Features

Drilling activity slows in the US, grows in Canada

June 6, 2025

Oil and gas drilling activity was mixed this week, according to Baker Hughes. US totals slipped for a sixth straight week, while Canada saw a slight bump in activity.

The US rig count dropped by four to 559, falling from last week’s multi-year low and marking the slowest rate seen since November 2021. Compared to the same week last year, 35 fewer rigs are currently in operation.

Canada’s count increased by two rigs to 114. But it remained 29 behind the same week last year. Canadian activity typically peaks early in the year and declines into the spring as thawing ground conditions (aka mud) limit access to drilling sites.

The international rig count is reported monthly at the beginning of each month. The May count was 886 rigs, down five from April and 67 from the same time last year.

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

David Schollaert

David Schollaert is deputy editor-in-chief for Steel Market Update. David joined SMU after more than a decade in the metals and mining industry in a myriad of different roles. Much of his early experience and expertise were within the coverage and analysis of steel-making raw materials and served previously as senior editor of the CRU Prices Service. Most recently, however, before his return to market analysis, David held roles as a metals buyer and an operations manager for raw material suppliers. He can be contacted at david@steelmarketupdate.com or 724-720-1008.