland Oil & Gas