Environment and Energy
Rig Count Down in US, Inches up in Canada
Written by Becca Moczygemba
May 12, 2023
Rig counts dropped in the US for the second straight week and inched up by one rig in Canada vs. the previous week, according to the latest data from oilfield services company Baker Hughes.
The total US rig count was 731 for the week ended May 12, down 17 from last week. The number of active oil rigs in the US fell by two to 586 in the same comparison. Gas rigs were down by 16, finishing the week at 141, while miscellaneous rigs were up one to four. When compared to this time last year, the US count is up by 17 rigs, with oil rigs up 23, gas rigs down eight, and miscellaneous rigs up two, respectively.
The number of active Canadian rigs inched up to 94 this week from 93 the previous week. Active oil rigs in Canada rose to 37 from 34, while gas rigs decreased by two to 57. The Canadian count is up by six rigs vs. the same week last year, with oil unchanged and gas rigs up 6, respectively.
The international rig count increased by 17 to 947 rigs in April vs. March, and is up by 141 rigs compared with 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.
A rotary rig is one that rotates the drill pipe from the surface to either drill a new well or to sidetrack 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.
Steel Market Update regularly publishes an in-depth “Energy Update” report covering oil and natural gas prices, detailed rig count data, and oil stock levels. That 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.
By Becca Moczygemba, becca@steelmarketupdate.com
Becca Moczygemba
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