Features

Rig counts continue to decline in US and Canada

May 9, 2025

Oil and gas drilling activity declined again this week in the US and Canada, according to Baker Hughes.

US drilling activity eased by six rigs to 578 this week, just two rigs above the three-year low witnessed in January. Compared to the same week last year, the current US count is down by 25.

Canadian drilling activity continued its seasonal decline this week following its winter peak. Total oil and gas rig counts fell by six to 114, two rigs fewer than this time last year. Canadian activity typically surges early in the year, then declines through April as thawing ground conditions limit access to drilling sites.

The international rig count is reported monthly at the beginning of each month. The April count was 891 rigs, down eight from March and 87 fewer than one year ago.

The Baker Hughes rig count is significant for the steel industry because it is a leading indicator of oil country tubular goods (OCTG) demand, a key end market for steel sheet.

For a history of the US and Canadian rig counts, visit the rig count page on our website.

Brett Linton

Brett Linton is a senior analyst for Steel Market Update, where he began his career. Linton has been in the steel industry since 2010. He has held roles as a category manager and strategic insights director at Reibus before returning to SMU in 2024. He is a graduate of The University of North Georgia with a degree in Finance and Accounting. Brett can be reached at brett@steelmarketupdate.com or 724-314-0179.