The total rig count has been up 11 out of the last 12 weeks. The number of total rigs exploring in the United States has increased this week again, courtesy of the addition of three land rigs in New Mexico, two in Texas and one in Kansas. Five states were down in their respective rig counts.
West Texas Intermediate(WTI)crude continues to trade above the $70-a-barrel psychological mark owing to concerns that Iran’s crude export might fall after Trump nixed the nuclear deal.
Moreover, there is considerable room for a rally in oil prices which could support the persistent ramp up in drilling activities.
Weekly Summary: Rigs engaged in the exploration and production in the U.S. edged up by +1 for the week ended May 18, 2018, up to 1046. Land rigs were +2 up to 1023. The offshore rig count fell-2to 19. Rigs drilling in the inland waters gained 1 for the week, up to 4.
Oil Rig Count: The US crude oil rig count remained flat at 844 for the week. There are 124 more rigs targeting oil than last year. Rigs drilling for oil represent 80.7 percent of all drilling activity.
US oil rigs tested an all-time high of 1,609 in October 2014. In contrast, the rigs hit 316 in May 2016—the lowest level since the 1940s.
Natural Gas Rig Count: The natural gas rig count – which plunged to its lowest last August – climbed +1 up to 200. The number of rigs drilling for gas is 20 higher than last year’s level of 180.
Among major oil- and gas-producing states, New Mexico gained 3 rigs this week to 92. Texas gained 2 units to 525 rigs drilling. Kansas gained 1 rig—its only rig running.
Seven states were unchanged this week: Oklahoma, 138; Pennsylvania, 39; Wyoming, 26; West Virginia, 17; California, 15; Utah, 8; and Arkansas 1.
Five states were down 1 rig each this week: Louisiana 61; North Dakota, 55; Colorado, 29; Ohio, 23; and Alaska, 7.
Summary of Major Plays – Ranked By Rig Count
– Permian Basin 467 rigs compared to last week’s 463 rigs
– Eagle Ford 77 rigs compared to last week’s 78 rigs
– Cana Woodford 72 rigs compared to last week’s 70 rigs
– Williston 56 rigs compared to last week’s 57 rigs
– Marcellus 55 rigs compared to last week’s 55 rigs
– Haynesville 54 rigs compared to last week’s 54 rigs
– DJ-Niobrara 24 rigs compared to last week’s 24 rigs
– Utica 24 rigs compared to last week’s 25 rigs
– Granite Wash 14 rigs compared to last week’s 13 rigs
– Arkoma Woodford 9 rigs compared to last week’s 9 rigs
Thank you for your continued support and keep an eye out for this week’s recap on Friday Snippets!
Compiled and Published by GIB KNIGHT
Gib Knight is a private oil and gas investor and consultant, providing clients advanced analytics and building innovative visual business intelligence solutions to visualize the results, across a broad spectrum of regulatory filings and production data in Oklahoma and Texas. He is the founder of OklahomaMinerals.com, an online resource designed for mineral owners in Oklahoma.