Rig Count Soars: Baker Hughes GE

February 9, 2018

 

The US commercial oil and gas rig count shot up by 29 this past week, according to weekly figures released Friday by Baker Hughes GE, the highest weekly rise in more than a year.

Oil rigs increased by 26, now totaling 791, the highest since April 2015 and the third straight week of rig increases.

Gas rigs were up by three, now at 184, an increase from 149 a year ago.

More than half the oil rigs are in the Permian Basin, where the rig count was up this week by ten to reach a total of 437.

The proliferation of oil and gas production is expected to increase Permian output to near a record 2.9 million barrels per day this month or about 30% of all US oil output.

Texas added 14 rigs in total, with three of them in the Eagle Ford.

North Dakota and Wyoming each were up four; Louisiana and New Mexico each were up by three and Kansas and Oklahoma each gained one.

The overall rig count is 975, considerably higher than the 591 total of a year ago.

Weekly U.S. production is rising much faster than many expected: it jumped to a record 10.25 million barrels a day in the most recent report.

Projected production will rise to a record 10.6 million barrels per day this year, the US Energy Information Administration said earlier this month, up from 9.3 MMbbl/d last year and topping the all time annual output record of 9.6 MMbbl/day set in 1970.