Features

Drilling activity eases in US, climbs in Canada

June 27, 2025

Oil and gas drilling activity declined for the ninth consecutive week in the US, while Canadian counts rose for the fourth straight week, according to Baker Hughes.

The US rig count fell by seven this week to 547, the lowest rate witnessed since October 2021. Compared to the same week last year, 34 fewer rigs are in operation today.

Canadian activity improved by one rig this week, now up to a 12-week high of 140 rigs. Canadian counts are down by 36 from this time last year. Activity typically slows down each spring, as thawing ground conditions limit access to drilling sites, then picks back up in June and July.

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 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 good (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.