North America Goes Back to Losing Rigs

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

North America dropped 12 rigs week on week, according to Baker Hughes’ latest rotary rig count, which was released on April 19.

Canada dropped 14 rigs while the U.S. added two week on week, taking the total North America rig count down to 746, comprising 619 rigs from the U.S. and 127 rigs from Canada, the count outlined.

Of the total U.S. rig count of 619, 599 are categorized as land rigs and 20 are categorized as offshore rigs. The country has 511 oil rigs, 106 gas rigs, and two miscellaneous rigs, according to the count, which showed that the U.S. has 555 horizontal rigs, 50 directional rigs, and 14 vertical rigs.

Week on week, the U.S. added one land rig and one offshore rig, while its gas rig count dropped by three and its oil rig count increased by five, the count outlined. During the same period, the country’s vertical rig count increased by two, its horizontal rig count increased by one, and its directional rig count decreased by one, Baker Hughes revealed.

Texas added two rigs, Oklahoma and Louisiana each added one rig, and New Mexico and Ohio each lost one rig, week on week, the count highlighted.

Of Canada’s total rig count of 127, 67 are categorized as gas rigs and 60 are categorized as oil rigs. The country cut 10 oil rigs and four gas rigs week on week, Baker Hughes’ count showed.

The total North America rig count is down 112 compared to year ago levels, according to Baker Hughes, which highlighted that the U.S. has driven this decline, cutting 134 rigs during the period while Canada’s count increased by 22. The U.S. has cut 80 oil rigs, 53 gas rigs, and one miscellaneous rig, while Canada has added four gas rigs and 18 oil rigs, year on year, the rig count revealed.

In its previous rig count, which was released on April 12, Baker Hughes showed that North America added two rigs week on week. While the U.S. dropped three rigs week on week, Canada added five during the same period, that count outlined.

“The U.S. oil rig count fell by two week on week to 506 according to the latest Baker-Hughes survey,” analysts at Standard Chartered noted in a report sent to Rigzone on April 16, referring to Baker Hughes’ April 12 rig count.

“The horizontal oil rig count fell by two to 45, extending its stay in the narrow 450-457 range to 22 weeks. The lack of dynamism is particularly evident in the Bakken region of North Dakota and Montana, where the rig count has stayed at 34 for 14 weeks and has been in the 32-34 range for 31 weeks,” they added.

“The U.S. gas count declined by a single rig to a 27-month low of 109, with activity in the Haynesville region unchanged at a 43-month low of 35 rigs,” the analysts continued.

Baker Hughes’ April 5 count showed that North America cut 16 rigs week on week, its 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