U.S. Drillers Add More Rigs Amid Rising Oil Prices

Brent Oil Climbs to $70 a Barrel

The number of oil and gas rigs in the United States rose by 7 this week, according to Baker Hughes, bringing the total additions over the last four weeks to 31.

The total rig count is now 528, up 262 from this time last year, but lagging behind the 790 active rigs in March 2020.

The U.S. oil rig count rose this week to 428—a 7-rig increase. The number of gas and miscellaneous rigs stayed the same.

The EIA’s estimate for oil production in the United States for the week ending September 24 rose 500,000 bpd for the second week in a row, to an average of 11.1 million barrels per day—just 300,000 bpd under pre-Hurricane Ida levels as producers slowly restore production that had been taken offline.

Canada’s overall rig count increased by 3. Active oil and gas rigs in Canada are now at 165, up 90 on the year.

The rig count in the Permian Basin rose by 3 this week, while the number of rigs in the Eagle Ford stayed the same.  The Permian’s total rig count is now 134 rigs above what it was this time last year.

Primary Vision’s Frac Spread Count, which tracks the number of completion crews finishing off previously drilled wells, shows that completion crews rose by 7 to 257 for week ending September 24. The frac count is up by more than 120 for the year.

At 12:20 p.m. EDT, oil prices were trending up on the day. WTI was trading at $75.19—up 0.21% on the day and $1.20 on the week.  The Brent benchmark was trading at $78.56—up 0.32% on the day and roughly $0.50 per barrel on the week.

By Julianne Geiger for Oilprice.com

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