Anadarko to Downsize U.S. Rig Operations

Anadarko Petroleum will shut down some of its drilling rigs in the United States in a move to stay within budget. "We are laying off a few of our U.S. onshore rigs," said Anadarko spokesman Teresa Wong. "We are not changing our Gulf of Mexico or Canada rig counts."

She said the company's budget was designed for heavier spending in the first half of the year, bringing about the need for reductions now. Wong would not confirm the number of rigs, but said the company will disclose its plans in a second-quarter earnings conference call on Thursday. The company does plan to double its Canadian rig count, which is currently eight units, she said. The company planned to operate an average of 50 rigs in North America in 2003, up from an average of 38 in 2002.