Analysis
November 15, 2014
Active Oil & Gas Rigs for mid-November
Written by Brett Linton
With crude oil prices breaking through $80 per barrel, all eyes are on the Baker Hughes rig count data. The question is will the lower oil prices affect the number of wells being drilled? Most assume there will be an impact however, it could have a lag effect and take time before there is a substantial change in the numbers. Steel Market Update will be watching the numbers closely since a reduction in drilling rigs would have a significant impact on steel usage – especially for hot rolled coil and plate used to make line pipe and other drilling, storage and transportation equipment.
According to Baker Hughes data from November 14th 2014, the U.S rig count for this week is 1,928 rigs exploring for or developing oil or natural gas. This count represents an increase of 3 rigs compared to last week, with oil rigs up 10 to 1,578 rigs, gas rigs down 6 to 350 rigs, and miscellaneous rigs down 1 to 0 rigs. Compared to last year the 1,928 count is an increase of 166 rigs, with oil rigs up by 193, gas rigs down by 20, and miscellaneous rigs down by 7.
