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U.S. energy firms this week added oil and natural gas rigs for a second week in a row for the first time since early December, energy services firm Baker Hughes reported. The combined oil and gas rig count, an early indicator of future output, rose by one to 621 in the week to Jan. 26. The report showed oil rigs rose by two to 499 this week, while gas rigs fell by one to 119.
Despite this week's rig increase, Baker Hughes said the total count was 150, or 19%, below this time last year.
The U.S. oil and gas rig count dropped about 20% in 2023 after rising by 33% in 2022 and 67% in 2021, due mostly to a decline in oil and gas prices, higher drilling costs and as companies cut spending in favor of paying down debt and boosting returns to shareholders.
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