Environment and Energy
US, Canada Rig Counts Decline for Second Week
Written by Becca Moczygemba
February 26, 2023
The US and Canadian rig counts decreased again last week, but they remain elevated compared to a year ago, according to data from oilfield services company Baker Hughes.
The total US rig count was 753 last week, down seven rigs from the week prior. The number of active oil rigs in the US fell to 600 last week, down seven from the prior week. The number of gas rigs remained at 151. Miscellaneous rigs were unchanged at two. Compared to this time last year, the US count is up 103 rigs, with oil rigs up 78, gas rigs up 24, and miscellaneous rigs up one, respectively.
The number of active Canadian rigs declined to 244 last week, down four rigs from the prior week. Oil rigs in Canada now stand at 158, down five. Gas rigs are at 86, up by one. Despite the modest week-over-week decline, the Canadian count is up 20 rigs compared to last year, with oil rigs accounting for most of those gains.
The international rig count increased by one to 901 rigs for the month of January and is up 60 rigs from the same month last year.
The number of oil and gas rigs in operation is important to the steel industry because it is a leading indicator of demand for oil country tubular goods (OCTG), a key end-market for steel sheet.
For more in-depth information on the energy market, Steel Market Update publishes an “Energy Update” report each month covering oil and natural gas prices, detailed rig count data, and oil stock levels. Our November report is available here for Premium members.
For a history of both the US and Canadian rig count, visit the Rig Count page on the Steel Market Update website here.
A rotary rig is one that rotates the drill pipe from the surface to either drill a new well or to side track an existing one. Wells are drilled to explore for, develop and produce oil or natural gas. The Baker Hughes Rotary Rig count includes only those rigs that are significant consumers of oilfield services and supplies.
By Becca Moczygemba, becca@steelmarketupdate.com
Becca Moczygemba
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