North America Adds Rigs for 8th Consecutive Week

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

North America added 13 rigs week on week, according to Baker Hughes’ latest rotary rig count, which was published on July 12.

Although the U.S. dropped one rig week on week, Canada added 14 during the same period, taking the total North America rig count up to 773, comprising 584 rigs from the U.S. and 189 rigs from Canada, the count outlined.

Of the total U.S. rig count of 584, 561 are classified as land rigs and 23 are categorized as offshore rigs. The country has 478 oil rigs, 100 gas rigs, and six miscellaneous rigs, according to the count, which highlighted that the total U.S. rig figure is made up of 517 horizontal rigs, 49 directional rigs, and 18 vertical rigs.

Week on week, the U.S. dropped one land rig, the count revealed. The country dropped one oil rig and one gas rig, and added one miscellaneous rig week on week, and its directional rig count reduced by one week on week, the count highlighted. Texas dropped two rigs week on week while Louisiana added one rig, the count showed.

Canada’s total rig count of 189 is made up of 126 oil rigs and 63 gas rigs, the count revealed. Canada added three gas rigs and 11 oil rigs week on week, the count pointed out.

The total North America rig count is down 89 compared to year ago levels, according to Baker Hughes, which highlighted that the U.S. has driven this decline, cutting 91 rigs during the period while Canada’s count increased by two. The U.S. has cut 59 oil rigs and 33 gas rigs, and added one miscellaneous rig, while Canada has added 12 oil rigs and dropped 10 gas rigs, year on year, the rig count revealed.

“Following a steep decline of 32 oil rigs since the third week of April, the rig count in the major tight oil basins has now leveled off over the last two weeks at 446 rigs,” analysts at J.P. Morgan stated in a research note sent to Rigzone by the JPM Commodities Research team on Friday.

“As operators prepare to execute their 2H24 drilling programs, this week’s count may indicate the new count required to perform the task. While we await U.S. oil and gas 2Q24 earnings results in the upcoming weeks, we do not expect guidance for 2024 well counts amongst public producers to change materially despite the decrease in rig count,” they added.

“As this drop in rig count was likely driven by incorporating updated drilling efficiencies in operational programs, we still hold our expectations for U.S. crude and condensate production to grow by 362,000 barrels per day in 2024,” they continued.

In its previous rig count, which was published on July 5, Baker Hughes revealed that North America added three rigs week on week. The U.S. added four rigs and Canada dropped one rig week on week, that count revealed.

Baker Hughes’ June 28 count 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, its June 14 count showed that North America added 13 rigs week on week, its 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, and its May 3 count also showed that North America dropped six rigs week on week. The company’s 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 the 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 obtains its working rig location information in part from Enverus.

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