North America Keeps Adding Rigs

North America added 12 rigs week on week, according to Baker Hughes’ latest North America rotary rig count, which was released on January 24.

Although the U.S. dropped four rigs week on week, Canada added 16 rigs during the same timeframe, taking the total North America rig count up to 821, comprising 576 rigs from the U.S. and 245 rigs from Canada, Baker Hughes’ count outlined. 

Of the total U.S. rig count of 576, 560 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 472 oil rigs, 99 gas rigs, and five miscellaneous rigs, according to the count, which revealed that the U.S. total comprises 511 horizontal rigs, 51 directional rigs, and 14 vertical rigs.

Week on week, the U.S. offshore and inland water rig counts remained unchanged, but the country’s land rig count dropped by four, the count revealed. The country’s oil rig count dropped by six, its gas rig count increased by one, and its miscellaneous rig count increased by one, week on week, the count showed. The U.S. horizontal rig count dropped by four, while its directional rig count dropped by one and its vertical rig count increased by one, week on week, the count highlighted.

A major state variances subcategory included in the rig count showed that Texas dropped four rigs and New Mexico dropped one rig, week on week. Oklahoma added one rig during the same period, the count outlined.

A major basin variances subcategory included in Baker Hughes’ rig count showed that the Permian basin dropped six rigs, and the Cana Woodford and Barnett basins each dropped one rig, week on week. The Eagle Ford basin added one rig week on week, the count revealed.

Canada’s total rig count of 245 is made up of 174 oil rigs and 71 gas rigs, Baker Hughes pointed out. The country’s oil rig count increased by 18 week on week and its gas rig count dropped by two week on week, the count showed.

The total North America rig count is down 30 compared to year ago levels, according to Baker Hughes’ count, which showed that the U.S. has cut 45 rigs and Canada has added 15 rigs, year on year. The U.S. has dropped 27 oil rigs and 20 gas rigs, and added two miscellaneous rigs, while Canada has added 30 oil rigs and cut 15 gas rigs, year on year, the count revealed.

In a report sent to Rigzone by the Skandinaviska Enskilda Banken AB (SEB) team on Monday, Bjarne Schieldrop, chief commodities analyst at the company, highlighted that the “U.S. oil drilling rig count fell by six to 472 last week, and [the] lowest since October 2021”.

In its previous rig count, which was published on January 17, Baker Hughes outlined that North America added nine rigs week on week. The total U.S. rig count dropped by four week on week while Canada’s total rig count increased by 13 during the same timeframe, that count showed.

Baker Hughes’ January 10 rig count outlined that North America added 117 rigs week on week. The total U.S. rig count dropped by five week on week while Canada’s total rig count increased by 122 during the same timeframe, that count highlighted.

Baker Hughes’ January 3 rig count outlined 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.

To contact the author, email andreas.exarheas@rigzone.com