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U.S. rig count rises to highest since March 2015 -Baker Hughes
U.S. drillers added oil rigs for a second week in a row this week, raising the rig count to the highest level since March 2015.
Due to transport constraints to remove oil from the Permian Basin, the largest oilfield in the United States, new drilling had stalled since June but has begun to edge up as a new pipeline is due to start up and help the bottleneck.
So far this year, U.S. oil futures have averaged $67.24 per barrel. That compares with averages of $50.85 in calendar 2017 and $43.47 in 2016.
Looking ahead, crude futures were trading around $69.42 per barrel for the balance of 2018 and at $69.25 for calendar 2019.
Weekly Summary: Total rigs engaged in the exploration and production in the U.S. increased by 4 for the week ended October 19, 2018, up to 1067. Land rigs were up 7 to 1044. The offshore rig count lost 3 down to 20. Rigs drilling in the inland waters remained the same at 3.
Oil Rig Count: The US crude oil rig count went up +4 from 869 up to 873 for the week. There are 137 more rigs targeting oil than last year. Rigs drilling for oil represent 81.8 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 in August of 2017 – gained +1 to 194 rigs. The number of rigs drilling for gas is 17 rigs higher than last years count.
AMONG MAJOR OIL- AND GAS-PRODUCING STATES:
Texas saw the largest increase in rigs for the week, gaining 8 rigs. California increased 2 rigs.
Eight states were unchanged this week, namely Colorado, Kansas, Louisiana, North Dakota, Ohio, Utah, West Virginia, and Wyoming.
Alaska and New Mexico lost 2 rigs each. Oklahoma and Pennslyvania each lost 1 rig.
Summary of Major Plays – Ranked By Rig Count
– Permian Basin 490 rigs compared to last week’s 489 rigs
– Eagle Ford 79 rigs compared to last week’s 77 rigs
– Cana Woodford 63 rigs compared to last week’s 64 rigs
– Williston 52 rigs compared to last week’s 52 rigs
– Marcellus 55 rigs compared to last week’s 56 rigs
– Haynesville 50 rigs compared to last week’s 50 rigs
– DJ-Niobrara 28 rigs compared to last week’s 28 rigs
– Utica 19 rigs compared to last week’s 19 rigs
– Granite Wash 14 rigs compared to last week’s 13 rigs
– Arkoma Woodford 8 rigs compared to last week’s 8 rigs
For more details on the latest national and state news regarding last Friday’s Baker Hughes rig count data, check out the interactive rig count dashboard on the Oklahoma Index tab of our website.
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.
SOURCE: Baker Hughes