U.S. Oil Rig Count Update – 9/22/21
According to Baker Hughes, U.S. oil rig counts rebounded to a 17 month high level throughout the week ending Sep 17th. Sep 17th week ending oil rig counts increased 2.5% from the previous week while finishing 129.6% above previous year levels. Oil rig counts remained 42.8% below pre-pandemic seasonal levels and 53.7% below the three and a half year high levels experienced during November of 2018, however.
Oil rig counts declined throughout the first half of 2020 in response to lower WTI crude oil prices, which rebounded to a 33 month high level throughout the first week of Jul ’21 and remain just five percent below the Oct ’18 highs during the week ending Sep 17th.
Crude oil production volumes reached a 15 month high level during the final week of August, prior to returning to a six month low level during the first week of September, a result of declines associated with Hurricane Ida. Crude oil production levels have only partially rebounded from the Hurricane Ida lows as of the week ending Sep 17th, rebounding at a slower pace than levels experienced following Hurricane Delta and Hurricane Laura. Oil production per rig remained near the 17 month low level experienced throughout the previous week.
Oil Rig Counts Peaked in Late 2014, Prior to Declining Sharply in Early 2015
Oil Rig Counts Followed Crude Oil Prices Lower Prior to Rebounding Throughout 2017-2018
Sep 17th Oil Rig Counts Increased 2.5% Week-Over-Week While Finishing 129.6% Higher YOY
The Sep 17th Week-Over-Week Increase in Oil Rigs was the 16th in the Past 20 Weeks
Horizontal Rigs Have Accounted for Over 96% of the Rebound in Total Rigs Since Aug ’20
Sep 17th Crude Oil Production Volumes Have Only Partially Rebounded From Hurricane Ida
Sep 17th Crude Oil Production per Rig Remained Near Recent 17 Month Low Levels