Copyright of the Daily Oil Bulletin 2017
Rigs Operating In U.S. Down By 11
The total number of operating rigs in the United States was 898 this week, according to the Baker Hughes weekly count, 11 fewer rigs than the 909 that were at work last week.
This is, however, 329 more rigs than the 569 that were operating this time last year.
There were nine onshore rigs shut down this week, while offshore rig numbers dropped by two. The number of rigs in areas of inland water was unchanged. In all, there were 879 onshore rigs, 18 offshore rigs and one rig in areas of inland water in the U.S. this week.
A total of 729 oil-targeting rigs were at work this week, after eight shut down in the past seven days. Rigs targeting oil formations make up 81 per cent of all U.S. rigs right now. This week also saw three natural gas rigs shut down.
Horizontal drilling still makes up the majority of U.S. activity (85 per cent) but five of these rigs were shut down this week to give a final total of 764. Meanwhile, one directional rig shut down, along with five vertical rigs, resulting in totals of 73 and 61, respectively.
Of the 14 major states tracked by Baker Hughes, three of them recorded an increase in rig numbers this week. Colorado saw its rig count increase by four, while three new rigs started up in Texas and two new rigs came online in Alaska. Meanwhile, five states saw a decrease. Oklahoma saw its rig count drop by eight and four rigs were taken offline in Louisiana. There were also two fewer rigs in New Mexico and North Dakota and one rig was shut down in Utah. As usual, Texas had the most operating rigs among the major oil and gas states tracked by Baker Hughes at 444. Texas holds 49 per cent of the total rigs at work in the U.S. right now.
The Permian Basin again saw the highest rig count this week among major basins tracked by Baker Hughes at 380, which is 42 per cent of the overall U.S. rig count. The Permian Basin was also one of only two major basins tracked by Baker Hughes that saw new rigs come online this week. Both the Permian and DJ-Niobrara basins saw rig counts increase by one. There were also four basins that saw rigs shut down. The Haynesville shale saw its rig count drop by three, while the Arkoma Woodford Basin lost two rigs. There was one rig shut down in both the Ardmore Woodford basin and the Williston Basin.