OCTG
Drill rig activity stabilizes in US and Canada
Written by Brett Linton
August 16, 2024
Oil and gas drill rig activity in the US inched lower last week while holding steady in Canada, according to the latest report from oilfield services provider Baker Hughes. US rig counts have remained rangebound for the past two months, hovering near low levels last seen in late 2021. Meanwhile, activity in Canada has increased since a mid-May seasonal low and is now nearing a five-month high.
Note: We recently published our monthly Energy Market Update to Premium members, covering North American oil and natural gas prices, drilling rig activity, and crude oil stock levels. For information on how to upgrade to a Premium-level subscription, contact info@steelmarketupdate.com.
US rigs
Through Aug. 16, the number of active drilling rigs in the US declined by two week over week to a total of 586 rigs. Oil rigs fell by two to 483, gas rigs rose by one to 98, and miscellaneous rigs eased by one to five.
There were 56 fewer active rigs in the US this week compared to one year ago. The number of active oil rigs is down by 37, gas rigs are down by 19, and miscellaneous rigs are unchanged.
Canadian rigs
The number of rigs operating in Canada held steady at 217 in the week ended Aug. 16. Oil rigs rose by four to 151, gas rigs fell by three to 66, and miscellaneous rigs declined by one to zero.
Currently, 28 more drilling rigs are operating in Canada than there were at this time last year. Oil rigs are up by 32, gas rigs are down by four, and miscellaneous rigs are unchanged.
International rig count
The international rig count is updated monthly. The total number of active rigs for the month of July fell to 934. That’s 23 less than the June count and down by 27 from July 2023.
The Baker Hughes rig count 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 rotates the drill pipe from the surface to either drill a new well or sidetrack an existing one. For a history of the US and Canadian rig counts, visit the rig count page on our website.
Brett Linton
Read more from Brett LintonLatest in OCTG
Active rig count declines in US, Canada
Oil and gas drilling activity slowed in the US and Canada this past week. An unfamiliar trend after both regions saw repeated gains of late.
Active rig count holds in US but grows in Canada
Oil and gas drilling in the US was unchanged this past week following three straight weeks of declining activity. Canada saw another gain, reaching a 22-week high.
Welspun Tubular makes $150M investment in Arkansas line pipe mill
Line pipe manufacturer Welspun Tubular LLC has announced a $150-million expansion project at its site in Little Rock, Ark.
Drilling activity slows in US but picks up steam in Canada
Oil and gas drilling in the US slowed for a third consecutive week, while activity in Canada hovered just shy of the 19-week high reached two weeks prior.
Active rig counts slipped in US, Canada
Drilling activity slowed in the US and Canada last week, according to the latest oil and gas rig count data released by Baker Hughes.