Oil Rig Count Inches Higher As Prices Stabilize

Baker Hughes reported that the number of oil and gas rigs in the US held fast yet again this week at 790, with the total oil and gas rig falling 261 over the last 52 weeks.

The number of oil rigs increased for the week, by 2 rigs, according to Baker Hughes data, bringing the total to 678—a 179-rig loss year over year.

The total number of active gas rigs in the United States fell by 1 according to the report, to 110. This compares to 194 a year ago. 

The miscellaneous rig count fell by 1 this week as well, bringing the total number of miscellaneous rigs to 2.

Meanwhile, oil production ticked back up to 13 million bpd after its slight dip last week,  according to data provided by the Energy Information Administration. The 13 million bpd figure represents a high for the United States.

The number of rigs in the most prolific basin, the Permian, rose by 3 this week to 408, compared to 473 rigs one year ago. The second largest basin, the Eagle Ford, saw no change in the number of active rigs.

The WTI benchmark at 12:30pm was trading at $51.71 (+0.56%) per barrel—roughly $1.20 per barrel above last week levels as travel restrictions within, to, and from China continues to threaten oil demand. The Brent benchmark was trading at $56.86 (+0.92%)—roughly $2 per barrel above last week’s levels. Despite this week’s price rise, oil prices are still off by double digit percentages from the start of the year, as traders weigh the likelihood of further meaningful action to address the coronavirus’ effect on the supply and demand balance.

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