Features
Active rig counts stable in US, slow down in Canada
Written by Brett Linton
January 3, 2025
The number of active oil and gas rigs operating in the US held steady this week for the fifth consecutive week, while Canadian activity declined further, according to the latest figures released from Baker Hughes.
US activity has remained within nine rigs of a multi-year low for the past seven months. The lowest weekly count of the year was 581 rigs in June, while the highest was 629 rigs in March.
The decline seen in Canadian rig counts this week reflects typical seasonal downturns experienced at the turn of the calendar year. Expect activity to sharply rebound in the coming weeks, as it typically does.
The international rig count (updated monthly rather than weekly) declined to 909 in December. This is down 10 rigs from November and 46 fewer than the same time last year.
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 Features
Final Thoughts
I’ve been getting some calls lately from some of you who want to kick around ideas on where prices might bottom and when.
SMU Survey: Sheet and plate lead times hold steady
Sheet and plate lead times held steady yet again this week, according to steel buyers responding to our latest market survey, a trend in place since May.
ITC votes to keep HR duties after sunset review
The US government determined this week that hot-rolled steel imports from a handful of countries continue to threaten the domestic steel industry.
SMU Survey: Most buyers say mills remain negotiable on prices
The majority of steel buyers responding to this week’s market survey continue to report that mills are open to negotiating spot prices on sheet and plate products.
Steel Summit: Service center CEOs share straight talk on markets, customers, future
The chief executives from Majestic Steel, Olympic Steel, and Worthington Steel swapped notes on inventory discipline, customer trust, and the race to turn AI from hype into results.