Environment and Energy
Rig Counts Fall in US, Rise in Canada
Written by Becca Moczygemba
May 26, 2023
Rig counts fell in the US while they inched up in Canada for the week ended May 26 vs. the week prior, according to the latest data from oilfield services company Baker Hughes.
The total US rig count stands at 711 active rigs as of May 26, down nine from the previous week. The number of active oil rigs in the US fell by 5 to 570 in the same comparison. Gas rigs dropped by 4 to 137 and miscellaneous rigs remained unchanged at four. When compared to this time last year, the US count is down by 16 rigs, with oil rigs down four, gas rigs down 14, and miscellaneous rigs up two, respectively.
The number of active Canadian rigs is up by two as of May 26 to 87 vs. the previous week. Active oil rigs in Canada were up to o 42 from 39, while gas rigs decreased to 45 from 46. Canada’s rig count dropped 16 rigs from last year’s count of 103, with oil down 13, and gas rigs down three, 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
Read more from Becca MoczygembaLatest in Environment and Energy
SunCoke Q1 earnings jump on cokemaking, logistics ops
SunCoke's earnings soared in the first quarter, with the company citing strong performances in its cokemaking and logistics segments.
GSCC: Steel decarbonizing for a more sustainable future
Steel is a foundation of the global economy. It is an essential raw material for nearly every industry, from automotive and construction to transportation, machinery, and energy.
DOE transformer rule to benefit Cliffs’ electrical steel
The US Department of Energy has finalized Congressionally mandated energy-efficiency standards for transformers.
SMA: US steelmakers deserve credit for leading decarbonization charge
When it comes to finding ways to reduce emissions in steel manufacturing, we are in the all-of-the-above camp.
AISI explains new PM2.5 air-quality regulation’s impact on steel
The US already had strict regulations on air-quality standards for particulate matter, but they are going to get even tighter.