North America Ends Rig Gain Streak

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

North America dropped five rigs week on week, according to Baker Hughes’ latest North America rotary rig count, which was published on February 7.

Although the U.S. added four rigs week on week, Canada cut nine rigs during the same period, taking the total North America rig count down to 835, comprising 586 rigs from the U.S. and 249 rigs from Canada, the count outlined.

Of the total U.S. rig count of 586, 570 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 480 oil rigs, 100 gas rigs, and six miscellaneous rigs, according to the count, which revealed that the U.S. total comprises 523 horizontal rigs, 50 directional rigs, and 13 vertical rigs.

Week on week, the U.S. land rig count increased by three, its offshore rig count increased by one, and its inland water rig count remained unchanged, the count highlighted. The country’s oil and miscellaneous rig counts each increased by one week on week, and its gas rig count rose by two during the same timeframe, the count showed. Baker Hughes’ count revealed that the U.S. horizontal rig count increased by four week on week, while its directional and vertical rig counts remained unchanged during the period.

A major state variances subcategory included in the rig count showed that, week on week, Louisiana added two rigs, and California, Texas, Utah, and Wyoming each added one rig. Oklahoma dropped two rigs week on week, according to the count.

A major basin variances subcategory included in Baker Hughes’ rig count showed that the Eagle Ford and Haynesville basins each added two rigs week on week, while the Granite Wash basin dropped one rig week on week.

Canada’s total rig count of 249 is made up of 177 oil rigs and 72 gas rigs, Baker Hughes pointed out. The country’s oil rig count dropped by nine week on week and its gas and miscellaneous rig counts remained unchanged one week on week, the count showed.

The total North America rig count is down 20 compared to year ago levels, according to Baker Hughes’ count, which showed that the U.S. has cut 37 rigs and Canada has added 17 rigs, year on year. The U.S. has dropped 21 gas rigs and 19 oil rigs, and added three miscellaneous rigs, while Canada has added 36 oil rigs and cut 19 gas rigs, year on year, the count revealed.

In its previous rig count, which was released on January 31, Baker Hughes showed that North America added 19 rigs week on week. The U.S. added six rigs and Canada added 13 rigs week on week, taking the total North America rig count up to 840, comprising 582 rigs from the U.S. and 258 rigs from Canada, that count outlined.

“The U.S. oil rig count has reversed the previous week’s weather-related decline in increasing by seven week on week from the previous week’s 37-month low to 479, according to the latest Baker-Hughes survey,” analysts at Standard Chartered Bank, including the company’s Commodities Research Head Paul Horsnell, said in a report sent to Rigzone by Horsnell on February 4, referring to Baker Hughes’ January 31 rig count.

“The largest week on week increase came in the Midland Basin where the rig count increased by five week on week to 107,” they added.

“Elsewhere in the Permian, Delaware Basin activity increased by two to 168 rigs while other Permian drilling fell two to a five-month low of 28 rigs. U.S. gas drilling fell by a single rig to 98 rigs, with Haynesville gas activity fall[ing] by one to an eight-year low of 29 rigs,” they continued.

Baker Hughes’ January 24 rig count outlined that North America added 12 rigs week on week, its January 17 count showed that North America added nine rigs week on week, and its January 10 rig count outlined that North America added 117 rigs week on week.

Baker Hughes’ January 3 rig count revealed that North America dropped one rig week on week, its December 27 rig count showed that North America dropped 71 rigs week on week, its December 20 rig count revealed that North America lost 25 rigs week on week, its December 13 rig count revealed that North America lost three rigs week on week, and its December 6 rig count revealed that North America lost four rigs week on week. The company’s November 27 count showed that North America’s total rig count increased by three week on week.

Baker Hughes, which has issued rotary rig counts 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